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HomeMy WebLinkAbout2016-02-23-Meeting Minutes Finance Committee Meeting Commission Chamber - 2/23/2016 ATTENDANCE: Present: Hons. Sias, Vice Chairman; Frantom and Hasan, members. Absent: Hons. Hardie Davis, Jr., Mayor; Guilfoyle, Chairman. FINANCE 1.Motion to accept a grant award for Public Defender from ACCG. This grant is awarded for the 2016 summer program in the amount of $4000 for the Public Defender intern project to cover two 180 hour internships. Item Action: Approved Motions Motion Type Motion Text Made By Seconded By Motion Result Approve Motion to approve. Motion Passes 3-0. Commissioner Ben Hasan Commisioner Sean Frantom Passes 2. Authorize creation of new bank account for the renewal and replacements activities at Fort Gordon. Item Action: Approved Motions Motion Type Motion Text Made By Seconded By Motion Result Approve Motion to approve. Motion Passes 3-0. Commissioner Ben Hasan Commisioner Sean Frantom Passes 3. Forensic Audit of SPLOST VI. (Requested by Commissioner Lockett) Item Action: Rescheduled Motions Motion Type Motion Text Made By Seconded By Motion Result Defer Motion to refer this item back to the first committee cycle after the Masters Tournament. Motion Passes 3-0. Commisioner Sean Frantom Commissioner Ben Hasan Passes 4. Motion to approve the minutes of the Finance Committee held on February 9, 2016. Item Action: Approved Motions Motion Type Motion Text Made By Seconded By Motion Result Approve Motion to approve. Motion Passes 3-0. Commissioner Ben Hasan Commisioner Sean Frantom Passes 5. Motion to approve a resolution authorizing the commencement of the validation process for the bonds approved by the voters in the November 3, 2015 SPLOST election. Item Action: Approved Motions Motion Type Motion Text Made By Seconded By Motion Result Approve Motion to approve. Motion Passes 3-0. Commissioner Ben Hasan Commisioner Sean Frantom Passes 6. Motion to approve a resolution declaring the results of the November 3, 2015 special purpose local option tax election results. Item Action: Approved Motions Motion Type Motion Text Made By Seconded By Motion Result Motion to approve. Commissioner Ben Commisioner Sean www.augustaga.gov Approve Motion Passes 3-0. Hasan Frantom Passes Finance Committee Meeting 2/23/2016 1:05 PM Attendance 2/23/16 Department: Presenter: Caption: Background: Analysis: Financial Impact: Alternatives: Recommendation: Funds are Available in the Following Accounts: REVIEWED AND APPROVED BY: February 5, 2016 Ms. Kari Kitchens 402 Taylor Street Augusta, GA 30901 Dear Kari: I am pleased to inform you that Augusta-Richmond County has been awarded a Georgia County Internship Program (GCIP) grant from the ACCG Civic Affairs Foundation. This grant is awarded for the 2016 summer program in the amount of $4000 for the Public Defender intern project to cover two 180 hour internships. The grant provided must be used to fund costs associated with the intern’s salary, FICA, and worker’s compensation as specified in the grant contact. A grant contract package is enclosed for you to complete and return. Please contact Michele NeSmith at mnesmith@accg.org or at 404-522-5022 if you need assistance in publicizing the proposed internship position. While the Foundation will post this position through their website and help to publicize it through other channels, it is the responsibility of the county to recruit, interview and hire the intern. In the event your county is unable to hire a summer intern for the project description provided, the grant award designated for this purpose will be rescinded and will be used by the Foundation to fund future internship grants. Congratulations and thank you for participating in the GCIP summer grant program. Sincerely, Ross King ACCG Civic Affairs Foundation Secretary-Treasurer cc: Mayor Hardie Davis Janice Jackson Lena Bonner Finance Committee Meeting 2/23/2016 1:05 PM 2016 Summer Intern grant award $4000 from ACCG Department:Public Defender Presenter:Katherine Mason Caption:Motion to accept a grant award for Public Defender from ACCG. This grant is awarded for the 2016 summer program in the amount of $4000 for the Public Defender intern project to cover two 180 hour internships. Background: Analysis: Financial Impact: Alternatives: Recommendation: Funds are Available in the Following Accounts: No match needed REVIEWED AND APPROVED BY: Finance. Law. Administrator. Clerk of Commission Finance Committee Meeting 2/23/2016 1:05 PM Bank Account for Utilities Fort Gordon Activies Department:Finance Presenter:Donna Williams Caption:Authorize creation of new bank account for the renewal and replacements activities at Fort Gordon. Background:The Utilities Department has been under contract with Fort Gordon since 2008 to operate and maintain their Water & Wastewater systems (O & M), and for Renewal & Replacement of the assets (R & R) of the system until 2058. The monthly payment that is received from the Fort is approximately 50% for O & M and 50% for R & R. Currently the combined payments are received into the Utilities operating cash account at Georgia Bank & Trust. Analysis:O & M payment is intended to cover the annual operating costs of the system and the R & R payment is calculated and paid to Utilities based on the present value of future expenditures over the 50 years of the contract. Since the R & R payment is calculated and paid based on future estimates but at a fixed amount each month, there will always be differences between the amount received and the amount expended. However, payments are calculated to match total expenditures and total payments over the life of the contract. Currently, the amount of payments received for R & R exceeds the amount of expenditures required by the schedule in the contract. Utilities would rather not commingle these funds, and would like to open a new bank account that would be designated funds to be used only for R & R projects at the Fort for our own benefit and to provide assurance to the Fort that the funds for future projects are separated from the Utilities Operating Funds. Establishing a second bank account will allow an increase to departmental operational efficiencies. Financial Impact:Utilities wishes to open a new bank account at Georgia Band & Trust and to have the R & R portion of each monthly payment transferred by Finance into this new bank account. At each month end, Utilities will also request from Finance to have expenditures for Fort Gordon R & R projects to be transferred out of this account. Alternatives:Leave Fort Gordon R & R funds commingled with Utilities’ operating funds Recommendation:approve new bank account Funds are Available in the Following Accounts: na REVIEWED AND APPROVED BY: Finance. Law. Administrator. Clerk of Commission Finance Committee Meeting 2/23/2016 1:05 PM Forensic Audit of SPLOST VI Department:Clerk of Commission Presenter: Caption:Forensic Audit of SPLOST VI. (Requested by Commissioner Lockett) Background: Analysis: Financial Impact: Alternatives: Recommendation: Funds are Available in the Following Accounts: REVIEWED AND APPROVED BY: Finance Committee Meeting 2/23/2016 1:05 PM Minutes Department:Clerk of Commission Presenter: Caption:Motion to approve the minutes of the Finance Committee held on February 9, 2016. Background: Analysis: Financial Impact: Alternatives: Recommendation: Funds are Available in the Following Accounts: REVIEWED AND APPROVED BY: A RESOLUTION OF THE AUGUSTA-RICHMOND COUNTY COMMISSION AUTHORIZING THE COMMENCEMENT OF VALIDATION PROCEEDINGS FOR ITS GENERAL OBLIGATION BONDS; AND FOR OTHER RELATED PURPOSES. WHEREAS, the Augusta-Richmond County Commission (the “Commission”), which is charged with the duties of levying taxes, contracting debts, and managing the affairs of Augusta, Georgia (the “Consolidated Government”), and the Richmond County Board of Elections, which is the Superintendent of Elections of Richmond County, called an election which was held on November 3, 2015, for the purpose of submitting to the qualified voters of Richmond County the question of whether or not a one percent sales and use tax should be reimposed; and WHEREAS, the ballots used in the election provided that if reimposition of the tax is approved by the voters, such vote shall also constitute approval of the issuance of general obligation debt of the Consolidated Government in the principal amount of $30,000,000 (the “General Obligation Debt”); and WHEREAS, at the election duly called and held on November 3, 2015, a majority of the qualified voters of Richmond County, voting in the election, voted in favor of the reimposition of the sales and use tax, which vote also constituted approval of the issuance of the General Obligation Debt; and WHEREAS, on _____________,2016, the Commission adopted, at a meeting duly called and held, a resolution entitled: A RESOLUTION OF THE AUGUSTA-RICHMOND COUNTY COMMISSION DECLARING THE RESULTS OF AN ELECTION HELD ON NOVEMBER 3, 2015 TO DETERMINE THE REIMPOSITION OR NON-REIMPOSITION OF A SPECIAL ONE PERCENT SALES AND USE TAX; AND FOR OTHER RELATED PURPOSES declaring the results of the election to be in favor of the reimposition of the sales and use tax; and WHEREAS, the Consolidated Government wishes to issue, in one or more series and on one or more dates of issuance, all of the General Obligation Debt so authorized in the aggregate principal amount of $30,000,000, in the form of general obligation bonds of the Consolidated Government, and wishes to authorize the commencement of validation proceedings for such bonds; NOW, THEREFORE, BE IT RESOLVED by the Augusta-Richmond County Commission, and it is hereby resolved by authority of the same, that the attorneys for the Consolidated Government are hereby authorized and instructed to commence validation proceedings in accordance with the requirements of Article 2 of Chapter 82 of Title 36 of the Official Code of Georgia Annotated, as amended, and to take all actions necessary to obtain an order of the Superior Court of Richmond County, Georgia validating and confirming such bonds, and that the Mayor of Augusta, Georgia is hereby authorized and directed to execute any pleadings in connection therewith. ATLANTA 5676986.1 BE IT FURTHER RESOLVED by the authority aforesaid, and it is hereby resolved by authority of the same, that it is hereby determined that, during each year in which any payment of principal or interest on such bonds comes due, the Consolidated Government will receive from the sales and use tax net proceeds sufficient to fully satisfy such liability, as indicated on Exhibit A attached hereto and made a part hereof. PASSED, ADOPTED, SIGNED, APPROVED, AND EFFECTIVE this ___ day of ___________ 2016. AUGUSTA, GEORGIA By: (SEAL) Mayor Attest: Clerk of Commission -2- ATLANTA 5676986.1 EXHIBIT A SUFFICIENCY DETERMINATION 1 Based on assumed growth rate of -0-% per year. 2 Based upon maximum interest rate of 5.00% and after deducting funded interest and expected interest earnings thereon. Year Ending December 31 Estimated Net Proceeds of Sales and Use Tax -1 Principal and Interest Requirements - 2 2016 27,900,000 450,000 2017 37,200,000 900,000 2018 37,200,000 900,000 2019 37,200,000 15,900,000 2020 37,200,000 15,450,000 2021 38,800,000 0 ATLANTA 5676986.1 STATE OF GEORGIA RICHMOND COUNTY CLERK’S CERTIFICATE I, LENA J. BONNER, Clerk of Commission, DO HEREBY CERTIFY that the foregoing pages constitute a true and correct copy of a resolution adopted by the Augusta- Richmond County Commission (the “Commission”) at an open public meeting duly called and lawfully assembled at 2:00 p.m., on the 1st day of December 2015, in connection with authorizing the commencement of validation proceedings for its general obligation bonds, the original of such resolution being duly recorded in the Minute Book of the Commission, which Minute Book is in my custody and control. I do hereby further certify that the following members of the Commission were present at such meeting: Mayor Hardie Davis, Jr. William Fennoy Dennis Williams Mary Davis Sammie Sias Bill Lockett Ben Hasan Sean Frantom Wayne Guilfoyle Marion Williams Grady Smith and that the following members were absent: and that such resolution was duly adopted by a vote of: Aye ___ Nay ___ WITNESS my hand and the official seal of Augusta, Georgia, this the 1st day of December 2015. (SEAL) Clerk of Commission ATLANTA 5676986.1 Finance Committee Meeting 2/23/2016 1:05 PM Motion to approve a resolution authorizing the commencement of the validation process for the bonds approved by the voters in the November 3, 2015 SPLOST election. Department:Finance / Administrator Presenter:Jim Plunkett Caption:Motion to approve a resolution authorizing the commencement of the validation process for the bonds approved by the voters in the November 3, 2015 SPLOST election. Background:In the recent SPLOST election, the voters authorized the issuance of $30,000,000 in bonds to pay for the construction of one or more of the SPLOST projects. To facilitate the issuance of bonds and to avoid delay once the Commission determines which projects it wishes to acquire or construct with bond proceeds, it is beneficial to move forward with validation of the bonds at this time and a resolution is needed to authorize the action. Analysis: Financial Impact:none at this time Alternatives:na Recommendation:approve resolution Funds are Available in the Following Accounts: na REVIEWED AND APPROVED BY: Finance. Law. Administrator. Clerk of Commission ATLANTA 5676984.1 A RESOLUTION OF THE AUGUSTA-RICHMOND COUNTY COMMISSION DECLARING THE RESULTS OF AN ELECTION HELD ON NOVEMBER 3, 2015 TO DETERMINE THE REIMPOSITION OR NON- REIMPOSITION OF A SPECIAL ONE PERCENT SALES AND USE TAX; AND FOR OTHER RELATED PURPOSES. WHEREAS, Augusta-Richmond County Commission (the “Commission”), which is charged with the duties of levying taxes, contracting debts, and managing the affairs of Augusta, Georgia (the “Consolidated Government”), and the Richmond County Board of Elections (the “Superintendent of Elections”), which is the Superintendent of Elections of Richmond County, called an election which was held on November 3, 2015 for the purpose of submitting to the qualified voters of Richmond County the question of whether or not a special one percent sales and use tax should be reimposed; and WHEREAS, the ballots used in the election provided that if reimposition of the tax is approved by the voters, such vote shall also constitute approval of the issuance of general obligation debt of the County in the principal amount of $30,000,000 (the “General Obligation Debt”); and WHEREAS, the returns of the election were duly brought up by the Managers of such election, as required by law, and were presented to the Superintendent of Elections on its own behalf and on behalf of the Commission for consolidation and for the declaration of the result of the election; and WHEREAS, the returns of the election were received from all of the poll officers and thereupon the Superintendent of Elections canvassed, computed, and consolidated the returns of the election and concurrent with the adoption of this resolution delivered a certified copy of the consolidated return of the election to the Commission, and the result of the election was as follows: Total Voted Ballots Cast 15,600 Total Blank Votes Cast 87 Total Ballots Cast 15,687 Spoiled Ballots 0 Total number of votes cast FOR the reimpositionof a special one percent sales and use tax 9,594 Total number of votes cast AGAINST the reimpositionof a special one percent sales and use tax 6,006 NOW, THEREFORE, BE IT RESOLVED by the Augusta-Richmond County Commission, and it is hereby resolved by authority of the same, that the election resulted in favor of the reimposition of a special one percent sales and use tax, by an affirmative vote of a majority of the qualified voters of Richmond County voting in the election held for such purpose, that the reimposition of the special one percent sales and use tax and the issuance of the General Obligation Debt have been authorized as required by law, and that the results of the election are hereby declared to be as set forth above. BE IT FURTHER RESOLVED by the authority aforesaid, and it is hereby resolved by authority of the same, that a duly certified copy of the consolidated election return of the Superintendent of Elections be attached to this resolution as Exhibit “A” and made a part hereof. PASSED, ADOPTED, SIGNED, APPROVED, AND EFFECTIVE this _____ day of ____________2016. (SEAL) AUGUSTA, GEORGIA By: Mayor Attest: Clerk of Commission -2- ATLANTA 5676984.1 STATE OF GEORGIA RICHMOND COUNTY CLERK’S CERTIFICATE I, LENA J. BONNER, Clerk of Commission, DO HEREBY CERTIFY that the foregoing pages constitute a true and correct copy of a resolution adopted by the AugustaRichmond County Commission (the “Commission”) at an open public meeting duly called and lawfully assembled at 2:00 p.m., on the _____ day of ____________2016, in connection with declaring the results of an election pertaining to the reimposition or non-reimposition of a special one percent sales and use tax, the original of such resolution being duly recorded in the Minute Book of the Commission, which Minute Book is in my custody and control. I do hereby further certify that the following members of the Commission were present at such meeting: Mayor Hardie Davis, Jr. William Fennoy Dennis Williams Mary Davis Sammie Sias Bill Lockett Ben Hasan Sean Frantom Wayne Guilfoyle Marion Williams Grady Smith and that the following members were absent: and that such resolution was duly adopted by a vote of: Aye ___ Nay ___ WITNESS my hand and the official seal of Augusta, Georgia, this the ____ day of __________2016. (SEAL) Clerk of Commission ATLANTA 5676984.1 Finance Committee Meeting 2/23/2016 1:05 PM Motion to approve a resolution declaring the results of the November 3, 2015 special purpose local option tax election results. Department:Finance / Administrator Presenter:Jim Plunkett Caption:Motion to approve a resolution declaring the results of the November 3, 2015 special purpose local option tax election results. Background:The election law requires that the Commission adopt a resolution declare the results of the recent SPLOST vote by which a majority of the voters approved the reimposition of the special one percent sales and use tax. The Board of Election has previously adopted its resolution regarding the election which is attached to the proposed resolution. Analysis: Financial Impact:none required Alternatives:na Recommendation:approve Funds are Available in the Following Accounts: n/a REVIEWED AND APPROVED BY: Finance. Law. Administrator. Clerk of Commission