DRAFT

Finance Committee

Minutes

June 6, 2012

            The DeKalb County Finance Committee met on Wednesday June 6, 2012, 7:00 p.m., in the Administrative Building’s Conference Room. Chairman Scott Newport called the meeting to order and let the records reflect the following members present were Larry Anderson, Charles Foster, Julia Fullerton, John Hulseberg, Stephen Reid, Paul Stoddard and Ruth Anne Tobias. John Gudmunson was absent.  Others present were Ray Bockman, Gary Hanson, Karen Kahl, Jim Scheffers, John Acardo, Mark Todd, Fred Lantz, Jeff Engelhardt and Joan Hanson.

APPROVAL OF THE MINUTES

Motion to approve the minutes was moved by Mr. Anderson, and seconded by Mrs. Tobias. There were no additions or corrections to the minutes presented. A voice vote was requested by the Chairman on the approval of the minutes.  All members present voted yea. Motion carried unanimously.

APPROVAL OF THE AGENDA

Moved by Mr. Foster, seconded by Mr. Hulseberg, and the motion was carried unanimously to approve the agenda.

PRESENTATION – Mr. Fred Lantz

Chairman Newport introduced Mr. Fred Lantz who is the County’s Auditor to go over the DeKalb County Comprehensive Annual Financial Report and the Single Audit Report. Mr. Lantz went in depth on many pages of the Comprehensive Annual Financial Report and explained many of the details to the Committee. Mr. Lantz then referred to the Single Audit Report and went through multiple pages of the report. Chairman Newport asked for a motion to suggest approval of the Audit Reports to be sent to the full board. 

Mr. Lantz explained that the Rehab and Nursing Center is facing financial troubles because the State of Illinois is late in their payments.  Also, because of changes to Medicaid and that the State is unable to keep up with the billing schedule.  The Rehab and Nursing Center has approximately $4.6 million in accounts receivables and is at risk of some of their assets being depleted.  This would mean that the County would have to borrow from other funds to operate.

Mr. Lantz said that the State continues to balance the budget on the backs of local governments,” Lantz said.

Changes to Medicaid also have caused an extra burden of $25 per day, per bed, which resulted in a $1.1 million shortfall, he further stated.   Mr. Lantz further stated that as the staff members focus on filing Medicaid information on time with the federal government, it has slowed down the invoice process, which also has created a delay in payments.

The auditors found a couple of problems and one of them was the Broadband in-kind contributions. The auditors are recommending the County obtain the breakdown of the in-kind contributed hours of the contractor via signed timesheets or a similar mechanism.

Mr. Stoddard moved to send the audit reports to the full board for approval. Mrs. Tobias seconded the motion. All members voted yea. Motion carried unanimously.

RESOLUTION R2010-40: DEPOSITORIES FOR THE COUNTY TREASURER

Mark Todd, the County Treasurer, presented a resolution to the committee to suggest an approval of an updated list of banks and credit unions as depositories of public funds and institutions.

Mr. Anderson moved for the approval of the Resolution to be forwarded to the full County Board.  Mrs. Fullerton seconded the motion. All members present voted yea. Motion carried unanimously.

CONSIDERATION OF A VEHICLE OPERATION POLICY

Gary Hanson presented a first of its kind policy for vehicle operation (attached to these minutes).  The policy goes into detail about responsibilities, procedures and coverage for county employees and departments using county vehicles, including a training program.

Mr. Stoddard asked to have some additional wording placed in the policy on page 4, Item #4, second to the last line “…..business with said establishment.”

Mr. Hulseberg moved to approve the vehicle operation policy, with the wording change, to be forwarded on to the full county board and Mrs. Tobias seconded the motion. All members voted yea and the motion carried unanimously.

HEALTH INSURANCE PROGRAM DESIGN FOR 2013

Gary Hanson presented some decisions that needed to be made in order to prepare for the finalization of the upcoming health plan renewal for 2013.  The first issue was for the recommendation that the Health Plan be managed without regard to grandfathered status. All the members agreed with this recommendation. The second recommendation was to raise the deductible to $750, which is estimated to reduce the premium increase by 3.88%. The committee members also agreed with this suggestion. Yet another suggestion to have a steerage program where the plan member works with registered nurse advocates exchanging information related to quality care providers for their anticipated medical procedures. Lastly, they discussed not having a four-tier system. After a brief discussion amongst the committee members everyone agreed with what was presented.

Mr. Anderson moved to suggest the approval of the health insurance program design to be forwarded onto the full county board. Mrs. Fullerton seconded the motion. All members voted yea and the motion was carried unanimously.

FY2013 BUDGET CALENDAR & PROCESS

Gary Hanson presented the budget calendar and process for the fiscal year starting January 1, 2013 through December 31, 2013. 

Mrs. Tobias moved to approve the budget calendar & process and Mr. Stoddard seconded the motion. All members voted yea as well and the motion carried.

ADJOURNMENT

It was moved by Mr. Anderson, seconded by Mrs. Tobias to adjourn. Motion carried unanimously.

Respectfully submitted,

                                                                        ______________________________

                                                                        Scott Newport, Chairman

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Tasha Stogsdill, Secretary