HomeMy WebLinkAbout2000-02-07 Finance Committee MinutesFrance Committee
Meeting Minutes
February 7, 2000
Councilors Attending: Pat Blanchette, Nklm Farnham, Dan Tremble, Joseph
Beldam, Michael Crowley, Gerry Palmer, Judy Vardamis
Staff Attending: Edward Barrett, Dave Pellegrino, Norm Heitmann, Ron
Heiler, Don Winslow, Jeff Cammack, Ben Birch, Charlie
Mitchell, Brad Moore, Debbie Cyr, Dave Little
Others Attending: Bjorn Clausen (Clean Clothes Campaign)
1. Consent Agenda:
a. Request to Acquire City Property -362 French Street
b. Matured Sewer Liens - 24 Prentiss Street
C. Matured Sewer Lien - 32 Maple Street
d. Matured Tax Lien - 299 Essex Street
e. Matured Tax Lien - 311 Pine Street
f. Matured Tax Lien - 11L Street - Birch Hill Estates
Approved all Items on Consent Agenda.
2. Bids:
a. Inflow and Infiltration Abatement Proiect - Engineering
Lou Silver Inc ($142,211.05)
This project consists of the replacement of existing sanitary sewer lines
in three separate locations which are currently deteriorated and
subject: to infiltration and Inflow. The locations include the lines serving
BMHI, Carer Street EMension, Fairmount Park East and a portion of
Norway Road. Staff recommends low bidder, Lou Silver Inc. Approved
recommendation to Council.
b. Closed Circuit Television Systomo - Parking Garage. Police and The Bus
Seacoast Security ($42,900,00)
The closed circuit television system will be placed in the parking— -
garage to better monitor the garage and activity in Pickering Square.
The funds will come from Police, Parking and the Bus. Seacoast and
Eagle Systems were reviewed by Don Winslow, Parke Gemmons from
Republic Parking and Joe McNeil. There was little difference between
the two and staff recommends Seacoast Security due to their
competitive price and length of warranty (2 years rather than 1).
Approved.
Recommendation to award to Union Street Citgo, the only proposer at
an annual payment of $12,750 to the City. The City has contracted
with Union Street Otgo for over 13 years and their service has been
very good. The proposed fee Is $4,191 less than the annual payment
for the previous three-year contract. Approved.
3. Review of the City's Purchasm of Items of Apparel -Results f OuesHonnal
Worklm Conditions of Manufacturers (Banoor Clean Clothes Ca aton) -
Purchasnm Department
In October, the Council passed a Resolve establishing guidelines to address
the purchase of items of apparel, textiles and recreational equipment from
responsible contractors. The concern was that the City may have been
buying from manufacturers that had poor working conditions and
environments, usually third world locations. Staff mailed questionnaires to
vendors the City purchased items from. There were eight vendors who
received the questionnaire. Of the eight, six responses were received, None
of those responding reported any problems of manufacturers having been
determined to have violated international standards. Dave Pellegrino
commented that he did not perceive a problem with what has been done in
the past as far as what is being purchased. Dave's feeling Is that a lot of
industries are well aware of the problem and are working to make sure the
apparel is manufactured in reasonable working conditions and environments.
4. Manacement Letter Comments
As part of the audit, a management letter was received. There were seven
items in the letter that the Finance Director reviewed with the Committee.
There are Reportable Conditions and Other Comments. Within reportable
conditions are two classifications, material weakness and non -material
weakness. No material weaknesses were found last year or this year. There
is a reportable condition in the sewer system controls, which is the third time
in three years. This is the result of the function of the relationship with the
Water District. Water and sewer utilities share many aspects of billing and
collection. At this poim, It is a non -issue. The Finance Director pointed out
that because of the different accounting systems that are employed betwee0
the Water District, WWfP and City Hall there are built in safeguards that
might not otherwise be there. This was the only reportable condition.
Other Comments
Searecation of duties the 7 Office: The problem only occurs
during peak times and staff doesn't feel that it poses a major problem.
Unrecorded Cash Accoun : There was an escrow agreement with Exon on
fuel purchases and fuel sales for pending duties to be paid to the federal
government. Funds are held In escrow because R Is a one-time event. There
was $250,000 held in escrow that an account was set up for In October 1998.
The account was not funded until a month later in the amount of $230,000
and another $20,000 Ove months after that. it was not recorded on the City
books. There was a lag of more than a month between establishing an
investment vehicle and receiving the funds. The funds were wired to the
bank and credited directly to the investment vehicle rather than the operating
amount so there was not routine documentation as to the arrival of the
funds. The bank failed to notify staff of the funding until several months
after the fact and the Finance Director never went back to check on the
funding status. The Finance Director indicated that this issue is being
addressed.
Y2K Compliance: No Problem with compliance.
Enterprise Fund Call : Staff is aware of these problems and continue to
take steps to remedy them. The Finance Director pointed out that this is not
a matter of internal control.
Timeliness of Reports: The School Department missed a filing deadline for the
state. A Ridder" file has been established to prevent such occurrences In the
future.
In summary, the Finance Director indicated that he was pleased with the
management letter and pleased with the results of the audit.
Federal OSHA passed an updated version of the Respiratory Protection
Standards which govern the Fre Department along with others that are
required W use Respiratory Protection as part of their job function. Although
Maine is not an OSHA State, we are monitored by the Bureau of Labor
Standards which usually adopts OSHA standards. The Department will need
to provide a medical evaluation to determine the employee's ability to use a
respirator before the employee Is ft tested or required to use the respirator in
the workplace.
In July, 1998 the Purchasing Department sent out a request for proposals to
do the base -line Firefighter Medical Examination and Evaluation Services.
This was done to address this issue and determine the cast of tying this to a
fitness program that the Department was trying to Implement. This was
awarded to Occupational Health and Rehabilitation, Inc. At the time, they
provided a list of services and the cost for each of the services. This list met
everything needed including the Respiratory Protection Standards that would
be forthcoming. To complete the Firefighter Medical Examination and
Evaluation, $80,000 is needed. To replace two treadmills, there would be an
additional cast of $10,000. Chief Cammack met with Debbie Cyr and Charlie
Mitchell who both agreed that it would be appropriate W fund the initial start-
up cwt from the Workers' Compensation Reserve. After the initial start-up
costs, the budget of the Fire Department will reflect a yearly cast of
approximately $45,000 to continue. Approved recommendation to Council.
6.en tion of Adoption of Administrative Order by Consent (AOC) and
Approval of Ellyment of Assessment - Hows Carrier, Plymouth Waste Oil Site
There is a $24,000 assessment that Is based on the City's contribution to the
site in terms of the amount of waste oil. This Is divided between the City and
the Airport (53%/47%). There will be a Council Order authorizing payment of
this assessment. This amount is only for the engineers and does not include
the cleanup. The AOC will give staff the opportunity to work with DEP and
EPA. The members of the PRP group that are participating will have aright to
go after those who refuse to participate. In addition, the City will share in
the recovery of some past costs. There will be two items before the Council.
One is approving the $24,000 assessment and the other is approving the
AOC. Approved recommendation to Council.
7. Executive Session - Local
8. Executive Session - Two W k ' Como Settlements
Approved recommendation from staff.
With no further business to discuss, the meeting adjourned.