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HomeMy WebLinkAbout710513.tiff 4/9• 657 BEFORE THE BOARD OF COUNTY COMMISSIONERS WELD COUNTY, COLORADO AUGUST 16, 1971 3:00 P. M. PRESENT: The Board of County Commissioners Marshall H. Anderson Glenn K. Billings Harry S. Ashley County Attorney Samuel S. Telep COUNTY TREASURER F. M. Loustalet Chief Accounting Officer Barton Buss Welfare Director- Weld County Eugene McKenna Mr. Ron Cooke, Attorney Representing the Board as Co Counsel S Cc(J-) 710513 Mr. Telep: Let the record show that the Weld County Board of County Commissioners met in executive session on Monday, at 3:00 o'clock P. M., August 16, 1971. Present were Marshall H. Anderson, Glenn K. Billings, Harry S. Ashley also present was the County Attorney, Samuel S. Telep, Co Counsel Mr. Ron Cooke of Denver, Colorado. Also present is the County Treasurer, Mike Loustalet, Welfare Director, Eugene McKenna and our Chief Accountant, Mr. Barton Buss. Gentlemen - Mr. Chairman, the question has come up about the validity of the meeting in executive session - this is just a meeting just to decide what to do in view of the recent Supreme Court decision whereby clear there was a/mandate that Weld County find the necessary funds to fund Welfare for the balance of the year 1971. So with your permission Mr. Chairman, perhaps it would be a good idea to have the record reflect that we are not in executive session and that this was just a meeting called by the Board to hash the problem that is.confromting the Board at this time. We don't like anybody to get the connotation that the public was excluded from this meeting. Mr. Chairman as you well know, we had an opportunity to file a motion for rehearing this morning and this was done at about a quarter of ten, and to bring you up to date in chronology as to what has happened since that time I am going to introduce you to at this time, Mr. Ron Cooke who has been on the case with me as Co-Counsel. Mr. Cooke: Thank you Sam, Mr. Chairman, the petition for rehearing was filed in the Supreme Court this morning - two and a half hours after it was filed we were informed that a decision had been made and the Supreme Court had denied our petition for rehearing. By virtue of these acts the Supreme Court - found - this is somewhat the last step that can be taken. Whether its an opinion on order-it is clear that they have directed that Weld County pay its share of all welfare costs. By virtue of that order, I think the only thing left for the Board of County Commissioners of Weld County, is to determine what funds it has available and if it has no funds then a procedure for setting up registered warrants. Also I think it clearly, the mandate by the Supreme Court, since no funds are available in the Welfare fund that this has created an unforseen contingency for the County and the Board of Welfare Metes August 16, 1971 before it can County will have to pass a resolution/appropriate any monies or even register warrants. Marshall Anderson: One question, Ron, that I would like toask - If I understand it - the Supreme Court ordered the District Court to issue the injunction is that right? Mr. Cooks Yes. Mr. Anderson: Do we have an injunction yet? Mr. Telep: Mr. Chairman, we haven't received the order and I am sure we will perhaps get it - if not this afternoon / tommorow morning early, but you can rest assured that there will be such an order and I am sure too that it will be a Forth-with Order. I did not see the copy of the order that Trial Court - the Trial Judge - I should say - Judge Wolvington received. Maybe you know something about it, do you know the wordage of that? Mr. Cooks: I assume what they are saying must the opinion of the Supreme Court. Mr. Telep: Well I think that in addition, don't you think he had received a directive a Forthwith Order to get this out because there is no time limitation in the opinion of the Supreme Court. Mr. Cooke; t really don't know Sam. Mr. Telep: Well I think anyway, that this Board has a right to do some tall thinking about where it is going to get the necessary monies to pick up the Welfare load for the balance of the year in view of the clear mandate of the Supreme Court. And rest assure to that you will get such an order if not this afternoon probably tomorrow morning. Mr. Anderson: Well that brings another question, Ron, you said - unforseen obligation.- Are you saying that we have to tap the Contingent Fund? Mr. Cooks; I am saying that due to the Chapter 88, Article I, Provisions - the only way you can spend monies that are unappropriated, that are not budgeted is by determining that it was an unforseen contingency or an act of God. It would seem to me that at the time of making the budget - the Board of County Commissioners did not fully realize that there would not be sufficient monies at this time to pay Welfare also the Board of County Board of Welfare Minutes 3 August 16, 1971 Commissioners of Weld County, when they passed a budget did not foresee that they would have a Supreme Court Order - ordering them to pay the total share of the County - total County share of Welfare expenses in Weld County. I think this would be enough to qualify under Chapter 88, Article I for you to make an emergency appropriation. The emergency appropriation does not necessarily speak that there has to be - appropriate cash - but you have to create a temporary loan and you can register warrants from that or if you have sufficient available money in other funds you can transfer that - those funds. Mr. Billings: Would this, Ron, not also in effect give us the right to request funds from the Department of Social Services? Mr. Cook: I don't think there is any question about it. I think it is going to be up to the Department of Social Services to determine, under the State Contingent Fund - whether Weld County qualifies - if so an application should be made under 119-9-13 - somewhere in there,it is the one on ADC which allows the State to reimburse more than the 80 percent if there is any emergency in the County. Mr, Anderson: I think that would be in order. Mr. Telep: I think that is correct Mr. Chairman. I would also say or recommend that that application be made immediately. Also in line with that I would recommend that funds - administration funds be reapplied for, Mr. Billings, has that been done? I think we are entitled to that now Mr. Billings: I have not done that - Gene have you applied--- do Mr. McKenna: No - we/have the necessary documents in there now for the administration part. Mr. Billings: Well Sam would Gene also be the one to apply to the State Department of Social Services for funding from the State Contingency Fund or would that be the Board of County Commissioners? Mr. Cook and you also seem to feel and have given the opinion that this emergency was unforseen and was brought on by the State Supreme Court Decision and we had no previous knowledge of what the decision would be. So would it be as a Board that we apply to the State Department of Social Services or would Mr. McKenna? Board of Welfare 4 _ --August 16, 1971 Mr. Telep: No, I feel that this is Board action, I think that Mr. Cook agrees with me. This should be Board action, I think this should be done by telephone and perhaps done this afternoon, if at all possible, because time is of the essence. Mr. Billings: This will fall only under ADC only? You made the remark Mr. Cooks: You have the statement ` which falls on all programs then likewise in ADC you have a special section there you can apply for monies when an emergency occurs.in Weld County. Mr. Anderson: About all they can do is turn us down. Mr. Telep: Well I feel that this should be confirmed in writing, too, Marsh I would just like to make an observation as to where we are going to get the funds and Mr. Cook mentioned and rightfully so that perhaps the Contingency Funds can be used and then registering warrants. As County Attorney I certainly could not recommend that we use the Contingency Fund for the simple reason that they wouldn't be immediately available because under the statute you must advertise, you must have a hearing and then you wouldn't have the monies soon enough and then too more important, what would you do - this money was put into this Contingency Fund especially - perhaps looking into the future - some catastrophe might befall Weld County. We might have a flood in the next week. Supposing we have a blizzard - you have a right to look to something like that, and if you tap the Contingency Fund at this time and then if you would have such a catastrophe in Weld County and I then I assure you gentlemen and I will guarantee you gentlemen that you will have chaos in Weld County. Consequently and besides I don't think all the monies you have today in the Contingency Fund would even cover the monies that you need to take over the balance of the Welfare load for the year 1971. Do you agree with that Ron? Mr. Cook: Yes, and I just talked to your Budget Officer and he informed me that the projections for the end of the year in the General Fund, the Road and Bridge Fund and other funds available for the County - that it is real close. You are not going to have any real excess in those funds. Because of this you cant raid those funds. If you have a blizzard or any unusual fall rains and loose any bridges and this type of thing - that you would have to rely wholly on the Contingent Fund on this. You may even have to fall back as far as supplementing the General Fund. Board of Welfare ^ 5 August 16, 1971 Mr. Anderson: What would happen - we could save a lot of interest by using the Contingency Fund - if we advertise it tomorrow - it would still be 30 days. Mr. Teleo: Even with that fact Mr. Chairman, I—in good conscious could not recommend it for the reasons that I mentioned and reiterate it again for Mr. Cook. I think this has been set up for an entirely different purpose and if the Dear Lord could cause this County to have a flood and wipe out your bridges or blizzard would come in - you wouldn't have it and then as I said before and I reiterate again you would really then have ehoas. I think you should seek other areas for money. Mr. Cook: I think on of the areas too that we are concerned about with as much litigation that is going on in Weld County and Weld County being sued by the Colorado Rural Legal Services that you may have to raid the Contingency Fund for Attorney's fees to defend Weld County with. Thats going to have to be on the basically on a cash basis. Mr. Ashley: Did you say you could tap that fund an then replace it later? Mr. Cook: You can't replace it later this year. You have no sources in which to receive any revenues. Mr. Ashley: Then on next tax base on Welfare - you can replace it? You can add a couple of mills on next years tax to replace it with? Mr. Cook: Yes in the fact if you register warrants this is exactly what will happen is that you will run out at the end of this year - a minus in funds situation/and you will have to pay for all those registered warrants so at budget time - which you will be going into very shortly here, you to will have/anticipate how much you are registering in anticipation warrants and make a levy for that plus what Welfare needs for next year. Mr. Billings: What is the estimated amount at this time? Barton what are we going to be short in 1971? Gene Mr. Buss: I have been saying for quite some time $450,000 and we came up with a figure of$442,000 which is his estimate as of now. Board of Welfare 6 August 16, 1971 Mr. Cook: I think in the briefs, in the case in Supreme Court, the Department of Social Services said that Weld County would be running short in the amount of $594,000. Mr. Loustalet: They have had somebody come up from the State and I didn't think they were there long enough to research and come up with an it possible accurate figure, but I suppose that/is/where they got it -- - - ._ Mr. McKenna: I think that their estimate is high barring something very unforseen - something approximately $450,000 should be our estimate at this time. Mr. Anderson: Thats 2.5 mills. Mr.. Buss: Yes, well on our current valuation. Mr. Anderson: Thats right on the money. Mr. Buss: Well on our current valuation - I mean on our valuation for next year. Mr. Anderson: About 2 mills for next year. Mr. Telep: In other words it has been acertained that we need two mills - is that right to take of the deficit for 1971. Mr. Cook: You've got a two mill in 1972 for 1971 Mr. Anderson: That $450,000 is going to crowd 2 mills awfully close, there is some interest in there. Mike do you have anything that you want to add to this? Mr. Loustalet: No not at this time Mr. Anderson: Well then is it in order at this time to draft a letter and call Mr. Shea before he leaves his office and tell him what - or beg for some money? Mr. Telep: I think that would be in order. I hate to hear you use the word beg. I think you have a right toask for it pursuant to this 1969 Statutue that Mr. Cooke mentioned - 9-12 - 9-13. Mr. Anderson: Why don't you make sure what it is so we can act. Mr. Telep: Would you get that 1969 book Board of Welfare ^ 7 August 16, 1971 Mr. Cooke: Mike as Treasurer, do you agree with these statements that Sam and I have made as to the financial condition of the County is presently? Mr. Loustalet: Yes. Mr. Anderson: Well Mike--- you were talking the other day about these warrants - we are not going to have many in August-are we? Mr. Loustalet: I don't know - no we are not - it is going to gradually the way the law is set up build up a few each month because as soon as/the-law-says-or-es-seen soon as as/we get reimbursed from the State then we have got to call for registered warrants. W'e have at least $500.00 in the fund no matter from what source we will register we must call and when the fund is depleted we must register/Tor a period of time until we get reimbursed by the State- we-mast-eels-and-when-the fund-i and then we will make a call and as soon as the money is gone that the State has given us we will start registering again Mr. Anderson: The first two months it shouldn't be too bad should it? Mr. Loustalet: The first month shouldn't be bad, the second month I don't know - it shouldn't be any great amount but the last two months are going to be pretty tough. that Mr. Cooke: Well is the projection of the State Department -/it runs about 50,000 to 54,000 a month correct - for the County's share? It would seem it would be. Mr. Buss: Well that is what we budgeted - 54,000 a month. Mr. Cooke: Well what do you think its going to cost Weld County next month to pay for all the expenses? Mr. McKenna: Well for August Mr. Cooke: Yes. Mr. McKenna: Well it is more like 84,000. Mr. Cooke: That would be the County's share. Mr. McKenna: The County's share - 20 percent. Mr. Anderson: What do we have five months left? Board of Welfare 8• August 16, 1971 Mr. Cooke: Correct. Mr. Anderson: 420. Mr. McKenna: We are also allowing for some growth based on case load in training If things go according to plan. Mr. Cooke: The statute is 119-9-13 which provides when any county by reason of emergency or other temporary conditions shall be unable to meet necessary financial obligations for other public welfare purposes which at the same time the obligations for other public welfare purposes, and at the same time meet its requirments for aid to dependent children, the department may, in its discretion upon consideration of the conditions and the requirements of this article, reimburse such county in excess of eighty per cent of the amount expended for aid or services to families with dependent children. So I think the request should go under this - the request should go under this section and also under the General - the State Contingency Fund. Mr. Buss: You know too in our budget all the other welfare programs are on the money budget wise. ADC is 205.73 per cent expended Mr. Anderson: Then why don't we get Linda in here and you guys dictate a letter - how you want it and we will read it to Con Shea over the phone. Wouldn't that be the proper way to do that. Mr. Cooke: Yes I think probably it would be. Mr. Anderson: We will read it - the letter over the phone and then mail it to him, and give a copy to the press. Mr. Cooke: It is here Volumne 119-3-12. Dictates Letter Mr. Cooke: When you come down to the end of the year everything is going to be wiped out. Those advances will go as soon as they come in - I think as I remember going through this if they come in with those registered warrants they just start issusing out to retire the previous months registered warrants. Down toward the last of the year say you will be exhausting all those funds, and then you are going to have just one big glob of registered warrants. Mr. Billings: Then they will have to have their name on them. Board of Welfare • 9. August 16, 1971 • Mr. Cooke: Then you are going to have to turn around then and I am sure the first of next year or the first three or four months you will be issuing warrants all over again, because you won't have sufficient monies in there - in the fund - so you will have to register anticipation tax dollars. help the Welfare Department to Mr. Loustalet: This might be of an incentive to/cut the Welfare Department or program to cut their minuses over their advance deposits Mr. Cooke: I think that is one of the things we want to talk to Con Shea about on the phone about what are problems are Mr. Billings: What statute is that under? Mr. Cooke: 36-2-10. Mr. Billings: January and February you have to be darn sure have to be certain at least December, January and February - that will shake him up. Mr. Billings: Mr. Chairman if you will bear with me while I go over these notes slowly I would make a motion that we instruct our County Attorney to draw the proper resolution instructing our County Treasurer as of this date, August 16, 1971, at 4:00 o;clock P. M. in special session of the Board of County Commissioners - order the County Attorney to instruct our Treasurer to proceed with the registering of warrants in the necessary amounts for each month to cover Weld County's 20 per cent of funding for Welfare for the balance of the year 1971. And that the following letter which will be mailed to Mr. Con Shea, Director of the State Department of Social Services, by registered mail this afternoon - be a part of the resolution. The letter reads, " August 16, 1971, Mr. Con F. Shea, Director Department of Social Services, 1575 Sherman Street, Denver, Colorado 80203. Dear Mr. Shea: Reference to Weld County's Request for Contingency and Emergency Funds. On August 16, 1971, the Weld County Board of County Commissioners met how to determine how Weld County would finance its share of Welfare expenses pursuant to Colorado Supreme Court Decision, in the Colorado State Board of Social Services vs. Weld County. After hearing statements from the Budget Officer of the County, the County Treasurer of Weld County, the County Attorney of Weld County, the Board of County Commissioners has determined that sufficient cash funds are not any of available in/the various funds including the General Fund, the Road and Bridge Fund, the Welfare Fund and the Contingent Fund, with which to pay Weld County's share of all Welfare costs for the balance of the year 1971, Board of Welfare 10 August 16, 1971 The Board of County Commissioners on this day determined by resolution the lack of sufficient funds to pay all the welfare costs for the remainder of the year 1971 was an unforseen contingency and since monies are not available for transfer from other County funds the Board of County Commissioners of Weld County have directed the County Treasurer to register warrants to provide for excess expenditures to the Welfare Fund whenall remaining monies in said Welfare fund become exhausted. Since it is not the desire of the Board of County Commissioners of Weld County to register warrants it hereby requests the State Board of Social Services supplement County expenditure from Public Assistance, County Welfare Administration, Child Welfare Services provided for in 1963, C.R.S. 119-3-12 (1969) Perm.Cum.Sup. The Board requests that if sufficient monies are not available in such State Contingency Fund to supplement County expenditures for the remainder of the calendar year 1971, then that the State Board of Social Services determine that an emergency exists in Weld County causing the County to be unable to meet it necessary financial obligations for public welfare purposes pursuant to 1963 C.R. S. 119-9-13. Since the payment of welfare in Weld County is of great importance we ask that you expidite the requests - so that it will not be necessary for Weld County to register warrants. This is signed by the Board of County Commissioners, Marshall H. Anderson; Chairman, Glenn K. Billings, Member; Harry S. Ashley, Member. I move adoption of the resolution. Mr. Ashley: I second the motion. Mr. Anderson: How do you vote on the motion? Mr. Billings: I vote yes. Mr. Anderson: Mr. Ashley? Mr. Ashley: I vote yes. Mr. Anderson: The chair votes yes. Let the record show that the resolution passed by a unanimous ballot and that it is an individual vote of each member. Mr. Billings: I would like to make a correction in the wording of the fifth line at the end of the letter to the State Department of Social Services, which will now read, " theLrmonies by made available by the State Board of Social Services by determining that an emergency exists"- the continuing lines would then be, "Weld County causing - exists in Weld County - Weld County will be Board of Welfare . 11 - August 16, 1971 to meet its necessary financial obligation for public welfare purposes pursuant 1963 C. R. S. 119-9-13. The rest of the last sentenence is okay. Mr. McKenna: Mr. Chairman, I would like to request that the Board grant authority for the cancellation of lay-off notices to the staff. There is a certain amount of anxienty by staff members in light of the Supreme Court decision - would it be possible to cancel the notices. Mr. Anderson: I don't see any problem do you? Mr. Cooke: No I think by virtue of that order or the opinion of the Supreme Court that it becomes a useless act not to cancel the order or the notices. I think the opinion is clear that you have to pay for the administrative costs. Mr. Telep: Lets see lets go over that request again what - you say cancel the notices - the notices are gone Mr. Billings: This is notices of employment. Mr. McKenna: Would there be any necessity for you to cancel notices to the recipients or would this be Mr. Cooke: No because of the Supreme Court order. Mr. Anderson: Is there anything else to come before this Board? Mr. Billings: Mr. Chairman, I also move at this time that we instruct our Welfare Director to inform the employees of the Weld County Welfare Department that the previous notice informing them of the lay-off be recinded. Mr. Ashley: Seconded. Mr. Anderson: How do you vote on the motion? Mr. Billings: Yes. Mr. Anderson: Mr. Ashley? Mr. Ashley: Yes. Mr. Anderson: The Chair votes yes. You may instruct your employees. Meeting adjourned. cVn*14 THE BOARD 0 COUNTY CO ISSIONERS COUNTY CL AND RECORDER WELD COUNTY, COLORADO AND CLERK TO THE BOARD DEPUTY COUNTY CLERK Hello