Finance Committee Meeting

Finance Committee Meeting Commission Chamber - 1/29/2019 ATTENDANCE: Present: Hons. Hardie Davis, Jr., Mayor; D. Williams, Vice Chairman; M. Williams and Frantom, members. Absent: Hon. Fennoy, Chairman. FINANCE 1. Update on 1998 Pension Plan. (Requested by Commissioner Sammie Sias) Item Action: Approved Motions Motion Motion Motion Text Made By Seconded By Type Result Motion to approve receiving this item as Commisioner Commissioner Approve Passes information. Sean Frantom Marion Williams Motion Passes 3-0. 2. Approve Excess Worker's Compensation Insurance with Safety National Item Casualty with statutory limits and a $750,000 Self Insured Retention (SIR - Action: otherwise known as the deductible) to cover all positions for a premium of Approved $369,994. Motions Motion Motion Motion Text Made By Seconded By Type Result Motion to approve. Commisioner Commissioner Approve Passes Motion Passes Sean Frantom Dennis Williams 3-0. 3.  Motion to approve the minutes of the Finance Committee held on January 8, Item 2019. Action: Approved Motions Motion Motion Motion Text Made By Seconded By Type Result Motion to approve. Commisioner Commissioner Approve Passes Motion Passes Sean Frantom Dennis Williams 3-0. 4. Motion to approve 2 additional positions for the District Attorney's office and Item to approve funding for the full year. Action: Approved Motions Motion Motion Motion Text Made By Seconded By Type Result Motion to approve. Commisioner Commissioner Approve Passes Motion Passes Sean Frantom Dennis Williams 3-0. 5. Motion to approve continued agreement with Brinson Askew Berry LLP for Item collection of hotel tax under Rome Class Hotel Incremental Tax Fund. Action: Approved Motions Motion Motion Motion Text Made By Seconded By Type Result Motion to approve. Commisioner Commissioner Approve Passes Motion Passes Sean Frantom Marion Williams 3-0. www.augustaga.gov  Finance Committee Meeting 1/29/2019 1:20 PM Attendance 1/29/19 Department: Presenter: Caption: Background: Analysis: Financial Impact: Alternatives: Recommendation: Funds are Available in the Following Accounts: REVIEWED AND APPROVED BY:  Lena Bonner From: Commissioner Sammie Sias Sent: Wednesday, January 23,2OLg L0:59 AM To: Lena Bonner Cc: Janice Allen Jackson; Donna wiiliams; Timothy Schroer; Nancy Morawski Subject: Retirement Plan 1998 Ms Bonner, Please add the following agenda item to the Finance Committee agenda for 29Jan 2019 staff: Please provide a complete update on the 199g pension ptan. Please include as a minimum: Plan start date; Plan end date for new membership; How the members were brief to transition out of the plan or to stay with the plan; How many participants remains; A comparison of benefit reference the current GMEBS plan; Required payment amounts into the plan; Buy in options to the current GMEBS ptan Buy in options to any other plans (city or private); Any other information you consider retevance; Thanking everyone in advance for you assistance in this matter. Sammie L. Sias Commissioner, Augusta Richmond County "Foilure is not an Option" This e-mail contains confidential information and is intended only for the individual named. lf you are not the named addressee, you should not disseminate, distribute or copy this e-mail Please notify the sender immediatety by e-mait it you The city of Augusta accepts no liability for the content of this e-miil or for the i., nive receiv-ed this e-mail by mistake and delete this e-maii your.y"t".. of any actions taken on the basis of the information provided, unless "bni"qr"n""" that information is subsequenlly confirmed in writing. Any views or opinions pr"."nGi in rhis e-mail are soteiy tnose of the author and do not necessarily represent those of the city of Augusta' E-mail transmissions Cannot be guaranieed to Le secure or error-free as information could be intercepted, corrupted, lost, destroyed, arrive late or incomplete, or contain viruses. The sender therelore does not ,a""piiirtitity ror any errors or ornl"ai*" in the content of this message which arise as  Finance Committee Meeting 1/29/2019 1:20 PM 1998 Pension Plan. Department: Presenter: Commissioner Sammie Sias Caption: Update on 1998 Pension Plan. (Requested by Commissioner Sammie Sias) Background: Analysis: Financial Impact: Alternatives: Recommendation: Funds are Available in the Following Accounts: REVIEWED AND APPROVED BY:  Finance Committee Meeting 1/29/2019 1:20 PM 2019 Renewal of Excess Worker's Compensation Insurance Department: Finance/Risk Managment Presenter: Judy Blackstone, Joe Crozier Caption: Approve Excess Worker's Compensation Insurance with Safety National Casualty with statutory limits and a $750,000 Self Insured Retention (SIR - otherwise known as the deductible) to cover all positions for a premium of $369,994. Background: Excess Workers Compensation coverage (a per occurrence policy) has been purchased in the past as a measure to cap any potential catastrophic loss against Augusta-Richmond County. Augusta’s current SIR is $750,000. Stated simply, Augusta is self-insured on each claim up to $750,000 before the excess coverage policy takes effect. Analysis: Past claim experience, current claim exposure, and potential future cost were considered. It was determined that an SIR of $750,000 is appropriate for our level of risk. Corvel, our Workers’ Compensation Third Party Administrator, was requested to obtain quotes from A or A+ companies. Corvel received the following quotes from the following companies: Safety National Casualty XL Insurance ACE/Chubb Prosight Specialty Insurance The following companies declined to provide an offer: Midwest Employers Casualty Company Sompo Japan Insurance Company of America Financial Impact: Maintaining the SIR of $750,000 offers the greatest value to Augusta-Richmond County government. Alternatives: 1) Drop coverage accepting full exposure/cost for any catastrophic job related injury. 2) Accept proposal from company with higher premium quotes which also have a higher deductible Recommendation:  Approve coverage with Safety National Casualty (lowest premium quote) with SIR of $750,000 for all positions with Statutory Limit for a deposit premium of $369,994 which is a decrease of $13,249 from the prior year premium amount. Funds are Available in the 621 01 5233 55.21110 WC/Risk Management Following Accounts: REVIEWED AND APPROVED BY: Finance. Law. Administrator. Clerk of Commission Finance committee Meeting commission chamber - llglz0lg ATTENDANCE: Present: Hons. D. williams, vice chairman; M. williams and Frantom, members. Absent: Hons. Hardie Davis, Jr., Mayor; Fennoy, Chairman. FINANCE 1. Motion to approve the minutes of the Finance Committee held on December Item l l, 2018. Action: Approved Motions Motion Motion Motion Text Made By Seconded By Type Result Motion to Approve approve. Commisioner Commissioner Motion Passes Sean Frantom Dennis Williams Passes 3-0. www.augustaga.qov  Finance Committee Meeting 1/29/2019 1:20 PM Minutes Department: Presenter: Caption: Motion to approve the minutes of the Finance Committee held on January 8, 2019. Background: Analysis: Financial Impact: Alternatives: Recommendation: Funds are Available in the Following Accounts: REVIEWED AND APPROVED BY:  Department Effective Department Org Key Quantity Job Title Grade Salary Benefits Total 1-Jul-19 DA Investigator - to provide each judge team own Investigator due to increase in District Attorney 101-02-1310 1 20 48,500 15,563 64,063 32,031 cases Assistant District Attorney - to provide each judge team with 3 ADAs due to increase 101-02-1310 1 22 54,800 16,444 71,244 35,622 Adopted in cases 2 District Attorney 135,307 67,653 Department Department Org Key Quantity Job Title Grade Salary Benefits Total (2) DA Investigator @ 48,500 - to provide each judge team own Investigator due to District Attorney 101-02-1310 2 20 97,000 31,125 128,125 Provide Request increase in cases Assistant District Attorney - to provide each judge team with 3 ADA's due to 101-02-1310 1 22 54,800 16,444 71,244 for full year increase in cases 101-02-1310 1 Secretary - to assist DA staff due to increase in cases and court appearances 13 33,684 13,491 47,175 4 District Attorney 246,544 Cost to Fund Request for Full Year DA Current Adopted Budget w/ New Personnel of $67,650 2,996,220 additional increase to fund request for full year 178,890 3,175,110 Funding Source Burke Co Portion 8% 254,009 Columbia Co Portion 40% 1,270,044 Richmond Co Portion at no change 1,563,290 VOCA Grant - personnel expense reclass to 220 88,120 3,175,463 Funding Excess/(Deficit) 353  Finance Committee Meeting 1/29/2019 1:20 PM Motion to approve 2 additional positions for the District Attorney's office and to approve funding for the full year Department: Finance and District Attorney Presenter: Caption: Motion to approve 2 additional positions for the District Attorney's office and to approve funding for the full year. Background: During the 2019 budget process, the District Attorney requested 4 new positions (2 DA Investigators, 1 Assistant District Attorney, and 1 Secretary). Two positions were approved (1 DA Investigator and 1 Assistant District Attorney) and were funded on July 1, 2019 as were all other new positions in the general fund. Analysis: After adoption of the budget, the District Attorney requested reconsideration of her request for all four positions with funding for the entire year. Discussions with Columbia and Burke counties which contribute funding toward the operations of the office offered possible funding. Financial Impact: The additional cost of the two requested positions for the full years as well as an additional 6 months funding for the two positions already approved in the budget will be covered without any additional cost to Richmond County. Columbia County's share will increase from 35.66% to 40% and Burke's will increase from 6.7% to 8%. Additionally there are costs eligible for reimbursement under the VOCA grant. Alternatives: make no adjustments, funding only 2 positions effective July 1 Recommendation: approve new positions and allocate funding for full year using identified funding sources. Funds are no additional cost to Augusta Available in the Following Accounts: REVIEWED AND APPROVED BY: Finance. Law. Administrator. Clerk of Commission  Finance Committee Meeting 1/29/2019 1:20 PM Motion to approve continued agreement with Brinson Askew Berry for collection of hotel tax under Rome Class Hotel Incremental Tax Fund Department: Finance Presenter: Donna Williams Caption: Motion to approve continued agreement with Brinson Askew Berry LLP for collection of hotel tax under Rome Class Hotel Incremental Tax Fund. Background: In January of 2013 Augusta began receiving collections from online travel companies (Expedia, Orbitz, Priceline, Travelocity and their affiliates) through the collection process of Brinson Askew Berry, LLP as a result of a class action suit by the City of Rome. The entire collection process is done by this firm and proceeds are remitted quarterly to 183 cities and counties. Augusta's proceeds from this process are then combined with local hotel motel tax collections which are remitted directly to the License department and distributed per agreements with the Coliseum Authority and the Convention and Visitors Bureau. Analysis: The administration agreement which designated Brinson, Askew, Berry LLP as the agent to collect and distribute the Class funds from these companies to cities and counties will expire December 2020. Each recipient can execute an agreement to continue the existing process. Financial Impact: There is no financial impact to Augusta since 100% of Hotel Motel tax collections are forwarded to the Coliseum Authority and the Convention and Visitors Bureau. Alternatives: Augusta could choose to set up its own collection process which would involve obtaining data from each online travel company, reviewing their bookings, comparing the rates and collections for each, and monitoring payments. Recommendation:  Execute the agreement with Brinson, Askew, Berry LLP to continue their administration of these funds for Augusta. Funds are Available in the none needed. Following Accounts: REVIEWED AND APPROVED BY: Finance. Law. Administrator. Clerk of Commission