FINANCE

Approved 9/20/06

FINANCE

August 16, 2006

Minutes

Members Present: Marc Thomas, Curtis Hertel, Mark Grebner, Lisa Dedden, Tina Weatherwax-Grant and Steve Dougan

Members Absent: None

Others Present: Teri Morton, Ed Dore, Bruce Bragg, Rick Terrill, Bob Moore, Don Reisig, Harry Moxley, Mary Sabaj and Janeil Valentine

The meeting was called to order by Chairperson Thomas at 6:09 p.m. in the Personnel Conference Room of the Human Services Building, 5303 S. Cedar, Lansing.

Approval of the July 19, 2006 Minutes

MOVED BY COMM. HERTEL, SUPPORTED BY COMM. GREBNER, TO APPROVE THE JULY 19 MINUTES AS AMENDED. MOTION CARRIED UNANIMOUSLY.

Additions to the Agenda

3e. First BE IT FURTHER RESOLVED paragraph was eliminated during the County Services meeting.

6c. Third WHEREAS and THEREFORE BE IT RESOLVED paragraphs - $68,424 changed to $68,841 by the County Services Committee

7. Resolution as Amended by the County Services Committee

8. Budget Information

Limited Public Comment: None

MOVED BY COMM. DOUGAN, SUPPORTED BY COMM. GREBNER, TO APPROVE A CONSENT AGENDA FOR THE FOLLOWING ITEMS:

1. Community Corrections Advisory Board – Resolution Authorizing a Temporary Salary Increase for the Administrative Specialist Position at Project Sentry for Fiscal Year 2006

2. 30^th Circuit Court – Friend of the Court – Resolution to Implement Procedures for Handling Reimbursable Costs for the Friend of the Court Bench Warrants

3c. Health Department – Resolution to Authorize an Agreement with the Capital Area Community Services to Serve Early Head Start Children through the Jump Start Program

4. Fair Board – Resolution to Authorize Acceptance of a $5,000.00 Donation from the City of Mason

5a. Parks and Recreation Commission – Resolution Authorizing a Contract with the Ingham County Road Commission for Improvements to the Rayner Park Entrance Road

6. Facilities

a. Resolution Awarding a Contract to Foster Concrete Construction, Inc. for County-wide Concrete Replacement and Repair\

b. Resolution Authorizing a Contract with Myers Plumbing & Heating, Inc. for Exhaust Vent Replacement at the Human Services Facility

c. Resolution Authorizing a Contract with Western Waterproofing Company for the Exterior Weatherproofing and Restoration at the Human Services Facility – As Amended by County Services

MOTION CARRIED UNANIMOUSLY.

MOVED BY COMM. DOUGAN, SUPPORTED BY COMM. GREBNER, TO APPROVE THE ITEMS ON THE CONSENT AGENDA. MOTION CARRIED UNANIMOUSLY.

3. Health Department

a. Resolution to Authorize an Agreement with Ingham Regional Medical Center for Womens Health Physician Services

MOVED BY COMM. DEDDEN, SUPPORTED BY COMM. HERTEL, TO APPROVE THE RESOLUTION TO AUTHORIZE AN AGREEMENT WITH INGHAM REGIONAL MEDICAL CENTER FOR WOMENS HEALTH PHYSICIAN SERVICES.

Comm. Dougan asked about the 20% increase in the annual compensation in 2007. Mr. Bragg explained that IRMC has provided high quality services during the six years of the agreement. The compensation is very reasonable and is below the County’s cost in a direct physician employment model.

Mr. Bragg further explained the contract will probably be extended for an additional year before the contract is put out for bid.

MOTION CARRIED UNANIMOUSLY.

b. Resolution to Authorize a 2006-2007 Agreement with the Michigan Department of Community Health for the Delivery of Public Health Services Under the Comprehensive Planning, Budgeting and Contracting (CPBC) Process

MOVED BY COMM. DEDDEN, SUPPORTED BY COMM. WEATHERWAX-GRANT, TO APPROVE THE RESOLUTION TO AUTHORIZE A 2006-2007 AGREEMENT WITH THE MICHIGAN DEPARTMENT OF COMMUNITY HEALTH FOR THE DELIVERY OF PUBLIC HEALTH SERVICES UNDER THE COMPREHENSIVE PLANNING, BUDGETING AND CONTRACTING (CPBC) PROCESS.

Comm. Dougan stated he had previously requested a spread sheet which shows the County’s total financial relationship with each company. This is a one-time request. Mr. Bragg stated Comm. Dougan has made a reasonable request of his Department. The information will be provided.

MOTION CARRIED UNANIMOUSLY.

d. Resolution to Authorize a Contract with Patriot Services to Assist in the Completion of a Continuity of Operations Plan

MOVED BY COMM. GREBNER, SUPPORTED BY COMM. HERTEL, TO APPROVE THE RESOLUTION TO AUTHORIZE A CONTRACT WITH PATRIOT SERVICES TO ASSIST IN THE COMPLETION OF A CONTINUITY OF OPERATIONS PLAN.

Comm. Dougan stated he appreciated the additional information he received regarding the differences between the low and the high bids. Mr. Bragg explained the other vendor would have required the Health Department to do a major portion of the work which was included in the RFP. Ms. Valentine informed the Committee that Patriot Services, Corporation would be renting office space in Lansing.

Chairperson Thomas stated the Committee wants to know the name of the local vendor, as well as, the work that the selected vendor would be responsible for completing. Mr. Bragg explained that Patriot Services, Corp. would develop a plan and would then conduct training sessions for the implementation of the plan.

MOTION CARRIED UNANIMOUSLY.

e. Resolution to Establish a Billing Manager Position in the Health Department

MOVED BY COMM. HERTEL, SUPPORTED BY COMM. DEDDEN, TO APPROVE THE RESOLUTION TO ESTABLISH A BILLING MANAGER POSITION IN THE HEALTH DEPARTMENT.

Comm. Dougan asked if any of the costs would be recovered through other sources. Mr. Bragg explained the funding of this Position would not come from the General Fund. Comm. Grebner explained the Human Services Committee discussed an approved the elimination of the Account Clerk position and the creation of a Billing Manager Position. Since that meeting, the Health Department has determined it definitely needs the Account Clerk position as well as the Billing Manager Position. Funding for the two positions is available within the Health Department’s budget.

MOTION CARRIED UNANIMOUSLY.

5b. Parks and Recreation Commission – Resolution to Authorize a Transfer of Funds to the City of Lansing to be Used for the Construction of the Hawk Island County Park to the McGuire Park Section of the Heart of Michigan Trail

MOVED BY COMM. GREBNER, SUPPORTED BY COMM. WEATHERWAX-GRANT, TO APPROVE THE RESOLUTION TO AUTHORIZE A TRANSFER OF FUNDS TO THE CITY OF LANSING TO BE USED FOR THE CONSTRUCTION OF THE HAWK ISLAND COUNTY PARK TO THE MCGUIRE PARK SECTION OF THE HEART OF MICHIGAN TRAIL.

Comm. Dougan questioned the spelling of the vendor’s name in the Resolution. Comm. Grebner stated the Resolution which goes before the Board will have the correct spelling of the vendor’s name.

Comm. Dougan stated the title of the Resolution may be more accurate if it authorizes contracting with the City of Lansing versus if it authorizes the transfer of funds to the City of Lansing. Mr. Moore explained the County would contract to transfer funds. A contract will be signed. Comm. Dougan stated he would prefer the term “appropriate funds” in the title of the Resolution.

Comm. Grebner suggested the title be changed to: Resolution to Authorize a Contract with the City of Lansing to Fund Construction at Hawk Island County Park.

The Committee consented to a FRIENDLY AMENDMENT to change the title of the Resolution to: Resolution to Authorize a Contract with the City of Lansing to Fund Construction at Hawk Island County Park.

MOTION CARRIED UNANIMOUSLY.

7. Board of Commissioners – Resolution Submitting to a Vote of the Electorate a Special Millage for the Operation and Maintenance of Potter Park and the Potter Park Zoo

MOVED BY COMM. WEATHERWAX-GRANT, SUPPORTED BY COMM. HERTEL, TO APPROVE THE RESOLUTION SUBMITTING TO A VOTE OF THE ELECTORATE A SPECIAL MILLAGE FOR THE OPERATION AND MAINTENANCE OF POTTER PARK AND THE POTTER PARK ZOO, AS AMENDED BY THE COUNTY SERVICES COMMITTEE.

Comm. Hertel explained the County Services Committee amended the Resolution per the recommendation of the County Attorney.

Comm. Dougan asked about liability insurance. Mr. Dore stated the County Attorney has concerns regarding the referral to “acts of God” as contained in the language from the City of Lansing. The insurance would primarily be casualty insurance. The City of Lansing discussed casualty insurance, not liability insurance. Mr. Dore stated the term “casualty” could be used and he would check with the County Attorney regarding its accuracy.

The Committee consented to a FRIENDLY AMENDMENT to the first THEREFORE BE IT RESOLVED paragraph, after the word “Resolution” to insert the following language:

“with the understanding that under subsection (h) the County will extend the same insurance coverage for the Potter Park Zoo and Potter Park as it does for its other comparable properties”

The Committee consented to a FRIENDLY AMENDMENT to add the term “casualty” following “extend the same” in the above Friendly Amendment.

Comm. Hertel stated the County Attorney has advised that the phrase “to provide” in the first line of the millage should be removed. The Committee consented to a FRIENDLY AMENDMENT to the first line of the millage language to delete “to provide” per the County Attorney’s recommendation.

Comm. Dedden stated she would not vote in favor of this item. The different millages should be prioritized before they are placed on the upcoming ballot. Comm. Dedden further stated having a number of millage questions on one ballot may hinder the passage of those which should be approved. She then expressed her concern that Ingham County will follow the same path as Genesee County in regard to the passage of millages which are unnecessary for the health and well-being of the County’s residents. Comm. Dedden expressed her appreciation for the efforts of the Commissioners and County staff who participated in the Task Force, especially the efforts of Comm. Bahar-Cook.

Comm. Grebner stated Comm. Dedden has a valid concern. In approximately five years, there will be a special purpose millage. In the short term, the proposed millage is not unreasonable. Comm. Grebner further stated he has never been very happy with the proposed .46 mills. He would support an amendment to lower that rate to .37 or .36. A motion could also be made during the budget process to levy a lower rate.

Comm. Hertel agreed the County could levy a lower millage rate. The County has a pretty good understanding of the City of Lansing’s bottom line; however, we should have a safety net. The County could levy close to the full amount in the beginning and then levy less over time.

Comm. Weatherwax-Grant stated she supports Comm. Hertel’s suggestion regarding levying close to the full millage amount in the beginning and then lowering the rate over time as the need for the additional funds decreases. It is important for the County to bring the Potter Park and the Potter Park Zoo up to the level of the County’s parks. This effort will take some money at first.

MOVED BY COMM. GREBNER, SUPPORTED BY COMM. DOUGAN, CHANGE THE MILLAGE TERMS TO 0.46 MILL FOR TWO YEARS; AND, TO SET THE MILLAGE AMOUNT TO 0.36 MILL FOR THE REMAINING THREE YEARS OF THE MILLAGE TERM.

Comm. Hertel expressed his frustration that a number of Commissioners and County staff spent many hours on this matter and, then, a person recommends a lower millage rate.

Chairperson Thomas asked how the .46 millage rate was determined. Comm. Hertel explained there are a number of accreditation issues relating to the Zoo. There are severe infrastructure costs due to the under funding of the Zoo during the past several years. Determinations have not been made regarding entrance fees. Comm. Hertel further explained the .46 rate is comparable with other counties which have such millages.

Comm. Grebner stated his belief that the County will spend its funds efficiently. Repairs at the Park and the Zoo could be completed gradually. Comm. Hertel stated the full extents of the severe infrastructure problems are not yet known.

This discussion continued. Chairperson Thomas asked for the estimated revenue levels from the .46 rate and the .36 rate. Mr. Dore stated .46 of a mill would generate approximately $3.2 million; .36 of a mill would generate approximately $2.5 million. Comm. Hertel stated the .46 rate was determined by intelligent people.

Comm. Weatherwax-Grant stated her belief that the County will be in a position to levy less than the full amount in approximately five years. She further stated the Friends of the Potter Park Zoo have developed a list of what is needed to obtain accreditation. Comm. Grebner stated his main concern is that the renewal rate be a lower amount. He further stated he believes the list of needs is long.

Comm. Hertel encouraged the Committee to at least consider the work that has already been done by the Task Force.

FRIENDLY AMENDMENT TO THE ABOVE MOTION TO CHANGE THE MILLAGE TERMS TO 0.46 MILL FOR THREE YEARS AND 0.36 MILL FOR THE REMAINING TWO YEARS OF THE MILLAGE TERM.

Comm. Hertel expressed his appreciation for the amendment; however, he believes his prior statements still apply. Comm. Weatherwax-Grant stated she appreciates the intent of the maker of the motion without seeing the supporting data regarding the numbers.

Chairperson Thomas asked how an operational budget for the Zoo would be determined. Mr. Dore explained the County would review the City of Lansing’s budget data and then develop its own budget based on that information. Our Facilities Director has reviewed the Park’s physical structure and has determined what repairs are needed. Comm. Hertel stated there are severe infrastructure problems which need attention within the next few years. He then stated he would agree to levy a lower rate in three years if it has been determined the rate is too high.

COMM. GREBNER’S MOTION: CARRIED with Comms. Hertel and Weatherwax-Grant voting NO.

MAIN MOTION, AS AMENDED: CARRIED with Comms. Dedden and Dougan voting NO.

8. Controller’s Office – 2007 Budget Update

Ms. Morton explained the 2007 budget is basically a continuation of the 2006 budget. A few new positions have been requested which would not required any General Fund dollars. The Controller’s Recommended Budget proposes the closure of the Project Sentry Program in 2007 unless the CCAB can develop a suitable funding plan within the next few weeks. Mr. Dore informed the Committee that Project Sentry and the Sheriff’s Office will receive letters reminding them of the County’s budget calendar.

The Committee held a brief discussion of the budget information which is contained in the blue sheet. Comm. Dougan asked for clarification regarding Project Sentry’s closing date if sufficient funding is not secured. Ms. Morton stated the closing date is December 31, 2006.

Mr. Dore stated the Controller’s Office received big capital improvement project requests for 2007.

9. Board Referral – Resolution from Muskegon County Expressing Support for the Restoration of State Revenue Sharing

The Resolution was received and placed on file.

Announcements: None

Public Comment: None

The meeting adjourned at 7:34 p.m.

Respectfully submitted,

Debra Neff