NEWBERRY COUNTY
COUNCIL
MINUTES
JANUARY 17, 2007
Newberry County Council met on Wednesday, January 17, 2007, at 7:00 p.m. in Council Chambers at the Courthouse Annex for a regular meeting.
Present were: Henry B. Summer, Chairman
William D. Waldrop, Vice-Chairman
John E. Caldwell, Councilman
Mike Hawkins, Councilman
John David Dawkins, Councilman
Henry H. Livingston, III, Councilman
Edgar Baker, Councilman
Wayne Adams, County Administrator
Gary T. Pope, County Attorney
Susan C. Fellers, Clerk to Council
Media: Heather Hawkins, WKDK
Cindy Pitts, Newberry Observer
Notice of the meeting was duly advertised as required by law.
Mr. Summer called the meeting to order and determined a quorum to be present.
Mr. Adams had the invocation followed by the Pledge of Allegiance.
Mr. Summer presented the engraved gavel to Mike Hawkins, former Chairman, and thanked him for his service as Chairman during 2005 and 2006.
1. Adoption of Consent Agenda.
Mr. Waldrop moved to adopt the consent agenda; second by Mr. Baker. Vote was unanimous.
2. Additions, deletions and adoption of agenda.
Mr. Livingston moved to adopt the agenda as mailed out; second by Mr. Dawkins. Vote was unanimous.
Mr. Hawkins moved to allow Council Members to choose seating based on seniority; second by Mr. Waldrop. Vote was unanimous.
3. Public Comments.
The following persons signed up and were allowed to speak:
· J.W. Daugherty – Council wasting time to arrange seating, budget and taxes.
· Mike Bedenbaugh – additional one cents sales tax, budget and Citizens Advisory Committee.
· Josh Martin - requested permission to apply for agricultural assessment.
Mr. Dawkins moved that if Mr. Martin’s property qualifies for agricultural use to grant permission for him to apply even though his request is a day late; second by Mr. Waldrop.
Mr. Adams asked if that would hold true for other similarly situated property owners. Mr. Pope advised Council has the right to waive it and correct an error.
Mr. Dawkins agreed that if Mr. Adams looks at any case for the rest of this year and it qualifies, that the deadline date be waived.
There being no further discussion, Mr. Summer called for the question. Vote was unanimous.
· Elaine Kohler – petition to increase sales tax and eliminate property tax.
4. Ordinance #12-54-06: An Ordinance to amend the Budget Ordinance
for the fiscal year 2006-2007, Ordinance #06-16-06, so as to incorporate supplemental revenues and
appropriations into the budget for the current fiscal year, and to make
mid-year adjustments in the spending required for County Operations, and to
approve the administrative transfer of certain funds, and to request that the
Auditor make certain calculations and recommendations.
Mr. Adams stated at the January 3 meeting staff presented a list of cuts in the net amount of approximately $1,545,000. The total gross amount of the cuts presented here is $1,775,546. After projecting shortfalls in the revenue and also the costs of the Tax Anticipation Note interest, which total together $261,894, the net reduction is $1,513,652, which is $31,883 less than staff reported at the January 3 meeting. The text of the ordinance in section 3 transfers the net spending reduction total to an expenditure line item designated for tax relief. This ordinance allows that once the outstanding Tax Anticipation Notes have been repaid and revenue performance against the budget verified, these funds can be spent for any combination of tax relief, repairs to existing facilities, and increasing the County’s reserves so as to avoid the use of Tax Anticipation Notes. Section 5 calls for the Auditor to calculate and implement any millage reductions Council might call for in respect to reduced spending. This Ordinance by itself does not initiate a millage reduction. The millage reduction would have to be implemented by a separate vote of Council.
Property tax relief is mentioned in the ordinance, and when it was discussed at the January 3 meeting, an example of a 16 mill reduction was given on a $100,000 home, which was roughly $64. In looking at other ways to enhance the property tax relief, it would still only be roughly $1.5 million. To enhance it for any one class of property owners you have to take from another. One of the constant themes in the hearings has been that people are afraid their homes would be sold because they owe property taxes. For that reason staff has developed recommendations that concentrate on the owner occupied home as a class for property relief. The first has to do with extending the homestead credit, which would affect approximately 4,000 parcels and $4,000,000 in assessed value. If we apply the County operations millage to this gross assessment, the cost of the tax relief would be $542,000. As proposed in this ordinance, it would be a one time provision, and the additional tax relief on a home valued at $75,000 would be $135. We can increase the tax relief if we more narrowly focus it, but that again will take from the relief of other classes of property.
A second ordinance, which is in the discussion phase, would offset the loss of a legal residency credit that property owners have been enjoying initially meant as relief from the School operations. That was frozen some years ago, and when you have a reassessment, it raises the amount of value that is exposed to that credit, which means it is spread more thinly. For a person with a $100,000 owner occupied home this year, that meant an increase in taxes of $146, which equates to approximately 36 ˝ mills. One idea under discussion is to offset that loss in the credit and what was a 36 ˝ mill increase. By coincidence the increase of the County operations levy over the rollback levy was also 36 ˝ mills. The cost of this as applied to $23.5 million in assessed value that would be exposed to the credit would be $857,000. For a $100,000 home, which would be the maximum this would apply to, as with the legal residency credit, that would mean $146 would come back. A home valued at $150,000 that qualifies for both of these incentives would see tax relief of $281.50.
Mr. Summer called for the public hearing. There being no comments from the public, Mr. Summer declared the public hearing closed.
Mr. Waldrop moved for third reading; second by Mr. Baker.
Mr. Hawkins asked if the ordinance needed to be amended to incorporate some of the suggestions. Mr. Summer said agenda item 5 would be the homestead exemption ordinance, but Mr. Adams has recommended that third reading of that ordinance be delayed until the revenues could be checked. Mr. Adams recommended that the Tax Anticipation Notes be paid off first, which are due April 13. At that time we review the revenues to make sure they are performing as estimated to determine if we have the money to give the tax credit. It is difficult to estimate this year because it is an atypical year as far as the tax receipts coming in. We had high tax bills, which is an impediment for people to pay. We also have broken the bills in half for a lot of people so the cash flow is not such that we can really project the revenues as well as in a normal year. Mr. Adams recommended waiting for any property tax relief measures to be enacted until the County knows it has the money. Since the wording of this ordinance is somewhat different with the information provided, Council should consider this ordinance on an as amended basis.
Mr. Hawkins moved to amend the ordinance that all tax relief that we can provide go to owner occupied residential; second by Mr. Dawkins. Mr. Hawkins also added to his amendment the figures in paragraph 2 of the ordinance. Mr. Dawkins added that to his second. Vote for the amendment was unanimous.
Mr. Summer called for the question on the main motion as amended. Vote was unanimous.
5. Ordinance #12-55-06: An Ordinance to amend the Budget Ordinance
for the fiscal year 2006-2007, Ordinance #06-16-06, so as to provide for
supplemental revenues and appropriations to fund an additional homestead exemption
for those taxpayers who are qualified for the State homestead exemption, so as
to increase the effective homestead exemption for these qualified taxpayers to
the first $75,000 of fair market value of the qualified residential property of
such taxpayers for County Ordinary tax purposes, with the County paying the
additional cost of funding this additional relief on the $25,000 in fair market
value over and above the first $50,000 in fair market value that is subject to
the State’s homestead exemption and to adjust the budget accordingly, and to
provide for the cost of additional software, office supplies and labor required
to implement this form of tax relief and related matters.
Mr. Summer called for the public hearing.
Some members of the public had questions regarding their specific situations, which were answered by Mr. Adams and Council.
Mr. Summer advised that persons who qualify for this would get a refund.
There being no other questions or comments from the public, Mr. Summer declared the public hearing closed.
Upon recommendation of Mr. Adams, third reading was delayed.
6. Ordinance #12-56-06: An Ordinance imposing a local option sales
and use tax, subject to approval by referendum by the qualified electors of
Newberry County in November 2007, to provide a credit against county imposed
property taxes, with said sales and use tax to be imposed and collected within
Newberry County starting on July 1, 2008 at a rate of up to a maximum of 1 per
cent per dollar, but at such rate as actually determined by the Office of Research
and Statistics, and providing for related matters, pursuant to Chapter 10 of
Title 4 of the 1976 S.C. Code of Laws, as amended, and as authorized by 2006
Act No. 388.
This ordinance would allow the voters to vote on a penny sales tax next November.
Mr. Summer called for the public hearing.
The following persons spoke at the public hearing: Elaine Kohler, Jim Huff, Donnie Berry, Nancy Dickert, and other unidentified persons.
Mr. Pope advised that the State law in effect this year based on the constitutional amendment says that the budget increase is limited by the CPI and by actual growth. Basically there won’t be any more budget increases. School taxes will be reduced by the state-wide 1% sales tax. This goes to offset the property tax with the levy by the County.
Mr. Pope advised there is a provision for putting on a 2% sales tax to replace vehicle, airplane and boat taxes. The people in Columbia have to figure the exact rate down to one-tenth of a cent. Then the other penny sales tax would go toward real property relief, and that is the only legal way to get a 3% sales tax that has been discussed.
There being no further discussion, Mr. Summer declared the public hearing closed.
Mr. Summer stated there were 62 exemptions to the sales tax in the law. One way to get more money for the State and County is to eliminate some of those exemptions, but the County level can’t do anything about that.
Mr. Baker moved for third reading; second by Mr. Waldrop. Vote was unanimous.
7. Ordinance #01-01-07: An Ordinance to amend the Official Zoning
Map established pursuant to Zoning Ordinance #12-24-01 so as to rezone a tract
containing approximately 4.59 acres, designated as a portion of TMS Parcel No.
340-3-9 from Rural (R-2) to General Residential (RG).
Mr. Caldwell moved for second reading; second by Mr. Baker. Vote was unanimous.
8. Ordinance #01-02-07: An Ordinance to amend the Official Zoning
Map established pursuant to Zoning Ordinance #12-24-01 so as to rezone a tract
containing approximately 8.5 acres, designated as a portion of TMS Parcel No.
739-38, from Rural (R-2) to General Commercial (GC).
Mr. Waldrop moved for second reading; second by Mr. Dawkins. Vote was unanimous.
9. Ordinance #01-03-07: An Ordinance to amend the Official Zoning
Map established pursuant to Zoning Ordinance #12-24-01 so as to rezone a tract
containing approximately 29 acres, designated as TMS Parcel No. 450-4, from
Rural (R-2) to Residential (RS-2).
Mr. Waldrop moved for second reading; second by Mr. Baker.
10. Ordinance #01-04-07: An Ordinance to amend the text of the
Newberry County Zoning Ordinance #12-24-01 (Chapter 153 of the County Code) so
as to amend the district regulations relating to the temporary placement of manufactured
homes in certain zoning districts for the housing of the infirm, the elderly
and others needing assistance.
Anne Peters, Zoning Administrator, said this came from the Board of Zoning Appeals because this was only renewable twice for a total of four years, and the elderly family member might need care beyond those four years. They would like it reworded to allow for conditional renewal every two years without restriction assuming there is a physician’s letter that the need is still there.
Mr. Hawkins moved for first reading; second by Mr. Baker. Vote was unanimous.
11. Committee Reports.
No reports.
12. Appointments.
Mr. Livingston recommended the reappointment of Lee Bedenbaugh to the Board of Zoning Appeals.
Mr. Livingston advised that Todd Griffith, Consolidated #5 member of the Board of Rural Fire Control, had left for Afghanistan and recommended that Wayne Blount be appointed to fill that position while Mr. Griffith is out of the country.
There being no further appointments, Mr. Waldrop moved to accept the nominations; second by Mr. Caldwell. Vote was unanimous.
13. Composition
of, and appointments to, the Citizens Advisory Committee.
Mr. Adams recommendation as to composition was as follows:
Committee Composition:
Participant Category Representation
Volunteers from Sign-up List Six (6) members
Finance sector Two (2) members
Real Estate/Development Two (2) members
Law Enforcement Two (2) members
Medical Services Two (2) members
Public Education Two (2) members
Small Business Ownership Two (2) members
Home Ownership Two (2) members
Industry Two (2) members
Infrastructure Two (2) members
Municipal Government Two (2) members
Senior Citizens Two (2) members
Social Workers Two (2) members
Non-profit Organizations Two (2) members
Religious Community Two (2) members
Mr. Baker moved to accept Mr. Adams’ recommendation; second by Mr. Livingston. Vote was unanimous.
14. Executive
Session (if needed).
No Executive Session.
15. Future
Meetings.
The next Council meeting will be February 7, 2007 at 7:00 p.m.
16. Comments
from County Administrator.
Mr. Adams advised Council members would receive questionnaire as to when they want to hold the annual Retreat, which will have a series of weekend dates to choose from. Council is encouraged to return that to the Clerk to Council as soon as possible.
17. Comments
from Council Members.
In response to comments from the audience about the Retreat, Mr. Dawkins explained that Council at the beginning of the year has a planning retreat held somewhere in Newberry on Friday night, Saturday and Sunday for planning for the year ahead.
18. Vote
for Adjournment.
Mr. Waldrop moved to adjourn.
19. Adjournment.
Meeting adjourned at 8:29 p.m.
NEWBERRY COUNTY COUNCIL
____________________________________
Henry B. Summer, Chairman
____________________________________
Susan C. Fellers, Clerk to Council
APPROVED: FEBRUARY 7, 2007