Amended 4/4/06

COUNTY SERVICES

March 21, 2006

Minutes

Members Present:         Debbie DeLeon, Dianne Holman, Dale Copedge, Mike Severino, Don Vickers and Board Chairperson Victor Celentino

Members Absent:         Andy Schor

Others Present:             Jared Cypher, Harold Hailey, Chris Holman, Robert Selig, Don Baker, Sue Pigg, Jack Restuccia, Kenric Hall, Lee Hladki and others

The meeting was called to order by Vice Chairperson DeLeon at 7:07 p.m. in the Personnel Conference Room of the Human Services Building, 5303 S. Cedar, Lansing.

Approval of the March 7, 2006 Minutes

MOVED BY COMM. SEVERINO, SUPPORTED BY COMM. HOLMAN, TO APPROVE THE MARCH 7 MINUTES AS SUBMITTED.  MOTION CARRIED UNANIMOUSLY.   Absent:  Comm. Schor

Additions to the Agenda

10a.     Review of Process for Making Appointments to Boards and Commissions – Item pulled from the Agenda.

10d.     Versions 1 and 2 of the Resolution – Item pulled from the Agenda.

13.       Request to Start Employee at Step 5

MOVED BY COMM. SEVERINO, SUPPORTED BY COMM. HOLMAN, TO APPROVE A CONSENT AGENDA FOR THE FOLLOWING ITEMS:

4.         Equalization/Remonumentation Committee – Resolution Amending Resolutions #06-008 and #06-009 Increasing the Amount of the 2006 Survey & Remonumentation Grant with the Michigan Department of Labor and Economic Growth and Contracts with Ronnie Lester, D.B.A.  Polaris Surveying and Wolverine Engineers and Surveyors, Inc.

7.         Health Department

            a.         Resolution to Adjust the Status of Two Positions in the Health Department

            b.         Resolution to Adjust the Status of a Position in the Office for Young

                        Children

8.         Parks and Recreation Commission – Resolution Authorizing the Purchase of Splash Playground Equipment for Hawk Island County Park

9.         Human Resources Department – Resolution Approving the Office and Professional Employees International Probate Court and 30^th Judicial Circuit Court Family Division Collective Bargaining Agreements

10.       County Services Committee

b.         Resolution Congratulating the Allen Street Neighborhood Center on Receiving the Project for Public Spaces Grant

c.         Resolution Congratulating Melissa Austin on Receiving the 2006 Bea Christy/Volunteer of the Year Award

13.       Request to Start Employee at Step 5

MOTION CARRIED UNANIMOUSLY.   Absent:  Comm. Schor

MOVED BY COMM. SEVERINO, SUPPORTED BY COMM. HOLMAN, TO APPROVE THE ITEMS ON THE CONSENT AGENDA.  MOTION CARRIED UNANIMOUSLY.   Absent:  Comm. Schor

1.         Capital Regional Airport Authority

            a.         CRAA Update – Chris Holman, Dick Baker and Bob Selig

            b.         Discussion Item – Capital Regional Airport Authority – Regional Tri-

                        County Efforts

Mr. Selig reviewed the “Capital Region Airport Authority – Airport Progress Report” dated March 2006.  This Report was distributed to the Committee for their information during his update.  He reviewed the Organizational Structure and the Authority Organizational Chart (page 2 of the Report).  The Director’s Staff focuses on the general responsibilities of the Authority. 

The Authority employs 52 personnel.  Operating and Non-Operating & Capital were detailed on page three of the Report.  The current Mill Levy Requirement is $3,174,055.  Mr. Selig stated approximately 87% of all revenues are variable.  The 2006 Budgeted Operating Revenues is $7,409,374.  Salaries account for 40% of the 2006 budgeted expenses.  Total 2006 budgeted expenses is $6,679,382. 

Passenger traffic fell 3.3% in February of this year, compared to the same month a year ago.  Arriving and departing passengers totaled 45,042 for the same month; this is down from 46,564 a year ago.  Mr. Selig stated the reductions are due mainly to Northwest’s flight reductions.    Northwest’s traffic fell by 27% in February 2006 from the 2005 rate for the same period. 

Airport traffic numbers also reflect the departure of Midwest Express from the market. The Airport’s other carriers experienced passenger increases.  Delta Air Lines Inc.’s traffic rose 15%; UAL Corp.’s United Airlines experienced a 31.4% increase; and Allegiant Air Inc. shot up 82.8%.

Mr. Selig reviewed “A 2004 Regional Economic Impact Study defined by the Capital City Airport’s value” as detailed on page six of the Report.  The 2004 Annual Impact was $892 million.  The Tri-County Impact Share was as follows:

• 57% Ingham County
• 25% Eaton County
• 18% Clinton  County

Chairperson Celentino asked if the Authority was still waiting for Clinton County to respond to its December 13, 2005 letter.  Mr. Selig stated the Authority is waiting for the response.  In response to Comm. Holman, Mr. Selig explained a large portion of the Airport property to be developed is located within Clinton County. 

Mr. Selig continued his review of the Report.  The Authority has a state statute authorized tax levy of .75 mills.  The levy is currently .47 mills for the 2005-2006 fiscal year.  Mr. Selig stated the Authority has historically invested approximately $1 to $1.5 million annually for capital improvements.  Since July 2003, the Authority has invested an additional $2 million annually in Airport development. 

Bankruptcy impacts on the Authority from Northwest and Delta were detailed on page 12 of the Report.  Northwest is expected to reduce flights nationally by 15% to 20% through the first quarter of 2006.  Delta reports flight reductions nationally of 15% to 20%.  The revenue guarantee commitment is helping Mid-Michigan retain service while service to other Midwest communities is being terminated.

The 2006 Airport Authority Critical Path will include the continued evaluation of Authority expenses and increasing efficiencies through the introduction of technology.  Efforts to intensify diversity Airport revenue streams will intensify.  Efforts will continue to expand air cargo and corporate aviation.  Mr. Selig stated the Authority will focus recruitment efforts toward expanding service from airlines not involved in bankruptcy proceedings. 

The Tri-County Membership Expansion Update was detailed on page 15 of the Report.  Highlights of this Update include:

• June 7, 2005 - Authority Board established the Airport Authority Membership Expansion Committee to research membership expansion options, as well as consider Clinton County’s June 1 proposal.
• July 26, 2005 - Eaton County sends a letter declining the offer of ex-officio membership on the Authority Board.
• August 30, 2005 - Clinton County sends the Authority another counter-offer.  After review by individual Board members, Clinton County officials are informally advised the August 30 proposal is not workable.
• November 29, 2005 – Clinton County sent a letter requesting formal consideration of their August 30 proposal.
• December 6, 2005 – Clinton County’s November 29 request is fully considered at the Authority Board meeting, resulting in the formal decline of the August 30 proposal.  The Authority Board approves the original June 1 Clinton County proposal with modifications.
• December 13, 2005 – Authority Chairperson formally communicates the Authority’s counter-proposal to Clinton County in a December 13 letter.
• To Date – there has been no further responses from Clinton County.  The Authority Board remains open to further discussions.

Mr. Selig stated the Authority’s primary efforts are to deal with Delta Airlines, Northwest Airlines and United Airlines.  United may expand their services. 

Comm. DeLeon asked if the Authority is involving the EDC in its land development discussions.  Mr. Selig stated they do involve the EDC in the development discussions. 

2.         Greater Lansing Convention and Visitors Bureau – Presentation

Mr. Hladki, President, Greater Lansing Convention and Visitors Bureau, distributed copies of the Bureau’s 2005 Annual Report to the Committee.  He stated the Lansing region finished 2005 ahead of the State average for hotel occupancy.  The Bureau continues to face strong competition from Grand Rapids and Kalamazoo.  Mr. Hladki stated the Region continues to do well considering it has not added any new significant products to the marketplace. 

January, 2006 demonstrates modest growth in occupancy compared to January, 2005.  Member hotels report a 4.1% growth.  Travel experts predict Michigan will have a better year.   Mr. Hladki stated Lansing will host the 150^th anniversary of the Michigan Dental Association and the Red Hat Society convention in September.  Both events are expected to be regional sell-outs.

Mr. Hladki reviewed the year end statistics which were attached to his March 14, 2006 memorandum to this Committee. 

Mr. Hall, Board Chair and General Manager of the Radisson Hotel, stated the Radisson Hotel will work collaboratively with the Bureau to increase regional tourism. 

Comm. Vickers asked for an update regarding the Lansing Center.  Mr. Hladki stated things are moving in the right direction regarding the Lansing Center.  The Center is anticipating the confirmation of new events. 

Comm. DeLeon asked about the impact the Bureau may be experiencing regarding the Grand Rapids center.  Mr. Hladki stated the Grand Rapids center is affecting the Bureau less than anticipated.  Comm. Copedge asked if the Bureau is making any efforts to increase minority participation.  Mr. Hladki explained that Ms. Sims has been appointed to assist in this effort.  Ms. Sims will conduct out-reach efforts to attract other minority businesses to this area.  The Authority’s website includes multiple languages. 

3.         Economic Development Corporation – Resolution to Authorize an Agreement with the Lansing Regional Chamber of Commerce to Participate in the Lansing Regional Economic Development Assessment Project

MOVED BY COMM. HOLMAN, SUPPORTED BY COMM. VICKERS, TO APPROVE THE RESOLUTION TO AUTHORIZE AN AGREEMENT WITH THE LANSING REGIONAL CHAMBER OF COMMERCE TO PARTICIPATE IN THE LANSING REGIONAL ECONOMIC DEVELOPMENT ASSESSMENT PROJECT. 

Comm. Holman and Ms. Pigg addressed each other regarding a Tri-County Regional Planning study.  Ms. Pigg stated she thought they were talking about two different studies.  Ms. Pigg and Comm. Holman then addressed future concerns and studies. 

MOTION CARRIED UNANIMOUSLY.   Absent:  Comm. Schor

(Chairperson Celentino left the meeting at 8:07 p.m.)

5.         Community Corrections Advisory Board – Resolution to Authorize a Reorganization at Project Sentry and Amending the 2006 Budget

This item was pulled from tonight’s agenda.  The item was tabled by the Law Enforcement Committee.

6.         Financial Services Department – Resolution to Approve Deficit Elimination Plans for the Drain GIS Study Fund and the Insurance Internal Service Fund

MOVED BY COMM. SEVERINO, SUPPORTED BY COMM. VICKERS, TO APPROVE THE RESOLUTION TO APPROVE DEFICIT ELIMINATION PLANS FOR THE DRAIN GIS STUDY FUND AND THE INSURANCE INTERNAL SERVICE FUND. 

Comm. Severino asked how the Financial Services Department was handling this matter.  Mr. Restuccia explained the deficit elimination plan was approved by the Board of Commissioners through Resolution #05-227.  The Drain Commissioner is trying other resources to avoid levying a millage to deal with the deficit.

Comm. Severino stated his wish that the Drain Commissioner was present at tonight’s meeting to address this item.  He further stated he was disappointed with this project at the start.  Comm. Vickers stated other entities have had a hard time seeing the value in this plan.  Comm. Holman stated she had uncertain feelings about specific aspects of this plan. 

MOTION CARRIED UNANIMOUSLY.   Absent:  Comm.  Schor

10.       County Services Committee

a.         Discussion Items – Draft Resolution to Establish a Policy on the County Orientation of County Appointees to Certain Boards and Commissions and Review of Process for Making Appointments to Board and Commissions

The discussion items were rescheduled for the next meeting due to Chairperson Schor’s absence.

            d.         Resolution Affirming the Benefits of Affirmative Action

This item was rescheduled for the next meeting due to Chairperson Schor’s absence.

11.       Controller’s Office – Discussion Item – Courthouse Security Concerns

Mr. Cypher informed the Committee that a few keyboards were stolen from the vault at the Mason Courthouse recently.  This is a rare occurrence.  He stated there is a general consensus at the Courthouse that increased security is needed. Department heads met this morning to discuss several options.  The Facilities Department will cost the options and meet with the Department Heads in a month to review the Department’s findings.  If improvements are to be made, they will be addressed in the 2007 budget process.

In response to Comm. Copedge, Mr. Cypher stated the vault is open to the general public.  Comm. Vickers explained the Fair Board uses security codes at the Fair Board Office.  The codes seem to be very effective.

(Comm. Severino left the meeting at 8:18 p.m.)

12.       Board Referral – Letter from David C. Lee, Equalization Direction Calhoun County, Thanking Ingham County Equalization/Tax Mapping Director and Staff

Vice Chairperson DeLeon stated it is very nice to receive letters from other entities regarding our staff.  She congratulated Mr. Stover and his staff for a job well done.

Announcements

Comm. Holman stated the Tri-County Regional Growth Study was presented last week.  Few representatives from Ingham County were in attendance at the presentation.  The Study will be presented to other communities.

Mr. Cypher informed the Committee that there were two versions of the Resolution in item 10d.  Version #1 is the County Attorney recommendation and Version #2 is a modified version of #1.

Public Comment:          None

The meeting adjourned at 8:23 p.m.

Respectfully submitted,

Debra Neff