Elizabeth Elementary honors a fallen son - 5.28.07

Elizabeth Elementary School honored the son of fourth grade teacher Mike Bishop. His son was killed in Iraq Friday. Click here to read the story in The Star.

College Avenue wreck - 5.28.07

A single car wreck on College Avenue in Boiling Springs sent four people to the hospital Monday night, one with serious head injuries.

College Avenue wreck photo 2

City researches ways to launch homeless program - 5.25.07

I spent the morning at a workshop presented by Roberta Macauley, the coordinator for Support Circles, a Raleigh initiative to help the homeless. Shelby is currently in the process of developing a similar program that involves churches forming groups to help the homeless.

Here's what Raleigh's program is all about. Read The Star this weekend to find out more.

What Raleigh’s "Support Circle" helps with

- Offers support services and resources (furniture, transportation, job seeking assistance, etc.) to enable individuals and families to move into permanent housing and to maintain stable housing.

- Assists individuals in achieving economic independence

- Empowers families in development and achieving long-term realistic housing, career, financial management and community participation goals

-Provides moral encouragement and companionship

- Gets families involved in the community and/or faith group

- Coordinates efforts with case manager from local community agency

- Provides financial assistance for a portion of the family’s rent and emergency expenses. (Rental assistance is available to individuals/families participating with faith and community Support Circles. Individuals and families are expected to pay 30 percent of their incomes toward rent. Remaining rent is paid through grant money and donations.)

Source: Raleigh’s 10-year plan to end homelessness program

KM store's lottery sales sky rocket - 5.24.07

Jason Street, manager of the Silver Express in Kings Mountain, shows off a N.C. Education Lottery raffle ticket. His store's lottery sales jumped 90 percent since last quarter and was recognized by the state lottery commission. Read more about the store's efforts to sell tickets in an upcoming edition of The Star.

Truck and boat flip on U.S. 74 - 5.23.07

A pickup truck hauling a boat ran off the right side of the road, over corrected, flipped and rolled on U.S. 74 around 3:30 p.m. Wednesday, according to N.C. Trooper J. Saucier. One person was taken to Cleveland Regional Medical Center with non-life threatening injuries. Saucier said the injured person was wearing a seat belt. He said it probably saved his life. Read more about the wreck and the Click it or ticket campaign in Thursday's Star.

City vehicle and car collide - 5.21.07

A Shelby Public Utilities vehicle collided with a white Nissan at the corner of S. Lafayette and Sumter streets. Emergency personnel used the Jaws of Life to cut open the car to free a passenger. Two people in the car and the driver of the truck were taken to Cleveland Regional Medical Center. A report is expected to be available this afternoon.

Denver Rescue Mission brings hands help 5.16.07

Brad Hopkins, director of Denver Rescue Mission's Family and Senior Homeless Initiative is in Shelby Wednesday to present information to the city's homeless task force. He will be discussing how Shelby can implement the program they operate in Denver.

For more on Denver's program visit: http://www.denverrescuemission.org/fshi/

Check back later for more on his visit.

Mitt Romney's son visits Shelby - 5.14.07

Tagg Romney, the son of presidential candidate Mitt Romney, stopped in Shelby Monday night to talk with county Republicans. His stop is on the way to South Carolina to stump for his dad. Read more about how and why he left his job with the Los Angeles Dodgers to work for his dad.

Baby freed from locked truck - 5.11.07

Shelby police and firefighters responded to a baby locked in a truck in Wal-Mart's parking lot Friday afternoon. After a few minutes, firefighters unlocked the door and the family was reunited with their baby.

Wrapping up for the day - 2 p.m.

Council plans on recessing for the day. I will update later with new meeting times.

No COLI but performance pay hike approved - 1:55 p.m.

Council members focused discussion on a 2.5 percent performance pay allocation with no overall cost of living increase.

Council member Jeanette Patterson said she would like to see all employees get some increase this year.

"I think everybody should have some kind of increase," said Mrs. Patterson.

Councilman Joel Shores, and a majority of the council, said 2.5 percent performance pay is acceptable.

"If everyone met that superior work, they would get that reward," said Shores.

Council orders reduction in ED funding to Cleveland 20/20 - 12:30 p.m.

Councilman Bob Still proposed trimming the economic development funding to Cleveland 20/20 from $60,000 to $30,000. He said Kings Mountain contributes $30,000.

Over the last year, Kings Mountain has seen significant jobs announcements, such as Christ Craft and Indian Motorcycle, while Shelby has seen less few jobs created.

"We pay a tremendous amount of money to market something that is not there," said Still. "We're marketing an empty shelf. We're not getting much bang for our buck."

He said the city doesn't have very many empty buildings and property to market. He said once the city finishes some infrastructure expansions, such as the East Side Sewer Project, the council can go back and look at the funding. He said the expansion would open large tracts for development.

He said the city would be better off using the money for a code enforcement officer.

The mayor disagrees. He said it look bad to the private investors that are helping Cleveland 20/20 lure new industries to the area.

"I think that's sending the wrong signal for our economic development efforts," said Mayor Ted Alexander.

Councilman Joel Shores said the county and Cleveland 20/20 are doing a great job but finances are tough for the city. He said the strong relationship between the county and the city still needs to remain.

"We have a tight budget year," said Shores. "Kings Mountain is paying $30,000. They are seeing growth and we're not."

City Manager Rick Howell said he will abide by the decision. He recommended the council to meet with county commission chair and the county manager, but a majority of the council said they made up their mind already.

"If its the general consensus of the council we'll make the adjustment," said Howell.

Gas rate hike proposed - 12:45 p.m.

City Manager Rick Howell proposed an increase to the city's gas rate. He said the rates are preliminary and haven't been finalized.

$1.50 increase in the facility charge for residential with $1.17 base margin increase, $2.50 increase for commercial with $1.23 base margin increase and $10 increase for high load factor with $1.02 base margin increase.

"People are using less gas when it's cold and it's hurting our bottom line," said Ted Phillips, the city's finance director.

He also said winters have been warmer than usually.

"A lot of our gas customers are not in the electric system," said Phillips.

Electric hike proposed - 12:20 p.m.

City Manager Rick Howell proposed a 2 percent hike in the city's electric rate.

"We're looking at a little bit of growth by overall city wide it doesn't amount to much," said Brad Cornwell, the city's public utilities director.

He said a 48-unit apartment complex on Fallston Road and a new hotel have chosen city electric over Duke Energy.

Budget includes a mini excavator ($45,000 to be financed), service truck ($40,000 to be financed) and $320,000 in system upgrades.

More budget discussions - 11:30 a.m.

Shelby council members will be meeting today at noon at the Utilities Operation Center on Grover Street for a third budget discussion workshop.

City Manager Rick Howell is expected to present budgets for electric and gas.

The council members might discuss the city manager's proposed general budget and the alternatives that have been drafted.

The original proposed general budget included a 3-cent property tax increase and a $2 solid waste fee increase while calling for five new city employees.

Truck crashes into woods 5.6.07

Shanghai VFD, Shelby Rescue and Cleveland County EMS responded to a single-vehicle wreck on N.C. 150 just before 4 p.m. Sunday. A white pickup truck went of the road into a wood area just after Shelby Airport headed to Shelby.

Crest's JROTC competes.

Despite the pouring rain, several JROTC teams from around the area marched in formation Saturday morning in the parking lot of the Cleveland Mall during a drill competition hosted by the North Carolina Foothills Detachment of the Marine Corps League. Among the teams, Crest High was the only local team to compete.

Lost dog to be reuinited with family

This lost Pomeranian named Baby waits with Joan Spencer until her son can return from New York to be reunited with his lost dog. After a trip to visit his mom in Shelby, the son and his family stopped at the Cleveland Mall. While their the dog escaped. Find out the rest of the story in Saturday's Star or check back her later for the link.

Council requests budget options

Shelby council members requested that the city manager prepare several alternative budgets with a different percentage of merit increases and with less new employees. They also requested the city manager to prepare a budget that included no property tax increase.

Sewer/Water rate hike proposed

Shelby City Manager Rick Howell proposed a 5 percent increase in water and sewer rates Thursday night during budget work session with council members.

He said the city’s utilities are bracing for Copeland’s closure. Copeland is the third largest sewer customer and seventh largest water customer.

"We anticipate that line being closed by the end of the year," said Howell.

He said their utility usage continues to decline.

Water (5 percent rate increase proposed)

"The water customer base is flat and overall consumption is excepted to decline slightly. The rate increase recommended is intended to service the issuance of debt for the Westside Water Improvement Project once completed in 2008."

Sewer (5 percent rate increase proposed)

"The sewer customer base is flat and overall usage is excepted to decline slightly. The rate increase recommended is intended to service the issuance of debt for phase one of the Eastside Sewer Project expected to be completed in spring 2008."

Links to budget documents

City manager's proposed budget message

City manager's proposed budget presentation

Summary of General Fund Expenditure

General Fund Capital

Budget summary

General fund expenditure and revenue summary

Expenditure summary
3.5 percent pay allowance = $336,000
Group health insurance increase = $252,000
Police Department net increase = $180,000
Other departments net increase =$101,000

Total additional revenue needed = $869,000

Revenue summary
Current growth revenue expected = $218,000
Solid waste fee increase = $176,000
Property tax increase = $475,000

Total additional revenue = $869,000

Source: City Manager’s 2007-08 Budget Message

Some proposed revenue and exp. changes

Selected proposed revenue and expenditure changes

Solid Waste Fees (revenue): The monthly solid waste fee for roll out customers is recommended to increase from $4.95 to $6.95 per month. It is my ongoing recommendation to council that the solid waste division services (roll out garbage and yard waste) transition to a fee supported system. This recommended fee increase would generate approximately $176,000 annually.

Personnel costs (expenditure):

• A 3.5 percent performance pay allowance is provided for within the proposed budget. This amount has been allocated to each department but would be awarded on a performance basis under a new evaluation system now being developed. The total cost for this item is approximately $336,000. There is no recommendation for a market rate or cost of living adjustment in this budget.
  "Ultimately, that will be a fair way to go about retaining highly qualified employees and rewarding them for performance," said Howell told council members Tuesday.
• A 20 percent increase in health insurance is also expected based upon the stated renewal received from Blue Cross/Blue Shield. The approximate increase in cost for the provision of employee health insurance is $252,000. We continue to work toward an alternate plan that would maintain the current PPO plan but also offer a high deductible (HSA) plan. Under this option employees would for the first time, if they maintain the PPO plan, be subject to paying a monthly fee for their individual coverage. This option could lower this increase to 15 percent or approximately $189,000.

Source: City Manager’s 2007-08 Budget Message

City's challenges

Challenges facing the city outlined by the city manager

• Sluggish growth (1.1 percent) in the property tax base has been realized.
• Slow growth in utility fund revenues that results from difficult economic times and an inability for various reasons to significantly grow the more profitable utility systems.
• Rising employee group health insurance costs in double digit percentages despite a reduction in benefits last year and an overall good to average loss experience.
• Retention of qualified, well trained and experienced employees in key positions is also a concern that I hope will be addressed with a new performance pay system this year.
• A significant rise in energy cost that affects the natural gas system profits.
• Elevated fuel costs continue to directly affect the delivery of services to the citizens of Shelby. All of our departments are reliant on fuel to perform the work necessary to serve citizens each day.
• A continuing reliance by the general fund on utility revenue subsidies especially at a time when natural gas prices continue to be higher thus causing overall consumption to be down.
• Aging utility systems and other city infrastructure will need significant investments of capital to continue reliable service and to meet safety and regulatory standards.
• Reserves in the general fund are below levels that allow the city to appropriately manage risk, react and fund emergency situations and provide security for new debt issuance for infrastructure that is necessary for growth.
  

Source: City Manager’s 2007-08 Budget Message

Property tax hike proposed.

Howell said with the additional general fund expenditures, $869,000 in additional revenue is needed.

He proposed a 45 cent per $100 valuation tax rate. That is 3 cents higher than the current 42 cent property tax rate.

He also proposed a $2 per month increase in the solid waste fee.

More staffing positions?

Budget proposes new code enforcement officer, which would bring the total to 2. Additional position included in the human resources department. The HR posistion is for a risk management position. The position restores the position that was eliminated in last year's budget.

More SPD staffing?

The proposed budget includes three new entry level positions in the police department, more overtime funding and money for a police department residency program. Three additional police officers would bring the staffing level to 74.

Budget discussions underway - merit raises discussed

City Manager Rick Howell unveiled the 2007-08 fiscal year budget today during the first of several budget workshops with council members at the Utility Operations Center on Grover Street.

"This is very preliminary. I’ve been through the department requests," said Howell. "I had to scrutinize each item."

Last year, the city cut 16 positions from the general fund budget while maintaining the property tax rate.

The budget must be adopted by June 30. The fiscal year budget begins July 1.

When planning the budget, Howell said he focused around the goals of the city’s Strategic Growth Plan and council’s 2007-08 fiscal year priorities developed by the council several months ago during their retreat at First National Bank.

"There hasn’t been coli’s (cost of living increase) for the best two years," said Howell.

Employees will be eligble for a 3.5 percent. The proposed budget has $336,000 allocated for those employees that perform at a high level. The city is working on an evualtion process that should be rolled out within four months.

"Ultimately that will be a fair way to go about retaining highly qualified employees and rewarding them for performance," said Howell.

City budget planning

Beginning at noon, I will be posting live from the first of several planned budget discussions for the City of Shelby.

City Manager Rick Howell said he plans to unveil the general fund budget today and the utilities budget Thursday.