McHenry Times

McHenry County Finance & Audit Committee met Sept. 6.

Here is the minutes provided by the committee:

1. CALL TO ORDER

Meeting called to order at: 8:17 AM by Michael Skala.

PRESENT: Skala, McCann, Barnes, Heisler, Christensen (8:15 AM - 11:01 AM), Wheeler, Smith

ABSENT:

Also present: Peter Austin, County Administrator; Scott Hartman, Deputy County Administrator; Leslie Schermerhorn, Regional Superintendent of Schools; Nicole Gattuso, Director of GIS (Geographic Information System); Bob Ellsworth, Chief Deputy Director of EMA (Emergency Management Agency); Cheryl Chukwu, Director of Human Resources; Joe Tirio, County Recorder; Heather Spenard, Chief Deputy Recorder; Sheriff Bill Prim; Sergeant Carolyn Decman; Sandra Salgado, Sheriff's Office Business Manager; Susan Karras, Director of Nursing; Shannon Teresi, County Auditor; Adam Letendre, Director of Purchasing.

2. MINUTES APPROVAL

1. Finance & Audit - Public Meeting - Aug 9, 2018 8:15 AM

RESULT: ACCEPTED [UNANIMOUS]

MOVER: Larry W Smith

SECONDER: James Heisler

AYES: Skala, McCann, Barnes, Heisler, Wheeler, Smith

ABSENT: Christensen

3. PUBLIC COMMENT

Leslie Schermerhorn, Regional Superintendent of Schools, joined the committee members to bring to their attention that her budget would not be on today’s agenda for review nor was it reviewed by any of her liaison committees. Ms. Schermerhorn wanted to remind the committee members as to the duties of the County Board with respect to the Regional Office. Ms. Schermerhorn quoted the Illinois School Codes, and stated she would be providing the County Board with her proposed budget.

Full comments can be heard on the McHenry County's website audio of this meeting.

4. MEMBERS' COMMENTS

Ms. Barnes addressed the other committee members to bring their attention a presentation County Admin Intern Rebecca Lameka, Stanford University Senior, presented to the committee members of Internal Support & Facilities. The presentation highlighted the costs McHenry County has endured with regards to the Opioid Crisis. Ms. Barnes encouraged the other committee members to look over the presentation and speak with Ms. Lameka before she returns to school.

Ms. Barnes also expressed her concerns over the past six weeks in regards to the supplemental requests being presented with the budgets. Ms. Barnes reminded the other committee members, while the committees are being exposed to the supplemental requests, they are not voting on them. Ms. Barnes stated it would be premature to make a decision on any of the supplemental requests until they receive a complete list of all of them; considering currently a board member would only see the requests coming through their committee. Ms. Barnes questioned as to when the board members would be receiving a full list of supplemental requests for them to start researching and prioritizing. Chairman Skala reminded the committee members in the past they have received all the supplemental requests on a list, in rank, from County Admin. Mr. Austin stated it was their goal to have it ready at the COW (Committee of the Whole) the following Thursday.

5. NEW BUSINESS

1. ERP Project Invoice Approval 09/06/18

Chairman Skala informed the committee members they would also be discussing a GIS (Geographic Information Systems) resolution and an EMA (Emergency Management Agency) resolution at this time.

Chairman Skala entertained a motion to move the ERP Project invoices to approval. Ms. McCann made a motion, seconded by Ms. Barnes. The motion carried with a roll call vote of all members present voting aye (Skala, McCann, Barnes, Heisler, Wheeler, Smith). Absent was Christensen.

Chairman Skala informed the committee member they would now be discussing a resolution authorizing entering into a GIS Enterprise License agreement renewal with Environmental System Research Institute (ESRI) Inc., in the GIS Department FY2018 budget. Chairman Skala stated the reason the resolution was not on today’s agenda was due to a setting not being correct in the Minute Traq program. Chairman Skala asked Nicole Gattuso, Director of GIS, to present the resolution to committee members today for discussion. The resolution would then be placed on the routine consent agenda for the County Board.

Nicole Gattuso, Director of GIS, joined the committee members to discuss the GIS resolution. Ms. Gattuso stated the software is used on the GIS server, along with every desktop that has GIS installed in a number of departments within the County. Ms. Gattuso explained that one desktop license can cost over $10,000 a year so it is more cost effective to enter in an enterprise license agreement. In 2016 they had a two-year base contract with an additional two-year option. This resolution would be utilizing those additional two years. Ms. Gattuso stated most of the surrounding counties use ESRI and there really isn’t a better option. It was also noted with the surrounding counties all using the same software it allows them to easily share information and deploy projects easier.

Chairman Skala informed the committee members they would now discuss the EMA resolution, which did not make the agenda for the same reason and would go on new and unfinished business on the County Board agenda.

Bob Ellsworth, Chief Deputy Emergency Management Agency (EMA), joined the committee members to discuss the EMA resolution. Mr. Ellsworth explained to the committee members, while the grant is not guaranteed each year, they have received it annually for the past 42 years by maintaining their accreditation and performance.

RESULT: PRESENTED

6. PRESENTATION

None.

7. ROUTINE CONSENT AGENDA

Chairman Skala questioned if there were any items on the consent agenda members would like to have removed for discussion. Chairman Skala requested item No. 7.14 be removed; Mr. Smith requested item No.7.16 be removed; and Ms. Barnes requested items No. 7.2, 7.4 and 7.11 be removed for discussion.

Ms. Barnes made a motion, seconded by Mr. Wheeler, to recommend approval of agenda items No. 7.1, 7.3, 7.5, 7.6, 7.7, 7.8, 7.9, 7.10, 7.12, 7.13, and 7.15 on the routine consent agenda as presented. The motion carried on a roll call vote of all ayes (Barnes, Smith, Wheeler, Heisler, McCann and Skala). Absent was Christensen.

Chairman Skala informed the committee members they would now be moving to item No. 7.2 - Resolution No. 7037

1. Resolution Authorizing a Budget Line Item Transfer in the Emergency Telephone System Board's Fiscal Year 2018 Budget for TriTech Software End User Training and Data Import

RESULT: RECOMMENDED [UNANIMOUS]

MOVER: Yvonne Barnes

SECONDER: Charles S Wheeler

AYES: Skala, McCann, Barnes, Heisler, Wheeler, Smith

ABSENT: Christensen

2. Resolution Authorizing An Amendment to Resolution R-201802-13-030 Changing the Vendor from Governmental Business Systems to Election Systems & Software LLC to Provide the Printing of the 2018 General Election Ballots

RESULT: RECOMMENDED [UNANIMOUS]

MOVER: Yvonne Barnes

SECONDER: Charles S Wheeler

AYES: Skala, McCann, Barnes, Heisler, Wheeler, Smith

ABSENT: Christensen

3. Resolution Authorizing a Two (2) Year Base Contract with United States Alliance Fire Protection of Lake Forest, Illinois for Fire Protection Inspections with Two (2) Additional Option Years

RESULT: RECOMMENDED [UNANIMOUS]

MOVER: Yvonne Barnes

SECONDER: Charles S Wheeler

AYES: Skala, McCann, Barnes, Heisler, Wheeler, Smith

ABSENT: Christensen

4. Resolution Authorizing Monthly Transactions for the Delinquent Tax Program

RESULT: RECOMMENDED [UNANIMOUS]

MOVER: Yvonne Barnes

SECONDER: Charles S Wheeler

AYES: Skala, McCann, Barnes, Heisler, Wheeler, Smith

ABSENT: Christensen

5. Resolution Authorizing Thirty-Six Month FireEye Endpoint Security Software Maintenance and Support

RESULT: RECOMMENDED [UNANIMOUS]

MOVER: Yvonne Barnes

SECONDER: Charles S Wheeler

AYES: Skala, McCann, Barnes, Heisler, Wheeler, Smith

ABSENT: Christensen

6. Resolution Authorizing a Sixty Month Multi-Function Device Lease, Including Managed Print Services with Stan's LPS Midwest

RESULT: RECOMMENDED [UNANIMOUS]

MOVER: Yvonne Barnes

SECONDER: Charles S Wheeler

AYES: Skala, McCann, Barnes, Heisler, Wheeler, Smith

ABSENT: Christensen

7. Resolution Authorizing an Intergovernmental Agreement Between the County of McHenry and the City of Woodstock for Off-Site Data Storage

RESULT: RECOMMENDED [UNANIMOUS]

MOVER: Yvonne Barnes

SECONDER: Charles S Wheeler

AYES: Skala, McCann, Barnes, Heisler, Wheeler, Smith

ABSENT: Christensen

8. Resolution Authorizing a Contract with Associated Electrical Contractors, LLC for the Purchase and Installation of a 60KVA Eaton UPS and a Line Item Transfer to the Fiscal Year 2018 NonDepartmental Budget

RESULT: RECOMMENDED [UNANIMOUS]

MOVER: Yvonne Barnes

SECONDER: Charles S Wheeler

AYES: Skala, McCann, Barnes, Heisler, Wheeler, Smith

ABSENT: Christensen

9. Resolution Authorizing the Acceptance of the Sustained Traffic Enforcement Program (STEP) Grant from the Illinois Department of Transportation (IDOT) for Fiscal Years 2018 and 2019 and an Emergency Appropriation to the Sheriff's Fiscal Year 2018 Budget

RESULT: RECOMMENDED [UNANIMOUS]

MOVER: Yvonne Barnes

SECONDER: Charles S Wheeler

AYES: Skala, McCann, Barnes, Heisler, Wheeler, Smith

ABSENT: Christensen

10. Resolution Authorizing the County to enter into a Contract with Aramark , LLC to Provide Inmate Meals in the McHenry County Sheriff's Office for a Base Two Year Contract (12/1/2018-11/30/20) and Two Additional Option Years (12/1/20-11/30/22)

RESULT: RECOMMENDED [UNANIMOUS]

MOVER: Yvonne Barnes

SECONDER: Charles S Wheeler

AYES: Skala, McCann, Barnes, Heisler, Wheeler, Smith

ABSENT: Christensen

11. Resolution Amending County Board Approved Resolutions R-201711-61-309, R-201711-61-306, R-201711-61-311, R-201711-61-308, R-201711-61-305, R-201712-61-367 and Allowing Valley Hi the Authority to Spend Funds Related to the Identified OCA Codes up to the County Board Approved Valley Hi FY2018 Operating Budget

RESULT: RECOMMENDED [UNANIMOUS]

MOVER: Yvonne Barnes

SECONDER: Charles S Wheeler

AYES: Skala, McCann, Barnes, Heisler, Wheeler, Smith

ABSENT: Christensen

12. FY18-19 Budget Review

1. Recorder

Joe Tirio, County Recorder along with Heather Spenard, Chief Deputy Recorder, joined the committee members for the presentation of the FY18-19 Recorder’s Office budget (contained in the meeting packet). Various department funds were reviewed, along with FY18-19 performance indicators.

Mr. Tirio noted an error in the Full-Time Equivalent (FTE) section of the Recorders budget on packet page 118. FTE’s for FY18-19 will remain at 17, not 18 as shown in the packet. Staff will make corrections on the budget to reflect this.

Committee members recommended the FY18-19 budget for the Recorder’s Office Department be moved forward through the budget process.

Full comments can be heard on the McHenry County's website audio of this meeting.

RESULT: PRESENTED

2. Revolving Loan Fund

Scott Hartman, Deputy County Administrator, joined the committee members for the presentation of the FY18-19 Revolving Loan Fund budget (contained in the meeting packet). Various department funds were reviewed, along with FY18-19 performance indicators.

Committee members recommended the FY18-19 budget for the Revolving Loan Fund be moved forward through the budget process.

Full comments can be heard on the McHenry County's website audio of this meeting.

RESULT: PRESENTED

8. ITEMS REMOVED FROM CONSENT AGENDA

1. Resolution Authorizing Compression Adjustments to Eligible Non-Union Employees Who Have Worked Five or More Years Within Their Current Position for McHenry County

Cheryl Chukwu, Director of Human Resources, joined the committee members to discuss a resolution authorizing compression adjustments to eligible non-union employees that have worked five or more years within their current position for McHenry County. Ms. Chukwu stated when the Class and Comp Study was done they knew there would be some compression issues; with new employees earning similar wages a employees with five or more years of service. In order to address this issue, they propose to use a portion of the 2.25 percent performance base increases to do compression adjustments.

Mr. Christensen joined committee members at 8:36 A.M.

Ms. Chukwu explained there were some individuals who through the Class and Comp Study received a significant raise. Raises were in the area of zero percent to over five percent. With the initial proposal if you received five percent or more you were not eligible for the 2.25 percent merit pool on December 1. The money that will not be awarded to those individuals that received over five percent would be redirected to the individuals who have five or more years of service, are not at the first quartile, and did not receive an adjustment in July. The adjustments would not be automatic and would be based on supervisor approval. This resolution will help in preventing employees from leaving the County and gaining employment within other counties for a higher wage.

RESULT: RECOMMENDED [5 TO 2]

MOVER: Larry W Smith

SECONDER: Mary McCann

AYES: Skala, McCann, Heisler, Christensen, Smith

NAYS: Barnes, Wheeler

2. Resolution Adopting a Predictable Fee Schedule for the Recorder's Office

Joe Tirio, County Recorder along with Heather Spenard, Chief Deputy Recorder, joined the committee members to discuss a resolution adopting a predictable fee schedule for the Recorders Office. Mr. Tirio stated they had come forward during the budget process with an amount to do the study. The study has been completed, and the results on the predictable fees were presented for the committee members with a power-point presentation. Highlighted in Mr. Tirio’s presentation were key points such as; important points on predictable fees; how they got to those points; timeline; the process for setting the fee; proposed fee schedule; fee comparisons; and where the money will go.

The presentation and discussion on the proposed resolution can be heard in its entirety on the media portion of the Meeting Portal.

Chairman Skala informed the committee members they would now be moving to item No. 7.16.

RESULT: RECOMMENDED [6 TO 1]

MOVER: Larry W Smith

SECONDER: James Heisler

AYES: McCann, Barnes, Heisler, Christensen, Wheeler, Smith

NAYS: Skala

3. Resolution Authorizing Adjusting the Pay Grades of Veterans Assistance Commission (VAC) Positions - Based on the County-Wide Classification and Compensation System

Cheryl Chukwu, Director of Human Resources, joined committee members to discuss a resolution authorizing adjusting the pay grades of Veterans Assistance Commission (VAC) positions.

Ms. Barnes addressed Ms. Chukwu stating she had heard there was a significant discussion concerning the resolution in previous committee meetings and would like clarification from Ms. Chukwu.

Mr. Austin informed Ms. Barnes there were two VAC resolutions presented and the discussion was on the other resolution, not this one.

Ms. Chukwu agreed with Ms. Barnes and stated it was her understanding also, with what Mile Iwanicki had shared with a previous committee, Archer Company didn't know enough about the work they did.

Ms. Barnes stated she was told the VAC wanted to do its own compensation study outside of the scope of what was contracted for. The reason they wanted to do it differently is they felt they should be compared to other VAC’s, considering they have additional duties, descriptions, recommendations, and tasks the outside consultant may not have known about.

When the VAC brought their study to the Human Resources Committee (HR), the HR Committee had them complete the Comprehensive Position Questionnaires (CPQ) through the Archer system. This resolution is a result of the CPQ’s and while it doesn’t match theirs exactly, Mike Iwanicki, VAC Superintendent, and Joseph Kersten, VAC Chairman, were both satisfied with the outcome of the results with the understanding the Archer system had internal comparison components theirs did not.

RESULT: RECOMMENDED [UNANIMOUS]

MOVER: Larry W Smith

SECONDER: Mary McCann

AYES: Skala, McCann, Barnes, Heisler, Christensen, Wheeler, Smith

4. Resolution Authorizing the McHenry County Department of Health to Expend an Amount not to Exceed an Additional $15,000 to Cardinal Health in FY2018 for Vaccine Purchases under the Minnesota Multistate Contracting Alliance for Pharmacy Government Contract

Ms. Barnes made a motion, seconded Ms. McCann to discuss the resolution.

Susan Karras, Director of Nursing, joined the committee members to discuss the proposed amended resolution. Ms. Karras stated their original resolution brought forth to the committee did not have a capped amount. The amended resolution provided to committee members today authorizes the McHenry County Department of Health to expend an amount not to exceed an additional $15,000.

Chairman Skala made a motion, seconded by Mr. Christensen to amend and adopt the resolution as it is currently written and presented before them. The motion passed with all members present voting aye on a roll call vote. Staff will amend the original resolution to reflect these changes.

RESULT: RECOMMENDED [UNANIMOUS]

MOVER: Michael Skala

SECONDER: Chris Christensen

AYES: Skala, McCann, Barnes, Heisler, Christensen, Wheeler, Smith

5. Resolution Authorizing the Purchase of Portable and Mobile Radios through the State of Illinois Department of Innovation and Technology Statewide Master Contract for Starcom 21 Equipment, No. DIT7016660, and Authorizing the Use of the Regional Transportation Authority (RTA) Quarter Cent Sales Tax Fund for this Purpose

Sheriff Bill Prim; Sergeant Carolyn Decman; and Scott Hartman, Deputy County Administrator, joined the committee members to discuss a resolution authorizing the purchase of portable and mobile radios and authorizing the execution of a finance agreement with Harvard State Bank.

Mr. Smith questioned as to why Law and Government did not recommend the resolution.

Chairman Skala stated the radio program has been discussed many times in regard to the capital program and the needs associated with it. The resolution originally brought forward was to do the radio purchasing over two fiscal years; the first half being purchased in December 2018 and the second half being purchased a year later in December 2019. After a meeting with all parties concerned, it was determined with the radio’s not being serviced after January 2019, there is potential for a number of problems that could occur including battery life. It was the consensus of the parties involved, with the turnaround time and programming associated with the order, to order them all at once to ensure reliable and uninterrupted service. With the decision to purchase them all at one time this resolution was created with the finance charge of $37,265 which wasn’t part of the original proposal. Chairman Skala stated Law and Governments concerns were with the financing of the radios.

Ms. Barnes expressed strong disagreement with the additional finance charge and added information about financial options which did not include the extra charge.

RESULT: RECOMMENDED [6 TO 1]

MOVER: Charles S Wheeler

SECONDER: James Heisler

AYES: Skala, McCann, Heisler, Christensen, Wheeler, Smith

NAYS: Barnes

9. OLD BUSINESS

1. Discussion: Travel and Business Policy

Committee members discussed the Travel and Business Policy.

Mr. Christensen believes it’s the public’s office, not the politician’s office and doesn’t feel the taxpayers should pay for anything with a politicians name on it. Mr. Wheeler was in agreement with Mr. Christensen that any items with the politician's name on it should be paid for by the politician themselves and not the County. The other committee members discussed their opinions on the matter.

Chairman Skala stated the intent is to give clear direction for anyone using this service in the County.

Mr. Christensen left the meeting at 11:01 A.M.

Shannon Teresi, County Auditor, joined the committee members and stated she has drafted conversation points on the issue. Ms. Teresi stated the Sheriff has recommended making the resolution have stronger language. She informed the committee members she would be modifying her draft to include the thoughts and recommendations on today’s discussion for them to review.

Mr. Heisler questioned Ms. Teresi if an affidavit was still an option. Ms. Teresi stated it was being discussed in the circumstance of it falling into a grey area, but it is not a requirement. It was agreed upon by the committee members that the goal was to eliminate any grey areas and for a resolution to be amended if needed for issues that may arise.

Chairman Skala made the recommendation that the policy/procedure needs to be written so that no one can come after the fact and say they didn’t’ know it wouldn’t be paid for. If there is a grey area, they can go to Ms. Teresi or before the Finance Committee for clarification. Chairman Skala stated there should be a policy in place for approval beforehand if there are concerns about a grey area.

The committee members also discussed their opinions on elected officials having their names on documents and certificates.

Full comments can be heard on the McHenry County's website audio of this meeting.

2. Discussion: Debt Policy

The committee members discussed the Debt Policy.

Ms. McCann felt the policy should contain a statement about using Valley Hi reserves for certain prudent conditions and have a list of those conditions available.

Ms. McCann has been looking intensively at the Code of Ordinances. She spoke with Mr. Austin as to what policies the County Board members need to understand when making decisions. Ms. McCann feels there is a lack of consistency in enforcement on the language used, and it leaves a lot of avenues for interpretation. Ms. McCann feels some policies need to be updated, and others need to be put into policy form. Ms. McCann stated this would serve as better guidance for new County Board members and help them be better organized having all the policies in one place. Ms. McCann stated the documents needed to be, concise, to the point, and understandable by the public and the elected officials. Ms. McCann has volunteered to proceed in making those changes to present to the other committee members.

10. REPORTS

1. Auditor's Report

Shannon Teresi, County Auditor, joined the committee members to present the Auditor's Report. Ms. Teresi stated the single audit has been completed; a copy has been placed in the committee member's mailboxes and also emailed to them. Ms. Teresi presented the committee members with a copy of the audit report provided by Baker Tilly, on the Federal Awards for the year ended November 30, 2017. Ms. Teresi informed the committee members a summary of the auditor's results, prepared by Baker Tilly, can be found on page 13 of the handout. The Auditor's Office will be reviewing findings from the external auditors as part of the internal audit process to ensure the correct action plans are implemented.

Ms. Teresi informed the committee members the Auditor's Office would provide them with a monthly report updating them on what the Auditor's Office is currently working on.

Ms. Teresi provided the committee members with a draft handout on what the Inspector General's job description may look like.

Ms. Barnes requested Ms. Teresi provide the County Board members with her opinion on the Inspector General position, in the areas that affect the Auditor's Office, for the next County Board meeting.

Mr. Austin explained to the committee members the job description for the Inspector General is in draft form and it is his first priority to have the budget balanced.

2. Contigency Reports

None.

3. Economic Development Corporation

Chairman Skala informed the other committee members they have a board meeting next Tuesday for the Economic Development Corporation. Ms. McCann stated she didn’t believe they had anything in writing stating their philosophy supporting Economic Developments and questioned the need for a policy for new County Board members to refer to.

4. Visit McHenry County

Scott Hartman informed the committee members there will be a meeting this afternoon at the Visit McHenry County Offices in Huntley.

11. EXECUTIVE SESSION (AS NECESSARY)

None.

12. ADJOURNMENT

Chairman Skala made a motion, seconded by Mr. Heisler, to adjourn the meeting at 12:00 P.M. The motion carried with a voice vote with all members present voting aye (Skala, McCann, Wheeler, Heisler, Smith, Barnes). Absent was Christensen.

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