HomeMy WebLinkAboutFinance October 28 1992WHATCOM COUNTY COUNCIL,
FINANCE AND PERSONNEL COMMITi'EE
October 28, 1992
. The meeting was called to order at 9:30 a.m. in the Council Chambers, 1000 N.
Forest St., 2nd floor, by Marge Laidlaw, Chairperson.
Also present:
Bob Imhof
Ken Henderson
Absent:
Other Council staff present: Larry Harris and Barbara Brenner, Council members, and Bob
Woods, Budget Analyst.
PUBLIC WORKS: SOLID WASTE
Bob Jurica, Solid Waste Manager, discussed his goals for 1992 and 1993. The
temporary rates for UTC have been finalized." They are still studying the overall effect of
the garbage rates. The haulers should be coming in with new rate suggestions at the first of
the year. Rates should be finalized by the end of first quarter. The status of the hot line,
which had over 6,000 inquiries last year, remains about the same for this year. The plan is
to take this year's allocation for moderate risk wastes and put it with next year's amount.
The targeted date for an ordinance covering moderate risk waste has been delayed until
probably mid -year; the Health Dept. is involved. Assistance with the moderate risk waste
business will begin at the first of the year. The status of siting locations for moderate risk
wastes is that the City of Bellingham indicated the present site was adequate, but it isn't, so
another site must be found. Funds for new sites are being requested; SEPA needs to be
involved, among others, so the process won't be completed until later 1993 or early 1994.
Recomp and Construction Recyclers are still unsettled regarding rates. This should
be finalized by the end of the first quarter so that the haulers have rates to go to UTC by
the first of the year. At the least a draft will be in.
The option on a landfill at Cherry Point has been shelved. Landfills will be done on
a regional basis and garbage shipped to eastern Washington (Klickatat County). Recomp
has entered into a ten year arrangement with Rebanco. Liabilities to Whatcom County is
very slight.
The recycling program may end up periodically stockpiling stuff, but fortunately
people are still taking stuff, thanks to clean washing programs, etc. Paper is costing the
County close to $70 a ton - -they have to pay someone to take it off their hands. The County
is subsidizing the recycling program.
Woods asked about the four proposed anti -freeze depots. Two are opened, one at
Birch Bay and the other just opened in Bellingham. Data base for the solid waste exemption
process is another overwhelming project that. hasn't been completed. By the end of the year
another notice will go out to those who have not received an exemption or signed up for
service. Lack of consistent inputting has been a major problem. Once the final notice goes
out, then they begin working with the attorney's office about what's next for those who have
not complied.
Henderson asked about the slowness in getting their work going. Jurica explained
about the many departments involved in their work, about personnel changes, about other
issues that come up which spread the focus.
Laidlaw asked about the target for recycling percentages and current status. The
target is 44% by 1995. DOE's goal is 50 %. This isn't mandated; it's their hope. We're ahead
of other areas, thanks to curbside and other programs.
The litter and anti- scavenging ordinance has not been brought forward yet, but it's
being worked on. The Health Dept. is working on waste burning and burying regulations.
This is in the very rough draft stage. There have been meetings with DNR and the Air
Pollution Authority for working on this.
Laidlaw asked if the goals and objectives for 1993 were more than the department
could handle, considering that they had not been able to meet most of the 1992 goals. Jurica
said it may be a little bit on the optimistic side. He would rather shoot for a lot. Woods
asked how an additional half -time clerk will help them meet their goals. Jurica said having
someone to answer the phones and do clerical work in the afternoon would free time for
other staff. Also, part of what she would do is help build the data base.
Henderson asked about the data base program and its updating. Jurica said it was
tied to the parcel tax number. The Assessor's records was where they began. Henderson
wondered if it was going to be integrated with the other departments. Jurica said
information would be compared. There could be some connection with GIS, but their
concern is owner's site addresses.
Imhof asked about the complete closure of Cedarville. Jurica said that it was closed
in 1991, but open for receiving until later, probably in 1993. They're working on funding
grants for closures. They'll be able to get 60% funding; it's done for Cedarville.
Laidlaw asked about the $300,000 for professional services. Jurica said one of the big
items is the landfill closure design, $135,000 to $140,000. Education program has come down
from last year. There's a new project for market resource to build either new manufacturing
facilities that would use recycling content or developing markets in existing businesses. That
figure is about $50,000 to cover a contract with an individual to spend a year on this
program. More monies are being pooled with Bellingham's composting program. About
$20,000 is for yard waste reduction programs including a compost bin assistance program
and drop off places for woody yard wastes. The education program will cost about $150,000,
Finance Budget Minutes, 10128192, Page 2
which includes grade schools, hot lines, displays, etc.
Woods asked about the increases when only 39% of the allocations for this year have
been used. Jurica pointed out that a lot of the things that weren't done did not have a lot
of money tied to them. Brad Bennett, Public Works, said that Solid Waste didn't have
enough money this year to fund their projects. Bennett said that Solid Waste has been
preached at about not spending their money. Also, half the costs are not usually in by June;
the last half of the year is heavier. Bennett suggested changing Solid Waste to a special
revenue fund. He pointed out that Solid Waste is in a transition period. Woods asked about
drawing down the capital. Bennett explained the fund, and Woods and Bennett discussed
the handling of the fund and the accounting procedures, booked and liquid assets.
EQUIPMENT RENTAL & REVOLVING FUND
Bennett presented a 5 minute presentation on the budget comparing previous years
with 1992 and proposed 1993. Henderson asked about the $4 million increase from 1984 to
proposed 1993. Woods clarified; they're funding depreciation.
. On page 261, last paragraph of the narrative, Laidlaw asked if there were a typo. The
word not should be now. Bennett said no and explained the inventory system used with used
tires. Warren Laing, Fleet Manager, further clarified how new tires were tracked. The
questions persisted on inventory controls regarding used tires. Almost everything is
completely on the system now; everything will be shortly. Getting the tire record set up for
logging in and out is pretty labor intensive and isn't high on the priority list. Tire changing
and record keeping was discussed extensively. Imhof said that because of what the
information is from the state auditor and the questions asked here, it would be
advantageous to get these tires onto inventory control immediately.
Laidlaw asked about the 1992 goal of clearing obsolete inventory. Laing said he
hasn't received the final report from the auction, but a lot has been sold. Some of the things
that the state auditor wants moved are actually used during snow storms and other
emergencies and the shop needs them. About 75% of what the department considers
obsolete was cleared. The auction, guesstimate, brought in about $5,000 to $7,000.
__ Laidlaw asked about the 1991 and 1992 goal of tightening restrictions on the supply
room, particularly in light of the 1991 State Auditor's finding and its reoccurrence in the
1992 findings. Laing detailed who had access to the store, about 20 people. Prior to
tightening, almost anyone had access. The restrictions went into effect about September 1.
Brenner asked about the duties of the person staffing the store. Laing explained. The stores
are not always staffed because of the hours the person is there contrasted to the actual
hours that mechanics etc. work. There is no cross control of the merchandise. Harris asked
about weekends. Bennett said that there is a policy that no one use the facilities for personal
use. To Laing's and Bennett's knowledge, no one has been using the facilities for personal
use, but about 20 people have keys to the area. Laing said that about 80% of the inventory
Finance Budget Minutes, 10128192 Page 3
is now under control and inside the complex and locked. Bennett and Laing were asked
about shortages. Laing said there had been none, to his knowledge, since the incident last
spring. Bennett explained the inventory system used in the department and how it worked.
The Committee asked about the fuel inventory. Bennett explained about what happens when
the power goes out and how it is possible to lose count of gallons at this time. The checking
of the tanks for fuel and the tracking of fuel use were discussed at length. The only place
where zeroes can be entered is employee number and in mileage. The fuel must be assigned
to a vehicle. The Computech System was not used as a management tool.
Brenner asked if relatives of employees of the shop do work for the county? Bennett
said yes. Brenner asked who they were and what they did. Bennett said the biggest issue was
Lorenz' Welding because his brother, Don Lorenz, heads up Equipment Maintenance.
George Mead was the one who ordered the welding, not Don Lorenz. All business with
relatives has been explored. Those which went over the $1000 without going out to bid were
over due to the sales tax. Imhof asked if some of the jobs were broken into segments so that
they would fall into the under $1000 category. Bennett said he hadn't really looked into it,
but indications were that this hadn't happened. Phone quotes were discussed. Wayne Wilson
and Mead are both authorized to call for quotes. Laing himself has done some of the quote
work. Bennett said all the documentation had been pulled and checked for all expenditures
on welding. Brenner asked how many jobs went to Lorenz' Welding. Bennett counted 28
jobs out of 32 jobs that went to Lorenz. Lorenz got about $30,000 worth of jobs, basically
more than 90% of the work. Henderson asked if there were other vendors who got over
50% of the work in the category they do. Clauson Lime does, for instance, because of their
type of rock. Hardware Sales gets a lot of business. Brenner asked whether bidders had been
allowed to change their bids after the bids were closed. Bennett said that Nat Dickinson in
Purchasing handled all the bids, so she would have to ask him.
Laidlaw asked if the county was going out of the gravel business. If so, what happens
to the money and the people working on that? Bennett said that the people would be
reassigned to other Maintenance & Operations duties, filling other vacancies. Woods asked
why M &O wasn't given the budget for rock instead of ERR &R. Bennett said so that the
rock could be inventoried. John Tyler said they were going out to contract for the rock
because the crusher was 30 years old; it isn't worth putting more money into it. The rock
is for road chip sealing. He further explained the plans for the rock crushing program, such
as crushing river rock, saving hauling by using three or four sites, etc. The rock crusher is
being mothballed in the yard in case there is a future need.
Laidlaw asked why salaries are going up in stores by $20,000 when there's no increase
in staffing. Bennett said they are asking for an additional person in stores, an inventory
clerk. This person will enable further control of access to inventory in the stores.
Laidlaw asked about the six year plan, specifically about the Lottie Street
construction and demolition of the service station. These two items show as 1994 expenses
in the six year capital plan but are also included in the 1993 Buildings and Structures
Finance Budget Minutes, 10128192 Page 4
Expenses. Paul Rushing said these were budgeted through ER &R and are budgeted for 1994
because that's when the Courthouse building will be completed. It doesn't make sense to do
it earlier. Henderson asked why capital facilities like the roads were in revolving fiends.
Rushing said the ordinance shaping ER &R shaped what was classed as capital fiends and
what was classed elsewhere.
Laidlaw asked about the moving of the oil tanks. They were scheduled to be moved
this year, but weren't, and aren't in the budget for 1993. Laing explained the problems
involved, including personnel changes, the moving of all 4 tanks, problems with trucking
firms, means that this won't happen until 1994.
Laidlaw asked about the truck wash and the exhaust system in ER &R for 1993 and
not in the six year plan for 1993. Laing said part of it is done, but as they got into it, what
they had envisioned wasn't going to solve the problem. They have come back for a final fix.
Bennett said it was an oversight that it didn't show up in the six year capital plan.
Woods recapped the changes, listing the items that don't need to be in the 1993
budget and the two additions.
Brenner asked how many patrol cars there were in the county. Laing said 42. Barbara
asked how many tires were being used in a year - -going back several years. Laing said he
would get that information for her.
MAINTENANCE AND OPERATION
Bennett gave a 5- minute overview of M &O comparing 1978 through proposed 1993.
Laidlaw said that the estimates for road repairs seem to be low compared with what's
being accomplished. Jeff Monsen, Maintenance and Operation, said that it's because one
figure is lane mileage, the other figure is road mileage. Road mileage is half lane mileage.
Regarding road cracks, the 2500 feet is based on road length; the other feet is actual crack
length. Road cracking is very site specific.
Woods asked about the seven -year cycle. Monsen said that's the rule of thumb
everywhere; this may in actuality vary somewhat, but is pretty close to what can be expected.
Imhof asked about vehicle #275, the one of the three dump trucks which needs to
be replaced. Monsen said that #275 is the oldest dump truck we have, a 1975 Kenworth that
is used only as a last resort.
Imhof asked about the non - specific purchases that were budgeted. Monsen and Laing
explained that the specifics of the purchases hadn't been worked out, but they knew
generally what they would need and pretty much what the cost would be. Laing confirmed
this. Some of the new equipment is ditching equipment.
Finance Budget Minutes, 10128192 Page 5
Imhof asked, relating to the potential of contracting out certain jobs, about the
possibility of downsizing the crew. Monsen said that the county has not been getting all the
work done they should be doing, whether they contract out or not, . so there is work for all
personnel to do. The question is whether or not there is enough money to do it. Imhof
asked if there just wasn't enough State money to go around or where we not getting our fair
share? Monsen said we were getting our fair share based on the formula used for passing
out the funds, even though more was generated here than we got returned because of the
Canadian trade.
Laidlaw asked about "Road Undistributed" section of the Road Fund that had about
$40,000 for equipment. She asked about the relationship between M &O and Engineering
for this equipment. Bennett explained the bookkeeping rationale for this.
Woods asked about the actual road fund account. In 1991 the dept. ended up. 21/2
million in the hole because they budgeted beyond what came in. Is this a normal procedure?
Is it normal to budget dreams, then do what's possible? Bennett explained that often there
are projects that are expected which don't materialize or which are not completed. He also
pointed out that there is a positive balance in the department, thanks to more tax revenue
than had been budgeted, which they would like to use for cash flow purposes. The
department is bulk budgeting rather than project budgeting. Monsen pointed out that funds
came in from the federal government for flood repairs which helped increase the fund
balance.
14 . 6
Laidlaw asked if there were any questions about the Ferry as it is pretty straight
forward. The only request was to replace engines. Laing said it's impossible to get parts for
those old diesel engines and it would cost more to rebuild the engines than to replace them.
ENGINEERING
Ed Henken, County Engineer, explained how the department sets up its budget
requests. He recognized that the goals and objectives appear overly optimistic because some
of the things didn't survive the budget process.
Woods asked about the traffic and development division numbers. Henken said that
considerably more should be spent in traffic than is currently being spent. Traffic safety gets
pushed into the background; there's only one person working that area.
FLOOD CONTROL
Laidlaw asked how they planned to spend $2.6 million and to try to tie completion
dates to what was planned.
Finance Budget Minutes, 10128192, Page 6
Henken said that $3/4 million would be spent in the field in flood control. A single
project is on hold that will cost $1 million, but the department needs to plan for it and have
money in the budget for it. This is the Riverberry project; Canada is concerned about this
and the possibility that the Nooksack could conceivably switch to the Sumas drainage area.
Federal money will take care of about 62 1/2% of the project. There's some question about
property owners cost sharing in the project and the county has not agreed to pick up the
balance. The Executive has said she would work 70/30 on the local share, which would leave
the property owners to finance 30% of the county's share.
The Glacier Springs project also has federal funding coming in. At a recent meeting
four different options were discussed with the property owners out there, including buyout.
Originally federal money financed the project that was destroyed. Considering the extent of
the damage, is it worth doing? Federal funds would cover 87 1/2% with the same split on
local funds.
Henderson asked about projects that are stable now and on which Engineering is
moving ahead. Henken said that the current studies show that we're not as good now as we
were when the flood hit. Henderson asked about dredging the mouth of the Nooksack.
Henken said that there are problems in the cost sharing with the Corps. The reconnaissance
study has been done; now it's time to do the feasibility study done. The Corps is slow, but
Engineering hasn't been pushing. One of the river program positions was not filled until July
and there's still a position to fill. Another problem is the permitting process time element
which sucks up staff time. The Sumas drainage problem is nearly cleaned out. The only way
to fast track permitting is if there is a bonafide emergency; the Sumas situation wasn't
considered an emergency. Permits there finally came in August, so two years had to be
compressed into three months.
Henken said that there is no legal requirement to hold a hearing on the one -year
road program as there is on the six -year program. He asked that people be allowed to
comment when the one -year plan comes before Council.
Laidlaw asked how the percent is figured for roads and paths. Henken said it was
mandated by the RCW's. .
-- Laidlaw complimented Mary Scrimsher on the vegetation management program and
asked that this word be passed on to her.
Because there was no further business, the meeting was adjourned.
ATTEST: FINANCE & PERSONNEL COMMITTEE
l / ;
Nancy Assistant Clerk Marge Lai w, Chairman
Finance Budget Minutes, 10128192, Page 7