Amended 8/22/07
FINANCE
July 18, 2007
Minutes
Members Present: Victor Celentino, Tina Weatherwax-Grant, Mark Grebner, Curtis Hertel, Todd Tennis, Steve Dougan and Board Chairperson Marc Thomas
Members Absent: None
Others Present: Teri Morton, Tom VanDerWoude, Janeil Valentine, Jim Hudgins, Rick Terrill, Pam Klusack, Charlene Corrigan, John Bush, Melany Mack, Sara Lurie, Renee Canady, Scott Burnett, Karen Ward, Dr. Sienko and Richard Herrold
The meeting was called to order by Chairperson Celentino at 6:02 p.m. in the Personnel Conference Room of the Human Services Building, 5303 S. Cedar, Lansing.
Approval of the June 20, 2007 Minutes
MOVED BY COMM. DOUGAN, SUPPORTED BY COMM. HERTEL, TO APPROVE THE JUNE 20 MINUTES AS SUBMITTED. MOTION CARRIED UNANIMOUSLY.
Additions to the Agenda
2. Resolution Establishing a New Classification (Park Manager III), and Reclassifying the Park Director Position – Item Pulled from the agenda.
4c. Closed Session – Item Pulled from the Agenda.
7d. Resolution
Limited Public Comment
Mr. Burnett, Jackson National Life, stated Jackson National would like to be considered for the County’s 457 Plan.
Mr. Bush, Edward Jones, stated Edward Jones would like to be added to the County’s 457 Plan.
Ms. Ward stated Wachovia would also like to be considered for Ingham County’s 457 Plan.
Comm. Dougan stated he would like the County to issue RFP for 457 companies. His preference to have the Resolution referred back to staff.
Ms. Lurie, EISD and resident of Ingham County, addressed the Committee regarding the Health Department’s proposal to raise the tobacco sales license fee. She stated Eaton County does not have a tobacco license fee. It receives one time funding to provide education regarding the use of tobacco products. Ms. Lurie strongly urged the Committee to approve the proposed increase in the license fee.
Ms. Brown, Michigan Department of Community Health, read Dr. Holzman’s statement that was also submitted to the Human Services Committee. His statement addressed the health hazards of smoking and second hand smoke. In his letter he applauded Ingham County on its efforts to reduce smoking by its young people. Ms. Brown spoke on her behalf at this time. She stated she works in tobacco control. She recognizes that licensing tobacco sales is a preventative measure that is used to encourage people to refrain from purchasing tobacco products. Smokers should pay a fair price for tobacco products.
MOVED BY COMM. DOUGAN, SUPPORTED BY COMM. TENNIS, TO APPROVE A CONSENT AGENDA FOR THE FOLLOWING ITEMS:
1. Health Department
a. Resolution to Authorize the Intergovernmental Transfer of Ingham County Funds to the State of Michigan for the Purpose of Participating in the Financing of the Non-Federal Share of DSH Payments Made Under the Indigent Care Agreement Pool to Ingham Regional Medical Center and Sparrow Health System
b. Resolution Rescinding Resolution #06-271 and Authorizing the Intergovernmental Transfer of Ingham County Funds to Support DSH Payments to Ingham Regional Medical Center and Sparrow Health System
c. Resolution to Authorize an Amendment to the Contract with the Michigan Department of Human Services to Place an Out-Stationed Worker in the Health Department Registration and Enrollment Unit
d. Resolution to Authorize Administrative Support Services Agreements with County Health Plans
e. Resolution to Increase the Fee for Tobacco Licenses and Change the Licensing Period to One Year
g. Resolution to Establish a HIV Continuum of Care Ambulatory Outpatient Operation within the Health Department’s Cedar Community Health Center
3. Facilities Department
a. Resolution Awarding a Contract to Modernistic Lansing LLC for Carpet Cleaning at Various County Facilities
b. Resolution Authorizing Additional Fire Alarm Improvements at the Ingham County Jail with SimplexGrinnell, LP
c. Resolution Authorizing the Conversion of Electrical Service at the Hilliard Building from Secondary to Primary to be Performed by Delta Electrical Contractors of Lansing, Inc.
4. Human Resources Department - Resolution Certifying Representatives for the MERS Annual Meeting
5. Purchasing Department – Resolution Authorizing a Contract with DBI Business Interiors for Desktop Delivery of Paper and Office Supplies
6. Controller’s Office
a. Resolution Authorizing a Contract with East Lansing for a New CAD for the 911 Center
b. Resolution Authorizing Adjustments to the 2007 Ingham County Budget
MOTION CARRIED UNANIMOUSLY.
MOVED BY COMM. DOUGAN, SUPPORTED BY COMM. TENNIS, TO APPROVE THE ITEMS ON THE CONSENT AGENDA. MOTION CARRIED UNANIMOUSLY.
1. Health Department
e. Resolution to Increase the Fee for Tobacco Licenses and Change the Licensing Period to One Year
MOVED BY COMM. HERTEL, SUPPORTED BY COMM. DOUGAN, TO APPROVE THE RESOLUTION TO INCREASE THE FEE FOR TOBACCO LICENSES AND CHANGE THE LICENSING PERIOD TO ONE YEAR.
Dr. Sienko stated the Board of Commissioners adopted a tobacco regulation which requires a license for the retail of tobacco in Resolution #92-95. The Resolution further prohibits the sales of tobacco products to persons under the age of 18. This regulation became effective January 1, 1993 and has not been increased although the costs for issuing licenses and conducting enforcement activities have risen significantly over the past 15 years. Since implementing this fee, Dr. Sienko stated the smoking rate of minors has decreased greatly. The vendors should pay the County for what its costs to implement this program.
Comm. Dougan asked why this item was not included in the entire package which was approved a few weeks ago. Ms. Morton stated this issue will (“not” was deleted) be a part of the normal process.
Comm. Weatherwax-Grant thanked Ms. Lurie and Ms. Brown for expressing their views this evening. She then asked about the licensing period change from one year to three years. Ms. Mack explained the license is non transferable. Currently, if a tobacco vendor purchases a three year license and then goes out of business in the first year or two of the licenses period, they do not receive a refund. Comm. Weatherwax-Grant asked if the licensing process includes an educational component. Ms. Mack stated the process does include an educational component.
Comm. Tennis asked if the fee could be raised for those vendors who sell flavored tobacco products which target Ingham County youth. Comm. Dougan asked if there is a fine for those vendors who violate the licensing process. Comm. Hertel stated the fine is quite low. He then explained the Human Services Committee will hold a public hearing in the near future regarding a possible fine increase.
MOTION CARRIED UNANIMOUSLY.
f. Resolution to Amend the Health Department Fee Schedules
MOVED BY COMM. GREBNER, SUPPORTED BY COMM. WEATHERWAX-GRANT, TO APPROVE THE RESOLUTION TO AMEND THE HEALTH DEPARTMENT FEE SCHEDULES.
The Committee held a brief discussion of this item. Comm. Hertel stated the Restaurant Association is not opposed to the increased special food establishment surcharge. He then stated a local tattoo vendor appeared before the Human Services Committee Monday evening to indicate her support for the increased fee for a tattoo business operating without an initial license.
MOTION CARRIED UNANIMOUSLY.
h. Resolution to Authorize Amendments to Two Lease Agreements with Sparrow Health System
MOVED BY COMM. GREBNER, SUPPORTED BY COMM. WEATHEREWAX-GRANT, TO APPROVE THE RESOLUTION TO AUTHORIZE AMENDMENTS TO TWO LEASE AGREEMENTS WITH SPARROW HEALTH SYSTEM.
Comm. Weatherwax-Grant stated there was previous discussion about using space at Lansing Community College. Dr. Sienko stated that arrangement did not work out due the high cost of the lease agreement. Comm. Weatherwax-Grant commended Dr. Sienko for looking into the LCC arrangement.
MOTION CARRIED UNANIMOUSLY.
4. Human Resources Department
a. Resolution to Add AXA Financial to the County’s 457 Deferred Compensation Plans
MOVED BY COMM. HERTEL, SUPPORTED BY COMM. TENNIS, TO APPROVE THE RESOLUTION TO ADD AXA FINANCIAL TO THE COUNTY’S 457 DEFERRED COMPENSATION PLANS.
Mr. Herrold, Financial Technologies, Inc. addressed the Committee regarding the County’s 457 Deferred Compensation Plan. He stated a number of companies may be interested in providing this service.
Comm. Hertel stated this issue has been reviewed by the Controller’s and the Human Resources’ Departments. This matter should move forward.
Ms. Morton stated AXA approached the County about providing its services to the County employees. The special three-member committee reviewed the request and forwarded its recommendation to the County Services and Finance Committees.
Comm. Dougan stated the County should not proceed with a company which approached the County outside of the normal process. He then stated he spoke with a representative from Nationwide this afternoon. From that discussion, he believes the employees are receiving a fair product. An RFP process should be initiated before any companies are added to the current 457 plan.
Comm. Grebner stated this Committee’s job is to review the recommendation and determine if the process was followed before approving or not approving the recommendation.
Chairperson Thomas stated this is the first time that the three member committee considered adding other companies to the County’s 457 plan. After their review of AXA’s request, the three member committee deemed it appropriate to add another company to the plan. The Controller stands by the process used to bring the current company to the County Services Committee. There will be a process, similar to an RFP process, whereby other companies will have an opportunity to offer their services to the County employees. Staff will bring a recommendation to the next County Services’ meeting regarding the long term plan regarding this issue.
Comm. Weatherwax-Grant stated the Committee should wait on this matter until it receives a recommendation from staff. Comm. Tennis stated he is comfortable voting on this item tonight. He then stated it appears that staff should set up a screening process to qualify additional vendors.
The Committee continued their discussion of this item. Comm. Grebner stated all vendors should have the opportunity to enter into the same contract as AXA will enter with the County. The RFP process would be appropriate in this matter. Comm. Hertel stated AXA and Nationwide should be included in the RFP process. Comm. Grebner also stated it should be clear that AXA is not ahead of the process. Comm. Weatherwax-Grant indicated her preference to not enter into a contract with AXA until the conclusion of the RFP process.
MOVED BY COMM. GREBNER, SUPPORTED BY COMM. DOUGAN, TO REFER THIS ITEM BACK TO THE COUNTY SERVICES COMMITTEE FOR REVIEW AND FOR A MORE COMPLETE RECOMMENDATION FROM STAFF REGARDING THE PROCESS FOR ADDING COMPANIES TO THE COUNTY’S 457 DEFERRED COMPENSATION PLANS. MOTION CARRIED with Comm. Hertel voting NO.
6. Controller’s Office
c. Draft Resolution to Alter or Extend the Fixed Separate Tax Limitation and to Create a County Advisory Tax Limitation Committee
MOVED BY COMM. GREBNER, SUPPORTED BY COMM. TENNIS, TO APPROVE THE RESOLUTION TO ALTER OR EXTEND THE FIXED SEPARATE TAX LIMITATION AND TO CREATE A COUNTY ADVISORY TAX LIMITATION COMMITTEE.
Mr. Stoker explained the statute requires that a tax limitation committee should be appointed and meet within 10 days of its selection. The statute is silent on when the recommendation is to be made.
Comm. Grebner suggested the Committee table this matter and take the necessary actions next spring to place the issue on the November 2008 ballot. The Townships should be asked about how they would like to appoint a member to the tax limitation committee. This is a non-controversial issue that should be approved by the voters without any problems.
The Committee held a general discussion regarding this matter. Chairperson Thomas stated the November 2008 ballot will include many questions. The County Commissioners have indicated the voters should not be asked to approve a number of millages on one ballot; however, this issue should be taken care of in the near future. Comm. Grebner explained that this matter will not appear as a millage on the ballot. The voters will be asked to adopt separate tax limitations which will restore the County’s taxing capacity.
MOVED BY COMM. GREBNER, SUPPORTED BY COMM. HERTEL, TO TABLE THIS RESOLUTION. MOTION CARRIED UNANIMOUSLY.
7. Board Referrals
a. Resolution from Lake County Urging the Michigan Legislature to Freeze Taxable Values on Residential Properties
b. Letter from the Department of Treasury Forwarding a Copy of the Fiscal Distress Indicator Scores
c. Notice of Public Hearing from Delhi Charter Township Regarding the Application for Industrial Facilities Exemption Certificate by Dart Container of Michigan, LLC.
The Board Referrals (items 7a-7c) were received and placed on file.
d. Letter from Mayor Virg Bernero Regarding a Proposal to Cover the Shortfall of Neighborhood Centers
MOVED BY COMM. TENNIS, SUPPORTED BY COMM. WEATHERWAX-GRANT, TO APPROVE A RESOLUTION AUTHORIZING A CONTINGENCY FUNDAPPROPRIATION TO THE ALLEN NEIGHBORHOOD CENTER, BAKER DONORA FOCUS CENTER, SOUTHSIDE COMMUNITY CENTER AND NORTHWEST INITIATIVE.
Comm. Grebner noted the two amendments from the Human Services Committee.
MOTION CARRIED with Comm. Dougan voting NO.
Public Comment: None
Announcements: None
The meeting adjourned at 7:05 p.m.
Respectfully submitted,
Debra Neff