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Council Minutes: Council President James Widman referenced the minutes of the Council meeting on August 19, 2008, for any additions or corrections. Jim called for a motion to approve the minutes as presented. Judy DeVries moved to approve the minutes of August 19, 2008, meeting as amended. Dave Helt seconded this motion. Motion carried 7-0. Widman referenced the minutes of the Council meeting on September 5, 2008, for any additions or corrections. Jim called for a motion to approve the minutes as presented. The Council asked that the minutes be reviewed and presented to the Council at a later date. Widman referenced the minutes of the Council meeting on October 15, 2008, for any additions or corrections. Jim called for a motion to approve the minutes as presented. Gary Sriver moved to approve the minutes of October 15, 2008, meeting as amended. Earl Gaerte seconded this motion. Motion carried 7-0. HUD Appointment: Director Kim Benzing said that, according to HUD, they are required to ask an assisted client to serve on its Board. The previous assisted client board member was unable to fulfill the term. Jackie MacLain has expressed interest in serving on the Board. Kathy Siders moved to appoint Jackie MacLain to the HUD Board. Gary Sriver seconded the motion. Motion carried 7-0. Mrs. Benzing also said that Art Craig has been a member since 1993 and is no longer able to serve on the Board. His term expires November 25, 2010. She noted that the Board tries to have a cross section of County residents, not only Rochester residents. At this time, there is no one on the Board who lives outside of the Rochester city limits. Judy DeVries moved to appoint Jim Erp to the HUD Board. Chris Sailors seconded the motion. Motion carried 7-0. Sheriff Administration Building Lease: Commissioner Mark Rodriguez presented the Real Estate Lease With Option To Purchase for the Old Post Office. He reported that four DLZ inspections have occurred and the State inspection has also occurred. He said the lease amount has increased from $4,400 to $4,553, a portion of which is paid from the E911 budget. He reported the $153 escalation was due to approximately $9,000 unexpected costs. Some of the unexpected costs were in wiring. They also provided a training room. The $9,000 was divided over a five-year period. Everything else in the contract remains as previously reviewed. The option to purchase can be exercised at five years. Ten percent of the monthly lease shall be applied to the purchase. The liability insurance for the building will be covered in the blanket policy for all county buildings. Sheriff Conley expects the additional cost for insurance to be less than $1,000 per year. Rodriguez said that the County would be responsible for the property tax bill beginning December 1, 2008. He said he met with DLZ for a proposal for services to provide the County with specification to get bids for reconstruction on the jail. Denise noted that there is no line item in the budget for real estate taxes, as county owned property is exempt. Also, Denise questioned as to why the county would be responsible for property taxes in 2008 when the improvements were not made prior to March 1, 2008, which is the assessment date per Statue. The improvements that have been made would not be assessed until March 1, 2009 and that would then make them payable in 2010. Kathy Siders moved to approve the contract. Judy DeVries seconded the motion. Motion carried 7-0. Copier Recommendations: Commissioner Rodriguez said the IT Committee has worked with the office holders and copier companies to find copiers for the Surveyor and Extension offices. He said in one situation the cost of the maintenance agreement was equivalent to the cost of a machine. He provided two recommendations for copiers for the Surveyor and the Extension offices. The recommendation for the Extension Office is for a machine at approximately $9,698, down from the original quote of $13,000, for a superior machine from Smith Office. A maintenance agreement is recommended, because the toner is included. The vendor that the Surveyors office was looking at originally, Cardinal, was also recommended by the IT Group, though it does not recommend that the maintenance agreement is adopted. Cost for the Surveyors office copy machine is $1852 plus $99 for a stand. He said that the Surveyors current copier should also be provided for use by the Emergency Management Agency. Dave Helt moved to allow the two purchases with the money taken from the Rainy Day Fund to pay for them. Earl Gaerte seconded the motion. Motion carried 7-0. Sheriff Vehicles: Sheriff Walker Conley said that there is money left in Sheriff Department Vehicles from Cum Cap from this year and he’d like to use that to purchase a used 7-passenger mini-van for transports. He found a 2008 Chrysler with 25,500 miles for $13,900 plus a $2,000 trade in for a 2002 Intrepid. He explained that is a transfer request the Council will review later. He also would like to purchase two vehicles in 2009. He wants to advertise in December for receipt of the vehicles in February. He would like to purchase an SUV and a Crown Victoria. He said the Crown Vic would replace the K-9 unit. He provided specifications for the vehicles. The Council gave its consent to advertise for the two vehicles. Conley provided his report of collections for October 2008. Fedco Quarterly Update: Executive Director Shane Blair provided a quarterly report of the activities of Fulton Economic Development Corporation from July through September 2008. He discussed the contents of the report with the Council. He said that he met with 43 local companies through the year through the third quarter; 15 of those were in the third quarter. He said that he had 24 meetings with potentially new businesses through the year, seven of which were in the third quarter. He reported 288 meetings through the year with 90 in the third quarter. He reported two specific projects with local companies wanting to expand and apply for tax abatements, though both have had to put those projects off due to the economy. Another company is currently working on a training grant. A couple companies are trying to expand its current capabilities. He said that the bio-diesel plant has completed the purchase of 32 acres for the project. They are still looking for options to get full financing. Two other attraction projects have been put on hold for now. He said another prospect is coming in this week from Virginia. He also noted that the Region, including Cass, Fulton, Wabash, Miami, Howard and Tipton counties, meets with a site consultant to introduce them to the North Central Indiana Region. He explained that the lift station project at Fourth Street and Indiana 25 was delayed for a short time due to individuals questioning the condition of that pipe. Rapid View volunteered to look at the pipe with its equipment. The City cleaned the pipe, and the project is back on track. He was part of a conference call with The Bonar Group, H. J. Umbaugh, Ice Miller, and County Attorney Greg Heller concerning the issuance of the bonds for the project. It was decided that the County should be the issuer of the bond, since it collects the CEDIT money, which is backing it; they would also oversee the TIF District. He said that next week he would be meeting with Surveyor, Don Towne and Mark Jesse from Bonar to look at drainage issues in the area. He said that he is working with the regional workforce development provider to meet with employees in the area who have been laid off. Recess at 7:50 p.m. Reconvene at 7:55 p.m. 2009 Budget & LOIT Recommendations: Todd Samuelson and Eric Walsh of H. J. Umbaugh, were at the meeting to talk about the possible effects HEA 1001 and discuss the proposed 2009 budget. Samuelson presented a comparison of the 1782 Notices, which are the DLGF reports indicating the approved resources for the County and how it may be spent. In the General Fund, the primary source of funding is property taxes. The DLGF must determine the maximum amount of property taxes allowed to be generated in Fulton County. H. J. Umbaugh agrees with the DLGF findings. The 2009 budget as originally prepared at $6.7 million is an increase of approximately $800,000 over 2008. He noted pointed out that 2009 cash balance and December tax collection declined by $450,000 from 2008. He said that new money sources for 2009 total approximately $310,000, which slightly offset the negative starting point of approximately one-half million dollars, resulting in a reduction of what can be the resources of the general fund of approximately $200,000. He noted that the combination of the reduction of taxes and cash, net of new revenue sources results in a reduction or a cut in the 2009 budget of $1,077,303. He said that the Council could legally adopt the budget as is, because there are so many moving parts to it, and then see what the 1782 Notice will indicate. He recommended waiting until the State does its calculations, but not to wait to plan how to address the possibly necessary reduction. Samuelson presented a projection of the net assessed values, tax rates, levies and circuit breaker credits, the possible local option income tax, and an illustration of what might happen to the average tax payers’ bills. He said that Fulton County does not have any circuit breaker credits for taxes payable in 2008. He pointed out the estimated levy, the circuit breaker credits, the net revenue and the percentage of the circuit breaker credits of the property tax revenue, which is estimated for 2009 at $22,500 for all the Fulton County units combined (approximately $3,300 for Fulton County alone). He said the State’s estimate, when 1001 was adopted, was just short of $88,000. He said that the total estimated circuit breaker credit for 2010 at a revenue loss of approximately $287,000 (for Fulton County alone would be approximately $51,793). He said their estimations are based on 2008 data, rather than 2007 data. He said that from 2007 to 2008 the net assessed value of Fulton County went up about 20%, which is a significant change to the tax base. He said the reason that their estimates are so different from the State’s is that the increase in the tax base, either from trending or the results of efforts to get new investment and expansion in business, growing the tax base reduces tax credits and rates. A major component in estimating the tax base growth is based on the assumed trending factors. Another factor is the assumed change in tax levy. Basically, the revenue loss isn’t going to be as significant as originally estimated by the State, the he noted that Kewanna’s estimated impact is the largest because their tax base decreased. He noted that the circuit breaker credits would generally be providing relief to the non-homestead residential property, which contains second homes, rental units; anything that is not a homestead but qualifies as a residential unit. He said the credits are only going to be afforded to those taxpayers in the incorporated areas, according to their estimates. He said Fulton County’s total assessed value is made up of 26.2% agricultural property; 45.9 percent is residential property; making up approximately 72% of the valuation. He said they analyzed Option B of the Local Option Income Tax made available last year, which is the property tax replacement LOIT, and the Option C, public safety LOIT. Option A is not something being considered by Fulton County at this time. He said the property tax replacement option is to provide property tax relief and to reduce the amount of circuit breaker credits in Fulton County. They looked at Option B at .25%, .5%, 75% and at 1%, the maximum allowable. He said that, since the circuit breaker impact is low in Fulton County due to property taxes being fairly low, he didn’t recommend providing too much property tax relief. He noted the County is particularly interested in Option C, the public safety LOIT. In order to get to Option C, the County must consider one component of either Option A or B. Due to that he will concentrate on discussing .25% LOIT of Option B as it pertains to Fulton County. He said that in total at .25% the Option B LOIT would generate approximately $800,000 of revenue. Not new revenue, but revenue used to fund budgets in lieu of property taxes. Of that approximate $800,000, Fulton County’s share would be approximately $187,981. He said that assuming the adoption of a .25% LOIT (estimating that the total amount of circuit breaker credits would be approximately $287,000 in 2010) distributed only to qualified residential taxpayers, would reduce the credit to $72,000. If the property tax relief is allocated to all taxpayers, the amount of revenue loss would be approximately $112,000, rather than $287,000, as originally estimated. Thus, allocating property tax relief only to residential properties provides the most reduction in circuit breaker credits, but that doesn’t provide property tax relief to everyone. The uniform basis does, but it does not reduce the circuit breaker credits as much. The .25% is applied toward Fulton County’s adjusted gross income of 2008. He said that if the County wanted to totally eliminate circuit credits, it would need to implement Option B at nearly 1%. He said to eliminate roughly $287,000 in circuit breaker credits; the County would need to generate $3.2 million in income tax. The public safety revenue estimate shown at rates of .05 to .25%. At .25% the amount of revenue generated would be just over $800,000, which would be shared with the County and each incorporated area within the County. The County would receive approximately 65% of that allocation, $528,000. He also noted that these funds could be pooled. It was also noted that the qualified residential method benefits the incorporated areas more so than the uniform method. He said these funds can be used for anything considered public safety but cannot be used for capital projects, but for operating costs. If the LOITs are adopted, it must be done by December 31. He provided sample ordinances for the adoption of Options B and C. Chris Sailors introduced Bill Reutebuch, a Pulaski County council member. He said they passed the Options A and B LOIT last year. He said they got in right when it first became available. They are going to revisit it and consider Option C. He said they took the ambulance service from the hospital and run it themselves, and they profit a couple hundred thousand dollars. Their situation was much the same as Fulton County’s with the EMS costing a great deal of money. Ordinance #101508A & B: Gary Sriver moved to read Ordinance #101508A & B by title only. Earl Gaerte seconded the motion. Motion carried 7-0. Jim Widman read Ordinance #101508A & B by title only: Ordinance For Appropriations And Tax Rates. Clerk: Letty McKee reported that Sandy Gunnels will be retiring December 26 after 29 years. She asked if she could hire her replacement and work with Sandy through December in training. She would like to pay for this out of her perpetuation fund. Sandy’s party will be December 22, 2008. She asked if she had to keep the new hire at less than 29 hours or if she could work the 36 hours for the three weeks. It was determined that she could work the 36 hours classified as part-time, but after that time the classification would need to be changed to a full-time employee. McKee also said that she would like to move forward with the scanning beginning January 1, 2009. She has had some of the necessary equipment since 2005, but would like permission to purchase the remaining equipment out of the perpetuation fund. This request was approved. Assessor: Susan Carr said that her software vendor, Appraisal Research Corp, isn’t going to be certified with the State, so she has to find a new software vendor. She is looking at X-Soft, Inc. It services seven counties currently, with three more possibly coming on. She said this is the only vendor certified by the State. The cost for the software through X-Soft, Inc. is $158,000, payable over two years with half in 2009 and the second half in 2010. The annual maintenance contract would cost $20,000. She said that she will be meeting with State representatives on December 16, 2008. The purpose for the meeting is to work with her to try to get her office on track to get the tax statements out on time. After some discussion, the Council advised her to proceed with her choice of vendors. Additional Appropriation Requests: Jail 101-380-31007 Jail-Other-Utilities $ 8,000.00 Earl Gaerte moved to approve this appropriation request. Kathy Siders seconded the motion. Motion carried 7-0. Commissioners 136-35000-000-068 EMS Service $ 200,000.00 Dave Helt moved to approve this appropriation request. Gary Sriver seconded the motion. Motion carried 6-1 (Kathy Siders). Council 211-90900-000-211 Misc Disbursements $ 100,000.00 Chris Sailors moved to approve this appropriation request. Gary Sriver seconded the motion. Motion carried 6-1 (Judy DeVries). Superior Court 31401 Computer Maintenance Hardware $ 5,657.00 Earl Gaerte moved to approve this appropriation request. Kathy Siders seconded the motion. Motion carried 7-0. Fulton County DCS 32500 Care of Wards in Foster Homes $ 130,000.00 32520 Care of Wards in Institutions $ 225,000.00 32540 Preservation Services $ 95,000.00 32820 Care of Wards in Institutions-Probation $ 50,000.00 Total $ 500,000.00 Gary Sriver moved to approve this appropriation request. Kathy Siders seconded the motion. Motion carried 7-0. Transfer Requests: EMA: From 101-34001-000-361 Liability Ins. $ 598.00 To 101-22001-000-361 Gas/Oil/Lube $ 598.00 Earl Gaerte moved to approve this transfer. Judy DeVries seconded the motion. Motion carried 7-0. Superior Court From 101-31011-0-201 Continuing Education $ 150.00 To 101-21104-0-201 Printing $ 150.00 Gary Sriver moved to approve this transfer. Earl Gaerte seconded the motion. Motion carried 7-0. Superior Court: From 101-22004-0-201 Court Reporter Supplies $ 200.00 101-13003-0-201 Per Diem Bailiff $ 100.00 101-13002-0-201 Per Diem Court Reporter $ 100.00 To 101-21000-0-201 Office Supplies $ 400.00 Kathy Siders moved to approve this transfer. Dave Helt seconded the motion. Motion carried 7-0. Area Plan Commission: From 12009 Clerical Ass’t $ 2,155.00 To 32001 Legal & Consult $ 2,000.00 32000 Telephone $ 80.00 31401 Computer Maintenance Hardware $ 75.00 Gary Sriver moved to approve this transfer. Dave Helt seconded the motion. Motion carried 7-0. Council/CEDIT: From 211-10104-000-000 Additional Revenue Needs $ 350,000.00 To 211-22500-000-211 Stone/Gravel & Aggreg $ 350,000.00 Gary Sriver moved to approve this transfer. Judy DeVries seconded the motion. Motion carried 7-0. Commissioners: From 391-45003-000-391 Ambulance $ 23,685.00 To 391-36003-000-391 Building & Repairs (Courthouse) $ 16,533.00 391-41006-000-391 Jail-Repair Bldg/Structure $ 7,132.00 Dave Helt moved to approve this transfer. Judy DeVries seconded the motion. Motion carried 7-0. Highway Department: From 702-42100-000-533 New Equipment $ 25,000.00 To 702-35203-000-533 Repair truck/tractors $ 25,000.00 Chris Sailors moved to approve this transfer. Dave Helt seconded the motion. Motion carried 7-0. Highway Department: From 703-23000-000-706 Bituminous $ 100,000.00 To 706-41002-000-706 New Equipment $ 100,000.00 Gary Sriver moved to table this transfer request. Earl Gaerte seconded the motion. Motion carried 7-0. Superior Court: From 101-13003-0-201 Per Diem Bailiff $ 50.00 101-13002-0-201 Per Diem Reporter $ 50.00 101-22004-0-201 Court Reporter Supplies $ 50.00 To 101-32000-0-201 Telephone $ 150.00 Gary Sriver moved to approve this transfer. Dave Helt seconded the motion. Motion carried 7-0. Treasurer: From 101-31013-003 Legal Fees $ 2,000.00 To 101-19000-003 Extra Help $ 2,000.00 Judy DeVries moved to approve this transfer. Dave Helt seconded the motion. Motion carried 7-0. Commissioners-Cum Cap: From 391-45002 Cum Cap-Sheriff Vehicles $ 2,292.31 To 391-36003 Cum Cap-Bldg/Structure Repair $ 471.82 391-21007 Cum Cap-Animal Control Supply $ 1,820.49 Dave Helt moved to approve this transfer. Gary Sriver seconded the motion. Motion carried 7-0. Purdue Extension Office: From 101.31102.000.011 Mileage $ 650.00 To 101.21005.000.011 Teaching $ 650.00 Judy DeVries moved to approve this transfer. Earl Gaerte seconded the motion. Motion carried 7-0. Highway Department: From 702-22700-000-531 Bituminous $ 15,000.00 To 702-35203-000-533 Repair trucks & tractors $ 15,000.00 Dave Helt moved to table this transfer request. Kathy Siders seconded the motion. Motion carried 7-0. Commissioners-Cum Cap: From 391-45003-000-005 Ambulance $ 3,500.00 To 391-31010 Lease Payment $ 3,500.00 Kathy Siders moved to approve this transfer. Gary Sriver seconded the motion. Motion carried 7-0. New Business: The Council will meet on November 24, 2008, at 8:00 a.m. to discuss the proposed 2009 budget. The Council will meet on December 2, 2008, at 8:00 a.m. to have the first readings and discuss the proposed LOIT ordinances. The Council discussed using .25% on both of the proposed options with a uniform credit distribution. Kathy Siders moved to adjourn at 10:30 p.m.. Judy DeVries seconded this motion. Motion carried 7-0. FULTON COUNTY COUNCIL  ______________________________ James Widman, President _____________________________ Gary Sriver, Member _____________________________ Dave Helt, Member _____________________________ Christopher Sailors, Member _____________________________ Judy DeVries, Member _____________________________ Earl Gaerte, Member _____________________________ Kathy Siders, Member Attest: ___________________________________ Denise J. 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