Commissioners - Regular Meeting

The director

We need to pick that up in a few minutes. today.

Okay. Okay. If everyone will. Good morning. I want to call to order the March 2nd, 2026 regular meeting of the Haywood County Board of Commissioners. Our first order of business will be our pledge of allegiance. And after that, we'll have our invocation. And if everyone, if you can please stand for the invocation. To the flag of the United States of America and to the republic for it stands one nation under God indivisible with liberty and justice for all.

Please have a seat. Our 26th president, Theodore Roosevelt, was unexpectedly ushered into office as president of the United States after William McKinley, president at the time, was shot and killed by an assassin. Mr. Roosevelt led a storied life. In fact, there's a picture in Union Square, North uh New York City, where Lincoln's procession in April of 1865 encompassed a group of people on the street to watch as Lincoln was laid to rest. And in a window was a six-year-old Theodore Roosevelt, who knew at that time he was destined for a life in public service. His life saw him become commissioner of the New York City Police Department where he meed out processes and procedures that led to the corruption of several in that office. And he did so under great stress and duress. He also went on to file the first antitrust lawsuit against JP Morgan at the time, fought railroad barons and came up with the Food Safety Act, which protected Americans from unsanitary practices uh in food preparation. I say all that to say this, he lived the life embroiled in political discourse and conflict, but the result of that are things that we live with today. to include a national park service that we can all enjoy as Americans that are not privately owned to enjoying and knowing that our food is most likely safe among other things. He was known best for a quote in that he made in 1910 in France concluding his second year in office and he says this. It is not the critic who counts, not the

man who points out how the strong man stumbles or where the doer of deeds could have done better. The credit belongs to the man who is actually in the arena, whose face is marred by dust and sweat and blood, who strives valiantly, who hes and comes up short again and again because there there is no effort without error or shortcoming, but who knows the great enthusiasms, the great devotions, who spends himself in a worthy cause, who at best knows in the end the triumph of high achievement, and who at the worst, if he fails, at least he fails. while daring greatly so that his place shall never be with those cold and timid souls who knew neither victory nor defeat. It's also a little known fact that he was a man of serious faith. And when asked about his favorite verse, he always quoted Micah 6 chapter 8. He has told you, oh man, what is good and what does the Lord require of you but to do justice, to love kindness, and to walk humbly with your God. I would invite you to join me in prayer. Heavenly Father, thank you for this day. Thank you for the opportunity of public service. And while it may get difficult at times, remind us, almighty God, that our purpose is first to serve the people of this county and any office that we are elected to by the people with dignity and to remember humility, but to always in strength stand for what is right. I pray that for us this day and it is in the name of Jesus that I pray. Amen.

Amen. Thank you, Sheriff. Your next order of business will be a public hearing to receive public comment on the Southwest Commission, I mean, sorry, on the Southwest North Carolina Home Consortium's annual action plan amendments. And the Southwest Commission project manager of housing, Len Schuler, here's this morning. Hey, Len. And I see that Russ Harris is here, also your director. So,

he sure is. Um, and just before we get into the public hearing after it closes, we will have a brief update on the consortium, just kind of an overview of the last five years that county manager, uh, Brian Moore had asked us to provide. Um, so he will come speak as well, uh, Russ will. though. Um but we are here today um to provide um notice to the public that we are um working on two amendments um for the Southwestern NC Home Consortium's 2021 and 2022 annual action plans. Um those amendments will be posted beginning tomorrow and they'll be open for public comment for 30 days. Um what we are amending is um on the 2021 annual action plan there is $125,000 that was returned to us for a project that was for home ownership. Um reason it was returned was we'd been working for a few years and the other funds that were in this project just due to the complexities of trying to layer them together. Um we we were able to find a better funding source for them. So, we are going to take those funds and we look to put those into our new rental construction uh pot of money. Um, as well as then in 2022, we had some rehabilitation funds. It was $120,000 um returned due to some capacity issues and we look to put that in our new rental construction fund as well. um with the mindset of all of the funding that's coming down um for bigger multif family units um in response to Helen, then these funds will pair well with those types of programs. Um so we open it if the public has any questions on that.

Oh, you want me to open it up to public comment? Okay. We didn't want to care to comment on this issue at all. No one. I'll close a public hearing. So you can you Okay. Thank you. And I'll go ahead and let Russ come up um to start the presentation and then I'll finish it out. Okay.

All right. Good morning. While those slides are coming up, I can go ahead and start. And we just because Heywood County is the lead entity for the home consortium. Um we want to come just give a brief update to you all of where that program is right now. And I'll just give a little background and then hand it over to Len. Um, so for those in the audience that may not be familiar with us, the Southwestern Commission is the Council of Governments for the seven westernmost counties here in North Carolina, the towns within those counties, and the Eastern Band of Cherokee Indians. And our mission is to improve the quality of life and our seven county service area by assisting our local governments in achieving their goals. So we do that through the work of four departments. Our area agency on aging provides services for older adults. Our workforce development department provides support for employers and employees. And then we take a two-pronged approach to economic development. We have the Mountain West Partnership that works directly with businesses, existing businesses in the region to help them grow. And they also work to recruit new industry into the region. And then our community and economic development department also works obviously in economic development, but more on infrastructure issues and the things that need to be in place in the community if we're going to attract and grow business. So that's where our housing program is located is within community and economic development. Um so we started looking you know about 2019 we could start to feel that this crisis was coming as far as housing in the region and the drain it had on economic development. So we started looking for ways to contribute and to support our local government. So, we looked at the home program through HUD, which had the most flexibility, and I kind of say that in quotes when it comes to a HUD program as far as being a flexible program, but it gave us the ability to address the issue in different ways. It had similar goals to ours as far as long-term sustainable housing for our workers in the region. So, in order to get that allocation in a rural community, you've got to form together a consortium. So, we started working with the seven counties, the towns within those counties to form the

Southwestern NC Home Consortium. Cherokee County was not originally a member, but they joined in 2023. So, all seven counties are now are now members. Um, and we've got a couple years under our belt, some lessons learned, and just before I hand it over to Len, just want to express my gratitude to Haywood County. Without Hwood County being willing to partner and be the lead entity on this, this is not happening for the region. And um, so I appreciate you all and your support. and then also just appreciate the staff support which is it's another thing they have to do but they've been great to work with and we appreciate that partnership. So with that I'll hand it over to Len.

Um so I'm just going to do a brief overview of a little more um in depth about the program itself. Um each year we receive an annual allocation from HUD. um as over the last five years that average has been about 600,000. Um but it's automatically broken down. Um 10% goes into administration funds, 15% automatically is broken down for community housing development organizations or CHOT. Um and that's a special type of housing development organization um that has specific criteria that it has to meet in order to receive these funds. And then the remainder is our general rule entitlement funds and those are for all of the other projects within the regions um that can be applied to or that can be applied for um by our eligible applicants. Um and so you'll see um anyone from state and local governments, for-profit, nonprofit developers, and community housing development organizations all are eligible to apply for these funds. Um whenever they are applying, they're applying for project specific um projects. Um so that can be anything from new construction, whether that be for rental or home ownership, um rehabilitation, whether that be home ownership or rental, and as well as tenant based rental assistance. um community housing development organizations, just put a plug in there, they can only um do new construction and rental rehabilitation. Um and that's just part of those guidelines for those types of organizations. Um the program does have a match requirement um that is not passed through to the projects themselves. Um it is a rolling banked um type of match that it can be um non-federal dollars as well as other inind types of um match whether that be donated materials, uh volunteer labor, um donated property,

and then the cost of various supportive services. Um so we're always trying to source um those types of match so that way we don't ever have to ask the um community in any way to to hand us money for these projects. Um, as Russ said, you know, we've been doing this for about five years. Um, our initial program design, we were trying to offer any and all of those types of activities. Um, taking a broad approach. Um, but we did learn a few lessons. Um, there are some capacity issues with these types of funds. Um, just due to the complexities that are tacked on to to federal funding. Um and so we have kind of made a pivot over the past 5 years um and focusing more so on rental construction and rental assistance. Um this is due to it's the easiest to align with the regulations um as well as layer with other types of um funding that has to adhere to the same regulations. Um it just lowers the risk and creates a clearer path for our compliance. Um it's also stretching our dollars and given us typically the most um most bang for our buck rather. We also have launched a disaster tenant-based rental assistance program. Um this came about due to um some HUD waiverss that we received in response to uh Hurricane Helen. Um, so we were able to change around some of our funding to use specifically to help uh households that were affected by by the disaster um with various rental assistance and rental housing expenses. Um, we did launch this in January and we have been accepting applications. Um, and so far we have gotten one household in a unit. Um, it was a family of four. Um, we are working on getting another family of four. We're at the very end of that um, process. Lots of paperwork involved obviously, but getting them in a rental unit. Um, and then we're working through

about 10 other applications right now. Um, so we will continue to do that. It's all subject to funding. Um, but as long as we have it, we'll continue to try and get that out into the community. Um, we do have a special pot of money that will be um, forthcoming. Um, you'll start hearing more about that soon and it is um, home art funds. Um this was in response. It was part of the um American Rescue Plan Act. So we received it was 1.9 uh million or so that uh was a onetime allocation. Um we have to use those funds by 2030. Um but we are going to be having um a pre-application training um soon. I'm hoping around May um for anyone interested in applying for these funds to to sit in, hear about what they are um and see if their projects is going to be a good fit. Um it is a little different than home. It's got to be used specifically for those who are either um homeless, at risk of homelessness, or who are fleeing violent situations. Um but in that we are going to be looking for for projects that are ready to implement. Um so that way we can get that that money expended um by 2030. Um and just to give you a little idea over the past 5 years what what projects have been funded. Some of these are in the works, some of them have been completed. Um but including the disaster tenant based rental assistance. Um, we have helped, it's it's going on 10 households thus far, but we we expect more with those applications in the pipeline. Um, we've also helped um preserve uh 59 rental units. Um, as well as we have investments in 180 new rental units that are working on being constructed. Um, 33 uh house uh homes to be purchased for um home ownership. Um, and we still have funding that we will

be looking at awarding um, here in the next few months in our application cycle um, that will be held this spring going into summer. Um, we do not have dates yet for that, but information will be put out on those. Um, and as we continue to look ahead, um, definitely looking at those projects that are Chevville ready just due to um, we the the quicker we can get them built, the better off. though um as they're ready to go, we we like to help with that gap that there is in most projects on trying to get those um to that finish line as well as um leveraging any type of disaster recovery and partner funding there. Um and we are working on our uh next five-year plan. Um so you'll be seeing a lot more of me in the next couple months as we work through that planning process. Um that five-year plan or our consolidated plan um it will run from 2026 um that being the federal fiscal year. So, October um through 2030. Um so, with that, I'm happy to answer any questions um or get any more information for you that you may want

on your rental rehabilitation. So, how do you qualify for that? So, is that landlords that get help?

Um it can be a couple different ways. Um but most of the time it's going to be a property manager, developer, or a landlord applying directly. Um I will say um with the complexities of the funds a lot of times if it's smaller units with a local smaller developer um we've had conversations on that but with the red tape and the risk involved and the delays that can come with it um a lot of times they would rather just move quicker um and and maintain that that time. Time is money. Um but the 59 units we did do it was with Wayneesville Housing Authority um replacing the roof that hadn't been updated. um since that existed. So um you know if it's kind of a bigger project like that and especially just a small scope of work um it's a lot easier to do. But yes um developers, landlords, um anyone like that could apply.

See, I can see how that would work. I know um are are y'all helping with mountain housing opportunities on the project they're about to break ground on? So we initially started off with some investment in that but we had an environmental um issue that that came about so we had to withdraw and then between other funding sources I think they were able to fill that gap once they got that worked out. Um so we don't have any in there at this time but it is an option if down the road they have um you know some funding gaps that they weren't anticipating then they could always look to come see us.

Okay. Does anybody have any questions? Go ahead. Today I was just going to ask how are you going to advertise this and get the word out? Uh you got to how will folks find out about this? You know, a lot of times stuff like this flies under the radar to people that really need it.

Um well, as far as um kind of just the home program in general, um we send out um kind of like an RFP almost just requesting, you know, people to apply and we do that through various nonprofits, uh community partners, um developers, folks like that. Um the disaster rental assistance we have pushed out to community partners as well. Um but we weren't sure what to expect and didn't want to overload and then not be able to to move in a timely manner. Um, so we've had the the 10 applicants that we're working through and then the couple that we've helped um that came through community partners as well as working with um we've uh spoken with FEMA and some disaster recovery folks on the ground. Um some of the local long-term recovery groups are aware of it. Um but we'll be doing a bigger push um on kind of like social media and things like that as well. Um and then um we will also be doing a public survey as part of our consolidated planning process. Um so we'll be pushing that out. You'll see flyers probably everywhere more than what you ever anticipated, but um we'll we'll be painting the communities with that. So, uh the more feedback we get, the better we can define our priorities and and give the community what they really need. else.

Shay, you said that there was some more units being approved right now. Is that correct? For the rental assistance. Yes, for the rental assistance.

Yeah. So, um we we do we have um it's about 10 applicants that I need to work through. Um and then we're finishing up um getting another household in a unit. That's one of the biggest struggles with that is we don't have units just readily available for folks to go to. Um but if they're already in a unit, especially um if they were receiving other assistance that might have been disaster related and that coming to an end, I know some of that's coming to an end in March. Um then to stay in that unit, you know, that would be a good good way for them to to do so is reach out and we can pick up from where that kind of leaves off as long as they're eligible and the criteria is met. Okay.

All right. Thank you. I I I just I had one quick example. So maybe I don't know if y'all can help or not, but I I have a I have someone who is uh living in an apartment and they're having to move out because they're remodeling the whole complex. And is there was there anything available for them cuz they're on fixed income uh to find housing um in Haywood County that you know of right off top of your head.

I would encourage them to reach out on on the disaster rental assistance program. Um depending upon their situation um it doesn't have to be a direct um affected unit per se that they were in. Um, but due to the limited stock and just that it's in a disaster area, there's there's a chance we could possibly help them. Um, so I would I would recommend um them reaching out um whether that be via email to me, giving me a call. Okay. All of my contact information is online, but I'll be happy to leave cards or if you want to, you know, let me know a little more. We'll be happy to see what we can do. Okay. Yeah, if you would just leave a card with Haven there, that'd be great. Sure.

Uh I might have them call you because they're a little bit desperate. They'll be homeless if we don't if they don't find something. Uh yeah. And and what have you. So if there's some assistance for them, that would be good. Yeah, that'd be great. Because one of the things about the the rental units, even though theirs may not have been affected, it affected other rental units that aren't possible to to rent. So I could see how that would work. Yeah. And everything. Did you have anything, Bryant, or anything? Okay. Anybody else? Okay. All right. Well, thank you. As Russ said, thank you very much for we couldn't do it. So Okay. All right. Thank you. Thank you.

Okay. Our next uh item under uh I'm sorry, the next order business is will be public comment session. And I I just have one person signed up to speak. Gary Gary Cwell and I know I know they're going to be giving a presentation later if you if you'd like to get up and say something then that's fine too but go ahead with your comments for now. Thank you. As you know I wear probably many hats.

But today I'm here to support our ARC here in Haywood County which is one of the best kept secrets in Haywood County. Good morning Haywood County commissioners. I want to begin by expressing my sincere appreciation for your dedication and serving the community and through through and thoughtful consideration you give to the issues that impact our residents. As a mayor and fellow citizen of Wainesville, it is an honor to privilege to speak a few words about the Ark of Haywood County in recognition of developmental disabilities awareness month. a time dedicated to strengthening public understanding of the abilities and contributions of rights of individuals with intellectual developmental disabilities. This month reminds us that the inclusion and develop is not simply an idea but a responsibility we share as a community. The arcs works shows as us what is possible when people are supported, respected and impaired to live a full meaningful lives. Their advocacy programs and daily comment help ensure that every individual has the opportunity to participate and commi and contribute and thrive. In 1976, the Ark of Haywood County was founded by a small group of parents and advocates who believe that every person deserves dignity, opportunity, and a place in the their community. This year, 2026 celebrates 50 years. Yes, 50 years of that vision taking root and growing. I joined the art board in 1980. Guided by s the same belief and by my own journey as a parent of a daughter with intellectual disabilities. I felt called to be a voice for individuals with intellectual disabilities and for the

families who walked this path every day. My service on the board spanned 40 years and at that time I witnessed remarkable growth, awareness and strengthening of the arts presence here in Haywood County. Even after stepping away from the board, the mission continues to live with live in me. I remain committed to advocating for inclusion and accessibility and belonging to all people. That commitment has shaped my life and it continues to guide the work we do together as a community. In closing, I would like to once again honor the Ark of Haywood County for their continued striving toward a better future for people with disabilities, their families, and the people who support them. Thank you for allowing me to speak.

Well, thank you, Gary. I appreciate Hey, Gary. I was wondering, do y'all still do the nineball tournament? Sir, you still do the nineball tournament? I'm sorry. The nineball tournament. Do you still do that? Yes. Yeah. The Smoky Mountain Nball shootout is in uh its 31st year and it's going to be uh this as always the last weekend in April. Okay. We want to get the word out on that. Yeah. Yeah. Thank you. We had to shut it down kind of during the co or we had probably more years than that but we had to shut down for about three years during CO but uh Yeah. I thought I hadn't heard about it. Where are they having it at this year? We're having it at the the Wayneful Armory. It's at the W Army here in Wesville. Okay. Okay.

Tight. It's very tight with all the people that show up at it, but we still are able to pull it off. Okay. Well, great. That's great. Okay. You're welcome. Okay. That closes our public comment period. We'll move on to u constituent concerns. Does anybody have any constituent concerns that they need to comment on? Okay. We'll move on to administrative agency reports and presentations. And we have an update on upcoming unveiling of Haywood County's founding documents in recognition of America 250. And Haywood County public information officer Dylan Huffman's here to talk about that.

Good morning, commissioners. We wanted to um make you aware of an event that we're planning the unveiling ceremony for the founding documents. It's going to be over at the Hwood County Justice Center. um the uh United States founding documents being the Declaration of Independence, US Constitution, and the Bill of Rights. So, this free community event will celebrate the historical importance of the founding documents along with the local craftsmanship and partnerships that helped bring the permanent display to life. Tim Cisk, our facilities director, has built the displays, and they were designed by local architect Randy Cunningham. The construction uses reclaimed barnwood from Haywood County. We chose um Sunday, April 12th for the event. And we chose that date because April 12th uh 1776 in North Carolina is historically significant for the Halifax resolves of 1776 when North Carolina authorized delegates to seek independence which was a precursor to the US Declaration of Independence. Um we're working with our county schools to get some students involved. We've also been working with the Haywood County Sheriff's Office to get the color guard involved. Um we're we're tentatively um going to have that event at 9:00 a.m. on that Sunday morning. We've got to nail down a few things before we get that date um or that time specifically um set. But um just wanted to make you aware of this event. And after this meeting, we'll begin sharing it out with our local media partners and um the community as well on social media, our website, etc. say anything to that. I want to thank Tim for doing the display. We he he rummaged around the county and found some great barnwood to do that with and I know it's going to look great. And then Randy, we appreciate him. Randy Cunningham doing a design for us. So, but uh we we kind of started that a few years ago and I appreciate that it's coming to fruition now.

Absolutely. So, I'm really looking forward to that. Be over. Yeah. Yeah. Yeah, it'll be over the justice center in the lobby. In the lobby. The justice center. Yeah. Yeah. So, that'll be where that'll take place. What time is it on Sunday? Uh, we're thinking about 9:00 a.m. Um, but we've not got that nailed down just yet. So, we'll have that for you soon. For people going to church, could we do it later in the afternoon or is there That was the That was the question I need to speak to to Brian about. We had said 9:00 a.m., but some folks have asked me about if they wanted to do it in the a if we could do it in the afternoon because of church. So, we just need to meet about that and decide. Okay. Yeah, I think two or three would be a good time if that's that's better attended that way. Yeah. Yeah.

Yeah. I think so and everything. But yeah, I'm I really appreciate everybody's work on this and I'm really looking forward to it. I feel like people will say they this is constitutional and it's not constitutional and it's like you don't know the constitution because you wouldn't be saying that right now, right? So, it's good to have that posted as many places as we can. I can't think of a better place than the justice center. In the justice center. Yeah. Because that's what it means. So, yeah. Thank you'all so much. Okay. Thank you.

Okay. The next order of business is a presentation of the county's fiscal year 2025 audit financial statements by Gould Killian CPA Group. And our their principal is Travis Kever is here this morning. So Travis, I guess it's better late than never. I know we used to do this right before Christmas instead of Easter. So yeah, Hurricane threw off threw the calendar off a little bit this year. It sure did. Yeah. And uh in more ways than one. Hopefully uh I don't know. Feels like we've had a normal year since before CO started. So that's true. Knock on wood. 2026 will be the year. Get back on schedule next. I know. I know.

Good morning everybody. Uh my name is Travis Kever with Gillian CPA Group. Um, we've performed the the audit for for Hwood County for a number of years now. Uh, we always appreciate being able to serve as the as the county's independent audit firm. Um, always like to to thank Christian and all of her staff and finance for their help and cooperation in completing the audit. They're always a pleasure to work with. Uh, this year was no different. Um, I'll be brief this morning. I'm mostly going to focus on the opinions that we issue that are included in the the county's annual comprehensive financial report and then I'll give just a couple of uh selected general fund statistics. The county's FY25 uh annual comprehensive financial report or ACTUER uh was released on February 10th, 2026. Uh the first of our opinions included in the ACTRES on the financial statements of the county. We issued an unmodified opinion on the county's financial statements. Uh that means that we believe the financial statements of the county are fairly stated in accordance with GAP. This is also known as a clean opinion and of course that's what everybody wants when they have an audit. So clean opinion on the financial statements. Uh we're also required by government accounting standards or government auditing standards, I'm sorry, to issue a report on the county's internal control over financial reporting and the county's compliance with laws and regulations that's significant to financial reporting. Um, again, this is specific to governmental entities and certain nonprofits that receive uh a significant amount of their funding from uh the federal government. Now, keep in mind this is not a full internal control audit or a full compliance audit. Rather, we assess the county's internal controls and its compliance over laws and regulations that are most impactful to the numbers on the financial statements. Uh, this is where a lot of our audit works focused. Um, we do this in a number of ways. We test a sample of expenditures to make sure the PO policies are followed, that necessary approvals are obtained, and the budgetary authority exists where it needs to. We test a sample of payroll expenditures to make sure that the folks

being paid are actually employees of the county and that they're being paid for hours that their supervisor approved that agrees with their time sheet and they're being paid at a rate consistent with the approved pay rate uh in their personnel file. We also review numerous aspects of the county's year-end and month-end close process such as bank reconciliations to ensure that documentary evidence exists to support the amounts in the county's financial system. And we review key components of the local government budget and fiscal control act uh which is the the primary legislative tool in North Carolina for governing local government finance. Now, the result of all of this work is that we noted no material weaknesses in internal control. We think the county has a an adequate um I'd say better than adequate system of checks and balances in place. We did note one instance of reportable non-compliance related to a budget overage in the FEMA fund. I'll talk a little bit more about that in a second. Um that was kind of a a one-off event related to some some kind of weird timing issues. It was a little bit outside the county's control. Um but more on that in just a second. Uh we're also required to report separately on the federal and state grant expenditures of the county. Uh we perform what are called single audits or kind of deep dive or individual audits uh over several of the state and federal grant programs uh that the county receives money through. Uh we assess both the county's compliance um with key key provisions of the funding as well as its internal control over compliance. Uh we tested I think 10 total programs this year. There was a lot of grant money flowing through the counties with some of the disaster relief going on. Um so we tested funding received through through Medicaid. Um ARPA funding is still hanging around. We tested tested the expenditures from that. Uh temporary assistance for needy families. Uh FEMA dollars that came into the county. Uh supplemental nutrition program or or EBT or food stamps. Um there's continuing compliance on the county's

USDA loans that have to be tested annually. Uh we tested state foster care expenditures. Um NCDPI, Department of Public Instruction provided um Hurricane Helen capital recovery funds. Uh those were tested. Um the Office of State Budget and Management uh provided funds for um related to the jail expansion. We tested that. And then North Carolina Department of Public Construction um passed some grant money along related to recovery from tropical storm Fred um which was was also tested. So in total there were uh six federal programs audited totaling $37.5 million of expenditures and four state programs uh totaling almost 7 million of expenditures um that were tested. In total, the county received total federal and state grant expenditures of $52.9 million for FY25. So for all of that single audit work, um we issued an unmodified opinion on compliance uh with both federal and state funding and reported no internal control issues related to either. So clean opinion on all of the uh the grant funding. Uh so just some some kind of topline statistics in the the county's acter uh county reports 21 separate governmental funds including the general fund. I got total assets of $154 million, total revenues um of $147 million and total expenditures in FY25 of 164 million. And again the uh the federal and state single audit we've we've already covered. So, the local government commission has a a program they put in place a few years ago uh where they like to measure the county's financial performance against a series of benchmarks or key performance indicators. Uh so, every year at the completion of the audit, I basically input a lot of the the county's financial data into this this module that they have and it kind of

compares the the county's information against all these benchmarks and then lets me know of anything that I'm required to communicate to you all. Um, one of those benchmarks is related to reportable non-compliance that we talked about. Uh, we did have one instance of that this year, so I have to uh tell you guys about it in a public meeting. So, that's what we're doing now. Um, in the FEMA capital projects fund, um, it was over spent in FY25 by $3.6 million. This was due to several factors that were mostly out of the county's control such as delayed delivery of invoices by the primary debris cleanup contractor and also some uncertainty around whether the county or the state will be paying the bills. Um so whether or not budget existed for an expenditure at the end of a fiscal year is kind of a yes no question. That's pretty black and white. The budget did not technically exist so we have to report it. Um however we don't view this as any kind of systemic issue with the county's uh budgetary compliance process. So, I just want to be really clear about that. Um, I think the budget was amended pretty early in July to cover those expenditures. Um, it was just kind of a weird timing thing that again we consider it um sort of a one-off and and that doesn't change our our risk profile of the county in future years is kind of the best way I can say that. So, just a couple more statistics. Uh this is a pie chart showing some of your general fund revenues. Like most counties of North Carolina, advalorum taxes makes up half or a little bit more of revenue. Um it's that case in in Haywood County also. You had 57.1 million in advorum tax collection. That was 53% of your revenue. Um and of course then you've got local option sales tax and restricted intergovernmental um which is is grant funding uh that were both around 16 million. And then everything else combined, which would be investment earnings, uh permits and fees, um culture and wreck charges for services,

things of that nature, all totaled out to to 17.4 million. Uh this just kind of shows a year-over-year comparison of those same revenue categories. Um everything was relatively flat. I think all four categories ticked up just a tiny amount over FY24, which is is kind of what you'd want to see is just kind of moderate revenue growth. So nothing really to talk about there. Uh this is the same pie chart just on the expenditure side of things. And again like pretty much every county in the state, education, public safety and and human services or social services are the three big ticket items. Um the other category includes things like um debt service, uh culture and recreation, uh general government, which would be all the counties administrative functions, things of that nature. And again, the year-over-year comparison, um human services increased a little bit. That appears to be an increase in social services related expenditures probably to do with some disaster relief fund. It looks like there was some additional uh temporary assistance for for uh needy families money that flowed into the county related to to disaster relief that then the county would have passed on. So it kind of increases expenditures in that. And then the other category um you all started made your first uh debt service payment an interestonly payment on the 2024 lobs that was about a million dollars. So that that kind of ticked up the other category a little bit. Fund balance available. Um from 2024 to 2025, the county's fund balance increased in the general fund by about $885,000. Um the local government commission really uh cares more about what they call available fund balance. It's kind of a statutory calculation that that they require. Um the difference in those two uh total fund balance is it's just the raw fund balance number that's that's in the audit. available fund balance is essentially the the cash the county has in the bank minus its uh unpaid bills at the end of the year. So cash minus accounts payable. That's basically your available fund balance.

That's the one that the LGC really cares about and kind of uses and all of its um uh metrics and and things of that nature. And so as you can see the the county's fund balance has a kind of a nice uh smooth upward trajectory over the last few years. Um again that's that's kind of what you'd want to see. And then the uh the the state also they want to take that available fund balance number and compare that to the amount of expenditures in the general fund. They want to know you know kind of what kind of rainy day fund the county has. Um the board has set a target of having available fund balance equal to right at 25% of your general fund expenditures for the year. So that's about 3 months worth of a of a rainy day fund. Um the your population group in North Carolina, which is other counties with uh 50 to 100,000 residents, is kind of between kind of around 40%, jumps up a little bit and falls back down, but around 40. Um and so the county was at at 54% last year and 47% this year. So fund balance went up, but the percentage came down a little bit. That's just because expenditures were were up. So the denominator in that formula is is a little higher than it was last year. But um overall, you're a little bit better than your than your other contemporaries in the state and and well above the target the board says. So no real concerns there from our standpoint. And then just a couple of property tax statistics. Of course, it was not a revaluation year. Uh in 2025, the tax rate didn't change, so everything else was kind of bumped up a little bit due to some, you know, organic growth in the tax base. Just just your normal uh sort of yearly economic expansion. uh current year collections went up about a little over two million and the collection rate stayed stayed basically the same. And yeah, I think that's about all I have. Um I'm happy to answer questions if anybody has any and again just uh we

appreciate being able to to serve as your auditors once again. You know, I think with everything that we've been through in this county with two floods, COVID, tropical storm Fred, the meal shutting down, and Hurricane Helen, I think it's a glowing report to have that amount of fun balance. I think it shows a conservative approach that we have. And you know, we've seen rainy days and uh we've always tried to plan for a rainy day and we we we certainly uh we've had our our fair share of those rainy days. But absolutely.

Uh you know, I noticed you mentioned the little kind of an accounting snafu with hurricane hailing cleanup. 3.6 million there is kind of we just kind of got it got shuffled around there. So, we we uh I know the county manager might want to speak to that. I want to thank Travis for for the work and he Christian and I already had a conversation. I was trying to twist his arm into maybe leaving that out, but it really goes back to about 12-day period in May where we were trying to move from um count the county being responsible for debris cleanup to switching to the state smart program. uh that 12 days uh I believe it was from May 15th to when we actually got it approved uh with FEMA in the state was May 27th. So about those 12 days, the problem was that was a really busy 12 days for SDR. They had picked up about $4.2 million worth of debris in that 12 days. So that's what really caused the the overage. Um like I said, we we we didn't know the bills. Uh Travis understood that and and shortly after the first of the fiscal year when we did get the invoices, we we tried to fix it. So it was a timing issue. Um and really can't complain if if they were picking that much debris up 12 days in a row, we would we want them to get clean. So we we just got caught in in a bind.

Yeah. And I mean I I would also stress again that we don't consider that to be any kind of a systemic issue uh with the county's budgetary process. We've never had an issue. Um the some places I audit, it's an issue every single year with the budget being overdrawn. Um just the the finance team and and management not staying on top of of the budget and getting getting things approved in the in a timely manner. That's never been an issue here. Again, this this look, it's just a one-off kind of timing issue. Um the bills kind of came in late. It's it's a variable bill. You're not signing a contract for x amount of dollars. you're signing a contract that where you're paying per load, I imagine, right? Um, so you don't know until you got the piece of paper in your hand exactly what it is. But again, when you're saying does the bud does the budget include money for that expenditure at June 30th, that's that's just a yes or no question, right? So my shoulder still hurts from the arm twisting, but uh that was that's a a yes or no question that that we just kind of have to report. But again, in our view, it's it's a complete complete one-off thing that that is really kind of a kind of a non-event. It's it's a it's a paperwork situation, if that makes sense. I was just going to say that uh if that's if that's the only issue that we found then then I feel like it is a glowing report as Commissioner Long said and it goes back to Christian and Bryant and our staff that that keeps a look after our books and keeps us in check and keeps us in line. So we appreciate our staff and appreciate you. you know, it's a third party uh audit that comes in to make sure that our books or are in order and uh we do this on purpose to make sure that it is what it's supposed to be. So, we appreciate you in the report and uh again uh kudos to our staff.

Yeah. Tommy, did you have something else you want?

Oh, yeah. You know, I'm amazed. The federal government's not required to pass a balanced budget. the state's not required to pass a balanced budget, but counties are. And you know, our staff works hard to do those things. And uh so again, to Christian, to Bryant, and and the other staff that does these things, you know, my hats off to them. I just want to say that the the financials is one thing, but all all the monitoring and the auditing they have to do on the programs and and I've been around a long time, those those are new. I'm not sure we'll ever get an an audit before Christmas again because they have so many federal programs they have to audit. It's they the deadlines and what the auditors are tasked with aren't lining up and and the state's going to have to change that if they keep requiring more and more auditing and and to get those reviews or those audits clean on all those federal programs. there's really commitments from our and his staff to get that right because in many cases if there's an an something in in Medicaid, we're responsible for repaying the federal share or the the the federal government that money. So the the work is also being done outside of of just the county side but in compliance projects. Yeah,

I will say that um I've talked to Christian several times and um she leads a great staff as well about how difficult these federal programs are and accounting is the as great as I guess as nice as it is to have the funding. It is difficult sometimes to make sure that all the the complexity of that money is is the balancing of of the of the details I guess. And so I find her to always be very professional and wellprepared. And I appreciate your um your team and their hard work because this is reflective of all of us in the county and it's um you know it's all taxpayer money ultimately. So I just appreciate the work they do and lot it's there's lots of details there for sure and we appreciate you take keeping a watchful eye on it too. It's um I'm sure it's a daunting task from your side. I can imagine that not everybody runs as smooth as we do.

That's true. You You guys are one of the easy ones. So, I appreciate that. You know what? I I'll take that for you. You know, we're in election season right now and you got all these conspiracy theorists out there and uh you know,

tell me those aren't conspiracies. Well, I mean, it's good to have a third party audit and and to show the people that's watching, uh, you know, our fund balance is great and, you know, I don't know you I but you do a great job with the audit. I'm sure you you you are the watchdog and uh so it's just amazing some of the rumors and stuff gets floated around uh every couple years but uh you know just appreciate the report you gave. You're trying to say that he did make sure that no extra money was going in your pocket, right? Yeah, we hear those rumors quite a bit and uh again that's why we choose a third party to come in and Travis as always you know I've been been here for a little while and you've done several of these audits and we great greatly appreciate your organization and your work. So

thank you sir. Anybody else got any other questions? I just want to thank you for coming in and double checking everything. that gives the public a better perspective that we are doing what we're supposed to be doing with the tax money and that uh I appreciate it when you explain it out to where that people can see it on the the ones that are watching and the ones are out that see that y'all are making sure we've got a staff that stays dead on top of it, you know, and and keeps everything tight. Yes, sir. We appreciate y'all and the staff, too.

Yeah. I want to thank Christian. I know her staff really works hard and y'all work but you know y'all have to work together to make sure everything's where it needs to be and I know Bryant has a background in finance and we really appreciate him and Christian and I'm sure there are others in in Christian's office but and I think they y'all usually win awards don't you Christian? So, uh, I mean, I think Haywood County does a really good job and every time I mean I've been a commissioner for over 20 years and I don't think I've ever seen a, you know, a big problem. It's usually these little nuances that you have to bring up and it's unfortunate. I don't see how they navigate all that. You'd have to be a rocket scientist to know all this. And u but taxpayers need to know that their funds are being watched after and and we're making sure that uh or or Christian make sure that we uh she keeps us straight, if you will, her and Bryant. So

Oh, I guarantee. Yeah, that's right. So, we appreciate that. Anybody got anything else? Thank you, Travis. Thank you. Appreciate it. Okay.

Okay. Next order of business is discussion or adjustment to the agenda. I don't have anything. Does anybody have anything? Okay, we have a uh next will be our consent agenda. We have seven items on the consent agenda and I know uh Graham Hayes is here from the school system for item number two. Uh but I just want to recognize you Graeme for being here and everything. So, does anybody have any questions about that? Did you want to comment on that or anything Graeme or just Okay, sure. Go ahead.

Chairman Ensley, Commissioners, like you said, I believe it's item two on your uh consent agenda is just your approval. Um our board has already approved it, but it's a draw down of 70,000 from our repair and renovation lottery funds. Uh we had a couple in inforeen things um happen uh break and so we just needed some funds to be able to repair those because when something breaks you got to fix it. Um one is a uh sewer or drain line if you will from the cafeteria at Jonathan Valley Elementary. Uh the bottom's rotted out and so we're going to run it a new way because the current line actually runs through the entire building. So we're just going to move it outside and tie it in a different way. And then the other is an HVAC system. um it went out entirely for the band building at Canton Middle School. So that's what those two are.

Okay. And you know this is these are lottery funds that you guys receive. So this is something we can do with those funds. So that's correct. And you're using those. So that's correct. Yep. Usable usable expense for the repair and renovation funds. It has to go for um a school related classroom related type expense. Um, so it is within there, but those lottery funds can't be used for our local current expense or for teacher salaries or anything like that. They are earmarked just for those things. Okay. Cuz people a lot of times they'll say, "Well, we got all these lottery money blah blah blah." So, and it's not quite as much as you think it is. No, it's not. It is not. Yeah. But they get a bunch. Yes, they do.

I wish they'd keep their word like they said they were when they passed it, but Yeah. I believe it was 30% was supposed to go towards education and it's sitting around 20% right now. Okay. 30%. Yes. Yeah. It's kind of a side item. Sounds like the lottery money. Yeah. I feel like it's a Groundhog's Day when we come back and we That's right. We hit on this. Yeah. Absolutely. Okay. Well, thank you, Graeme. I appreciate Thank you so much. I appreciate y'all.

Does anybody have any other questions on on anything? Just a comment. Uh, Mr. Chairman, item number six on the consent agenda is certainly a a huge benefit to our veterans and we appreciate our veterans here in the county, those who uh who have served our country nobly and we uh we're approving a $20,000 grant that's going to help help our veterans. So, so it's a good thing to see on the consent agenda. Just a shout out to the veterans office. Appreciate all they do. I know they really help my dad. So, yeah. Okay. Okay. Has anybody else got anything? Okay. I'll entertain a motion we approve the seven seven items on the consent agenda. Second. Is there second? Second. Okay.

All those in favor say I. I. Anyone opposed? Okay. That's unanimous. We have one item on the regular agenda is the request approval of proclamation recognizing March as developmental disabilities awareness month in Hwood County. And we have the executive director, Todd Barbie, here this morning. And Todd, I think you've got some other folks with you.

Yes. There. You want to hear from them, not me. Uh, but I do have I do have, uh, a couple things. Um, one, uh, chair inland commissioners. Uh, thank you for the opportunity to be here today to speak with you about the Ark of Hwood County. And, and I want to thank Gary, uh, for your kind words. uh your support and your leadership has meant a lot to this organization for us being here. So um I am Todd Barbie and uh I am um blessed to serve as the executive director uh for the Ark of Haywood County for 50 years. The Ark has worked alongside individuals with intellectual and developmental disabilities and their families to help ensure that everyone in the community uh has the opportunity to live with dignity, independence, and belonging. Uh at its heart, the the Ark is about people um neighbors, co-workers uh and friends who who contribute to the fabric um of Haywood County every day. Our role is to support the individuals as they build meaningful lives right here in Hwood County at home. Um, in a moment, I'll read a proclamation asking you to declare March as developmental disabilities awareness month in Hwood County. Um, but before I do that, uh, I want to briefly share two stati statistics, uh, with you to remind you of the scope of the work that you're recognizing today. Um, in our 50-year history, uh, the Ark has served approximately 320 residents in our group homes that we operate here in Haywood County. Um, they have found safety and belonging uh, in our group homes and, uh, we have served thousands more through our supported employment, community living, and

community navigator programs. Um, this proclamation is not uh about recognizing an organization at all. It's about celebrating the lives and the contributions of the people who made uh our community stronger. Uh while I could talk about all the work we do and the great things, um the real story of the Ark is told by the people whose lives are shaped by it uh by those opportunities. I'd like to first introduce Mel. Come on, Mel. He's going to put you on the spot, ma'am.

No, please. That's one thing I'm afraid of. Go ahead. My name is Mel. As Mr. Barbie said, I just want to thank everyone for allowing me to be here. I have lived in one of the major group homes for two years. So, as I begin, I love being a part of a part of H Art of Hwood County. I I do all kinds of cool things. My favorite thing to do is spend time with my with all my friends outside the group home. One of my favorite things to do is to spend time at the golf shelters. Both of them are here in Wesville. I also like going out to eat. Thank you, Wesville, for all the opportunities.

Thank you, ma'am. No, I don't. Uh, and now I'd like to introduce Reagan. Welcome. Thank you. Pull that m Pull that microphone down. so we can hear you. We don't hear you.

Um, my name is Reagan. I have been working at Burger King and Clyde for six years. My name is Reagan. I have um I live in a group home with up to five other people. My favorite thing to do is work in the kitchen with the staff while we cook. and make food. I like to swim.

Uh swim and I love anything reason I get to dress up as fancy as possible. I am work I am working to working on making healthy meals and controlling myself make sure I get no to make sure I get to protect my happiness. Thank you. Thank you very much.

Good job. Good job. Melanie and Reagan's stories are powerful reminders that belonging uh is just not something that happens by chance. We shop in Hwood County. We worship in Haywood County. We volunteer in other Hwood County nonprofits. Um belonging happens when a community chooses to create space for everyone. Uh they create space for everyone to participate and thrive. Uh and we're grateful for the many ways uh that you guys help make that possible for us. Um that those two clients and the 98 other plus that we serve. That's what this proclamation is uh represents. So at this time I'd like to read the proclamation recognizing March as disabil disabilities awareness month. in Haywood County. Please bear with me. I'm not a lawyer. I'm just a I'm a reading teacher that somehow made it to be an executive director. So, uh, a proclamation for developmental disabilities awareness month, Haywood County, North Carolina. Whereas, March is nationally recognized as developmental disabilities awareness month. First proclaimed in 1987 to increase public understanding of the abilities, contributions, and rights of individuals with intellectual and developmental disabilities. And whereas for 50 years, the Ark of Hwood County has served as a cornerstone of advocacy, support, and inclusion for individuals with intellectual and developmental disabilities and their families in Hwood County. And whereas the Ark of Haywood County was founded in 1976 by local advocates and parents including

Margaret Brown, Wanita Dixon, Linda Gregory, Lois Harden, JC Dusty, and Mildred Roberts who believe that every person deserves dignity, opportunity, and belonging within their community. And whereas over the past 50 years, the Ark of Haywood County has provided residential services, employment support, community integration, and advocacy to hundreds of individuals and families across Haywood County, including serving approximately 320 residents in its four group homes since its founding. And whereas today the Ark of Hwood County serves approximately a 100 individuals and their families annually uh through four group homes, a supported employment program, a community living program, and a community navigator program. And whereas the Ark employs 47 local staff members who provide essential support services and strengthen the social and ep e economic fabrics of Haywood County. And whereas individuals with intellectual and developmental disabilities are valued members of our community whose contributions enrich our workplaces, schools, faith communities, and civic life. And whereas inclusion is not merely an act of charity, but a reflection of our shared responsibility to ensure that every member of our community has access to housing, employment, friendship, and civic participation. And whereas true awareness must lead to inclusion, opportunity, accessibility, and belonging for all people. Now, therefore, we, the Haywood County Board of Commissioners, do hereby proclaim uh proclaim March 26th as developmental disability awareness month in Haywood County and encourage all residents to recognize the contributions

of individuals with intellectual and developmental disabilities and to reaffirm our commitment to a community where every person is respected, supported, and included. Thank you. Okay. Okay. I'll entertain a motion. We approve the proclamation. I make a motion we approve the proclamation. Go ahead, Jennifer. Okay. All those in favor say I. I.

Okay. All right. Thank you. And I appreciate I appreciate Melody and Reagan and uh and it took a lot of courage to do what y'all did this morning and y'all did it very well. So we thank you. Thank you for coming out today. I think there's a picture. Yeah. Yeah. You want us to come down?

Yeah. Maybe I'll stand in front there and have them come up and put the picture. Yeah, appreciate what you do.

How are you? Thank you. Appreciate y'all work. while they're taking their seat. I'm not so sure how those two there done so well at the podium. You know, I I've been doing this public work for quite some time now and I still get nervous every time I get before the public, but those two come up look like they were champs. You know, wasn't nervous at all and done a great job. So, y both of you done good.

Great. That's great. Okay. So, we don't have appointments or close session today. Does anybody have anything else they want to say? I I do want to say tomorrow's an election. I wish everybody well in the election. So, u hope everybody gets out and votes. Anybody else got anything? On that on that same note, I will say I'm not running next time or this time, but I will say that the vote to me has always been um really a precious opportunity that this country has that maybe other countries around the world don't have. And I would encourage everybody to make it to the polls and ca cast at least one vote for one race. So,

okay. Can I have a motion to adjurnn or did you want to say something, Tom? No, I can make the motion to adjurnn, though. Okay. Is there a second? Second. Okay. All in favor say I. Okay. We're adjourned. Everybody be safe. Everybody vote. Okay.