HomeMy WebLinkAboutFinance September 10 20021
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DISCLAIMER: This document contains the Whatcom County Council or Committee
minutes, as approved. However, unless an attested signature page is attached, they
are not the final approved minutes.
WHATCOM COUNTY COUNCIL
Finance and Administrative Services Committee
September 10, 2002
The meeting was called to order at 12:06 p.m. by Committee Chair Sam
Crawford in the Council Chambers, 311 Grand Avenue, Bellingham, Washington.
Present: Absent:
Dan McShane None
Sharon Roy
Also Present:
Laurie Caskey- Schreiber
COMMITTEE DISCUSSION AND RECOMMENDATION TO COUNCIL
1. ORDINANCE AMENDING THE 2002 BUDGET, 9T" REQUEST (AB2002-
311)
Dewey Desler, Deputy Administrator, stated the first request is for continuing
engineering being recommended by many to redevelop the emergency
communications systems that serve public safety agencies. There is no impact to
the general fund. The revenues have been found to pay for phase II of engineering
work with Palidor, which conducted the first phase of this effort. Other issues are
payment issues with the Treasurer's Office and Public Works Department to pay
general obligation bonds with revenue.
McShane asked about the Palidor contract. He doesn't recall what "FARS" is.
Desler stated FARS is a group that includes all the fire districts and fire departments
in the community that have contributed money to do joint development efforts.
This is a key development effort and their top priority. This effort has been under
way for four or five years. Oftentimes, emergency response agencies cannot
communicate with each other. They are trying to create inter - operability, so fire,
law enforcement, and emergency management staff can all communicate. 'LEARN"
stands for law enforcement administrative radio network. It is an organization that
manages law enforcement communications for four counties.
McShane asked if there is a rough idea on what the cost will be in the end.
Desler stated he predicts it to be millions of dollars to revamp the communications
systems in the community. They have to get the engineering done to get better
estimates. Many of the systems are 30 years old. It is a key issue resulting from
the attack on America last year and the pipeline disaster in Whatcom County three
years ago. It is designed to meet their needs for 20 or 30 years. There can be
different ways to pay for it. A settlement will come down from the pipeline
explosion. They are talking about using funds for future preparedness systems.
Finance and Administrative Services Committee, 9/10/2002, Page 1
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DISCLAIMER: This document contains the Whatcom County Council or Committee
minutes, as approved. However, unless an attested signature page is attached, they
are not the final approved minutes.
Rural sales tax money could be used to pay for part of this. There are other
sources, including the general fund, bonds, and other sources. At the point they
start building the system, they would have to go to the public or all major
jurisdictions in the community to help support the system.
Roy moved to recommend approval to the full Council.
Motion carried unanimously.
COUNCIL "CONSENT AGENDA" ITEM
1. REQUEST AUTHORIZATION FOR THE EXECUTIVE TO AWARD BID #02-
72 TO THE LOWEST RESPONSIVE BIDDER, NC MACHINERY CO., FOR
THE PURCHASE OF AN ARTICULATED WHEEL LOADER FOR PUBLIC
WORKS MAINTENANCE AND OPERATIONS IN THE AMOUNT OF
$177,649.01 (AB2002 -318)
McShane moved to recommend approval.
Motion carried unanimously.
2. REQUEST AUTHORIZATION FOR THE EXECUTIVE TO ENTER INTO A
CONTRACT FOR SERVICES AGREEMENT BETWEEN WHATCOM COUNTY
AND MOSS ADAMS ADVISORY COMMITTEE FOR NECESSARY AUDIT
AND CONSULTING SERVICES IN THE AMOUNT OF $30,000 (AB2002-
319)
Shirley Forslof, Auditor, stated this fund was authorized by the County
Council to do a study of the internal structure to insure they are functioning the
way they should. An outside committee recommended Moss Adams.
Roy moved to recommend approval.
Motion carried unanimously.
3. REQUEST AUTHORIZATION FOR THE EXECUTIVE TO ENTER INTO A
LEASE AGREEMENT BETWEEN WHATCOM COUNTY AND FRIESON
ELECTRIC INTERNATIONAL FOR WAREHOUSE SPACE TO STORE
ELECTION EQUIPMENT AND SUPPLIES IN THE AMOUNT OF $35,100
(AB2002 -320)
Roy moved to recommend approval.
Motion carried unanimously.
Finance and Administrative Services Committee, 9/10/2002, Page 2
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DISCLAIMER: This document contains the Whatcom County Council or Committee
minutes, as approved. However, unless an attested signature page is attached, they
are not the final approved minutes.
4. REQUEST AUTHORIZATION FOR THE EXECUTIVE TO ENTER INTO A
CONTRACT BETWEEN WHATCOM COUNTY AND SUDDEN VALLEY
COMMUNITY ASSOCIATION FOR THE PLACEMENT OF PERMANENT
RESTRICTIVE COVENANTS ON 47 SUDDEN VALLEY LOTS PURCHASED
BY SUDDEN VALLEY COMMUNITY ASSOCIATION DURING THE 2001
TAX FORECLOSURE AUCTION, OR IDENTIFIED SUBSTITUTE LOTS,
FOR PARTIAL REIMBURSEMENT OF THEIR ASSOCIATED COSTS FROM
THIS PURCHASE IN THE AMOUNT OF $14,466 (AB2002 -321)
McShane stated this program has been going on for some time. He's heard
complaints that they are putting development restrictions on lots that are difficult
anyway. He asked how these lots, especially the substitute lots, tie in with the
criteria map for purchases of easements and development rights.
Erika Stroebel, Resources Planner, stated the substitute lots are all high
priority. They are all undeveloped parcels with the potential for development.
Sudden Valley, as it is purchasing property, is looking at properties that are more
easily developable and that do not have a water quality impact. That is why there
are substitute lots. A lot of steep slopes are being developed in Sudden Valley. It
is a wise investment in terms of land preservation. They are working with other
groups and spending less money. It is a good way to go. It is cost effective land
preservation. The City of Bellingham is interested in working with Sudden Valley in
this program this year.
Roy asked what a substitute lot is. Stroebel stated lots were purchased in
foreclosure. Sudden Valley identified target lots for restrictive covenants. They
looked at lots that Sudden Valley is currently holding, and identified high - priority
lots to receive the development restriction.
McShane asked what happens to the lot that can be developed. Stroebel
stated Sudden Valley could sell it or hold it for future restriction. The lot may have
been acquired by a method other than tax foreclosure.
McShane moved to recommend approval.
Motion carried unanimously.
S. REQUEST AUTHORIZATION FOR THE EXECUTIVE TO ENTER INTO A
CONTRACT AMENDMENT BETWEEN WHATCOM COUNTY AND
HALVORSON & SANDERS, PLLC, FOR LABOR LEGAL COUNSEL
REPRESENTATION IN THE AMOUNT OF $24,500, WITH A TOTAL
AMENDED CONTRACT AMOUNT OF $39,000 (AB2002 -322)
McShane moved to recommend approval.
Motion carried unanimously.
Finance and Administrative Services Committee, 9/10/2002, Page 3
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DISCLAIMER: This document contains the Whatcom County Council or Committee
minutes, as approved. However, unless an attested signature page is attached, they
are not the final approved minutes.
6. REQUEST AUTHORIZATION FOR THE EXECUTIVE TO ENTER INTO A
CONTRACT FOR SERVICES AGREEMENT BETWEEN WHATCOM COUNTY
JUVENILE SERVICES AND WHATCOM DISPUTE RESOLUTION CENTER
TO ADDRESS THE NEEDS OF YOUTHFUL OFFENDERS AND HIGH -RISK
GIRLS IN THE AMOUNT OF $46,745 (AB2002 -323)
Dewey Desler, Deputy Administrator, stated they received a grant through
the Juvenile Justice Advisory Committee. It is a three year grant. Grant money is
passed on to the Dispute Resolution Center. Whatcom County retains five percent
of the cost of the grant for administrative costs. The administration recommends
the program.
McShane moved to recommend approval to the full Council.
Roy asked how they select this grant, as opposed to something else. She
asked how the County was notified of this program. Desler stated this program has
been going on for about 25 years. The Governor's committee will pick out issues it
wants to work on, and then asks for proposals. Whatcom County submitted an
application with the Dispute Resolution Center. The State selects a general focus,
and the County responds with more specific issues based on problems in Whatcom
County. Whatcom County has been one of the most successful counties that tap
into this grant source.
Motion carried unanimously.
7. REQUEST AUTHORIZATION FOR THE EXECUTIVE TO ENTER INTO A
GRANT AGREEMENT BETWEEN WHATCOM COUNTY PUBLIC WORKS
AND THE DEPARTMENT OF ECOLOGY CENTENNIAL CLEAN WATER
FUND TO BE USED TO SUPPORT THE DEVELOPMENT AND
IMPLEMENTATION OF A LONG -TERM WATER QUALITY MONITORING
PROGRAM AS REQUIRED IN THE WRIA 1 WATERSHED MANAGEMENT
PLAN IN THE AMOUNT OF $250,000 (AB2002 -324)
Bruce Roll, Water Resources Division Manager, stated this is a grant for the
monitoring plan identified in the water resource inventory area (WRIA) project. It
will help them deal with implementation issues.
Roy moved to recommend approval to the full Council.
Motion carried unanimously.
S. REQUEST AUTHORIZATION FOR THE EXECUTIVE TO ENTER INTO A
CONTRACT BETWEEN WHATCOM COUNTY PUBLIC WORKS AND THE
WASHINGTON STATE DEPARTMENT OF ECOLOGY CONSERVATION
CORPS FOR SALMON RECOVERY ACTIVITIES WITH AN EMPHASIS ON
THE TEN MILE CREEK WATERSHED IN THE AMOUNT OF $65,000
(AB2002 -325)
Finance and Administrative Services Committee, 9/10/2002, Page 4
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DISCLAIMER: This document contains the Whatcom County Council or Committee
minutes, as approved. However, unless an attested signature page is attached, they
are not the final approved minutes.
McShane moved to recommend approval to the full Council.
Roy asked the term on this agreement.
John Thompson, Resources Planner /Endangered Species Act, stated the term
is October 1, 2002 through September 30, 2003. It is a new contract for the next
year, although they've done this before.
Roy asked if these are the people who work with the Nooksack Salmon
Enhancement Agency (NSEA). Thompson stated it is. There are four conservation
crews in Whatcom County. This crew is funded by the Water Resources fund, and
is supervised by NSEA. The dollar value has gone up this year. This year, they
want the crew to focus on projects in the Ten Mile Creek watershed.
Motion carried unanimously.
9. REQUEST AUTHORIZATION FOR THE EXECUTIVE TO ENTER INTO AN
INTERLOCAL AGREEMENT BETWEEN WHATCOM COUNTY PUBLIC
WORKS, AS GRANT ADMINISTRATOR FOR THE MARINE RESOURCES
COMMITTEE, AND THE CITY OF BELLINGHAM FOR FORAGE FISH
HABITAT AND COMMUNITY PARTNERSHIPS - THE CITY OF
BELLINGHAM WILL ACT AS THE LEAD AGENCY FOR COORDINATING
THE FORAGE FISH INVENTORY IN WHATCOM COUNTY AND
COORDINATE THE 2002 MARINE SUMMIT IN THE AMOUNT OF
$21,500 (AB2002 -326)
Roy moved to recommend approval to the full Council.
Motion carried unanimously.
10. REQUEST AUTHORIZATION FOR THE EXECUTIVE TO ENTER INTO THE
WHATCOM CHIEF FERRY INSURANCE RENEWAL FOR POLICY YEAR
9/30/02 THROUGH 9/20/03 IN THE AMOUNT OF $27,915 (AB2002-
327)
McShane moved to recommend approval to the full Council.
Motion carried unanimously.
11. REQUEST AUTHORIZATION FOR THE EXECUTIVE TO ENTER INTO A
CONTRACT FOR SERVICES AGREEMENT, IF APPROVED IN
SUPPLEMENTAL BUDGET REQUEST #9, BETWEEN WHATCOM COUNTY
SHERIFF'S DEPARTMENT AND PALIDOR, RADIO COMMUNICATIONS
CONSULTANTS, LTD. TO ACT AS PROGRAM MANAGER FOR THE
WHATCOM COUNTY EMERGENCY RADIO SYSTEM IN THE AMOUNT OF
$65,000 (AB2002 -328)
Finance and Administrative Services Committee, 9/10/2002, Page 5
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DISCLAIMER: This document contains the Whatcom County Council or Committee
minutes, as approved. However, unless an attested signature page is attached, they
are not the final approved minutes.
McShane moved to recommend approval to the full Council.
Motion carried unanimously.
12. RESOLUTION ESTABLISHING A RETIREE HEALTH SAVINGS PLAN
WITH ICMA RETIREMENT CORPORATION'S VANTAGE CARE
RETIREMENT HEALTH SAVINGS PROGRAM AND CORRESPONDING
AGREEMENTS (AB2002 -329)
Dewey Desler, Deputy Administrator, stated the administration is prepared to
move forward. This is an effort to address high costs in health care that the
employees are experiencing. They discovered an opportunity to look at a way to
set up contributions to investment interests to pay later, tax -free, for health care
expenses. There haven't been any other counties in the state that have
implemented this because it is so new. An employee voluntarily contributes money
to a fund. The balance would grow on a tax -free basis. When the employee meets
certain criteria such as age or disability, the funds can be withdrawn for use tax -
free. It is a significant benefit. It is flexible and convenient. They want to try it
with an initial group of employees. If it works, they can try it with other groups.
The cost of the plan is modest, and paid by the employee. The County also must
pay a fee of $25 per participant. As more people enroll, the County will reach a
level where it doesn't have to pay. They would offer an enrollment period each
year. They are going to manage the plan through the same agency that does the
401 program. They were selected based on a request for proposals (RFP) process.
Once people elect to participate, the Internal Revenue Service (IRS) requires that
they don't turn back. They can vary this. The employee must also elect the
payment method upon separation.
Roy moved to recommend approval to the full Council.
Motion carried unanimously.
OTHER BUSINESS
Roy stated she would like the Finance Committee to formally request from
the administration a report on the evaluation that was funded in April 2001 for
evaluation of the Law and Justice projects. That evaluation is complete or ongoing.
She would like to see a report on it. She moved to ask the administration for a
report from the evaluation of the Law and Justice projects.
Dewey Desler, Deputy Administrator, stated he is clear on the request.
Motion carried unanimously.
Finance and Administrative Services Committee, 9/10/2002, Page 6
DISCLAIMER: This document contains the Whatcom County Council or Committee
minutes, as approved. However, unless an attested signature page is attached, they
are not the final approved minutes.
1 Crawford asked about refinancing a bond where they can get a better
2 payment rate. Desler stated they have been talking about it with the Financial
3 Management Committee. He can't provide a report on it right now. The County
4 has an excellent rate right now. He's not sure whether it would be worth the extra
5 cost. They are working on it.
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7 McShane stated Natural Resources Committee recommended a Purchase of
8 Development Right (PDR) program. It was not included for budget clearance. He
9 would like to discuss what this implies. This is a program that was put forward by
10 the administration to create a PDR program. The ordinance designates a program
11 administrator. The PDR director can designate someone or hire someone. It has
12 financial implications to manage the program. He's concerned that the County
13 Council might approve an ordinance and resolution, but nothing will happen
14 because there is not funding for the administrator. He asked the administration's
15 preferred direction.
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17 (Clerk's Note: End of tape one, side A.)
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19 Desler stated the administration would carry out what the Council orders.
20 This time of year, the administration is barraged with requests for additional
21 funding. On the PDR program, he can't provide a particular administrative
22 recommendation at this point. They are sifting through revenue and expenditure
23 issues. The administration will not ask for more staff. The administration will ask
24 what the County can give up in order to provide this new project. If the Council
25 priorities exceed Planning and Development Services (PDS) Department
26 capabilities, the administration will look at what can be given up in other parts of
27 County government.
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29 If they invest money in a PDR and transfer of development rights (TDR)
30 program, it will be a significant program for the County. Do that in ways that are
31 financially wise. The County is looking for fewer things to do. As they add another
32 project, they will have to look for even fewer things to do.
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34 Roy stated she is willing to help prioritize other services in order to do this, if
35 the Council approves this. It is becoming clear where this Council's priorities are,
36 and a lot of the priorities are in the Planning Department. She doesn't know how
37 that will affect the Council's vote tonight.
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39 McShane stated there are two ways of looking at setting policy. It is easy for
40 the Council to set policy through ordinances and resolutions. The Council needs to
41 look at financial implications. Land use issues are a big part of what this Council is
42 doing. In the long -term, some of the reasons there are general fund difficulties is
43 from bad planning. The other way policy is set is not driven by the Council, but it is
44 done through the budget. In the budget process, they need to look carefully on
45 how they are going to support programs and see what the administration's
46 proposals are. They may need to be prepared to let things go, raise taxes, or find
47 other revenue sources.
Finance and Administrative Services Committee, 9/10/2002, Page 7
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DISCLAIMER: This document contains the Whatcom County Council or Committee
minutes, as approved. However, unless an attested signature page is attached, they
are not the final approved minutes.
Caskey- Schreiber stated she supported providing a full -time equivalent (FTE)
employee to carry forward with the initial startup of the PDR program. They've just
invested $345,000 for capital facilities planning. It's important now to pay some
heed to this. This is the time to make these decisions about farmland. Don't let
this program fail because of lack of support from the Executive's Office.
Crawford asked the significance of not having a signature of approval for this
item from the purchasing /budgeting director. Desler stated this item didn't come to
him.
Desler stated this effort is not as high a priority as it was in the past. The
County doesn't have enough money for all its services. It's difficult to reduce
services. The administration does not propose a tax increase without a vote of the
people. A compromise may be, in the short term, to invest money to get some
grants off the ground. Even with doing that, it will mean they will have to continue
it on. Grants don't last forever.
Roy stated they need to have an honest discussion about priorities. She
considers this program equal to health and safety. What they do in terms of
planning is what Whatcom County will be in the future. This is critical. If the
Executive thinks it's not important, the Council needs to have a heart -to -heart
discussion with the Executive.
Crawford suggested that, during the next Finance Committee, the committee
discuss specific budget issues regarding this issue.
McShane stated that if this is approved at the night meeting, they should
have some discussion during the Finance Committee on how much it will cost and
how they can pay for it. This is a good program and he's interested in going
forward with it. It has some shortcomings. He's not willing to take the political
firestorm of not supporting a program like this. The community wants this.
Caskey- Schreiber stated they need to go after federal funds and leverage the
conservation futures fund, or else it won't work.
McShane stated that comes with a price. They need to understand that price
better than they do now.
ADJOURN
The meeting adjourned at 1:10 p.m.
Jill Nixon, Minutes Transcription
Finance and Administrative Services Committee, 9/10/2002, Page 8
DISCLAIMER: This document contains the Whatcom County Council or Committee
minutes, as approved. However, unless an attested signature page is attached, they
are not the final approved minutes.
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3 ATTEST: WHATCOM COUNTY COUNCIL
4 WHATCOM COUNTY, WASHINGTON
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8 Dana Brown - Davis, Council Clerk Sam Crawford, Committee Chair
Finance and Administrative Services Committee, 9/10/2002, Page 9