Page 1 of6  Town of Maggie Valley Budget Meeting May 15, 2024 MINUTES  Members Present:  Mayor Mike Eveland Mayor Pro-Tem Jim Owens Alderman John Hinton Alderman Tim Wise Members Absent: Alderman Phillip Wight Staff Present: Vickie Best, Town Manager Kathy. Johnson, Town Clerk Sam Cullen, Town Planner Mike Mehaffey, Public' Works Director Misty Hagood, Finance Officer Matthew Boger, Police Chief Seth Boyd, Senior WWTP Operator Noah Taylor, Assistant Planner No others were present. No Media were present.  Others Present: Media Present: Meeting Call to Order  Mayor Eveland called the Meeting to order at 10:02 am on Wednesday May 15, 2024, in the Maggie Valley Town Hall Boardroom, 3987 Soco Road, Maggie Valley, NC2 28751. Town Manager' Vickie Best reviewed the PowerPoint presentation as follows:  Budget Summary:  The proposed FY24-25 Budget is balanced with respect to revenues and expenditures Meets all requirements oft the North Carolina Local Government Budget & Fiscal Control Act Town of Maggie Valley! Proposed Budget Taxi Rate=$0.40 (No change int the Taxi Ratei int thep pasti four  years)  Mayor Eveland: spoke about propertyreeyaluations that willi impact nexty year'sbudget. Hes said when raising taxesi five years ago, "We made suret that. 40 would allow usi the opportunityt to gof fivey years without raising  the taxes andi remain thel lowestint the County."  Town of Maggie Valley Budget Meeting May 15,2024    Page 2 of6  Property" Tax:  Thej proposed FY24-25 Budget is based uponap propertyt taxi rate of $0.40p per $100assessed value. Property Tax is the largest source of revenue for the Town and is based upon real property Based upona 97.2% collection rate, property taxi revenuei is expected tol be $2,036,753. Manager Best said Administrative Assistant Leslie Arrington has been promoted to Tax Collector. She said  assessments performed by! HaywoodCounty.  with hera actions thust far, she willl bea a' "real go-getter".  Sales Tax:  Sales Taxi is the second largest revenue source for the Town's General Fund. Sales Tax distribution can occur using the Ad' Valorem or Population method. Itise each county's prerogative to establish how: sales taxi is distributed. Haywood County has chosen the population formula.  Based upon Haywood County Sales Tax Projections, the Town should receive a 2.18% of  total collected sales taxes= $828,933. Sales Tax revenues are 1.8% lower than in FY23-24.  Manager Best said "We think that is lower because of inflation and people not having the money  tos spend". Fees:  Sewer Development Fees- Unchanged.  $810 Per Bedroom (In Town). Minimum cost ($1620 Per Dwelling Unit) Sewer User Fees increased. - Minimums increased 5%. - "Overs" increased 5.2%. Increased Zoning Conformance permits fees and Standardized Sign fee  Planning & Zoning Fees.  Decreased Special Exception, Variance, Rezoning. The Solid Waste Fee is unchanged at $8.00 monthly. Motor' Vehicle Fee is unchanged at $5.00. (Helps to supplement the non-Powell bill fund). Festival Ground Rental Fees are! $700 and camping are $35.00 per night. Administration Fees Thumb Drive fee increased to $5.00.  Public' Works Director Mike Mehaffey said there were some things we could do in the future to require subdivisions that are granted a set amount of capacity based on their plat approval, responsible for the entire amount. He suggested the developer pay for each lot's capacity fee when they get the plat approval or when the owner of a lot decides to recombine parcels. That way every lot in a development has paid capacity fees instead of the way it is done now, where people are buying the lot next toi the house lot and the Town never receives capacity fees fori the vacant lot. He said there are twenty-nine lots in Mari's Meadow and four oft those lots have been purchased separately and will not havel houses on them and the Town will never receive capacity fees for those lots. He said that equates to about 1000 gallons of flow a day of capacity that is  tied up in those four lots. Town of Maggie Valley Budget Meeting May 15, 2024    Page 3 of6  Planner Cullen said he would investigate an amendment to the Sewer Use Ordinance requiring the owner of a lot to pay the appropriate capacity fees before recombination or after Mr. Mehaffey and Board members continues discussions about capacity fees for subdivisions and Manager Best said in order to balance the budget, "We have taken $35,180.00 out of the  combination is discovered.  possible amendments to the Sewer Use Ordinance.  appropriated fund balance." General Fund Summary FY: 24-25 Board of Aldermen - $183,817 Administration $730,193 Public' Works - $966,422 Police-$ $1,681,418 Powell Bill - $56,774 Festival -$174,028 Recreation- $19,950 Debt Service - $5,550 lease has to go under Debt Service.  Ms. Best said the Town of Maggie Valleyi is debt free, but the laws have changed, and the copier  D.O.T. Roundabout Project - $10,000  Ms. Best said this is MV's 5% portion of the sidewalks that will go all the way to the bridge at  Jonathan Valley School. Contingency - $0 Total-$3,828,153 Revenues-153828.159) Administration Requests: New Administration Car- $45,000 Public' Works/Sewer Request: Non-Powell Bill Road Fund=  $42,998 - Nicholas Lane ($12,925), Serene Trail ($10,845), Gail Drive ($8,997)  Mr. Mehaffey said when the last house on Serene Trail was built, they! hit as spring that runs down the side of the road and has done damage to the end of the road. He has worked with the engineer that is over the HOA. A culvert and eighty feet of pipe was put int to route the water out ofValley Creek. The main part of Serene Trail has been damaged, andi the Town'spartis510,345. Gail Drive will be "Hit or Miss" because they have no HOA and will require each homeowner's  agreement to pay their part. Town of Maggie Valley Budget Meeting May 15, 2024    Page 4 of6  The road must meet the constructions standard to get the Town funding for thirty percent construction cost. That means bringing the base up to six inches with two inches of asphalt. To get fifty percent of the cost, they would need to bring it up to Town Standards.  New Sewer Truck- $60,000 New Diagnostic Tool- - $9,000  Police Department Request: Festival Grounds: Board of Aldermen:  One Police Vehicle with equipment-s $60,756  July 4th Fireworks- $18,000  Economic Development & Place Making = $34,000  Professional Services of $60,000 -L Lobbyist Services one-year contract.  Debt Services:  Debt Service = Administration Copier Lease $5,550 achieved this feat byl being conservative. No new debt proposed for FY24-25.  Town of Maggie Valley General Fund is Debt Free for the 5th straight year. The Town has  Powell Bill:  Town of Maggie Valley Powell Bill Street System has remained at 6.82 miles.  New Roads will enter the Town's system in FY25-26. FY24-25 Budget recommends a 4% COLA: = $74,422.67.  Salary & Wages: Health Insurance:  On April 1, 2016, the Town of Maggie Valley joined the North Carolina State Health Plan SHP runs consistent with a calendar year (January 1- December 31) not fiscal year (July 1 The Town, as at the State's recommendation, has budgeted for a! 5% premium increase. Total budgeted amount for employee health insurance coverage is $364,785. Recommended coverage amounts remain 100% employee, 80% dependent for all  for Teachers and State Employees.  -June 30)  employees.  FY23-24 Work Force Composition: Town of Maggie Valley Budget Meeting May 15, 2024    Page! 5 of6  Four Departments - Six Administration - Thirteen Police = Five Public Works = Three  Sewer. Twenty-Seven Total Full Time Employees.  Proposed FY 24-25 Work Force Composition: Thirty-One Total Employees.  Add One Executive Assistant, One and al half Police Officers, One Public' Works Technician.  Proposed Positions' Cost: (The total cost reflects salary and benefits) One Police Officer- Start date July 1- Total Cost $75,564.89. One Police Officer - Start date. January 1-1 Total Cost $37,782.44. One Public Works Technician - Start date. July 1 -Total Cost $71,738.22. One Executive Assistant - Start date. July 1 -Total Cost $54,145.01.  Manager Best reminded the Board that the Executive Assistant has been promoted to Tax Collector. She said it is not a good look for the Tax Collector to be taking the payments for Taxes.  Public' Works Storage Facility:  Thel building has been purchased with FY: 23-24 funds. Proposed Completion - Late. July to Early August.  FY2 24-25 $80,000 budgeted for completion and installation of the building; including Winter decorations to be removed from leased storage units beginning late October Mr. Mehaffey said when the winter decorations are taken out of storage in October/November we will stop renting the storage units. That will save the Town close to $5000 a year on storage  Concrete and Façade work. through early November.  rental fees. He updated Board members on1 the progress of the building.  Fund Balance:  Required tol have approximately 63% of General Fund Expenditures based ont the average The Town of Maggie Valley's estimated Fund Balance entering FY 23-24 is 93.24% ($3,447,900) meaning the Town had enough unassigned funds on hand to operate  for other municipalities with budgets similar to MV.  without revenues for 11.5 months. Sewer Fund Summary FY 24-25: Administration - $653,901 Operations $722,090 Debt Service $176,650 Contingency- $0.00 Total-51,552,641 Revenues : $1,552,641 Low' Water Sewer Creek Crossing: Town of Maggie Valley Budget Meeting May15, 2024    Page 6 of6  Using ARPA Funds tot fund ($390,000) Thei total project cost is estimated to be $390,000. Actual work begins late summer.  Engineering is complete -1 The Town isi in the process of Right-of-Way acquisitions. Finance Office Misty Hagood said the ARPA funds must be encumbered by December 2024 and Mr. Mehaffey said he along with Senior WWTP Operator met with the engineer fort the Low water Sewer Creek Crossing and changed some things that will save money on the project. There will  spent by December 2026.  be an advertised bidding process because of the cost of thep project.  Sewer Fund Balance:  Audited FY 22-23 - Fund Balance (Retained Earnings) = $2,754,687 (306.44%) Alderman Tim Wise commended staff on doing a good job on the budget. Ms. Best said the budget could not have happened without total team work of every department head and the Manager Best spoke about the waterfall property and said the same people that made the original offer still want the property. They have made an offer of $190,000, the only thing that Alderman Jim Owens said the property willl havei to go through the bidding process again. He said Mayor Eveland confirmed with staff the agreement could be signed and there will need to be a ten-day upset bid phase. Alderman Tim Wise asked if there needs to be a vote on selling the property. Ms. Best said there could be no vote at this meeting because it was not advertised that action would be taken. She asked the Board for a consensus on selling the property. it was the  new finance officer.  will change with the contract is they will have to give earnest money. his opinion is to accept the contract and aski for the earnest money.  consensus of the Board to sell the property.  Adjournment unanimously. Attest:  A motion was made by Alderman Tim Wise to adjourn the meeting at 11:02 am. The motion carried  Best, Town Manager  A6  Kâthy. Johnson, Town of Maggie Valley Budget Meeting May1 15,2024  E