September 19, 2022, at 9:00 a.m.Virtual Zoom Meeting
The A-B Tech/Buncombe County Joint Capital Advisory Committee convened a meeting on Monday, September 19, 2022, at 9:02 a.m., via Zoom. Chair Wells, presided.
The following members of the Committee participated. A-B Tech Trustees Judy Lewis and David King and Buncombe County Commissioners Terri Wells and Al Whitesides.
Others present for the meeting included: Dr. John Gossett, A-B Tech President; Dr. Dirk Wilmoth, A-B Tech Vice President of Business/CFO; Michael Mace, Director of Buncombe County General Services Department; Don Warn CFO/Finance Director for Buncombe County Government and Lisa Richman, Recording Secretary.
Call To Order
The meeting was called to order, and Dr. Wilmoth welcomed the Committee. Dr. Wilmoth then reviewed the meeting’s Agenda. The agenda was amended to vote for the chair and vice chair. A motion was made to amend the agenda by Mr. King, seconded by Commissioner Whitesides and the motion passed unanimously.
Commissioner Whitesides nominated Commissioner Wells for the position of chair, and Ms. Lewis seconded the nomination. The nomination was passed with a roll call vote. Mr. Robert Lane was appointed Vice Chair per the meeting on February 7, 2022. Ms. Lisa Richman, an A-B Tech staff member, was nominated as Recording Secretary. Commissioner Wells made the nomination and Mr. King seconded the nomination. The nomination passed.
The committee reviewed the By-Laws and confirmed that the change of meetings to the third Monday in February was made.
Ms. Lewis made a motion to approve the February 7, 2022, Annual Meeting minutes. Commissioner Whitesides seconded the motion, and a roll call vote approved the minutes.
Article 46 Funds
Dr. Wilmoth presented the Fund Balance forecast
- Forecast was revised revenues to reflect an 8% annual sales tax increase
- Project updates are:
- $30 million for the Enka Campus (retrofit and roof repairs). Costs have increased since the initial quote. This increase was built into the budget
- Energy savings (such as LED lights) put in place are saving $90,000 annually
- The Hemlock parking lot stormwater improvement project is 98% completed
- The vacant Enka Tower demolition has been halted (6-10 months) to see if Emergency Services will use it for a training exercise before demolition.
- Forecast in 2023 is expected to exceed $8 million and will be met by $5 million from the general fund and $2 million from the reserve.
- Commission Wells noted that the Capital Plan maintenance of $3 million is based on a 10-year model and does not need approval.
- Demolition of Enka Tower – the original quote was for $2.5 million but due to current expenditures and financial markets is $3 million.
- Mr. Warn stated that due to Asheville sales tax revenues and occupancy tax, the 8% annual tax increase financial amount is acceptable for now and will be adjusted as needed. Commissioner Whitesides stated that 8% looks to be correct based on what is going on in Asheville. Credit was given to Mr. Matt Evans for collecting this information.
Status Of Current Projects
The majority of the current projects were already reviewed in the above presentation.
Projects Approved By The A-b Tech Board Of Trustees
- Board of Trustees reviewed: Funds for the Enka Roof and Victoria Road Campus.
- Supply chain issues are delaying many current projects
- Increases in the cost of the good are increasing all projects
- This new quote for the Enka Roof is a guarantee/maximum price of $5.7 million for 30 days.
Commissioner Wells stated that the cost is almost triple what was originally estimated and with additional items (such as HVAC) the cost could be higher still. Commissioner Wells asked if the renovation is still the best option over a new building.
Dr. Wilmoth stated that; with the increase in building/labor costs, maintaining the old while the new is being built, the cost of demolition of the old, a new building would be built at $500 - $700 a square fit and it would be smaller than what currently exists, the current plan of retrofitting and repairs is the best path forward.
The committee discussed the Enka building repairs versus a new building at length. The discussion concluded with Dr. Gossett supporting the decision to move forward with the current plan making the building viable for a long time to serve the college’s needs.
Dr. Wilmoth presented on the Stormwater project being directly related to the college’s Strategic Plan.
- The project started with Hemlock but will now move on to other stormwater needs across campus.
- He worked with RiverLink to fund projects and will require matching funds from Article 46 to complete the project.
- This project was listed in an EPA document as an innovative management strategy
- Part of the A-B Tech Trailblazer Trail is near but not affected by the project.
Commissioner Wells asked about long-term building plans in the area of the stormwater management project. Dr. Wilmoth stated that there are no plans to build in that area at this time.
A motion was made by Commissioner Whitesides to move forward with the recommendations of the A-B Tech Board of Trustees. This motion was seconded by Mr. King and the motion was passed.
Chair Wells asked if there were any questions or final remarks. As there were none, Chair Wells asked for a motion to adjourn.
On a motion properly made, the meeting adjourned at 9:56 a.m. Respectfully submitted,