Finance Committee Meeting Minutes

Glynn County Board of Commissioners

4:00 P.M., Tuesday, March 11, 2003

Third Floor Conference Room

W. Harold Pate Courthouse Annex

Brunswick, Georgia

 

 

Present:

                        Committee Members: M. Bedner, J. Chapman, and C. Fendig

Staff:  M. Eckert, J. Hegstrom, C. Johnson, P. McNicoll, D. Newbern, B. Rowell, Jamie Sanders, Jeanette Sanders

Press:  Matthew Permar

Others:  Ralph Guarracino, Fred McGinty

 

1. Consider approval of the Consent Agenda.

a)      Approve the February 25, 2003 Finance Committee Meeting Minutes.

b)      Approve the real and personal property corrections to the 1999, 2000, 2001, and 2002 Digests as recommended by the Board of Assessors and/or the Chief Appraiser at their February 19, 2003 meeting. 

The following motion made by Commissioner Fendig and seconded by Commissioner Chapman passed unanimously.

Recommend approval of the Consent Agenda.  (Vote: 3-0-0)

2.         Consider awarding the bids for the County's Property and Casualty insurance to McGinty-Gordon & Associates for the one year period of April 1, 2003 through March 31, 2004 with one option year as follows:

           

a)   Excess Worker's Compensation to Safety National at an estimated premium of $54,892 with a $300,000 deductible;

b)   Property insurance - 1st layer (10 million dollars) to Discover Re at an annual premium of $240,242.  This option includes $5,000,000 flood with a $100,000 per occurrence deductible;

c)   Property insurance - 2nd & 3rd layer to Illinois Companies and Royal Indemnity at a combined premium of $127,660; and

d)   Aviation and Boiler/Machinery Insurance to Old Republic and Hartford Steam Boiler for a combined premium of $18,548

 

for a total of $441,342, with funding for property and liability premiums in the amount of $386,450 to be provided by the County Insurance Fund and funding for the Excess Worker’s Compensation premiums in the amount of $54,892 to be provided by the Employee Benefit Fund and authorize staff to go straight to the full Board of Commissioners on March 20, 2003, to award the bid for General Liability Insurance coverage. 

 

This item was postponed until after item #4.

                   

3.         Consider submit a grant application to the Georgia DNR Environmental Protection Division’s Hazardous Waste Trust Fund for reimbursement of eligible expenses at the Cate Road Landfill, adopt a Resolution as required by the grant application, and authorize the Chairman to execute the grant application and Resolution. 

 

Mr. Dick Newbern, Grants Administrator, presented this item.  Chairman Bedner questioned how staff became aware that this money was available and Mr. Newbern stated that it was shown on DNR’s website.  The following motion made by Commissioner Fendig and seconded by Commissioner Chapman passed unanimously.

Recommend submit a grant application to the Georgia DNR Environmental Protection Division’s Hazardous Waste Trust Fund for reimbursement of eligible expenses at the Cate Road Landfill, adopt a Resolution as required by the grant application, and authorize the Chairman to execute the grant application and Resolution.  (Vote: 3-0-0)

                      

4.         Consider approving the following:

 

a.      a contract be awarded to RCC Consultants, Inc. for the marketing and managing the County's six communication sites with compensation to be in the form of 30% of all revenue collected;

b.      funds received from the towers associated with the Joint Public Safety Communications Department (JPSCD) are to be used to defray the costs of the JPSCD operations and funds received from the tanks associated with the Utilities Division are to be used for capital improvements of the Division’s Water and Sewer systems;

c.      RCC ascertain the market rate(s) at the time of tower/tank space lease execution and negotiate a lease rate equal to or greater than the prevailing market rate; and

d.      the Board delete next to the last sentence of a motion it approved on March 7, 2002, as follows:

 

Approve rescinding resolution 4R‑39‑96 and setting the lease/rental rates for antenna located on county infrastructure based upon the competitive market rates in effect within Glynn County and adjacent areas at the time of the request.  County staff shall determine the current competitive market rate for lease/rental rates and update annually.  All existing contracts would remain in effect until renewal. 

 

 

Chief Carl Johnson, Fire Chief, presented this item and stated that twenty two (22) companies had been invited to submit a proposal but only two had responded.  Chairman Bedner asked how the five year notional amount was derived and Chief Johnson stated that RCC Consultants estimated the amount based on their knowledge of the market.  Chairman Bedner questioned whether the 30% commission would be taken on the gross receipts or after maintenance and Chief Johnson responded that the County is responsible for maintenance so it would be taken on the gross receipts.  After further discussion the following motion made by Commissioner Chapman and seconded by Commissioner Fendig passed unanimously.

 

Recommend approving the following:

 

a.      a contract be awarded to RCC Consultants, Inc. for the marketing and managing the County's six communication sites with compensation to be in the form of 30% of all revenue collected;

b.      funds received from the towers associated with the Joint Public Safety Communications Department (JPSCD) are to be used to defray the costs of the JPSCD operations and funds received from the tanks associated with the Utilities Division are to be used for capital improvements of the Division’s Water and Sewer systems;

c.      RCC ascertain the market rate(s) at the time of tower/tank space lease execution and negotiate a lease rate equal to or greater than the prevailing market rate; and

d.      the Board delete next to the last sentence of a motion it approved on March 7, 2002, as follows:

 

Approve rescinding resolution 4R‑39‑96 and setting the lease/rental rates for antenna located on county infrastructure based upon the competitive market rates in effect within Glynn County and adjacent areas at the time of the request.  County staff shall determine the current competitive market rate for lease/rental rates and update annually.  All existing contracts would remain in effect until renewal. 

(Vote: 3-0-0)

 

Item # 4 discussion:

 

Ms. Jeanette Sanders, Risk Manager, presented this item and gave the Committee a revised Premium Comparison report.  Mr. Fred McGinty, McGinty-Gordon & Associates, noted that the Property Insurance quotes were nine percent (9%) over the expiring policies and stated that that was very good in the current market.  Worker’s Compensation insurance premiums increased by 19%.  He stated that the quotes on Liability insurance are still not in and that St. Paul, our current carrier, is getting more information from the County before the submit their quotes.  He said that he had also submitted the Liability package to five other insurers for alternate proposals.  Commissioner Chapman commented that since the policies were expiring on April 1, 2003, there was not much time to make decisions regarding the insurance.  After further discussion, the following motion made by Commissioner Fendig and seconded by Commissioner Chapman passed unanimously.

 

Recommend awarding the bids for the County's Property and Casualty insurance to McGinty-Gordon & Associates for the one year period of April 1, 2003 through March 31, 2004 with one option year as follows:

           

a)   Excess Worker's Compensation to Safety National at an estimated premium of $54,892 with a $300,000 deductible;

b)   Property insurance - 1st layer (10 million dollars) to Discover Re at an annual premium of $249,852.  This option includes $5,000,000 flood with a $100,000 per occurrence deductible;

c)   Property insurance - 2nd & 3rd layer to Illinois Companies and Royal Indemnity at a combined premium of $127,660; and

d)   Aviation and Boiler/Machinery Insurance to Old Republic and Hartford Steam Boiler for a combined premium of $18,548

 

for a total of $450,952, with funding for property and liability premiums in the amount of $396,060 to be provided by the County Insurance Fund and funding for the Excess Worker’s Compensation premiums in the amount of $54,892 to be provided by the Employee Benefit Fund and authorize staff to go straight to the full Board of Commissioners on March 20, 2003, to award the bid for General Liability Insurance coverage.  (Vote: 3-0-0)

 

5.      Request that Chairman Bedner identify the Finance Committee items which should be included as consent items in the Commission’s Meeting Agenda.

Chairman Bedner identified items 1, 3, and 4 as consent items.  Item  2 will be presented to the full Board of Commissioners since all quotes have not been received.