County Budget Work Session Addresses Staff Health Care Costs, Charging Town for Solid Waste Dumping, and Old Oak Ln. Projects

Following a 4 p.m. tour of the new Senior Center renovations slated to be completed by June (see related story) and a late-added 5:30 p.m. Closed Session (Item A), the Warren County Board of Supervisors convened to yet another Fiscal Year-2024/25 budget work session. This one, convened about five minutes after the scheduled 6 p.m. start due to the length of the closed session, included one outside agency, the Virginia Department Of Transportation (VDOT) on the Six-Year Plan for road improvements in the county, and five county departmental presentations.

Those budget-related reports in the order presented were:

1. Presentation – Virginia Department of Transportation Secondary 6-Year Plan
2. Discussion – Public Work Transfer Station Rates – Mike Berry, Public Works Director
3. Presentation – Old Oak Lane, Phase IV (4) and V (5) Updates – Mike Berry, Public Works Director and Sanitary District Manager Michael Coffelt
4. Discussion – 2024-2025 United Healthcare Insurance Renewal – Jane Meadows, Deputy County Administrator, Kayla Darr, Human Resources Manager
5. Discussion – Orientation for the Department of Social Services – Jon Martz, Director of Social Services
6. Requested Proclamation: April is Child Abuse Prevention Month – Department of Social Services

Since it was a work session, no actions were taken on the presentations or staff recommendations. The board took what they heard under advisement as they move toward a final budget proposal in the months leading to the start of Fiscal Year-2025 on July 1, 2024. Since no action can be taken at a work session, the Social Services Department requested proclamation on recognizing April as Child Abuse Prevention Month would be made at the board’s first meeting of May, Tuesday, the 7th of May.

County Director of Social Services Jon Martz and staffers April White and Christine Lawson outlined their programs and service number increases into the new fiscal year and requested board acknowledgment of ‘April is Child Abuse Prevention Month’.

Among highlights of those presentations and board discussion of them was a staff recommendation from Public Works Director Mike Berry to begin charging the Town of Front Royal for its use of the County’s Solid Waste Transfer Station to dump residential trash. Coupled with a $10 hike in the County’s current tipping fee of $69 to $79 at the Transfer Station, charging the Town “what other commercial users” are charged was projected to increase County revenue by $474,000 to help cover rising costs.

Another highlight came during Deputy County Administrator Jane Meadows update on renewal of the United Health Care Insurance Plan for County employees. In describing the existing situation, employee contributions to their health care coverage balanced against salaries, as well as health and age profiles of county employees, it was observed that may of the County’s employees “feel undervalued” by their employer.

Board Chairman Cheryl Cullers expressed some distress at that description of what is apparently a significant portion of the County’s staff that may be considering a move to a higher-paying or larger employer share of health care costs municipality. And while it may not be a totally new phenomena in the local governmental employer/employee relationship, it is one the board chair believes needs to be dealt with proactively in coming years. How that might be achieved without increasing County revenue through higher service rates, as suggested by the public works director regarding the Town’s use of the County’s Solid Waste Transfer Station, or general tax hikes to provide additional across the board general services revenue will be a dilemma the board must face in coming fiscal years.

County Director of Social Services Jon Martz and staffers April White and Christine Lawson outlined their programs and service number increases into the new fiscal year, as well as requested board acknowledgment of ‘April is Child Abuse Prevention Month’.

Another discussion highlight came in the updates on Old Oak Lane Phases 4 and 5 in the Shenandoah Farms Sanitary District. Staff reported ongoing issues with “production defects” of box culvert sections delivered to the County by the contracted vendor causing ongoing delays as the Phase 4 project creeps toward completion. But that completion of the Old Oak Phase 4 project cited at an approved budget of $1.6 million, with expenditures to date of $796,792, with a remaining budget of $803,208, was recommended for completion. The staff summary also noted that the County “has not paid for the Eastern Vault $249,000 invoice for station 53+00 due to the deficiencies noted.” It was further noted that Public Works has “expended $173,000 in corrective action” with more corrective repairs to come.

As for Old Oak Phase 5 more at a planning stage, due to “Design Constraints” and related costs, staff recommended that the “County Administrator should send a letter to VDOT cancelling the Old Oak Phase V (5).” However, it was added that the County Public Works Department “complete the project internally using current maintenance contracts and approved SFSD (Shenandoah Farms Sanitary District) FY24 road improvement funding.” It was added that: “County General funding no longer necessary for internal SFSD project” which might draw the attention of some Farms Sanitary District residents regarding the use of their Sanitary District tax revenue.

The Closed Session involved legal consultation on wide range of matters involving liabilities, debt, potential bank actions, and recovery of assets related to the Front Royal-Warren County Economic Development Authority (FR-WC EDA or now WC EDA) financial scandal. The motion made into the Closed Meeting read:

“I  move the Board enter into a closed meeting under the provisions of Sections 2.2-3711(A)(7) and (A)(8) for consultation with legal counsel pertaining to actual or probable litigation and the provision of legal advice regarding the Industrial Development Authority of the Town of Front Royal and the County of Warren, Virginia (the “EDA”), the Town of Front Royal, the EDA vs. Jennifer McDonald, et al., the Town of Front Royal vs. the EDA, et al., the EDA vs. the Town of Front Royal, other potential claims and litigation relating to other possible liabilities of the EDA, the recovery of EDA funds and assets, the outstanding indebtedness of the EDA and potential bank actions related to the same.”

The supervisors came out of the closed session at about 6:05 p.m. to find a captive audience of mostly county staff in the rear of the meeting room, along with VDOT reps Ed Carter and Matt Smith, right to left, in the second row of public seating.

And after the above-cited agenda’s completion, the work session adjourned at 8:25 p.m.

Due to what was described as a vendor “glitch” there is some delay on the work session video being posted. County IT staff hopes the video will be posted by the end of the week. When it is available, it will be linked to this story.