Agenda - 02-19-2013 - 5a - Laserfiche WebLink

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35 1 The Board considered recommendations for the use of the General Fund unassigned 2 Fund Balance in excess of the BOCC's fund balance policy. 3 Clarence Grier introduced this item. 4 5 On April 5, 2011 , the BOCC adopted a fund balance policy that states: 6 The County will strive to maintain an unassigned fund balance in the General Fund of 7 17% percent of budgeted general fund operating expenditures each fiscal year. The 8 amount of unassigned fund balance maintained during each fiscal year should not fall 9 below 8% percent of budgeted general fund operating expenditures, as recommended 10 bythe North Carolina Local Government Commission (Attachment 1). 11 12 Over time, the County's financial reserves grew. On June 30, 2012, the general fund's 13 unassigned fund balance totaled $39.6 million (Attachment 2). Of this amount, $3.2 million was 14 appropriated, prior to the end of the fiscal year. After these appropriations, the general fund's 15 unassigned fund balance was $36.4 million, which illustrated a 125% increase in the 16 unassigned fund balance since June 30, 2009 (Attachment 3). Additionally, this represented 17 20.77% of budgeted general fund operating expenditures or $6.6 million, as of June 30, 2012. 18 For the current fiscal year, the County has appropriated $4.8 million of the excess fund balance. 19 The $3 million appropriated to establish and fund the Other Post Employment Benefit (OPEB) 20 Trust was a Manager recommendation as part of the fiscal year June 30, 2013 Operating 21 Budget to fully fund the total required OPEB contribution for the current fiscal year. It has been 22 recommended by the Local Government Commission (LGC) and the Bond Rating Agencies that 23 the County addresses the funding of its OPEB liability. Without addressing this growing liability, 24 which currently totals $64 million, the LGC and the Bond Rating agencies have informed staff 25 that the County's ability to issue debt in the future could be limited. Additionally staff 26 recommends that the BOCC consider the suggested uses of the $1 .86 million available 27 unassigned balance outlined in attachment 2. 28 Clarence Grier said that if this is addressed, then Orange County would be an AAA 29 County. 30 A motion was made by Commissioner Jacobs, seconded by Commissioner Foushee to 31 appropriate the Other Post Employment Benefit (OPEB) money of $3 million and defer the 32 other items until the regular budget cycle. 33 VOTE: UNANIMOUS 34 35 e. Review of Draft Recommendations from the Historic Rogers Road Neighborhood 36 Task Force 37 The Board considered the draft recommendations from the Historic Rogers Road 38 Neighborhood Task Force and provided guidance to the Task Force and the Assembly of 39 Governments. 40 Michael Talbert said that the task force is not ready to disband yet and they want to 41 continue their work. He said that attached to the abstract are draft recommendations prior to 42 the joint meeting with the AOG. He read the draft recommendations. 43 44 Recommendations to the Assembly of Governments 45 Historic Rogers Road Neighborhood Task Force 46 November 14, 2012 47 Recommendations: 48 1 . That the Task Force continue to meet, to address the Charge of the Task Force, for an 49 additional 6 months with the original composition of the Task Force.