HomeMy WebLinkAbout2/18/2003 - Special
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Roanoke County Administration Center
5204 Bernard Drive
Roanoke, Virginia 24018
February 18, 2003
The Board of Supervisors of Roanoke County, Virginia met this day at the
Roanoke County Public Service Center, 1216 Kessler Mill Road, Salem, Virginia, this
being an adjourned meeting from February 11, 2003 for the purpose of conducting a
budget work session.
IN RE: CALL TO ORDER
Chairman McNamara called the meeting to order at 5:27 p.m. The roll call
was taken.
MEMBERS PRESENT:
Chairman Joseph McNamara, Vice-Chairman Richard C.
Flora, Supervisors Joseph B. “Butch” Church, H. Odell
“Fuzzy” Minnix
MEMBERS ABSENT:
Supervisor Michael W. Altizer
STAFF PRESENT:
Elmer C. Hodge, County Administrator; Diane S. Childers,
Clerk to the Board; John M. Chambliss, Assistant County
Administrator; Dan O’Donnell, Assistant County
Administrator; Diane D. Hyatt, Chief Financial Officer
IN RE: WORK SESSION
1. Overview of Budget Methodology. (Brent Robertson, Budget
Director)
The budget work session was presented by Brent Robertson and was held
from 5:27 p.m. until 6:55 p.m.
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Mr. Robertson provided an overview of the budget development process
which includes identification of core departmental values and determining the
department’s goals, objectives, and strategies. The departmental business plans
provide an overview of these issues.
2. Departmental Budget Reviews:
(a) Economic Development (Doug Chittum, Director of Economic
Development)
Mr. Robertson introduced Doug Chittum, Director of Economic
Development, and indicated that the departmental budget for fiscal year 2003-2004 is
$541,000 and the department maintains three cost centers.
Mr. Chittum outlined the philosophy of the Economic Development
Department which focuses on three segments: supporting existing businesses,
attracting new businesses, and serving as a liaison between government and
businesses to provide a favorable climate to foster economic growth.
Mr. Chittum reported that marketing efforts have been focused on
advertisements for the Center for Research and Technology (CRT), participation in
Chamber of Commerce events, and joint regional efforts. He indicated that the
department strives to present Roanoke County as a vital partner in the regional
economy. He noted that the Economic Development Department coordinates with the
Department of Community Development with regard to funding contracting costs at
CRT.
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In response to a question from Supervisor McNamara, Mr. Chittum stated
that investment in CRT offers the greatest potential for future development. He stated
that the visual enhancement project at CRT has begun, which involves installation of
interior signage and landscaping, entrance signage, and overall presentation of the
Center. He noted that development of the Vinton Business Center (formerly McDonald
Farm) is a long-term goal and the Town of Vinton has taken the lead role in this project
with support from the County. He also stated that it is important for the County to focus
on opportunities driven by the private sector, and indicated he would support the private
sector taking the lead role in industrial development projects.
Supervisor Minnix indicated a need to address a long-term goal of
establishing partnerships with Virginia Tech and Carilion Health Systems. Mr. Chittum
reported that staff has met with both these organizations, and they are working to build
relationships with a regional perspective.
Supervisor Church concurred with Mr. Chittum that CRT should receive
the County’s top priority. He also emphasized the need to maintain relationships with
existing businesses.
Supervisor McNamara asked if the $1.07 million previously allocated to
CRT will continue to be used for the same purpose. Mr. Chittum stated that there is
always work remaining to be completed, and if additional businesses locate in CRT,
work will need to be done to prepare those sites. Mr. Chittum indicated that this money
would continue to be needed at CRT.
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(b) Treasurer (Fred Anderson, Treasurer)
Mr. Robertson introduced Fred Anderson, Treasurer, and reported that his
departmental budget for fiscal year 2003-2004 is $676,000.
Mr. Anderson stated that short-term strategic issues facing the Treasurer’s
Office include: (1) The possibility of continued state funding reductions. (2) Inability to
convert to an electronic system of distributing tax bills due to the HP migration. The
General Assembly passed legislation last year that would allow the Treasurer to send
tax bills via e-mail, which would result in a decrease in postage and personnel costs. (3)
Increasing postage rates. Mr. Anderson reported that the cost of mailing tax bills to
citizens comprises approximately 10% of the Treasurer’s budget. (4) The equipment
used to code tax bills needs replacing and the service contract costs continue to rise.
Unless the equipment is upgraded, the service contracts will continue to rise with
increases approaching 5% – 10% annually. This equipment is necessary because it
reduces the number of staff necessary to handle the tax bills. The possibility of
implementing a document imaging system was discussed, and Mr. Anderson indicated
that a determination would need to be made on the cost effectiveness of conversion. In
response to a question from Supervisor Minnix, Mr. Anderson reported that the cost of
replacing the coding equipment would be approximately $150,000.
Supervisor McNamara inquired about the possibility of contracting these
services through a bank (lockbox processing), and Mr. Anderson indicated that this
would be a possibility. Supervisor McNamara stated that the problem facing the
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Treasurer’s Office is the surge in manpower needed to handle tax bills during the month
of May.
In response to a question from Supervisor Minnix, Mr. Anderson reported
that delinquent tax sales have not proven to be an efficient method for recouping
delinquent funds for the County. At present, the Treasurer turns delinquent notices over
to the County Attorney’s office for collection.
The possibility of staggering the sale of County decals to correspond with
the expiration of State license tags was discussed. It was noted that this would
eliminate the large surge of business that is transacted in May, resulting in lower
personnel costs and smoother work flows. Mr. Anderson also reported that beginning in
Spring 2003, he will have the ability to work through the Division of Motor Vehicles
(DMV) to place a “stop” on a person’s ability to purchase State license tags if their
personal property taxes are delinquent.
(c) Libraries (Diana Rosapepe, Library Director)
Mr. Robertson introduced Diana Rosapepe, Library Director, and reported
that the County spends approximately $2.0 million annually for library services.
Ms. Rosapepe reported that positive issues within the library system are:
library usage is increasing, citizens are requesting more services, libraries continue to
pursue innovations in technology, classes and programs are full with many containing
waiting lists, Roanoke County is the library of choice in the Roanoke Valley with 55-60%
usage ratios, and customer service standards remain high. Ms. Rosapepe reported that
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the average work day at the Headquarters library will involve interaction with
approximately 250 individuals.
Ms. Rosapepe stated that issues facing the libraries are as follows: (1) A
decade of level funding has translated to a decline in funding due to inflation. The
library’s allocation from the State is declining, further impacting their ability to
adequately fund book purchases. (2) The popularity of databases has increased
significantly, but they are prohibitively expensive to purchase. Citizens are demanding
remote access for these types of services and while demand for databases continues to
increase, the demand for books remains steady.
Ms. Rosapepe indicated that in order to keep the libraries open, the
budget for purchasing books has been reduced and the funds shifted to cover personnel
costs. She indicated that it has not proven feasible for the library to reduce operating
hours because citizens will return on the next operating day, thus overwhelming staff.
The need to revise the fine ordinance, which was adopted 12 years ago, was discussed.
Ms. Rosapepe stated that due to the rising cost of books, there needs to be greater
fluidity in the fine ordinance. It was the consensus of the Board that this issue should
be re-examined.
In response to a question from Supervisor McNamara, Ms. Rosapepe
reported that her budget for purchases is $205,000, which is a decrease from $254,000.
Ms. Rosapepe stated that the key long term issue facing the Libraries is
the need for renovations at several of the buildings. She stated that there are 49,000
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registered citizens transacting business at County libraries each year who make repeat
visits. There were in excess of 800,000 visitors to the libraries last year. Ms. Rosapepe
noted that the majority of the operating budget is spent on research and circulation
(77% of budget) and automation (17% of budget).
Supervisor Church stated that the Board needs to find a method to
continue meeting the needs of the library.
Supervisor McNamara questioned what had prompted the reduction in
book purchases from $254,000 to $205,000. Ms. Rosapepe stated that funding needed
to be shifted to cover part-time personnel costs and a test server which was part of the
library consortium costs. In addition, Botetourt County’s costs increased an additional
$3,000, and this impacted the County as well. Supervisor McNamara stated that the
one-time cost of funding the test server should be covered from year-end balances.
In response to a question from Mr. Hodge, Ms. Rosapepe reported that
the add-back request with the highest priority is the periodicals database, a $28,000
unfunded mandate, which is a recurring cost. She also noted that funding of vehicle
purchases is an issue for the department.
(d) Human Resources (Joe Sgroi, Director of Human Resources)
Mr. Robertson introduced Joe Sgroi, Director of Human Resources, and
reported that the Human Resources budget for 2003-2004 is $464,000.
Mr. Sgroi reported that the Human Resources Department strives to be a
business partner with diverse departments, to provide professional consulting services,
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and to offer a staff that is proactive in employee relations. He stated that staff tries to
focus on value added activities (high touch and high tech) versus transactional activities
to improve the organization.
Issues facing the Human Resources Department include: (1) The Lawson
payroll system is being challenged by hardware constraints and improvements are
subject to completion of the HP migration. In response to a question from Mr. Hodge,
Mr. Sgroi indicated that this system handles payroll for both County and School
employees. (2) Staff continues to place emphasis on minority recruitment of a diverse
workforce. Mr. Sgroi noted that additional funding is needed to increase efforts in this
area. (3) Increased emphasis on E-government has resulted in approximately 60% of
employment applications being received online. The need for laser printers to handle
printing of these applications was noted. (4) Document imaging is needed for improved
file management. (5) The Health Insurance Portability and Accountability Act (HIPAA)
is an unfunded mandate which will increase the responsibilities of the human resources
department.
Mr. Sgroi reported that recruitment and retention of employees is a key
issue facing human resources. He noted that the demographics are changing and the
County has experienced a record number of retirements. The environment for
recruitment of new employees is very competitive, but staff is targeting colleges and
career fairs throughout the region. In response to a question from Supervisor Minnix,
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Mr. Sgroi reported that County salaries remain competitive but students are facing
greater ranges of job opportunities across different industries.
Mr. Sgroi emphasized the need for employee training and stated that there
has been a gradual “flattening” of the organization through increased employee
responsibilities. This produces a greater need for employee recognitions, pay for
performance, and competitive benefits packages. Mr. Sgroi stated that the health of the
organization is good and he reported that grievances have been declining. In response
to a question from Supervisor Minnix, Mr. Sgroi reported that Human Resources’ role in
the grievance process is not only to facilitate the process, but also to meet with the
employee and discuss the grievance in an attempt to resolve the issue.
In response to a question from Supervisor Minnix, it was reported that
approximately 50% of County employees who leave their jobs do so for what appears to
be higher paying jobs.
In response to a question from Supervisor McNamara, Mr. Sgroi reported
that the highest turnover rates exist in the lower skilled jobs and indicated that it might
be beneficial to examine the wage base. He noted particular difficulty in replacing
professional positions due to higher salary demands. The importance of employee
recognition programs was emphasized.
In response to a question from Supervisor McNamara, Mr. Sgroi reported
that the County issued an Employee Benefits Statement in 2002, which was produced
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in-house at a great cost savings. This statement will continue to be issued to
employees annually to keep them apprised of their benefits package.
There was discussion regarding the adequacy of the Lawson payroll
system, and it was stated that the system is adequate but the problem relates to
insufficient server capacity and the need to upgrade the hardware. Supervisor
McNamara suggested the possibility of buying software on a lease/purchase plan.
IN RE: ADJOURNMENT
Chairman McNamara adjourned the meeting at 6:55 p.m. until
Wednesday, February 19, 2003 at 10:00 a.m. at the Roanoke County Administration
Center for an economic development announcement and related action.
Submitted by: Approved by:
________________________ ________________________
Diane S. Childers Joseph P. McNamara
Clerk to the Board Chairman