Agenda - 04-13-2004-9c - Laserfiche WebLink

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a~~ Page 2 February 7, 2003 Agreement further contemplates that the system will be operated as an "enterprise" and that the County has discretion in setting rates, fees and charges. There is an overriding limit on this discretion., The County may not put into effect any Material Financing Change unless the County first obtains the consent of all the parties to the Agreement. Since the financing alternatives discussed here will not, in my mind, affect a Material Financial Change, that limitation on operational control of the system does not pertain. The notion that the County's solid waste system will be operated as an enterprise, is also the solid waste system method of preference in State law. Chapter 130A of the North Carolina General Statutes, which mandates that each county and municipality operate solid waste management systems and provide for' their financing states that counties and municipalities are encouraged to operate their solid waste management systems through use of an enterprise fund. The fee options that have been presented to the Solid Waste Advisory Board, to the Manager and to me fall into the category of "other fees" in the Agreement. Generally, these fees may be created or changed by the County by giving the other parties to the Agreement thirty days notice of the fee or the proposed fee change. If the Solid Waste Advisory Board recommends the change be approved, then the change can take effect if the County subsequently approves it. If the Solid Waste Advisory Board recommends that the change not be approved, then the change may take effect only if the County and at least one other party to the Agreement approves the change. "Other fees" do not include taxes. That is, the Agreement does not prohibit funding the solid waste system with taxes. However, since the solid waste management system is to be operated as an enterprise, the only taxes that fit the model are district taxes, The Agreement expressly provides that special district tastes related to the system are not covered by the Agreement. However the Agreement notes, correctly, that North Carolina law requires consent of a town for the property located in the town to be included in any special tax district. Once a town consents, then the county controls the special district tax, in its discretion.