The Chippewa County Board of Commissioners met in Special Session on Friday, December 30, 2002 at 5:00 p.m. in the Courtroom of the Chippewa County Courthouse.

Present: Commissioners Ted Postula (5:07 p.m.), Don Cooper, Rita Dale, Bernard LaJoie, Aaron Hopper and Earl Kay

Absent: Chairman Gary McDowell

Also Present: Tim Dolehanty, Controller, Jim Moore, Richard Timmer, Dave Carpenter, Finance Director, Tim McKee, OES/9-1-1 Director, Scott Brand, Evening News, and Diane Cork, County Clerk

The meeting was called to order by Aaron Hopper, Vice-Chairman.

NEW BUSINESS:

Legislative and Natural Resources Committee Meeting – Earl Kay – 12-17-02

Chairman Kay asked C-L-M Community Action Agency officials to review issues related to the supportive housing grant. Michelle LaJoie explained that the public notice originally made for the Eastern Upper Peninsula Veteran Center Foundation, Inc. had to be resubmitted. Officials from the Michigan State Housing Development Authority (MSHDA) required a new notice showing Chippewa County as the sponsoring government agency. Ms. LaJoie conducted a conference call during the meeting in which state officials confirmed the notice requirement. It was also confirmed that the change would have no fiscal impact on the County or the grant.

It was moved by Commissioner Kay, supported by Commissioner LaJoie, to recommend approval of the amended notice of intent to request a release of funds for the Eastern Upper Peninsula Veteran Center Foundation, Inc. and to list Chippewa County as the sponsoring government agency. On a voice vote, the motion carried unanimously.

It was moved by Commissioner Kay, supported by Commissioner Dale, to accept the Legislative and Natural Resources Committee report as given. On a voice vote, the motion carried unanimously.

State Domestic Preparedness Equipment Grant – Tim McKee – OES Director

Mr. McKee explained in early 2001 Chippewa County was approved for a grant in the amount of $38,611 as pass thru funds for our County. This amount must be approved for expenditure prior to the end of this calendar year. He also explained that Chippewa County has received a grant in the amount of $55,000 for next year.

The Federal Government has put strict guidelines on what could and could not be obtained. It was Mr. McKee’s goal to obtain equipment that is both capable of being utilized in the present as well in the event of some type of disaster. A list of equipment and cost was presented to the County Board for their approval.

It was moved by Commissioner Dale, supported by Commissioner Kay, to approve the State Domestic Preparedness Equipment Grant expenditures in the amount of $38,610.96. Discussion followed. On a voice vote, the motion carried unanimously.

Blue Cross/Blue Shield Suffix Policy:

Tim Dolehanty, Controller, addressed the Board. He explained that effective January 1, 2003 the Board of Commissioners established a self-insured medical care program, including dental and vision programs. The extent of coverage for eligible employees and other eligible participants together with the schedule of benefits shall be governed by the terms and conditions of the Chippewa County Medical Benefit Plan Documents which shall be approved by the Board of Commissioners.

The Board of Commissioners may allow other public agencies to participate in the self-insurance pool. Participation in the pool shall be subject to the terms and conditions of a contractual agreement between the County and public agency. For billing purposes, the County shall assess a monthly charge against each participating agency. The amount charged shall be equal to the usage experience of the participating agency as reported by the managed care and third-party administrative services carrier.

Mr. Dolehanty explained that there is a dilemma in billing agencies that belong or want to belong to this particular pool. He explained two different ways that the County may want to consider.

1) The County will receive reports back from Blue Cross that will show the usage from each suffix (agency) so the County will know how much insurance the Health Dept., the County, Michigan Works etc. actually use and the cost is divided equally.

2) If a catastrophic event happens, bill that agency for that event up to the $50,000 stop loss.

Discussion followed on different scenarios. This matter will be discussed further at the next Finance, Claims and Accounts meeting.

Blue Cross/Blue Shield Inmate Services Contract:

Controller Dolehanty stated that a letter was received from the Michigan Association of Counties Service Corporation advising the County that is was no longer feasible for them to administer the Blue Cross Blue Shield of Michigan Inmate Program. For that reason, MACSC is terminating its involvement with this program effective January 1, 2003.

MACSC will not enter inmates into the system after November 30, 2002. However, inmates entered into the system prior to November 30th will be eligible to receive medical services at the Blue Cross Blue Shield of Michigan (BSBSM) negotiated discounts until such time they are released from the Chippewa County Correctional Facility.

Mr. Dolehanty explained that there was no other option available other than the County paying the bills directly.

After discussion, it was moved by Commissioner Kay, supported by Commissioner LaJoie, to contract with Blue Cross/Blue Shield of Michigan for Chippewa County inmate services.

P.A. 511 Community Corrections Program Contract:

The Department of Corrections has approved continuation of the PA511 program for the EUP region. The budget for fiscal year FY2002/2003 remains the same dollar amount requested since FY1998/1999. The amount budgeted for the PA511 program for Chippewa County is $51,463, with $28,219 stipulated for community service work and $23,244 stipulated for electronic monitoring. The $3,500 contribution by Chippewa County increases the total funding available to $54,963, of which $51,463 is from a grant through the Office of Community Corrections.

It was moved by Commissioner LaJoie, supported by Commissioner Kay, to approve the Letter of Agreement#1 By and Between E.U.P. Employment and Training Consortium and Chippewa County (P.A.511).

EDC Inclusion With County Liability Insurance Coverage:

Mr. Dolehanty explained that part of the Municipal Risk Management premium has included the EDC for a number of years. In 2002 the EDC paid their liability coverage but was still included with Chippewa County in their coverage program. Mr. Dolehanty was looking for guidance in resolving this overpayment.

After discussion, it was moved by Commissioner Kay, supported by Commissioner Dale, to table this item until clarification can be made thru the EDC and then bring this item back to the Finance, Claims and Accounts Committee. On a voice vote, the motion carried unanimously.

Probate Judge Inclusion in Deferred Compensation Program:

A letter was received from the Dept. of Management and Budget announcing that probate judges are now eligible to participate in the Deferred Compensation 457 (State 457) and Deferred Compensation 401(k) (State 401(k) plans offered by the state of Michigan.

In order for a Probate Judge to participate in the state Deferred Compensation plan(s), a county must complete and return a Resolution of Acknowledgement form for each plan. County participation in the plan is voluntary.

It was moved by Commissioner LaJoie, supported by Commissioner Kay, to approve the Resolution of Acknowledgment Deferred Compensation Plan 401(k) as presented by the Office of Retirement Services. On a voice vote, the motion carried unanimously.

It was noted that the scanner in the Register of Deeds Office, while it does work, is on its last leg and is need of an upgrade in terms of software. In discussing this with the Information Systems personnel, Cherry LAN Systems, Inc. is the only company that can supply the scanner to be compatible with the current equipment without additional costs.

Cherry LAN Systems, Inc. submitted a cost to the County for on (1) Fujitsu M4097D Scanner and Adrenaline Adapter in the amount of $5,908.00. Mr. Dolehanty pointed out that this figure goes over the $5,000.00 limit for sealed bids. He also pointed out that this submitted amount is for all the equipment, not just a single item.

It was moved by Commissioner LaJoie, supported by Commissioner Postula, to waive the bidding process for the scanner and approve the scanner purchase from Cherry LAN Systems, Inc. in the amount of $5,980.00. On a voice vote, the motion carried unanimously.

Year-End Accounting Issues:

Dave Carpenter, Finance Director, addressed the County Board with some explanation of the billing process for the Blue Cross/Blue Shield for different agencies involved or wanting to be involved in the County’s pool.

Mr. Carpenter explained that with the Inmate Health Insurance, the County use to pay the hospitals directly. By using the plan it gives a Blue Cross rate and Blue Cross pays the hospitals.

Mr. Carpenter gave a hand out to the Commissioners for their review. He stated that the first two pages involved the General Fund for 2002 and the majority of that shortage was related to the sick pay out that was initiated. Questions were asked of the COPS UHP Grant Fund and the Child Care Fund.

It was moved by Commissioner LaJoie, supported by Commissioner Postula, to approve the budget amendment transfer from the General Fund in the amount of $278,428 to cover shortages. On a voice vote, the motion carried unanimously.

Mr. Carpenter went on the say the Chippewa County Construction Code Revolving Account records the receipt of building permits and operating expenditures under the jurisdiction of the County Building Inspector. Revenues are realized when the final inspection has been performed, and the deferred revenues balance as of December 31, 2001 was $55,066.96. He was recommending that the Chippewa County Construction Code Revolving Fund (147) be amended to reflect the revenues and expenditures for the current budget year.

It was moved by Commissioner Kay, supported by Commissioner LaJoie to transfer $50,000 from the General Fund 101 to Fund 147. On a voice vote, the motion carried unanimously.

Mr. Carpenter recommended that the Central Dispatch Fund (212) be amended to reflect the revenues and expenditures for the current budget year. The main adjustment being made was the transfer to the Capital Outlay Fund when the Positron Equipment was purchased for $231,000.

It was moved by Commissioner Kay, supported by Commissioner LaJoie, to approve the amendments to the Central Dispatch Fund in the amount of $105,158. On a voice vote, the motion carried unanimously.

Next, Mr. Carpenter recommended that the Recycling Fund (230) be amended to reflect the revenues and expenditures for the current budget year.

It was moved by Commissioner LaJoie, supported by Commissioner Kay, to approve the budget amendment to the Recycling Fund in the amount of $6,424. On a voice vote, the motion carried unanimously.

It was moved by Commissioner LaJoie, supported by Commissioner Postula, to transfer from the General Fund (101) to the Road Patrol Fund (262) the amount of $24,435 to reflect the revenues and expenditures for the current budget year.

Discussion was held on the mileage expenditures and costs returned or collected by the Sheriff’s Dept.

On the question, on a voice vote, the motion carried unanimously.

Next on the agenda was the Child Care Fund. Mr. Carpenter explained that the County has no control over what is expended in this particular fund. It costs approximately $300.00 per day to house one child.

It was moved by Commissioner Kay, supported by Commissioner LaJoie, to transfer $274,086 from the General Fund (101) to the Child Care Fund (292) to reflect the revenues and expenditures for the current budget year. On a voice vote, the motion carried unanimously.

It was moved by Commissioner LaJoie, supported by Commissioner Postula, to pay General Fund Claims of $117,907.01, Other Fund Claims of $92,174.58 and Payroll in the amount of $907,888.62 for a total of $1,117,970.21. On a voice vote, the motion carried unanimously.

Mr. Dolehanty explained some points on the Fiscal Year 2003 Budget Worksheet. He stated that working with the Department Heads helped determine where reductions could be made in individual budgets. He outlined departments that had a few additional changes that had come up during the last few months.

Discussion was held on the Delinquent Tax Funds. The Delinquent Tax Fund is set up so the County is certain to be able to disburse the tax payments to the local units of government and schools. Mr. Dolehanty explained that by taking money out of this fund, interest would be lost on the amount that is taken out of this fund.

It was moved by Commissioner LaJoie to approve Resolution No. 02-32.

Discussion was held on the hours worked per week for departments and revenues coming back to the County.

Commissioner Kay supported the Resolution to borrow from the Delinquent Tax Fund the amount of $250,000.

Discussion was held on spending restraints and responsibility.

On the question, a roll call vote was taken with the following results: Commissioners Kay, Dale, Hopper, LaJoie, Postula voted yes. Commissioner Cooper voted no. The motion carried.

RESOLUTION NO 02-32

RESOLUTION TO AUTHORIZE TRANSFER OF FUNDS

FROM THE DELINQUESNT TAX FUND TO THE COUNTY GENERAL FUND

WHEREAS, as permitted under State law, the board of commissioners has created a delinquent tax revolving fund; and

WHEREAS, the county treasurer pays from the delinquent tax fund any or all delinquent taxes that are due and payable to the county and any school district, intermediate school district, community college district, city, township, special assessment district, this state, or any other political unit for which delinquent tax payments due; and

WHEREAS, State law (MCL 211.87b) permits the county board of commissioners to transfer resources from the delinquent tax revolving fund to the county general fund.

NOW, THEREFORE, BE IT RESOLVED that the Chippewa County Board of Commissioners hereby authorizes transfer of $250,000 from the delinquent tax revolving fund to the County general fund.

It was moved by Commissioner Postula, supported by Commissioner to adopt Resolution No. 02-23, Fiscal Year 2003 Budget Resolution and General Appropriations Act. (On file in the County Clerk’s Office)

On a roll call vote: Commissioners Kay, Dale, Hopper, LaJoie and Postula voted yes. Commissioner Cooper voted no. The motion carried.

Special recognition was given to Commissioner LaJoie and a welcome made to Jim Moore and Richard Timmer.

It was moved by Commissioner LaJoie, supported by Commissioner Postula, to adjourn. On a voice vote, the motion carried unanimously and the Board did adjourn at 6:13 p.m.

Respectfully Submitted,

Diane S. Cork, County Clerk

Aaron Hopper, Vice-Chairman