* - * Agenda Budget Worksession #8 - Thursday, April 17, 2025 at 3:00 PM - - Administration Building Auditorium 1792 auson Covs 414 North Main Street, Madison, Virginia 22727 Call to Order, Pledge of Allegiance & Moment of Silence Determine Presence of a Quorum/Adoption of Agenda Public Comment FY26 Budget Worksession 1. Finalization of the FY26 Budget = Finance Director & County Administrator Public Comment Closed Session Adjourn 149 IPag ge e MADISON COUNTY BOARD OF SUPERVISORS' MIEETING Date: 3:00PM Thursday, April 17, 2025 Location: Admin. Building Auditorium, 414 N. Main Street MIEETING #21 April 17th At a Budget Worksession (#7) of the Board of Supervisors on Thursday, April 10th at 3:00PM in the Admin. Building Auditorium: PRESENT: R. Clay Jackson, Chairman Carty Yowell, Vice-Chairman Jud Buchanan, Member Dustin Dawson, Member James Jewett, Member Jonathon Weakley, County Administrator Brian Gordon, Deputy County Administrator Jennifer Warren, Finance Director Kimberly Turner, Deputy Clerk ABSENT: Hannon Wright, County Attorney CALL TO ORDER, PLEDGE OF ALLEGIANCE & MOMENT OF SILENCE Chairman Jackson called the Board to order. Chairman Jackson stated he would like to start with the Pledge of Allegiance and follow with a moment of silence. DETERMINE PRESENCE OF A QUORUMIADOFTION OF AGENDA Chairman Jackson advised that a quorum was present. After discussion, the Board amended the following to the agenda: Added Closed Session: 2.2-3711(A)(1) for personnel. Vice-Chairman Yowell made a motion to approve the agenda as amended, seconded by Supervisor Dawson. Aye: Jackson, Yowell, Buchanan, Dawson, Jewett. Nay: (0) Abstain: (0) Absent: (0). PUBLIC COMMENT Chairman Jackson opened the floor for public comment. Jim Smith: Mr. Jim Smith from Brightwood spoke on behalf ofhis wife Mrs. Kim Smith, who suggested flatlining requests for the budget before seeking more funding from taxpayers. With there being no further public comment brought forth, the public comment opportunity was closed. 150 IPage FY26 BUDGET WORKSESSION 1. Finalization of the FY26 Budget - Finance Director & County Administrator The County Administrator provided an overview ofthe finalization of the FY26 budget. The County Administrator discussed the Joint CIP meeting with School Board members and School Administration, highlighting the need for borrowing for capital projects. The County Administrator outlined the capital needs for the County and Schools, emphasizing the need to reduce the borrowing amount to $4 million. The Board and staff discussed the County's Capital Improvement Plan (CIP) list line by line. During this discussion, the County Administrator provided a detailed review of the county facilities, starting with the circuit courthouse. The County Administrator listed various projects for the Circuit Courthouse, including window replacement, door improvements, fire suppression, and security camera upgrades. The County Administrator mentioned a spreadsheet he created that captured projects with 15 years or more life cycle spans, in which he recommended the Board use debt services to fund. There was further discussion about Davenport's suggested debt services, highlighting the recommendation to have a 2-cent increase and borrowing $4 million, while earning interest in a SNAP account. The County Administrator continued providing a detailed review oft the County's facilities, including the War Memorial Building, Social Services, and the Sheriff's Office. The County Administrator emphasized the importance of grouping projects to reduce costs and improve efficiency. The Board continued to review and adjust the capital budget, removing unnecessary projects and reducing costs for various facilities. The Finance Director led the discussion on debt services and financial policies. The Finance Director discussed the impact ofthe asset maintenance replacement and enhancement policy on the fund balance. The Finance Director explained the need to set aside each year 2.5% ofthe replacement value ofthe County's facilities. There was further discussion regarding the financial policies that required the 2.5% to be set aside at the end ofthe FY25, as well as the 18% that must remain in the fund balance. The Finance Director provided various budget models, including scenarios with different tax increases and debt funding amounts. The current scenario involved a two-cent real estate tax increase and borrowing $4 million, with a focus on maintaining the 18% fund balance minimum. The Finance Director explained the current financial situation based on the FY25 audit, noting that the County was on track with expenses and revenues, with a potential 5200,000-300,000 contingency to fall to fund balance at the end ofFY25. The Finance Director detailed the fund balance, debt stabilization, and joint services stabilization numbers, including $350,000 set aside forj joint services. The contingency fund is calculated to be $293,003.90, including a $15,000 151 I Pa g e allocation for a third attorney position. Metrics such as net general bonded debt as a percentage of assessed value were discussed, with targets below 3% and 10%. The County Administrator discussed the importance of maintaining a sufficient fund balance for emergencies. There was further discussion about the impact of a two-cent increase on the opening balance appropriation, and fund balance. Chairman Jackson emphasized the need to consider staffing levels and potential savings. The County Administrator mentioned previous admin revisions that reduçed over a million dollars. The County Administrator reviewed the current open positions. The Finance Director provided details on the fringe benefits and salary ranges for various positions. Chairman Jackson discussed potentially cutting the Animal Shelter part-time position and the Building and Zoning Permit Technician position salary. Chairman Jackson recommended maintaining the IT position. The County Administrator highlighted the importance of maintaining certain positions, such as the IT position and the Building and Zoning Permit Tech position. Vice-Chairman Yowell and Chairman Jackson discussed the potential impact of reducing the salary and the importance of maintaining the position's effectiveness. There was further discussion about the increase in permit applications and the salaries for the Building and Zoning Permit Technician position. The Finance Director explained the current budget and the potential impact of converting the part-time Parks and Recreation position to full-time. There was further discussion regarding the potential conversion from a part-time position to a full-time position and the Building and Zoning Permit Technician position. Chairman Jackson summarized the Board's recommendations for clarification: removing the animal shelter position, reducing the Building and Zoning Permit Technician position salary by $20,000, and converting the Parks and Recreation position to 30 hours. Supervisor Jewett thanked the county staff for their efforts and emphasized the need for long- term capital planning. Vice-Chairman Yowell thanked the School System for their efforts as well. PUBLIC COMMENT 152 IPage - e Chairman Jackson opened the floor for public comment. With there being no public comment brought forth; the public comment opportunity was closed. CLOSED SESSION 2.2-3711(A)(1) Vice-Chairman Yowell made a motion to convene in closed session pursuant to Virginia Code Section 2.2-3711(A)(1) for personnel, seconded by Supervisor Dawson. Aye: Jackson, Yowell, Buchanan, Dawson, Jewett. Nay: (0). Abstain: (0) Absent: (0). Vice-Chairman Yowell made a motion to re-convene in open session, seconded by Supervisor Dawson. Aye: Jackson, Yowell, Buchanan, Dawson, Jewett. Nay: (0) Abstain: (0). Absent: (0). Vice-Chairman Yowell made a motion to certify by roll-call vote that only matters lawfully exempted from open meeting requirements pursuant to Virginia Code Section 2.2-3711(A)(1) and that was identified in the motion to convene in closed session were heard, discussed, or considered in the closed meeting, seconded by Supervisor Dawson. Aye: Jackson, Yowell, Buchanan, Dawson, Jewett. Nay: (0) Abstain: (0). Absent: (0). As a result ofthe Closed Session, the Board did not take further action. ADJOURN With there being no further business to conduct, Supervisor Jewett made a motion to adjourn, seconded by Supervisor Dawson. Aye: Jackson, Buchanan, Dawson, Jewett. Nay: (0) Abstain: (0). Absent: Yowell. R. Clay Jackson, Chairman Madison County Board ofSupervisors Jonathon Weakley, Clerk Adopted on: May 13, 2025. 153 IPage