Jan 18, 2022 Finance Committee

[1. CALL TO ORDER]

[00:00:07]

,FINANCE COMMITTEE TO ORDER ALL STAND FOR THE PLEDGE OF ALLEGIANCE, PLEASE.

>> I PLEDGE ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA AND TO EMPOWER PEOPLE IN THE STANDS. THAT'S ONE NATION A NATION UNDER GOD INDIVISIBLE DEFENSIBLE WILL NEVER DELIBERATELY COUNTRIES FOR US FOR AND NOTIFICATION FOR THIS MEETING HAS BEEN POSTED, PUBLISHED, DISTRIBUTED IN COMPLIANCE WITH THE SOUTH CAROLINA FREEDOM OF INFORMATION ACT. IF I COULD ASK SOMEONE FOR APPROVAL OF THE CURRENT AGENDA ,MR. CHAIRMAN, I THINK WE SHOULD WAIT ON THAT.

IF YOU DON'T MIND DEFERRING THAT UNTIL LATER ON. OK, WELL, LET'S NOT JUMP TO

CITIZENS COMMENTS. >> IS THERE ANYONE HERE EITHER IN PERSON OR ONLINE WHO WOULD

LIKE TO MAKE A COMMENT DURING OUR CITIZENS COMMENT PERIOD? >> AND THERE WAS NO ONE IN

[7. UPDATE FROM ASSISTANT COUNTY ADMINISTRATOR, DALE BUTTS]

AN UPDATE FROM THE ASSISTANT COUNTY ADMINISTRATOR. >> THANK YOU, MR. CHAIRMAN.

GOOD AFTERNOON. MEMBERS OF THE COMMITTEE JUST A BRIEF UPDATE ON THE FINANCIAL DIVISION. YOU'RE GOING TO HEAR FROM SOME OF THE DEPARTMENT HEADS HERE MOMENTARILY. BUT FOR THE OTHER DEPARTMENTS TELL YOU A LITTLE BIT ABOUT ABOUT WHAT'S GOING ON. AS FAR AS THE ASSESSOR'S OFFICE, THEY'VE BEEN CONTINUING WORK ON THE 4 PERCENT RESIDENTIAL APPLICATIONS THAT COME IN ON A DAILY BASIS AS OF JANUARY 7TH. THERE WERE OVER 13000 OF THOSE THAT HAD BEEN RECEIVED DOWN TO AROUND THREE THOUSAND REMAINING UNDER REVIEW. SO PRETTY GOOD PERCENTAGE THERE

OF GETTING THOSE TURNED OUT. >> ONE OF THE THINGS THAT MISS SANDERS DID THIS YEAR WAS WAS GOT THAT APPLICATION PROCESS ONLINE AT THE TIME SHE DID THAT BEFORE COUNTY WAS ABOUT ONLY THE THIRD COUNTY WHO HAD BEGUN TO ALLOW THOSE ONLINE FILINGS OF APPLICATIONS AND THAT WAS A BIG SUCCESS WITH 93 PERCENT OF THE APPLICATIONS RECEIVED HAVING BEEN FILED ONLINE.

>> YOU ALL KNOW ABOUT THE REFUND COMMITTEE THAT HAS BEEN REINSTATED DUTY THIS YEAR TO ASSIST WITH LATE PENALTIES. AND WE ALSO GET A ROUNDTABLE DISCUSSION TO SEE WHAT OTHER WAYS WE MIGHT ASSIST THE ASSESSOR'S OFFICE GOING FORWARD WITH THIS PROCESS.

MISS SANDERS IS GOING TO BRIEF YOU THIS AFTERNOON ON THE UPCOMING QUADRENNIAL REASSIGN ESTIMATE THAT WILL TAKE PLACE NEXT YEAR. BUT THINGS HAVE TO GET STARTED THIS YEAR ON THAT. SO GIVE YOU A FEW DATES AND THAT SORT OF THING THAT YOU CAN KEEP IN MIND MOVING FORWARD OVER IN BUSINESS SERVICES. JANUARY 1ST WAS THE BEGINNING OF A STATEWIDE STANDARDIZATION BUSINESS LICENSE. THERE'VE BEEN SOME CHANGES AS IT RELATES TO LONG TERM AND SHORT TERM RENTALS. AND YOU'LL HEAR MORE ABOUT THAT HERE IN JUST A LITTLE WHILE AS WELL. LETTERS WENT OUT TO THE OWNERS RENTAL PROPERTIES NOTIFYING THEM OF OF THE OF THE CHANGES IN AUGUST.

THE NEW SOFTWARE UP AND RUNNING IN BUSINESS SERVICES AND AS FAR AS I KNOW ALL IS WELL WITH THAT FROM OUR H.R. DEPARTMENT EMPLOYEES ON COVERED LEAVE OF COURSE NO SURPRISE THAT'S AT AN ALL TIME HIGH FOR FOUR BEAUFORT COUNTY AND A CHARGE CONSTANTLY RESEARCH IN THE CDC GUIDELINES UPDATING STAFF AS HAS APPROPRIATE CONCERNING CODE AND WE HAVE HAD A LOT OF DEPARTMENTS IN THIS DIVISION WHO HAVE BEEN HURT STAFFING WISE BECAUSE OF THAT ISSUE.

>> H.R. IS ALSO FINISHED UP MEETINGS WITH THE DEPARTMENTS ON THE FULL TIME EMPLOYEE PROGRAM AND THOSE OFFICES THAT THOSE DEPARTMENTS THAT REQUESTED TO MEET.

THEY'VE RECENTLY WRAPPED THOSE UP. H.R. IS UPDATING THE MUNIS SOFTWARE TO REFLECT THE FEEDBACK FROM THOSE DEPARTMENT HEAD MEETINGS OVER IN PROCUREMENT. THE RECENT ADDITION OF ADMIN SPECIALIST HAS HAS FULLY STAFFED THE PROCUREMENT PURCHASING DEPARTMENT. THEY'VE BEEN BUSY PUTTING TOGETHER TRAINING VIDEOS FOR THE NEW SHAREPOINT SITE. THIS WILL ENABLE OUR DEPARTMENT HEADS AND THEIR SIGN STAFF TO WATCH STEP BY STEP INSTRUCTION VIDEOS ON CREATING REQUISITIONS, OBTAINING VENDOR QUOTES TO CONTACT CONTRACT PROCESS AND MUCH MORE.

>> AND IN ADDITION THEY'RE UPDATING THE PURCHASING AND PROCUREMENT MANUAL, THE EMPLOYEE GUIDE AND THE CONTRACT THRESHOLD GUIDE. ALL OF WHICH WILL BE UPLOADED UPLOADED TO THE WEB SITE AND OR THE INTRANET. YOU MET MRS. GREEN, OUR NEW

[00:05:05]

BUT IF YOU GUYS DON'T HAVE ANY QUESTIONS FOR ME, THAT'S ALL I HAVE AT THIS POINT.

ANY QUESTIONS FOR MR. BUTTS? >> LET'S JUST GO UP QUICKLY. MR. BUTTS, CAN YOU PERIODICALLY GIVE THE UPDATE ON THE FULL EMPLOYMENT OF DIFFERENT DEPARTMENT PARTICULARLY THE PUBLIC WORKS STORMWATER WATER? JUST AN UPDATE ON WHERE THINGS ARE AND WHETHER WE HAVE REACHED FULL EMPLOYMENT IN THOSE DEPARTMENTS? YES, SIR.

THE ONES THAT DO AND MOST OF THE ON GROUND KIND OF WORK. BRIAN? YEAH. I'M NOT SAYING THAT PLACES LIKE FINANCE IS NOT IMPORTANT BUT YOU KNOW, FLOW FORWARD FOR ME IN A RURAL AREA OF GUYS ALL AROUND IS WHAT I'D REALLY LIKE TO SEE. I UNDERSTAND. I UNDERSTAND.

I'LL GET WITH MR. FÉLIX AND WE'LL WELL WE'LL SEE WHERE THAT STANDS.

YES, SIR. >> THANK YOU. THANK YOU.

MR. GLOVER. ANYBODY ELSE HAVE A QUESTION FOR MR. BUTTS RESPONSE?

[4. APPROVAL OF AGENDA]

FOR SOMEONE TO MAKE A MOTION TO APPROVE TODAY'S AGENDA. >> SO MOVE MR. CHAIRMAN, I CAN THANK YOU GENTLEMEN. AND WITHOUT OBJECTION TO APPROVE THE AGENDA WHICH I

[5. APPROVAL OF MINUTES- September 20, 2021, October 18, 2021, and November 15, 2021]

OCTOBER 18TH AND NOVEMBER 15TH AGAIN. >> SO MOVE.

MR. CHAIRMAN, THANK YOU. FOLLOWING A SECOND LIKE DISCLOSURE.

[8. DISCUSSION AND PRESENTATION OF YEAR-TO-DATE FINANCIAL STATEMENTS FOR FY 2022]

SO MR. HAYES, WOULD YOU PLEASE COME AND JOIN US? THE FLOOR IS YOURS.

THANK YOU, CHAIRMAN. COUNCIL MEMBERS IT'S BEEN A LONG TIME SINCE WE MET.

MORE GOOD BACK WITH SOME STUFF LIKE THAT HAPPENED IN NOVEMBER SUCH AS A PTA PAYOUT OUT IN NOVEMBER. WE HAD A SPECIAL PAY FOR THE PTO WE HAD IT WAS FOR EMPLOYEES THESE GET PAID FOR 60 HOURS APL T OR HALF THEIR PARTY BALANCE. WE HAD A TOTAL OF FOUR HUNDRED AND SEVENTY NINE EMPLOYEES PARTICIPATE IN THE TOTAL WITH EXPENSE WAS ABOUT SEVEN HUNDRED SEVENTY SIX THOUSAND DOLLARS. IT WAS VERY WELL RECEIVED. WE'RE WORKING ON BOND PAYMENTS . THEY SHOULD BE GOING OUT THIS WEEK FOR THAT ARE DUE IN FEBRUARY. IT'S GONNA BE ABOUT SIX POINT FIVE MILLION.

>> I WANT TO UPDATE YOU ON THE EXTERNAL AUDIT NATURAL MONITORS MODERN AND JENKINS FINISH YOUR FIELD WORK IN DECEMBER. THEY'RE IN THE PROCESS REVIEWING IT SHOULD BE GOING TO THEIR CONCURRING REVIEW TOMORROW. WE HOPE HOPING TO GET A DRAFT OF IT SO WE CAN START DOING OUR INTERNAL REVIEW ON IT AND HOPEFULLY WE'LL GET IT DATED AS OF 1 21 OR 22. THIS WILL BE A REALLY GOOD THING.

THIS WILL BE THE EARLIEST THAT IT'S BEEN DATED AND SIX YEARS IF WE CAN GET IT THERE AND WE'RE PUSHING REALLY HARD. WE'RE NOW WE'RE PLANNING ON MEETING WITH THE DEPARTMENT HEADS AFTER WE GET DONE WITH THE AUDIT AND GO OVER SOME ITEMS RELATED TO FINANCE AND

HELPING THEM OUT. >> AND THAT'S REALLY ALL I HAVE TO REPORT FROM THE FINANCE OFFICE OTHER THAN THE FINANCIAL STATEMENTS WHICH I'LL GO INTO AFTERWARDS IF ANYBODY HAS ANY

QUESTIONS. >> ANY QUESTIONS FOR MR. WILLIAMS?

>> SEE NO QUESTIONS. >> THANK YOU, MR. WILLIAMS. APPRECIATE THAT.

OKAY. >> THE FINANCIAL STATEMENTS WE'RE GONNA GO OVER IS IS FAIRLY FLAT. THERE AREN'T A WHOLE LOT OF EXCITING THINGS GOING ON.

YOU KNOW, OUR LICENSE PERMITS ARE ARE LAGGING RIGHT NOW. WE'RE GONNA START SEEING A LOT OF ACTIVITY FROM JANUARY TO THE APRIL CUT OFF. SO THAT SHOULD BE GOING UP SIGNIFICANTLY. OUR INTERGOVERNMENTAL REVENUES ARE STILL DOWN.

WE HAVEN'T GOTTEN OUR SECOND QUARTER YET. TYPICALLY WE GET IT AFTER THIS MEETING SOMETIME 20 21ST TO THE 25TH OF THE MONTH AFTER FALL IN THE QUARTER.

SO THAT SHOULD BE A SIGNIFICANT AMOUNT THERE ARE CHARGES FOR SERVICES AGAIN IN OUR REVENUES.

THERE'S ARE THERE'S BEEN HIGH AS AS A RED D IS HAVING ANOTHER RECORD YEAR.

[00:10:01]

DEALS AND OF SEVEN HUNDRED THIRTY SEVEN THOUSAND DOLLARS. >> WHEN WE LOOK AT OUR OVERALL EXPENDITURE EXPENDITURES THEY'RE TRACKING ALMOST EXACTLY WHERE IT THE PERCENT OF THE BUDGET EXPERIENCE IS ABOUT FIFTY POINT FOUR AND PRESENTED TO THE YEAR 50 PERCENT EVERYTHING. IF YOU LOOK AT THE GRAPHS PRETTY FLAT THERE'S ONE SPIKE IN THE OTHER BUT THE PUBLIC HEALTH IS HIGHER A LITTLE BIT HIGHER THAN LAST YEAR BECAUSE THEY PAID THE THE THIRD QUARTER OF PAYMENTS TO TO THE VARIOUS AGENCIES FOR GRAPH OR COMP HEALTH AND BEFORE MEMORIAL IN DECEMBER AT THE END DECEMBER INSTEAD OF JANUARY 1ST.

THE OTHER THE REASON IT IS DOWN IS THE SPENDING THAT ECONOMIC DEVELOPMENT IS SLIGHTLY LESS THAN EXPECTED. I HAVE THE DETAILS THE REVENUES ON PAGES 8 OF 7 THING TEETH 17 THROUGH 20 OF YOUR AGENDA PACKET AND THEY ALL ROLL INTO THOSE FINANCIAL STATEMENTS.

I HAVE A I GUESS IT'S NOT A NEW STATEMENT BUT IT'S IS ONE I HAVEN'T PRESENTED BEFORE US IS THE RURAL AND CRITICAL LANDS PROGRAM. I'VE BEEN ASKED BY THE RULING LITTLE COURT RULING CRITICAL LANDS TO GIVE THEM A SNAPSHOT OF WHERE IT IS EVERY QUARTER AND I'VE BEEN DOING THIS FOR THE PAST YEAR YEAR AND A HALF BUT I WANT TO SHARE IT WITH YOU

ALL TO SEE KIND OF WHERE THEY WERE ON EVERYTHING. >> SO IF YOU LOOK AT IT YOU HAVE THE ONLY REVENUE THEY REALLY HAVE THIS YEAR INTEREST AND YOU CAN SEE THE EXPENDITURES YOU HAVE YOUR PROFESSIONAL FEES WHICH INCLUDE OUR OR OUR CONSULTING SERVICES THAT WE GET FROM OUTSIDE. AND THEN YOU HAVE YOUR LAND CONSERVATION.

HENRY FARMS A DALE PDR IN THE LAND ACQUISITION OF BERMUDA BLUFF AND THEN THEY HAVE A FORT FREMONT PROJECT THAT THEY'RE WORKING ON AND THEN YOU HAVE THE TOTAL FROM LAST YEAR'S FUND BALANCE IN A NEW TOTAL OF WHAT'S LEFT IN THIS FUND IS ABOUT 15 MILLION DOLLARS LESS TO ENCUMBRANCES THAT WE HAVE SO DECEMBER THIRTY FIRST OF THIS YEAR THEY HAD APPROXIMATELY 15 MILLION THREE HUNDRED TWENTY TWO THOUSAND LEFT IN THEIR FUND BALANCE SPIN FOR RURAL AND

CRITICAL. >> AND AS AS WE GO ON AND I GET A LITTLE FURTHER FROM THE AUDIT AND HAVE A LITTLE BIT MORE TIME ON MY HANDS, I PLAN TO BE SHARING MORE OUR REPORTS WITH THE MONEY MYSELF. IT DOES SEEM I HAVE ANY QUESTIONS ANY QUESTIONS FOR MR.

WILLIAMS. >> COUNCIL MEMBERS I THINK YOU'RE OFF THE HOOK.

>> I DON'T SEE ANY. SO THANK YOU, CHAIRMAN GATES. HE SAID NOTHING EXCITING WHICH IS A GOOD THING. IT IS OBVIOUS ON EXCITING NEWS .

I'VE TALKED ABOUT THIS GUY. >> ALL RIGHT, GREAT. >> LET'S MOVE ON TO NUMBER

[9. UPDATE FROM BUDGET DIRECTOR PINKY HARRIOT ON THE FY2023 BUDGET PROCESS]

CURRENTLY WE HAVE AS HE MENTIONED THERE THERE A DRAFT PLAN AT THE MUNI SIDE AND WE'RE ENTERING PERSONNEL FIGURES INTO OUR NEW BUDGETING SOFTWARE CALLED CLEAR GOV..

WE ARE ALSO UPDATING ALL OF THEIR FRINGE BENEFITS AND THEIR RETIREMENT SYSTEM INFORMATION FOR THEM AND THEN THEY WILL HAVE ACCESS TO ENTER THEIR BUDGET, THEIR OPERATIONAL LINE ITEMS OVER THE COURSE OF THE NEXT MONTH AND TO KIND OF STICK STAY ALONG WITH OUR CALENDAR. WE WILL ALLOW THEM TO ENTER THEIR BUDGETS UP THROUGH FEBRUARY 11TH AND THEN WE WILL PREPARE THE PROPOSED BUDGET FOR THE ADMINISTRATION TO REVIEW BEFORE WE COME TO COUNCIL WITH THE FIRST DRAFT. ANOTHER THING IN THE BUDGET PROCESS THAT WE'VE BEEN WORKING WITH THE ENGINEERING DIVISION IS RCI ARE THREE OR THREE YEARS THE IP PLAN. SO WE HAVE TIED THIS ERP PLAN BACK TO THE COMPREHENSIVE PLAN THAT WAS PREVIOUSLY APPROVED BY COUNCIL AND CURRENTLY WE HAVE RECEIVED ALL OF THE COUNTYWIDE CAPITAL REQUESTS FOR THE NEXT THREE YEARS AND WE ARE CURRENTLY RANKING ALL OF THE PARTIALLY FUNDED PROJECTS AND WE WILL HAVE A SPREADSHEET FOR COUNCIL TO REVIEW FOR FUNDED PROJECTS PUT UP AND PARTIALLY FUNDED PROJECTS AND ALSO UNFUNDED PROJECTS.

SO THAT'S WHERE WE ARE IN OUR BUDGET PROCESS. CAN I ANSWER ANY QUESTIONS?

>> MAYBE. IS IT POSSIBLE FOR US TO GET A WRITTEN TIMELINE?

[00:15:04]

>> I DIDN'T GET A CHANCE TO REVIEW THE PACKAGE WAS THEN IN THERE WITH DEADLINES THE BUDGET

CALENDAR? >> YEAH CALENDAR. >> YES SIR.

WE I THINK WE WHATEVER THAT DURING THE BUDGET TREAT. BUT I CAN MAKE SURE WE GET YOU

ANOTHER COPY. ALL RIGHT. >> THANK YOU, SIR.

>> AND YOU WILL ANY OTHER QUESTIONS WERE A MYSTERY AT. THANK YOU, SIR.

[10. PRESENTATION FROM THE ASSESSOR'S OFFICE REGARDING THE 5 YEAR REASSESSMENT PROCESS AND TIMELINE ]

SANDERS. THANK YOU. >> THANK YOU.

OH, AND ERIC AND WHITNEY, ALLOW ME TO SPEAK WITH THE CHAIRMAN AS WELL AS OTHER MEMBERS OF THE FINANCE COMMITTEE AS WE ALL KNOW THAT THE QUADRENNIAL REASSESSMENT IS AN IMPORTANT PROCESS AND THIS A PROCESS IT ALLOWS FOR THE ASSESSOR'S OFFICE TO EQUALIZE AND APPRAISE

THE MARKET VALUE OF ALL PROPERTIES IN BEAUFORT COUNTY. >> THE REASSESSMENT CYCLE IS DETERMINED OR IS ON ACCOUNT TO THE TURBINE CYCLE ON DEPARTMENT OF REVENUE IN OUR TERM FOR OUR

REASSESSMENT CYCLE IS GOING TO COME IN 2023 TAX YEAR. >> THE PROCESS IS ALSO OUTLINED IN THE SOCKET ON CODE OF LAWS. SO THERE ARE SOME IMPORTANT DAYS THAT I LIKE FOR THOSE COMMITTED TO KEEP IN MIND AS A AS A BEGINNING OF INTRODUCING IT.

>> WE'RE TALKING ABOUT THE PROCESS THE VALUATION EFFECTIVE DATE OF THIS QUADRENNIAL REASSESSMENT IS DECEMBER 30 FIRST OF 2022 THE TINNITUS SCHEDULE DATE TO MAIL NOTICES

TO TAXPAYERS IS AUGUST 25TH 2023. >> CURRENTLY WE HAVE OVER A HUNDRED AND THIRTY THREE THOUSAND US PROPERTIES IN BEAUFORT COUNTY THAT WE ASSESS.

>> WE ANTICIPATE THAT THERE WILL BE AN INCREASE BECAUSE TYPICALLY BE FOR COUNTIES INCREASING THE NUMBER PASSES BETWEEN 5 AND 10 PERCENT. AND WE KNOW THAT BECAUSE THE NUMBER OF THESE THAT ARE COMING THROUGH THE REGISTER D OFFICE AS MR. BUTLER MENTIONED IN HIS HIS OVERVIEW SO WE'RE GOING TO MAIL OUT OVER ONE HUNDRED AND THIRTY THREE THOUSAND ASSESSMENTS AS TAXPAYERS THE DEADLINE FOR TAXPAYERS TO APPEAL IS NOVEMBER 28, 2023.

>> THE REASON WHY WE CHOSE NOVEMBER 20 IN 2023 IS BECAUSE WE HAD TO TAKE IN COUNT THAT THE 25TH AND 90 DAY PERIOD FALLS DURING THE THANKSGIVING HOLIDAY.

AND AS WELL AS THERE IS A VETERAN'S DAY THE BEGINNING OF NOVEMBER.

>> SO WE WANT TO GIVE TAXPAYERS THE OPPORTUNITY. WE DON'T WANT THEM TO MISS ANY

OPPORTUNITY TO BE ABLE TO APPEAL IF THEY CHOOSE TO DO SO. >> AND SOME THINGS THAT THE ASSESSOR'S OFFICE IS DOING CURRENTLY WE'RE REVIEWING SALES DATA.

>> WE'RE LOOKING AT STATISTICAL TRENDS TO PREPARE FOR OUR MODELING OF THE NUMBERS PART MAILING NOTICES. WE WILL SEND OUR STATISTICAL DATA TO DEPARTMENT OF REVENUE FOR THEM TO APPROVE OUR REASSESSMENT WHEN NOTICES ARE MAIL DOES.

KEEP IN MIND THAT YOU'RE GOING TO RECEIVE FEEDBACK. WE'RE SENDING OUT ASSESSMENT NOTICES TO ALL TAXPAYERS THAT OWN PROPERTY BEFORE COUNTY YOU WILL EXPERIENCE AN INCREASED NUMBER CALLS, YOU WILL GET QUESTIONS, YOU WILL GET CONCERNS ABOUT A REASSESSMENT ITSELF THAT'S GOING TO BE EDUCATION PROCESS AND I'M PLANNING TO PROVIDE TAXPAYERS

IN ADVANCE MAILING NOTICES. >> SOME OF THE THOUGHTS THAT WE'VE DONE IN THE PAST AND THE THINGS WE'VE DONE IN THE PAST WAS WE UPDATE OUR WEBSITE, WE UPDATE SOCIAL MEDIA, WE HAVE A REASSESSMENT GUY THAT WE WILL UPDATE TO PREPARE FOR THE REASSESSMENT.

THIS BROCHURE IS DOWNLOADABLE SO TAXPAYERS CAN HAVE IT AT THEIR CONVENIENCE.

WE WANT TO DO AN INFORMATIONAL VIDEO AND WE IN BASED ON THE SITUATION WE IN DURING THAT IN 2023 WE POTENTIALLY COULD DO COMMUNITY PRESENTATIONS. SO WE ARE LOOKING FORWARD TO A REASSESSMENT BECAUSE IT GIVES AN OPPORTUNITY EQUALIZED THESE NUMBERS AND WE HAVE TO HAVE A CHANCE TO ACTUALLY SEE OUR DATA AND WOW YOU FOUR COUNTIES PERFORMING WITH THE MARKET.

>> THERE ANY QUESTION THAT YOU MAY HAVE ANY QUESTIONS FOR ANYONE WHO'S RUNNING FROM

COUNSEL THAT YOU NEED FROM US? >> MS. SANDERS ARE IN THIS PROCESS MORE OR HOW DOES THAT WORK WHEN IT COMES TO THE FINANCE COMMITTEE COUNCIL ITSELF? HOW DO WE SUPPORT YOU OR WHAT? WHAT DECISIONS WE HAVE TO MAKE FOR YOU? WELL, ONE THING THAT WAS GOING TO IN MY BUDGET WHEN WE PUT OUR BUDGET WE HAD TO A LOT FOR

DIFFERENT THINGS. >> THAT'S GOING TO HAVE TO GET US TO THAT POINT.

NOT ONLY STAFFING BUT MAILING NOTICES. THAT'S ONE HUNDRED AND THIRTY THREE THOUSAND. WE HAVE TO PREPARE FOR THAT. OUR WORK WITH THE FINANCE DEPARTMENT IF WE HAVE TO PRINT THOSE NOTICES ALSO EDUCATING THE PUBLIC.

WE MAY HAVE TO EDUCATE COUNCIL ON HOW YOU KNOW OTHER FORMS TO TALK TO COUNSEL IF ERIC CHOOSES

TO DO SO. >> SO WE CAN EXPLAIN WHAT WE'RE DOING, WHAT THOSE STATISTICAL NUMBERS BE, HOW DO WE GET THERE? WHAT MEASURES TO BE USED TO DETERMINE THE VALUES AND WHAT DOES THE VALUES ACTUALLY MEAN? BECAUSE IT'S A LOT OF CONFUSION. WHAT'S CAP VALUE? WHAT'S THE MARKET VALUE?

[00:20:01]

WHY DID MY VALUE CHANGE? >> DID NOT CHANGE MY NEIGHBORS VALUE.

HOW TO APPEAL. >> SO EDUCATION IS THE BIGGEST THING THAT WE CAN DO.

>> IT COUNTS. BUT ALSO AT THE FINANCE I'M GOING UP IN THE BUDGET TO PREPARE FOR THE REST OF THIS YEAR AND THEN OUR REASSESSMENT OVERLAPS INTO 2020 3 WHICH IS

ANOTHER FISCAL YEAR. >> SO IT HAS TO BE IN BOTH OF THOSE YEARS.

>> GOOD. ANY OTHER QUESTIONS SURPASSED MY GOD.

YES. WHEN THE PROPERTIES ARE BEING REASSESSED.

IS THERE A MAXIM INCREASED IN A PROPERTY CAN HAVE IT AS PART REASSESSMENT?

THAT'S A VERY GOOD QUESTION. >> THE SOUTH CAROLINA CODE OF LOSS AS WE MUST DETERMINE THE FAIR MARKET VALUE OF THE PROPERTY BUT ALSO THERE'S A PART OF THE STOCK AND I GOT LAKOTA LAW THAT CAME IN EXISTENCE IN 2000 AND SIC AND WE IMPLEMENTED 0 8 CALLED

CAPPING. >> YOU PROBABLY HEARD OF THAT AND WHAT BASICALLY THIS IS IF A PROPERTY OWNER HAS RETAINED THEIR PROPERTY PRIOR TO 2008 THEY MAY EXPERIENCE THE THIRD

CAP. >> SO WHAT THE CAPPING LAW BASICALLY SAYS THAT YOUR PROPERTY VALUE INCREASE FROM THE LAST QUADRENNIAL REASSESSMENT OR THE LAST TIME THE PROPERTY ASSESSED MORE THAN 15 PERCENT. THE MOST YOU CAN BE TAX AT IS

AT A 15 PERCENT INCREASE. >> SO IF YOUR PROPERTY IS A HUNDRED THOUSAND DOLLARS AND YOUR PROPERTY IS NOT GO OVER ONE HUNDRED AND FIFTEEN THOUSAND DOLLARS THEN THE MOST

YOU CAN BE TAXED IS THE HUNDRED AND FIFTY IF IT GOES TO 200. >> WE CAN ONLY TAX AT ONE HUNDRED AND FIFTEEN THOUSAND FOR THE CAP THAT'S THE CAP STATUTORY VALUE BUT WE STILL

HAVE TO DETERMINE A FAIR MARKET VALUE BY LAW. >> THANK YOU MR. GLOVER HAS SHOWN THEM SOON RESUME YOU TALK YOU TALK ABOUT EDUCATION, EDUCATION, EDUCATION.

DO YOU OR HAVE YOU IN THE PAST GOING OUT TO COMMUNITIES THAT HAVE WORKSHOPS ON HOW TO DEAL WITH THE THE REASSESSMENT MEAN ETC. ETC. AND WORKING WITH GROUPS IN VARIOUS COMMUNITIES? YES. THIS IS PERSONALLY IN MY TWENTY ONE YEARS BEFORE COUNTY AND MY OVER MY HISTORY OF BEING IN THE ASSESSOR'S OFFICE IN NEW JERSEY.

>> THIS IS MY EIGHTH REASSESSMENT. AND DURING THE PAST RECESS.

BUT WE ALWAYS MADE AN EFFORT TO GO OUT INTO COMMUNITIES, GO TO CHURCH LOCATIONS, GO TO EITHER SCHOOL EVENTS. WE SET UP WE ANNOUNCED THAT WE'RE GOING TO BE ELEPHANT OR WE ARE INVITED BY THE TAXPAYER OR GROUPS AND WE ENCOURAGE TAXPAYERS TO COME.

SO YES WE DO. ONE OF THE THINGS I'VE THOUGHT ABOUT IS GETTING WITH ERIC GAMING BROADCASTING TO DO SOMETHING ON COASTLINE. THERE'S A THERE'S A I WOULDN'T ANIMATED VIDEO THAT I REALLY LIKED THAT BOUGHT BARNWELL COUNTY THAT I WANT TO ADOPT BECAUSE PEOPLE ARE VERY THEY ARE TUNED TO VISUALS AND SO THOSE TYPE OF THINGS THAT WILL

HELP TAXPAYERS UNDERSTAND IT ON A TAXPAYER LEVEL. >> BUT YES, WE DO GO OUT AND THAT'S WHY I SAID IT'S BEEN DEPENDENT ON THE SITUATION AND WE DON'T KNOW WHAT COVE IS

GOING TO DO OR NOT DO. >> BUT WE WANT TO GO OUT TO COMMUNITIES.

IN THE PAST I'VE BEEN TO SUN CITY, BEEN THE ST. HELENA, BEEN DIFFERENT PARTS OF BEAUFORT IN

THE LOCAL AREA. SO YES, WE WILL DO THAT. >> THANK YOU.

>> THE QUESTIONS FROM A SANDERS YOU SHOT THIS MCCOLLUM. GO AHEAD I ANY.

>> THANK YOU FOR THIS PRESENTATION. IT'S IMPORTANT.

I'M JUST A QUICK QUESTION. I CIRCLED BACK TO THAT 15 PERCENT CAP IS THE VALUE OF THE HOME CAP AT 15 PERCENT RAISE AND THEN IS THE TAX CAP AT 15 PERCENT AS WELL.

BUT THE PURPOSES OF CAPPING THE CAPPING IS AN A ON A TOTAL VALUATION OF THE PROPERTY.

>> SO WE LOOK AT THE VALUE RIGHT OF THE PROPERTY. >> NOW WITH THE TAXATION IF THERE IS AMOUNT THAT THE COUNCIL CAN DECIDE WHETHER TO RAISE MILLAGE OR LAW, THERE'S PORTIONS OF THE STATUTE THAT DISCUSS THAT BUT THAT I HAVE TO GET WITH LEGAL THAT'S NOT A

QUESTION I'M PREPARED TO ANSWER. >> BUT NEAL, WITH REGARDS TO THE REASSESSMENT YOU CAN YOU RAISE THE MILITARY OR LOWER THE MILITIA, THOSE TYPE OF THINGS.

BUT I KNOW WHAT THE VALUE ITSELF CAPPING IS AND POUR IN IS ONLY A 15 PERCENT CAP A DAY

IF IT HASN'T TRANSFERRED INTEREST. >> RIGHT.

SO THE PROPERTY TAX IS CALCULATED ON THE CAP VALUE NOT ESSENTIALLY THE FAIR MARKET

VALUE. >> IS THAT RIGHT? AND THEN TO CAP THE TAXES ON TAXABLE VALUE FOR THE TAXABLE VALUE CAN INCLUDE IN THIS THIS IS WHERE IT GETS CONFUSING.

>> IT CAN INCLUDE THE TAXABLE VALUE AS WELL AS ON TAXABLE ON ITEM ITEM.

SO WE INFORM TAXPAYERS IS THE TAXABLE VALUE EXTRA TAXES ARE TAXED OR NOT NECESSARY FOR THE CAP VALUE? IN THEORY THE CAP VALUE IS WHAT THEY'RE BEING TAXED ON BUT WE HAVE CASES WHERE PORTION OF THE PROPERTY CAPPED AND OTHER PORTIONS ARE NOT.

[00:25:06]

>> SO IF FOR EXAMPLE THERE WAS A TWO HUNDRED THOUSAND DOLLAR PROPERTY THEN THE MOST THAT COULD GO UP WOULD BE 15 PERCENT OF THE TWO HUNDRED THOUSAND OR THIRTY THOUSAND DOLLARS AND THE

CAPTAIN DEMOCRAT AND MARKET NUMBER COULD GO UP TO ANOTHER. >> I COULD GO I'VE GOT I GOT THAT BUT I HAVE NO COULD ONLY GO TO TWO THIRTY AND THEN IT'S A PROPERTY TAX CALCULATED ON

THE 230 OR SHARE MARKET VALUE TO 30. >> THAT'S THE NUMBER.

YEAH. SO ESSENTIALLY THE PROPERTY TAX WOULD GO UP 15 PERCENT.

>> SO IF IT WAS TWO THOUSAND DOLLAR PROPERTY TAX THEN THAT WOULD GO UP THREE HUNDRED

DOLLARS. >> IN THEORY IT'S OK. IF I COULD ADD THE CAVEAT THAT EBONY WAS TALKING ABOUT MR. CHAIRMAN. YES.

YOU KNOW WHERE WHERE ELIMINATED BY LAW TO HOW MUCH WE CAN RAISE TAXES AND IN THIS IN REASSESSING YEARS IT'S PARTICULARLY CAPPED TO A ROLLBACK.

IN OTHER WORDS, WE'RE ONLY ALLOWED TO COLLECT THE SAME AMOUNT THAT WE COLLECTED LAST YEAR. SO WE ADJUST THE MILLAGE RATES ACROSS THE BOARD TO TO LIMIT HOW MUCH MEAT WE COLLECT FROM FROM ALL THE HOUSES, ALL THE REAL ESTATE IN THE COUNTY.

BUT WE'RE ALSO ALLOWED TO INCREASE THE AMOUNT OF TAXES BY CPI AT AND I THINK THE POPULATION IS ANOTHER QUALITY QUALIFIER IN INCREASING POPULATION INCREASE IN CPI ALLOW US TO COLLECT A LITTLE BIT MORE. AND THEN OF COURSE WE CAN ALWAYS BREAK THE CAP BY A SUPER MAJORITY OF COUNTY COUNCIL. SO SO THOSE QUALIFIERS ONE OTHER THING I'D LIKE TO MAKE SURE EVERYBODY UNDERSTANDS YES THERE IS A 15 PERCENT LIMIT ON THE AMOUNT OF THE INCREASE. HOWEVER THAT DOESN'T APPLY IF THERE IS A CHANGE OF OWNERSHIP.

IF THERE IS A CHANGE OF OWNERSHIP THEY GET TO THE COUNTY WILL REAPPRAISE THE

PROPERTY AT ITS FAIR MARKET VALUE. >> THAT IS CORRECT, MR. FLUID.

ELENA'S CORRECT. IF THERE'S 80 89 ASSESSABLE TRANSFER INCHES THAT'S WHEN THE CAP FALLS OFF AND THOSE INDIVIDUALS THAT TRANSFER INTEREST DO NOT QUALIFY FOR

CAPPING. >> HE IS CORRECT. YES.

>> ALL RIGHT. THANK YOU. ANY OTHER QUESTIONS FROM A SANDERS? YES. I JUST WANT COUNCIL TO BE AWARE OF THE REASON WE ARE DOING THIS TODAY SEEMS LIKE A LONG TIME OUT.

BUT YOU MAY GET CALLS OF INCREASED COUNTY VEHICLE ACTIVITY AND NEIGHBORHOODS IN AREAS AND RESIDENTIAL AREAS AND THINGS LIKE THAT. SO WE WANT TO MAKE YOU AWARE THAT THAT WILL BE THE REASON WHY PEOPLE MAY SEE MORE COUNTY VEHICLES POSSIBLY EVEN PART ON THEIR PROPERTY OR WHATEVER. YOU KNOW, IT'S PROBABLY A PART REASSESSMENT GOING ON.

SO THANK YOU. >> MARK, ONE FINAL QUESTION. YES, LARRY, GOOD NIGHT.

WHAT'S THE TIMEFRAME FOR THE CHANGE OF OWNERSHIP? A CHANGE OF OWNERSHIP.

>> SO IF A PROPERTY OWNER CHANGE IS ASSUMED CURRENT. IF A PROPERTY OWNER TRANSFERS INTEREST IN 2022, THEN WE RECOGNIZE THAT A SENSIBLE TRANSFER INTEREST IN 2020 3 SO THEY WILL GET REASSESSED FOR MARKET VALUE IN 2023 AND THEREFORE THEY'RE NOT QUALIFIED

FOR IT CAPPING. >> OKAY. >> THANK YOU.

BUT LOOK IF THE PROPERTY CHANGED IN 2020 THAT MAY NOT APPLY CORRECT?

>> BECAUSE WHEN IT'S TIME FOR THE REASSESSMENT THEIR PROPERTY WAS ALREADY REASSESSED IN 2021 SO THEY HAD US MANY REASSESSMENT. SO WHEN WE DO THAT COUNTY WHY WE ASSESSMENT WHAT WILL HAPPEN IS WHAT THEIR NUMBER IS OR THEIR MARKET VALUE.

IF THE NEW MARKET VALUE INCREASES MORE THAN 15 PERCENT THAT INDIVIDUAL B WILL BE ENTITLED TO THE 15 PERCENT INCREASE AT THE TIME OF THE QUADRENNIAL REASSESSMENT.

THEY HAVEN'T TRANSFERRED. >> I'M GLAD YOU'RE IN CHARGE OF THAT.

>> NOT ME. THANK YOU. YES, GLOVE.

SAME AS ME WITH THIS. I KNOW THAT YOU YOU WORK WITH SOME FAMILY MEMBERS WHERE THERE WAS ACTUALLY A DEATH OCCURRED AND THE PROPERTY WAS TRANSFERRED OVER TO THE SPOUSE AND THE FAMILY WITH THE CAPPING. DOES THAT PASS ON? OR THE CAP WAS REMOVED? OKAY. SO IF IT'S PASSED FROM SPOUSE SPOUSE TO A DECEASED SPOUSE OR SPOUSES SPOUSE EVEN IF IT'S A DIVORCE.

>> YES. THE CODE SAYS THAT PROPERTY WILL RETAIN ITS CASH IF IT TRANSFERS FROM US A PARENT TO A CHILD AND THE PROPERTY IS AT 4 PERCENT THEN THAT PROPERTY

RETAINS THE CAP. >> BUT IF THE PROPERTIES AT 6 PERCENT IT PASSES TO A CHILD

[00:30:02]

THE CAP WILL REMAIN A LOT OF SOMETIMES WE CAN TELL BASED ON THE DEED TRANSFER IN THE NAMES AND WHAT'S WRITTEN IN THE DEED. BUT THERE ARE OTHER TIMES WE HAVE TO REMOVE THE CAP AND LET THEM APPEAL TO TELL US TO DEMONSTRATE TO US.

THIS IS MY SPOUSE. >> SO THIS IS A DIVORCE SITUATION BECAUSE NAMES CHANGE WHEN PEOPLE USE DIFFERENT NAMES WHEN THEY'RE FOLLOWING THEIR DOCUMENTS.

SO THAT'S WHY THAT APPEAL THAT 90 DAY PERIOD IS IMPORTANT WHEN THEY GET THAT ASSESSMENT

NOTICE. >> THANK YOU. APPRECIATE IT.

GOT ANY OTHER QUESTIONS UP MISTRESS PASSABLY GOOD REGARDING THE TRANSFER OF OWNERSHIP WHEN WHEN A SPOUSE PASSES AWAY DO THEY AUTOMATICALLY STAY OR DO THEY

HAVE TO REAPPLY FOR THE 4 PERCENT CAP? >> WELL, 4 PERCENT LEGAL

RESIDENCY AND CAPPING IS TWO DIFFERENT THINGS. >> OK, CAPPING IS THE STATUTORY VALUE. VALUE IS IN THE VALUATION AND ABOUT WHAT VALUE THEY WON'T PAY TAXES ON THE 4 PERCENT IT'S ACTUALLY ABOUT LEGAL RESIDENCY AS A SPECIALIST.

IS THE TYPE OF EXEMPTION. SO IT GOES ON A JAMES JA ADDRESS AND THIS IS A PACKING OF INDIVIDUAL APOLOGY. TR IS TYPICALLY WITH EIGHT YARDS AS AN WAS A SPOUSE.

WE DO NOT REMOVE THE LEGAL RESIDENCY WE LEAVE IT BUT IF WE HAVE NOT INDICATION WE MOVE IT TO IMPROVE IT AND HAPPILY WE DO NOT KNOW WHO THE PARTIES ARE SO BLACK AS IT IS TWO DIFFERENT PARTS OF THE STATUTE THAT WE HAVE TO APPLY FOR PERCENT AS LEGAL RESIDENCE EXEMPTION AND CAPPING IS WHEN THE PROPERTY VALUE CHANGES YOU CAN GET YOUR SOCIAL HOW SMART YOU ARE.

>> ANY OTHER QUESTIONS FROM A SANDERS MR. CHAIRMAN I'D JUST LIKE TO MAKE ONE ADDITIONAL COMMENT ABOUT THE 4 PERCENT OR 6 PERCENT MANY ON COUNT FOR GETTING CALLS ABOUT THE 4 PERCENT 6 PERCENT PROCESS AND HOW AND THE BACKLOG AND THINGS LIKE THAT.

>> I AM WORKING YOU ALL OF OUR AID TAKES HAVE TAKEN STEPS TO WORK WITH THE TREASURER MISS SANDERS TO BRING SOME RELIEF TO THAT BUT I'M ALSO WORKING ON THAT FROM COUNTY ADMINISTRATION SIDE TO EASE THE BURDEN ON THE TAXPAYERS AND TO TRY TO ALLEVIATE THAT BURDEN ON THE ASSESSOR'S OFFICE AS WELL THROUGH SOME MODIFICATIONS TO OUR REVIEW PROCESS.

SO WE'LL HAVE MORE DETAILS ON THAT IN THE COMING WEEKS. BUT WE ARE WORKING TO RESOLVE

THAT ISSUE. >> THANK YOU. THAT'S THAT I THINK I'VE HAD CALLS AND MOST NOBODY ELSE HAS HAD CALLS ON THAT AS WELL. SO AS WE KNOW HOW BUSY YOU ARE BUT IT SOUNDS LIKE YOU'RE GOING TO GET BUSIER WITH THIS COMING UP HERE AND WHEREAS THERE IS NO OTHER PERSON WOULD RATHER HAVE IN THE POSITION RIGHT NOW SO. SO THANK YOU.

>> THANK HUMOR. >> THIS WAS FROM THE CENTERS BECAUSE THE QUESTION I ASKED YOU A FEW MINUTES AGO I KNOW SHE MUST HAVE RESOLVED IT BECAUSE I'D NEVER HEARD FROM THE FAMILY AND SO PUBLICLY SAY THANK YOU. ME.

[11. DISCUSSION OF NEW BUSINESS LICENSE FEE ORDINANCE TO LONG TERM RENTALS OF RESIDENTIAL PROPERTIES ]

LET'S MOVE ON NOW TO ITEM NUMBER ELEVEN AND I THINK MR. CAVANEY IS GOING TO HANDLE THIS A DISCUSSION OF NEW BUSINESS LICENSE FEE WEIRDNESS TO LONG TERM RENTALS OF RESIDENTIAL PROPERTIES IN IN 2020 DECEMBER OF 2020. COUNTY COUNCIL ADOPTED OR NEW BUSINESS LICENSE ORDINANCE AND THE UNDER THE DEFINITION OF BUSINESS UNDER THE NEW

ORDINANCE DELETED A PROVISION THAT WAS IN THE OLD ORDINANCE. >> AND SO WHAT WE HAVE UP THERE YOU CAN JUST FOCUS ON THE 2014 FOR ME. SARA WILL BE GREAT.

>> SO YOU'LL SEE THAT THAT HIGHLIGHTED AREA IS THERE WAS IN OUR ORIGINAL ORDINANCE THE ONE FROM 2014 DID NOT CARRY FORWARD INTO OUR CURRENT ORDINANCE THAT WENT INTO EFFECT

JANUARY 1ST. >> WHAT THAT EFFECTIVELY MEANS IS THAT FOLKS WHO OWN AND RENT OUT ONE SINGLE PIECE OF PROPERTY RENTAL PROPERTY LONG TERM THAT IS FOR MORE THAN 30 DAYS AT A TIME ARE NOW REQUIRED TO APPLY FOR AND RECEIVE A BUSINESS LICENSE.

SOME OF THE MEMBERS OF COUNCIL HAVE BEEN MADE AWARE OF THIS ISSUE.

IT CAME TO OUR ATTENTION LAST WEEK. WE DID SOME RESEARCH ON IT AND FOUND THAT IN FACT THAT HIGHLIGHTED PROVISION OF THE 2014 ORDINANCE DID NOT COME FORWARD. AND SO THAT GIVES THE SITUATION THAT WE'RE IN.

IF COUNCIL WOULD LIKE TO AMEND OUR CURRENT ORDINANCE TO INCLUDE A PROVISION THIS

[00:35:04]

GUYS WANT US TO DO THAT. >> SO WHEN I READ THAT THE CO PROVISIONS THERE THAT SARA JUST SET UP IT SAYS IN ADDITION TO THE ABOVE DESCRIBED ACTIVITIES, ANYONE THAT IS TWO OR MORE BUSINESSES IT DOESN'T SAY THAT THE PERSON JUST WITH ONE RENTAL HAS TO GET A BUSINESS LICENSE AND WE HEARD IT WAS JUST ONE LAST WEEK SOMEHOW.

>> SO BY NOT HAVING THAT IN, HOW'S THAT APPLY? >> SO SO IN ADDITION TO THE ABOVE DESCRIBED ACTIVITIES THAT IS HOWEVER BUSINESS IS DEFINED AN INDIVIDUAL SHALL BE DEEMED TO BE IN BUSINESS IF AN INDIVIDUAL OWNS AND RENTS TWO OR MORE RESIDENTIAL UNITS.

OK. SO IF YOU RENT JUST ONE YOU'RE NOT IN BUSINESS AS LONG AS IT'S LONG TERM. THE VERY LAST SENTENCE THAT HIGHLIGHTED AREA THAT SAYS THIS APPLIES TO BOTH SHORT TERM AND LONG TERM RENTALS THAT WOULD HAVE TO BE CHANGED SO TOO SO AS TO DELETE SHORT TERM SO THAT IT APPLIES ONLY TO LONG TERM THAT ANSWER YOUR QUESTION.

>> SO RIGHT NOW ONE RENTAL UNIT IS EXCLUDED. YOU DON'T HAVE A BUSINESS LICENSE FOR ONE RENTAL. YOU KNOW YOU DID KNOW YOU YOU DO THAT FROM PROPERTY.

THAT'S THE PROBLEM. SO THE PROBLEM IS THAT THE CURRENT BUSINESS LICENSE THAT WENT INTO EFFECT JANUARY 1ST HAS ONLY THE DEFINES BUSINESS AS ONLY THE FIRST SENTENCE.

>> SO BUSINESS MEANS A CALLING OCCUPATION PROFESSION. I THINK EVERYBODY WOULD AGREE THAT RENTING OUT A HOME LONG TERM IS NOT ANY OF THAT. BUT IT SAYS WHO IS ENGAGED AND THAT'S ENGAGED IN WITH THE OBJECT OF GAIN BENEFIT OR ADVANTAGE EITHER DIRECTLY OR INDIRECTLY. SO IF YOU RENT OUT YOU HAVE A SECOND HOME, YOU HAVE A SECOND HOUSE, YOU RENT IT OUT LONG TERM THAT'S CLEARLY A GAIN. THAT'S CLEARLY A FINANCIAL GAIN

AND YOU ARE REQUIRED TO GET A BUSINESS LICENSE. >> THIS HIGHLIGHTED AREA THAT WAS ADDED TO OUR OLD ORDINANCE WAS CLEARLY ADDED IN TO PREVENT FOLKS IN THAT SITUATION FROM HAVING TO GET A BUSINESS LICENSE AND TO INCUR THOSE FEES AND EXPENSES.

>> ALL RIGHT. >> SO I GUESS WHEN I READ THAT I AM I AM LOOKING AT STILL JUST A SINGLE BUSINESS LICENSE BECAUSE EVEN WITHOUT THAT IF WE JUST READ WHAT'S CONSIDERED BUSINESS IT WOULD BE ONE OR TWO OR THREE OR OR HOW MANY THAT'S UNDER THE CURRENT ORDINANCE.

>> SO IT'S YOU LOOK AT YES. SARAH HAS THE TWO. SO ON THE RIGHT HAND SIDE WHERE IT SAYS BUSINESS YOU SEE THAT IS CURRENT. THAT'S THE CURRENT DEFINITION OF BUSINESS. SO IF YOU OWN A SPOUSE, YOU OWN TWO RENTAL PROPERTIES, YOU LIVE IN ONE, YOU RENT OUT THE OTHER YOU NEED TO GET A BUSINESS LICENSE IF YOU'RE RENTING IT OUT LONG TERM YOU'RE EARNING OUT SHORT TERM YOU'RE GONNA NEED TO GET A BUSINESS LICENSE IF YOU RENT IT OUT LONG TERM UNDER CURRENT ORDINANCE YOU'RE GOING TO NEED TO GET A BUSINESS LICENSE TO IF YOU HAD RENT, IF YOU HAD RENTED IT OUT BEFORE THE CURRENT ORDINANCE WENT INTO

EFFECT YOU WOULD NOT NEED A BUSINESS LICENSE. >> ALL RIGHT.

>> ANY OTHER ADDITIONAL QUESTIONS? MR. CAVANEY? I DON'T I'VE CLARIFIED IT FOR YOU NOW. I'LL LET EVERYONE ELSE ASK QUESTIONS AND I'LL COME BACK AND ANY QUESTIONS, MR. FLOW AND GO AHEAD.

>> THANKS, MR. CHAIRMAN. I'D LIKE TO POINT OUT THAT THE IRS RULES REGARDING RENTAL INCOME FROM ONE PROPERTY AS PASSIVE INCOME. IT DOESN'T REALLY TREAT IT AS BUSINESS INCOME AND I THINK THAT'S A PRETTY SIGNIFICANT REASON WHY THIS RULE MAKES VERY LITTLE SENSE IN A LONG TERM KIND OF WAY. I UNDERSTAND AND WON'T COMMENT ON THE NEED REGARDING THEIR NEED FOR A BUSINESS LICENSE REGARDING SHORT TERM RENTALS BECAUSE I RECUSED MYSELF IN REGARDS TO SHORT TERM RENTAL MATTERS.

HOWEVER REGARDING RENTAL PROPERTY I THINK THAT IT'S SUCH A SIGNIFICANT ACTIVITY IN BEAUFORT COUNTY AND IT ACTUALLY IGNORES TO THE BENEFIT OF THE WHOLE COUNTY TO BE ABLE TO HAVE RENTAL PROPERTIES AVAILABLE FOR PEOPLE WHO ARE HERE MILITARY FAMILIES COMING IN AND OUT OF BEAUFORT COUNTY AND IT GENERALLY IS USUALLY ON THE LOWER INCOME SCALE THAT PEOPLE WILL RENT PROPERTY BEFORE THEY'RE QUALIFIED TO BUY THEIR OWN HOME OR IN A POSITION TO BUY THEIR OWN HOME. SO HAVING RENTAL PROPERTY AVAILABLE AND AT A LOWER COST IS IN THE COUNTY'S BEST INTEREST. WE ALWAYS TALK ABOUT THE NEED FOR LOW AND MODERATE INCOME HOUSING IN BEAUFORT COUNTY AND QUITE FRANKLY AT IT THIS ORDINANCE STANDS IN THE WAY OF THAT. AND SO I WOULD LIKE TO MAKE THE MOTION, SIR, THAT WE DIRECT THE COUNTY COUNCIL TO FORWARD WE ACTUALLY DIRECT COUNTY COUNCIL

[00:40:04]

THAT'S MY MOTION SIR. >> WE HAVE A MOTION ON FOR. IS THERE ANYONE LIKE TO SECOND THAT SECOND? RIGHT. SO IT'S BEEN MOTION HAS BEEN

MADE AND SECONDED AS ANY DISCUSSION. >> YEAH I'D LIKE TO ASK

SOMETHING ELSE. >> MR. MCCOLLUM GO AHEAD. I DON'T UNDERSTAND THE MOTION

BUT I'LL CIRCLE BACK TO THAT. >> PROBABLY PRETTY SIMPLE BUT A LITTLE MISUNDERSTANDING A LITTLE I KNOW THE STATE HAS PASSED THIS ORDINANCE AND IN THE TOWN FILM HAD THE BUSINESS LICENSE EFFECTIVE JANUARY 1ST EXTENDS TO ALL PEOPLE WHO HAVE A LONG TERM RENTAL WHETHER THEY'VE JUST STARTED IT OR WHETHER THEY'VE ALWAYS HAD IT SO YOU HAVE TO REGISTER YOUR PROPERTY AS A LONG TERM RENTAL AND YOU PAY ON THE GROSS PROCEEDS THAT YOU COLLECT WITH NO DEDUCTIONS. THE TAX IS NOT THAT ONEROUS. IT'S NINETY TWO DOLLARS AND FIFTY CENTS FOR THE FIRST TWO THOUSAND DOLLARS AND THEN A DOLLAR SEVENTY FOR EVERY THOUSAND DOLLARS THAT TO TOP OUT YOUR GROSS PROCEEDS. SO YOU MAKE ABOUT TWENTY THOUSAND DOLLARS A YEAR IN RENT YOU'RE PAYING ABOUT ONE HUNDRED AND THIRTY FIVE DOLLARS A YEAR FOR YOUR BUSINESS LICENSE BUT IT APPLIES TO EVERYBODY WHO HAS EVEN ONE LONG TERM RENTAL.

AND THAT WASN'T THE CASE LAST YEAR BUT IT IS THE CASE NOW THIS YEAR.

SO I'M NOT SURE I'M CLEAR ON BRIAN'S MOTION AND IF WE COULD JUST EXPLAIN FOR ME WHAT WE ARE TRYING TO ACCOMPLISH WITH IT AND WHETHER OR NOT IT CONTRADICTS WHAT I'VE JUST SAID

ABOUT WHAT THE MUNICIPALITY DOING. >> SO IN RESPONSE TO YOUR QUESTION, COUNCILMAN, WE ADOPTED THE STANDARDIZED BUSINESS LICENSE MODEL THAT AT THE STATE ADOPTED I WANT TO SAY LIKE IN 2000 AND MAYBE 1918 EXACT 176 AND THE PURPOSE OF THAT STANDARDIZATION WAS TO JUST STANDARDIZE THE PROCESS AND THE PROCEDURES THAT ARE USED FOR BUSINESS LICENSES THROUGHOUT THE STATE BECAUSE THEY VARIED SO MUCH FROM

DISTRICT TO DISTRICT FROM JURISDICTION TO JURISDICTION. >> THAT ACT DOES NOT DIRECT HOW MUNICIPALITIES AND COUNTIES DEFINE IN BUSINESS ACTIVITY. THE TOWN OF HILTON HEAD HAS CHOSEN TO DEFINE BUSINESS AS FOLKS WHO RAN OUT A SINGLE RESIDENCE ON A LONG TERM BASIS.

ALL RIGHT. COUNTY COUNCIL IN 2014 IN THE ORDINANCE THAT IT ADOPTED CHOSE NOT TO INCLUDE THOSE PROPERTIES IN THE DEFINITION OF BUSINESS WHEN COUNTY COUNCIL ADOPTED THE

20 2020 ORDINANCE. >> IT FAILED TO BRING FORWARD THAT EXEMPTION.

AND SO IN FAILING TO BRING FORWARD THE EXEMPTION, SUDDENLY ANYBODY WHO RENTS OUT EVEN A SINGLE HOME ON A LONG TERM BASIS MUST GET A BUSINESS LICENSE.

THE TOWN WANTS TO DO THAT. THE TOWN OF HILTON HEAD WANTS TO DO IT HAS CONSCIOUSLY MADE THAT DECISION BY WHAT WE ARE ASKING THIS COUNCIL IS IF THAT WAS THIS COUNCIL'S INTENTION IN 2020 OR IF THIS COUNCIL REALLY WANTS TO CONTINUE THE EXEMPTION FROM 2014 FORWARD, THAT MAKES

SENSE. >> RIGHT NOW I UNDERSTAND WHAT BRIAN'S MOTION WAS WHICH WAS TO I THINK I UNDERSTAND WAS TO IMPOSE A BUSINESS LICENSE ON A SINGLE OKATIE PROPERTY.

IS THAT RIGHT, BRIAN? >> NO, EXACTLY THE OPPOSITE, LARRY.

I WOULD SAY THAT THAT THAT A PERSON OWNS ONE LONG TERM RENTAL WILL BE EXCLUDED FROM THE DEFINITION OF A BUSINESS. OK. SO THEY DON'T NEED TO GET A LAW. THEY DON'T NEED A BUSINESS LICENSE FOR A LONG TERM RENTAL FOR 1 1 9 2. YEAH. AND IF THEY HAPPEN TO BECOMES A LOT LESS LIKE PASSIVE IN GETTING BACK IT'S NOT CONSIDERED PASSIVE INCOME ANYMORE. THAT'S AN ACTIVE BUSINESS. OK.

SO IT MAKES A LITTLE SENSE TO HAVE A BUSINESS LICENSE AND IT APPLIES ONLY IN THE

[00:45:03]

UNINCORPORATED UNINCORPORATED AREAS OF THE COUNTY. >> SO COUNCILMAN MCKELLEN, IF I OWN A HOME HERE IN THE UNINCORPORATED AREAS THAT I LIVE IN AND I OWN A HOME THAT I RENT OUT ON A LONG TERM BASIS MORE THAN 30 DAYS RIGHT IN THE UNINCORPORATED AREAS I WON'T NEED TO GET A BUSINESS LICENSE. BUT IF I OWN AND OCCUPY A HOME HERE IN THE UNINCORPORATED OR A WOODED AREAS AND I OWN A RENTAL PROPERTY IN THE TOWN OF HILTON HEAD, I'M GOING TO HAVE TO GET A HILTON HEAD BUSINESS LICENSE TO DO THAT. I GOT THAT OK.

SO IF WE IF WE EXEMPT LONG ONE MORE TIME RENTAL WE MAY STAND IN CONFLICT WITH OUR NEIGHBORS AND THEIR MUNICIPALITIES WERE REQUESTING OR REQUIRING OWNERS OF ONE PROPERTY AND NO ONE IS

HAPPY ABOUT IT. >> BY THE WAY, WE'LL HAVE ONE PROPERTY TO GET A BUSINESS LICENSE. I DON'T KNOW YET. I JUST HAPPEN TO LIVE IN HILTON AND I KNOW WHAT THEY'RE DOING HERE. I DON'T KNOW WHAT BEAUFORT IS DOING WITH BLUFFTON PORT ROYAL AND GMC AND I WONDER IF ANYBODY ELSE THAT'S WHY THEY REQUIRING UNDER THIS NEW CONSOLIDATED BUSINESS LICENSE THAT THE STATE HAS PUT THE OTHER ARE THERE REQUIRING ONE PROPERTY OWNER LONG TERM RENTALS TO GET A BUSINESS LICENSE.

I DON'T KNOW THE ANSWER TO THAT. >> WELL, THEY CONSULT THE STANDARDIZED BUSINESS LICENSE ACT DOES NOT REQUIRE DOESN'T SET FORTH THOSE REQUIREMENTS.

THAT'S UP TO YOU DEFINE DEFINED BUSINESS IS UP EACH OF THE POLITICAL SUBDIVISIONS.

OK. OK. SORRY.

MAYBE I SHOULD HAVE STARTED THERE. SO DOES ANYBODY KNOW IF ANY OF THE OTHER MUNICIPALITIES ARE REQUIRING THOSE LICENSES OR IS IT JUST IT?

>> CAN I CAN I ANSWER THAT? >> FRANKIE ANSWER THAT QUESTION CAUSE WE HAVE OTHER FOLKS.

WE ARE GOING TO GIVE AN ANSWER FOR THAT FOR LARRY. >> YOUR I KNOW I KNOW THAT THE CITY OF BEAUFORT HAS ACQUIRED IT FOR ABOUT THREE OR FOUR YEARS NOW AND I KNOW THAT ALMOST EVERYBODY WHO HAS ONE IGNORES THAT RULE. THEY JUST DON'T THEY JUST DON'T

FILE LICENSE. GOT IT. >> I'M SURE THAT SOME DO.

BUT I KNOW TWO OR THREE THAT DON'T. >> NAMES NATHAN RILEY LEWIS

THING. >> I CAN TELL YOU THAT. I MEAN I GUESS I JUST WOULD ALSO GO AHEAD. YEAH. HELP ME UNDERSTAND.

I THOUGHT I HEARD EARLIER THAT TOM MIGHT HAVE SAID THAT UNDER THE CURRENT LICENSE BUSINESS THEY'D BE ABLE TO DO THE COUNTY ONE ONE HOME BEING RENTED SHORT TERM REQUIRES A BUSINESS LUNCH

THAT I HAD I CORRECTLY EFFECTIVE JANUARY 1ST 20 22. >> THAT IS CORRECT.

ALL RIGHT. >> SO NOW WE'RE PROPOSING TO MAKE THE ADDITION THAT IF IF OUR INDIVIDUAL OWNS TWO OR MORE LONG TERM RENTALS THEY OUGHT TO BE REQUIRED TO GET A BUSINESS

LICENSE. >> SO WHAT WE'RE TRYING TO DO SO.

EFFECTIVE JANUARY 1ST 20 22 IF YOU OWN ONE, TWO, THREE OR 10 RENTAL PROPERTIES LONG TERM YOU

NEED TO GET A BUSINESS LICENSE UNDER. >> OK.

WHAT WE'RE TRYING TO DO IS WALK BACK THERE REQUIREMENT. WE WANT TO KNOW IF YOU WANT TO WALK BACK THE REQUIREMENT FOR GETTING A BUSINESS LICENSE TO ONLY THOSE WHO HAVE TWO OR MORE

LIFETIME RENTAL PROPERTIES. >> OKAY NOW GOT IT. ALL RIGHT.

THANKS FOR THAT, GERALD. I DIDN'T GET THAT. NO, I GOT IT.

SO ALL RIGHT. WE'RE NOT GONNA LIE AS OF YET. >> SO BRIAN'S MOTION IS NOT IT'S NOT NULLIFYING WHAT YOU'RE WHAT YOU JUST SAY THAT IS NOT TOM BRIAN'S MOTION IS TO PUT IN

EFFECT IT IS TO IN EFFECT REINSTATE THE EXEMPT. >> SO BRIAN'S MOTION WOULD PUT THE WEALTH BACK IN EFFECT IF YOU OWN AND RENT ONLY ONE HOUSE.

>> LONG TERM YOU DON'T HAVE TO GET A BUSINESS LICENSE BUT YOU WOULD NEED TO GET IT FOR SHORT TERM. YOU DEFINITELY WILL NEED TO GET IT FOR SHORT TERM.

WE'LL COLLECT ACCOMMODATIONS, TAXES AND ALL THAT KIND OF STUFF.

>> YEAH. THE REASON IT APPLIES TO SHORT TERM ON THE ONE UNIT IS BECAUSE WE USE THE BUSINESS LICENSE PROCESS TRIGGERED A COLLECTION OF THE ACCOMMODATION TAXES IN UNINCORPORATED BEFORE. YEAH I MISSED MR. DAWSON ANYTHING ELSE THAT YOU HAD?

>> NO, I'M ALL RIGHT MR. GLOVER. AND THEN MR. ROBIN.

YEAH. THAT'S WHAT EMOTION IS ON THE FLOOR.

SO THERE'S NO QUESTION ABOUT IT. THANK YOU, BRIAN, FOR THE MOTION. MRS. HAMM CAME TO US AT OUR LAST COUNCIL MEETING EXPRESSING A BUSINESS LICENSE, OUR TAX LICENSE YET TO ACQUIRE BECAUSE OF PROPERTY THAT PERTAINING TO

THIS HERE. >> WELL, I'M NOT EXACTLY SURE. I MEAN LISTEN.

[00:50:01]

WHICH WAS COMPLAINING ABOUT IT. >> WE HAVE A LOT INCLUDING SAM COMPLAINING ABOUT THIS ONE ISSUE BECAUSE THOSE FOLKS STEP ON ONE RENTAL PROPERTY IN UNINCORPORATED GETTING JUST RECEIVED A LETTER SAYING THAT THEY WOULD NEED TO COME IN AND PURCHASED A BUSINESS LICENSE SO IF THOSE FOLKS FROM ALGERIA AND THEY'VE BEEN DEPLOYED SOMEWHERE ELSE AND THEY HAVE A HOUSE HERE AND THEY CHOOSE TO RENT THAT OUT BECAUSE THEY MAY COME BACK HERE ONE DAY THEN THE WAY THE CURRENT AMENDMENT READS IS THEY OUGHT TO BUY A BUSINESS LICENSE IN ORDER TO RENT OUT A HOME THAT THEY MAY COME BACK AND USE AS THEIR PRIMARY RESIDENCE AT SOME POINT DOWN THE ROAD.

>> WE'RE UNDOING THAT AND ARE ASKING YOU ALL TO UNDO THAT AND COUNT SOME MEMBER OF THE WHELAN'S MOTION DOES EXACTLY WHAT WE'RE REQUESTING YOU ALL CONSIDER TODAY, OK.

>> THE OTHER QUESTION HERE IS THAT I GOT A PHONE CALL ABOUT SOMEBODY WHO WAS BASICALLY SUBJECT TO THIS ORDINANCE BUT THEY LIVE IN THE CITY OF BEAUFORT AND THEY WONDERING WHETHER THE COUNTY WAS ACTUALLY COLLECTING NOW FOR THE CITY OF BEEF AS WELL AS FOR THE

COUNTY TO CLARIFY THAT FOR ME. >> I KNOW THE ANSWER TO THAT QUESTION.

OK. NO THAT WE ARE NOT QUITE OR BUT THEY IF THEY OWN TO TOM'S POINT EARLIER IF THEY ARE ON THE WAY THE CURRENT ORDINANCES WORDED IF THEY OWN ONE RENTAL PROPERTY IN UNINCORPORATED BEAUFORT GAFFNEY THEY HAVE TO BUY AN UNINCORPORATED BEAUFORT

COUNTY BUSINESS LICENSE REGARDLESS OF WHERE THEY LIVE. >> NANCY?

OK. THANK YOU FOR MR. ROBERT. >> YEAH.

THE MOTION I THINK IS JUST TO FOR YOU ALL TO COME BACK AND BRING US AN AMENDMENT TO CAPTURE THE INTENT 2014. THIS CAME UP BECAUSE MISS HAM CALLED ME AND I HAD A CONVERSATION WITH THE ADMINISTRATION IS JUST COMMON SENSE AND I THINK IF WE WERE TO GO AHEAD AND DO IT, IT MIGHT ACTUALLY GIVE THE DISPARITIES PAUSE TO GO BACK AND LOOK AT WHETHER THEY HAVE THE RIGHT THING. SO I CALLED THE QUESTION MR. CHAIRMAN. YES, SIR. A THERE ARE ANY OBJECTIONS TO

THE MOTION ON THE FLOOR? >> IF NOT, NO OBJECTION. MOVE THIS THEN TO COUNTY COUNCIL AND HAVE THE ADDITIONS ADDED TO OUR ORDINANCE WHAT NEEDS TO BE DONE AND WE'LL LOOK AT THEN I'M SURE WE HAVE MORE QUESTIONS AT THAT POINT. SO.

THANK YOU, STEPHANIE. THANK YOU. >> NO WONDER, MR. CHAIRMAN,

WILL WE BE VOTING ON THIS THE NEXT COUNTY COUNCIL MEETING? >> WE HOPE SO.

YEAH, WE CAN ALWAYS ANALYZE AND ORDINANCE FORWARD ON THE 24TH. GREAT.

APPRECIATE THAT. THANK YOU. THAT'S CLARITY.

SURE. >> LIKE DISCOVERING. ALL RIGHT.

[12. PUBLIC DEFENDER’S ADDITIONAL FUNDING REQUEST FOR FY22 (FISCAL IMPACT: ADDITIONAL APPROPRIATION OF $83,198.15)]

>> LET'S KEEP MOVING HERE. LET'S GO NUMBER TWELVE. PUBLIC DEFENDERS ADDITIONAL FUND REQUESTS FOR FISCAL YEAR 22. AND I THINK MISS HARRIET, YOU'VE GOT THIS. YES, SIR. THIS ITEM WAS ON COUNTY COUNCIL'S AGENDA AND COUNCIL VOTED TO DEFER IT BACK TO FINANCE COMMITTEE FOR FURTHER DISCUSSION. SO I WANTED TO WHERE TO ANSWER ANY ADDITIONAL QUESTIONS THAT COUNCIL MAY HAVE REGARDING THIS REQUEST TO PROVIDE A SMALL UPDATE AFTER ASKING THE PUBLIC DEFENDER'S OFFICE SOME QUESTIONS HEARD HER REQUEST WAS REDUCED TO EIGHTY THREE THOUSAND ONE HUNDRED AND NINETY EIGHT DOLLARS AND 15 CENTS FOR THE REMAINING FISCAL YEAR 21 22

BUDGET. >> BUT THIS WILL BE A PERMANENT REQUEST FOR FISCAL YEAR 23 MOVING FORWARD TOTALING ONE HUNDRED SIXTY SIX THOUSAND THREE HUNDRED AND NINETY SEVEN

DOLLARS BEGINNING IN FISCAL 2013. >> CHAIRMAN?

YES, WE FEEL GOOD. >> I HAVE SOME CONCERNS ABOUT THIS ONLY BECAUSE IN FISCAL 18 19 THE BUDGET WAS ONLY A HUNDRED AND FIFTY THOUSAND AND THEN WE INCREASED IT IN 2021 TO A MILLION SIX HUNDRED AND FIFTY THOUSAND AND THAT INCLUDED ONE HUNDRED AND FIFTY THOUSAND DOLLARS SOFTWARE PROGRAM AND THEN WE KEPT IT THERE AT THAT NUMBER BUT REDUCED TO ONE HUNDRED AND FIFTEEN AND TOOK THAT OUT AND WE HAVE ESSENTIALLY ALMOST DOUBLED THAT APPROPRIATION AND IT WAS NECESSARY TO DO SO. THERE'S NO DOUBT ABOUT THAT.

I'M JUST CURIOUS TO TRY AND UNDERSTAND WHAT THE PURPOSE OF THIS MONEY IS AND WHAT IT'S FOR. I READ IN THE SUBMISSION THAT FOR CAN'T KEEP PEOPLE WORKING THERE BECAUSE THEY FIND MORE LUCRATIVE POSITIONS OUTSIDE OF PUBLIC DEFENDERS HERE AND THERE IS A PLAN TO INCREASE THE SALARY LEVELS SO THAT THERE WILL BE SOME RETENTION THERE AND THE INCREASE IN SALARY LEVEL IS AT THE SECURITY

* This transcript was compiled from uncorrected Closed Captioning.