BUDGET, FINANCE & INVESTMENT COMMITTEE

 

May 4, 2000                 6:15 P.M.               Courthouse

 

  MINUTES:

 

Members Present:                           Others Present:                Others Present:

Comm. Jimmy Evans, Jr. Chair.       Nancy Allen                    Jeff Sandvig

Comm. Jerry Baxter                         Evans Maples                Joe McKenzie

Comm. Joyce Ealy                           Crystal Messick             Paul Long

Comm. Joe Frank Jernigan               Regina Nelson               Elaine Cawthon

Comm. Paul Johnson                        Eddie Bowman

Comm. Allen McAdoo                    Chuck Thomas

Comm. Steve Sandlin                      Steve Smith

 

 

Chairman Evans presided and called the meeting to order with six members being present at that time.

 

 APPROVE MINUTES:

 

The minutes of the April 6, 2000 meeting were presented for approval. 

 

Comm. Jernigan moved, seconded by Comm. Baxter to approve the minutes as presented.

 

The motion passed unanimously by voice vote.

 

INVESTMENT REPORT:

 

Mr. Evans Maples, Trustee presented the monthly Investment Report for the information and use of the committee.

 

Mr. Maples reported the LGIP interest rate for the month was 6.07%.

 

Mr. Maples explained the investment transactions that occurred during the month.

 

Following discussion, Comm. Jernigan moved, seconded by Comm. Baxter to approve the Investment Report as presented.

 

The motion passed unanimously by voice vote.

 

FUND CONDITION REPORT:

 

Mr. Paul Long, Finance Director, presented the Fund Condition Report for the month ending April 30,2000 to the committee for their review.

 

Mr. Long reported the Development Tax collections for the month totalled $534,000.  The total collected for the year is $2,472,375.

 

Mr. Long reported all of the cash balances are higher than a year ago.  Mr. Long reported the cash balance in the Employee Insurance Fund is still causing some concern, with a balance of approximately $1.6 million below last year.

 

The cash balances total $130,739,709, with $84,958,710 being operating funds and $45,780,999 being borrowed funds.

 

Mr. Long reported in the General Fund, the State and Federal revenue is somewhat behind.  He explained most of the federal money is grant money, and he is trying to find out the status of the grants to determine how much can be expected from the grants this year.  He is also trying to determine the revenue that can be estimated for next year.

 

Following discussion, Comm. Jernigan moved, seconded by Comm. Ealy to approve the Fund Condition Report as presented.

 

The motion passed unanimously by voice vote.

Budget Minutes           May 4, 2000              Page Two

 

 

GENERAL FUND BUDGET AMENDMENTS

  TRUSTEE:

 

Mr. Evans Maples, Trustee, requested approval of the committee for the following transfer to provide adequate funding for Postal Charges for the remainder of the year:

 

     From:  101-52400-711 - Furniture & Fixtures - $1,745

     To:  101-52400-348 - Postal Charges - $1,745

 

Comm. Jernigan moved, seconded by Comm. Baxter to approve the transfer as requested.

 

The motion passed by roll call vote with Comm. Sandlin being absent at that time.

 

ARCHIVES:

 

The Finance Director presented the following transfer request for the use and information of the committee to provide adequate funding for the Archives Department's Communication Account for the remainder of the fiscal year:

 

     From:  101-51910-435 - Office Supplies - $50

     To:  101-51910-307 - Communications - $50

 

Comm. Jernigan moved, seconded by Comm. Baxter to approve the transfer as requested.

 

The motion passed by roll call vote with Comm. McAdoo and Comm. Sandlin being absent at that time.

 

GENERAL SESSIONS:

 

Mrs. Crystal Messick was present to request approval from the committee for the following budget transfer to provide adequate funding for the Communications Account for the remainder of the year:

 

     From:  101-53300-719 - Office Equipment - $500

     To:  101-53300-307 - Communications - $500

 

Comm. Baxter moved, seconded by Comm. Jernigan to approve the transfer as requested.

 

The motion passed by roll call vote with Comm. McAdoo and Comm. Sandlin being absent at that time

 

CIRCUIT JUDGE:

 

Finance Director Paul Long explained the county's portion of the marriage license fee is earmarked for paying mediation expenses ordered by the judge in divorce cases.  In the beginning, these funds were sent to the State and the State paid the expenses.  The State is no longer administering this program.  A refund of $15,492 is expected from the State.  The county's revenue for marriage license has been more than anticipated, and the expenses relating to the mediation process is also more than expected.  The following amendment was submitted for the approval of the committee:

 

     Increase Revenue:  101-41110 - Marriage License - $19,500

     Increase Expend.:  101-53110-331 - Legal Services - $19,500

 

Comm. Jernigan moved, seconded by Comm. Baxter to approve the amendment as requested.

 

The motion passed by roll call vote with Comm. McAdoo and Comm. Sandlin being absent at that time.

Budget Minutes           May 4, 2000              Page Three

 

 

The Finance Director presented the following transfer for the approval of the committee to provide adequate funding in the Circuit Judge's Data Processing Equipment Account:

 

     From:  101-53110-719 - Office Equipment - $60

     To:  101-53110-709 - Data Processing Equipment - $60

 

Comm. Baxter moved, seconded by Comm. Jernigan to approve the transfer as requested.

 

The motion passed by roll call vote with Comm. McAdoo and Comm. Sandlin being absent at that time.

 JUVENILE DETENTION:

 

In the absence of Mr. Swaim, Juvenile Detention Director, the Finance Director presented the following budget transfer to provide adequate funding for Overtime Pay plus benefits and Food Supplies.  Mr. Long reported the transfer had to be revised from the recommendation of the Public Safety Committee due to the fact there was not enough funds remaining in Account 54240-790, Other Equipment, to present as originally proposed:

 

     From:  101-54240-709 - Data Processing Equipment - $1,500

            101-54240-790 - Other Equipment -            4,800

            101-54240-334 - Maintenance Agreements -       980

 

     To:  101-54240-187 - Overtime Pay -                 3,700

          101-54240-201 - Social Security -                230

          101-54240-212 - Employer Medicare -               60

          101-54240-204 - State Retirement -               290

          101-54240-422 - Food Supplies -                3,000

 

Following discussion, Comm. P. Johnson moved, seconded by Comm. Jernigan to approve the budget transfers as presented.

 

The motion passed by roll call vote with Comm. McAdoo being absent at that time.

 

OTHER PUBLIC HEALTH & WELFARE:

 

The Finance Director presented the following budget amendment to provide adequate funding for the medical examiner.  The funds are needed to complete the fiscal year.  This account is used to pay Dr. Robert Sanders, Medical Examiner $75.00 per case.  Forensic Pathology is paid $750 per case:

 

     From:  101-39000 - Undesignated Fund Balance - $20,000

     To:  101-55900-131 - Medical Personnel -        20,000

 

Following discussion, Comm. Jernigan moved, seconded by Comm. Ealy to approve the budget amendment as presented.

 

The motion passed by roll call vote with Comm. McAdoo being absent at that time.

SHERIFF'S DEPARTMENT:

 

Ms. Regina Nelson, Sheriff's Department requested approval of the following budget amendment to provide adequate funding for the Gasoline Account:

 

     From:  101-39000 - Undesignated Fund Balance - $30,000

     To:  101-54110-425 - Gasoline  $30,000

 

Comm. Paul Johnson had requested the Finance Department to provide a report of the balances in the Sheriff Department's accounts.

 

 

Budget Minutes           May 4, 2000              Page Four

 

 

The committee reviewed the balances.  A discussion was held regarding the balance of the Motor Vehicle Account.  The balance in the account is approximately $75,000.

 

Ms. Nelson explained the vehicles obtained this year were purchased at a lesser price than anticipated.  She also explained that because of Sergeant Truesdell's efforts, they have managed to save some money.  She stated they would like to purchase some additional vehicles with the money remaining in the account.

 

Following discussion, Comm. Sandlin moved, seconded by Comm. P. Johnson to amend the request as follows:

 

     From:  101-54110-718 - Motor Vehicles - $30,000

     To:  101-54110-425 - Gasoline - $30,000

 

Comm. Jernigan stated he believed the Budget Committee tries to get departments to save money, and this is an example of a department that did.

 

The motion to transfer $30,000 from 54110-718, Motor Vehicles, to 54110-425, Gasoline, passed by roll call vote with Comm. McAdoo being absent at that time.

 

Ms. Nelson requested approval of the committee for the following budget amendment to provide adequate funding for the Per Diem Account, which is utilized to cover jury related expenses:

 

     From:  101-39000 - Undesignated Fund Balance - $5,000

     To:  101-54110-199 - Other Per Diem & Fees - $5,000

 

Following discussion, Comm. Jernigan moved, seconded by Comm. P. Johnson to approve the budget amendment as requested.

 

The motion passed by roll call vote with Comm. McAdoo being absent at that time.

 

Ms. Nelson requested approval of the following budget amendment to cover projected expenses for drug and medical supplies for May and June:

 

     From:  101-39000 - Undesignated Fund Balance - $24,000

     To:  101-54210-413 - Drug & Medical Supplies - $24,000

 

After reviewing the account balances, there is $18,390 still available in the account.  Comm. P. Johnson suggested this should be spent first, and then the request could be made again.

 

Following discussion, Comm. P. Johnson moved, seconded by Comm. Baxter to deny the request.

 

The motion passed by roll call vote with Comm. McAdoo being absent at that time.

 

SHERIFF'S FIRING RANGE:

 

Sgt. Eddie Bowman addressed the committee regarding the firing range.

 

Currently, there is $200,000 appropriated in the Local Purpose Tax Fund for the firing range.  The lowest bid for the firing range was $374,000.

 

Sgt. Bowman reported they are going to try to obtain grants from some firearm companies, and believe the companies will be more willing to donate if the county has committed to appropriate some money toward the project.

 

 

Budget Minutes           May 4, 2000              Page Five

 

 

The Public Safety Committee has recommended to put the $200,000 in the upcoming budget for the firing range.

 

Finance Director Paul Long reported the $200,000 will lapse at June 30.  He explained it will have to be reappropriated next year, or the Sheriff's Department will have to obtain a contract before June 30.

 

Comm. Baxter recommended the money go back into the fund at June 30, and if the Sheriff's Department could obtain enough grant money to make up the difference in the cost, the County Commission could appropriate the balance of the money at that time.

 

The Finance Director explained the Sheriff is asking for a commitment from the committee for $200,000 for next year's budget.

 

Chairman Evans stated he believed it was premature to start working on a portion of next year's budget. 

 

Following discussion, Comm. P. Johnson moved, seconded by Comm. Baxter to deny appropriating the $200,000 for the firing range in next year's budget and address it at a later date.

 

Following discussion, Comm. Jernigan moved, seconded by Comm. Sandlin to amend the motion, to agree to a commitment for the firing range if the Sheriff can obtain funding for the remaining portion of approximately $174,000 through grants.

 

Following discussion, Comm. Jernigan withdrew his motion to amend the original motion.  Comm. Sandlin withdrew his second to the motion.

 

The original motion to deny appropriating $200,000 in next year's budget for the firing range failed by roll call vote with Commissioners Baxter, P. Johnson, and Evans voting "yes" and Commissioners Ealy, Jernigan and Sandlin voting "no".

 

Comm. Jernigan moved, seconded by Comm. Sandlin to approve $200,000 for the firing range when and if the remaining portion of approximately $175,000 becomes available. 

 

The motion failed by roll call vote with Commissioners Ealy, Jernigan, and Sandlin voting "yes", and Commissioners Baxter, P. Johnson, and Evans voting "no".

 

The Finance Director stated, since this has been endorsed by the Public Safety Committee, this could be shown as a request from the Sheriff in the Development Tax Fund, so it could go through the budget process.

 

Ms. Nelson reported there is a major investigation going on, and it will probably require additional funds, because it is outside their normal budget. 

 

Mr. Long reported, it will require an amendment next month.  He explained two detectives will be leaving Friday to go to Florida to conduct an investigation.  He stated they have requested a travel advance, and he explained it will need to be processed.  He stated there will be some additional expenses because of DNA testing. 

 

Capt. Thomas reported it could cost approximately $20,000.

 

GRANT AGREEMENT BETWEEN STATE OF TENNESSEE, DEPARTMENT OF MILITARY TENNESSEE EMERGENCY MANAGEMENT AGENCY AND RUTHERFORD COUNTY

 

County Executive Allen requested approval of the committee for an annual grant agreement with TEMA in the amount of $17,220.

 

Budget Minutes           May 4, 2000              Page Six

 

 

Comm. P. Johnson moved, seconded by Comm. Sandlin to approve the grant agreement with TEMA as presented.

 

The motion passed by roll call vote with Comm. McAdoo being absent at that time.

 

 SCHOOL BUILDING PROGRAM TRANSFERS:

 

Mr. Jeff Sandvig, Assistant Superintendent, requested approval of School Building Program transfers of $57,074 from the Phase II construction program of Barfield and Rock Springs to Unidentified 1998 Elementary Repair to provide funding for roof repairs.

 

Comm. Jernigan moved, seconded by Comm. Baxter to approve the request as presented.

 

The motion passed by roll call vote with Comm. McAdoo being absent at that time.

  GENERAL PURPOSE SCHOOL FUND BUDGET AMENDMENTS:

 

Mr. Sandvig requested approval of the following budget amendment to provide $180,000 contingency funds on the construction contract for three stadiums:

 

     From:  141-39000 - Undesignated Fund Balance - $180,000

     To:  141-76100-799 - Other Capital Outlay  $180,000

 

Mr. Sandvig explained this will be used primarily for excavation and the water tap fees.

 

Chairman Evans stated he was concerned about this being premature.  He said the fields may not be played on next year. 

 

Mr. Sandvig stated he believed he was being fiscally prudent, and did not want to go over in the account.

 

Following discussion, Comm. Sandlin moved, seconded by Comm. Baxter to deny the request until the need arises.

 

The motion passed by roll call vote with Comm. McAdoo being absent at that time.

 

Mr. Sandvig requested approval of the following budget amendment which provides funds for the purchase of five double portable classrooms and one single portable classroom for the 2000/01 school year from the 1999/2000 budget.  Mr. Sandvig reported the funding is needed at this time so that the portables will be in place in time:

 

     From:  141-39000 - Undesignated Fund Balance - $240,000

     To:  141-76100-799 - Other Capital Outlay - $240,000

 

Comm. Jernigan moved, seconded by Comm. Ealy to approve the amendment as requested.

 

The motion passed by roll call vote with Comm. McAdoo being absent at that time.

 

Mr. Sandvig requested approval of line item transfers in the total amount of $19,394 to revise budget amounts that were based on projected degree/experience and the projected raise percentage.

 

Following discussion, Comm. Jernigan moved, seconded by Comm. Baxter to approve the transfers as requested.

 

The motion passed by roll call vote with Comm. McAdoo being absent at that time.

 

Budget Minutes           May 4, 2000              Page Seven

 

 

Mr. Sandvig requested approval of the committee for transfers between categories in the total amount of $42,955, which revises budget amounts that were based on projected degree/experience and the estimated raise percentage.  Also, the Department of the Army approved another ROTC position in Smyrna.

 

Comm. Jernigan moved, seconded by Comm. Ealy to approve the request as presented.

 

The motion passed by roll call vote with Comm. McAdoo being absent at that time.

 

Mr. Sandvig requested approval of budget amendments totalling $45,300, which reallocates the medical insurance appropriated for 1999/2000 based on the actual insurance package chosen by the system's employees.

 

Comm. Jernigan moved, seconded by Comm. Sandlin to approve the amendments for medical insurance as requested.

 

The motion passed by roll call vote with Comm. McAdoo being absent at that time.

 

Mr. Sandvig requested approval of budget amendments totalling $20,356 revising the projected revenue and expense for the career ladder program.  These numbers are based on the actual participation of the system's employees for the 1999/2000 school year.  This program is totally funded by the state.

 

Comm. Jernigan moved, seconded by Comm. Sandlin to approve the budget amendments relating to career ladder as requested.

 

The motion passed by roll call vote with Comm. McAdoo being absent at that time.

 

Mr. Sandvig requested approval of the following budget transfer utilizing medical insurance funds to purchase instructional materials and supplies for the 2000/01 school year.  These funds are available because a provision is made in the budget for existing staff who might change their insurance and new staff who are budgeted at a higher participation rate since it is not known how many will enroll in the plan:

 

     From:  141-71100-207 - Medical Insurance - $228,060

     To:  141-71100-429 - Instructional Supplies & Materials -                                                 $228,060

 

Comm. Baxter moved, seconded by Comm. Jernigan, to approve the transfer as requested.

 

The motion passed by roll call vote with Comm. McAdoo being absent at that time.

 

Mr. Sandvig requested approval of the following budget amendment totalling $33,924, which corrects a $30,000 coding error in the 1999/2000 budget.  The Holloway night program should have been coded to Regular Instruction.

 

Comm. Jernigan moved, seconded by Comm. Baxter to approve the amendment as requested.

 

The motion passed by roll call vote with Comm. McAdoo being absent at that time.

 

Mr. Sandvig requested approval of budget transfers within major functions totalling $36,401, which reallocates funds for various purposes such as materials and supplies, additional contract services, additional equipment, additional equipment and printing, additional corporate surety bond costs and a judgment, and additional vehicle insurance.