• Discussion: Interprogram Services Service Area for Fy 2004 Budget *

• Discussion: Social Services Service Area for Fy 2004 Budget

• Discussion: Fiscal Year 2004 Budget

Chairperson Harney called the Johnson County Board of Supervisors to order in the Johnson County Administration Building at 9:00 a.m. Members present were: Pat Harney, Mike Lehman, Terrence Neuzil, Sally Stutsman, and Carol Thompson.

Budget Coordinator Jeff Horne said that Executive Assistant Mike Sullivan prepared the Board of Supervisors budget, but he wants to include another item that wasn’t given to Sullivan, which is temporary wages of $3,500 for his intern for next year. He said that other budget items are slight increases in items like registration fees, schools, continuing education and $1,500 to be put back in for the NACO trip. Horne said these are the only increases for the Board of Supervisors budget. Neuzil said that he was happy to see the expenses for mileage increase. Neuzil said he never claims Johnson County mileage but going to Cedar Rapids, Marengo or Des Moines adds up. He said that he is already over in this year's mileage budget and if he was going to ISAC in March he would be even more over. Stutsman said that what they've done in the past is borrow from Board members that don't go. Horne said that right now they are right on for that budget item. Harney said that he feels someone needs to attend the Chamber of Commerce trip to Washington D.C. Neuzil said that he is going and paying for himself. He said that the Chamber trip is important. Horne said the Board doesn’t have a line item for that trip and asked if it is new. Neuzil replied that it started within the last 2 years. Stutsman said that unless a member of the Board is on a career track to get involved with NACO, she feels that the Chamber trip is more important. Neuzil agreed, but added that the interesting thing about the NACO trip in the coming year is that it's in Milwaukee, which would be easy to go to.

Stutsman said she thinks the Board sells themselves short by not attending these meetings. She added that she can't believe the valuable things she learns at ISAC and the Board isn't getting the benefit of the national trips. She said that when the Board cuts, staff development is where they cut. Harney said that the agenda for the Chamber trip is excellent. Neuzil said that the trips are important because one cannot get grant money from Senator Harkin or Senator Grassley unless they know the staff, which means officials have to go to D.C. to meet them and build those relationships. Harney said that Iowa City and Coralville goes. Neuzil said that he's attended on the behalf of the Board, but it's difficult when some of the grants are for areas of terrorism and communication and Johnson County doesn't have a Sheriff that wants to get involved with that. Harney said that it could be something that one Board member and Sullivan should go to so that they can get some dollars back into Johnson County.

Horne said that he and Sullivan each put in requests for one conference because he generally goes to the Government Finance Officers Association Annual Conference. He said that this year they used a staff development line item in central services to pay for that and the Community Leadership Program (CLP) for Sullivan this year. Stutsman said that she's supportive of always having a County representative at CLP. Thompson asked if the funds set aside for the NACO trip next year could be used for other places as well. Harney replied that they could call it NACO/Chamber. Thompson asked if it would be enough and Harney replied that it probably wouldn't, but it depends how many people they send. Neuzil asked if it is normally the Chair that would attend these meetings. He added that he's been on the D.C. trip and also to the NACO trip, both being extremely important. Lehman said that the Chair would have priority and if they don't wish to go then someone else can. Thompson said that she noticed at ICAD that if Johnson County wants to be a player, they have to be at the table. Neuzil said that the D.C. trip by the Chamber is a $1,200 trip, which includes the stay, transportation and a few of the meals. Thompson said that the $1,500 would be enough.

Thompson asked if the Board is willing to add $3,500 for Horne's intern. Lehman asked if there's a line item for it this year. Horne replied that it is under part-time temporary wages, but this year he isn't paying his intern. Stutsman said that the Board hasn't used any part-time temporary wages. Horne replied that they have in the past. Thompson asked if Horne can get someone at this time a year from now when he needs them for the budget. Horne said that the position would start in October and run through March or April, only missing some of the Christmas season. Horne said that he's estimating 10 hours per week to total $3,500.

Neuzil said that the Board should have enough funding to go to the ISAC conferences. Stutsman figured including mileage, room and registration for the 3 ISAC conferences for a total of $5,500. Neuzil said that there isn't enough money in the budget to cover registration fees for ISAC. Horne said that the Board had enough for one trip this year. Neuzil said that isn't acceptable. Stutsman said that they could budget for 2 Supervisors and then take turns going, even to ISAC. Stutsman said that she thinks that the Board should put enough money in the budget for 3 Supervisors to go to all 3 ISACs. Horne said that Sullivan included $200 for each Supervisor's registration fees. Neuzil said that the County-a-Day meeting in Des Moines is also not in the budget. Neuzil said that the Board has to decide if they want to send someone to D.C. or to NACO. Harney suggested calling the monies NACO/Chamber so they can decide later. Horne said that the transportation/lodging needs to be increased from $100 to $200 to accommodate ISAC. Neuzil said that $200 doesn't even cover one trip to ISAC because $60 for transportation and 2 nights lodging is easily $150. Stutsman said that for her since she goes to most of them it would take $300 for transportation/meals/lodging, but she also wouldn't taken out money for other Des Moines meetings as well.

Thompson said that the Board should be careful not to give the appearance that the Board is restoring their 4% cuts when they aren't going to restore other department's cuts. Stutsman said that the Board is on track to restore everyone else's though. Horne said that the Board severely cut back this type of thing in this budget because it's so personnel top heavy. Lehman said that by adding those things in, the Board is looking at a 1.5% increase. Stutsman said that Thompson has a point because nothing upsets people like the Board restoring their budget but no one else's. Horne said that these increases are before they address salaries. Harney suggested the Board not take a pay increase this year. He said that he wouldn't support anything over 1% if the Board is going to take anything at all, at least for the Board of Supervisors. Horne said that the Board would have to do that to the other elected officials then too. Neuzil added that it would also affect their deputies. Harney said that with the way the economy is right now they shouldn't be increasing their salaries. Horne said that the Comp Board set everyone at 5%. Stutsman said if the Board lowers their raise to 1%, then everyone else only gets 1% as well. Neuzil said that the deputies also don't get longevity and things the unions get.

Thompson asked for a straw poll on Horne's intern. Neuzil said he thinks it's too high. Thompson asked how Horne calculated it. Horne replied that he calculated 10 hours per week at $8 per hour. Thompson suggested keeping them for 20 weeks for a total of $1,600. Horne said that they would miss days too and they only get paid for what they work. Thompson suggested giving him $2,000. Neuzil said that when his radio station has interns they only pay minimum wage because they're getting experience. Stutsman said that they could pay $5.50 per hour. Horne said that he wished the University would give him credit, but they won't. Thompson suggested giving him $2,000 and adding $1,500 in the other items. Neuzil said that in looking at the FY 02 actual numbers Stutsman had $296, which could be made the high mark.

Neuzil said his point is that the Board shouldn't feel bad about going to ISAC because that is their core opportunity. Horne said that continuing education is important to everyone. Thompson said that if they add $1,500 it will be enough to cover ISAC because every Supervisor doesn't go to each meeting. Thompson asked the Board if they should have Horne spread $1,500 around all these line items including some in mileage reimbursement. Horne clarified that it would be in addition to what Sullivan already put back into the budget for meals, transportation, and miles. Stutsman asked why the Board has all those different line items instead of one large staff development line item. Neuzil asked if any other department's budgets break down like this. Thompson said everyone's budget is like this. Horne said that the County is trying to accurately reflect budget line items. Lehman asked if the Auditor's Office ever makes mistakes in where it goes. Horne said that the Board fills out the vouchers. Thompson said the format is in place because of the State Chart of Accounts. Horne said that when the County gets the new financial software they will be able to consolidate some of these line items. Stutsman said she thought it would be easier to understand.

Lehman asked about the non-personnel stationary forms and minor equipment line items. He said that before the budget cuts that line item had been pretty high, but now this is the second year of the lower number and asked if the Board would run out of the forms they needed if they didn’t increase those items. Horne said that they considered no longer ordering the Des Moines Register. Thompson added that the Board no longer has to order the Iowa Code since it’s online now. Neuzil asked what the subsistence line item is for. Stutsman replied that it’s cookies and refreshments for meetings. Thompson said with the increases they’ve discussed it will increase their budget by 1.5%. Harney asked why the Board isn’t going to order a Register. Horne said that the Register was the paper they decided to cut because it’s the same news corporation that owns the Press-Citizen. Harney said that the news isn’t necessarily going to be the same, particularly since they are reorganizing right now. He said he would like to receive the paper. Thompson and Stutsman agreed that during the legislative season at least, it would be beneficial. Horne said that the Register is free online. Horne said that they’re still getting it, but dropping it was what they had talked about last year.

Stutsman asked if the Board is still on track to get the new printer this year. She added that the Board doesn’t have any other technology items. Thompson said that the Board had the downstairs conference room wired with something the Board was going to buy the equipment for. Horne said that he’d like to recommend that the Board move the sound equipment from the downstairs conference room to the Boardroom. Thompson asked if it’s better and Horne replied that it is. Horne added that the conference room is not big enough that it needs sound equipment. Stutsman agreed. Harney asked Facilities Director David if there will be any expenses in reconfiguring the Boardroom. Kempf said that he hasn’t gotten the bids back yet. He added that he has some cushion in his budget to see how the projects are going into next year. He said he didn’t think it is large enough to set up a project form. Horne said the Board shouldn’t invest too much money on the Board room if they were going to remodel it in a few years.

Stutsman said that union negotiations are in the Central Services budget, not Human Resources. Thompson said that there was one change the Board discussed with Human Resources Administrator Lora Shramek after she made her budget, which was a contract employee to work on the employee handbook. Horne said that she still wants that employee, which has a cost of $1,480 in part-time temporary wages but is budget neutral. Thompson said that to get the employee handbook in good shape that is a good investment. Stutsman asked if it’s not in OK shape now. Thompson said that it has a lot of work because the Board pointed out a lot of flaws when they met with her.

Thompson said that last year the Board cut the employee newsletter and Shramek's request would reinstate it. Horne said that they do publish a newsletter online, but they don’t print it. Neuzil said that the online newsletter seems to be working. Thompson said that departments like Secondary Roads and Conservation have to run copies because they don’t have computers. Stutsman said that she would like to see it be printed again. Thompson said that the other item Shramek added is staff development. Thompson asked if $2,200 for staff development fees is correct in the budget and asked where the increase is in the decision package. Horne said that he didn’t see it in the decision package either, but the $2,200 is to bring in people from the outside to give things like sexual harassment workshops. Thompson said she thought Synchrony provided the County with so many hours per year and performed those services for the County. Horne replied that the County pays for counseling services from Synchrony. Stutsman said that they do have training once a month. Horne said that if Synchrony performed the other training sessions they would charge for those as well. Horne said that Shramek included $800 in her budget to print the employee handbooks. Stutsman said she is comfortable with approving Shramek’s requests and Thompson agreed.

Horne said they need to discuss the Information Services budget, not including the Technology budget. Horne said that Information Services will show a decrease in personnel costs for this coming year because Information Services Director Jean Schultz eliminated a programming position. Stutsman asked if that is because the County is moving more towards software packages. Horne said the position was unfilled for awhile. Thompson said that they didn’t ask for an additional GIS employee. Harney asked how much they will save by eliminating the programming position. Neuzil said that part of the decrease will be taken in salary increases. Horne said that the personnel budget will still go up when adding in the insurance increases, but not as much as other departments. Horne said that eliminating the position will save $48,344. Stutsman said the decrease will be absorbed quickly. Horne agreed, but added that it will mitigate other things. He said IS is very personnel heavy; there is only has $28,000 in non-personnel out of $741,000. Thompson said that the only increase she asked for is $1,500 in staff registration fees. Horne said it’s only an increase to its traditional level. He added that registration fees is an important item for that department. Thompson said she is fine with this budget and Stutsman agreed.

Thompson said Schultz's budget doesn’t reflect the sale of GIS software, which they plan to sell for $5,000. Horne said the Assessor’s fees are actually $4,000 more. Thompson said that the Assessors are also paying $100,000 for the aerial photography. Horne said that he doesn’t know where that is reflected. Stutsman asked where the GIS revenues are. Thompson said that the Board hasn’t approved the sale yet, but it would be approved before the next fiscal year. Horne said that the revenues could be in Department 40 because most of the GIS expense is in 40. Thompson asked Horne to find out about the GIS revenue. Thompson said the revenues they receive from maps sold out of the Auditor’s Office is shown in the Auditor’s revenues. She asked who receives the revenues from the sale of large packages to abstract firms. Horne said that the revenues go into Fund 40. Stutsman said that maybe the Board should decide where the revenue should go. She asked where revenues go when Planning and Zoning sells something. Horne said that the primary question is whether it goes back into the Technology Fund or the General Fund. Neuzil said that if they don’t use it to lower the General Fund asking, it will just be spent in other ways. Thompson said that most departments have set up line items to show the revenue for the things they sell. Horne said that even if the Board puts the revenue back in the Technology Fund it will lower the transfer from the General Fund. Stutsman said that she’s concerned about departments saying that like Conservation, if they generate the revenues then they get to keep them. She said she’s wondering if they should put it in Central Technology. Horne said that if the Board does, it will appropriately lower the transfer each year. He added that it’s an essential County function that crosses departments. Stutsman said she could see Planning and Zoning saying that they want to spend the revenues from the things they sell in their budget. Horne said that Schultz would be selling most of it. Thompson said that Information Services has marked anything that’s sold from GIS, so that if the Board wants to find out what revenues they receive total from GIS they can.

Lehman said that FinCore has a $150,000 request in the Technology budget. Horne said that they have $300,000 already saved, so the $150,000 would increase the total to $450,000. Thompson said that she thought Schultz requested an additional $300,000 as well. She asked if they need that much. Horne replied that it would be close, but added that they can structure the deal over more than one fiscal year. Thompson said that the County would receive it in the summer, which is the beginning of the next fiscal year. She said it should take a year to get it in place before the County makes the final payment. Horne said that the County can structure the deal with the company over more than one year, although they may charge interest. Thompson said she’s saying that the Board doesn’t need the $600,000. Horne said that $500,000 would be a good down payment and added that it might cover the entire cost. Thompson said that one thing about the time it took to decide is that the price decreased. Lehman said that 2 companies are priced at $400,000 and another at $500,000. Horne said the company that wrote the old program is no longer in existence and an IS programmer keep it running. He added that at this point it’s really a hybrid system.

Horne said that there aren’t many changes in the Physical Plant budget except for custodial services for the Human Services Department. He said that the funds for this basically switched from Department 45 to the Physical Plant. Thompson said it has to be added to the County’s indirect cost analysis. Horne said that he wasn’t privy to that, but Department of Human Services Area Administrator Cheryl Whitney worked that out. Thompson said that when it was in their budget it fell under Local Administrative Reimbursement (LAR), but now it will be in indirect costs so somebody has to call Randall and tell them about the switch. Harney asked if there are LAR dollars from the State for this. Thompson said yes. Neuzil asked if that is a revenue for the Physical Plant. Horne replied that it will only be a revenue when they get reimbursed for costs in the DMG Maximus report. Stutsman asked if MH/DD Director Elaine Sweet knew about the change because she gets reimbursed from Targeted Case Management. Thompson said that she won’t get it anymore, but it will cancel out because she can’t collect indirect costs for Targeted Case Management. Stutsman asked Horne to check with Sweet.

Horne said that Kempf's decision package is the planned projects. He said that the only thing above that was a request for increases in utilities. Stutsman asked how the Courthouse Stair replacement amount changed from $75,000 to $12,000. Kempf said that he didn’t know how the original estimate was completed, but he had Applebee & Horne give an estimate on the replacement of the slate steps and that is what the price can back as. He said that he’s just replacing the 2 small sections to go from the front door down to the ground floor. Stutsman said that she thought that was what the original estimate was for too. Horne said that it was for all of it. Kempf said that the center section that goes to the second floor has already been done. He added that eventually they’ll need to replace the stairs going to the 3rd floor, but they’re not as bad because most of those steps could be flipped. Stutsman said that she is pleased that it came back at such a low estimate. Kempf said that he was pleasantly surprised as well.

Lehman asked if Chatham Oaks has any projects for Facilities. Kempf said Chatham Oaks had some boiler concerns, which he helped resolve. Lehman said that Chatham Oaks has made the minor and major repairs to their building in the past even though they’re leasing it, but he wondered if they would need assistance in the future. Kempf said that the gentleman was not very comfortable with the tests he was running on the boiler, so he put the gentleman in touch with someone to help him. He added that the boilers were operating fine though. Lehman asked if they replaced a riding lawn mower last year. Kempf said that the lawn mower is to add another mower as opposed to replacement. Thompson said this would put Kempf on a schedule to replace the equipment at staggered intervals. She asked if he needs the whole $6,000 for the mower in the first year. Kempf said that it depends on whether or not they choose to add an additional mower or not. He said that the additional mower would be smaller than their existing mower, but it would have the mower deck and blower along with it. Lehman said that it wouldn’t be a trade in, which is why it costs more.

Thompson asked if the repairs to the Health Department will be made out of this year’s budget. Kempf said that he has some money in next year’s budget for other projects they see as needing to be done like window repair and door replacements. He said that it makes sense if they’re spending the money for the air conditioning and roofing projects that they fix the other things and do preventative maintenance as well.

Harney asked if Facilities will have to do work at the Courthouse to combat the smell that’s developed. Kempf said that they will sometime this spring. He said that he doesn’t see that as being a large cost because it will be mainly labor. Thompson asked what Kempf thinks the smell is. Kempf replied that there a crawl space behind the courtroom that he is assuming is where the steam and sewer pipes run in and out and he thinks that they’re getting gas into that space either from a sewer line or vent pipe.

Neuzil asked if they are going to replace the carpet in the Boardroom or if they’re going to wait until they decide what they’re going to do with the Boardroom. Kempf said they should wait and see what the Board decides. Kempf said he does have some money in the budget for carpet cleaning, but he doesn’t have enough squares to replace a lot of carpet. He said that they could use them though to replace some of the bad spots once they’ve cleaned it.

Neuzil asked if the problems with the Jail air quality and lighting are assumed in this budget request. Kempf said that those issues aren’t assumed in this budget, but he feels there’s enough room to answer those questions. He said they are planning on completing some follow up testing for air quality, which will run around $1,500 for a partial evaluation of the Jail. He said that it will entail air sampling in several spaces and then testing for mold and mildew in the spring. Harney said that he’s concerned because they’ve had complaints from one of the deputies about the air quality. Kempf said that will come out of this year’s budget, but until they do the testing he doesn’t have a way to make recommendations on what they need to do. He said that he does have about $25,000 for those types of things. Kempf said that there have been various things around the County that have popped up since he’s been here that weren’t planned for. He said he put that in the budget as a pre-emptive to some of the problems. Harney said that replacing the lighting can be a large expense if the small changes they are planning don’t increase the lighting to the standards set by the Jail Inspector. Kempf said that if those changes don’t work, they’ll have to look at bringing someone in to add fixtures. He said that if they have to add fixtures it would come out of the $25,000 fund. Harney said the Inspector also said to look at adding an exercise space, but he didn’t know what kind of costs they would be looking at. Kempf said he didn’t know what the requirements are for that type of space, but he hopes those questions will be answered when the Jail Taskforce Committee comes back with their recommendations. Thompson said they also need space for the kitchen.

Stutsman said Facilities vehicle replacement schedule is for 6 years and asked how many miles they put on per year. Kempf said that it depends on whether they buy new or used. Stutsman asked if the schedule could be extended to 10 years for Facilities and Information Services. Kempf said that it certainly could be extended, but his concern is due to the last used vehicle they purchased before he arrived, which required quite a bit of work this year. Harney said the truck was worn out when they bought it. Kempf said that the vehicles already has 160,000 miles on it. He said that this year they had to replace the head gasket, 2 injector ports and some other pretty serious things. Horne said 160,000 is a lot of miles on a truck. Kempf said that they weren’t kind miles either. Lehman clarified that Facilities has 2 pickups and one flatbed truck. He asked which vehicles stay at the County and which go home with employees. Kempf replied that everything stays here. He said that dump truck is at the shop, which is the one that is the old rescue vehicle. Lehman said that it doesn’t get a lot of miles and is kept indoors. Kempf said that for what the department uses it for, it serves their purpose. He said the white truck has 86,000 miles on it and it needs a little bit of work, but he isn’t looking to replace anything right now. He said that he’s talked to Sullivan to come up with an appropriate use policy in the event someone needs to bring a vehicle home if they’re on call. He said that he’s essentially been the one on call since he started working at Johnson County. He said that they’ve now fixed things that he was regularly receiving calls about when he first started. He was thinking then about the possibility of taking one of the vehicles home over the weekend, but since they’ve gotten some things taken care of, those calls they were originally receiving decreased. Neuzil said that the Board wants him to come in on weekends to make sure things are OK. Kempf said that he does that anyway.

Thompson asked about the allocation offset in the budget because in the 2 prior years it was a negative number. Horne said that it shouldn’t be there; the line item should be 0. Kempf said that he explained what he wanted to $25,000 for, but they weren’t clear where it should be put. He said it’s miscellaneous expenses. Horne said that the Board doesn’t have to include that if the Board is willing to amend later. Thompson said in the past the allocation number was the sum of 3 other items and they take it out and add it back in to reallocate it to departments. Stutsman said that the Board shouldn’t be taxing for $25,000 just in case. Thompson said that they should because he needs it, it’s just in the wrong line item. Stutsman asked if he needs it. Kempf said that he would certainly use a portion of it. Neuzil said he would rather budget it than have several budget amendments throughout the year. Lehman said that historically with miscellaneous items there’s always something that will need to be done. Horne said that problems come from the age of some of the County’s buildings. Thompson asked why the item wasn’t included in building repairs and maintenance. Kempf said that he could, but he doesn’t like padding for lack of a better work. He said if he had a line item for miscellaneous repairs he would have put it there, but he doesn’t like padding by a percentage. Harney said that he likes it set aside because it’s an emergency fund. Kempf said that it’s for things they didn’t plan for, but if he only uses $10,000 of that, then the other $15,000 would go back to the General Fund. He added that he wouldn’t look for something to spend the other $15,000 on. Horne said the Board could move the money to Central Services too. Harney said if it’s in Central Services they won’t be able to use it for water heaters and maintenance. Horne said that if it’s needed it can always be transferred because the Board is still taxing for it. Harney said that he likes the way it’s set up now. Thompson said that Kempf’s budget shows an overall 8.2% decrease. Stutsman said that she trusts Kempf, but it’s setting precedence for another department head that may not view it that way. Kempf said that if the Board wants to create a line item for miscellaneous emergency repairs or something like that the Board can do that. He said that he just didn’t feel that he wanted to pad the other things because he wanted to establish a realistic, give a little leeway for unforeseen problems, but stay close to the cost. Stutsman said that the bottom line is that the Board is taxing for these things. She said that the Board has to keep that in mind. She added that they can tax for what they actually need or they can tax a lot for what they might need. She said that Kempf’s is a different situation, but in her mind if she lets him do that, then why not every other department. Harney said that he understands what Stutsman is saying, but based on the past few years he knows that Facilities will need that emergency fund. Thompson said that Kempf tried to depict estimated expenses for the future by using actual numbers, but there always is a thermostat that breaks or a leak in the roof. Stutsman said that maybe there could be some other projects that they should put off to fix those things first. She said that they’re in a tight budget year. Kempf said that he approached the budget somewhat conservatively, but yet to take care of the problems that need to be addressed. Stutsman said she’s basing some of her comments on experience with previous managers. Lehman said that last year they set aside 5% of the value of the building for maintenance. Thompson said that they gave him around $300,000 last year and this year he’s budgeting for $200,000. Thompson said that $25,000 is not unreasonable.

Harney asked if Kempf has enough money set aside for the Health Department. Kempf said that he didn’t think he’d have any extra left over, but he keeps an eye on some things he’ll be fine. Horne asked if Kempf has enough money to do the parking lot at the Health Department as well. Kempf said that he doesn’t having anything for the Public Health parking lot. Horne said that is something the Board has been talking about fixing for awhile. Kempf said that he has the ambulance parking lot and driveway.

Neuzil asked if the Board wants to continue to charge for parking. Thompson and Stutsman said yes. Neuzil said that he has a problem with it because they’re not consistent with all the buildings. Stutsman said they need to review the policy. Kempf said that he thinks it should be consistent Countywide. Neuzil asked if they should charge Secondary Roads too. Stutsman said that it’s a matter of availability. Harney said Secondary Roads shouldn't be charged. Neuzil asked about DHS, Public Health and Juvenile Court. Kempf said that speaking from past experience, it didn’t matter what a person’s position was at the University, they paid for parking, unless they worked at Oakdale. Harney said that it’s the same thing for the City depending on where one works and availability. Kempf said that if the Board is going to charge it should be consistent. Thompson said that it looks like Kempf could raise his revenue projections because he took in $8,000 over part of the year and he’s only budgeted for $1,680. Neuzil asked if he is making money. Stutsman said he isn’t and that’s not the intention. Stutsman said that renting parking isn’t the issue, it’s availability because the Administration Building doesn’t have enough parking spaces for everybody. She said that there has to be ways of managing that supply and demand. Neuzil added that they don’t want to make money on parking either. Stutsman said that the taxpayers would appreciate it. Thompson said that they still have to do maintenance in the parking lots. Neuzil said that the Board pays rent of $1,200 and is charging $3,600 plus $1,600. Horne replied that $1,200 is just for the rental of City Carton, but there is also parking at Fisher and the Admin Building. Neuzil asked why they are charging over $5,000 when it’s only costing $1,200 plus maintenance. Stutsman asked what Neuzil’s proposal is then, that they don’t charge and have a lottery system. Neuzil said that or first come first served. Horne said that it costs $1,200 per month, not per year. Neuzil said that then they’re not making enough to cover it. Horne said that it’s close to breaking even counting Fisher and the Administration Building. Neuzil said that he’ more comfortable with it then. Thompson said it’s $14,400 per year and they’ve only budgeted for $1,600 in revenue. Horne said that $1,680 was what they budgeted when they just charged for parking in front. Thompson said that they should increase revenues by $10,000 because they received $8,000 in about 4 months last year. Neuzil asked why the budgeted revenue amount dropped in FY 03. Thompson replied that the Board didn’t know when they made this budget that they were going to be raising the rates. She added that Physical Plant has already taken in $13,000 in total revenue. Neuzil asked if those numbers should be readjusted. Horne said that they should. Neuzil said it sounds like they should be adjusted if they’re taking in $13,000 but only budgeting for $3,600. Thompson reiterated that she thinks they could add $10,000 at least.

Neuzil commented that 1) the Board doesn’t have a constant parking policy, 2) the Board shouldn't make more than they’re paying on parking. Stutsman said that they could use that money to offset the $25,000 they’re going to be taxing for emergency repairs. Harney asked if Neuzil is suggesting that they charge the same amount at the Courthouse as the Administration Building and try to balance it out with what it’s costing in rent. Horne said that this is more of a policy issue for the Board than a budget issue. He suggested putting it on the department head meeting’s agenda. Thompson said that if the Board is going to keep the current parking rates that they could add $10,000 to the revenue and Horne agreed. Stutsman suggested reducing the $25,000 by $10,000. Thompson said Kempf doesn’t get his revenues because they go back to the General Fund. She suggested making a budget amendment for emergency maintenance then. Harney asked if there is consensus to leave the $25,000 in as is. Lehman said that he wants to leave it in, but added that if they increase his revenues it will decrease the tax asking. Neuzil clarified that he would adjust the parking revenues. Horne said that he would, but that he would leave the Courthouse revenues. Neuzil asked if the Courthouse employees are charged to park. Harney said that they are, but it’s a very minimal amount. Stutsman said that the Board needs to review that and it needs to be in Kempf’s goals for next year. She added that when the Board has the Armory, availability will be different. Thompson asked if the Board will quit charging then. Stutsman said she didn’t know. Lehman said that it’s 5 years in the future. Horne asked if there are 3 that want the $25,000 in the budget. Harney said there’s consensus. Stutsman she wants to look at it on the last day when they know what the tax increase will be.

Thompson told Kempf that she respected his conservatism, but she would not have had a problem had he allocated the $25,000 across the 3 buildings. Kempf said that he does put in a contingency amount in the projects. He said he’s just not comfortable with some people’s practices of padding projects. Stutsman agreed and said that she’d rather he did this. She said that she thought that is a way to build trust with the Board. Kempf said it’s easier for him to have that figure out there up front so if the Board tells him he needs to cut 3% of his budget, then it’s obvious where it’s going to come from. Harney said that he doesn’t want Kempf to include it in the budget just because there might be a cut. Kempf replied that he didn’t, he requested it because he needs it. Thompson said in the 4 maintenance line items, this year’s budget is $321,500 and Kempf cut it to $223,000 for next year. She said even by adding the $25,000 back in it’s only $248,000 compared to the $321,000 so he’s made a significant cut. Stutsman agreed. Kempf said that when they reach the end of the year, Facilities will have completed some fairly major projects as well. Thompson said that when he creates his budget, the Board is thinking that there would be a set amount every year to maintain the buildings. She said that they don’t want to see spikes. Kempf said that they can get to that point, but he also feels that there are some issues that need to be taken care of. He thinks the budget he’s drawn up should be consistent over the years and he’s trying to get a handle on unforeseen expenses. He said that there are some funds that are requests for projects, where he’s requesting partial funding for this year to be carried over to the next year like the Courthouse boiler replacements. Horne said that having a balance will be OK if Kempf tracks it and the Board knows.

Harney said that in the past there have been contracts with the utility companies. He asked if those are still in place. Kempf said that he hasn’t seen any existing contracts. He added that he’s talked to Mid-American several time to get a feeling of what increases the County is looking at, but they weren’t very forth coming in any of their predictions. He said that he went back over 5 year’s expenses to calculate the average price increase. Harney said that 3 Directors back; they had a long-term contract with Mid-American for service. He added that it probably has expired, which was probably the reason for the large increase. He said that when they were contracting for the service it was a real dollar saver. Kempf said he would look into that.

Thompson said that in the reestimated budget the Board added the MH/DD maintenance. She asked if they amended that into Kempf's budget or if they will have to. Horne replied that the Facilities budget is under right now, so he hasn’t done anything, but they will have another opportunity to amend it this year. He said that he doesn’t like to amend something unless he really thinks that they’ll need it. He said that by May they’ll have a better idea. Thompson complimented Kempf on his first budget.

Recessed at 10:33 a.m.; reconvened at 10:47 a.m.

Central Services (18)rvices (18)

Horne said that this fund is a group of funds that fall in a general category. The Auditor's Office and the Board's Office control several of the line items. Thompson asked if the Auditor's line items are things that affect the whole County. Horne said that publications, minutes and postage come out of this fund. He added that animal inspections, boards and commissions, township trustee fees and general County management are paid for out of this department.

Horne explained that the personnel board line item is to allow for the Sheriff's Office to be able to pay the retirement packages if they have several retirement in a year. He said that he added this line item to approach the topic with the Board. Thompson asked how the Board is required to account for the retirement funds. She said that if the County were a company they would be required to save up the vacation hours earned and keep them in a separate fund. Horne said that the accrued values show in the payroll, but with the County's current system they don't track it. Thompson asked if GASB will require them to do that. Horne said that it will show as a liability for the County, but it doesn't show the way they report their numbers. He said that this would be one of the changes next year that they will have to make. Lehman asked where the money for Major Duane Lewis' retirement came from. Horne replied that the money came from the Sheriff's Department, but he left some of his positions open this year to cover the retirement monies. Neuzil asked what type of precedent the Board would be setting if they allowed for this line item. Harney said that he didn't think it would set a precedent. He added that the Sheriff Department used their open positions to pay for Lewis' retirement, but had there not been those funds, then he would have had to ask for a budget amendment. Neuzil asked if the Board has ever allowed for this in the Central Services budget before. Thompson said that she feels about this new line item the same way Stutsman does about the $25,000 in the Physical Plant budget. She added that if the retirements happen, then the Board would find a way to pay for it. Neuzil added that the Board would probably have to have a budget amendment. Horne said the County will have budget amendments for one thing or another every year anyway, but the line item is just to include it in there. Stutsman said that the Board always talks about budget amendments as a negative thing, but by having people submit budgets 18 months out the County would be really great by never having a budget amendment. She said that budget amendments are just accounting for the unforeseen things that weren't included 18 months before. Horne said that he's been thinking of the budget as a living document that is constantly changing. He said that he likes to have departments be as accurate as possible, but there are things that will happen that aren't accounted for. Thompson asked if the Board agreed to take out the $40,000. Stutsman said yes. Harney said yes as long as there's enough money in the General Fund that people can amend for those retirements. Horne said that $40,000 isn't an amount that the General Fund wouldn't be able to handle.

Neuzil asked if the Board has ever bailed out a department because they weren't able to pay for retirement monies from their budget. Horne said that the Board hasn't, but added that the Sheriff's Department is different. Thompson added that the County has also had a relatively young employee group that hasn't retired at a rapid rate. She said that in future years there is going to be more retirements per department. Neuzil said that there are quite a few people in the Sheriff's Department who are approaching 30 years of service. Thompson added that in the Sheriff's Office they can retire at 55. Lehman asked what handicap they are giving to some of the departments by having them leave positions open in order to pay for retirement monies. Stutsman suggested that the Board encourage employees to use their vacation time instead of having them on the books. Stutsman said that the Board does set limits, but that they may need to be more diligent. Harney said that the Board limits the amount of vacation that an employee can carry-over. Stutsman said that the Board tries to do that, but there are departments that aren't very good about watching it. Horne said that the County also allows sick time conversion into vacation.

Thompson said that when the County moves to GASB 34 accounting they will have to account for these hours in some way by having a designated carry-over. Horne said that it is a liability, but it won't show in the budget. Horne said that in the past he and Shramek looked at the total liability the County would incur if everyone in that class retired at the same time. He said it would be between $100,000 and $200,000. Harney said that the County won't have that happen in a given year. Horne said that they wouldn't, but it will be a liability on the balance sheet in GASB 34. Neuzil said that in this case they are talking about one employee with $28,000 in benefits coming. Horne said his thinking is if there is going to be a change in the Sheriff's Department for whatever reason, or if there's a change in the administration for whatever reason and a few people leave at once, the cost would be substantial. Harney said that there is no real reason that employees would leave in the Sheriff's Department unless there are personnel problems. Horne said that he just included the line item for point of discussion. Stutsman said that the Board has decided to take it out. Thompson asked Horne to look into how other counties pay for retirement. She clarified that the health insurance line item is just the increase in insurance. Horne replied that he hasn't allocated out the increase to the different departments.

Thompson the Human Services line item containing $300 for the Board of Social Welfare. She said that they can take that out. Stutsman suggested leaving the amount in so that she and Hull can pay for their meals and lodging when they attend the Community Services Convention. Horne said that it would be proper and reminded her to use that line item when submitting the vouchers. Horne asked if Stutsman had been reimbursed for that in the past. Stutsman said that she hadn't because she didn't think there was any money. She said that they took the van to their last meeting and added that Hull doesn't ask for reimbursement for meals.

Horne commented that the $220,194 is the 10 % increase in health insurance for the General Fund only. He said the Employee Assistance Program stayed the same, as well as merit pay. Thompson said that the reason the insurance line item shows 0 is because the increase is allocated out to the various department's budgets. Horne said that he included it now, but next year he will amend the budget to disperse the funds to the departments. Neuzil said the increase in insurance is the County's growth. Horne said that it's close counting the other funds because this increase doesn't count Secondary Roads or MH/DD. Neuzil said that it's the reality of tomorrow's debate. Thompson clarified that the growth is around $400,000 all together. Horne replied that it will be near that and Deputy Auditor Chris Edwards is getting the exact numbers for him later in the day.

Thompson asked why they are budgeting $3,500 for township trustees when they've spent $4,000 in the past few years. Neuzil asked if they're meeting less. Horne said that it depends on the number of meetings they have. Lehman said that the trustees have one to 2 per year. Horne said they also bill the County for the meeting that the Board has with them and added that the Board will meet with them this next year. Thompson said the Board raised their fee. Harney asked if by law, cemetaries have to be taken out of a specific portion of the budget. Horne replied that it does in the trustee's budgets. Stutsman said that the trustees levy for that. Thompson said that the Board pays for the Trustee's fees to attend their meetings out of this line item. Horne commented that this line item also pays for the Township Clerk, which is higher. Thompson said that the Board should raise that to $4,000.

Thompson asked for clarification on the General Management County Attorney line item. Horne said that the line item pays for the Civil Service Commission. Thompson said there's another line item labeled Civil Service Commission. Stutsman asked if the Board needs to start having contracts for the amounts in these line items. Horne said that they don't have to as long as it's a billed expense, which is if they show the Board a bill for the amount of hours they worked. Stutsman asked if anyone has seen a bill from the Civil Service Commission. Horne said that he hasn't, but that the bills would go to the Auditor's Office. Horne said that as long as these entities provide records of their time and their billing is proper, they don't need contracts. Stutsman said that the letter she saw from the Civil Service Commission said that the clerical person did a lot of work and asked the Board to raise her salary by $300. Harney said that payment was made because it was in the Board's claims. He added that it probably shouldn't have been. Horne said that he isn't sure who sets the pay rates. Stutsman said that she would like to get that straightened out because it's so inconsistent with having contracts with everything else, but not this. She said that the Board doesn't know how many hours these people work or how much they get paid per hour. Horne replied that these groups are like hiring a temporary agency because there's an implied contract. Thompson said that this is where they pay one of the members of the Board to be the secretary. Thompson said that she thought it would need a contract or at least a memo of understanding, which states what their responsibilities are and what they will be paid. Lehman commented that the Township Clerks get paid extra, but it's in the Code. Stutsman said that the way she reads the Code, there's nothing saying that the Board needs to compensate that person. She added that the Code says pay for expenses, but it doesn't mention that person's time. Thompson said that she would take the expenses to mean their travel expenses for meetings like the other boards and Stutsman added supplies like stationary. Lehman said if the boards just send a bill, how does the Board know if it's correct.

Thompson said that the next item is $500 for food and provision, which the Board also has money in their budget. Horne replied that there's some in both places because it's always been that way. Lehman asked what they would use the money for. Horne replied that they use this fund for employee recognition and retirement parties. Thompson said that last year they budgeted for $500, but spent $800 out of this fund. Thompson suggested consolidating the 2 funds into one budget. Stutsman said she didn't know if they should put the funds into one budget because Central Services is for the whole County and the Board of Supervisors funds are for the meetings that they have. Horne said that County functions should be taken out of this fund. Horne said that there is a difference. Thompson said that if the Board spend $800 last year, then they probably need to budget more than $500 this year. Stutsman said that they won't be having a meal for the volunteer appreciation party this year. Horne said that $500 would be adequate unless the Board wants to supply sandwiches and meat trays, which increase the cost.

Thompson said that the next line item is gasoline for the motor pool. She asked why last year the County spent $2,000 in this line item, but the Board only budgeted for $1,000. Horne said that they've low balled the number as much as they can to keep the tax asking down. Horne said that it depends on the price of gas. Thompson said that since the year before the actual expenditure was $1,300, then it's obvious that the Board hasn't budgeted enough. Horne asked if they want to budget another $500. Harney said that it was almost $2,200 last year. Neuzil asked what vehicle this money is for. Horne replied that it's for the white van, but the fund might also have paid for the FinCore trips.

Thompson asked about the postage for the central mailing because that's lower than past expenditures. Horne said that rates have gone up so he would be inclined to increase that amount. Thompson suggested $8,231, an increase of $5,000. Horne said that he will start receiving some of the bills for budget publications and paying them himself. He said that taking the budget out of the Auditor's Office has been a transition to him from them and every year they change a little bit more.

Thompson asked Stutsman if the budget for the Communication's Committee is enough. Stutsman said yes because they've cut back on some expenditures. Neuzil said the Fair Board isn't charging more this year. Harney said that they left their budget as is.

Thompson asked Horne to explain the bonding and added that she thought they didn't have it anymore. Neuzil said that they aren't, the line item is for Springsted and Associates Representative Tony Roetlin. Horne said that the County will have to pay fees due to the IRS audit, but how much exactly he isn't sure. He said that he anticipated that the Board will do some bonding again this year, but at this point since he doesn’t have a straight answer from the IRS, he's recommending that they take it off the table because he doesn’t have enough time to adjust it again. Harney asked for clarification and Horne explained that since the IRS is looking at the bond offering due to the taxable/non-taxable issue, the County will have to pay Bonding Attorney Bob Jostens for handling it. Thompson asked if Horne is thinking that it will cost $35,000. Horne replied that at the time he was thinking that they would bond again this year, but they won't so they can decrease that amount.

Horne said that regardless of the IRS audit, the Board should think about bonding for the voting equipment because it's a proper use of bonding outlined in the Iowa Code very specifically. Lehman asked if there is a fee for that. Horne replied that there's a fee whenever the Board goes to the market. He added that they'll also have to have a bond attorney sign off on it to cover the County. Thompson asked why it's 0 then. Horne said that he is thinking that the bonding would take place in this fiscal year. Thompson said that each year they would have to amend for it then. Horne said that they wouldn't have to if they could include it. Harney said that the Board hasn't agreed to buy the voting machines yet. Thompson asked if the $35,000 will cover the IRS audit. Horne replied that it would because the Board isn't paying Roetlin for that, but there are paying Jostens whose time is quite expensive. He added that the County needs the legal coverage in Josten's area of expertise.

Thompson asked if the Board will have to amend the line item for independent auditing to add the $10,000 for the special audits. Horne said that they already have it in for consideration. Thompson asked if it's in the budget. Horne replied that it's not re-estimated yet but the amount is for this year. Stutsman asked if the County has received any bills from Collective Bargaining Negotiator Judy Perkins. Horne said yes. Thompson asked if they would have that expense next year. Horne replied that they wouldn't to the level that multi-year contracts are put in place, but that isn't settled yet. Thompson asked if they want to budget for the whole $19,000 then or if they could decrease to $5,000. Horne asked if the Board would be willing to amend it next year if need be. Stutsman suggested $10,000. Horne said this fund also covers mediation or arbitration disputes that might arise. Horne clarified that there was consensus to decrease the item to $10,000. Neuzil said there is until they find out if there are multi-year contracts in place. Horne said he's worried that the $19,000 may not cover the entire cost this year.

Neuzil asked if the Board isn't going to bond for anything this year, including insurance. Horne replied that he doesn't have time since the IRS hasn't signed off on it and he doesn’t want to see the County do something that won't be allowable. Thompson asked if the Board has until May to decide. Horne said that is talking about including it in the budget because that deadline is in a few weeks. Harney said he hates to lose it and not be able to bond for it if they can. Horne said he's saying that some things, like the voting equipment, they still could. Thompson said that the voting equipment is different because it's real bonding. Horne said that he thinks the voting equipment is iron clad so the County can do that no matter what. Stutsman said that the Board hasn't made that decision. Horne said that he's just leaving that item out as a proper use of the bonding statute. He said he's thinking that the Board could free the money that is saved for voting equipment already to lower the tax asking for technology. Thompson said that the tax asking would go up for the amount of the bonds. Horne replied that they would be taxing across a bigger base though. Thompson asked if they would do 5-year bonds. Horne replied that they would try to bond locally again with a promissory note.

Thompson said that the bonding the Board did last year should be repeated. Horne said that until the IRS audit outcome is decided, he doesn't think it is prudent. Thompson asked how long it is likely to take. Horne said that he hasn’t heard anything yet and the budget has to be done soon. He said to put it all together will take more time than they’ve got. Thompson asked if there has been any indication that there’s anything wrong with it. Horne said that the IRS is questioning issues of the taxable/non-taxable part. Horne said Jostens is defending it because he feels it’s proper. Thompson asked if the IRS decided that the items were taxable, if it would make it 4.5% interest instead. She asked if it would be a disadvantage. Horne said he didn’t know what kind of rate the County would get if they bonded as taxable. Thompson said that she doesn't want to give the bonding up. Stutsman said she’s isn’t interested unless they know it’s acceptable to the IRS because she doesn’t want any more embarrassment for the County. Horne said that he can see how the worksheet will look tomorrow without the bonding. He said that some things, like the voting equipment, the Board could proceed with. Neuzil said that the money saved for voting equipment could be used to lower the tax asking. He asked how much they have currently saved. Horne replied that is around $150,000.

Harney asked if Jostens had checked with the State to see if the bonding was all right before proceeding last year. Horne said that it’s not a State issue. Thompson said that the County Attorney said it was all right. She added that she anticipated that the IRS would check it because it was a new idea. Horne commented that he thinks that is a large part of the reason why. Thompson said that it might be fine then. Horne said that the County is now at the mercy of deadlines unfortunately. Harney said that he’d hate to lose the bonding, but he also understands what Stutsman’s saying as well. Horne said that he didn’t think they should give it up forever, just that this year they are pinched for it. Thompson said that it’s the years with low interest that will benefit the County. Horne recommended that the Board proceed with the voting equipment and added that they wouldn’t have to do it during the budget cycle. He said that they could decide that they’re going to do it, lower the tax asking and release the bond down the road. Thompson asked about bonding for FinCore. Horne replied that the County has most of that money. Thompson said that the Board could do the same thing by putting what’s saved back into the General Fund. Neuzil asked if the Board can bond for the financial software. Horne replied that they can bond for up to $800,000. Harney asked if Horne had talked to the Treasurer about the bonding. Horne replied that he’s talked to the Treasurer and the Auditor and they feel that until they receive the IRS’s decision, they’re nervous about proceeding. Stutsman said that in lieu of the fact that the Board thought everything was OK with the MH/DD spend down, she’s hesitant. Horne said that the Board can go back and bond for things later and it would have an effect in next year’s budget. Thompson said that Horne is reestimating this year’s budget to account for the IRS audit and leaving the future year out. Horne said that he’s preparing the budget as if they were not bonding.

Thompson asked about the Staff Development Board line item. Horne replied that it’s the CLP money. Thompson asked if it costs $3,000. Horne replied that they also paid for the Extension Program out of this line item as well. Thompson said they won’t be doing that next year. Horne said that the CLP was $800 this year. Neuzil asked what other employees should attend the training. Thompson said that they were considering letting department heads nominate people to attend the training. Horne said that Shramek and Moore are the 2 people that have indicated interest. He added that the Board could use some of this year’s budget for things like ISAC. Thompson said that the Board doesn’t need to budget the $3,000 then, only how many people are going to attend CLP training. Neuzil said that 3 people is $2,400 to $3,000. Horne asked if the Board wants to send 3 people. He added that Coralville and Iowa City send 2 at a time. Stutsman said that the Board should limit it to 2 people. Thompson clarified that they should budget $2,000 instead $3,000. Neuzil asked if the Board doesn’t want to send a member then. Stutsman said she thought they should have application processes to determine who to send. Thompson said that if a Board member wants to go, it would be hard not to pick them. Stutsman suggested having a team from throughout the County. Neuzil said that is assuming that the County gets selected because it’s not automatic. Thompson clarified that they would budget $2,000.

Horne said that an addition to Central Services this year is the Safety Committee. Thompson said that it is fine with her. Lehman said it may have offset savings somewhere else. Thompson said they may be able to get matching funding from the insurance company. Stutsman asked why they need $2,000. Thompson said that Human Resources Coordinator Jen Feldmann has a budget prepared which includes things the insurance company recommends like training and equipment. Horne added that they may also be able to get a grant through the IWMCA, but the County must spend the money first and be reimbursed if approved. Thompson said that Feldmann received $4,000 for this year, but generally people get more in their first year. Horne said that there’s more things to look for in the first year.

Horne said the Civil Service line item they discussed earlier is for the test that they need to take and the first item is actually for the Commission. Thompson said that the budget was $300 for one year, $1,900 the next year and the Board budgeted $1,200 each year. Horne said that it depends how many tests are given in a year.

Thompson asked about funds for Strategic Planning Consultant Tim Shields. Horne said that he isn’t even sure what they were paying the consultant. Stutsman said that the Board paid him $700 at one time. Horne asked if they want to leave $700 in then. Thompson said that the Board paid him $600 last year, but it depends on how many meetings he attends. Horne said that he would like to see strategic planning focus on how it affects the budget rather then throwing out abstract ideas in a room. Thompson commented that it’s true that Shields hasn’t helped the Board tie it to the budget process like they wanted. She added that they have Horne and Sullivan to help the Board do that. Stutsman said that Shields could help the Board for a price, but she thought they could do the meetings in-house. Thompson asked if the Board wants to take the funding out then. Stutsman replied no. She said that this year the Board will have to include elected officials and department heads in their strategic planning. Horne asked if the Board had scheduled Shields for this year yet. Thompson said that they usually have the meeting with him in January, but they haven’t scheduled him yet. Horne said that in many of the biggest counties, this kind of planning is done in-house because they have the specialization in-house to be able to.

Thompson asked if Horne and Sullivan would set strategic planning up for the Board. Horne replied that he tried to in the budget this year by prioritizing in the different service areas. Thompson said that the Board is thinking of the day that they spend just focusing on strategic planning. Horne replied that the strategic planning day is something they can do even before the budget season begins. Stutsman asked if Horne is suggesting the Board do strategic planning in-house this next fiscal year. Horne said yes. Thompson asked what the Board is going to do this year. Horne said that it was always curious to him that the Board’s met with Shields in February after the budget processes had ended. Thompson said that the Board was looking ahead. Horne said that if the Board finds it worthwhile, they should continue, but he attended 2 meetings and he always thought they concentrated a lot on what happened during the year and what will happen in the next year, but didn’t think long-term. Lehman said it’s hard to put into action. Harney said that if there’s an issue with the strategic planning session, then the Board should direct Shields in what they want for this year’s session. Stutsman said that her concern is sitting in budget sessions last year, saying that they didn’t do any strategic planning the year before. She added that if they have someone scheduled then it motivates the Board to get the process started. Thompson said that she wasn’t entirely happy with Shields, but it keeps the Board going. Harney agreed and added that he’s sees advantages to an outsider coming in and pointing out problems because people might cooperate a little more. Stutsman said that elected officials want to be a part of the process this year. Horne added that department heads also want to be a part of the process as well. Stutsman said that the Board might have to do more planning before the session about what it is they want. Horne said that Shields is only with the Board for the one day, but the Board talks about areas where he doesn’t see the tie in with the budget. Thompson said there is some strategic planning that the Board has to do for the County that doesn’t have budget issues. Horne said that there are very few issues that don’t involve money. Lehman said that one year the Board met with Shields in January or February, then in May or June they met with department heads. Thompson said that the initiative to work with other governments regarding Highway 965 and the initiative to change the health insurance participation by the employees don’t necessarily impact the current year’s budget. Horne said that it’s more than just the current year’s budget that needs consideration because the Board needs to set priorities for the long-term. Stutsman called for a decision and said that she would like to leave the $1,500 in. Horne asked if they want to reduce it to Shield’s cost or allow for 2 meetings. Stutsman said that they should allow for 2 meetings. Thompson said that last year Shield either didn’t charge the County or the bill was paid out of a different line item. Horne said that last year was a shorter meeting than previous years and they didn’t rent a room at the Sheraton last year either.

Thompson asked why grave markers come out of this budget instead of the VA’s budget. Horne replied that some of these things have just always come out of this budget. Neuzil added that they have been spending the money. Stutsman said the Auditor’s portion is probably for indigents who aren’t veterans. Thompson said she thought it is for the things they put on the graves during Memorial Day. She said it doesn’t really make a difference, only that it seems odd being in this budget.

Neuzil asked if the dues from ISAC and NACO are exactly what they’ve budgeted for. Horne replied that it’s very close. Horne said that the property taxes in this budget are to cover the taxes on the Fisher building apartments. Neuzil clarified that the revenues generated from the rent goes into the General Fund. Horne added that the County is making money on the apartments.

Horne said he doesn't have the revenues for Central Services yet because most of them are tax revenues. He expected interest to go down 10%. He said that the tax revenue for the General Fund all comes in through department 18. Thompson said the net change to this budget is -$1,000. Horne said not to count the health insurance because it will be allocated out to the departments next year. Neuzil clarified that they are taking out the $40,000. Thompson summarized that they decreased $40,000 and another $1,000 in non-personnel and Horne added a decrease of $10,000 in staff development and labor relations. Neuzil asked how the Board will respond if the Sheriff’s retirement situation arises. Horne said that they will deal with it then because a lot of it depends on the timing of the retirement because if the retirement falls in October then the Department has enough salary left for that person for awhile. He said that the person that’s replacing the retiree will not start at the same pay rate. Neuzil said that is how they do it now. Stutsman said that at least the Board isn’t taxing for the worst case scenario, which is basically what the $40,000 is for. Horne said that was the size of Major Lewis’ retirement pay that caught the department off guard. Stutsman asked why his payout is so large. Thompson said that in the Department’s union contract they get sick paid back because he’s accrued the full amount of vacation, which is 10 weeks, plus whatever sick leave he has. Neuzil said that County Sheriff Bob Carpenter was able to find the payment in his budget.

Thompson summarized the changes the Board made including decreasing $40,000 in retirement monies, increasing township officials by $500, $500 to gasoline, decreasing Staff Development by $1,000, $9,000 from labor relations and $500 from strategic planning for the Board. She added that the Board decreased this budget by $44,500

Stutsman said there is not much to discuss with Insurance because there’s no choice but to pay the rates. Horne said that the Board is still not to the point where it would be cost effective to self insure the County. Stutsman said that there’s been a 28% increase in this budget for insurance. Horne agreed and pointed out that there’s been a fairly substantial increase since FY 01. He added that it’s 8.6% over last year, but there’s a 10% increase for this year. He explained that the insured loss deductible means that the County gets so much back, for say a car, but then they have to pay the deductible on it. Thompson asked how Horne calculated the revenues for insurance. Horne replied that the Auditor’s Office did. He added that recoveries and insured losses are revenues the County receives back. Thompson said the numbers are just a guess. Horne agreed.

(Continued in Part 2)