TOWN OF NEWLAND 2/4/2025 BOARD MEETING TH CAROL ATTENDING: MAYOR: Derek Roberts ALDERMAN: James Johnson, Gail Haller, Christie Hughes, Dave Calvert, Kenan Foxx (absent) GUEST: Vicki Caraway, Kenny Caraway, Christy Ray, Butch Hughes, Donetta McKinney, Sabrina Stout, Crystal Wise, Jane Wise, Faith Lacey, Sanford Brill, Nathan Gittner, JD English, Larry Hoyle, Beverly Hoyle STAFF: Town Manager/Finance Officer Sandy Lewis, Police Chief Michael Fields, Public Works Director Gary Lewis, Town Clerk Jessica Buchanan, Town Attorney Gerald McKinney Mayor Roberts called the meeting to order at 6:00 p.m. and led the assembly in the Pledge of Allegiance. Alderman Johnson made a motion to approve the January minutes. Sandy stated she needed to add a short, closed session for personnel at the end. Alderman Johnson motioned to adopt the agenda with the change of a closed session regarding personnel. Alderman Calvert seconded the motion. All agreed by a show of hands and stating aye. MAYOR'S REPORT Mayor Roberts stated there were a few things he wanted to talk to Sandy about. He wants to talk to Gary about when they wanted to take down the Christmas lights and ask if anyone on the board wants to do help some repairs on them soon. Gary said sometimes they have to be cleaned out. Water will get into the bulbs facing up and into the socket, which will start to corrode. Once you screw the bulb out, you havet to spray the electric clean inside and get the corroding out and then put some grease on it. It is very time- consuming, and any volunteers are welcome to help. Vicki Caraway asked ift there was a date set for this. Mayor Roberts said he would like to set up a day for possibly next month, sO we are not running behind like we did this past year. We have a lot of great lights that still work; they need the bulbs switched out. Gary said there aren't many new bulbs left, SO he would have to order more. Mayor Roberts said he would work with Sandy and set a date for next month. Mayor Roberts asked Sandy if she was going with Phillip Barrier to find out what was going on with getting the side roads cleaned up. Sandy said the NCLM is having a meeting in Asheville next week for town and county managers about disasters. While making the trip with the County representatives, she will discuss why Newland's streets still have debris. When she emailed Phillip, he replied that they would let us know when that last sweep would happen or when it would stop. She said we have photos of almost every street with debris that needs to be picked up. Sandy said a release from the County today stated that residents will have to stop putting debris on the right-away after February 23rd. Ifthey find debris after that date and can figure out who did it, there will be fines for littering. Most of the citizens did what they were told and put it at the right-away. However, the debris removal subcontractors came along and picked up the easy stuff. Large stumps on Elk Street are driven by every day and still have not been picked up. Mayor Roberts said some trees fell across the road on Watauga Street, and the power company or somebody else cut up the trees. He asked if those needed to be pulled up to the right-away because he has spoken with several of the contractors, and they have no plans of doing anything that we are discussing right now. Sandy said her understanding when we: reviewed and signed the memorandum of understanding, was that if all debris were at the DOT right-away and not in the street, then it would be picked up by the monitoring and removal company, Mayor Roberts asked ifthat included side roads, and Sandy said yes, every secondary street. Gary said he went around and took pictures last week, and a crew came to clean up on Old Toe. However, a large stump on the hill could fall off anytime, and plenty still needs to be cleaned up. Mayor Roberts asked everyone to call the local commissioner, Dennis Aldridge, and ask him because he does not think things are going to be cleaned up. Some of the stumps are sO big the smaller track hoes cannot pick them up, and he said he wouldn't mind spending a little money to rent a larger one. Mayor Roberts said that Christmas lights will be coming down this Friday. RESOLUTION = OCCUPANCYTAX & TDA Mr. Gittner asked ifhe could comment on the occupancy tax resolution passed during the public hearing before the board meeting. He asked if someone: rents an apartment with a one-year lease and then, for whatever reason, they have to break it after sixty days, does the occupancy tax apply to that? Sandy said she needed to check into that because an apartment is not considered a short-term accommodation. Mayor Roberts said an apartment should be no less than a six-month lease. Mr. Gittner said he understood that; however, a few minutes ago, we. just discussed that it didn't matter what the intent was across the street at the motel, but what actually happened. Whether or not they were there for sixty days or 120 days, but what the intent was. Mayor Roberts told Mr. Gittner he understood his frustration because he wanted to make sure he was doing the right thing. However, he believes he is going down too many rabbit holes. Sandy told Mr. Gittner that ifl he would like to email her at foms-dlommohetmle, she would be glad to pass along any questions to the occupancy tax expert at the School of Government. Mr. Gittner said he just wanted to ensure that ifthe Town ofl Newland passes a law, it gets applied equally. NC LOCAL GOVERNMENT DEBT SET-OFF CLEARHOUSE PROGRAM SIGN UP Sandy stated that Jessica would be presenting this tonight. Jessica said the first form includes the memorandum of understanding and agreement. She explained how she is part of the clerk listserv, which provides for all the Town Clerks in the State ofNorth Carolina. She can email this group of people asking any questions and any ofthe clerks can respond by giving her any guidance they can provide. Jessica emailed the listserv asking if anyone could provide sample letters and their process for collecting back taxes. One clerk from Caswell Beach said they use a program through the NCLM that is 100% free. Jessica would send a letter to the individual like she usually does. Ifthey do not respond within thirty days, she will send another letter stating they will be charged an additional $15.00, which is the only money that goes to the Clearing House program. Instead of bothering Gerald, the information can be submitted to this program, and they will try collecting the back taxes. We need to pass the resolution included in your packet. The resolution states that we will move forward with thej program and allow the program to collect our back taxes, Jessica also attached a list of all the Counties and municipalities aiready using this program, and Avery County is one of them. Sandy said this also allows the program to go after the individual's tax returns if they do not pay. Alderman Johnson motioned to pass the resolution fort the debt set-off program provided by the State of North Carolina. Mayor Pro Tem Haller seconded the motion. All agreed by a show ofhands and stating aye. (See the adopted resolution attached with the minutes). NCLM ENGAGEMENT LETTER AND SCOPE OF WORK FOR BANK RECS AND PRE- AUDIT WORK Sandy asked ifthel board remembered when they approved her to join the NCLM aim program, which is their accounting mentor program. They told her that if she joined, they could provide some accounting help for the' Town of Newland since we were late on some of our audits and that they would pay for one audit. Sandy explained this was a scope of work and a memorandum of understanding from the NCLM to send a certified public accountant to Newland. She will be here next Thursday if the board approves this, and she will start on our bank reconciliations and pre-audit work for last fiscal year 2023-2024. She will also do some pre-audit work for the 2024-2025 fiscal year to help get us ready and have everything completed in time for this audit. Sandy said if you read through the letter, you can see we are saving about $66,500 if we accept this. Alderman Johnson motioned to accept this immediately. Alderman Calvert seconded the motion. All agreed by a show ofhands and stating aye. Sandy asked for permission to the letter and Alderman Johnson said the sooner we can get that back, the better. (See the engagement sign letter and scope of work attached with the minutes). PRIOR YEAR'S TAX RELEASES Jessica presented a spreadsheet to the board, asking permission to release some of the back taxes she had been researching. She said she has looked through maps and deeds to track down these individuals, and the total below she is asking to be released is $450.44. The spreadsheet shows the: individual's name, parcel number, why it needs to be released, and the amount. Several accounts were taxes transferred from Alpha, and the property had been sold to someone else years before. She said this is a list she is 100% sure needs to be released. Alderman Johnson motioned to release the back taxes in the amount of $450.44. He knew two of the individuals were deceased. Alderman Hughes seconded the motion. All agreed by a show of hands and stating aye. CALL FOR PUBLIC HEARING FOR MARCH 4, 2025; DISCUSSION OF TOWN OF NEWLAND POLICY CHAPTER 80, PARAGRAPH 81.09 (ANIMALS) Sandy stated that was at Mayor Roberts' request. He said yes, we. need to put this chicken fiasco behind us. Sandy said she is asking the board to call for a public hearing. Alderman Johnson motioned for a public hearing on March 4th, 2025, at 5:00 p.m. to discuss animals in the Town of Newland. Alderman Haller seconded the motion. All agreed by a show of hands and stating aye. PUBLIC WORKS REPORT Gary stated he didn't hand out any paperwork to save the: money. He said last month he had $15,405 in work orders, and $1,200 of that is from plowing snow and spreading salt. On thel bright side, that's only $1,200 and not $2,400 like it used to be. Year to date, he has entered about $188,000 into the work order system, of which $50,000 of that was for the pump that was put in at Tweetsie after the hurricane. The work order system shows where the money: is spent, sO unlike in the past, we can look it up now. Gary said he put a 'no dumping' sign at the corner of High School Road today because people don't attention pay to where they are dumping stuff. We have two vaults and several valves there. He asked for guidance about the trailer park on Old Vale Road because he noticed they had a leak after doing meter readings. It: is the trailer park across from Kenny's driveway, and there are almost 15 units. Last year, they used 4,882,000 gallons of water, which is 12.5% ofthe Town's water. That comes out to be 22,000 gallons per trailer per: month, which is excessively high. They average 350,000 gallons per month for 15 trailers. Mayor Roberts said it sounds like we: need to shut them off and find the leak. Gary said he turned it off the other day because they had a burst. They had somebody come out there to look at it, and they turned it on again after the plumber came out. He said they have had a leak since he started working here. In the first month after installing the electronic meter, they used 170,000 gallons; now, it has been averaging 350,000 gallons since then. Gary said Bill had gone out there to talk to them, he spoke with them the other day and expressed they needed to get somebody out there to fix it because this is an excessive amount of water being used. The average use for a four-person household is 10,000 gallons a month. He was under the impression that they had replaced two-thirds of the lines, however, he spoke to someone else in the trailer park, and they said they had not seen anyone do anything. Gary feels we need to send them an ultimatum that they need to get this repaired, replace all the water lines, and put a meter at each trailer sO they can tell where they have a leak. He said he would prefer to leavei it on one meter for the sake of1 billing; however, they need better accountability. Vicki Caraway said she spoke with a lady who lives in the trailer park by herself, and her lot rent is $350 a month. They split the water bill amongst all the: residents, which is highly unfair, and she agrees with Gary that they each need to have their own water meter. The lady said the trailer in front of her has nobody living in it full-time except for three dogs. They are there all the time, and the woman who used to live there comes once a day to feed them, and they are consistently barking. This is also the trailer that had the water burst, and it has been sO cold. There are several issues with that trailer park; she said nobody ever fixes anything. Mayor Roberts asked who the owner was, and Gary said Equivest was the service company but not the owner. Mayor Roberts said to send them a letter stating they have until March 1 to have each unit individually metered, or we will shut the water off. Gary said we should probably give them thirty days to have aj plan in place and then complete it in sixty days. Alderman Calvert said he agreed with Gary's idea. Gary will send a letter stating they have until March 15 to develop a plan, and everything must be completed by April 15. Alderman Johnson asked Gary ifhe would construct the letter, and he said he could. Kenny Caraway said this mobile home park is across from the new Feeding Avery Families facility, and he encourages each board member to drive down Old Vale Road and see what kind of condition it's in. He said he is sure most oft the folks who live there arej probably doing the best they can do; however, they do not have any support from the owners. Mayor Roberts said he was also concerned about the three dogs in the trailer. Gary said he and Jessica figured out that in the last two years, their water bills have totaled $96,000, and they could have put in a whole new water system for that. There was no motion needed for Gary to construct the letter, sign it, and mail it out. Gary said he would like to put heat into Sokassa, roughly costing $9,500. He received two quotes; one was a little over eight, and one was less than eight, and he will need $500 to use a scissor lift to close the upper air vent. He said we wouldn't get al lot of use out of it this year, but it would have been nice to haveit up there last month. It will also make it easier to work on Christmas lights, make oil changes, and keep the salt from freezing. Alderman Johnson asked ifi it was within his budget, and Gary said it should be. Alderman Johnson said to do what you need to do ifi it is in your budget. Gary said he contacted Brian Hamby to ask about the sidewalks and whether they were the DOT's responsibility or the Town's. FEMA will visit on Friday for a sight visit to cover. roads and culverts. He also asked Mr. Hamby about the storm drains across from the elementary school because at least two looked like they were getting ready to fall in. If Gary does not hear back from him by Thursday morning, he will call him back Thursday afternoon. Alderman Hughes asked if the sidewalk grant could pay for the sidewalks and streetlights, like when Brenda was here, Donetta McKinney said they received a sidewalk grant in 2006 when they got Shomaker. Alderman Hughes asked if she remembered ifthe Town was responsible fort the sidewalks or the State. Donetta said the' Town was responsible. Alderman Hughes said that in our current situation, she thought we could receive grants to replace or at least repair the damaged ones. Donetta said there has always been an issue with a paved area in front of Premier Pharmacy. Gary said ifit is the Town's responsibility, we can hopefully get FEMA funding, especially for those over: at PackRats. Sandy said our FEMA representative is asking whose responsibility it is sO it can go onto our list of requests. Alderman Johnson asked about the sewage running out in the mobile home park beside the Old Lowes building. Sandy said she would address that during her' Town Manager's report. Alderman Calvert said a fence was. knocked down on the Riverwalk below him. Gary said there would be a separate category, and five different dates are set for FEMA to come and do sight visits. Shomaker and the Riverwalk will be in their own category. Sandy said they would be here on March 11 to inspect the Riverwalk. Alderman Calvert said one of the things they will probably see is the concrete wall falling over, and they're likely going to say that it's from the flood. However, the ground shifted, and that wall has been falling for 15-20 years. Mayor Roberts asked if we could bring back up Puerto Nuevo's dumpsters on Mike Nelson's 's property. Since we are making all these changes to the Town, can we try to find a different location to put those? It is constantly overflowing. Sandy said she would like to do what they discussed before and move them closer to Puerto, behind Dr. Jewell's office. Once we receive the FEMA money, we will hopefully reestablish the dog park away from the swampy Shomaker area and put it across from where the trailer was moved. There should be room for the two dumpsters next to it. Gary said there needs to be some dirt and drainage put around each side and mount it up so the water will run down the side. He believes the area will be much drier and cleaner for a dog park, and the dumpsters can go near the tree towards Dr. Jewell's office. POLICE REPORT Chief Fields stated the department had 489 calls for. January, including seventeen calls to assist other agencies, six motor vehicle accidents, two domestics, five calls for a suspicious person, two for trespassing, and four for an unwanted person on the property. Officer Buchanan located a stolen vehicle that came out ofl Michigan, charged the individual with possession of a stolen vehicle, and located some marijuana inside. Chief stated everything went fine, but it was good that they got the individual offthe road. He said he has been researching some grants and thought one would open this month; however, it does not open until April. There is another one that opens in October for federal funding. Chief said he has been talking to some people and Gerald about the best way to do some fundraising but hasn't gotten anything nailed down for sure, FINANCE OFFICER REPORT Sandy stated the sales and use tax for December 2024 will be coming in the middle of February and is estimated to be $38,800, a nice $5,500 increase from last month. The 2024 tax collection rate is and 87.8%, Jessica sent letters to citizens regarding prior year tax balances. She has successfully collected $7,439 since July 1st for back taxes. Sandy said she has a budget amendment she needs the board to approve for insurance proceeds from our commercial insurance carrier, Tokyo Marine, for damages during Helene. We receive this insurance money; they will deduct appreciation and the $50,000 deductible. Wei received $87,906.62, and FEMA will do their sight inspections and say you received this much, but we think you should have gotten more, sO they will give us the difference. Orthey say we received too much, and they will deduct some, SO we are: not sure. how it will pan out. Sandy said she thinks it is probably a conservative estimate because Tokyo Marine is pretty tough on this stuff. They sent their adjustors out a few months ago, and these funds were sent to us for water and wastewater damages. We have already made payments for repairs, except for things that are not fixed, such as fences. She needed approval for the budget amendment to add $87,906.62 to fund 30 for water and wastewater operations. Alderman Johnson motioned to accept the budget amendment of$87,906.62. Alderman Calvert seconded the motion. All agreed by a show of hands and stating aye. (See the attached budget amendment with the minutes). Sandy said she had a quote for two new desktop computers for the Town Clerk/Tax Collector and the Finance Officer/Town Manager. Their computers are seven years old and do not keep up with everything she and Jessica must do. They are constantly timing out, and she thought that since we rented one ofthe offices to Chief Cares for $1,000 a month, we could use $2,700 ofthat money. Mayor Roberts asked why we weren't getting Macs. Sandy said she could use a Mac; however, it isn't easy to learn how to use one, and it doesn't play well with everything else. Alderman Johnson asked if she needed a motion to do that. Sandy said she didn't think it was above her spending limit of $5,000. However, she needed to bring it before the board, so it was official that she asked the board ifit was okay to purchase two PCs. The board approved the purchase of the two PCs. TOWN MANAGER REPORT Sandy stated that she had a letter from Samaritan's Purse that they are providing a new trailer for a lady and her daughter at thei mobile home park on Asa and Bird Street. They are taking the old trailer out because it was damaged during the hurricane and bringing in a brand-new manufactured home. It will be put in the exact same footprint where it is being taken out of, and she wanted to let the board know and make sure this was okay. Alderman Johnson said as long as it was a newer model. Sandy said the Chief Cares folks have moved in and love it. They are excited about being here with us, and wel hope that we will have a great relationship with them for as long as they are here. She thanked Maria Roberts for painting their office space and Cody and John from Appalachian Seal Coating for coming in and moving desks between offices. FEMA site visits will start on Friday, and several more will be in March. She also gave out the debris press release that came from the County, and copies were in the back for citizens as well. Sandy said she wanted to discuss the issues about Bird Street. She has been over there three times looking at an open sewage issue that we talked about in the last meeting, and every time she has been over there, she has told them to get it fixed. An NC-certified plumber was not repairing it; that was her last recommendation. She took the mobile home park manager a violation letter for the area on January 30th, stating that according to our ordinance, it would be $100 a day until it was repaired because she had already been verbally warned. Sandy took the written warning, had her sign it, and had Officer Isaacs with her. The park manager's daily fine of $100 began on January 31st until she could get the sewage issue repaired. The only other thing Sandy can do now is call NCDEQ because it is still not fixed, and she does not know how to get her attention. We did turn the water off; however, we turned it back on because it was SO cold, and people needed water. Gary said the park manager said she called Plumb Fast; they did show up on Tuesday and were supposed to come back the following day. He called Plumb Fast, and they basically washed their hands with it after the first visit because it looked like something shady was going on, and they didn't want anything to do with it. We have not heard anything from them since then, and Gary rides there daily to take pictures oft the open sewage. Sandy said they went to the health department and spoke to the environmental guys, and they told her they couldn't do anything because it was a sewage system, not a septic tank system. Therefore, now it becomes an NCDEQ issue. Mayor Roberts said ifhe lived there or around that mobile home park and this was an ongoing issue, he would be pretty hot with the Town, and he thinks we can turn the water off. He understands what Sandy is saying about the cold weather, but there comes a time when we, just shut the water off1 because it isn't healthy. Sandy said there are a lot of elderly and disabled residents who live there. Alderman Calvert asked if we shut the water off and ifit shut off everyone's water. Sandy said yes, they are not separate lines. Mayor Roberts asked Sandy ifher neighbor had this going on and her dog was going over there and coming back with feces on it. Would she be okay with that? She replied no that she would not be. He said he also knew that 90% of the people living there arej problems for the police department and thei neighborhood. Sandy said she knew that, and we were working on that aspect, too. Mayor Roberts told her not to get offended, but he has been hearing "we are working on this" for three years, and at some point, we need toj just bow up and say no water. Sandy said she would turn the water offt tomorrow with the Town Council's permission. She said she did not feel like she could make that decision because there are elderly and disabled people who live there. Alderman Johnson asked ift there was any way to put a block onj just that one house. Gary said each house has its own meter; however, the entire park runs offt two Town meters. They turned the meter offt to the mobile home, causing the issue, and then somebody ripped it out of the ground, which caused 10,000 gallons of water to flow out. Alderman Hughes asked if wel knew who ripped it from the ground and if we could charge that individual. ChiefFields said that wasn't the Town's: meter, but it was one of the mobile home park's internal meters. Mayor Roberts said one person owns this property, and she lives in Asheville. She has another younger relative who is siphoning what little money: is coming in from the mobile home park, and nobody knows who owns some ofthose homes. He said you have a pile of meth heads that pile up in some of these homes, and they end up getting into fights, and they can't provide proper leases to the Chief. He has lost two employees over there, and to this day, nobody knows if they are alive because it is an abyss. Sandy said they turned the water off until they had it fixed. She went out there, and it looked like it had been fixed, so they turned it back on. A day or two later, she went there with Dylan to take the park home manager a violation letter because they had put a boot on the line. However, it was not done by a plumber. There was a puddle, and she could only assume it was sewage seeping out of the line because it smelled terrible and was obviously not fixed. Attorney McKinney asked when the $100 a day fine started, and Sandy said January 31st. He said he has never done it before, but if enough piles up and hits them in their pocketbook, we could go after them to enforce those fines. Sandy said she told her that when they shut the water off, she needed to find accommodations at the Shady Lawn for the disabled lady, and she said she would. Mayor Roberts said to pull down that street and look at the junkyard going on in the horseshoe. Ifyou sit for a second, it will look like you pulled into a zombie apocalypse. Sandy said her next action was to have Jessica write a letter on all the garbage bags sitting there stating they have ten days to clean them up. Ifit isn't cleaned up within that time, there will be another $100 daily fine. Alderman Johnson asked to send a letter to the house across from the vet's office as well, and Sandy said they were. Donetta McKinney asked if the Town could pay to have the sewage line fixed and then bill the mobile home park owner. Alderman Johnson said we would have to bill the entire park because they only have one Town meter, and they split the bill. She said she remembered they did this once before when she was on the board and then billed the owner. Sandy said she understood the water needs to be shut off, but we are punishing 85% - 95% of those doing things properly. She hates that for them, but like they are saying, she guesses that is the only way to get their attention. Donetta said if the owner is not doing what théy are supposed to be doing, then the renters need to put pressure on that person. She said it was a terrible eye sore, and when she went to United Community Bank today, there was a huge teepee sitting there. Alderman Hughes said it was a hot tent donated by an organization, and they have a generator and a wood stove, Mayor Roberts said we should tell all the residents the water is being shut off, and they need to pressure this young lady to have it fixed. Vicki Caraway asked ifa letter could be given to each resident in the mobile home park. Sandy said she would have Jessica send them out in the morning. CITIZEN COMMENTS Kenny Caraway said he was all for Samaritan's Purse, helping folks who had their homes destroyed. They say it is going on the same footprint, but that's something they need to look at down the road because they are opening another door. An ordinance was passed when he served on the board in chapter 80. It talks about mobile home sizes and the amount of space it takes. He believes they are. limited to four mobile homes per acre, Under the ordinance we have: right now, you cannot pull a mobile home out and put one back in unless they change it. He said they worked for two or three months on this ordinance. Alderman Hughes said she could see his point but couldn't do that to someone homeless. Sandy said she also understood where he was coming from; however, we are in a new era called Helene disaster recovery right now. Mayor Roberts said he agreed with Kenny, and he: is 100% correct. He also agreed with Sandy, and she is 100% correct to a point. The problem he has is ifthe ordinance was put in there to start trying to weed some of this stuff out, and we are going to usurp that, maybe we should talk to Samaritan's Purse and ask them if we can find somewhere else to put this mobile home. Mr. Caraway encouraged the board members to drive to the mobile home park across from his driveway and look at all the trash. Mayor Roberts asked Sandy if we could send them a letter as well, and she said yes. Mr. Caraway said they can barely get up their driveway now because it's S sO muddy from all the water running down caused by the constant water leak. Alderman Calvert asked Sandy what her thoughts were on the situation. Sandy said we would send letters to all of them because this was not a new issue. The previous Town Administrator, Police Department, and Public Works Supervisor went to this mobile home park and listed all the violations. They all received letters, as did the Equivest property owner, and nothing was done. We will start the process all over and issue fines to either the individual or the Equivest property owner, whichever the board tells her to do. Mayor Roberts asked who we sent the water bill to, and Sandy said Equivest, SO that is who we would fine. Sandy asked what she needed to tell Samaritan' s Purse about whether they could bring in the new mobile home. Mayor Roberts asked when they wanted to bring in the replacement, and Sandy said it would be next week. Alderman Calvert said according to the ordinance, they can't. He asked ifthis would also be in effect for the hot tent. Sandy said it depends on whether they are camping in Town or on private property. They are homeless folks using it as temporary housing. Gary said, going back to where the ordinance talks about having four mobile homes per acre, you are looking at between twenty places within a two-acre tract. Sandy said there are probably several violations around Town, and she isn't sure what is grandfathered and what isn't. Alderman Johnson said they would have been considered grandfathered ift they had been there before the ordinance was approved. Attorney McKinney said he does not believe Samaritan', 's Purse can replace the mobile home in the same footprint based on the written ordinance. Several citizens commented on how they understood mobile homes are placed anywhere they could find space; however, there should be regulations, and they should be kept clean up. COUNCIL COMMENTS Mayor Roberts asked Chief. Fields to work on getting their stuff out ofthe shop and move to Sokassa. He asked Gary to let him know what day would be best, and he would send some people to help him move some boxes and re-arrange for anything he needed to put up there. Gary said there wouldn't be much room to re-arrange anything after he took the Dodge back up to Sokassa. Mayor Roberts asked for equipment to be added to next month's agenda. Alderman Hughes said she has been speaking with a gentleman who works with Bridge Angels throughout Avery and Watauga County. They are very knowledgeable about the bridges around the area, and he wants to have a meeting one evening in the next couple of weeks. Many volunteers are at a standstill because of FEMA waivers being worked on. She met with Congressman Edwards last Friday and believes things will move forward quickly between him and 1 Dudley Greene. Once we have a date and time set, we will post it on the Town's Facebook and website page because the meeting will be very informative. This will include private bridges, private roads, and culverts. They had gotten several completed before they were stopped because oft the no-rise issue. However, she believes that it will be straightened out SO they can move forward. The volunteer group has a list of seventy bridges sO far between Avery and Watauga County. Larry Hoyle asked who the people who recently rented one of our office spaces were. Sandy said they were Chief Cares Inc., Eric Church's nonprofit organization, and they will build homes around the County. Mr. Hoyle asked how many homes could go on an acre in the County, and Sandy said she wasn't sure about the County's ordinances. Mayor Roberts said he had been to Mayor Pro Tem Haller's area and had seen the trailer with the refrigerator sitting on the front porch. She said she wanted to know who owned that as well. She said it was initially Steve Nelson's and assumed Mike may. have taken it now. Mayor Roberts said it belonged to Mike's widowed sister-in-law. Gary said that Land South of Charleston owns the land. MPT Haller said three men live there, and Beverly Hoyle said there used to be nothing there. Alderman Johnson motioned to go into a closed session for a personnel matter. MPT Haller seconded the motion. All agreed by a show of hands and stating aye. CLOSED SESSION - PERSONNEL Let the: records show no action was taken during the closed session. ADJOURNMENT Coming back into the open session, Attorney McKinney stated to let the records show no action was taken during the closed session. Alderman Johnson motioned to adjourn. Alderman Hughes seconded the motion. Meeting adjourned at 7:45 PM. Town Clerk, Jessica Buchanan Mayor, Derek Roberts A Resolution for Board Adoption NC Local Government Debt Setoff Program Whereas, NCGS Chapter 105A, Setoff Debt Collection Act, authorizes the North Carolina Department of Revenue to cooperate in identifying debtors who owe money to qualifying local agencies and who are due refunds from the Department of Revenue; and Whereas, the law authorizes the setting off of certain debts owed to qualifying local agencies against tax refunds; and Whereas, the North Carolina Association of County Commissioners and the North Carolina League ofMunicipalities have jointly established a clearinghouse to submit debts on behalf of Town Council of the Town of Newland as defined in G.S 105A -2(6), effective January 1, 2006 and thereafter as provided by law; Now Therefore, be it Resolved that the local agency will participate in the debt setoff program and hereby designates the Town Attorney as the person to hold hearings and conduct necessary proceedings. The Governing Body Chair and Manager are hereby authorized to execute such documents and agreements as necessary to participate in the debt setoff program. Adopted by the Town ofl Newland Town Council on the 4th day of] February-2025 ONNCO buckaon Derek Roberts, Mayor Jessica Buchanan, Clerk - January 31, 2025 Rebecca E. Garland, CPA, PA 256 Smith Knob Road Andrews, North Carolina 28901 Attn: Sandy Lewis Town Manager/Finance Officer Town of Newland PO Box 429 Newland, North Carolina 28657 Dear Ms. Lewis: This letter sets forth the terms and understanding of the objectives and scope of services provide to the Town ofNewland as part oft this engagement. The purpose of this Iwill assist with the bank reconciliations and the general ledger roconciliations and trial engagement balance is to preparations for the FY 2024 audited financial statement engagement. In addition, I will bank reconciliations and general ledger reconciliations analyzed and trial balance bring the through June 30, 2025 to meet the goal ofhaving a timely FY 2025 audit. These tasks preparation described in Exhibit B, are also By signing below, you acknowledge and accept these terms. A copy ofthis letter is enclosed your records. for This engagement is not an audit or review, and no opinion will be expressed on your financial statements, My services are limited to the outlined tasks, and I will not be responsible for managing or performing functions on behalf of the Town. I will perform the services as described in the attached document, following the relevant professional standards as set the. American Institute of Certified Public Accountants (AICPA). forth by Ia anticipate to complete work by approximately December 31, 2025, subject to unforeseen This estimate assumes full cooperation from your team without significant, unexpected delays. complications. Ifthe scope oft the engagement changes, we will discuss any adjustments. The responsibilities of the Town ofl Newland management include ensuring the adequacy oft the services provided, overseeing the work, and maintaining internal controls over financial information. Additionally, all data and records necessary to complete the engagement should be in a manner. provided timely Please review the terms oft this engagement, and if you agree, sign the enclosed copy, Ifyou have any questions or need further clarification, please do not hesitate to contact me. Sincerely, Rebecca &. Çarland, epa President Robecca B. Garland, CPA PA of'Town CSandra weResio Signature Official: Title ofTown OliaalcSandra W. Lowois 2/+125 Consultant: Rebecca E. Garland, CPA PA Municipality: Town of Newland Exhibit A to. Agreement between Consultant and Participating Member (also referred to as. Mmicipality) Required Terms & Conditions 1. NOT TO EXCEED: The total amount charged to the Municipality for services rendered this Agreement shall not exceed: $75,000. under 2. RELATIONSHIP WITH OTHER AGREEMENTS: To the extent that there between this Agreement and the Required Terms and Conditions in this Exhibit is any conflict Terms and Conditions in this Exhibit A shall control, Furthermore, this. A, the Required with the terms and conditions set forth in the Agreement is in accordance separate Consulting Consultant and the. North Carolina League ofMunicipalities dated Agreement between the February 4, 2025. 3, LOCAL TERMS: a, Complete Agreement; Choice ofLaw; Venue; Severability: This AGREEMENT is the complete statement of the AGREEMENT between the parties on the subject matter, and merges and supersedes all other or prior understandings, agreements, and This AGREEMENT shall be governed byt thel laws ofthe State ofNorth Carolina. arrangements. jurisdiction and venue for all matters relating to this AGREEMENT shall be Exclusive in located in the State of North Carolina, and Consultant and courts jurisdiction and venue. Ifany ofthe provisions ofthis. AGREEMENT Municipality consent to such arei invalid under applicable statute or rule of law, they are, to that extent, modified to conform with such any applicable statute or rule oflaw. b. NORTH CAROLINA PUBLIC RECORDS LAW: Notwithstanding provisions of this Agreement, this Agreement and all materials submitted any other to the MUNICIPALITYbyI the CONSULTANT aresubject to thej publicrecords! laws ofthe State ofNorth Carolina and it is the responsibility of the CONSULTANT to materials that may be protected from disclosure as trade secrets under North properly Carolina designate law as such and in the form required by law prior to the submission of such materials to the MUNICIPALITY. CONSULTANT understands and agrees that the take any and all actions necessary to comply with federal, state, MUNICIPALITY, and local laws and/or may judicial orders and such actions will not constitute a breach ofthe terms oft this To the extent that any other provisions of this Agreement conflict with this paragraph, Agreement. the provisions of this section shall control, C. E- VERIFY: CONSULTANT shall comply with E-Verify, the federal E-Verify: operated byt thel United States Department ofHomeland Security and other: federal program ora any successor or equivalent program used to verifythe work authorization ofnewlyk agencies, hired employees pursuant to federal law and as in accordance with N.C.G.S. 864-25 et In addition, to the best of CONSULTANT's knowledge, any subcontractor seq. CONSULTANT as a part of this contract shall be in compliance with the requirements employed by of E-Verify and N.C.G.S. $64-25 et seq. d. RAN: DIVESTMENT ACT: CONSULTANT certifies that, as ofthe date listed below, itis not on the. Finall Divestment List as created byt the State Treasurer pursuant toN.C.G.S. S 147-86.55, et seq. In compliance with the requirements of the Iran Divestment Act and N.C.G.S. $ 147-86.59, CONSULTANT shall not utilize in the performance ofthe contract any subcontractor that is identified on the Final Divestment List, e. COMPANIES BOYCOTTING ISRAEL DIVESTMENT ACT: CONSULTANT certifies that it has: not been designatedl Ibyi thel North Carolina StateTreasurer: as a company engaged in the boycott ofIsrael pursuant to N.C.G.S. 147-86.81. f. TERM AND TERMINATION: This Agreement shall begin on the effective date oft this agreement and shall end when terminated at the discretion of either party. All expenditures under this Master Agroement must be obligated on or before December 31, 2024, and expended on or before December 31, 2026. Unloss otherwise terminated, this Agreement shall expire on December 31, 2026. The Municipality may terminate this Agreement, in whole or in part, at any time upon written notice to the CONSULTANT and the League. The Consultant shall complete ongoing implementation and shall be paid its costs, including contract close-out costs, and profit on work performed up to the time of termination. If the Consultant has any property in its possession belonging to the Municipality, the Consultant will account for the same, and dispose of it in the manner the Municipality directs. INDEPENDENT CONTRACTOR: CONSULTANT shall be considered to be an g. Independent Contractor and as such shall be wholly responsible for the work to be performed and for the supervision of its employees. Nothing herein is intended or will be construed to establish any ageny,partnership, orjoint venture. CONSULTANT represents that it has, or will secure at its own expense, all personnel required in performing tho services under this Contract. Such employees shall not be employees of or have any individual contractual relationship with the MUNICIPALITY. h, NO ASSIGNMENT: Neither party may assign this AGREEMENT without the express written consent oft the other. 4. FEDERAL TERMS: 1. Expenditure. Authority, This Agreement is subjectto thelaws, regulations, and guidance documents authorizing and implementing the ARP/CSLERF grant, including, but not limited to, the following: Authorizing Statute. Section 603 of the Social Security Act (42 U.S,C. 803), as added by section 9901(a) of the American Rescue Plan Act of 2021 (Pub, L, No. 117-2). Implementing Regulations. Subpart A of 31 CFR Part 35 (Coronavirus State and] Local Fiscal Recovery) Funds), as adopted in the Coronaviras State and Local Fiscal Recovery Funds interim final rule (86 FR 26786, applicable May 17, 2021 through March 31, 2022) and final rule (87 FR 4338, applioable January 27, 2022 through the end of the ARP/CSLFRF award term), and other subsequent regulations implementing Seotion 603 ofthe Social Security Act (42 U.S,C. 803), Guidance Documents. Applicable guidance documents issued to-time by the US Department of' Treasury, including the from time- of the Compliance and Reporting Guidance: State and Local currently Fiscal applicable version Recovery Funds, This Agreement is also subject to all applicable laws ofthe State ofNorth Carolina. 2. Allowable Costs for Member Services Rendered. All Services provided pursuant to this, Agreement must fall with the cost and not be otherwise prohibited under State or Federal law. definitions ofallowable Title 2U.S. Code ofFederal Regulations Part 200, Uniform. Administrative! Cost Principles, and Audit Requirements for Federal Awards, commonly calied Requirements, Guidance, Subpart E, defines those items of cost that are and Uniform unallowable. These allowable cost allowable, which are requirements are: 1, The costs must bei reasonable; 2. The costs must beallocableto eligibleprojects under the Coronavirus State and Fiscal Recovery Funds ofH.R. 1319 American Rescue Plan Act of 2021 Local 3. The costs must be given consistent treatment throngh application of those (ARP); accepted accounting principles appropriate to the circumstances; generally 4. The costs must conform to any limitations or exclusions set forth in these in the ARP/CSLFRF grant award as to types or amounts of cost items. principles or 3. Prohibited Uses of Funding, The US Treasury's Final Rule prohibits certain uses of ARP/CSLERE funds. ARP/ CSLFRF funds may not be used for projects within the following Specifically, expenditures: categories of 1. To make a deposit into aj pension fund that constitutes an extraordinary accrued, unfinnded liability (routine contributions which arej part ofaj payment of an an eligible project are allowed.); payroll obligation for 2. Tol borrow: money or make debts service payments; 3. Toi replenish rainy day funds ort to fund other financial reserves; 4. To satisfy an obligation arising from a settlement agreement,j consent or judicially confirmed debt restricting in a judicial, judgment, decree, proceeding; administrative, or regulatory 5. For a project that includes a term or condition that undermines efforts to of COVID-19 or discourages compliance with recommendations and stop the spread guidance for stopping the spread of COVID-19; guidelines in CDC 6. In violation of the confict-of-interest requirements imposed by the award CFR 200.318(c). terms and 2 7. For any expenditure that would violate other applicable federal, laws and: regulations. state, and local 4. Conflicts ofInterest; Gifts & Favors, The Consultant understands that (1) it will use. Fiscal Recovery Funds to of this Agroement, and (2) the expenditure of Fiscal Recovery Funds is pay for the cost League's Conflict of Interest Policy and the Federal and State regulatory governed by the (including, without limitation, N.C. Gen, Stat. 8 14- 234(a)(1) and N.C. Gen. requirements Stat. S 14- 234.3(a). The Consultant certifies that, as of the date hereof, to the best of its knowledge after reasonable inquiry, no employec, officer, or agont of the Consultant involved in the selection, award, or administration of this Agreemont (each, a' "Covered Individual"), nor any member of a Covered Individual's immediate family, nor a Covered Individual's partner, nor an organization which employs or is about to employ a Covered Individual, has a financial or other interest in or has received a tangible personal benefit from Fiscal Recovery Funds, except as to the funds legally expended in this Agreement. Should the Consultant obtain knowledge of any such interest, or any tangible personal benefit described in the preceding sentenoe after the date hereof, the Consultant shall promptly disclose the same to the League in writing. The Consultant certifies to the League that it has not provided, nor offered to provide, any gratuities, favors, or anything of value to an offiçer, employee, or agent of the League. Should the Consultant obtain knowledge of the provision, or offer of a provision, of any gratuity, favor, or anything of value to an officer, employee, or agent described in the preceding sentence after the date hereof, the Consultant shall promptly disclose the same to the League in writing, 5. Records. Retention and Access. The Consultant shall maintain all: records, books, papers and other documents related to its performance of Approved Activities under this Agreement (including without limitation personnel, property, financial and medical records) through at least December 31, 2031, or such longer perlod as is necessary for the: resolution of any litigation, claim, negotiation, other this Agreement. The Consultant shall make all records, audit, or inquiry involving this unless otherwise books, papers and other doouments that relate to Agreement, privileged, available at all reasonable times forinspection, review oraudit bythe authorized representatives of the League, the North Carolina State Auditor, the US Department of Treasury, the US Government Accountability Office, and any other authorized state or federal oversight office. 6. Suspension and Dobarment. The Consultant shall comply with the Office of Management and Budget (OMB) Guidelines to Agencies on Governmentwide Debarment and Suspension (Nomprocurement) in 2 CFR Part 180, as adopted by the" U.S. Department of Treasury at 31 CFRPart 19. The Consultant represents that neitherit, nor any ofits principals has been debarred, suspended, or othetwise determined ineligible to participate in federal assistance awards or contracts. The Consultant further agrees that it will notify the League immediately if it, or any of its principals, is placed on the list of parties excluded from federal procurement or: nonprocurement programs available at www.sam.goy, 7. Byrd. Anti-Lobbying Amendment. The Consultant certifies to the League that it has not used and will not use Federally appropriated funds to pay any person or organization for influencing or attempting to influence an officer or employee ofany agency, a Member ofCongress, officer or employee of Congress, or an employee of a Member of Congress in connection with obtaining any Federal contract, grant or any other award covered by 31 U.S.C. $ 1352. The Consultant shall disclose any lobbying with non-Federally appropriated funds that takes place in connection with obtaining any. Federal award. This certificationis amaterial representation of fact upon which the League has relied when entering this Agreement and all liability arising from an erroneous representation shall be bornesolely byt the Consultant. 8. Publications. Any publications produced with funds from this Agreement shall display the language: "This project is supported, in whole or in part, by federal award following SLFRP0129 awarded to NCI League of Municipalities through the State of North Carolina number by thel U.S. Department of the Treasury." 9, Equal Opportumity and Other Relevant Federal Laws The Consultant agrees during the performance ofthis Agreement the: following: Civill Rights] Laws, The Consultant shall comply with Title VI of the Civil Rights Act of 1964 2000d et seq.) and Treasury's implementing regulations at 31 C.F.R. Part (42 U.S.C. SS prohibit discrimination on the basis of race, color, or national origin under 22, which activities receiving federal financial assistance, programs or Eair Housing) Laws. The Consultant shall comply with the Fair Housing Act, Title VII of the Civil Act of1968 (421 U.S.C. 88 3601 et seq.), which prohibits discrimination in housing on Rights thel basis ofi race, color, religion, national origin, sex, familial status, or disability. Disability Protections. The Consultant shall comply with section 504 ofthe Rehabilitation Act of1973 U.S.C. 794), which prohibits discrimination on thel basis of disability under (29 receiving federal financial assistance. any program or activity Age) Discrimination, The Consultant shall comply with the Age Discrimination Act of 1975 (42 U.S.C, 6101 et seq.), and Treasury's implementing regulations at 31 CFR Part 23, which 88 discrimination on the basis of age in programs or activities receiving federal financial prohibit assistance. Americanswith Disabilities Act. The Consultant shall comply with Title I of the. Americans with Disabilities Act of 1990 (421 U.S.C, SS 12101 et seq.), which prohibits discrimination on the basis of disability under programs, activities, and services provided or made available by state and local governments or instrumentalities or agencies thereto. Clean AirAct. The Consultant agrees to comply with all applicable standards, orders or regulations issued pursuant to the CleanAir Act, as amended, 421 U.S.C. $ 7401 et seq. The Consultant to report each violation to Unit and understands and agrees that Unit will, in agrees each violation as required to the U.S. Departmont of the Treasury, and the turn, report Environmental Protection Agency Regional Office. appropriate Eederal Water Pollution Control Act. The Consultant agrees to comply with all applicable standards, orders, or regulations issued pursuant to thel Federal Water Pollution Control Act, as amended, 33 U.S.C. $ 1251 et The Consultant agrees to report each violation to Unit and understands and agrees that Unit seq. will, ini tum, report each violation as required to assure notification to the U.S. of the Treasury, and the appropriate Environmental Protection. Agency Regional Department Office. Hatch Act. The Consultant agrees to comply, as applicable, with requirements of the Hatch Act (5 U.S.C. SS 1501-1508 and 7324-7328), which limit certain political activities of State or local government employees whose principal employment is in connection with an activity financed in whole or: in part by this federal assistance. Protections for Whistleblowers- Pursuant to 41 U.S.C. 8 4712, the Consultant may not discharge, demote, of otherwise discriminate against an employee in teprisal for disclosing to any oft the list of persons or entities provided below, information that the employee reasonably believes is evidence of gross mismanagement ofai federal contrect 01 grant, a gross waste off federal funds, an abuse ofauthotityrelating: to a federal contract or grant, a substantial and specific danger to public health or safety, or a violation of law, rule, or regulation related to a federal contract (including the competition for of negotiation of a contract) or grant, Uniform] Relocation Assistanceand Rell PrunertyAcquislions. Actof1970. Pursuant to 42 U.S,C, 88 4601-4655, the Consultant will implement standards for predictable real property acquisition and relocation expenses for homeowners and tenants of1 land aoquired through eminent domain. Goyermnentwide Reqmirements for Drug-Erce Workplace Pursuant to 31 CF.R. Part 20, the Consultant will implement required statements, policies and procedures. Incrensing Seat] BetUseint the] UnitedStates. Pursuant to Exeçutive Order 13043, 62 Fed. Reg. 19216 (Apr. 18, 1997), the Consultant encourages its employees to adopt and enforce on-the-job seat belt policies and programs for: its employees when operating compary-owned,remiod orj personally owned vehicles. Reducing Text Messaging While) Driving, Pursuant to Executive Order 13513, 74 Fed, Reg. 51225 (Oct. 6, 2009), the Consultant encourages its employees to adopt and enforce policies that ban text messaging while driving. Exhibit B Description of Services Exhibit B1: Accounting, Instruction, and Mentorship (AIM) Program of accounting and accounting assistance needed to bring a municipality's examples records General Accounting Duties: up- to-date: Resolution ofreconcilingi items with needed corrections to the General Ledger's pooled cash by appropriate fund Updates ofbudget transfers and amendments Filing ofa any outstanding required financial reports and certifications to the State and IRS Completion ofmonthly bank statement reconciliations for all monthly: periods identified Resolution ofreconciling items with needed corrections to the General Ledger's pooled cash by appropriate fund Updating of the General Ledger and accounting system for any unposted items Verification that payroll processes and documentation are current. Verification that financial records are backed up by the municipality Verification that applicable subsidiary files agree with the Balance Sheet account(s) Verification that the trial balance is balanced Monthly Utility Fund Duties (As applicable): Verification that the utility accounts receivable account is balançed to customer subsidiary files Verification that other applicable subsidiary files, such as for deposits and payment plans, arel balanced to the Balance Sheet Review and verification that billing adjustments and cut-offs are current Audit Preparation and Year-End Duties (As applicable): Participation with auditor and unit in an audit planning meeting prior to the end oft the fiscal year General Ledger year-end review and adjustments Organizing and filing of documents and files used in audit Assistance with other audit related duties as approved by the League and municipality All work completed for participants under the AIM program must be invoiced clearly indicating work completed falls under the description ofservices in the. AIM program as described above, Timeline ofWork to be Completed Catch-Up Work Needed Anticipated Description Completion Date Bank Reconciliations for following bank August 15, 2025 Analyze deposits in water ands sewer and general jaccounts forl FY 2024 and FY 2025 fund accounts from payment contral to general ledger Water and Sewer and back to bank statemonts, analyze activity in GF General) Fund and PR accounts for missing data, oreatejournal Powell Bill entries for posting, and tiei reconciled balance to NCCMT- - General Fund general ledger. Reconcile all accounts to 6/30/2025 NCCMT- - Water and Sewer Fund to allow staffto work on1 FEMA and] DEQI projects First Citizens Bank Money Market due to Helene. Ensute. ACH credits and debits are Policel Department Drug Fund proporly recorded and accounted fori in tho general Certificate(s) of Deposit ledger. NCCMT accounts. MM and CD1 bank reconciliationsi may requiro additional time in FY 2024 due to transfers between accounts due to bigh project expenditures which resulted in town's dire cash flow needs. WS deposit account may require additional time due to: former FO unfamiliarity with double entry/fund accounting, Property' Tax Reconciliation: FY: 2024 and August 15, 2025 Analyze payments received andl levy per county and' TR- FY2 2025 21 report and reconcile payments from payment central records to general ledger receivables, deferred revenue andr revenue accounts. Ensure penaltics, interest, fees colleoted andj paid arei reconciled to county and general ledger. FY2025 - reconcile monthly! to GL as bank recs are completed. Createj joural entries for activity for posting by town staff. Added additional time FY2024 duet to inexperience oft previous finance officer. Payroll Reconoiliation, including August 31, 2025 Payroll reconciliation of salaries and bancfits compensated absences for FY 2024 and expenditures activily to GL andi reconciliation of fringe benefits and liabilities toj payable accounts and 941's and 2025. other payroll reports as completed. Earlier periods will take additional time due to internal recordis may be incomplete. Reconcile any debit balances. Also provide information to auditor for compensated absences disclosuret requirements. Accounts Payable Reconciliation for FY August: 31 2025 Analyze GL and review subsequent! period cash 2024 and FY 2025 disbursements and tie or adjust unrecorded liabilities to the general ledger. For FY 2023 and FY: 2024 ensures any necessaryj joumal entries are drafted for posting by town personnel. FY 2025 analyze general ledger as bank reconciliations: areoccurring. Interfund Activity Reconciliation for FY August 31, 2025 Analyze interfund loans andt transfers to reconoile 2024 and FY 2025 correspondingi fund accounts balance across funds. Curreatiy the FY 2023 balances do not tic. Looate corresponding unrecorded transactions and provide journal entries to towh staff for recording to reconcile general ledger accounts. Additional timei is needed due to out ofbalançe condition of triall balance between GF and wS whichi indicates incorrect or missing entries between funds in records and Town's usec of funds for projects, Utility Reconciliation to General Ledger September 30, 2025 Review billing reports for FY 2023 and FY 2024 andt ties FY2 2024 and FY 2025 to1 reyenuec recorded in GL. Tie customer subsidiary balances to acoount balance in GL. Perform FY 2025 as a monthly reconoiliation to provido town monthly reports for auditors, Accounts Receivable from other sources September 30, 2025 Analyze for approprlate posting of restrioted revenues and restricted shared revenues from capital projects and intergovermmental sources. reconciliation FY: 2024 and 2025, Createj journal entries for town staff and tie to general ledger, Capital Assets FY 2024 and FY2 2025 Septomber 30, 2025 Scan general ledger for asset acquisitions above town capitalization threshold and assist town in compiling information for auditors to vouch additions. Similar process for disposals, Assist with update of capital asset lists if needed andr required by auditor Catch-Up Work. Needed Anticipated Description Debt Service Analysis FY 2024 and FY September Completion 30, 2025 Date 2025 Review debt service payments andi reconcile to Reconoilel Fund Balance FY: 20248 and FY September 30, 2025 amontization schedules andLGCi information, 2025 Reconcile fund balance toj prior year audit located out ofbalance conditions and providej joumal entries any for Review finnl unaudited trial balance: for December 31, 2025 correotions, Trial balance submissiont to auditors prepared and tied to results from above activities. Estimated total cost for this scope of services; $66,543. TOWN OF NEWLAND Council Members 301 CRANBERRY STREET Derek Roberts, Mayor P.O. BOX 429 Gail Haller, Mayor Pro Tem Newland, N.C. 28657 Dave Calvert www.towmofnewlandors Kenan Foxx HE CA ) Christie 828.733.2023 Hughes James Johnson BUDGET AMENDMENT #2 BE IT ORDINANED by the Governing Board of the Town of Newland, North Carolina, that the following amendment be made to the annual budget ordinance for the Fiscal Year ending June 30, 2025. Section 1. To increase appropriations in Fund 30, Water/Wastewater in the amount of $87,906.62 to reflect Insurance Proceeds = Helene. Section 2. Water and Wastewater Operations shall be increased from $563,332.00 to $651,239; Account 54010 (Repairs and Maintenance) shall be increased by $87,906.62. Water/Sewer Operations $630,239 Debt Service 21,000 Total Appropriations $651,239 Section 3. Copies of this Budget Amendment shall be furnished to the Clerk, to the Governing Board, and to the Finance Officer to be kept on file by them for their direction in the disbursement of funds. Adopted this 4th day gfFebruary 2025. Derek. A. Roberts, Mayor Attest: Gusica Buchonan Jessica Buchanan, Town Clerk