2012-12-03 Board Meeting Minutes 1
BOARD OF COUNTY COMMISSIONERS
LEWIS COUNTY, WASHINGTON
BOARD MEETING MINUTES
December 3, 2012
The Board of County Commissioners for Lewis County, Washington met in regular session on
Monday, December 3, 2012 at 10:00 a.m. Commissioners F. Lee Grose and Ron Averill
were in attendance. Commissioner Schulte was absent. Chairman Grose determined a
quorum, called the meeting to order and proceeded with the flag salute. Commissioner Averill
moved to approve the minutes from the 10:00 a.m. meeting held on Monday, November 26,
2012. Commissioner Averill noted that the minutes were not verbatim, but captures the essence
of the meeting. Commissioner Grose seconded the motion.
Motion Carried 2-0
PUBLIC COMMENT
Chairman Grose asked for public comment and there was no comment.
CONSENT
Commissioner Averill moved to approve Consent Agenda items one through nine.
Commissioner Grose seconded the motion. Karri Muir, Clerk of the Board, read the items into
the record.
Resolution No. 12-364 Approval of warrants for payment.
Commissioner Averill went over the warrants to be approved and noted that the amount was
$299.47 for two special purpose warrants (Vader Water System).
Resolution No.12-365 Approving Coalview’s use of WEDFA funding.
Commissioner Averill stated this approves the Lewis County Board of County Commissioners
support for the State of Washington Economic Development Finance Authority’s issuance of a
non-recourse revenue bond not to exceed $27 million dollars to finance an economic
development facility at 913 Big Hanaford Road, Centralia, WA for use for Coalview Centralia
LLC for the construction and installation of a coal slurry refuge recovery and processing facility.
This project is within the boundaries of Lewis County and it is the policy of WEDFA to not issue
revenue bonds except upon the approval of the county, city or town within whose planning
jurisdiction a proposed development facility lays. WEDFA seeks Lewis County’s support. This
action creates no obligation on the State of WA or on Lewis County and no tax funds will be
used to pay the principal or interest on the bonds. Neither the faith in credit nor any taxing
power of the State of WA or of Lewis County shall be pledged to pay the principal or interest on
the bonds. The bonding capacity for the issuance for the non-revenue bonds is by WEDFA and
the proceeds are lent to the company pursuant to the company per a loan agreement. The
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BOCC finds that the support of WEDFA’s action is in the best interest of the citizens of Lewis
County
Rodney Wendt, Executive Director of WEDFA, Seattle, WA, stated WEDFA is an entity which
primarily engages in conduit bond financing where we issue bonds that don’t create any
recourse to them or to the State to the benefit of private companies. Most often these are called
industrial development bonds, and they are a way of getting these companies lower interest
rates. The reason we were interested in this project was because it was for economic
development and it promoted jobs. We ask the local planning jurisdiction to express their
support of the project so we are not coming in and doing economic development projects that is
not wanted.
Commissioner Grose stated it is refreshing to have someone ask for permission to do
something before a project is started.
Resolution No. 12-366 Commitment of revenue for special purposes for the Emergency
Management Fund 101.
Suzette Smith, Auditor’s Office stated she is will be speaking on items two through seven.
These are being done because of Government Accounting Standards Boards Statement No. 54.
Statement No. 54 establishes accounting and reporting standards, including criteria for
classifying fund balances types in governmental funds. Statement 54 defines Special Revenue
funds as funds that account for specific revenue sources that are restricted or committed to
expenditure for specific purposes. The State Auditor’s Office is using 20% revenue that is
committed for specific expenditures in order for a fund to be considered a special revenue fund.
If the fund does not have 20% revenue that is committed for specific expenditures or, specific
revenue streams, then that fund must be rolled into current expense or the general fund when
the government wide financial statements are prepared at the end of the year. In order to get
several of Lewis County’s funds to meet the criteria of Statement No. 54 the Commissioners are
asked to commit specific revenue streams. The funds currently before the Board are: Election
Reserve Fund 158, Emergency Management Fund 101, Community Development Fund 121,
Southwest Washington Fair Fund 108, and Senior Services Fund 199. This resolution asks that
certain fees that are specific to the activities that the fund or the personal in the fund provide, be
committed to the expenditures of those funds.
Commissioner Averill stated this resolution is retroactive to January 1,, 2012.
Commissioner Grose asked where the revenues are that go into this fund.
Mrs. Smith stated these are basically fees that come into the County. This is the way that the
BOCC is able to say we are going to commit those fees to be used for those funds.
Resolution No. 12-367 Commitment of revenue for special purposes for the Election
Reserve Fund 158.
See above
Resolution No. 12-368 Commitment of revenue for special purposes for the
Community Development Fund 121.
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See above
Resolution No. 12-369 Commitment of revenue for special purposes for the
Southwest Washington Fair Fund 106.
See above
Resolution No. 12-370 Commitment of revenue for special purposes for the Senior
Services Fund 199.
See above
Resolution No. 12-371 Approving Tim Elsea as the FEMA Applicant Agent and
Merrilee Kenyon as Alternate Applicant Agent/contact for declared natural disasters of
2006, 2007, 2009, 2011, and 2012 as well as for any possible declarations that may occur
in 2013.
Tim Elsea, Public Works Director stated the Emergency Management Division of the State of
Washington requires Lewis County to designate an Applicant Agent and Alternate Agent.
Resolution 12-068 appointed Tim Elsea as the Applicant Agent and Merrilee Kenyon as the
Alternate Agent/Contact. There is a need to designate an Applicant Agent/Contact for Lewis
County in all open, federally declared disasters, and for any disasters that may occur in 2013.
Lewis County Engineer, Tim Elsea, will serve as the Applicant Agent, and Merrilee Kenyon,
Public Works Office Manager, will serve as Alternate Agent/Contact, for the open, federally
declared disasters of: November 2006 flood disaster (#1671); December 2007 flood disaster
(#1734); the January 2009 severe winter storm/flood disaster (#1817); the January 2011 severe
winter storm/flooding (#1963); and the January 2012 severe winter storm (#4056), and for any
future declared disasters that may occur in 2013.
Resolution No. 12-372 Bid award for confiscated, forfeited and unclaimed firearms in
the possession of the Lewis County Sheriff’s Office.
This resolution approves the bid and award of a contract to the best responsive bidder, Joe
Rosbach of Joe’s Outdoor Sport Shop on the Lewis County Sheriff’s Office call for sealed bids
to trade approximately 57 confiscated, forfeited and unclaimed firearms. The awarded bid will
provide 13 Glock side arms, ten extra magazines and 3,500 rounds of FMJ ammunition (Trade
Value of $6,332.00). There were three sealed bids received and all met the
requirements/specifications of the
Motion carried 2-0
Hearing
Hearing: Establishment of a change in Chandler and Doty Dryad Road
Chairman Grose announced the hearing and asked for a Staff Report.
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Larry Unzelman, Public Works In the matter of accepting the establishment of a change in
Chandler Road and Doty Dryad Road. The flood of 2007 washed out the Chandler Bridge over the
Chehalis River near Dryad, WA. To meet the current construction standards for a new bridge it was
necessary to move the bridge south from its former location. A resolution passed by this Board on
September 28, 2009, ordered the County Engineer to examine and if necessary survey Chandler
and Doty Dryad Roads, acquire all necessary right of way and report findings. The report of the
County Engineer together with the survey map was filed with the Board on October 24. 2012. The
report states as follows the necessary right of way has been acquired by deed free and clear and
recorded with the County Auditor. All was done within the adopted procedures as per Resolution
09-381, and under the County’s imminent domain authority.
The roads have been reconstructed to present Lewis County Road Standards and the new bridge
has been built.
Resolution 12-337 passed on the 5th day of November, 2012, fixed the 3rd day of December,
2012, as the time and place for the hearing on the report of the Engineer, and that the Board duly
caused notice thereof to be published and posted as required by law, and the Board now finds the
establishment of the roads to be in compliance with all legal requirements.
It is the recommendation of the County Engineer as stated in his report that the change in Chandler
Road and Doty Dryad Road establishment be accepted by the County.
Commissioner Averill stated there has been considerable discussion regarding this issue. We
are approving a realignment of a road that has already been realigned. The RCW requires the
Board to do this. There has been discussion to approve the realignment prior to construction in
the future.
Chairman Grose asked if there were any more questions. There were none. He closed the
question and answer portion of the hearing and opened the formal hearing.
Larry Unzelman asked that their previous comments be adopted into the record.
Chairman Grose asked if there were any other statements for public testimony. There were
none. He closed the hearing and asked for a motion to approve the Order of Establishment
2012-01.
Commissioner Averill moved to approve Establishment of a change in Chandler and Doty
Dryad Road No. 2012-01. Commissioner Grose seconded the motion.
Motion Carried 2-0
Hearing: Adopting the 2013 Lewis County Budget
Chairman Grose announced the hearing and asked for a Staff Report.
Dawna Truman, Becky Sisson and Lara Seiler were in attendance for the hearing to answer
questions.
Ms. Truman stated she is here to discuss resolution No. 12-373 which is requesting adoption of
the 2013 Final Budget. Copies of the resolution are available at the front of the room. RCW
Chapter 36.40 provides requirements for the budget process for counties. This preliminary
budget was submitted to the BOCC and the Auditor on September 4th, 2012. Budget meetings
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were held in September and October which allowed each elected official and department
director to discuss their individual budgets with the Commissioners. These meeting concluded
on October 24th. A notice of this hearing was published on November 14th and 21st in the East
County Journal and November 15th and 24th in the Chronicle. Copies of the Preliminary budget
were placed at the Centralia College locations in Morton and Centralia as well as Timberline
libraries in Salkum, Packwood and Chehalis on September 26th. This is the second of two
hearings to take public comment and questions on next year’s budget. There was an evening
presentation of the proposed final budget on November 19th at 5:30 pm here in the courthouse.
The Final budget sets Current Expense revenue at $31,550,018.00 and expenditures at
$34,167,906.00 This Final budget sets current expense expenditures $366,583.00 less than the
2012 budget as of 10/31/2012 and next year’s anticipated new revenue is expected to be
$1,168,632.00 lower. The total revenue is budgeted at $94,623,434 and expenditures at
$102,977,883.00. Also attached to this resolution is the 2013 salary grid for non-union
employees. During the collective bargaining process this 2013 salary grid may also be adopted
for union employees. Budget appropriations for 2013 salaries and benefits are provided in direct
correlation to current staffing levels and may not be transferred to operation budgets; and
operation budgets may not be used for salary and benefit changes without express consent of
the Board through resolution. Staff recommends adoption of the 2013 Final budget.
Commissioner Averill stated there are two issues that are important. When we talk about the
Current Expense Budget it covers all of the operating budgets for the Elected Officials and most
of our departments.
We still need to be frugal and cannot do things that make us go out and ask citizens to pay for
later. He is concerned with the ending balance and has asked everyone that is part of the
process to have patience until the economy gets better. The Elected Officials have not taken a
pay raise since 2009. He extended his appreciation to the Budget Office who does a good job
for the County.
Commissioner Grose stated in the past we have tried to base our budget on what we received
the previous year. This budget shows less revenue than the 2012 revenues.
Ms. Truman stated one of the things that is not considered when you put the budget together is
that we are only appropriating what we estimate will be the new revenue in the current year. We
are not putting that number in the budget resolution; it is in our fund balance. In 2011 we
received 1.5 million in excess one time revenue and this Board made the decisions to use that
amount of money. We also have an 11 million dollar fund balance in the operating fund, it is
appropriate to use part of that money. In our financial forecast we are showing a 7.7 million
dollar fund balance at the end of 2013. That number doesn’t consider the fact that there are
unspent expenditures in the current year and possibly excess revenue. This is called a rollover.
When you see the estimated fund balance in the financial forecast you will always see it
between a million to a million and a half less than we estimate it will be.
Commissioner Grose stated he knew we had some timber tax revenue that came in 2011 that
helped. If this forecast comes true we may be looking at some dramatic cuts in 2014
Commissioner Averill asked what we did to the salary grid because of the minimum wage
increase
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Ms. Truman went over the salary grid and what had to be done because of the minimum wage
increase.
Chairman Grose asked if there were any more questions. There were none. He closed the
question and answer portion of the hearing and opened the formal hearing.
Ms. Truman asked that their previous comments be adopted into the record. Commissioner
Averill asked that his comments be adopted into the record also.
Chairman Grose asked if there were any other statements for public testimony. There were
none. He closed the hearing and asked for a motion.
Commissioner Averill moved to approve resolution No. 12-373. Commissioner Grose
seconded the motion. Karri Muir, Clerk of the Board, read the item into the record.
Motion Carried 2-0
Ms. Truman went over Resolution No. 12-374 she noted that this resolution creates three
actions; it sets the budget amount for 2013, it increases the county general levy and the road
levy by 1% over the previous year, and it allows a shift from the roads fund. The budget amount
sets a limitation that will only allow the county to collect up to the amount set by this resolution.
For this reason the budget amount is set higher than anticipated revenue in case new
information is received after the adoption of this resolution. This resolution sets the County’s
regular levy budget at $11,600,000.00 and the County Road levy budget at $11,400,000.00.
This resolution also sets an increase of 1.0% for both the County General levy and County
Road levy over the previous years certified levy collections. This is an increase of
$112,838.97.00 for the County General levy and an increase of $110,425.81.00 for the County
Roads levy. These dollar amounts are calculated using the previous years certified levy amount
times 1.0%.
A shift of the County Road levy to the Current Expense Fund is allowed by RCW 84.52.043; the
shift from the County Road levy does not reduce the levy capacity of any other taxing districts.
The revenue shift from the County Road Fund to Current Expense will be $17,000.00 and will
be transferred to Social Services for use by the Lewis County Sheriff’s Office DUI program. This
resolution will also approve this property tax shift for 2013.
Commissioner Averill discussed the shift and it is money that goes to the Health and Social
Services Department that is used by the DUI Task Force that is operated out of the Sheriff’s
Office. When we do a shift we have to show the funds do some good for the Road Fund.
Ms. Truman stated we are shifting money from the Roads Department under a diversion. A
Diversion is agreed upon by the PW’s Director and the Sheriff to cover the traffic division under
the Sheriff’s Office. A shift is allowed as long as you don’t shift more than will affect other taxing
districts. In 2010 and 2009 we did a million dollar shift. We are only shifting $17,000.00 this year
and that is for the DUI Program.
Commissioner Averill asked why we have a different levy for Roads and for Current Expense
which is based upon the property value we have in the county.
Ms. Truman stated the assessed value is for the entire county including the cities and the
assessed value for the road levy includes only the properties that are in the county and not in
the city.
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Commissioner Grose closed the question and answer portion of the hearing and opened
formal hearing.
Ms. Truman asked that her comments be adopted into the record.
Commissioner Averill stated there has been a 1% raise in taxes every year since he was
elected in 2006. One of the issues is that we know our expenditures are going to increase by
about 3%. There is an excess of expenses because of salaries, step increases, etc. If we do not
make the minimum 1% increase then the County will be in trouble in 2014 and beyond.
Commissioner Grose stated that there is a belief that the County gets all of the property taxes,
yet the biggest portion of the taxes are from school levy’s and school bonds. The conception
that the County receives all the money is false. It is moved through the County to the other
entities. The amount of money we collect with the 1% increase equates to about three
employees.
Commissioner Grose closed the hearing and asked for a motion to approve Resolution No.
12-374.
Commissioner Averill moved to approve Resolution No. 12-374. Commissioner Grose
seconded the motion. Karri Muir, Clerk of the Board read the item into the record.
Motion carried 2-0
Ms. Truman went over Resolution No.12-375 stating the Chehalis Centralia Airport Board is
organized in accordance with Title 14, RCW, Section 14.08.20 Joint Operations and by the
agreement between the City of Chehalis and Lewis County. The Chehalis-Centralia Airport
Governing Board has proposed a budget for the Airport for 2013; and has developed the
proposed budget as a part of its regular public meeting process. This proposed budget is
consistent with the 2002 Airport Master Plan. The City of Chehalis adopted this budget on
November 26th.The 2013 budget would appropriate: Revenue of $1,477,903.00 and total
expense $1,710,146.00, of which $445,000.00 are for capital costs
The Estimated fund balance at the end of 2013 is: $1,728,531.00
Commissioner Averill stated the Airport is jointly owned but the County and the City of
Chehalis.
Commissioner Grose closed the question portion and opened the formal hearing
Ms. Truman asked that her comments be adopted into the record.
Allyn Roe stated we looked mid-way through the year on capital expenditures. The Airport
Board always put money in for a contingency fund. Then towards the last three months of the
year, if it looked like the contingency fund was still there, they would spend it on capital
improvement projects. He has been working to shift the Board to plan out projects during the
year. We developed a seven year financial forecast and capital projects. The fund balance is
higher than what it was in 2012.
Commissioner Grose closed the hearing and asked for a motion
Commissioner Averill moved to approve Resolution No. 12-375.Commissioner Grose
seconded the motion. Karri Muir, Clerk of the Board, read the item into the record.
Motion carried 2-0
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There being no further business, the Commissioners’ public meeting adjourned at 11:00 am on
December 3, 2012. The next public meeting will be held Monday, December 10, 2012, at 10:00
a.m.
Please note that minutes from the Board of County Commissioners’ meetings are not
verbatim. A recording of the meeting may be purchased at the Commissioners’ office.
BOARD OF COUNTY COMMISSIONERS
LEWIS COUNTY, WASHINGTON
ATTEST: F. Lee Grose, Chairman
Karri Muir, CMC, Clerk of the Board P.W. Schulte, Commissioner
Lewis County Commissioners
Ron Averill, Commissioner