HomeMy WebLinkAbout06-24-1996 Meeting
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FINANCE & APPROPRIATIONS
COMMITTEE
COMMITTEE ROOM - June 24, 1996
2:00 P.M.
PRESENT: Hons. J. Brigham, Chairman; Handy, Vice-
Chairman; Bridges and Beard, members; Charles Dillard, Interim
Administrator for Operations; Linda Beazley, Interim
Administrator for Administration; Paul DeCamp of the Planning
Commission; Jim Wall, Interim Attorney; Harrison Sears, Tax
Assessor; John Etheridge, Human Resources Director; Heyward
Johnson, Acting Transit Manager; Lori D'Alessio of the Attorney's
Office; A. B. McKie, Jr., Interim Comptroller; Glenn Greenway
of the Comptroller's Office; Keven Mack of the Economic
Development Office; Lena Bonner, Clerk of Commission-Council
and Nancy Morawski, Deputy Clerk of Commission-Council.
ABSENT: Hon. Larry Sconyers, Mayor.
Also Present: Sylvia Cooper of the Augusta Chronicle,
George Eskola of WJBF Television and Hons. Zetterberg, Todd,
Mays and H. Brigham, Commissioners.
Communication from the Interim Attorney submitting a letter
from Carbonic Industries requesting a waiver of penalty in the
amount of $1,084.23 and interest in the amount of $707.99, was
read.
Mr. Wall: I have represented this company in the past
but do not represent them at the present time. It appears this
was their error.
Mr. Bridges: I move that we retain the penalty and
interest.
Mr. Handy: Second.
Motion adopted unanimously.
Communication from the Interim Attorney submitting a letter
and attachments from R. Thomas Fuller requesting a waiver of
penalty in the amount of $410.89 and interest in the amount
of $253.29 on behalf of Bruce and Martha Lyons, was read.
Mr. Wall: Here it appears there was a wrap-around mortgage
and apparently the tax bill did not get in the proper hands
and so I think it is appropriate that the penalty be waived
but not the interest.
Mr. Bridges: I move that we waive the penalty but not
the interest.
Mr. Handy: Second.
Motion adopted unanimously with Mr. Beard out of the room.
Communication from the Interim Attorney submitting a
Resolution authorizing the transfer of assets in the 1945 and
1977 Pension Plans to be transferred to Smith Barney (Robinson
Humphrey), was read.
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Mr. Wall: In addition to the Resolution, I have a trustee
certification and agreement on four different accounts but
related to these two pension plans as well as a qualified
retirement plan and IRA client agreement. I also have a
Resolution naming certain authorized officers to act on behalf
of those accounts, an investment agreement and a consulting
group agreement. I recommend these for approval and suggest
that these be dated as of the date of the transfer of the first
Commission-Council action and just ratify these in order for
us to go ahead and place these with Smith Barney so they can
start exercising management responsibilities over these accounts.
After a short discussion, Mr. Bridges: I move that we
approve the documents as well as the Resolution.
Mr. Beard: Second.
Mr. Wall: Would you want to accept dating the documents
them as of the last meeting in May?
Mr. Bridges: I'll accept that amendment to the motion.
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Motion adopted unanimously.
The Committee next discussed RFP's for Financial and Legal
Services.
Mr. McKie: This is for the RFP for the proposed bond issue.
This will involve waterworks and we will see if we can refinance
with a level term payment and consolidate them all into one.
The combined sewer overflow projects would be about $13 million
and we would expect the total issue to be around $45 to $50
million.
Mr. Todd: What would be the negatives and positives of
going with an RFP?
Mr. McKie: The positive would be that you would possibly
have more people bidding for the services. The negative side
is that you are dealing with professionals whose strength lies
in their ability and what they bring to the table in terms of
lower interest rates and lower overall costs. A person who
bids cheaply might not have the market knowledge or the contacts
and you end up paying a higher interest rate on the bonds and
twice as much in the long term. We've always gone with a
negotiated basis in which we've dealt with people we've known.
We've always done well in this manner so far.
Mr. Wall: I would think you would not be well served by
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going out with a true RFP. You could go out for a request for
qualifications.
Mr. McKie: I'd like to use the same people we have used
in the past. We know the quality is there and we can negotiate
the fee structure.
Mr. Chairman: I feel that we should go out for the RFP
in order to see what's out there for our benefit.
After further discussion, Mr. Beard: I move that we have our legal
and financial staff negotiate this with people we have dealt
with in the past and get the best rates possible without the
RFP. We would also not rule out unsolicitied proposals.
Mr. Handy: I'll second that.
Motion adopted with Mr. Brigham voting "No".
The Committee next discussed standard criteria for future
privatization proposals.
Mr. McKie: We've talked about standardizing services.
I'd like to propose that we develop a standardized approach
to looking into this, something on an investment type of approach
where we consider all costs, we use net present value in the
approach and where we seek to minimize the long term cost or
maximize the long term income to the government. I would like
to see you endorse this so that we'll have a standard way of
doing it no matter who works on the privatization and so that
you don't spend your time looking at the methodology and
wondering about the logic behind it. This would become a
procedure for anyone to follow.
Mr. Bridges: I move that we develop these policies and
procedures for future privatization.
Mr. Chairman: I'll second it.
Motion adopted unanimously.
Communication from the Interim Comptroller requesting that
the attached lists of vehicles be declared surplus and sold
at public auction. These are vehicles that are beyond their
economic life and have been replaced by other vehicles. The
Sheriff's Department is in dire need of parking space for its
current operating vehicles. These vehicles represent funds
that should go into our equipment pool. I recommend that the
Clerk be directed to advertise immediately and the Administrator
be directed to schedule the sale at the earliest legal date,
was read.
Mr. Beard: I move that we dispose of the vehicles and
ask the Administrator or someone she designates to proceed with
the process to conduct the sale.
Mr. Bridges: Second.
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Mr. Brigham: Paine College had asked for a vehicle; I
don't know if this could help them or not.
Ms. Beazley: The Sheriff says that most of these cars
are not fit to be given to anyone. But I'll check with him.
Mr. McKie: The Police Chief at Blythe had wanted a car.
We had traditionally sold a car to Hephzibah and Blythe for
$1.00 so if you wouldn't mind including that.
Motion adopted unanimously.
Communication from the Interim Comptroller stating the
Amateur Athletic Union "Team Augusta" girls 18 and under
basketball team has requested funds to participate in the
National Youth Basketball League National Tournament. We have
budgeted funds available for specific allocation. In the past
we have made similar contributions for travel costs and entrance
fees. This amount would total $1,025.00. There are other costs
such as food and lodging that we have required the team to pay.
I recommend the allocation, was read. .
Mr. Beard: Second.
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Mr. Bridges: I so move.
Motion adopted unanimously.
Communication from the Interim Attorney submitting a letter
from Bill Warfield of Brookside Properties, Inc. requesting
a waiver of penalty and interest by Augusta Equity, L.L.C.,
was read.
Mr. Wall: This is a situation where the tax bill was sent
to the wrong place because of a foreclosure sale. I think the
waiver of the penalty is in order.
Mr. Handy: I so move.
Mr. Beard: Second.
Motion adopted unanimously.
An agreement between the Georgia Department of Corrections
and Augusta-Richmond County regarding reimbursement by the County
to GDC for expenses incurred in providing two accounting
positions to collect and process persons serving probated
sentences from the State Court of Richmond County, was read.
Mr. Wall: I think this is a standard agreement we've had
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and I recommend it.
Mr. Handy: I so move.
Mr. Bridges: Second.
Motion adopted unanimously.
Communication from the Director of Human Resources
submitting the retirement request from Marion F. Farr, was read.
Mr. Etheridge: Everything is in order on Mr. Parr and
I ask that you approve his retirement.
Mr. Bridges: I so move.
Mr. Beard: Second.
Motion adopted unanimously.
Communication from the Richmond County Board of Assessors
submitting a refund recommendation from Raco Trucking in the
amount of $145.12 and from Raco Service Station in the amounts
of $73.92 and $3.34, was read.
Mr. Handy: I move for approval.
Mr. Bridges: Second.
Motion adopted unanimously.
Communication from the Interim Attorney requesting approval
of a Franchise Agreement with Atlanta Gas Light Company, was
read.
Mr. Wall: This is basically a 3% franchise fee for 30
years.
Mr. Handy: I move for approval.
Mr. Bridges: Second.
Motion adopted unanimously.
Mr. Chairman: We need to add one item to the agenda.
Mr. Handy: I move for approval.
Mr. Beard: Second.
Motion adopted unanimously.
Mr. DeCamp: We were recently awarded two historic
preservation grants by the Department of Natural Resources.
The first is for $15,000 and will fund the development of design
guidelines manual for the Bethlehem neighborhood. The second I
is for $3,700 will help fund the printing of the Summerville
design guidelines manual which was developed by the Summerville
Neighborhood Association last year. We are asking for approval
of the contracts with DNR for each grant and for you to front
the total amount of the grants which is $18,700. These are
reimbursable grants so we can't get the grant funds until after
the projects are completed.
Mr. Handy: I so move.
Mr. Beard: Second.
Motion adopted unanimously.
Mr. McKie: I would like to pass out something I received
from the Mayor's Office. It's a GMA telecommunications franchise
management agreement. The Mayor asked that it be distributed
for everyone to look at and make a recommendation.
ADJOURNMENT: There being no further business, the meeting
was adjourned.
Lena J. Bonner
Clerk of Commission-Council
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