GILES COUNTY COMMISSION WORK SESSION – 10 December 2024
Chair County Executive (CE) Graham Stowe opened the meeting asking Commissioner Roger Reedy to offer a prayer and lead the pledge. He then asked for any public comments. While there were no public comments, Commissioner Gayle Jones asked how this public meeting was advertised, with the CE noting it had been provided to the paper, radio, advertised in the CE newsletter, posted on the county’s website, and posted in the Annex. A handout was provided by the CE entitled “Principles of Large Organization Budgeting” with information on recurring, non-recurring, and capital projects budgeting. Some of the highlights included best use of a fund balance, how to budget for both recurring (non-discretionary) and non-recurring (unexpected, one-off) costs; and responsibility for capital fund accountability. The presentation ended with a request to provide any questions to either the CE or to the Financial Manager Beth Moore-Sumners.
Funding Strategies for Capital Projects – the 2025-2026 Capital Projects were identified with some having been discussed in previous meetings, i.e., Courthouse renovation, Ambulance HQ, Water Study, Exit 14 Wastewater, and E911 with a total estimated cost of $25M+, and other projects also being identified, i.e., Agri Park, animal shelter, archives building, Minor Hill EMS station, Capital Maintenance Plan, Human Capital e.g., EMS or Sheriff’s Department. Some financing options were listed, e.g., bonds and including $700K from local option tax revenue being freed in another year for use in financing the projects. Other long term projects such as development of Exit 14 was also mentioned. Only three revenue options are available to county governments: Property, Wheel, Sales tax, with Sales tax already at the statutory maximum. The CE stated that in January or February the Commissioners needed to decide their preferred options, including: a) Which projects should be funded in the next two years; b) identify budget/service cuts to free up funds; c) how to service a bond for top-priority projects. Again, he asked any questions be provided by email, then turned the discussion over to the Commission.
Commissioners then raised the following areas for discussion: Commissioner Gayle Jones asked if Minor Hill could do an EMS building and then come back to the commission for funding additional costs. She mentioned the recent “equalization tax” and could that be used for this project. Commissioner Evan Baddour said that tax would equate to less than $10K for the smaller county towns. Commissioner Jones asked if providing staffing for Minor Hill, would that reduce the need for “Pulaski” staffing, with EMS Director Bill Myers saying no, given number of calls currently requiring town responses, the proposed Minor Hill station would require several additional personnel for sustained service in a new location. Commissioner Erin Curry asked had the discussions with Pilot for Exit 14 included their having “skin in the game”. The CE said Pilot wants to expedite and one option they’re investigating would be for Pilot to build their own wastewater system. (Further discussion mentioned the county sharing cost for treatment with Pilot so as to have in place wastewater service for additional development). Wheel tax was discussed by several; CE responded that would require 2/3 commissioners voting for a resolution in two successive months; after passing, there would be 30 days for a citizen petition to put the issue to a countywide referendum. There being 29K vehicles, questions were raised on a wheel tax and whether county government could exempt property owners or reduce property taxes, with several saying that would defeat the purpose. The CE stated that it’s unlawful to exempt property owners from a wheel tax, but that property taxes could be lowered separately. Pros and cons of property taxes and who assessed and who pays (renters included in rent prices) vs a wheel tax where many people own more than one vehicle were discussed. Commissioner Curry mentioned a wheel tax had failed several times when Giles citizens had the option to vote, but she also noted that with the equalization tax, communication was key to obtaining approval of that tax reform. Commissioner Evan Baddour also noted how important communication would be on a potential wheel tax. Commissioner James Lathrop asked about numbers of both property owners and vehicle owners, and the CE said he would find out. Commissioner David Adams mentioned that people are having a difficult financial time and they can choose to leave the county if they are overtaxed. He mentioned so many of people in his district are hauling water and that is the most important project. Several others discussed the importance of water for county; in that building and thus increased property taxes may not happen due to not enough water, or even changes in the size of the water pipes. Commissioner Terry Jones, noting the funding required in the future for the projects, suggested the county should do a refurbishment of the current ambulance location. Commissioner Evan Baddour mentioned that some of the projects are revenue producing so get some of those started earlier. Commissioner Baddour also mentioned that in the Economic Advisory Group, county and sometimes also city owned, property should be looked at for housing development. The CE said that the EDC was working that issue, and meetings has begun with interested developers; he also mentioned discussions to place all joint county-city properties under the Industrial Development Board (IDB), which would streamline development of those properties. Commissioner Gayle Jones said she thought the current estimate of $10M for the ambulance is too much; she considers what Commissioner Terry Jones had suggested (refurbishing the current ambulance location) a valid suggestion; that water is the most important project there and should be top of the list. The CE stated that the water issue is exceedingly complex, and that identifying solutions begins with a countywide water distribution study; an RFQ has already been prepared for said study. The CE further stated that after visiting/discussing with other counties who are confronted with similar water challenges, noting Marshall County is in the middle of building a $40M water treatment plant. Question on has property actually been procured by Pilot, with CE saying no but can get an update from EDC Director. Commissioner Tracy Wilburn discussed the possibility of consolidating all utility districts when discussing the water study project. A water study should be done, per the CE, but no one utility can afford to do one. The CE also said for future coordination the county needs a Water Advisory Board, but utilities are not under the county’s authority and cannot be forced to consolidate. He did say however that the state is encouraging consolidations through grants. Commissioner Matt Rubelsky asked about the $25M estimate mentioned above for the major capital projects and is that a reasonable estimate; where is funding coming from; can we get rid of some department costs; and finally, he would prefer a wheel tax over property tax. Commissioner James Lathrop suggested information be gathered from other counties on funds and how wheel tax works in their counties. The CE mentioned that other counties often use wheel tax revenue for capital projects, using property tax revenue for recurring operational costs. A member of the public Rene Lirette said she would prefer those projects that could bring in more revenue, e.g., developing Exit 14. Another member of the public Scott Stewart expressed concern on a wheel tax being approved. Commissioner Annelle Guthrie asked if in Tennessee could you use an increasing rate based on value of the car, with the CE saying he’d have to investigate tiered rates but that it could not be based on car value.
The CE noted that in January as part of a Building Committee discussion, proposals on the ambulance building would be available for discussion, and during that meeting budget issues will be considered. He mentioned drafting a resolution in January or February for Commission consideration. Commissioner Evan Baddour said he would like to see the water study be moving before January, with the CE restating that the Request for Qualifications is ready, assuming the Commission would fund the project.
ATTENDEES: Chair County Executive Graham Stowe, Commissioners Erin Curry, Joyce Woodard, James Lathrop, Terry Jones, Tracy Wilburn, Annelle Guthrie, David Adams, Matthew Hopkins, Roger Reedy, Caleb Savage, Gayle Jones, Matt Rubelsky, Evan Baddour, Rose Brown, Carman Brown, Judy Pruett, Shelly Goolsby Other attendees: Financial Manager Beth Moore-Sumners and staff Shana Woodard, EMS Director Bill Myers, and members of the public
