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BUDGET, FINANCE & INVESTMENT COMMITTEE
May 9, 2002 6:15 P.M. Courthouse
MINUTES:
Members Present: Others Present: Others Present: Others Present: Others Present Comm. Joyce Ealy Nancy Allen Steve Smith Tim McLaughlin Bryan Brooks Comm. Paul Johnson Evans Maples Mike Nunley John Davis Paul Long Comm. Tina Jones Comm. Grant Kelley Regina Nelson Joe McKenzie Elaine Cawthon Comm. Robert Peay Hooper Penuel Phillip Martin John Pennington Comm. Steve Sandlin Linda Vincion Curtis Little Edward McAteer Comm. Dwight Throneberry Tommy Sanford John Brown Eddie McAteer Comm. Jimmy Evans, Chair. Lynn Duke Jeff Sandvig Janie Davis
Chairman Jimmy Evans presided and called the meeting to order with all members being present.
INVESTMENT REPORT: Mr. Evans Maples, Trustee, presented the monthly Investment Report for the information and use of the committee. Mr. Maples advised the LGIP interest rate for the month was 1.90%. Mr. Maples explained the investment transactions that occurred during the month. Comm. Jones moved, seconded by Comm. Throneberry to approve the monthly Investment Report as presented. The motion passed unanimously by acclamation.
FUND CONDITION REPORT: Mr. Paul Long presented the Fund Condition Report for the month ending April 30, 2002. Mr. Long advised the Development Tax collections for the month totaled $470,250. The year-to-date collections are $2,972,250. Mr. Long advised the committee the Employee Insurance Fund repaid the $1,500,000 note to the General Fund during the month of April. The cash balance in the Employee Insurance Fund after the payment is $1,528,671. He explained at the end of June 30, there might still be a fund deficit. The total cash balances of all funds are $116,922,746, with $86,945,636 being operating funds and $29,977,110 being borrowed funds. Mr. Long reported there were no other conditions that warrant any particular attention. He stated he believed all departments were trying to be conservative with their budgets and hold their spending down. Following discussion, Comm. Johnson moved, seconded by Comm. Ealy to approve the Fund Condition Report as presented. The motion passed unanimously by acclamation.
GENERAL FUND BUDGET AMENDMENTS
ELECTION COMMISSION: Mr. Hooper Penuel requested approval of the following budget transfer to purchase supplies due to redistricting the elections and to have two voting machines upgraded: From: 101-515000-307 – Communications - $5,000
To: 101-51500-435 – Office Supplies - $3,000 101-51500-349 – Printing, Stationery & Forms - 2,000
Budget Minutes May 9, 2002 Page Two
From: 101-51500-411 – Data Processing Supplies - $1,500
To: 101-51500-337 – Maintenance/Repair Equipment - $1,500
Comm. Throneberry moved, seconded by Comm. Sandlin to approve the budget transfers as requested. The motion passed unanimously by roll call vote.
INSURANCE DEPARTMENT: County Executive Allen requested approval of the following budget transfer for the Insurance Department:
From: 101-51920-709 – Data Processing Equipment - $388
To: 101-51920-348 – Postal Charges - $388
Comm. Sandlin moved, seconded by Comm. Peay to approve the budget transfer as requested for the Insurance Department. The motion passed unanimously by roll call vote.
PROPERTY ASSESSOR: Mr. Tommy Sanford, Property Assessor, requested the following budget transfer for the Reappraisal Department in order to purchase a vehicle:
From: 101-52310-106 – Deputies - $2,429
To: 101-52310-718 – Motor Vehicles - $2,429
Comm. Jones moved, seconded by Comm. Throneberry to approve the budget transfer as requested. The motion passed unanimously by roll call vote. Mr. Sanford requested approval of the following budget amendment to provide additional funding for the consultants for the Bridgestone hearings:
From: 101-39000 – Undesignated Fund Balance - $11,699
To: 101-51210-308 - Consultants - $11,699
Mr. Sanford advised the case was before the Appeals Commission. Following discussion, Comm. Ealy moved, seconded by Comm. Throneberry to approve the budget amendment as requested. The motion passed unanimously by roll call vote. EMPLOYEE HEALTH INSURANCE – INFORMATION TECHNOLOGY, GENERAL SESSIONS, & ANIMAL SERVICES: Finance Director Paul Long requested approval of the following budget amendment to provide additional funding for the Employee Health Insurance for the Information Technology Department, General Sessions Court and Animal Services. The adjustments have resulted in turnover of employees and the new employees electing different coverage:
Budget Minutes May 9, 2002 Page Three
From: 101-58600-205 – Employee Benefits - $4,800
To: 101-52600-205 – Data Processing Employee & Dependent Insurance - $ 570 101-53300-205 – General Sessions Court Employee & Dependent Insurance - 410 101-55120-205 – Animal Services Employee & Dependent Insurance - 3,820
Comm. Sandlin moved, seconded by Comm. Jones to approve the budget amendment as requested for Employee Health Insurance for the Information Technology Department, General Sessions Court and Animal Control. The motion passed unanimously by roll call vote. JUVENILE DETENTION: Mrs. Lynn Duke, Juvenile Detention Center Supervisor, requested to revise the following budget transfer as approved by the Public Safety Committee: From: 101-54240-422 – Food Supplies - $10,000
To: 101-54240-334 – Maintenance Agreements - 100 101-54240-335 – Maintenance/Repair Buildings - 9,900
She advised she was only requesting the $100 for the maintenance agreement on the copy machine as follows:
From: 101-54240-422 – Food Supplies - $100 To: 101-54240-334 – Maintenance Agreements - 100
Comm. Peay moved, seconded by Comm. Sandlin to approve the budget transfer for $100 from Food Supplies to Maintenance Agreements as revised. The motion passed unanimously by roll call vote. EMERGENCY MANAGEMENT: Mr. Steve Smith, Emergency Management Director, requested approval of the following budget transfers to fund estimated expenditures for the remainder of the fiscal year and to provide emergency and communications equipment for the department vehicle: From: 101-54430-707 – Building Improvements - $5,400
To: 101-54430-399 – Other Contracted Service - $ 400 101-54430-307 – Communications - 1,000 101-54430-499 – Other Supplies & Materials - 4,000
Mr. Smith advised he was able to delay some planned improvements, because he had some roof repair to be done and he did not want to do all of the improvements until the roof repairs were made. Following discussion, Comm. Jones moved, seconded by Comm. Ealy to approve the budget transfers as requested. The motion passed
unanimously by roll call vote. Budget Minutes May 9, 2002 Page Four
Mr. Mike Nunley, Ambulance Service Director, requested approval of the following budget transfers to provide adequate funding for the remainder of the year for Postal Charges, and Maintenance/Repair of Vehicles:
From: 101-55130-708 – Communication Equipment - $5,000
To: 101-55130-348 – Postal Charges - $2,000 101-55130-338 – Maintenance/Repair Vehicles - 3,000
From: 101-55130-335 – Maintenance/Repair Buildings - $7,000 To: 101-55130-338 – Maintenance/Repair Vehicles - 7,000
Comm. Peay moved, seconded by Comm. P. Johnson to approve the budget transfers as requested. The motion passed unanimously by roll call vote. MISCELLANEOUS: The Finance Director requested approval of the following budget transfer to provide additional funding for the Building & Contents Insurance Account to pay an addition to the insurance premium to add the Ambulance Communications Center to the property insurance:
From: 101-58900-505 – Judgments - $225 To: 101-58900-502 – Building & Contents Insurance - $225
Comm. P. Johnson moved, seconded by Comm. Throneberry to approve the budget transfer as requested. The motion passed unanimously by roll call vote. FINANCE DEPARTMENT: Paul Long, Finance Director, requested approval of the following budget transfer to cover the increase in dues to various professional organizations: From: 101-52100-169 – Part Time Personnel - $85 To: 101-52100-320 – Dues & Memberships - $85
Comm. Sandlin moved, seconded by Comm. Throneberry to approve the budget transfer as requested. The motion passed unanimously by roll call vote. SHERIFF’S DEPARTMENT: Chief Regina Nelson requested approval of the following budget transfer to provide adequate funding for the Jail Building Improvements for a security system, a transfer from Other Salaries & Wages for comp. buy out and needed overtime, and a transfer from Periodicals to Custodial Supplies: From: 101-54110-719 – Office Equipment - $12,500 To: 101-54210-707 – Building Improvements - $12,500
From: 101-54210-189 – Other Salaries & Wages - $ 9,000 To: 101-54210-187 – Overtime Pay - $ 9,000
From: 101-54210-437 – Periodicals - $ 3,250 101-54210-410 – Custodial Supplies - $ 3,250
Budget Minutes May 9, 2002 Page Five
Following discussion, Comm. Sandlin moved, seconded by Comm. Peay to approve the budget transfers as requested. The motion passed unanimously by roll call vote. Chief Nelson requested approval of the following budget amendment appropriating insurance proceeds from wrecked vehicles for the Maintenance/Repair of Vehicles Account. She advised at a previous Budget Committee meeting a discussion was held whereby the insurance proceeds would not be appropriated until later in the fiscal year. It was also stated at that time, if the Sheriff’s Department needed the money, they would be allowed to by-pass the Public Safety Committee and present the request for the insurance money directly to the Budget Committee:
Increase Revenue: 101-44520 – Insurance Recoveries - $32,928 Increase Expend.: 101-54110-338 – Maintenance/Repair Vehicles - $32,928
Following discussion, Comm. Sandlin moved, seconded by Comm. Peay to approve the request to appropriate insurance proceeds totaling $32,928 to the Maintenance/Repair of Vehicles Account as requested. The motion passed unanimously by roll call vote.
SHERIFF DEPARTMENT – UPDATE ON STATUS OF GRANTS: Sgt. Phillip Martin addressed the committee regarding upcoming grant applications. Relative to the Cops-In-Schools Grant, Sgt. Martin advised the Federal Government has decided to fund another round for School Resource Officers. He reported there would be three schools that needed SRO’s – Kittrell Elementary, Blackman Middle and Rock Springs Middle Schools. This is a three-year grant and is 100% funded regarding salary and benefits, which total $115,869. The only county outlay that would be required for these officers would be vehicles and equipment totaling $95,400. Sgt. Martin advised the reason this is urgent is because the first round of applications will begin on May 17. There is a subsequent round that will begin on June 14. He advised the May 17th round is the critical time they need to aim for. Sgt. Martin advised since the SRO’s do not engage in a lot of emergency traffic, they would use high mileage vehicles for them, and if new units needed to be purchased they would be put in patrol for the immediate response. Sgt. Martin stated the request is to allow the Sheriff’s Department to apply for the Cops-In-School Grant for three new SRO’s for three years, and if the grant is awarded the committee will be notified for final vote and final approval. It currently cost $27,000 to purchase and equip one unit and $4,800 to equip one officer. For the three officers the vehicle units would cost $81,000 and the cost to equip the three officers is $14,400. Chairman Evans advised the 2002-03 budget would have funding to purchase new units also. He wanted to know since that is the case, would there not be some vehicles with high mileage that could be passed on to the SRO’s at that time. The County Executive advised none of the grant positions, as well as the units and equipment, are in the current recommended 2002-03 budget. She stated she believed the county has a good chance to get the grant. Comm. Peay agreed also that since the new budget contains funding for vehicles, he would like to see the $95,400 for vehicles and equipment reduced, if possible.
Budget Minutes May 9, 2002 Page Six
Comm. P. Johnson stated the $500,000 recommended in next year’s budget for vehicles should purchase 17 or 18 vehicles, and that should make three vehicles available for the SRO’s. He stated over the last two or three years, the Budget Committee has approved approximately $1.5 million for vehicles, and at the last count there were approximately 59 vehicles less than three years old. Following discussion, Comm. Peay moved, seconded by Comm. Sandlin to allow the Sheriff’s Department apply for the Cops-In-School three year grant for three new SRO’s, including equipment for the officers to be 100% funded for salaries and benefits. Further to delete the request for the $81,000 for the three vehicles. It was noted that the $14,400 for equipment is normally a one-time cost and would be for the term of the grant. Following discussion, the motion to allow the Sheriff’s Department to apply for the Cops-In-School three year grant including officer equipment, but deleting the request for vehicles passed unanimously by roll call vote. Sgt. Martin next advised the committee for the first time in the S.T.O.P. Domestic Violence Program, law enforcement is being allowed to apply for a multi-year grant. Sgt. Martin explained the grant does provide funding for vehicles. He advised in the first year, the Sheriff’s Department would be requesting the vehicles and the equipment to be provided by the grant. He stated if the grant is awarded, they would be supplying the two new investigators with their vehicles and their equipment. Sgt Martin advised this is a three-year grant for two domestic violence investigators and is a 75% funded grant, with a 25% county match for the term of the grant. He reported the State is currently reviewing the grants, and he stated they would probably know around June 10. Comm. P. Johnson noted the county’s total obligation over the three years would be approximately $89,300. Comm. Jones noted she believed that was a good ratio when considering the Federal Government’s share would be over $250,000. A discussion was held about requesting reimbursement for the grants on a monthly basis. Sgt. Martin advised this is the first year relative to the Byrne grant, where a monthly reimbursement has been used. The Finance Director advised they would have to decide how the grant would be accounted for. He stated there would not have to be any budget action until the notice of the award is received. Following discussion, Comm. Sandlin moved, seconded by Comm. Jones to allow the Sheriff’s Department to apply for the 75%/25% S.T.O.P. Domestic Violence Grant for two new domestic violence investigators for three years. The motion passed unanimously by roll call vote. Sgt. Martin next advised the committee of an available grant through the Office of Community Oriented Policing, Universal Hiring Program. He reported the program and the funding had dissipated quite a bit in the past, but this year the Federal Government is offering enough money to make it advantageous to apply again. He reported the grant is time sensitive, and the first round of consideration will be May 24 to apply. The last round would be June 21. He advised it would probably be August or September before receiving notification of the award. Sgt. Martin provided a disbursement plan for patrol looking at the next two years. They are proposing to receive funding to hire 15 patrol positions, with four deputies hired in the first and second quarter of
Budget Minutes May 9, 2002 Page Seven
2002-2003, four officers hired in the 3rd and fourth quarter of 2002-2003, four officers to be hired in the fourth quarter of 2002-2003, and three officers to be hired in the first and second quarter of 2003-2004. He reported the COPS Office prefers that all positions be filled within 16 months of making the award. Sgt. Martin explained there was an issue regarding certification. If an officer is hired and cannot go to the academy to be certified within 12 months could a waiver be obtained. He reported he has been assured waivers have been granted in the past. Sgt. Martin advised this is a three-year grant with the federal funding and county match being 75%/25% the first year, 50%/50% the second year, and 25%/75% in the third year. The grant will only cover salaries and benefits. Vehicle units and equipment and officer equipment are not funded by the grant. The total for salaries and benefits to be funded for the first year is $497,550. The county’s portion would be $232,190. The amount needed for vehicles and equipment is $273,600. The total funding needed for 2002-2003 is $505,790. Sgt. Martin advised he had spoken with Sheriff Jones and informed the committee that this grant would not only be the request for patrol deputies for 2002-2003, but would also cover the 2003-2004 fiscal year request for officers. The Finance Director questioned that at the end of the fiscal 2002-2003 year there would be 12 new officers, but only 8 new vehicles. Sgt. Martin advised the last four officers that would be hired in the fourth quarter, would not be ready for the vehicles. He stated it would take time to get them processed, assigned and field trained. Chairman Evans stated since this is a three-year grant, and Sgt. Martin stated this would be enough patrol officers for two years, if they could not make it with these officers for three years? He stated if a commitment could be made to allow the grant to cover the officers for three years and hire them in on a staggered scale, then there would be an opportunity to have the Sheriff’s Department staffed where they need to be. Col. Gammon stated they currently have 49 road deputies. He stated it takes a year to get a deputy ready to perform. He stated they really need 32 deputies in order to give the proper service. He stated he did not know if they could commit to three years. He stated this is a catch up process. Sgt. Martin stated if it would assist in some way and with approval from Sheriff Jones, they may be able to delay hiring the last four deputies in the 2002-2003 fiscal year until the 2003-3004 fiscal year. He stated he could have a firm answer by May 14, when the Sheriff’s Department presents their budget. Col. Gammon stated since vehicles are already included in next year’s budget, if they could get the grant positions, they would be willing to delete the vehicles for the grant positions. This cost would be a saving of $216,000 on the UHP grant. Comm. P. Johnson clarified that with the concept of the 15 grant positions over the 2002-2003, 2003-2004 period of time; the Sheriff’s Department would be willing to forego the grant vehicles. With the $500,000 recommended in the 2002-2003 budget, the Sheriff’s Department would be willing to find the vehicles for the new grant officers to use, as well as the three new SRO’s. Chairman Evans stated this was a welcomed compromise. He reminded the committee when looking at the Development Tax during the budget process, they would need to leave the $500,000 in the budget for the Sheriff’s vehicles. Following discussion, Comm. Peay moved, seconded by Comm. P. Johnson to allow the Sheriff’s Department to apply for the three-year grant through the Office of Community Oriented Policing, Universal Hiring Program for 15 patrol positions with the federal funding to be 75%/25% the first year, 50%/50% the second year, and 25%/75% the third year. Further, the hiring of the 15 officers are to be staggered over 16 months, and the $216,000 requested for vehicles is to be deleted. The approval is also to include local funding for equipment for the officers at $57,600.
Budget Minutes May 9, 2002 Page Eight
Comm. Jones confirmed that the approval of this grant would suffice the Sheriff’s Department for patrol positions for a minimum of two years. Col. Gammon and Sgt. Martin confirmed that was correct per Sheriff Jones. Comm. Sandlin asked what would year four look like when the county begins fully funding the positions? The Finance Director advised it would be approximately $525,000 for just salaries and benefits. Comm. Sandlin stated there is also a three-year rotation on vehicles. Col. Gammon advised these 15 patrol positions would be assigned only to patrol for the term of the grant. He stated these positions are to patrol roads, serve warrants, transport prisoners and service the courts. The Finance Director advised it would cost the county approximately $169,000 the first year. In three years there would be a total of 64 patrol deputies (49 current plus 15) not counting supervisors. Sgt. Martin stated he would recommend the last four officers in 2002-2003 be moved to the 2003-2004 fiscal year. Following discussion, the motion to approve the Sheriff’s Department applying for a grant for 15 patrol positions to be hired over a staggered period of time through the Office of Community Oriented Policing, Universal Hiring Program to include local funding for officer equipment and deleting the $216,000 for the grant vehicles passed unanimously by roll call vote. A discussion was held as to whether the grants needed to be forwarded to the full commission for ratification. Chairman Evans stated until it was necessary to allocate funds, he did not believe it would be necessary to send it to the full commission. Comm. Sandlin stated he would like to send it to the commission to make them aware of it and to be expecting it. Comm. Sandlin stated he believed Chairman Evans could mention it at the end of the Budget Report during the commission meeting. Chairman Evans agreed to report to the commission that the Budget Committee has approved allowing the Sheriff’s Department to apply for the grants. SOLID WASTE/SANITATION FUND BUDGET AMENDMENT: Finance Director Paul Long requested approval of the following budget amendment to provide funding to pay the deductible for a claimant who fell at a convenience center:
From: 116-39000 – Undesignated Fund Balance - $1,500 To: 116-58900-505 – Judgments - $1,500
Chairman Evans turned the meeting over to Vice Chairman Ealy. Comm. Sandlin moved, seconded by Comm. Throneberry to approve the budget amendment as requested. The motion passed by roll call vote with Comm. Peay and Chairman Evans being absent at that time.
LOCAL PURPOSE TAX FUND BUDGET AMENDMENT: Finance Director Paul Long
requested approval of the following budget amendment to provide funding to pay
expenses for the Stewartsboro Road project. The Budget Committee and the County
Commission previously approved a budget amendment for $11,230 from the
Development Tax to pay expenses relative to the Stewartsboro Road improvements.
The invoice totaled $13,020.39. Therefore, additional funding is needed: Budget Minutes May 9, 2002 Page Nine
From: 120-39000 – Undesignated Fund Balance - $1,800 To: 120-91200-309 – Contracts w/Government Agencies - $1,800
Comm. P. Johnson moved, seconded by Comm. Sandlin to approve the budget amendment as presented. The motion passed by roll call vote with Comm. Peay and Chairman Evans being absent at that time.
GENERAL PURPOSE SCHOOL FUND BUDGET AMENDMENTS: Mr. Jeff Sandvig, Assistant Superintendent, requested approval of the following budget amendments that cover changes that need to be made to the 2001-2002 budget because of changes the state made to the chart of accounts. After the amendments are approved, journal entries will be used to reclassify the expenditures:
From: 141-71100-599 – Other Charges - $ 62,000 To: 141-71100-535 – Fee Waivers - $ 62,000
From: 141-72130-399 – Other Contracted Services - $ 92,000 To: 141-72130-309 – Contracts w/Government Agn. $ 92,000
From: 141-72210-129 – Librarians - 21,670 141-72210-201 – Social Security - 1,344 141-72210-204 – State Retirement - 807 141-72210-212 – Employer Medicare - 315 141-72215-123 – Guidance personnel - 47,544 141-72215-201 – Social Security - 1,604 141-72215-204 – State Retirement - 962 141-72215-212 – Employer Medicare - 375 141-72215-429 – Instructional Supplies/Mat. 100
To: 141-71150-123 – Guidance personnel - $ 47,544 141-71150-201 – Social Security - 2,948 141-71150-204 – State Retirement - 1,769 141-71150-212 – Employer Medicare - 690 141-72215-129 – Librarians - 21,670 141-72215-499 – Other Supplies/Materials - 100
From: 141-72310-399 – Other Contracted Services - $ 30,000 To: 141-72310-533 – Criminal Invest. Of Applicants- $ 30,000
Mr. Sandvig advised the total of the amendments is $258,721. Comm. Throneberry moved, seconded by Comm. Sandlin to approve the budget amendments as requested. The motion passed by roll call vote with Comm. Peay being absent at that time.
REQUEST FOR ROOF REPAIRS AT VARIOUS SCHOOL LOCATIONS: Mr. Jeff Sandvig and Mr. Tim McLaughlin addressed the committee regarding a previous request for roof repair/replacements. At the April 4th meeting, the request for $1,723,500 was sent back to the Health & Education Committee for further review and it was requested that Mr. McLaughlin be in attendance to answer questions. The Health and Education
Committee sent the request forward to the Budget Committee recommending the roof
repair of David Youree, Adult Education, Central Annex and La Vergne High at an
estimated cost of $1,800,000. Budget Minutes May 9, 2002 Page Ten
Comm. Throneberry stated he thought this item was going to be placed in next year’s budget. Chairman Evans advised the School Board had tabled the request for two months due to the discussion at the Budget Committee; however, the Health & Education Committee voted to send the request on to the Budget Committee at this time. Chairman Evans stated one reason to consider it or not consider it was that the county would be going to the bond market probably before June 30. The Health & Education Committee sent it forward to be discussed and considered. The committee discussed that it appeared the priority was for the Christiana Middle School instead of repairing the roofs and installing the air conditioners. Mr. McLaughlin advised there are 10 roofs that are leaking badly. He reported the roofs have been listed in priority order based on the age of the roof and the amount of leaks. He advised the estimated cost to repair the 10 roofs is approximately $4 million. The Finance Director asked Mr. McLaughlin with all that has happened on the Siegel Stadium, what was the status of that project? Mr. McLaughlin advised he did not know at this time what the Board would do. The Finance Director stated the project was approved several months ago, and if the money had been borrowed at that time, the county would be several months into the three-year arbitrage period. He stated he was apprehensive about borrowing money in advance of definitely knowing the project is going to be started. He asked if the $1.8 million for roof repair/replacements could be substituted for the Siegel Stadium in the next bond issue and postpone borrowing that money until next calendar year or next spring? Mr. McLaughlin advised the bids for the stadium would be opened May 14. He advised the location of the stadium might or might not change. Mr. Long stated that more than likely the contract for the stadium would not be opened until after July 1. Mr. McLaughlin stated that might not necessarily be true. He stated he could not speak for the Board, because they have not acted on it as yet. Chairman Evans stated the Board could not over-ride the BZA, so the Board would have to make some change. Mr. McLaughlin stated he did not know if that was the case. He stated he did not know if the Board had the ability to go ahead with the project without the BZA’s approval. Comm. Jones asked if initially when they were given a copy of the plat, was the stadium at a different location, next to Thompson Lane? Mr. McLaughlin stated when the middle school was presented; it showed the Siegel High School. However, the only thing being considered was Siegel Middle School. He stated in the preliminary design, the high school was where the middle school is located, and the middle school was where the high school was located. The stadium was placed in the middle of them. When the design and the topography was begun, the high school would not fit on Thompson Lane and the two schools had to be switched. The same thing happened with the stadium. The stadium site that is being discussed was from an old drawing. The Finance Director
advised there were various projects that have been approved, but not yet funded;
or have been committed to in some form. He stated there are $23,680,000 in
bonds that are approved for issue. He stated that includes the Siegel Stadium,
Christiana Middle, Oakland & Riverdale HVAC, and Blackman and Rock Springs
Middle Furniture, Fixtures and Equipment. He stated there are two other Budget Minutes May 9, 2002 Page Eleven
projects that have been approved, and the County Commission has expressed their intent to fund them, but it has not been decided how to fund them. The La Vergne Library at $1.5 million was approved with funding to be from the General Fund with the right to be reimbursed at a later date. He reported the county has not been billed anything on the La Vergne Library, but he wanted to know if the committee wanted to include this project in the next bond issue. Also, the County Commission approved an additional $146,000 for the Christiana Middle Construction, which has not been funded at this time. Mr. Long reported there is approximately $4.2 million in road improvement projects. He stated the Siegel Road project is imminent. He stated the Manson Pike and Beesley Road improvements have also been approved. Mr. Long stated the entire projects combined total slightly less than $30 million of potential debt, not including the $1.8 million for roofs. He advised the principal and interest requirements on a $30 million bond issue to be sold in the next several weeks has been included in the 2002-2003 Debt Service budget. Mr. Long reported the General Purpose School Fund ending balance would be low. He stated it has been used about all it can. The Finance Director advised the Debt Service Fund ending balance is ample to be able to absorb some reduction. The proposed 2002-03 budget has about a $1.5 million reduction in the ending fund balance. The Finance Director recommended that part of the $30 million be deferred. He stated all of the $30 million did not need to be borrowed now. He advised the City of Murfreesboro usually does not bill anything until the end of the project, and that funding for the Siegel Road could be delayed. He advised that some of the road projects could probably be delayed for at least a year. He also recommended delaying borrowing the money for the Siegel Stadium until next Spring. He stated the county could get by with only borrowing $24 to $25 million, and the roofs could be included. Following discussion, Comm. Sandlin moved, seconded by Comm. Throneberry to request the School Board to find the $1.8 million for the roof repair/replacements within either the General Purpose School Fund budget or School Building Program budget, and report back to the Budget Committee next month. Comm. Sandlin stated in the school system, itself, he believed there was plenty of excess money. He stated there are very few unfinished projects. He believed the School Board was going to have to look within themselves. He stated since the Superintendent reported to the full commission that they need Christiana Middle School so badly that they are going to take out the air conditioners and roof repairs for a number of schools, then they should be able to find the money within their funds. He stated he did not think it would be that difficult for the School Board to find the $1.8 million. Following discussion, the motion to request the School Board to find the $1.8 million within either the General Purpose School Fund budget or the School Building Program budget for the roof repair/replacements passed by roll call vote with Comm. Ealy voting “no”, and Comm. Peay being absent. RECOMMENDATION FOR FUNDING FOR FLOOD STUDY: Comm. Grant Kelley and Mr. John Davis, Planning Director, addressed the committee relative to the recommendation from the Public Works Committee to fund $150,000 to start a drainage study contingent upon Murfreesboro, Smyrna, La Vergne and Eagleville participating financially on a pro-rata basis with the priority recommendation of the Planning Commission Sub-Committee to begin with the lower east fork and middle east fork of the Stones River. Comm. Kelley provided a copy of the drainage basins for Rutherford County. Comm. Kelley reported the Public Works Committee addressed the request of the Budget Committee to recommend a priority area to be studied. He also advised a sub-committee from the Planning Committee met to consider the priority area. Comm. Kelley advised this
area includes the Greenwood Estates, and Mr. Davis stated it also includes the
Twin Oaks area. Budget Minutes May 9, 2002 Page Twelve
A discussion was held regarding the funding requested for $150,000. Mr. John Davis advised this was an estimate that was used from costs that were determined when Nashville did their drainage basin studies. He stated this was a general estimate. Mr. Davis stated he believed the study of this area could be completed with that money, and maybe even less. Chairman Evans asked if anyone had discussed the possibility of the PBA participating in this project? Comm. Kelley stated that had not been discussed. He stated he did not know if this was the type of project that would be conducive to that. Mr. Davis stated this was more of an engineering type study instead of brick and mortar and architecture. He stated there would be some design, but the design would be more of a general aspect. Comm. Sandlin stated he had been fighting for the county to do something about drainage for 12 years. He stated he lives in the Stewart Creek area, and there are plenty of drainage problems there. He stated one big interpretation he has received from individuals is that the county is going to solve their drainage problems. He stated that is not the case. This is a study for $150,000 for this one area. He stated his major concern is what is the county’s responsibility legally? He asked what the county is going to do after the study is completed? He stated no funding mechanism has been established, and the county failed to change the Highway Department to a Public Works Department. He stated he did want to spend $150,000 of taxpayer dollars on something the county is not going to do anything about. He stated he believed more money would have to be spent after the study is completed for engineering. He also wanted to know what was the liability of the county. He stated the County Attorney has stated the county would be liable. Comm. Kelley stated the Steering Committee is proposing a Private Act to expand the Highway Department to work off of the right-of-way and to do maintenance. Comm. Kelley stated the main thing the Public Works Committee wanted to do is to get some funding started, because when grants are applied for there is a better chance of receiving money if some funding has already be supplied locally. There is a possibility the county could receive $1,500,000 from the Corps of Engineers. Comm. Sandlin stated he was not against the study, but he did not believe all of the questions had been answered. Chairman Evans stated once the study is completed, that will give a road map, and if engineering is required. If the Highway Department is allowed to clean the ditches by virtue of changing the Private Act, that will release the county of any liability. He stated if the county spends the money on the study, then he believed there must be a commitment that the county will follow through. Mr. Davis stated whenever the county does any infrastructure, whether it is a new building, a bridge, a road, etc., this causes a change in the environment that develops a liability if it is not designed properly or built properly, or if it fails. He stated that is why builders, architects, and engineers are paid. He stated there is always liability. Comm. Jones stated she perceived this to be a study that will provide information to the county to be used as a tool when the Planning Commission is considering development. She stated this should have been done long before now. She stated the more development you have, the worse the situation gets. She stated currently there is nothing to use as a tool in terms of information with regard to drainage and flood reduction. She stated she did see it as a very important project that needs to go forward. County Executive Allen stated this has not been included in the 2002-03 budget recommendation. She advised this recommendation was made after the budget presentation. She reported the $1,500,000 amount resulted from a meeting she had with Del Corbitt and two representatives from the Corps of Engineers and a representative from Congressman Bart Gordon’s office. She stated they are potentially looking at asking for an appropriation to study the entire basin for Rutherford and Cannon County. She explained there is another Corp of Engineer program, which is drainage mitigation money. She advised Budget Minutes May 9, 2002 Page Thirteen
they can do a study up to $100,000, which is a 100% funded by the Corp under this program. There is an opportunity for this to be studied through the Corps, as well. The County Executive stated it was the feeling of the Public Works Committee, if the $150,000 was appropriated, it might move the project faster. She advised it would probably still take 60 days to issue a Request for Proposal, interview engineers, and make a determination as to who would be selected. She stated the Corp might start the study fairly soon. She also advised a meeting had been scheduled with all of the municipalities regarding the issue of the entire drainage study. Relative to the issue of the recommendation from the Steering Committee, the County Executive advised she had met with the County Attorney and would be meeting with Comm. Jernigan, the Road Superintendent and the Chairman of the Public Works Committee to talk about what the Steering Committee is sending forward regarding the Private Act. The County Executive advised the Corp would require if they do a study and make a recommendation for funds for remediation or corrective action, that the county would be obligated to perform the maintenance. Chairman Evans stated since the County Executive has to issue an RFP, which will delay the process approximately 60 days, the PBA could certainly interview and solicit bids and expedite this project. He stated the PBA could possibly have the project done in half the time. Comm. Jones stated that at least two or three of the PBA members had a background in engineering. She stated that they would probably be a tremendous asset to contribute to this study. Chairman Evans stated he believed they would take it and expedite the process. Mr. Davis stated he believed the study could be done for $100,000 to $125,000. Following discussion, Comm. Sandlin moved, seconded by Comm. Ealy to appropriate $100,000 to start a drainage study of the drainage basin of the lower east fork and middle east fork of the Stones River. Comm. Jones stated if the requested amount of $150,000 was appropriated as recommended by the Public Works Committee that the PBA would not spend any more money than necessary. She stated she was comfortable in moving forward with the amount as recommended by the Public Works Committee. Comm Sandlin changed his motion, seconded by Comm. Ealy, to appropriate $100,000 to start a drainage study of the drainage basin of the lower east fork and middle east fork of the Stones River utilizing the Public Building Authority to expedite the process, solicit proposals, and start interviewing. Mr. Davis stated in the motion from the Public Works Committee there was a contingency that the municipalities of Murfreesboro, Smyrna, La Vergne and Eagleville participate in the funding on a pro-rata basis. Comm. Jones stated if this is contingent upon on the municipalities participating and if any one of the municipalities say no, then it would jeopardize the study. It was agreed to vote on the motion on the floor, and if anyone wanted to make another motion relative to the municipalities participating, that could be done as a separate motion. The Finance Director asked if the committee wanted to fund this now? Chairman Evans stated they wanted the funding available. The Finance Director advised the $100,000 could be appropriated as a transfer from the General Fund to General Capital Projects to create a project in Fund 171. Otherwise, if the money stays in the General Fund, the unobligated portion will lapse at June 30.
Budget Minutes May 9, 2002 Page Fourteen
Following discussion, the motion to appropriate $100,000 from the General Fund to start a drainage study on the drainage basin of the lower east fork and middle east fork of the Stones River utilizing the Public Building Authority, and request that the PBA immediately start the process of selecting a firm passed by roll call vote with Comm. Peay being absent. Comm. Jones moved, seconded by Comm. Ealy to request the PBA to require the firms bidding on the project to provide a range of costs to perform a drainage study of the entire county. The motion passed by roll call vote with Comm. Peay being absent. Comm. Sandlin moved, seconded by Comm. Throneberry to request the municipalities participate in the funding of the drainage study on a pro-rata basis but that the county is to proceed with the study regardless. Chairman Evans stated they could ask the cities to participate with the best formula that would be fair to all parties to be determined and provided to the full commission on May 16. Following discussion, the motion to request the municipalities participate in the funding of the drainage study with the formula to be determined, but that the county is to proceed with the study whether the cities participate or not passed by roll call vote with Comm. Peay being absent. APPROVE BOND RESOLUTION TO FUND LA VERGNE LIBRARY: As mentioned earlier, the Finance Director asked the committee to give him some direction on whether a bond resolution is to be prepared to fund the La Vergne Library, as well as any of the other projects included on the list. He stated La Vergne has assured him they will begin billing the county around July 1. The original idea was to fund the project temporarily from the General Fund. The committee was asked if they wanted to approve the funding now in advance. He also asked the committee about funding the additional $146,000 for Christiana Middle School. The Finance Director suggested postponing as much as possible. He stated the bonds could be approved now, but could be sold later. Following discussion, Comm. P. Johnson moved, seconded by Comm. Throneberry to approve a bond resolution not to exceed $1.5 million for the purpose of funding the county’s portion of the La Vergne Library. The motion passed by roll call vote with Comm. Peay being absent. AGRICULTURE EXTENSION BUDGET AMENDMENT: Mr. Joe McKenzie, Agriculture Extension Director, requested approval of the following budget transfer to provide funding for two more meetings for the board members and to provide adequate funding for the utilities for the remainder of the year: From: 101-57100-307 – Communications - $700 To: 101-57100-191 – Board & Committee Members Fees - $700
From: 101-57100-335 – Maintenance/Repair Buildings - $2,000 To: 101-57100-452 – Utilities - $2,000
Comm. Throneberry moved, seconded by Comm. Jones to approve the budget transfer as requested. The motion passed
unanimously by acclamation.
There being no further business to be presented at this time, Chairman Evans declared the meeting adjourned at 9:12 P.M.
_________________________________ Elaine Cawthon, Secretary |
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