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Home My WebLink About1998-12-22 Municipal Operations Committee MinutesMunicipal Operations Committee Meeting Minutes Dmembar22, 1998 Coundlors Attending: Jim Tyler, John Rohrnw Pat Blanchette, Nichi Farvhmn, Joe Baldacci Staff Attending: Edward Barren, Erik Stumpfel, Jedcammack, Ano Marston 1. Mutual Aid Awnhatent of Orannized Fire Dw=ews for Penobscat Cam ChiefCemmeck presented the Committee with a mutual aid agreement which will allow the Cityba 6gn once withal the departments ldPwobacol Cowry TMs wig avoid the necessityofentering into reparamagreements with every community Assishad City Solicitor Norm Heitman bas reviewed this agreement, which has been formally accepted by the Penobscot County Chiefs. Councilor Famham asked bow many agreements are currently in place and how many, would potentially be pickedup. Jeff answered thatthemare curmntlyninem place and6Ry-fourorgarized departments in the County. This is pan of an effort at the County level to do more together in fire service than is currently done. Pat asked if all the organized Fre Departments in this area (Brewer, Orono, Hampden, etc.) aregoing to sign on? Jeffanswered Nat Nese departments were part ofpuning this agreement together. Approved recommendation to the frill Council. 2. Council Ordinance 99-31 Aneendina Cwacr 118 of the Code of Onflustawas Tbis is an mnmdmem to the City's ordiwce regulating rude entertainment estabtishmpHs. It would raped! the provision of the ordinvce fiat prevents gemng a certificate of occupancy fed a ode dance establishmentifyoualwoperatcabwl ingagncycrdat gser cel Penbscot Cowry Allow other provisions in the ordinance will remain in effect. Approved. 3. Mandate Financial Proforma- Resident Care Sero This is a revision of the financial profoma cramming the 21 bed scenario for residential care Some of the assumptions underlying the financial proforma have been adjusted. The changes made arc as follows: StAng changed from Certified Nurses Aninmta (CNA) b Personal Care Assistants (PCA). Them have been issues about the use ofPCA's as opposed to CNA's but it is felt that than can be addressed. Fast, there are additional training requirements required for PCA's and second, given the residential care beds would be associated with U hours per day musing facility, them would be the licensed hoes and CNA'9 available to provide staff supervision. This reduces personnel costs associated with the Proposal. The occupancy assumption for residential care has been increased Gom 86% to 90%, which is an increase of on Medicaid client par day. Capital expenditures can be mode under the funding systetn and be appreciated over time and the reimbursement received back. Projection were summarized wntinaws appendices the way it is currently. Tb sm are losses of approsirnndy$4'/0,000 per year. The most recently updated assumption using PCA's would be a loss including the additional toss associated with relocating Health and Welfare of between $312,000-$360,000. The revised projection improve the prior scenario by apprmdmnely $90,000. Municipal opveticvs Commitee mee6udtLvuas Pegg I]>mba22. 1998 Ann Marston pointed cat that she received figures from the Bureau M Maine's Elderly which indicated that they need, in the Bangor area, 114 residential care beds. Councilor Blanchette commented that the biggest problem appears to be rias them is no feeding coming from the hospitals. EhMC ed St. Joe's do not readily encourage than patients to go lrnc the CNF. How will the City recruit the patients for the beds? Ann explained that they are receiving more patients Boa the hospitals Admissioratothesldlled uric amup. Patierdsdaysaredownbecausetheyamsem Mme quicker. Most of the individualsthat comeanothe residential care facility come from home. Vthere was a residents] care unit, Amer believes they could keep people within the system. Individuals that need residential care are being sem out to other facilities. Cowden Baldecci asked SHedth and Welfare would be an issue regardless of what is decided with the Nursing Facility? Ed explained that Health and Welfare has periodically indicated a need for additional space, but they can continue to operate in their editing facility. There are building improvements that need to be made. If the Nursing Facility wasn't there, they would be interested in some of the space occupied by CNF. Joe asked if at some point the Council decides to go with the 21 bed PCA option, is it possible that what was budgeted for Health and Welfine could be less or re -worked, $68,000 being the minimum? Ed answered that $68,000 is the mivi®un and is driven by the cost ofpadadng and renovating the naval reserve building. Carpenter Associates estimated that renovating C for use by Fieahh and Welfare is approximately a $900,000 job. The difference in the numbers is whether it is leaved or lease -purchased from the Airport. Councilor Rehman asked Snuff knew how many outer Lams were coming w Me within a mother ofmomhs? Atone answered that to her knowledge there is an one that would be providing the level of care that the CNF would be. Councilor Tyler asked for danficanw ofthe section "Operating Subsidy" in Don Gross' memo dated December 17, 1998 the states `...fared costs of operating the building without including a Nursing Facility are $196,300." It was explained that the costs include the Maine Some Retirement fixed vests, the unsling residential one debt service that is already existing to the building the new debt service to implement the Capenter Associates projects, normal maintenance and operation of the balding salary, and haw%ad miscdleneoua income. Other things that become fixed cons are the residential care debt service (not included in "as is" scenario, but included as fixed cost in residential care proposal), and existing bonded debt (approximately, $40,000/year that has to be paid off on the building associated with previous improvements). Councilor Baldacci asked Son the Carpenter debt service, will we be able to recapture some of that through billing? Ed answered yes, they are recoverable as long as the Nursing Facility is operating. One issue Oat drives the costs of the Nursing Facility is oavpancy, in the basic nursing facility. This is the highest cost, mon expensive area Overthe last 3 years there has been a 5%o-T/a per year average d"dhieth occupancy. The budgets have been shout a your to 18 months behind that decline which is why the facility wntiotes to lose come money than projected. When the budget was done hart year, 90% occupancy was used m atime when 85% should have been used. 85% occupancy was used this year and 80a/o should have been used. This has been driving the increasing losses that have beenexperiwcdatthafad'6y, Pont ofthe logic ofgettingbno residenfial care is that this gives the potential of a fed" source within the structum into the nursing facility area. Based on this, 90% cccupa for residential care is being assumed] and 85%for the rest of it. Staff has been optimistic and feels there isjushficaren for anticipating 850/o-95% occupancy in the residential care portion for a period of time. It is projected that there will be 86%occupancy for the nursing home portion, which would be a 98610% increase. Muoicipil Operenow Commna Meedog Mmu�es P g3 DmaoEeII 1998 The Committee directed staff to put together the following information: e. Waiting Has and demand for the residential care b. Budget iNbrmation(pro-created subsidy vs. actual performance for the last 10-12 years) C. A clear definition of fixed costs d. TGs pending application for residential care e. Marketing ideas With no fiuther information to rliswss the meeting adloumed.