MINUTES OF THE INFORMAL MEETING OF THE JOHNSON COUNTY BOARD OF SUPERVISORS:
DECEMBER 12, 2001 BUDGET WORK SESSION
TABLE OF CONTENTS
Chairperson Lehman called the Johnson County Board of Supervisors to order in the Johnson County Administration Building at 9:05 a.m. Members present were: Pat Harney, Mike Lehman, Terrence Neuzil, Sally Stutsman, and Carol Thompson.
COUNTY TREASURER TOM KRIZ: FISCAL YEAR 2003 BUDGET
County Treasurer Tom Kriz said this is the 3rd year they are able to reduce their operating budget and increase services. Kriz explained that there are over 103,000 vehicle registrations in Johnson County and 50,000 tax parcels. Kriz said State funding isn’t going to increase for the Treasurer’s Office, and it may possibly decrease. Stutsman asked if anyone has ever done an analysis of what it costs the County to process State forms. Kriz said they almost break even, but it is a mandate, so there isn’t a choice. The State continues to push for Drivers License to be taken over at the County level, Kriz said. He has been resistant to it because it needs to be worthwhile to do it. Presently it is an option that Treasurer’s have, but Kriz doesn’t know how long it will remain an option. Adding the Drivers Licenses would mean dealing with both State and County employees, with different unions, different contracts and different hours. Stutsman asked if Kriz would be required to supervise that office. He said probably. Lehman said that if Johnson County was forced, a satellite operation might be best.
Kriz said they lowered their budget by about $500, which shows greater service can be provided even when lowering the budget. He said they have increased operating hours by about 500 hours per year by opening at 7:45 and closing at 5:45. He said that over the last 3 years they have reduced their staff from 23 full-time and 3 part-time employees to 21 full-time employees. Currently, Kriz said, they are cross training, which achieves efficiency. Stutsman asked if Kriz is thinking about Saturday hours. Kriz said yes, but the current bargaining contract makes it almost impossible to do so.
Stutsman asked Budget Coordinator Jeff Horne and Kriz to explain interest revenues. Horne said general interest is in Central Services. Kriz said investment rates are now consistently below 2%. He said the first 5 months of 2000 the County’s investment income was $500,000, while during the first 5 months of 2001 interest income was $270,000. Neuzil asked if there is going to be $500-700,000 less in revenues for 03 because of interest problems. Kriz said yes.
Thompson asked if the fees for motor vehicle registration and motor use tax are dependent on the number of cars that register. Kriz said yes. Thompson asked Kriz if he expects motor vehicle registration to return the $450,000 that he budgeted for next year, even though motor vehicle registration went from $488,000 to $418,000 in the last 2 years. He said it is reasonable to expect they would go back to that level, even though it is hard to predict where cuts are going to be. Lehman asked if credit card usage is a wash. Kriz said usage is charged to the users accounts by Wells Fargo, but the County isn’t charged for the equipment. Kriz added that returned checks are at an all time high now.
Kriz said there are roughly 50,000 parcels in Johnson County. He said there is a cost to sending out bills. He said they have just under 2,000 parcels taxed at $8 or less in Johnson County. He said they have just under 500 parcels that are $2.00 parcels, 550 that are $4.00 and 550 that $6.00 and 300 that are $8. He said that almost 2,000 parcels return $8,900 in tax revenue. He said it is a huge loss with billing, generating the statement, paying the postage, the labor and the processing time. Kriz said the cost of this is an area to look at. Neuzil asked what kind of impact would occur if the post office gets the $.03 increase they want for next year. Kriz said it would have a sizeable impact even though they work very hard at grouping mail.
Kriz said Johnson County credits people for homestead exemptions on their homes. He said that with the 4.3% State budget reductions it is going to impact this year’s budget by $125,000 that the County doesn’t get. Stutsman said there is still the obligation to pay that, so the property taxes pay for the shortcut that the County doesn’t get from the State. Neuzil asked how much revenue is anticipated to be lost in 03 for this. Kriz said it is $125,000 for this year and they don’t know yet for next year.
JUVENILE COURT ADMINISTRATOR BRANDON BEAUDRY: FISCAL YEAR 2003 BUDGET
Juvenile Court Administrator Brandon Beaudry said that 87% of the budget for Juvenile Court Services is cost associated with detention and shelter of children. Johnson County has experienced a surge in the cost of detention over the past 5 or 6 years and they are attempting to find ways to minimize the cost and protect the community. He said the Detention Alternative Program (DAP) reduces the time juveniles spend in detention, at $72 a day as opposed to the $215 per day it costs to keep a child in the Linn County Detention Center. They applied some of the revenue they received from the Juvenile Accountability Incentive Block Grant to pay for a slot in DAP so it isn’t a County expense, Beaudry said. Beaudry said they have also involved judges, staff, and administration at the Juvenile Court Office in discussion of other ways to maintain accountability for juveniles. Beaudry said one of the reasons for the increase in detention costs is that several years ago the Juvenile Code permitted the use of detention as a sanction for juveniles to put them in detention for up to 48 hours. He said that they have found it helpful to maintain accountability for children and to use it as sanction in a day treatment program. He said they are now trying to reduce the detention stay by 24 hours, which will get the child back into day treatment sooner.
Beaudry said shelter costs have increased this year. He said the difference between what the State pays for shelter and what the facilities charge is an overage. He said they a State average charge for shelter. He said there is enough money in the budget to pay for about 5 1/2 children per day in shelter and they have been averaging about 9.1 children this year in shelter. He said many of the children are from the Department of Human Services (DHS) and Juvenile Court Services. The children are either homeless or have a home but it is in such disarray and dysfunction that they really don’t have a home to go to. Many are waiting for slots to open up in residential treatment centers or mental health institutes. He said detention costs are slightly above projection because they experienced extremely heavy detention usage in the last quarter of Fiscal Year 2001; as a result they had a high reconciliation payment. According to the contract with the Linn County Detention Center, Beaudry said, they pay them in advance each quarter based on the contract to purchase 3 beds each day and then at the end of each quarter they reconcile the usage with the beds paid for.
Beaudry said he thinks they are going to be able to stay within their budget, but can’t guarantee what is going to happen with detention and shelter costs in the next 7 months. He said he made several small adjustments in the budget. They have a County base for indigent defense of juveniles, which is when judges appoint attorneys to represent juveniles whose parents cannot afford to pay for the cost of legal counsel. He said it is a County based expense and that means that once they reach a certain level the State takes over responsibility for payment of any fees. He said the County base increases each year based on the consumer price index, increasing l.5% last year. Beaudry projects a 2% increase for Fiscal Year 03 and added a little over $1,000 to adjust for that. He increased the line item for compensating the Sheriffs Office to transport juveniles and serve court papers on juveniles. A new State law permits the Sheriffs Offices to charge more for their services, including mileage, a service fee, and $10 per hour. The costs they are going to experience are going to be approximately double last year’s. To make up for these items, Beaudry took $500 from the water/sewer line item to make up the difference, since the landlord for their building does pay that expense. He also took $5,300 from DAP and jail costs because they have experienced less usage in those 2 areas than in the past. Beaudry said jail costs occur when juveniles are awaiting an adult court sentencing or hearing. In the years past they have experienced more expense with this. Last year and this year they hardly had anything though and Beaudry hopes this continues. Thompson asked if the Sheriff pays the bill when they are sentenced to a jail. Beaudry said once they are sentenced the Department of Corrections picks up the costs.
Beaudry said one of the reasons they have experienced more costs for kids in detention is that they use the Linn County Detention Facility a greater percentage of the time. He said last year it was almost 80% and this year over 90%, which increases their per diem costs. Beaudry said Linn County Detention costs $215 per day and other detention centers are about $165. Stutsman asked if it is time to think about raising it to 4 beds. Beaudry said he has considered it but hasn’t recommended it to the Board because they are at a capacity of 28 and they are hardly ever at 28. He said they have the kids there, reconcile the payments and pay for the extra bed days they use but they aren’t tied down to 4 or 5 beds per day. He said the rate remains the same. He said that detention costs are so unpredictable that there might be a quarter when they don’t average 3 kids a day. If they have a contract for 4 and use less they still have to pay for 4. Lehman asked how long the contract is for 3 beds. Beaudry said it is good through June 2002.
Thompson asked why Beaudry budgeted twice what he actually spends for DAP. Beaudry said he wanted some leeway incase detention costs are higher than normal. He said the DAP cost is if it is full every day of the year. He said it isn’t full every day and for every bed day they gain $72. So far, by using this program they have saved almost $140,000, Beaudry said. Thompson asked if the federal grant part is solid. Beaudry said there has been no indication that they are going to cut it. Thompson asked what effects the DHS cuts will have on him. Beaudry said that in the long run it probably means they are going to see more referrals on kids needing intensive help with shelter or detention. The most dramatic impact they have had this year is they have had to cut back in the use of family centered services, which are services designed to provide in home family counseling. They have only been able to use about 60% of what they could last year, which is a huge loss. He predicts that in 3-5 years there is going to be an increase in the number of referrals because they are not doing the things they need to do to help kids.
Recessed at 10:14 a.m.; reconvened at 10:20 a.m.
Human Services/General Assistance (45)
General Assistance Director Kay Hull said this budget is going to be looked at as though there isn’t much change because they don’t know yet what the State is going to do. She said they are watching exceptions in General Assistance. She noted that as of November they were using 32.88% of the current budget. One area they were above on was funerals, with rent close behind. She said she projects a 0% increase by moving some line item money around. She said she took money out of the prescription line item because they haven’t been using it. If the Medically Needy program is cut, Hull said, then money may need to be put back in that line item.
Horne asked how many funerals were done for Veteran Affairs Director Leo Baier. Hull said they have done 2 funerals for Veterans. Hull said one gentleman was not a resident and lived under a bridge and the other was a criminal. Thompson said they all have to be buried. Stutsman said she is disappointed that one department makes capricious and arbitrary decisions or judgments on anyone. Hull said the one was not "a resident", but he was here. Stutsman said he was a Veteran.
Stutsman asked if she didn’t budget more for the Medically Needy because she is unsure about what the State is going to do. Hull said yes. Department of Human Services Area Administrator Cheryl Whitney said she thinks there are 4 legislative members on the Medicaid Committee. She thinks this is an issue that if the Board has opinions they should make them known. This has been a complicated program for people, Whitney said. She said the frustrating thing is that when they talk about Medicaid they are talking about 60% federal dollars and 40% State dollars and then they would be talking about 100% County dollars. Stutsman said she understands budget cuts but questions whether this is the area that really should be cut. She said they are talking about cutting the State’s portion of those match dollars. Whitney said they have to make up about $17.5 million for Medicaid for that line item and it’s a huge part of their budget. Lehman asked if the County would have to pick up 100% of it. Whitney said if it came to General Assistance. Thompson asked if the State would ever consider letting the County pay the match. Whitney wasn’t sure. Stutsman asked what happens if the State doesn’t fund this. Hull said she would come to the Board with a recommendation and it would be up to the Board. Whitney said policies would have to be set up and they would have to figure out where the money is. Neuzil said it’s a question of should General Assistance be separate from the Department 45 budget. Thompson asked what difference it makes. Neuzil said last year there was extra money from General Assistance not going towards General Assistance but going towards another Human Service area. Hull said Fund 45 is a budget setup for Johnson County people only and is administered because of the way the budget is set up. Stutsman said that because this is one budget there is coordination and she isn’t in favor of dividing it up more. Whitney said they have never been into just spending their budget so that it goes to zero. She said that if things are needed it is their responsibility to provide the services when there is money. Neuzil said that his concern is that General Assistance is primarily areas that are mandated that the County provides that expense. He said the additional money that may go to other services is not. Stutsman said that Whitney has been good at maximizing dollars to the greatest potential. Harney said he agrees with Neuzil that it is an accountability issue. Harney said that their money is separate. Hull said it is separate but it’s all Department 45. Thompson said this could be discussed during strategic planning.
Thompson asked about utilities. Hull said they are doing well this year and MidAmerica told her things aren’t looking too bad. Thompson said she noticed there is less being budgeted next year for rent at both Eastdale and 911 N. Governor. She asked if there was an excess rent payment this year. Thompson said they spent $87,000 last year and are budgeting $85,000 for next year. Human Services Accountant Kathy Lynch said they paid about 1 1/2 years worth of taxes in one year so they shouldn’t have much this year. She said that with Eastdale she thinks there were also some up front costs that didn’t get paid.
Whitney said she tried to lay things out in the executive summary carefully for the Board. She said Department 45 is confusing because it does overlap in many areas and wanted to make sure the Board has a good picture of that. She said MH/DD has grown and this does have an impact on the budget because of the need for equipment and computers. She said they discontinued the Johnson County Volunteer Action line item and it now shows up in a Johnson County Empowerment line item. She said the money for FY02 has not been transferred to Empowerment and they have held up hiring administrative staff because of funding questions. Whitney mentioned $20,000 is now in the Empowerment line item rather than childcare.
Whitney said she wants to make sure there is time to discuss the Decision Packages. She said the 1st one is the need to approve a 6th person at Chatham Oaks. She said they didn’t ask for an amendment. She said her concern is that if it was important to get that person in quickly once the request came and they were able to do that because of the Board’s approval it would have been difficult to wait for an amendment for that person’s family. Whitney said Decision Package 2 is about MH/DD Child Daycare Services. She said they estimate that the need might be $135,000, based on the summer and September. She said that if the County wants this in Department 45 there should be more discussion about eligibility guidelines. Stutsman said she thinks they led people to believe this was going to be looked at in Department 45. She said it may look like a high price tag, but there is a preventive element in it. A number of families don’t know what they would do without the summer childcare. Thompson said the rationale is that by moving it into this budget it would free up dollars in MH/DD that they could use for mandatory services. Whitney said MH/DD is asking for a 2nd County car because the current car averages about 1,700 miles per month. She said they are asking for $15,000 for the next 4 years in the capital expenditure decision package for a new phone/voice mail system. She said they aren’t going to be able to get parts for their voicemail system after July 2005. She said it is reasonable to look at a new phone and voicemail system so they aren’t hit with a huge bill at that time. Whitney suggested putting $12,000 in capital projects again for future relocation expenses. Lehman asked if there is still $60,000 set aside for relocation or if some was used. Thompson said there was talk of using some for Governor Street repairs. Whitney said they have $19,000 in capital expenditures that she hopes covers the repair estimates.
COUNTY SHERIFF BOB CARPENTER AND SHERIFF'S MAJOR DUANE LEWIS: FISCAL YEAR 2003 BUDGET
County Sheriff Bob Carpenter said there are 2 major areas they are going to have a problem in, one of which is the jail alternatives. He said they started out last year with $25,000 in the budget and they asked for an amendment early on, which they received another $200,000 from. He said they are averaging about 22 inmates a day in Linn County, and the $200,000 was for 15 inmates a day. Carpenter said that once the November bill is paid for Linn County there would be about $50,000 of the $225,000 left for the rest of the year, which isn’t enough. Stutsman asked if that means another budget amendment. Carpenter said yes. Neuzil asked if he would get through March. Carpenter said no. Stutsman asked if he anticipates double the original amount by the end of the year. Carpenter said yes because when they came in earlier they really didn’t know what to base a figure on. For next year, Carpenter estimates that about 20 inmates a day and $438,000 for the year is about right. He noted that they are spending the $438,000 in addition to what they usually spend on prisoners.
Neuzil said the Sheriff’s Department request is for jail alternatives, maintenance contracts and a vehicle replacement. Carpenter said the jail alternatives are about $10,000. Sheriff’s Major Duane Lewis said part of the budget includes the new system they installed for security. Carpenter said the total extra revenue they are probably going to ask for is $423,649 for the jail. Stutsman asked how much it costs the County per day to house an inmate. Carpenter said the charge is $48. Stutsman asked if that is an accurate reflection of food, utilities and everything. Carpenter said yes. He said the State said they weren’t going to pay any more than $50. He said they probably could charge more because if Johnson County is paying someone else to house their prisoners then Johnson County should be worth as much as the other places.
Neuzil asked if the idea of a booking fee has been thought about. Carpenter said they would need someone to keep track of that and do the billing. Thompson said that each quarter they would count the number of people from each city and send them a bill. Carpenter said that when you start charging the city, you have to remember that those people pay taxes to the County already. The Board discussed with Carpenter reasons to charge and not to charge cities. Neuzil asked how much of the $.17 on the dollar for individuals living in the city paying tax, should be for what. He said that even if they don’t charge a booking fee, they could raise the levy for taxes on cities to generate revenue. He said he understands the argument about robbing Peter to pay Paul, but he knows that he could find services the city isn’t providing that they could but instead are putting on the County. Neuzil said that no matter how you look at it, $413,000 is either going towards raising taxes or cutting $413,000 in services. Stutsman said they could look at some other cost saving measures for the jail. Carpenter said he would do whatever the Board wants.
Thompson said for food and provisions they spent $106,000 last year and want $99,000 this year. Carpenter said they are feeding less people than last year. Thompson noticed there are uniform purchase increases. Lewis said they have more deputies now. He said the State is talking about changing the description of the uniform because they can’t supply these anymore, which would cause an impact. He said they have one vendor who sets the standard and price. Carpenter said no. Lehman asked if the medical line item was increased since additional medical is done in Linn County. Lewis said they are going to be within $100-200 for medical if nobody gets sick this year. Thompson asked if someone could pay for medical needs with a Title 19 card while in the jail. Lewis said sometimes they get money and sometimes they don’t; it is confusing and changes with each inmate. The Board discussed hiring someone to do a cost analysis study of how much it costs to house an inmate per day in the Johnson County Jail.
Neuzil said his concern is what is going to happen at the State level this year with the .08. He said this means a lot more people placed into jail. He said they have a backlog for 2-day people for drunk driving and thinks they are looking at a couple of months now. Carpenter said the National Institute of Corrections (NIC) indicates that you take 20% of the beds and subtract that total to get the number of people the jail should have. He said that very seldom does the jail dip below 70. He said they are consistently around 80 and even have had 120 recently. Carpenter said they are working with the court system and assigning those 2 days at the jail instead of the judges doing it.
Recessed at 12:05 a.m.; reconvened at 1:30 p.m.