ORD-2014-011 Report and Recommendations from the County and Town Managers Regarding the Implementation of Improvements in the Historic Rogers Road Neighborhood

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• 27 •The first allegation related to the complaint that I will address is that Orange County"has direct influence in shaping OWASA's agenda because Orange County appoints two members of the OWASA board of directors." Water and sewer service in the Historic Rogers Road Area is operated and maintained by V j OWASA. OWASA's governing board is comprised of nine members,five of whom are appointees of the Town of Chapel Hill,two appointees from the Town of Carrboro, and two appointees from Orange County. Orange County has absolutely no influence over, or involvement with,water and sewer service - or operations by OVVA$A. Nor, beyond the appointment of two members to its governing board,does • Orange County have any authority over the governing board of OWASA. OWASA's governing board, together with its senior staff, is solely responsible for administrative and operational decisions regarding OWASA's provision of water and sewer service. The OWASA organizational chart may be viewed here. As you will see Orange County is nowhere in the organizational chart. You will also not find any indication whether through board minutes, notes, news reports, or any other source that Orange County - has any influence over OWASA's agenda,activities or operations. Another allegation is that Orange County sought grants from the EPA for the Efland and Buckhorn areas and intentionally refused to seek grants for the Historic Rogers Road area. This also is false. Neither Orange County nor the Orange County Planning and Inspections Department unilaterally sought grants from the EPA for the expansion of wastewater systems in the Efiand and Buckhorn communities. Congressman David Price earmarked funds in 2003[Consolidated Appropriations Resolution,2003, (P,L. 108-7)1 and 2005[Consolidated Appropriations Act,2005, (P.L. 108-447)1 for the aforementioned areas. Upon the funds becoming available the Orange County Planning and inspections Department followed guidelines set forth by EPA Region 4 for special appropriation projects("SPAP")to receive the grant awards including permission from the Orange County Board of Commissioners to pursue the earmarked/allocated wastewater grants, but did not formally apply for the earmarked funds. In 2004 the County retained an engineering firm to begin designs for the areas on which the SPAPs were • to be expended. In 2009 engineering design was still underway but no formal application had been made for the SPAP funds when the County was notified that unused SPAPs could be rescinded and/or forfeited if not formally applied for with the associated paperwork for receipt of funds. Due to the possibility of the funds becoming unavailable Orange County formally applied for the funds in 2010. Some additional information of which EPA staff may not be aware is as follows: Beginning last year,the Orange County Board of Commissioners.commissioned a task force comprising residents of the Rogers Road Area,Orange County Commissioners,Carrboro Aldermen,and Chapel Hill Town Council members to examine what could be done in the Rogers Road Area to assist the community. In the course of Its work I received notice of the EPA investigation: Upon my receipt of that notice I immediately advised the • Orange County Board of Commissioners that it should suspend any expenditure of funds in the Rogers Road Area until such time as the investigation is closed and we can determine what,if anything, EPA would demand of Orange County. Despite this,the task force has continued its work and is scheduled to present its recommendations to the county,and town governing bodies on November 21st. Among other things the task force is recommending the construction of a public community center and the extension of sewer lines in the Rogers Road Area. • The construction of a public community center in the area is proceeding. This project has been approved by the Orange County Board of Commissioners for an approximately 4000 square foot structure with a construction budget of up to$700,000. Initial bids have been rejected because those bids came in at - almost double the amount budgeted,however,the project is being re-bid. The extension of sewer lines represents a substantially larger investment of public dollars and for this reason in light of the open investigation I have continued to advise the Board of Commissioners to suspend consideration of the extension of sewer lines for so long as the investigation remains open. As - I'm sure you realize the reason for this recommendation is that Orange County could expend millions of ' •