NEWBERRY COUNTY COUNCIL

MINUTES

MAY 4, 2005

The Newberry County Council met on Wednesday, May 4, 2005 at 6:45 p.m. for a specially called meeting, the purpose of which was for County Council to take a vote on whether or not to increase the rollback millage for FY 05-06 in excess of the 2.7% based on the CPI, as permitted under §6-1-320 of the South Carolina Code of Laws, 1976, as amended, if Council determines that such an increase is necessary to meet the budget requirements for FY 05-06.

Present were:

Mike Hawkins, Chairman

William D. Waldrop, Vice-Chairman

John E. Caldwell, Councilman

Henry B. Summer, Councilman

John David Dawkins, Councilman

Andy Morris, Councilman

Edgar Baker, Councilman

Leonard B. Sossamon, Jr., County Administrator

Gary T. Pope, County Attorney

Susan C. Fellers, Clerk to Council

Debbie S. Cromer, Finance Director

Representing the news media:

Newberry Observer – Cindy Pitts

WKDK – Heather Hawkins

Whitmire News – Cassie Fowler

As required by law, notice of the meeting was duly advertised.

Mr. Hawkins called the meeting to order and determined a quorum to be present.

Mr. Hawkins stated this does not mean that Council anticipates increasing the millage. Based on the budget workshops and conversations with Council members, nobody has indicated a willingness to increase the millage. The reason for this meeting is for Council to have the option should it decide in the fall of the year that we have to do this. State law requires that if we want to increase the millage this much, we have to have this hearing and we have to have a super majority voting yes for it to pass.

Mr. Hawkins called for public comments.

Dennis Fallow, 662 SC 56 in Chappells, objected to the meeting because it and any vote recorded would be illegal. This meeting does not satisfy the requirements under §6-1-320(A). Public comment on this issue must be taken by the Council. The public cannot comment on this issue that may or may not exist or that is unknown. This voting meeting must be held after the millage rate is known or it is impossible to make comments on the issue. If this meeting is used in a process to raise the millage rate in excess of the consumer price index, a judicial review could become necessary.

Mr. Dawkins asked for Mr. Pope’s response. Mr. Pope stated it was Mr. Fallow’s privilege to sue the County.

Mr. Caldwell asked whether the meeting was legal or illegal. Mr. Fallow stated you have to be able to take public comments on the issue to satisfy the statute. The statute will not be satisfied if the public cannot comment on the issue. As the Chairman said, we don’t know what the issue is because you don’t know what it is going to be.

Darrell Childers, 42 Goggins Court, off of Pineland Road, was opposed to the tax increase because he receives no water, sewage, gas, cable TV, or garbage collection. When Pineland Road was paved, we received a terrible paving job. The pavers turned and went about 30 feet up into Goggins Court and stopped and left it gravel because the road was not deeded to the County.

Hart Cartrette, 157 Middleton Place, Prosperity, in the Plantation Point Subdivision, received his appraisal and the average increase in his subdivision was 85.5%, which would be a substantial tax increase. Their neighborhood pays an unfair percentage county tax with little or no benefits. The one cents sales tax was to help hold down the taxes for the county and this apparently is not working. An increase in the millage rate would be double dipping and would only compound the taxpayers’ problems.

Howard Thomes, Waters Edge Development, felt there was a windfall in the making with the recent reassessment. This equates to blank check bookkeeping and not something considered to be very professional or required. He suggested that Council find out what is needed and to what extent and then ask the public for support. Newberry’s property taxes are already the highest in the State and the services are not any better. Many citizens are threatened and are on fixed income. Many of the jobs proposed to be added are non-valuated jobs and add permanent overhead to an already very expensive form of government. He urged Council to take the time to understand why extra money is needed and itemize it, explain it to the public and give them a chance to look at it. Mr. Thomes encouraged Council to develop a cost reduction process that improves productivity of tax dollars, doing more with less.

Mr. Hawkins recommended that he provide his suggestions in writing so they could be distributed to the Council members.

Mr. Dawkins advised that the article in the newspaper compared cities rather than counties. Newberry County assesses no fees as some of the other counties do.

Mr. Morris added that the county is not in the water, sewer or natural gas business. We have garbage service even though we have to take our garbage to the convenience centers. Approximately $.29 of each $1.00 on the tax bill goes to support county ordinary taxes. $.71 of each $1.00 supports the school system. The County does not own the hospital, but does own the property on which the hospital is located. The hospital is self-sufficient, generates its own revenue and pays its own bills.

There being no further comments from the public, Mr. Summer moved to override the limitation and increase the rollback milllage rate beyond the CPI of 2.7%, if necessary, to meet budget requirements for FY 05-06; second by Mr. Morris.

Mr. Morris stated this was a prudent business decision. The budget will be finalized in the next few weeks. As currently written, the budget contains no tax increase but we don’t know what could happen in the county between now and when the millage is set in the fall of the year. The millage rate is currently 349 mills. The budget we are proposing rolls that millage back to the 290 mill range.

Mr. Dawkins stated 70% of the tax bill goes to public schools over which County Council has no control. This hearing is not held just on reassessment years, but every year. Mr. Dawkins requested that Mr. Pope research the comment about the holding of this hearing.

Mr. Pope advised this is the appropriate time to have the hearing. The statute doesn’t specify a specific time but has to be done in connection with the budget process and is done before the levy is set. Council can have another hearing later but there is no necessity to do that. The statute only requires one hearing and a super majority at that hearing.

Mr. Pope reminded the citizens if they felt their property was valued too highly to take advantage of the appeals process through the Assessor’s Office.

Mr. Dawkins requested the County Attorney to contact the Department of Revenue about postponing the reassessment for a year, and their response was that since it had already been postponed one year, State statute would not allow it. Reassessment is mandated by state law and has to be done every five years.

Mr. Caldwell felt this was giving Council a blank check to sign any way you want. The timing is not right.

There being no further discussion, Mr. Hawkins called for the question. Voting for the motion: Councilmen Hawkins, Summer, Dawkins, Morris and Baker. Voting against the motion: Councilmen Waldrop and Caldwell. Motion passed.

Mr. Dawkins moved to adjourn; second by Mr. Waldrop. Vote was unanimous.

There being no further business, the meeting adjourned at 7:14 p.m.

NEWBERRY COUNTY COUNCIL

____________________________________

Mike Hawkins, Chairman

____________________________________

Susan C. Fellers, Clerk to Council