Lou’s Views

“Unofficial” Minutes & Comments


BOC’s Special Meeting 08/06/18

 1. PUBLIC HEARING: FIRM Map Adoption and Amendments to Flood Damage Prevention Ordinance

 Previously reported – February 2018
Flood Insurance Rate Maps (FIRM)
The preliminary maps were published in August 2014. In February 2018 the Town received approval from FEMA for revisions to the Holden Beach Flood Insurance Rate Maps (FIRM). These map revisions will be effective August 28, 2018 once the Town formally updates our local ordinances. The Town staff is working on an implementation schedule and anticipates being able to use the new maps for construction in late May.

Previously reported – April 2018
North Carolina General Statutes require public hearings for adoption and amendment of land use ordinances, and a Flood Damage Prevention Ordinance is considered a land use ordinance.

The Town needs to adopt FPM Ordinance for it to be effective on August28, 2018. Tim will submit Ordinance at the next scheduled regular meeting for the BOC’s approval. We can start using the preliminary maps once we adopt the Ordinance. But we can’t get a reduction in our flood insurance rates until the new maps become effective at the end of August.

TOWN WEBSITE –
The Town has received approval from FEMA for revisions to the Holden Beach Flood Insurance Rate Maps (FIRM). These map revisions will be effective August 28, 2018 once the Town formally updates our local ordinances. The Town staff is working on an implementation schedule and anticipates being able to use the new maps for construction in late May. These maps may be viewed at http://www.ncfloodmaps.com.

Previously reported – May 2018
The Board has scheduled to hold a Public Hearing at the BOC’s June Regular Meeting on June 19th

Previously reported – June 2018
Noel Fox the Town Attorney legal recommendation was to change the meeting agenda and remove the Public Hearing and other agenda items related to this.

Previously reported – July 2018
A very specific process must be followed
Last month implementation was delayed due to a procedural issue
This month it was delayed in order to meet the timeline requirements
The Board scheduled a Public Hearing and to Adopt the Ordinance for August 6th

Update –
Planning Director Evans briefly addressed the situation and the reason for the changes.

The abridged version is as follows:
.     1)
Town is required, as a condition of continued eligibility in the National Flood       .          Insurance Program, to adopt these maps
.     2)
Community Rating System impacted allowing us to get lower insurance rates
    3)
We modeled our ordinance after the federal ordinance
    4)
Ordinance has been preapproved by FEMA

The National Flood Insurance Program’s (NFIP) Community Rating System (CRS) is a voluntary incentive program that recognizes and encourages community floodplain management activities that exceed the minimum NFIP requirements. As a result, flood insurance premium rates are discounted to reflect the reduced flood risk resulting from the community actions meeting the three goals of the CRS:
.      1)
Reduce flood damage to insurable property;
     2)
Strengthen and support the insurance aspects of the NFIP, and
.      3)
Encourage a comprehensive approach to floodplain management.

2. Discussion and Possible Approval of FIRM Maps and Amendments to the Flood Damage Prevention Ordinance
a.
Statement of Consistency
b.
Resolution 18-09, Resolution to Adopt the Effective Flood Insurance Study and Its Accompanying Flood Insurance Rate Maps
c. Ordinance 18-13, An Ordinance Amending the Holden Beach Code of Ordinances, Chapter 154: Flood Damage Prevention

a. Statement of Consistency
Agenda Packet –
Statement of Consistency
The Town of  Holden Beach  Board of Commissioners  hereby  recommend approval of the 2018  flood maps and finds (i) FEMA has updated the Town’s  Flood Insurance Rate Maps (FIRM) and the Town is required, as a condition of continued eligibility in the National Flood Insurance Program (NFIP), to adopt these maps; (ii) these  maps are inconsistent  with  the current  flood and Town  zoning maps contained within the CAMA Land Use Plan and (iii) that it is in the public’s  interest because it will promote public health, safety and general  welfare within our community by establishing  provisions to minimize public and private losses due to flood conditions within flood prone areas. Upon approval by the Board of Commissioners, the CAMA Land Use Plan will be deemed amended and shall not require any additional request or application for amendment.

 A decision was made – Approved unanimously

 b. Resolution 18-09, Resolution to Adopt the Effective Flood Insurance Study and Its Accompanying Flood Insurance Rate Maps
Agenda Packet –
RESOLUTION 18-09
RESOLUTION TO ADOPT THE EFFECTIVE FLOOD INSURANCE STUDY AND ITS ACCOMPANYING FLOOD INSURANCE RATE MAPS (FIRM)

WHEREAS, the Town of Holden Beach has enacted a Flood Damage Prevention Ordinance to control land development within all Special Flood Hazard Areas within the jurisdiction, including extra-territorial jurisdiction (ETJ) if applicable, of the Town and within the jurisdiction of any other community whose governing body agrees, by resolution, to such applicability; and

WHEREAS, in order to comply with the minimum criteria of the National Flood Insurance Program (NFIP) [44 CFR 60.3(d) and (e)] and NC Session law 2000-150, Senate Billl341[NCGS 143.-215.51-.61], the Town of Holden Beach must adopt the effective Flood Insurance Study (FIS) and its accompanying Flood Insurance Rate Maps (FIRM); and

WHEREAS, at the duly held meeting on June 26, 2018, the Planning & Zoning Board recommended approval of the proposed adoption of the new flood maps; and

WHEREAS, the Town of Holden Beach conducted   a duly advertised public hearing on the draft amendments to the effective FIS and its accompanying FIRM at a Special Meeting of the Board of Commissioners on August 6,2018.

THEREFORE, BE IT ORDAINED by the Town of Holden Beach Board of Commissioners that the effective

FIS and its accompanying FIRM are hereby adopted.

A decision was made – Approved unanimously

c. Ordinance 18-13, An Ordinance Amending the Holden Beach Code of Ordinances, Chapter 154: Flood Damage Prevention
Agenda Packet –
TOWN OF HOLDEN BEACH ORDINANCE 18-13
AN ORDINANCE AMENDING THE HOLDEN BEACH CODE OF ORDINANCES,
CHAPTER 154: FLOOD DAMAGE PREVENTION

Town of Holden Beach Planning & Zoning Board
Statement of Consistency and Zoning Recommendation
The Town of Holden Beach Planning & Zoning Board hereby recommends approval of the 2018 Flood Maps and finds: (i) FEMA has updated the Town’s Flood Insurance Rate Maps (FIRM) and the Town is required, as a condition of continued eligibility in the National Flood Insurance Program (NFIP) to adopt these maps.  (ii) These maps are inconsistent with the current flood and Town zoning maps contained -within the CAMA Land Use Plan and (iii) that it is in the public’s interest because it will promote public health, safety, and general welfare within our community by establishing provisions to minimize public and private losses due to flood conditions within flood prone areas. Upon approval by the Board of Commissioners the Comprehensive Plan will be deemed amended and shall not require any additional request or application for amendment.

A decision was made – Approved unanimously

We never adopted Ordinance 18-11, it was replaced with Ordinance 18-13.
The revised version included the verbiage that we were advised to use.

Holden Beach adopts updated flood maps
Holden Beach commissioners at a special meeting Aug. 6 unanimously voted to adopt the 2018 flood maps updated by Federal Emergency Management Agency. The town is required, as a condition of continued eligibility in the National Flood Insurance Program, to adopt the maps. Information provided to commissioners showed the maps are unconfident with the current flood and town zoning maps contained within the Coastal Area Management Act Land Use Plan. Holden Beach Planning & Inspections director Tim Evans told commissioners Monday that once they approved the maps, the CAMA Land Use Plan would be deemed amended. Preliminary town maps were published August 2014 and FEMA approved revisions to the Holden Beach Flood Insurance Rate Maps in February. The revisions are to take effect Aug. 28.
Read more » click here

3. Public Comments on Agenda Items

Comments were made regarding the Water and Sewer Development Fee as follows:

Elaine Jordan –
Mandate included language that specifically said “do not unduly burden new development” which this does. It was not required to adopt the maximum fee schedule we could approve less. Most of the community including contractors and realtors were unaware of the significant increase. She felt that they did not understand the impact based on what was presented to the public. Applauded the request for answers to FAQ’s and requested they fix the fee schedule.

Barbara Andrews –
Spoke to appraiser who informed her that the appraisal does not recognize these fees and would negatively impact appraisals

 Gerald Brown –
People are outraged, what were they thinking?
He spoke about the significant increase in fees
Five (5) bedroom permit was $7,000 now costs $22,000 a difference of $15,000

Rick Nelson –
Asked if any of the Board actually did the calculations
Questioned whether they knew what they approved
Suggested that this would have a serious negative impact to the entire local economy
Their position that this was mandated, and they followed all the protocols doesn’t cut it
The Mayor’s building company contractor didn’t know the impact
The Town building department staff didn’t know the impact
If they didn’t know then how can they expect the public to know?

4. Discussion and Possible Action on the Department of Transportation’s Request for a Recommendation on Safety Rail for the Holden Beach Bridge – Town Manager Hewett
Agenda Packet –
Safety Railing for the Holden Beach Bridge
It is the intent of the Department of Transportation to provide a bicycle/pedestrian railing atop the Town’s concrete bridge barrier, as an added safety improvement. They would like feedback from the Town on a preferred option for the safety rail. It seems as though they need an answer sooner than our normal meeting schedule allows.

I don’t think it is the manager’s call on this and feel the Board should review and make the recommendation.  Please see the attached pictures and let me know if you have any questions.

Bridge Health Index
NCDOT is committed to measuring and improving its overall performance. One of the department’s goals is to make the state’s infrastructure last longer by setting a target for at least 70 percent of bridges rated to be in good condition or better. Good means that the bridge can safely carry the typical-sized commercial or passenger vehicles for that route. To achieve this goal, the department uses a data-driven strategy to improve the overall condition of all bridges in North Carolina by focusing taxpayer dollars where they’re needed most.

North Carolina Department of Transportation selected Holden Beach bridge as a High Value Bridge. They have allocated funding to make safety improvements and improve the expected life expectancy of the bridge. Work includes adding bicycle / pedestrian railing a safety improvement and also do basic repair to the substructure. NCDOT will pay the entire estimated $1.5 million to $2.0 million cost of the project. Work on the bridge is scheduled to begin in September. The estimated time frame to complete the work is the better part of eighteen months.

Chad Kimes Deputy Division Engineer informed the Board that NCDOT intends to install a bicycle / pedestrian railing on top of the concrete bridge barrier, which does not meet current safety standards, as a safety improvement. He asked the Board for feedback regarding what look did they want. The Board was given the opportunity to choose whether the rails would be vertical or horizontal and also to select the color.  

The Board chose to have three horizontal railings with an aluminum finish atop the concrete bridge barrier.

 A decision was made – Approved (4-1)

Town Manager David Hewett said the bridge was never intended for bicycle and pedestrian traffic and putting up the railing up may give people the wrong impression. Commissioner Butler agreed with David and voted against the motion essentially saying we were creating an attractive nuisance. David asked whether the funds could be used to pave Ocean Boulevard West. Chad said the monies for resurfacing and for the bridge project are separate, so NO.

 

In 1986 a new high-rise bridge replaced the turn-table bridge structure that was built in 1954. Of all the bridges to the Brunswick beaches the one to Holden Beach appears to be the highest and hooks far to the right as you get to the ocean side.

Why is the bridge so high?
N.C. Department of Transportation Division 3 Bridge Program Manager Amanda Glynn explained the vertical clearance over the Intracoastal Waterway channel is 65 feet from mean high water – the U.S. Coast Guard’s requirement for minimum vertical clearance – on all the Brunswick beach bridges.

Why does it hook?
To reach the required vertical clearance over the main channel at Holden Beach, the bridge had to turn to allow enough room to tie it to the elevation on the island.  “If the bridge had continued straight, it would have had a very steep slope so that it could intersect with Ocean Boulevard,” Glynn explained. 

Why is the retaining wall so low?”
The retaining wall is actually a barrier rail, constructed to meet the design standards in effect in 1985 when the bridge was built.

5. Discussion and Possible Action on Waste and Recycle Issues
Agenda Packet –

Issue:
Waste Disposal, including Recyclables

Needed:
A waste disposal program that encompasses both perishable waste and recyclables, and a solution to the unsightly roadside full and empty bins that linger after scheduled collection, particularly on Saturdays during season.

Background:
Overflowing waste bins on both Tuesdays and Saturdays are a too common site on Holden Beach. Although rental properties are required to have one waste bin per two bedrooms, not all rental properties are in compliance; it may also be that for some properties the standard 1 for 2 is inadequate. To further exacerbate the situation, in the absence of a mandatory recycling program, a significant amount of recyclable material goes into the garbage bins, not only taking space needed for garbage but also unnecessarily adding to our local landfill burden.

Uncollected waste in or around bins prematurely pushed to roadside or that do not make it to curbside in time for Waste Industry pickup, particularly on Saturday during season, is both a health and island image issue for residents and renters (plus an inconvenience to incoming renters faced with 2 1/2 days without enough garbage space). Additionally, a significant portion of HB does not have waste bin rollback service, resulting in a large number of empty bins being very near or even partly in the road (and subject to blowing over). On Saturdays during season, roadside bins pose increased risk to drivers who are already distracted with locating their rental.

Activities to Date:
After the closure of the Holden Beach recycle center in September 2016, the Town Manager (TM) committed to collect data on waste collection, including recycle, and to analyze the data in order to bring recommendations to the Board of Commissioners. The data has been collected, a report issued and SOC discussions have occurred.

Next Steps:
The SOC must decide which of the possible solutions for several problems is the preferred solution (the report and previous discussions form the basis for August 6 discussions and decisions). Once accomplished, the preferred solutions can be reviewed and commented on by the Town Attorney, following which a final set of directions can be produced for actions and where necessary budget consideration for the 2019 calendar year.

Decisions needed:
Recycling policy for the island
Recycle pick up schedule that best fits island’s needs
Audit (and enforcement policy) of 1 can per 2-bedroom (or more for high occupancy houses?) requirement for rentals
Rollback service improvements
Rental agency/owner responsibilities for renter education and “out of compliance” trash (and enforcement policy).
What constitutes citable violations and fines with respect to
1. waste bins kept at homes and
2. waste bins at street side.
What action to take on corrals?
Town of Holden Beach educational material for property owners and rental agents

Possible Outputs:
Recycling policy for the island
opt out (problem with opt out can return-city capital tied up?) Voluntary
Recycle- pick up schedule that best fits island’s needs during season
Stay as is (every other Tuesday) – renter confusion
Every other Tuesday October 1 thru May 15, either every Tuesday or every
Saturday (preferred) from May 15 to September 30.
Ordinance rewrites to better define waste types, waste policies (legal containers, number of containers, time to and from curb, where containers are to be stored), what constitutes citable violations, enforcement policy and fines.
Audit procedure and audit of 1 can per 2-bedroom requirement (or more for high occupancy houses?) for rentals (with enforcement policy)
Rollback service possibilities-preference not to increase budget
Stay as is (all Tuesdays plus Saturdays during season, OB only) Whole island all Tuesdays plus Saturdays during season-higher cost Whole island or OB only, only Tuesdays and Saturdays during season
Whole island or OB only, Tuesdays off season and Saturdays during season
Whole island or OB only, only Saturdays during season
No service-some residents have expressed their preference for no roll back
Rental agency/owner responsibilities for renter education and “out of compliance” waste (with enforcement policy)-should rental management companies be responsible for hauling cans (full or empty) back from the curb after the established deadline
Town of Holden Beach educational material for property owners and rental agents
Draft timeline/proposed key decision dates
Recycle policy and pickup schedule and the waste can audit procedure finalized by October 1, to be reported no later than the October 2018 BOC (enable acceptance by EOY)
Ordinance amendments completed and signed off by November 2018 BOC
Enforcement policies completed by November 2018 BOC (enables acceptance by EOY)
Town of Holden Beach educational material for property owners and rental agents by March 1.
Waste bin number audit completed by January 15 and communication to out of compliance owners by March 1 (to allow time for them to have the right number before May 1). Enforcement after May 1.
Push back changes (if any) by March 1 for budget consideration (both 18 and 19)

Previously reported – August 2017
Town Manager Hewett took the position that we shouldn’t jump to a solution before we completely understand the problem. David wants to view them all together and feels we shouldn’t address these issues in a piecemeal approach. Staff has already identified seventy (70) elements that need to be considered. He also would like to meet with the various stakeholders. That said, he should be able to get back to the Board in November with a suite of options, from soup to nuts.

Previously reported – January 2018
Solid Waste functional review focus group plus the town staff have completed the data collection. David plans to make a full-blown report at the February meeting.

Previously reported – February2018
The Town’s total budget for solid waste services is approximately $210,000. Town Manager Hewett assembled a stakeholder group (Solid Waste Working Group – SWWG) that reviewed the entire solid waste suite of services.

Solid Waste Report
For more information » click here

Conclusions, Options & Recommendations
The Board will need to decide how they want to proceed. Next step is to determine what services they want to provide. Board asked Town staff to formalize compliance protocols for garbage pail requirements at rental properties.

To be continued …

 Update –

Recycling Policy
Decided to keep it as a voluntary program
Change to a weekly pickup schedule for the one hundred days of summer

Rental Properties
Rental properties have specific number of trash cans based on number of bedrooms.
.         • One extra trash can per every two bedrooms
Town staff working on rental property extra pail compliance audit

Rollback Service
Decided to maintain the status quo

Corral Location
Decided this is linked to rollback service and needs additional consideration

Yard Debris Curbside Service
Decided to retain service but continue to monitor

Ordinance Review
Charged Public Works with reviewing current ordinances and making recommendations for changes

Once again, they took the kick-the-can down the road approach. More meetings, more discussions, more talk of improved communication and education, but still almost no action. Frankly that’s just not getting the job done, so now it is time to stop talking and finally do something. The garbage in the streets isn’t just unsightly, it poses a serious threat to nature. It’s a Quality of Life issue and can cause loss to our tourism industry. Holden Beach has approximately two thousand four hundred (2,400) homes with around one thousand (1,000) rental properties. All of us are subsidizing services for some of the properties that currently are utilizing these free services. Either the services should be provided to everyone island wide or offered as an option with a user fee charged for those that want the service. The administration of our current service offerings is neither fair nor consistent, we need to develop more equitable policies.

Recycling Policy
@<400 households or @17% participate in the voluntary program
This is the only service that charges a user fee
To add insult to injury the Town assesses a $6.00 service charge to participants in the recycling program
WHY?

Rental Properties Compliance
@>1,000 with who knows how many are still not in compliance
Drive around on any pickup day and you’ll see how significant a problem this is
So, let me ask you this, when if ever did we check for ordinance compliance?

Rollback Service
@>1,200 or 50% includes all the properties on Ocean Boulevard only      (Ballpark figure)
Rollbacks should be for everyone or for no one
Rollback of full cans will have all kinds of unintended consequences
Why do we do this for some properties but not others?
Why are we not charging to provide this service?
Should be offered to all properties with a user fee charged for those that want the service

Corral Location
Big can of worms
If we discontinue rollback service, then they should be located closer to the house

Yard Debris Curbside Service
@<100 or 4% participate in the program
Hard to justify subsidizing this service for so few properties
Why are we not charging to provide this service?
Should be offered to all properties with a user fee charged for those that want the service

Ordinance Review
Vague and not enforceable as written
Need to have clearly defined guidelines with consequences for noncompliance

Scheduled Pickup
Piles of debris left curbside often for months
This service is not offered at this time
Curbside pickup for large items should be handled by request with a published fee schedule

 6. Discussion and Possible Action on Boating Access Area Parking –
Mayor Holden

Agenda Packet –
NC Wildlife Resources Commission
Erik Christofferson, Deputy Director of Operations
Boating Access Area Parking

Mayor Holden,

It has come to my attention that boaters are being ticketed for parking at the state-owned boating access area on S. Shore Drive. I have also received the Town of Holden Beach Ordinance 18-07 72.02 K and feel that it is overstepping the Town’s jurisdiction and in violation of NC Administrative Code. I am referring this matter to the Attorney General’s Office in the morning and would request that you communicate this to your enforcement divisions in an effort to stop the issuance of tickets at this area until we can get an opinion from the AG’s office.

Police Chief Layne addressed concerns about an email sent to Mayor Holden from Erik Christofferson, Deputy Director of Operations with the North Carolina Wildlife Resources Commission. Wally was not familiar with the origin of the complaints but emphatically said that the police department has not issued any tickets to boaters that were parking at the state boating access area. In addition, we were well within our rights to issue parking tickets on South Shore Drive which is not part of the wildlife boating ramp area state right-of-way. The Board requested that our Town Attorney Noel Fox respond to the e-mail.

7. Discussion and Possible Action to Revise Town Ordinance 18-07 –
Commissioner Butler and Commissioner Freer
Agenda Packet –
Town Ordinance 18-07- revise Section (K) or create a new section in the ordinance that clearly states the following recommended wording:   Vehicles shall not be permitted to park in any beach access or any municipal designated parking areas, between the hours of 2:00am to 5:00am.

It is also recommended that signs be posted in the 9 municipal designated parking areas

TOWN OF HOLDEN BEACH / ORDINANCE 18-07
AN ORDINANCE AMENDING THE HOLDEN BEACH CODE OF ORDINANCES, CHAPTER 72: PARKING REGULATIONS (SECTION 72.03 PARKING REGULATED ON PUBLIC STREETS AND RIGHTS-OF-WAY)
(K)  Additional violation. It shall be a violation of this chapter to leave standing any portion of a vehicle in a lawful parking area for a period exceeding 72 consecutive hours between the hours of 2:00a.m. and 5:00a.m.

Much ado about nothing. It was the Board’s intent to not permit parking between 2:00am and 5:00am only in the nine municipal designated parking areas. All of that verbiage was not included in the Ordinance they adopted. Apparently, they were concerned that tickets were being written for property owner vehicles parked in the right-of-way on their own property. Wally assured them that is not the case. He indicated that a revision of the Ordinance was not required. The police department will use their discretion and enforce only in municipal designated parking areas which was the Board’s intent.

No decision was made – No action taken

8. Discussion and Possible Action to Direct Town Manager to Create Frequently Asked Questions (FAQ) to Address Questions Regarding New System Development Fees for Public Water and Sewer System for Review and Approval for Next BOC Meeting – Commissioner Freer and Commissioner Butler 
Agenda Packet –
Water and Sewer System Development Fee
The North Carolina General Assembly passed House Bill 436 in July 2017, amending Chapter 162A of the General Statutes by adding “Article 8, System Development Fees.” This amendment was enacted as “An Act to Provide for Uniform Authority to Implement System Development Fees for Public Water and Sewer Systems in North Carolina and to Clarify the Applicable Statute of Limitations.” in HB436, which requires compliance with designated calculation methodology by July 1, 2018.

In response to the House Bill 436, the Town of Holden Beach retained McGill and Associates to complete a system development fee analysis. Based on the Town of Holden Beach’s combination of existing system capacity and planned capital improvements to expand capacity, the development fee, in accordance with HB 436 rules for an Equivalent Residential Unit (ERU) for water and sewer was calculated to be $20,577. ERU is defined as the water and sewer capacities required to serve the most typical user type, which is a three-bedroom single-family dwelling.

McGill Associates has calculated costs for water and wastewater capacity on a per gallon per day basis for the Town of Holden Beach. This calculation was performed using the Combined Method to account for the Town’s combination of existing capacity and planned future capacity expansion through capital expenditure. This calculation resulted in a development fee of $20,577 for an Equivalent Residential Unit (ERU). ERU is defined as the water and sewer capacities required to serve the most typical user type, which is a three-bedroom single-family dwelling. The fee for other types of development can be calculated by applying the calculated the cost of capacity per gallon of flow per day to the water and wastewater demands for various uses as defined by NC Administrative Code 15A NCAC 18C .0409 and 15A NCAC 02T.0114. Using NC Administrative Code 15A NCAC 18C.0409 and 15A NCAC 02T.0114 ensures that the same standard used to plan, design, construct and finance capital assets is applied as the same cost recovery basis to be applied to new development.

The Town may elect to charge less than the cost-justified System Development Fee documented in this report. Any adjustment must be calculated on a cost per unit volume basis, meaning the same cost per gallon adjustment must be applied equally to all customers.

Previously reported – May2018
McGill and Associates has prepared the System Development Fees Report for the Town. The report was posted to our website on March 26th and written comments were solicited. The report must be posted for at least 45 days.

 System Development Fees Report
Click here to view the System Development Fees Report prepared by McGill and Associates in accordance with HB 436. Written comments on the report may be sent to heather@hbtownhall.com. Comments will also be accepted by mail at Town of Holden Beach, Attn: Heather Finnell, 110 Rothschild Street, Holden Beach, NC 28462. The Board will schedule a public hearing prior to considering the adoption of the analysis. Information on the public hearing date will be provided when available.

In accordance with §162A-209, after expiration of the posting period, the Board needs to hold a public hearing prior to considering the adoption of the analysis. The Board has scheduled to hold a Public Hearing on May 23rd at 1:00pm

Notice of Public Hearing
The Board of Commissioners of the Town of Holden Beach will hold a Public Hearing on May 23, 2018 at 1:00 p.m. or shortly thereafter in the Town Hall Public Assembly, 110 Rothschild Street, Holden Beach, NC 28462 to hear a presentation on the study of System Development Fees that could be levied by the Town. This hearing, the study and the presentation are in accordance with NC Administrative Code 15A NCAC 18C.0409 and 15A NCAC 02T.011. McGill Associates will present the study results which is posted on our website. Click here to view the study. All interested people are invited to attend.

Previously reported – June 2018
Agenda Packet –
Legislation House Bill 436 required a Public Hearing as one of the steps that must happen before the Town can move forward and implement the charges. HB436 is prescriptive, with precise instructions and the report given is in accordance with the legislation. The next steps are adoption of the study report and creating Ordinance that incorporates the recommended fees into a fee schedule. This process must be completed no later than July 1st. We are required to review the fee schedule and must reevaluate it in a maximum five-year timeframe.

RESOLUTION 18-04 / ADOPTING SYSTEM DEVELOPMENT FEES REPORT
RESOLUTION 18-05 / AMENDING THE HOLDEN BEACH FEE SCHEDULE

 Fee Schedule / Water and Sewer System Development Fees

  1. Equivalent Residential Unit (ERU) Capacity Fees- based on a three-bedroom single family dwelling, NC Administrative Code 15A NCAC 18C.000409 & 15A NCAC 02T.0114 and McGill Associates Cost Justified Water and Wastewater System Development Fees Report Capacity dated March 2018.
    a. Water Capacity Fee = $5,792 ($14.48 per gallon per day)
    b. Sewer Capacity Fee= $14,785 ($41.07 per gallon per day)
  1. Residential capacities above/below the rated three-bedroom ERU in para 1 above shall be calculated and fees assessed on a pro rata per bedroom basis using the applicable Administrative code and the McGill Report as guide.
  1. Vacant lots that have never been connected to the Town’s sewer system will be credited in an amount equal to the sewer capacity fee for one ERU (3 bedrooms); however, no credit shall be provided for said vacant lots that have not paid sewer share fees to the Town of Holden Beach as previously authorized by Town of Holden Beach Ordinance 02·13 dated 10-14-02 “Chapter 52-04-Share Fees”
  1. Vacant lots that have been previously connected to the Town’s water and sewer systems and are being redeveloped will be credited in an amount equal to the prorated amount of water and sewer capacity fees in para 1 above per bedroom based on the actual number of bedrooms previously connected. The Town of Holden Beach Building Inspector may use any and all public information available to ascertain the number of bedrooms to use for the credit.
  1. Water and sewer service capacity requirements (gallons per day) for other than residential dwellings shall be determined in accordance with the applicable NC Administrative Code referenced above and fees calculated as follows:
    a. Water Capacity Fee= Required gallons per day multiplied by $14.48 per
    b. Sewer Capacity Fee= Required gallons per day multiplied by $41.07 per gallon. c. Fee calculations for water and sewer capacity fees based on changes in uses of a property that cause capacity usage changes will provide for determining a credit for the existing use water and sewer capacity charges against the new uses’ water and sewer capacity requirementsas established by the NC Administrative Code referenced above.
  1. Sewer Capacity charges and credits shall be calculated and collected at the time a building permit is applied for.

Previously reported – July 2018
Two building contractors spoke about the significant increase in permitting fees

RESOLUTION 18-04 / ADOPTING SYSTEM DEVELOPMENT FEES REPORT
RESOLUTION 18-05 / AMENDING THE HOLDEN BEACH FEE SCHEDULE

Fee is based on combination of existing system capacity and planned capital improvements to expand capacity

An unintended consequence of System Development Fee adopted in June
.
Seven (7) bedroom permit was $10,000 now costs $30,000 a difference of $20,000
.
Five (5) bedroom permit was $7,000 now costs $21,000 a difference of $14,000

Jaw Drop

That’s a whapping 300% increase which will negatively impact new construction on the island. By comparison, Ocean Isle Beach had a minor increase since their system is older and already paid for. I’d expect to see both the General Contractors and the Realtors up in arms. Unchanged we will have significantly reduced the future revenue stream from new construction from both ad Valorem and Occupancy taxes. Really don’t see how the Board doesn’t have to reevaluate the fee schedule.

Update –
Town Attorney Noel Fox walked them through the prescriptive legislation and all the protocols that were followed which was a lengthy and complicated procedure. Most of the community including contractors and realtors were unaware of the significant fee increase. Based on what was presented to the public, a reasonable case could be made that posting System Development Fees without any explanation given as to the effect on construction cost is why no one questioned the report or even knew the building permit fees would be impacted.  Although the process was followed as required they are now aware that people who needed to know didn’t. Thus, the brouhaha. In an attempt to address any misunderstanding, the Board submitted some thirty (30) questions for the Town Manager to complete and post on the Town website. It appears that they are at least willing to give it a second look. They were elected, and it is strictly their call whether to make an adjustment or not.  I got the feeling that the Board took umbrage to some of the comments that were made, particularly a lack of understating what the fee schedule change would actually translate to in dollars and cents. In addition, they questioned the negative economic impact that was suggested by some of the speakers. If in fact they decide to reduce the development fee it was established that they can’t make it retroactive.

 

 

This Board –
  1) chose to implement the max recommended fee schedule
.  2)
did not adequately consider whether the increased fee would “unduly burden new development”

9. Discussion and Possible Action on Clarification of Role of the Audit Committee and the Chair of the Audit Committee –
Commissioner Fletcher and Commissioner Freer
Agenda Packet –
Audit Committees
BACKGROUND:
Three main groups are responsible for the quality of financial reporting: the governing body, financial management, and the independent auditors. Of these three, the governing bod y must be seen as “first among equals” because of its unique position as the ultimate monitor of the financial reporting process. An audit committee is a practical means for a governing body to provide much needed independent review and oversight of the government’s financial reporting processes, internal controls, and independent auditors. An audit committee also provides a forum separate from management in which auditors and other interested parties can candidly discuss concerns. By effectively carrying out its functions and responsibilities, an audit committee helps to ensure that management properly develops and adheres to a sound system of internal controls, that procedures are in place to objectively assess management’s practices, and that the independent auditors, through their own review, objectively assess the government’s financial reporting practices.

Commissioner Fletcher felt there was a gap between the Board’s intention and what has actually come to pass based on the Town’s staff interpretation. John as Chair of the Audit Committee requested that the Board clarify what functions they wanted the Audit Committee to perform. The Board advised him that the Audit Committee must adopt their bylaws and then bring it back to the Board for discussion and approval.

No decision was made – No action taken

General Comments –

There were seventy (70) members of the community in attendance
Full house, considerably higher amount of people then normally attends these meetings


 BOC’s Regular Meeting 08/21/18


Board of Commissioners’ Agenda Packet
For more information
» click here


1. Public Comments on Agenda Items

Comments made regarding the Water and Sewer Development Fee as follows:

Ann Arnold –
Deeply troubled that they accepted the recommendation of the Town Manager
Disturbed that they chose to adopt the maximum fee schedule
Disastrous decision
Report is based on flawed information
Board has ability to rectify this problem and they should do it now
Expect and hope they will do the right thing

Tyler Newman – BASE
BASE is an advocacy organization
He expressed his concerns with the development fees
Reminded them that they can set fee for any amount below the maximum fees adopted
Asked Board to revert fees back to where they were on June 30th

Tim Minton – NCHBA
Director of Government Affairs
He was involved in the legislation process
Goal was to develop a uniform statewide system
    a)
Designed to create certainty about local government authority
    b)
Financial system where maximum fees could be adopted
.     c)
Reasonable and reliable fee system
Reviewed reports from all over the state
Numbers we used appear to be out of whack with statewide numbers

David Bond –
Was planning to build but will not be building here unless they reconsider these fees
Not competitive with the surrounding communities
Basically, we our pricing ourselves right out of the market
Construction not tourism is the backbone of the island economy

Bryon Murdock-
These fees are not sustainable at all
Questioned – who does this benefit?
Adding cost that can’t be included in appraisal
His construction company has stopped pulling building permits since June 30th
Several pending contracts on hold
Perhaps they would like to explain to those buyers the new fees

Gerald Brown –
Public needs to be more aware of what’s going on
Board represents us, and the Town Manager works for them
Condemned Town Manager for recommending maximum fee schedule to the Board
Requested that they at least relook at it, have as many meetings as you need


2. Guest Speaker, Fran Way, ATM – Update on Progress of the Annual Beach Monitoring Report and Associated Lockwood Folly Inlet Information 
Assistant Town Manager Ferguson

         Applied Technology Management
ATM is a coastal engineering firm hired by the town to do the following:
    1) Annual monitoring, data collection and reporting
    2)
Assess sand erosion
.     3)
Evaluate nourishment
    4)
FEMA projects cost reimbursement support
    5)
Meet government regulatory permitting conditions

Annual monitoring has occurred since 2001. We have an engineered beach – which means it has been nourished and is being monitored.

They have completed the annual survey of the beach strand. Currently they are compiling information and preparing a report. Primarily they make sure the beach is healthy. Since Hurricane Matthew we have put 1.5 million cubic yards of material on the beach strand. Most sections of the beach strand are stable and had accretion. Beach equilibration has occurred, projects are designed to include a volume of sand that the waves and currents will transport offshore to fill in the lower parts of the beach profile. Some of the sand lost off shore has been come back with a gain of 400,000 cubic yards back in to the system. East end is the only area that lost material, will need more attention then the rest of the beach strand.

Beach nourishment profile equilibration:
What to expect after sand is placed on a beach
Read more » click here

Lockwood Folly Inlet
We should all be concerned that the sand from the inlet dredging could possibly go somewhere else. There are a lot of articles in the papers that sand from inlet dredging will go to Oak Island. Also, discussion of Oak Island taking material from the borrow area we identified. We need to stay on top of this. Town of Holden Beach should be given priority. We have been the recipient of the dredging sand from there for the better part of the last thirty (30) years.

Stay tuned …


3. Police Report – Chief Wally Layne

Police Patch
Busy
month, typical for this time of the year
Typical summertime fun at the beach
Home stretch, only 13 days left to Labor Day (09/03/18)
    • Surprise – It’s his favorite holiday!

.
Unfortunately, in the past month we had a fatality. A 20-year-old man, Patryk A. Bass, drowned after getting caught in a rip current a few hundred feet east of the Holden Beach Fishing Pier on Saturday, July 21 in the afternoon. Officials would like to remind swimmers to use caution and never swim alone. “Rip currents typically form at breaks in sandbars and near structures such as jetties and piers,” Lt. Frank Dilworth with the Holden Beach Police Department stated in his press release. “Rip currents do not pull swimmers under but pull you away from shore and out to sea.” If you find yourself caught in a rip current, you should try to stay calm and float or tread water. Do not attempt to fight the current. Swim parallel to the shore. Once you are free from the current, you should swim to shore at an angle away from the current.

Detective Jeremy Dixon is at the FBI academy and will complete his training program on September 14th

We are entering the peak of Hurricane Season – make sure your plans are in order
If the Town declares a mandatory evacuation, PLEASE LEAVE


A reminder of the Town’s beach strand ordinances:
…..1)
Chapter 90 / Animals / § 90.20 / Responsibilities of owners
…….a)
pets are not allowed on the beach strand except between 5p.m. and 9a.m. daily
…….b)
dog’s must be on a leash at all times
…….c)
owner’s need to clean up after their animals
…..2)
Chapter 94 / Beach regulations / § 94.05 / Digging of holes on beach strand
…….a)
digging holes greater than 12 inches deep without responsible person there
…….b)
holes shall be filled in prior to leaving
…..3)
Chapter 94 / Beach regulations / § 94.06 / Placing obstructions on the beach strand
…….a)
all unattended beach equipment must be removed daily by 6:00pm


Golf Carts
Golf carts are treated the same as other automotive vehicles
Town ordinances state no parking anytime on OBW
Therefore golf carts are illegally parked when left by any beach access points


Golf Cart Reminders

In the State of North Carolina, if a golf cart is to be operated on the streets, highways or public vehicular areas, it is considered a motor vehicle and subject to all laws, rules and regulations that govern motor vehicles.

In short, the golf cart must have all of the following:
. • The driver MUST have a current, valid Driver’s License
. • Child Restraint Laws must be followed
. • Headlights
. • Tail lights
. • Turn signals
. • Rear view mirrors
. • State Inspection Sticker
. • License Plate Issued by NCDMV
. • Liability Insurance

All of the streets in the Town (including the side streets) are considered streets or public vehicular areas according to the State Law. This means that to operate a golf cart anywhere on the island, you must meet the standards above. Also, golf carts may not be operated on streets with posted speed limit greater than 35 mph.

Neighborhood Watch

  • Need to look out for each other and report any suspicious activity
  • Call 911 if you see or hear anything suspicious
  • Fill out Keep Check Request Form if you will be out of town
  • Submit completed Property Registration Form
  • Pickup copy of Protecting Your Home

4. Discussion and Possible Action – System Development Fees for Public Water and Sewer System – Commissioner Freer and Commissioner Butler
Agenda Packet –
Water and Sewer System Development Fee
The North Carolina General Assembly passed House Bill 436 in July 2017, amending Chapter 162A of the General Statutes by adding “Article 8, System Development Fees.” This amendment was enacted as “An Act to Provide for Uniform Authority to Implement System Development Fees for Public Water and Sewer Systems in North Carolina and to Clarify the Applicable Statute of Limitations.” in HB436, which requires compliance with designated calculation methodology by July 1, 2018.

In response to the House Bill 436, the Town of Holden Beach retained McGill and Associates to complete a system development fee analysis. Based on the Town of Holden Beach’s combination of existing system capacity and planned capital improvements to expand capacity, the development fee, in accordance with HB 436 rules for an Equivalent Residential Unit (ERU) for water and sewer was calculated to be $20,577. ERU is defined as the water and sewer capacities required to serve the most typical user type, which is a three-bedroom single-family dwelling.

McGill Associates has calculated costs for water and wastewater capacity on a per gallon per day basis for the Town of Holden Beach. This calculation was performed using the Combined Method to account for the Town’s combination of existing capacity and planned future capacity expansion through capital expenditure. This calculation resulted in a development fee of $20,577 for an Equivalent Residential Unit (ERU). ERU is defined as the water and sewer capacities required to serve the most typical user type, which is a three-bedroom single-family dwelling. The fee for other types of development can be calculated by applying the calculated the cost of capacity per gallon of flow per day to the water and wastewater demands for various uses as defined by NC Administrative Code 15A NCAC 18C .0409 and 15A NCAC 02T.0114. Using NC Administrative Code 15A NCAC 18C.0409 and 15A NCAC 02T.0114 ensures that the same standard used to plan, design, construct and finance capital assets is applied as the same cost recovery basis to be applied to new development.

The Town may elect to charge less than the cost-justified System Development Fee documented in this report. Any adjustment must be calculated on a cost per unit volume basis, meaning the same cost per gallon adjustment must be applied equally to all customers.


What did the state mandate us to do?

What does compliance with House Bill 436 require us to do?

What is a System Development Fee?
System Development Fees are defined as a charge imposed on each new customer or development that generally offsets the incremental cost of replacing existing and/or constructing new capital assets to provide capacity that will continue to meet the demands placed on the system by each new customer or development.

What information was used to develop the System Development Fee?

What is the Combined Method calculation?
The Combined Approach is a combination of the Buy-In and Incremental Cost Methods and is used where existing assets provide some system capacity to accommodate new development, and applicable capital plan(s) also identify significant capital investment proposed to add infrastructure required to address future growth and capacity needs.

Reference the McGill Report / Page 11 of 34
3.5 Valuation Adjustments – The above system valuations include applicable credit adjustments for revenues anticipated from existing user charges, donated infrastructure and grants.
To ensure that repayment for this debt is not collected twice from new customers; once through the SDF and again through retail rates and charges, the remaining outstanding debt principal amount is required to be applied as a credit against the projected aggregate cost of the capital improvements in the SDF calculation.

A sewer capital fee of $497.30 per developable property within the corporate limits of the Town of Holden Beach is authorized for the payment of debt service to fulfill the Town’s sewer capital obligation. Said fee is to be billed concurrently with ad valorem property taxes and collected in accordance with applicable North Carolina General Statues.

Isn’t that double collecting?
The $497.30 annual capital assessment is collected from every parcel since the sewer system was installed and will continue to be collected through 2029. 

How did they determine what an Equivalent Residential Unit (ERU) is?
ERU is defined as the water and sewer capacities required to serve the most typical user type, which is a three-bedroom single-family dwelling.

Why did they use bedrooms instead of bathrooms or square footage?

Who determines the number of bedrooms?

What happens if contractors provide drawings calling bedrooms living space like play rooms?

Is this a Loophole?

From 15A NCAC 02T.0114 (b) Wastewater Design Flow Rates
Each bedroom or any other room or addition that can reasonably be expected to function as a bedroom shall be considered a bedroom for design purposes.
From same statute (e)(2)
Residential property on barrier islands and similar communities located south or east of the Atlantic Intracoastal Waterway used as vacation rental as defined in G.S. 42A-4 shall use 120 gallons per day per habitable room. Habitable room shall mean a room or enclosed floor space used or intended to be used for living or sleeping, excluding kitchens and dining areas, bathrooms, shower rooms, water closet compartments, laundries, pantries, foyers, connecting corridors, closets, and storage spaces. 

Does a two-bedroom single family dwelling get pro rata lower rate or a rebate?

How did they calculate development fee of $20,577 for an ERU?

Does the development fee include sewer hookup fee?

What is the pro rata per bedroom formula?

Who determines what the fee will be?

What impact does the fee structure have on existing homes?

What impact does this have on a lot owner that paid the original sewer connection fee and plans to build in the future?

Does the fee structure apply to any home improvements?

Are there any restrictions on how much less they can charge?

 Do we know what the surrounding communities adopted as their fee schedule?

  • Is their situation the same or different than ours?
  • Do we know what their capacity concerns and plans are?
  • Does the Towns financial situation factor into the fee structure?

    How does are fee schedule compare to the other islands?
  • What percentage increase did we take?
  • What percentage increase did they take?

Create a table that shows what the fees were and are now including percentage change

  • 2 to 8 bedrooms / Before / After / Percentage Change
  • Template sent separately

Create a table that compares permit costs for a five-bedroom home on all the islands

  • Wrightsville Beach, Topsail Island, Oak Island, Holden Beach, Ocean Isle Beach, Sunset Beach

Given that our building permits are now higher than the surrounding islands –

  • How do we compare in other costs?
  • Are our taxes lower than the surrounding islands?  
  • Is our property valuation lower too?
  • What impact will this have on appraisals and getting financing?

The engineer recommended adopting the maximum fee schedule

  • Why did they recommend the maximum fee schedule for us?
  • Did they recommend that for all the other communities too?
  • Is their justification adequate to explain the significant increase in permit fees?

Why did analysis not utilize more current stats?

Reference the McGill Report / Page 31 of 34
Table 7.1 : Summary of Brunswick County Wholesale User Demand
Data used is from 2010 and 2015 which is not the most current info

What is the big hurry to start a reserve fund for expansion?

Reference the McGill Report / Page 33 of 34
7.2 Public and Private Wastewater Systems
The Town of Holden Beach has recently installed a municipal sewer system; this system became operable in May 2006. Connection to the public sewer system is required for all residents and businesses within the Town by May 31, 2007. Given that the sewer system for the Town of Holden Beach is new, it is expected that the sewer system has adequate capacity to serve expected growth over the next ten to 15 years.

Will the higher fees go into a reserve fund to pay for capital expenditure for future capacity expansion?

Apparently, they do not have the answers to the FAQ’s that were submitted for this evenings meeting. They plan to schedule a Special Meeting to discuss the situation with the engineer present to field questions. They are inviting all stakeholders to attend in order to review the information and consider our options. Repeal and replace appears to be the most likely outcome. Noel Fox the Town Attorney informed us that the previous system of charges is illegal. We can repeal but can’t reinstate previous fees charged. For the time being the development fee will be applied — shocker — as it is written.

Outcry from contractors and realtors garnered a response from the Board
The five Commissioners were not all on the same page

John, Peter and Joe took the following positions:
.     1.
Take responsibility for their actions
    2.
Did not understand the impact of higher fee schedule
.     3.
Agreed it could have been handled differently
.     4.
Weren’t given good counsel, only offered one option adopt maximum fee schedule
.     5
They did not look out for what is in the publics best interest

 Mike and Pat on the other hand took much more aggressive positions as follows:
    1.
They understood what they were approving
.     2.
Public should have known too
    3.
Public needs to take responsibility for not participating
.     4.
Public silence was taken as consent

 No decision was made – No action taken

Any change is bound to have ramifications. Unfortunately, the fee schedule approved will have significant negative repercussions for the island economy. Town Manager Hewett has been no help to the Board either by ignorance or design. Granted it would have been nice if they got public input prior to approving the fee schedule. But if some of the Board didn’t know that they approved a threefold increase then how can they expect the public to know? Although, I get what Mike and Pat are saying the way they responded was appalling. Chastising the public for not understanding the fee schedule did not go over well. They came off as arrogant and condescending, not very diplomatic and it was just bad optics.

The goal of government is to make citizens better off


5. Discussion and Possible Action – Construction Management Services of the Vacuum Sewer System #4 Upgrade Status Report – Public Works Director Clemmons 

Previously reported – December 2017
McGill and Associates were commissioned to perform a Sewer Study to evaluate sewer system vulnerability reducing measures. A fiscal year 2017-2018 budget appropriation of $1,413,000 was made to accommodate total programmatic expenses of Lift Station #4 improvements. Green Engineering firm was awarded the $158,000 contract for Sewer System #4 upgrade. Green Engineering will provide all engineering services required to construct a vulnerability reducing structure of Lift Station #4.

Previously reported – April 2018
Four (4) meetings have been held between staff and the engineering firm to date. The final plans were delivered to the Town and have been reviewed and approved by the Building Inspector. Deliverables – Timeline has been revised. Buildings were designed in the same style as Town Hall. We are currently on schedule, but Chris cautioned that it was still early in the game. The Board requested monthly updates, reporting on whether we remained on schedule and within budget.

Previously reported – May 2018
We’ve had a slight setback, we did not receive the three (3) bids required to move forward. Officially we accepted no bids, the two bids submitted will be held and opened upon the completion of the second go round. Chris was a little surprised and disappointed since their appeared to be a lot of interest when they held meeting with vendors. We will need to start the bid process over. The protocols on the second bid process do not require the three bids but the caveat is we can only consider quality bids.

Previously reported – June 2018
BOC’s SPECIAL MEETING / May 23, 2018
Approved award of the Lift Station #4 upgrade contract to T.A. Loving Company in the amount of $1,205,000

Total project cost went from $1,413,000 to $1,695,700 or a $282,700 difference
Contingency funds were reduced from $157,400 to $52,480 or a $104,920 difference
Bottomline, the project cost just went up $387,620 ($282,700 + $104,920) or @27% (Yikes!)

A pre-construction meeting is scheduled for June 28th
We should have a tentative construction start date then

Previously reported – July 2018
A pre-construction meeting was held on June 28th
The contractor was given notice to proceed
Mobilization is scheduled for the first week of August

Concerns:
. 1) Time to get materials – delay waiting for foundation steel
. 2)
Storm Season

Update –
Reviewed progress to date, despite the rain they are still on schedule, gave some tentative project timelines. It’s all good!
My Two Cents - CR II
This really could be handled with a memo from Chris to the Board.


6. Discussion and Possible Action on Items Relating to Solid Waste Management – Commissioner Kwiatkowski
a.
Amendment to Solid Waste and Recyclable Collection, Transportation and Disposal Agreement
Agenda Packet –
Waste Program Recommendations from August 6, 2018 Meeting

Issue:
Waste Disposal, including recyclables

Needed:
A waste disposal program that encompasses both perishable waste and recyclables, and a solution to the unsightly roadside full and empty bins that linger after scheduled collection.

Data used for decision making:
After the closure of the Holden Beach recycle center in September 2016, the Town Manager collected data on waste collection, including recycle, and to analyze the data in order to bring recommendations to the Board of Commissioners. The data has been collected, a report issued, and BOC discussions have occurred.

Decisions made by the Commissioners on August 6:

  1. The recycle program will remain voluntary
  2. In order to make the recycle program more beneficial to rental property owners, recycle should be picked up weekly on Tuesdays during season (i.e., during the same period that solid waste is picked up twice a week). The rest of the year (off-season) pickup will occur every other Tuesday. This will result in an increase in cost, estimated to be $20 to $25 per year (to be précised by staff for the August BOCM)
  3. The yard waste program was shown to be utilized more than was thought and will continue as defined in 2018, with monitoring of the level of use through the Fall season. The program will be discussed again in Q1 2019
  4. An audit of the number of solid waste bins at rental house properties is in progress and anticipated for completion by October. Based on the findings, re-consideration of whether 1 bin per 2 bedrooms is adequate may be needed. NOTE: The town will move to notify non-compliant rental property owners to obtain the requisite number of bins in compliance with the current ordinance with no need for action from the BOC.
  5. The rollback program remains under consideration. Options will be discussed further in Q1 2019
  6. Rollback should be both empty AND full
  7. The existing solid waste ordinance is out of date and needs significant rework to better specify various points, for example: where bins are to be kept, corral policy (…roadside corrals” no longer serve the purpose they were originally designed), preferred roll out and roll back times, what constitutes citable violations, fines. Commissioners will send the Town Clerk their ideas/preferences for modifications by end of August. A revised ordinance proposal from the Town staff will be available for consideration, possibly at the September BOCM, but no later than the October BOCM.
  8. The Town will provide a summary of changes to be enacted in 2019 to property owners and rental property management companies in time for inclusion in their 2019 rental property information packages.

AMENDMENT TO SOLID WASTE AND RECYCLABLE COLLECTION, TRANSPORTATION AND DISPOSAL AGREEMENT

Residential Curbside Recycling Collection – All residential units who would like to participate in the voluntary curbside recycling program; will be provided one 95-gallon cart to be serviced on every other week basis during the months of October through May for the term of the Agreement.  Said residential units shall be serviced on a weekly basis during the months of June through September for the term of the Agreement.  Carts must be placed at the curb no later than 6:00 am on the scheduled day of service.

Curbside Recycle -WI will provide a 95 gallon recycle container for the voluntary program for a price of $5.13 per month per cart, or $61.56 annually per cart. There will be no processing fees charged for recyclables through December 31, 2018.  Beginning January l, 2019, processing fees/payment will be tied to the best negotiated agreements with local processors.  These fees/payments will be mutually agreed upon but not reasonably withheld. WI will supply documentation as a part of the process of negotiations.


Town Newsletter –
Recycling Changes
Recently, there has been a change in what types of plastics will be accepted in the recycling program. Plastics #1 and #2 are still allowed. Paper, metal and glass are also still accepted. Please click here to view a full list of accepted materials. 


7. Discussion and Possible Action on Audit Committee Bylaws –
Commissioner Fletcher
Agenda Packet –
Role Clarification / Audit Committee
Background:
The functions of the Audit Committee are defined in Ord. 16-02, passed 01-12-16:

(1) To assist and advise the BOC in its oversight responsibilities for the town’s financial reporting process, system of internal controls over financial reporting and the external audit process;

(2) To evaluate the performance of the external audit firm as it relates to the annual audit of the Town of Holden Beach;

(3) Where appropriate, to review proposals from alternative external audit firms and recommend retention/selection action to the Board of Commissioners;

(4) In consultation with the Town Manager, review, advise, and make recommendations to the BOC with respect to the town’s treasury management function and its’ risk management policies and procedures, including without limitation, the town’s insurance and self-insurance policies; and

(5) Such other related functions as shall be delegated or assigned to it by the BOC from time-to-time.

To avoid any misinterpretation of the BOC’s intent regarding the work of the Audit Committee, The BOC will be asked to confirm the following by-laws for the Audit Committee:

. 1) With regard to the annual audit of the town’s annual financial statements, the Audit Committee will provide oversight of the work performed by the independent accounting

Oversight of the work performed by the independent accounting firm will include:

. a) The outside accountants will report through the Audit Committee to the BOC’s
. b)
The Audit Committee, or the Audit Committee Chair and one other member of the Audit Committee, will meet, with the independent accountants as often as necessary during the course of their work, as determined to be appropriate by the Audit Committee Chair, to review progress and discuss any findings or deficiencies that have been identified
. c)
The Audit Committee will receive and review any draft reports and provide feedback to the independent accountants prior to the reports being finalized.
. d)
Reviewing the final report from the independent accounting firm and participation in the presentation to the BOC confirming that the Audit Committee has discussed the report with town management, with the independent auditors, and believes that the report is fairly presented

2) The Audit Committee Chair, with another member of the Audit Committee, or the entire Audit Committee, may meet with any external firms hired to audit the town’s financial statements, investigate an irregularity or evaluate the town’s internal financial controls or their implementation

3) The Audit Committee will be cautious not to appear to represent the BOC in any way other than serving to conduct their oversight They will be careful not to interfere with auditors performing their work.

4) A quorum exists when three members or more members are in attendance

Commissioner Fletcher submitted the bylaws that the Audit Committee unanimously approved. Noel Fox the Town Attorney took issue with several items. They will have to submit an amended / revised version for approval again. Who knew this could be so complicated? The Board did manage to authorize the Audit Committee to schedule a meeting with the firm conducting the internal control review. The Board does not want to wait for a final report and requested an interim status update as soon as it can be made available.

 No decision was made – No action taken


8. Discussion and Possible Approval of a North Carolina Public Beach and Coastal Waterfront Grant Application Submission – Assistant Town Manager Ferguson
Agenda Packet –
The Parks and Recreation Advisory Board (PRAB) recently completed a prioritization of Town owned property for possible development of public beach accesses.  Following the completion of the exercise, the Town applied in the pre-application process of the NC Public Beach and Coastal Waterfront Access Grant program. The Town made it through the first round and has been invited to complete a final application package which requires BOC approval for submission.

The grant would be for the development of an access at 289.5 OBW. This was the PRAB’s number one choice for development. The funds for the grant ‘s match are included in this year ‘s budget in the Access and Recreation Line of the BPART budget.   If the Town receives the grant it will save us approximately $16,335.00. The PRAB made a motion at the July regular meeting to support the submission of the application.

Staff recommendation is to approve submission of the final grant application.

NCDEQ Division Coastal Management Beach & Waterfront Access Program
DCM awards matching grants to local governments for projects to improve public access to the state’s beaches and waterways. Projects from small, local access areas to regional access sites with parking lots, bathrooms or picnic areas.

About Beach & Waterfront Access
Public purposes would be served by providing increased access to ocean beaches, public parking facilities or other related public uses. – Coastal Area Management Act

The Division of Coastal Management awards about $1 million a year in matching grants to local governments for projects to improve pedestrian access to the state’s beaches and waterways. Funding for the Public Beach and Coastal Waterfront Access Program comes from the N.C. Parks and Recreation Trust Fund. Local governments may use access grants to construct low-cost public access facilities, including parking areas, restrooms, dune crossovers and piers. Projects range in size from small, local access areas to regional access sites with amenities such as large parking lots, bathrooms and picnic shelters. Towns and counties also may use the grants to replace aging access facilities. In addition, local governments can use the funds to help acquire land for access sites or to revitalize urban waterfronts.

he N.C. General Assembly established the Public Beach and Coastal Waterfront Access Program in 1981 by amending CAMA to provide the matching grants to local governments for oceanfront beach access areas. In 1983, the legislature expanded the program to include estuarine beaches and waterways. As the coastal population has increased, traditional accessways have been developed for private use, leading to a greater demand for additional public access sites. While most of the early projects were located along the oceanfront, more and more are now designed to improve access to estuarine shorelines, coastal rivers and urban waterfronts. More than 440 access sites have been constructed since the program began. Local governments are responsible for construction, operation and long-term maintenance of their sites.
For more information »
click here

In order to move to the next level in the grant application process they need the BOC’s consent to apply for the grant. Application must be submitted by September 7th and is a matching grant with a 75% / 25% split.

A decision was made – Approved unanimously


9. Discussion and Possible Approval of Designation of Planning & Zoning Board, with the Addition of Public Members, as the Land Use Plan Steering Committee
Planning Director Tim Evans
Agenda Packet –
This is a request of the Board of Commissioners to allow the Planning Board to act as the Steering Committee for the Land Use Plan. The committee should allow for additional members of the community as approved by the Planning Board.

Currently we have two applications to serve with the planning board members.

The committee will act as community representation for input under the statutory guidelines as required for update approval through the DEQ process.

Town Planning Director acts as the intermediary between the contractor and the committee.

Also the board will need to approve for the steering committee to perform its duties beyond the limited guidelines of their current rules and extend the formation until completion of the Land Use Plan.

Timbo was really asking for three (3) things here as follows:
.     1.
Planning Board be Steering Committee
.     2.
Ability to add stakeholders
    3.
Extend meeting window timeframe beyond the normal ninety (90) day period

 A decision was made – Approved unanimously


10. Recognition of 2018 Pelican Award from the North Carolina Coastal Federation to the Town of Holden Beach Board of Commissioners for Outstanding Leadership and Dedication to Keep Our Coast Accessible and Public – Commissioner Butler and Commissioner Freer

Pelican Award
Town of Holden Beach, Dunescape Property Owners’ Association and the Holden Beach Property Owners Association For Outstanding Leadership and Dedication to Keep Our Coast Accessible and Public

Flanked by the beautiful Lockwoods Folly Inlet, the eastern end of Holden Beach was threatened to be forever changed by an unnecessary and expensive engineered structure. But on April 17, 2018, the Holden Beach Board of Commissioners unanimously voted to permanently revoke the town’s permit application for a terminal groin with the U.S. Army Corps of Engineers. This historic move would not have been possible without the diligent evaluation of potential impacts by dedicated residents of the Dunescape Property Owners’ Association and the Holden Beach Property Owners Association — Rhonda and Tom Dixon, Tom and Vicki Myers, Jay and Denise Holden, John and Margaret Witten, Rich Weigand, Lou Cutajar and Skip Klapheke. These and other Holden Beach residents tirelessly fought to bring to light the detrimental effects the terminal groin — a rock, concrete, stone or metal structure built at an inlet, perpendicular to the coast — would have had on the island’s natural habitat and shoreline. Their forethought and action also positioned the town to save a lot of money for a project that likely would not work. The residents of Holden Beach persevered in their opposition and are true pioneers in showing how to exercise sound coastal management decision- making and recognizing that expensive hardened structures along our beaches are not the answer to erosion.

Holden Beach, associations honored with Pelican Award
Six years ago, Holden Beach considered constructing a terminal groin. Town officials received input from Holden Beach Property Owners Association and the Dunescape Property Association to teach residents about the process and possible outcomes before commissioners ultimately voted not to pursue the project. On July 28, the North Carolina Coastal Federation honored the town and the two associations with its Pelican Award for “outstanding leadership and dedication to keep the North Carolina coast accessible and public.”
Read more » click here

A Look Back: Holden Beach’s (Un)Done Deal
A terminal groin at the east end of Holden Beach was a given.
Read more » click here

Well this is embarrassing, Peter neglected to bring the plaque to the meeting


11. Town Manager’s Report

Inlet & Beach Protection Board
Orientation training has almost all been completed

Training
All members of Boards and Committees were given open meeting law training

Canal Dredging Project
Previously reported – December 2017
Adoption Resolution 17-10, Water Resources Development Grant ($1,439,922)
The grant is good for two years and will accelerate our current dredging schedule. Each canal will be responsible for paying for their dredging project costs upfront. It is a reimbursement grant which means we do not receive the funds from the state until after satisfactory completion of the project.

Previously reported – June 2018
The Town is planning to perform a complete dredge of all of the canals this coming fall/winter (November 2018 – Mar 2019). We have been apprised of recent changes regarding the obtainment of consent agreements for USACE dredge spoil areas.   Those changes will result in closer scrutiny of remaining capacity in existing sites; hence longer/unknown lead times and quite possibly denial of permission to place material from this fall’s canal maintenance dredging in the Corps disposal sites. The Town has been preparing the area adjacent to the dog park as an alternate site if unable to use the USACE dredge spoil areas. David reminded us that this is a big undertaking with lots of moving parts and will require considerable time and effort from the Town staff to pull it off without a hitch.

 Water Bill / Canal Dredging
The Town is planning to perform a complete dredge of all of the canals this coming fall/winter (November 2018 – Mar 2019). It is recommended that property owners begin getting ready for the canal dredging as early as possible by first assessing the condition of their bulkheads so that repairs on those structures can be made in plenty of time before dredging begins. This will not only provide for the best dredging effort, but also lesson the possibility of leaky bulkheads filling canals back in prematurely after dredge completion. The Town will also be conducting its annual inspection of the bulkheads. Likewise, it is also recommended that property owners begin to coordinate the actions needed to move your floating docks in anticipation of the actual dredge arrival in order to facilitate a better excavation near their pilings. Finally, boat movements should also be considered. You may want to begin planning for winter accommodations and repairs to your boat now. Remember that boat dry docks book up fast.

Update –
Town had meeting with potential bidders for the canal dredging project
He anticipates bid letting date sometime in September
Dredging is scheduled to start in the middle of November

The Town has been preparing the area adjacent to the dog park off Scotch Bonnet.
It will be necessary to close the dog park this winter once dredging project begins.
The dog park will probably have to be closed until Memorial Day in 2019.

Personnel
Administrative Assistant Kendra McDonald has resigned due to medical reasons
Officer Michael Hamilton is retiring in November, he has been in the department since 1988

Budget Exercise
The employee compensation package is being reviewed

FEMA
Federal reimbursement of $350,000 is still do THB
Paperwork resubmitted yet again
That will close out the project

50 Year Project
Requested status update have not received response

Previously reported –
The U.S. Army Corps of Engineers (USACE) is the primary federal entity and partner in numerous programs and projects designed to help protect the economy and the environment of our nation’s coastal areas by reducing the effects of storms, erosion and flooding. The federal interest in and responsibility for beach restoration projects was clarified when. Congress enacted the Shore Protection Act of 1996. It is often referred to as the “50year project” because the nourishment effort includes initial construction and subsequent periodic maintenance for 50 years.

Beach nourishment is the practice of adding sand to a beach to maintain a sandy shoreline. The sand-funding partnerships are typically called “50 Year Projects” to reflect their authorized duration. Under current law, the cost share for beach nourishment projects is 65 percent federal and 35 percent non-federal for the initial nourishment and 50 percent federal and 50 percent non-federal for ongoing renourishment over the next 50 years. Beach towns, up and down the coasts with these partnerships could find themselves in funding trouble when the time comes due to a large shift in burden on how the town’s routine beach nourishment projects are paid for.

Rain
The unprecedented rainfall created a number of storm water issues
Policy is to pump water only if it becomes a safety issue

Run Holden Beach

The fifth annual “Run Holden Beach” event is scheduled on Saturday, September 15th. The event will begin at 7 a.m. but traffic lanes will be marked with cones prior to the start time. The bridge will close briefly, and Ocean Blvd will be one lane for the duration of the half marathon. Please allow ample time for traversing the island this day and avoid routes if possible. Ocean Blvd, Brunswick Ave and the bridge will all have decreased vehicular access. Vehicular traffic will be escorted east to west from Highpoint to Shell by the police.


12. Mayor’s Comments

The Town’s Emergency Management Team continuously reviews Town ordinances and our Emergency Plan to ensure compliance with State and Federal laws, guidelines and practices and investigates methods to implement updated information into our plan. The Team also works closely with the County’s Emergency Team and attends their conferences and training opportunities.  

From the Mayor’s Desk

Hurricane Season Information
Please remember that we are entering the high-risk part of hurricane season. Be sure you have your emergency plan of action prepared and know how to carry out your plan if and when action is needed.

Remember mandatory evacuations are “mandatory”. Everyone will be required to leave. Water and sewage services may be shut down by the Town. BEMC may turn off the power.

Make sure you have your vehicle decals in place. The decals are necessary for re-entry to the island in the event of an emergency situation that restricts access to the island.

During an emergency, email updates will be issued.

Being prepared is key to making it through the season.


13. Public Comments on General Items

Ronda Dixon –
Development fee, she understands that technically the process was followed
Questioned if they understood that they were increasing fees threefold
If they did understand then how could they still vote for it
Fee schedule is stifling construction and hurting the island economy

Some ninety-four (94) properties did not pay the original sewer fee and now owe $13,500
When they approved the fee schedule any previous sewer share fees owed were forgiven
Why?
That’s a significant loss of revenue ($1,269,000) for the Town
Not fair to the rest of us who paid

June 2018 / TOWN OF HOLDEN BEACH / RESOLUTION 18-05
RESOULUTION AMENDING THE HOLDEN BEACH FEE
SCHEDULE
The Board of Commissioners of the Town of Holden Beach, North Carolina does hereby approve the deletion of the Impact Fees and the Share Cost sections and the addition of the Water and Sewer System Development Fees (Attachment 1) to the Holden Beach Fee Schedule.

Fact Checker –
Although it appears that Resolution 18-05 confirms that fee is forgiven that is not the case. Both the Resolution and Attachment are included from the 08/06/18 Special Meeting in agenda item #7. You need to read Attachment 1.  

Vacant lots that have never been connected to the Town’s sewer system will be credited in an amount equal to the sewer capacity fee for one ERU (3 bedrooms); however, no credit shall be provided for said vacant lots that have not paid sewer share fees to the Town of Holden Beach as previously authorized by Town of Holden Beach Ordinance 02-13 dated 10-14-02 “Chapter 52-04 – Share Fees” 

Town Website / Departments / Planning & Inspections / Fee Schedule / Page 6 Item 3
For more information » click here

George Stout –
He was pretty upset with the arrogance of Pat & Mike over chastising the public for not understanding the fee schedule


14. Executive Session Pursuant to NC General Statute 143-318.11(a)(3),
To Consult with the Town Attorney

No decision was made – No action taken


General Comments –

There were forty (40) members of the community in attendance
A significant percentage were contractors and realtors, probably more than half

 The BOC’s September Regular Meeting is scheduled on September 18th

Town Manager’s Review
The Town Managers performance review was supposed to be done on the anniversary date of his hire which is in February. Once again it was not done in a timely manner.

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Hurricane Season –

Hurricane #1 - CR

National Oceanic and Atmospheric Administration (NOAA)
The National Oceanic and Atmospheric Administration (NOAA) defines a hurricane as “an intense tropical weather system with a well-defined circulation and maximum sustained winds of 74 mph (64 knots) or higher.”

Be prepared – have a plan!

For assistance with making an emergency plan read more here »
. 1) FEMA Ready
. 2) American Red Cross Disaster and Safety Library
. 3) ReadyNC
. 4) Town Emergency Information
. 5) HBPOIN Hurricane Emergency Plan

THB – EVACUATION, CURFEW & VEHICLE DECALS
For more information » click here

If the Town declares a mandatory evacuation, PLEASE LEAVE
General Assembly during the 2012 Session, specifically authorizes both voluntary and mandatory evacuations, and increases the penalty for violating any local emergency restriction or prohibition from a Class 3 to a Class 2 misdemeanor. Given the broad authority granted to the governor and city and county officials under the North Carolina Emergency Management Act (G.S. Chapter 166A) to take measures necessary to protect public health, safety, and welfare during a disaster, it is reasonable to interpret the authority to “direct and compel” evacuations to mean ordering “mandatory” evacuations. Those who choose to not comply with official warnings to get out of harm’s way, or are unable to, should prepare themselves to be fully self-sufficient for the first 72 hours after the storm.

No matter what a storm outlook is for a given year,

vigilance and preparedness is urged.

NOAA forecasters lower Atlantic hurricane season prediction
Preparedness still key as more storms expected to develop
Conditions in the ocean and the atmosphere are conspiring to produce a less active Atlantic hurricane season than initially predicted in May, though NOAA and FEMA are raising caution as the season enters its peak months. “There are still more storms to come – the hurricane season is far from being over. We urge continued preparedness and vigilance,” said Gerry Bell, Ph.D., lead seasonal hurricane forecaster at NOAA’s Climate Prediction Center.
Read more » click here


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