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HomeMy WebLinkAbout2017/10/24 - Regular BOARD OF MASON COUNTY COMMISSIONERS' PROCEEDINGS Mason County Commission Chambers, 411 North 5th Street, Shelton,WA October 24, 2017 1. Call to Order—The Chairperson called the regular meeting to order at 6:02 pm 2. Pledge of Allegiance—Steve Bloomfield led the flag salute. 3. Roll Call — Present: Commissioner District 1 - Randy Neatherlin; Commissioner District 2— Kevin Shutty; Commissioner District 3 —Terri Drexler. 4. Correspondence and Organizational Business 4.1 Correspondence 4.1.1 Pete Butkus sent in an application for the Transportation Improvement Program Citizens Advisory Panel. 4.1.2 Washington Department of Natural Resources sent a letter regarding timber harvest. 4.1.3 Danielle Skeeters-Lindsey submitted an application for the Civil Service Board. 4.1.4 Jesse Sims sent in a resignation letter for the Parks and Trails Board. 4.1.5 Economic Development Council of Mason County sent their 3`d quarter report. 4.1.6 State of Washington Department of Health sent an Administrative Order reclassifying a portion of the Annas Bay Commercial Shellfish growing area in Mason County from Approved to Conditionally Approved. 4.1.7 Beth Gizzi and Carroll Raether sent in applications for the Lewis, Mason, Thurston Area Agency on Aging Board. 4.1.8 Port of Hoodsport sent comments regarding the Economic Development Council request for $68,000 from the Mason County Sales &Use Tax Fund. 4.2 News Release Mason County Property Tax Levy Lid Lift Staff: Frank Pinter 5. Open Forum for Citizen Input— 5.1 Steve Bloomfield praised the work done by Public Works. 5.2 Connie Adams voiced concern about the tax levy. She questioned the cuts within the Sheriff's office and also the employees that have received raises versus those that haven't. She said both the K9 program and Cindi are valuable to the Sheriff's department and need to be supported. Cmmr. Neatherlin said that the Board has decided to give back their raises. He added that they only get a 1% raise whereas other employees receive a 3% raise. Cmmr. Neatherlin added that the Board will be paying the money back to the County in the form of a check because they cannot determine their own wages. Cmmr. Drexler addressed Ms. Adams noting that if further cuts are necessary the Sheriff's office would see a reduction of just $350,000. 6. Adoption of Agenda - Cmmr. Drexler/Neatherlin moved and seconded to adopt the agenda as published. Motion carried unanimously. N-aye; S-aye; D-aye. 7. Approval of Minutes—September 25, 2017 Briefing Minutes; October 3, 2017 and October 10, 2017 Regular Meeting Minutes. Cmmr. Neatherlin/Drexler moved and seconded to approve the September 25, 2017 Briefing Minutes; October 3 and October 10, 2017 regular meeting minutes as written. Motion carried unanimously. N-aye; S-aye; D-aye. 8. Approval of Action Agenda: 8.1 Approval of the 2017 Comprehensive Economic Development Strategy (CEDS) BOARD OF MASON COUNTY COMMISSIONERS' PROCEEDINGS October 24, 2017 - PAGE 2 Project list as recommended by the Mason County Economic Development Council. (Ex. A) 8.2 Approval for Public Works to advertise, set bid date/time, award contract and allow the Chair to sign all pertinent documents for routine Paint Line for 2018. 8.3 Approval to set a hearing with the Hearings Examiner for Wednesday, November 22, 2017 to consider public comment on the petition for vacation of a portion of E Mason Lake Drive West in Mason County, Washington. 8.4 Approval to obtain a loan from USDA Rural Development in the amount of$163,500, plus bond council fee, for 20 years at 2.75% APR interest to fund the water meter installation project. 8.5 Approval for the Board to sign the Interlocal Agreement between Mason County and Lewis County allowing Mason County Jail to utilize Lewis County Jail to hold Mason County offenders. The daily bed rate will be sixty-six dollars and fifty-six cents ($66.56). 8.6 Approval for the Emergency Management Manager to sign the FY17 Emergency Management Performance Grant contract E18-071. 8.7 Approval of the January 2018 through December 2020 Collective Bargaining Agreement(CBA) for the Woodworkers Local Lodge W38, I.A.M. representing the Mason County Office of Public Defense. 8.8 Approval of the Mason County Post Issuance Compliance Policy as recommended by the Mason County Finance Committee. (Ex. B) 8.9 Approval to close the Belfair Veteran's Service Office and terminate the Lease between the North Mason Resource Center and Mason County with a 30-day advance written notice, effective December 15t, 2017, as recommended by the Veteran's Advisory Board. 8.10 Approval of the Resolution establishing Budget Reserves and a Contingency Policy for Mason County. This item is continued from the September 26, 2017 meeting.(Ex. C) 8.11 Approval of voicing no objections to the special occasion liquor license application for the North Mason Rotary Club for an event on November 4, 2017 at the Belfair HUB and authorize the Chair to sign the Liquor License application from the WA State Liquor Control Board. Cmmr. Neatherlin asked that item 8.5 be removed for separate discussion. Cmmr.Neatherlin/Drexler moved and seconded to approve action items 8.1 through 8.11 with the exception of 8.5. Motion carried unanimously. N-aye;S-aye; D-aye. 8.5 Cmmr. Shutty asked Frank Pinter to speak about the ILA. He said the current contract is expiring and the jail chief would like to have the option to outsource in case it is needed. Cmmr. Drexler said she could not make a notion at this time and noted that numbers are different throughout the contract which has her concerned. Cmmr. Neatherlin also said he would not be making a motion discussing funds and the negative impact to the County. Item died from lack of motion. Cmmr. Shutty noted that a discussion would be necessary with Chief Hanson to create a contingency plan. 9. Other Business (Department Heads and Elected Officials) 9.1 Approval to appoint Steve Van Denover to the Planning Advisory Commission for a four year term ending October 31, 2021. BOARD OF MASON COUNTY COMMISSIONERS' PROCEEDINGS October 24, 2017 - PAGE 3 Cmmr. Neatherlin made a motion to appoint Steve Van Denover to the Planning Advisory Commission for a four year term ending October 31, 2021. No second. Motion died due to lack of second. 10. 9:30 a.m. Public Hearings and Items set for a certain time— 10.1 Public Hearing to consider approving the Private Line Occupancy Permit for a new utilities coring under North Shore Road for 5181 NE North Shore Road (tax parcel number 22210-52-01905). Staff: Jerry Hauth Jerry Hauth said this hearing is for a new water line and a sewer line. He stated that installation of these utilities will improve setback considerations and staff supports it. No public comment received. Cmmr. Neatherlin/Drexler moved and seconded to approve the Private Line Occupancy Permit for a new utilities coring under North Shore Road for 5181 NE North Shore Road (tax parcel number 22210-52-01905) Motion carried unanimously. N-aye; S-aye; D-aye. 11. Board's Reports and Calendar -The Commissioners reported on meetings attended the past week and announced their upcoming weekly meetings. 12. Adjournment—The meeting adjourned at 6:37 p.m. BOARD OF COUNTY COMMISSIONERS ATTEST: MASON COUNTY, WASHINGTON Me ssa , Clerk of e Board Kevin S'- , C air 4), Terri Drexler, Commissioner Randy Neatherlin, CVmissioner Ex. A RESOLUTION NO. RESOLUTION ESTABLISHING THE COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY PROJECT LIST FOR 2017 WHEREAS, in the agreement between Mason County and the Economic Development Council (EDC), one of the tasks is to compile the Comprehensive Economic Development Strategy(CEDS) list for Mason County, Washington; and WHEREAS, the EDC has solicited suggested projects from local Mason County jurisdictions and community groups for possible infrastructure improvements to enhance economic sustainability throughout Mason County; and WHEREAS, the State Legislature has authorized Mason County to retain .09 percent of retail sales taxes annually for economic development projects; and WHEREAS, eligibility for funding must be demonstrated by a list of projects; and WHEREAS, the EDC has recommended a list of projects which updates the current infrastructure needs which the Commissioners have reviewed; WHEREAS, the Commissioners have identified the following list and priorities as listed in Exhibit A. NOW, THEREFORE BE IT HEREBY RESOLVED, that the Board of Mason County Commissioners adopts the attached list of priorities for inclusion in the 2017 CEDS publication. Dated this 24th day of October, 2017. BOARD OF COUNTY COMMISSIONERS ATTEST: MASON COUNTY, ASHINGTON M lis ewry, Clerl of the Board Kevin Shutty, Ch { APPROVED AS TO FORM: Terri Drexler, Com�sioner ,/ 2 Tim Whi , Chief Deputy Prosecuting Attorney A r-� Randy eatherlin,NQTrpAsioner C: Economic Development Council J:\RESOLUTIONS&ORDINANCES\RESOLUTIONS-ORDINANCES Word Files\2017\CEDS 2017.doe Exhibit A 2017 Community & Economic Development Strategies Projects List _ _ _ _ _ _ .......... _ Lead Orgartint—lo-n— Partnerships Project VMOZ 1 City of Shelton Basin 3 Sewer Project Utilities,Environmental $6,644,610 ....._......... ._.. ------- ....-j 2 City of Shelton Downtown road improvements(MTA area) Transportation $1,700,000 3 City of Shelton Interim Fix to Railroad Avenue Utilities,Transportation $1,200,000 i 4 City of Shelton Pine&Alder Revisions Utilities,Transportation $30,000 ............................................»......_».._»..._............................__............—'-'---'--....................................._...._....__..__....__ l 5 City of Shelton Water System Modeling Utlitlies,Economic Development, $20,000 Publ 6 Mason CountyDOT •AII n Sidewalks Trans Safety Y Transportation&Economic I$1,000,000 __ Development 7 Mason County DOT Razor Road Connector Road Widening Transportation&Economic 1$4,000,000 Development 8 Mason County RCO Wheelright Acquisition and Build iTransportation,Parks&Trails& $1,500,000 i Economic Development 9 Mason County USDA Belfair5ewer Phase 11 Road Widening Utilities&Transportation $8,000,000 10 Mason County PW IWSDOT Simmons Road ,Transportation&Economic Current estimate to complete all Development phases$7 million. 11 Mason County PW Beards Cove Public Water System(PWS)Booster Pump 'Utilities I$70D,000 12 Mason County PW Beards Cove Public Water System(PWS)water meter installation Utilities $330,000 I 13 Mason County PW Belfair Sewer phase 213&4 build out Utilities _ I 14 Mason County PW North Bay Sewer System-development study and evaluation of necessary treatment plant capacity upgrades Utilities I$250,000 ................................................................................... .................................................................-............-.-...... ..................... ........................................................................_..__...._._..._........................................_................ 15 Mason County PW North Bay Sewer System-treatment plant capacity upgrades&capital replacement of major system components Utilities $2,000,000 16 Mason County PW North Bay Sewer System Infow&Infiltration(I&1)Reduction Utilities $550,000 17 Mason County PW Rustlewood Public Water System(PWS)water meter installation Utilities $110,000 18 Mason County PW Rustlewood Sewer System Inflow&Infiltration(41)Reduction Utilities $155,000 19 Mason CountyPW Shelton Transfer Station Utilities $100,000 1 20 Mason County PW Shelton Transfer Station Utilities $330,000 I 21 Mason County PW Shelton Transfer Station-upgrades to Household Hazardous Waste Collections Program Utilities $150,000 23 Mason County PUD No.3 Mason EDC,City of Shelton,Mason County, Olympic Substation(tentative name) Utilities,Economic Development $5,000,000 estimate Port of Shelton 24 Mason County PUD No.3 Mason PUD 3,City of Sholton,Bonnevllio Power Shelton Hills Substation Utilities,Economic Development $5,300,000($3.5 million,Mason Adminlstratlon,Hall Equlde%EDC of Mason County,State ofwashington,Federal Gov Agencies PUD3$1.8 million BPA) 25 Mason County PUD No.3 ?aylorShellnsh,Squsain Island Trlbo Totten Substation Utilities,Economic Development $5,000,000 estimate i _.._....................._............._.-.�i..»»....................--__........................,.......................__................................................................................................................... .—._....._...._..___....._.._.......-.............._..................... ......_.__._._.-..-.-....-.._.._.._».._..._.._..._..._._-._�.._..-. 26 on Transit Authority ADA Imporovements and Operations Building Remodel Transportation $500,000 -_-..-..............................................._........._..-............._.........................................»....-..........................................ns,i........e-n-..............................._...._ _._..-._.......................................................................................................--_....._...____....._..._......_.._..-._.._......-______................................................_......................................................................................__............_.........._.............................. 27 Mason Transit Authority WSDOT,Mason County Allyn Transit Center Planning project Transportation $5D,D00 i ..............................................._-..-.. ................._.............................................................................................................................__._ ..._.._.._.._.-_.........................................................................._...... ..._................._.._........................................................................................................................................... ...._......_.._.. 28 Mason Transit Authority WSDOT CAD/AVL on Revenue Vehicles Transportation $400,000 I ..............................__........_.. ..................................................-................................._...._.._...__....j.....................__.._.-._._.........-__.............................................................................._.....-............__ _........... ... ............................................................ ... ............. .............. ........................................................... ... ........................................................................................................... ......_..........._._._.....-. --- 29 on Transit Authority WSDOT,(other local agency participation (Construct wet maintenance facility at MTA Main Base Transportation $350,000 ossible 30 Mason Transit Authority WSDOT,Mason County(Hoodsport Master Hoodsport Transit Center 101&SR-119 Transportation $50,000 Plan Inclusion) ...................................._. .........._.....-..................................................._.-......................................._..........._....._.....................................................-..............-.....-......-.............._......_..._.........._................_. .................................................................................................................._........................................................................._......._...---...__.._._.._...---......._...—'-'----T.._._...I 31 Mason Tr ansit Authority WSDOTTransportatlon Division,Mason Counry,Ciry of park&Ride Development Transportation,Utilities,Land Use, $10,285,000 Shelton sU Alliance(consulting) Economic Development,Public -. ........................................_.._._.....-..._....---..._..._....... Safety,Environmental 32 Port ofAllyn Port and PUD 3 Highway 3 LED Lighting Project Utilities,Transportation,Public Safety$9,500 33 Port of Grapeview Recreation Commission Office Fair Harbor Boat Launch Gangway Parks&Trails,Economic $550,000 i _.»...................................................._.._......._.... " Development 34 Port of Grapeview Mason County Fair Harbor Boat Launch Park Parks&Trails,Land Use $350,000 I Exhibit A 3S Port of Grapeview Taylor Shellfish,1-1H Architects,Squaxin Fair Harbor Boat Launch Ramp Parks&Trails,Economic $230,000 Tribe Development 36 Port of Grapeview Taylor Shellfish,H1H Architects,Squaxin Fair Harbor Permanent Restroom Parks&Trails,Utilities $90,000 Tribe 37 Port of Grapeview Local Shellfish Industry POG Business&Rec Park Parks&Trails,Land Use,Economic $160,000 Development 38 Port of Shelton Port and local shellfish&evergreen Cold Storage Feasibility Study Economic Development $35,000 companies 39 Port of Shelton Port,Lynch Creek Farms,Gem Shavings, Johns Prairie Mill Repairs Economic Development Techwood,Fungi Perfecti 40 Port of Shelton OBM Tenant Advisory Committee,Port Marina Dock&Piling Replacement Utilities,Transportation,Public $2,500,000 Staff,Shelton Yacht Club Safety,Environment 41 Port of Shelton Port,0 BM Tenant Advisory Committee, OBM Commercial Dock — Economic Development $2,600,000 Aquaculture tenants 42 Port of Shelton Port of Shelton,Squtdn Ward Tribe,South Puget Sound Shelton Harbor Restoration Environmental $8,000,000 Salmon Enhancement Group,Mason Conservation District, Simpson Lumber Company,Simpson Timber Company, Washington Dept of Ecology,Capital land Trust,Clry of Shelton Ex. B County Governmental Bonds MASON COUNTY, WASHINGTON POST ISSUANCE COMPLIANCE POLICY This policy is intended to guide the County in meeting its obligations under applicable statutes, regulations and documentation associated with publicly offered and privately placed securities of the County. This policy addresses obligations of the County that arise and will continue following the issuance of securities. These obligations may arise as a result of federal tax law (with respect to tax-exempt securities) and securities laws (with respect to ongoing disclosure) or as a result of contractual commitments made by the County. This policy outlines obligations that may be applicable to each issue of securities and identifies the party to be responsible for monitoring compliance. In the County, the Budget and Finance Director will be responsible for ensuring that the policy is followed and checklists and records maintained. The Budget and Finance Director may delegate responsibility to employees and outside agents for developing records, maintaining records and checklists. The County will provide educational opportunities (opportunities to attend educational programs/seminars on the topic) for the parties identified in this policy with responsibilities for post-issuance compliance in order to facilitate their performance of these obligations. A. Transcripts The County's bond counsel shall provide the County with two copies of a full transcript related to the issuance of securities (for each issue) . The transcript shall be delivered in one of the following forms: bound paper copy, CD ROMs or Thumb Drives. Transcripts shall be delivered to the County within six months following the date of issuance of securities. It is expected that the transcript will include a full record of the proceedings related to the issuance of securities, including proof of filing an IRS Form 8038-G or 8038-GC, if applicable. Bond transcripts will be retained by the following parties and in the following locations within the County: Budget and Finance Director's office and County Treasurer's office. B. Federal Tax Law Requirements (Applicable only if the securities are issued as "tax- exempt" securities. Use of Proceeds: If the project(s) to be financed with the proceeds of the securities will be funded with multiple sources of funds, the County will adopt an accounting methodology that: 1' maintains each source of funding separately and monitors the actual expenditure of proceeds of the securities; . co-mingles the proceeds and monitors the expenditures on a first in, first out basis; or . provides for the expenditure of funds received from multiple sources on a proportionate basis . records of expenditures (timing of expenditure and object code) of the proceeds of securities will be maintained by the Auditor's office. . records of investments and interest earnings on the proceeds of securities will be maintained by the County Treasurer. Such records should include the amount of each investment , the date each investment is made, the date each investment matures and if sold prior to maturity, its sale date, and its interest rate and/or yield. Interest earnings on proceeds will be deposited in the fund in which the proceeds of the securities were deposited (if not, then the plan for use of interest earnings will be discussed with the County' s bond counsel) . . records of interest earnings on reserve funds maintained for the securities. Arbitrage Rebate The Budget and Finance Director of the County ("Rebate Monitor") will monitor compliance with the arbitrage rebate obligations of the County for each issue ("issue") of securities which are described in further detail in the tax certificate if any, executed by the County for each issue and included in the transcript for the issue. If the County did not execute a tax certificate in connection with an issue, the Rebate Monitor should consult with the County's bond counsel regarding arbitrage rebate requirements. The County will provide educational opportunities (opportunities to attend educational programs/seminars on the topic) for the Budget and Finance Director in order to facilitate his/her performance of these obligations. If the Rebate Monitor determines that the total principal amount of tax- exempt governmental obligations (including all tax-exempt leases , etc. ) of the County issued by or on behalf of the County and subordinate entities during the calendar year, including the issue , will not be greater than $5, 000,000, the Rebate Monitor will not be required to monitor arbitrage rebate compliance for the issue, except to monitor expenditures and the use of proceeds after completion of the project (see #3 below) . For purposes of this paragraph, tax-exempt governmental obligations issued to currently refund a prior tax-exempt governmental obligation will only be taken into account to the extent they exceed the outstanding amount of the refunded bonds. I 2 I I If the Rebate Monitor determines that the total principal amount of tax- exempt governmental obligations (including all tax-exempt leases, etc. ) of the County issued or incurred any calendar year is greater than $5, 000, 000, the Rebate Monitor will monitor rebate compliance for each issue of tax-exempt governmental obligations issued during that calendar year. Rebate Exceptions The Rebate Monitor will review the tax certificate, if any, in the transcript in order to determine whether the County is expected to comply with a spending exception that would permit the County to avoid having to pay arbitrage rebate. If the tax certificate identifies this spending exception (referred to as the six-month exception, the 18 month exception or the 2-year exception) , then the Rebate Monitor will monitor the records of expenditures (see 8. 1 above) to determine whether the County met the spending exception (and thereby avoid having to pay any arbitrage rebate to the federal government) . If the County did not execute a tax certificate in connection with an issue, the Rebate Monitor should consult with bond counsel regarding the potential applicability of spending exceptions. Rebate Compliance If the County does not meet or does not expect to meet any of the spending exceptions described in (i) above, the County will: . review the investment earnings records retained as described in B. 1 above. If the investment earnings records clearly and definitively demonstrate that the rate of return on investments of all proceeds of the issue were lower than the yield on the issue (see the tax certificate in the transcript) , then the County may opt not to follow the steps described in the following paragraph. . retain the services of an arbitrage rebate consultant in order to calculate any potential arbitrage rebate liability The rebate consultant shall be selected no later than the completion of the project to be financed with the proceeds of the issue. A rebate consultant may be selected on an issue by issue basis or for all securities issues of the County. The Rebate Monitor will obtain the names of at least three qualified consultants and request that the consultants submit proposals for consideration prior to being selected as the County's rebate consultant. The selected rebate consultant shall provide a written report to the County with respect to the issue and with respect to any arbitrage rebate owed if any. based on the report of the rebate consultant, file reports with and make any required payments to the Internal Revenue Service, no later than the fifth anniversary of the date of each issue (plus 60 days) , and every five years thereafter, with the final installment due no later than 60 days following the retirement of the last obligation of the issue. 3 Yield Reduction Payments If the County fails to expend all amounts required to be spent as of the close of any temporary period specified in the Tax Certificate (generally 3 years for proceeds of a new money issue and 13 months for amounts held in a debt service fund) , the County will follow the procedures described in 8.2.b.ii above to determine and pay any required yield reduction payment. Unused Proceeds Following Completion of the Project Following completion of the project(s) financed with the issue proceeds, the Budget and Finance Director will: . review the expenditure records to determine whether the proceeds have been allocated to the project(s) intended (and if any questions arise, consult with bond counsel in order to determine the method of re-allocation of proceeds) ; and direct the use of remaining unspent proceeds in accordance with the limitations set forth in the authorizing proceedings (i.e. , bond ordinance) and if no provision is otherwise made for the use of unspent proceeds, to the redemption or defeasance of outstanding securities of the issue. Use of the Facilities Financed with Proceeds In order to maintain tax-exemption of securities issued on a tax-exempt basis, the financed facilities (projects) are required to be used for governmental purposes during the life of the issue. The Budget and Finance Director of the County will monitor and maintain records regarding any private use of the projects financed with tax-exempt proceeds. The IRS Treasury Regulations prohibit private business use (use by private parties (including nonprofit organizations and the federal government) ) of tax-exempt financed facilities beyond permitted de minimus amounts unless cured by a prescribed remedial action. Private use may arise as a result of: sale of the facilities; lease of the facilities (including leases, easements or use arrangements for areas outside the four walls, e.g. , hosting of cell phone towers) ; . management contracts (in which the County authorizes a third party to operate a facility (e.g. , cafeteria) ; . preference arrangements (in which the County grants a third party preference of the facilities, e.g. , preference parking in a public parking lot) . 4 If the Budget and Finance Director identifies private use of tax-exempt debt financed facilities, the Budget and Finance Director will consult with the County' s bond counsel to determine whether private use will adversely affect the tax-exempt status of the issue and if so, what remedial action is appropriate. Records Retention. Records with respect to matters described in this Subsection will be retained by the County for the life of the securities issue (and any issue that refunds the securities issue) and for a period of three years thereafter. a. Records to be retained: i. The transcript; ii. Arbitrage rebate reports prepared by outside consultants; iii. Work papers that were provided to the rebate consultants; iv. Records of expenditures and investment receipts (showing timing of expenditure and the object code of the expenditure and in the case of investment, timing of receipt of interest earnings) . (Maintenance of underlying invoices should not be required provided the records include the date of the expenditure, payee name, payment amount and object code; however, if those documents are maintained as a matter of policy in electronic form, then the County should continue to maintain those records in accordance with this policy) ; V. Copies of all certificates and returns filed with the IRS (e.g. , for payment of arbitrage rebate) ; and (vi) copies of all leases, user agreements for use of the financed property (agreements that provide for use of the property for periods longer than 30 days) , whether or not the use was within the four walls (e.g. , use of the roof of the facility for a cell phone tower) . 5 Ongoing Disclosure. Under the provisions of SEC Rule 15c2-12 (the "Rule") , underwriters are required to obtain an agreement for ongoing disclosure in connection with the public offering of securities. Unless the County is exempt from compliance with the Rule as a result of certain permitted exemptions, the transcript for each issue will include an undertaking by the County to comply with the Rule. The Budget and Finance Director of the County will monitor compliance by the County with its undertakings. These undertakings may include the requirement for an annual filing of operating and financial information and will include a requirement to file notices of listed "material events. " For some types of material events (early bond calls) , the State' s fiscal agent has undertaken the responsibility of filing notice of the applicable material event. Other Notice Requirements In some instances, the proceedings authorizing the issuance of securities will require the County to file information periodically with other parties, e.g. , bond insurers, banks, rating agencies. The types of information required to be filed may include: (1) budgets (2) annual financial reports (3) issuance of additional debt obligations, and (4) amendments to financing documents The Budget and Finance Director of the County will maintain a listing of those requirements and monitor compliance by the County. Approval and Adoption Approved and adopted this 171h day of October, 2017, by the Mason County Finance Committee. .. �I - Elisabeth (Lisa) Frazier, Chair Maso County Treasurer k �, �) Karen Herr, Se retary Mas n Co Auditor Kevin Sh tty, Committee Member Mason Co my Commissioner Ap��`rov�as to form: -0 Nancy Ne ras, Attorney, Bond Counsel, Foster Pepper PLLC 6 Approved this day of October 2017. Mason County Board of Commissioners -a, Kevin Shutt , Chair Rand Neatherlin, Commissioner Terri Drexler, ommissioner Attest: �0�jlflz Mel 's a wry, Cle k of the Board A ire o form: Tim White of Deputy Prosecuting Attorney 7 Ex. C RESOLUTION NO. 5Z J� AMENDING RESOLUTION 77-09 IN THE MATTER OF ESTABLISHING A GENERAL FUND RESERVE AND CONTINGENCY POLICY FOR MASON COUNTY, WASHINGTON WHEREAS, the Mason County Board of County Commissioners, as the county legislative authority and the Mason County Finance Committee deem it to be fiscally responsible to maintain cash flow reserves in the County General Fund and to provide sufficient reserve funds as required by law to cover bond covenants,the smooth running of the County and pay current obligations; NOW THEREFORE BE IT RESOLVED by the Mason County Board of County Commissioners that the General Fund Reserve and Contingency Policy be adopted as part of the Current Expense Budget process to achieve the goals outlined. It is the intent of the Mason County Board of County Commissioners that they shall establish these goals over a five year period beginning in 2018 for all reserves except the Contingency Reserve which shall be established over the successive next five years beginning in 2019. BE IT FURTHER RESOLVED by the Mason County Board of County Commissioners that the General Fund Reserve and Contingency Policies be established as defined herein and within a county wide Financial Management Policy to be adopted separately by year end 2017. A. General Policy The County shall maintain.reserves required by law, ordinance and/or bond covenants. All expenditures drawn from reserve accounts shall require prior Board approval unless previously authorized by the Board for expenditure within the County's annual budget. The County Finance Committee will review annually the required reserve levels that is necessary to meet the reserves established herein. If it is determined that the reserves should be adjusted, the County Finance Committee shall propose an amendment to these policies. If reserves and/or fund balances fall below required levels as set by this policy, the County shall include within its annual budget a plan to restore reserves and/or fund balance to the required levels. The County's annual general fund budget will be adopted in the positive with expenditures not exceeding revenues, excluding beginning and ending fund balances unless the Mason County Board of County Commissioners develop a plan to restore the shortfall to the reserve balances within one calendar year. C:\Users\fpinter\Desktop\Franks Work\Cash Flow Reserve Resolution\CURRENT EXPENSE CASH FLOW RESERVE v5.doc The County will allocate any funds from unanticipated excess revenues and/or unexpended budget authority in the year following the actual recognition of these funds first to funding reserves as set out in this policy then to other unanticipated expenditures. All reserves will be presented in the County's annual budget. B. General Fund Operating Reserves The County will maintain a General Fund Operating Reserve to provide for adequate cash flow, budget contingencies, and insurance reserves. Under this policy General Operating Reserves will be budgeted in the range of 12% - 15% of the prior year's actual expenditures, excluding beginning and ending fund balances. C. Contingency Reserve The County will maintain a Contingency Fund and shall maintain a reserve equal to $1,000,000 to provide a financial cushion to cover revenue shortfalls resulting from unexpected economic changes or recessionary periods or to provide funds in the event of major unplanned expenditures the County could face. D. Technology Replacement Reserves The County will maintain a Technology Replacement Reserve for replacement of costs entity wide to cover computer hardware, software, or telephone equipment identified in the County's Technology Replacement listing. The required level of reserve will equal each year's scheduled costs. For example, if the 2017 equipment costs are budgeted at $100,000 the fund reserve balance must equal or exceed $100,000. Contributions will be made through assessments to the using funds and departments and maintained on a per asset basis. E. General Fund Equipment and Vehicle Replacement Reserves The County will maintain a General Fund reserve for the replacement of vehicles and equipment identified on the County's equipment replacement listing. The required level of reserve will equal each year's scheduled replacement costs. For example, if the 2017 equipment replacement costs are budgeted at $100,000, the fund reserve balance must equal or exceed $100,000. Contributions will be made through assessments to the using funds and departments and maintained on a per asset basis. F. Accrued Leave Reserve The County will maintain an Accrued Leave Reserve to cover the cost of the liability in its Accrued Leave Account. The reserve will be at least sufficient to cover one years estimated accrued leave payout as well as any accrued leave payouts known and required to be paid out in future years. C:\Users\fpinter\Desktop\Franks Work\Cash Flow Reserve Resolution\CURRENT EXPENSE CASH FLOW RESERVE v5.doc Approved thiseday of be K 2017. Mason County Board of Commissioners evin Sh try, air Rand eatherlin, ommissioner Terri Drexler, ommissioner Approved this day of 2017. Mason County Finance Committee F is razier,Mason County Treasurer,Chair Karen keff,Mason County Auditor, Secretary Kevin Shutty, ason County Commissioner Attest: Me ss D Clerk of the Board Approved as to form: i Tim Whitehead Chief Deputy Prosecuting Attorney C:\Users\fpinter\Desktop\Franks Work\Cash Flow Reserve Resolution\CURRENT EXPENSE CASH FLOW RESERVE v5.doc