[PAGE 1] Greg Edds, Chairman Aaron Church, County Manager Jim Greene, Vice-Chairman Sarah Pack, Clerk to the Board Daniel Lancaster John W. Dees, II, County Attorney Judy Klusman Craig Pierce Rowan County Board of Commissioners 130 West Innes Street ∙ Salisbury, NC 28144 Telephone 704-216-8181 ∙ Fax 704-216-8195 MINUTES OF THE SPECIAL MEETING OF THE ROWAN COUNTY BOARD OF COMMISSIONERS June 30, 2025 – 3:00 PM J.NEWTON COHEN, SR. ROOM J.NEWTON COHEN, SR. ROWAN COUNTY ADMINISTRATION BUILDING PRESENT: Greg Edds, Chairman Jim Greene, Vice-Chairman Daniel Lancaster, Commissioner Craig Pierce, Commissioner ABSENT: Judy Klusman, Commissioner County Manager Aaron Church, Clerk to the Board Sarah Pack, County Attorney Jay Dees, and Finance Director Anna Bumgarner were also present. Call to Order Chairman Edds called the meeting to order at 3:00 p.m. Chaplain Michael Taylor provided a solemnizing prayer. Chairman Edds lead the Pledge of Allegiance. Consider Approval of the Agenda On motion of Pierce, seconded by Greene, the Board voted 4-0 to approve the agenda. Public Hearing – EDC Project Powerball Scott Shelton, Vice President, said The company behind Project Powerball has been in business for decades and is an internationally known name in its industry. The company is currently evaluating potential properties in the southeastern United States for a new manufacturing facility. A property in Rowan County is among the candidates for this new facility. If Rowan County is selected, Project Powerball would create 1,181 new jobs over the next five years. The company would also invest $264 million in real and business personal property for this project. Project Powerball plans to begin operations at its chosen location in the summer of 2026. Under the County’s Incentive Grant Program, the company is eligible for a “Level 3 Grant.” This a 5-year grant, equivalent to 50% of the increased tax revenue generated. The Company is requesting assistance under this program for the amount and duration adopted in the policy. Equal Opportunity Employer [PAGE 2] The County tax rate is fixed at the current rate of $0.58. The company will invest an estimated $70 million in real property improvements by the end of 2027. The company will make an initial investment of $84 million in business personal property by the end of 2026. The company will invest a total of $194 million in business personal property by the end of 2030. Depreciation for business personal property was estimated using the State of North Carolina’s 2025 Depreciation Schedule I. Eight-year lifespans were assumed for all business personal property depreciation. During 5 incentivized years: Total Revenue Collected - $4,614,828 Incentive Grant - $2,307,414 County Net Revenue - $2,307,414 Over 10 years: Total Revenue Collected - $8,934,552 Incentive Grant - $2,307,414 County Net Revenue - $6,627,138 Due to this project’s size and potential impact, it is likely that it will qualify for multiple incentive programs offered by the State of North Carolina. Any required local matches for these programs should be satisfied through the requested Level 3 Grant. It is projected that the 1,181 full-time jobs created by Project Powerball will lead to the creation of an additional 794 indirect and induced jobs in Rowan County. These 794 indirect and induced jobs will generate $58,486,969 in employee wages and benefits. The additional impacts of Project Powerball will also include the generation of $191,107,395 in gross revenue for the companies creating these 794 indirect and induced jobs In summary, this project will bring over $200 million of new investment in Rowan County and result in the creation of 1,181 new jobs over the next 5 years. There will be $6.6 million of net property tax revenue that will come back to the County over 10 years. The project would lead to the creation of an estimated 794 indirect and induced jobs in Rowan County. Commissioner Pierce commented on the available clawbacks. Chairman Edds mentioned a prior instance where a different company consolidated 246 jobs and vacated the building. The incoming company will occupy this building. He asked about wages for these jobs and Mr. Shelton explained anticipated compensation. Vice-Chairman Greene discussed the importance of jobs like these and keeping community members aware of opportunities. He described the importance of partnerships with local schools to explore workforce needs. Page 2 of 5 06/30/25 [PAGE 3] Chairman Edds explained what potential incoming companies look for in a location, including the importance of an available workforce. Rowan County has a strong labor force that draws people to the county. At 3:17 p.m. Chairman Edds opened the Public Hearing and closed it after no one wished to speak. On motion of Pierce, seconded by Greene, the Board voted 4-0 to approve a Level 3 Grant to Project Powerball for the terms stated in the County’s adopted Incentive Grant Program policy. Overtime for Sheriff’s Office Patrol/Detention County Manager Aaron Church explained that the Rowan County Sheriff’s Office is requesting extra duty pay for employees who work in the Patrol Division and the Detention Center outside of their normal work schedule. This request is to be paid similar to how deputies working for the Town of Spencer and previously with the City of Salisbury were paid. This request is to start July 6th, 2025, through August 2nd, 2025, to correspond with current pay cycles. Commissioner Pierce asked why these requests continue to occur. Chief Deputy Jason Owens explained the need for continued overtime so that vital services can continue to operate. The Sheriff’s Office currently has approximately 22 vacancies. With Deputies and Detention Officers out sick, on vacation, or taking state required training, those squads are working even shorter to protect and serve the community/citizens. This extra pay (overtime) will allow officers from other squads/units to help cover the shifts when needed. There are applicants in the hiring stream, but this is not a quick process. He explained the funding for the overtime is coming from lapsed salaries. They are not asking for more money; they are just asking for permission to use lapsed salaries to pay for the overtime. Commissioner Pierce advised the Sheriff’s Office to improve employee management. Chief Deputy Owens described why additional approvals are needed. Mr. Church said the Sheriff’s Office is asking for approval above and beyond what the Fair Labor Standards Act requires, and explained how overtime works in the Sheriff’s Office. Finance Director Anna Bumgarner explained the difference in overtime pay and regular pay and how vacation hours factor in. Chairman Edds asked if other departments are affected by this and Ms. Bumgarner said other departments are not currently approved for this model. Mr. Church mentioned the pay scale differences. Human Resources Director/Assistant County Manager Kelly Natoli explained the exemptions available for Sheriff’s Department employees that are not 40-hour-per-week employees. Chairman Edds gave an example using the Department of Social Services and asked if that department could make the same request and Ms. Natoli said they could. Page 3 of 5 06/30/25 [PAGE 4] Commissioner Lancaster said the biggest issue is staffing in the jail and State minimum requirements. Chief Deputy Owens said the conflict is between compensation time and overtime pay. Mr. Church explained his authority in approving overtime pay and related it to a hypothetical situation. This request is beyond what Mr. Church has the authority to approve. Ms. Bumgarner said overtime is currently approved through July 5, coinciding with the pay cycle. Chairman Edds said a long term solution is needed to prevent liability for the County. He questioned if this could become a legal issue. County Attorney Jay Dees said he doesn’t anticipate a legal issue; the jail and patrol have differenct structures from other county departments, and the need lies with jail and patrol staffing. Commissioner Pierce said he is concerned that there will be other departments asking for overtime. Commissioner Lancaster said public safety has minimum staffing requirements based on the number of residents in the county. The request is to incentivize employees in order to cover vacancies and meet minimum staffing requirements. Chief Deputy Owens said at current, supervisors are running calls just like deputies in order to meet needs. Vice-Chairman Greene asked what the implications for payroll would be. Ms. Bumgarner said during the last payroll cycle, there were only a few requests. Trends over the year ebbed and flowed based on staffing. Commissioner Lancaster reiterated the importance of not exceeding the funding available from lapsed salaries. A long term solution is needed. Chief Deputy Owens said six detention employees will be attending basic law enforcement training to further their careers (on the enforcement side) which will create more vacancies in the jail. Vice- Chairman Greene asked for projections of cost. Chairman Edds asked if this request is for the jail and patrol and Chief Deputy Owens said yes. Commisioner Lancaster said the call volume has not changed, but there are fewer deputies on the roads. On motion of Greene, seconded by Lancaster, the Board voted 3-1 (Pierce opposed) to approve extra duty pay for the Rowan County Sheriff’s Office Patrol and Detention divisions from July 6, 2025, until August 2, 2025. Change Order #5 – KMD Construction, LLC – New Corporate and Box Hangars Valerie Steele, Airport and Transit Director, said Rowan County has a contract, 24015, with KMD Construction, LLC for the New Corporate & Box Hangars project at Mid-Carolina Airport. The Board approved the Bid Award and contract on May 15, 2023. Ms. Steele is requesting a change order #5; not to exceed $19,226.40. This change order is directly tied to a critical path item within the hangar expansion project schedule. Delaying approval until the next regular Board of Commissioners (BOC) meeting would result in a 31-day delay, which exposes the County to potential contractor claims for extended general conditions Page 4 of 5 06/30/25 [PAGE 5] and schedule impacts. Timely approval at the upcoming special session called BOC meeting would reduce this potential claim period to just 10 days, preserving project momentum and minimizing cost risk. Prompt action is essential to maintain progress and avoid disruption to this high-priority project. The change order establishes a not-to-exceed estimate for additional stone and fabric based on yardage calculations, required due to unexpected conditions encountered during excavation at the corporate hangar site. The cost associated with this change order will be offset by previous credits within the project. The original contract (C24015) sum was $17,369,522.80, but it has been revised to $17,326,738.83 due to four previous change orders. If approved, this Change Order #5 will increase the contract sum to $17,345,965.23. Commissioner Pierce mentioned that the Box Hangars should not have been included in this request. There has been an ongoing groundwater issue. Vice-Chairman Greene asked how the water issue will be remedied and Director of Engineering and Environmental Services Craig Powers explained the process. Ms. Steele said the design is reminiscent of a French drain. On motion of Greene, seconded by Pierce, the Board voted 4-0 to authorize the County Manager to approve contract change order #5 on contract #24015 with KMD Construction LLC. increasing the contract by $19,226.40, and increasing the contract sum to $17,345,965.23. Adjournment At 3:43 p.m., on motion of Pierce, seconded by Greene, the Board voted 4-0 to adjourn. ______________________________________ Sarah Pack, CMC, NCCCC Clerk to the Board Page 5 of 5 06/30/25