HomeMy WebLinkAbout191211 - Minutes, Tri- County Concil
Council Membership Meeting
December 11, 2019
Officer Name Representing MEETING ATTENDANCE
Apr ‘19 Jun ‘19 Dec ‘19
Chairman Commissioner Jake Shade Allegany County P P p
Commissioner Creade Brodie Allegany County A A A
David Nedved Allegany County P P P
Eugene Frazier Allegany County Municipalities P P P
vacant Allegany County Municipalities
Robert Smith Allegany County At-Large P E P
Stephen Nelson Allegany County At-Large E P P
Vice-Chair Commissioner Jim Hinebaugh Garrett County P P P
Commissioner Larry Tichnell Garrett County E P P
Michael Hough Garrett County P P P
Jay Moyer Garrett County Municipalities A P A
Spencer Schlosnagle Garrett County Municipalities P P A
Jonathan Kessler Garrett County At-Large A P P
Merlin Beitzel Garrett County At-Large P P A
Secretary/Treasurer Commissioner Jeff Cline Washington County P P P
Commissioner Wayne Keefer Washington County P P P
Linda Spence Washington County P P
P
P
Howard Long Washington County Municipalities P P P
Donnie Stotelmyer Washington County Municipalities P P A
Roger Fairbourn Washington County At-Large E P P
Jack Miller Washington County At-Large E P E
Senator George Edwards Maryland State Senate District 1 E P P
Senator Andrew Serafini Maryland State Senate District 2 E E E
Delegate Wendell Beitzel Maryland House of Delegates District 1A E P P
Delegate Jason Buckel Maryland House of Delegates District 1B E E E
Delegate Neil Parrott Maryland House of Delegates District 2B E E E
Tri-County Council Staff: Leanne Mazer, Guy Winterberg, Darlene Steyer, Christie Wakefield, Ryan Davis, Amy Jacobs, Chris Funk
Guests: Bill Atkinson, David Cotton; MDP/ARC, Jayci Duncan, Paul Edwards, Garrett County Commissioner; Kevin Null, Garrett County
Administrator; Cindy Sharon, Garrett County Economic Development, Ray Morriss, Mayor, City of Cumberland; Andrew Sargent,
Department of Commerce, Kim Durst; Garrett County Economic Development, Jen Smith, Cheryl Nelson, Mark Widmyer; Office of
Govern Hogan; Linda Widmyer, Nan Mann; Office of Senator Van Hollen.
I. Call to Order – Chairman Shade called the meeting to order at 5:12 pm at Nick’s
Airport Inn in Hagerstown, Maryland.
II. Pledge of Allegiance – Chairman Shade led the Pledge of Allegiance.
III. Welcome & Introduction of Guests – Chairman Shade welcomed everyone to
the meeting and recognized David Cotton as the new ARC Program Manager.
A quorum of voting members was present.
IV. Approval of Agenda – Chairman Shade presented the agenda.
Ms. Mazer requested two additions to the agenda. First, to add a 2019 Budget
Modification under the Financial Report, and second, to add a technical
assistance report under staff reports.
Roger Fairbourn moved to approve the agenda as presented, Steve Nelson
seconded the motion and the motion carried.
V. Minutes of June 19, 2019 – Chairman Shade presented the minutes of the June
19, 2019 meeting.
Roger Fairbourn moved to approve, Steve Nelson seconded the motion and the
motion carried.
VI. Financial Report – Darlene Steyer
A. 2019 Budget Modification – Darlene Steyer presented a net zero modification to
the approved 2019 budget. Proposed modifications included: an increase in
salaries to accommodate the new position of RLF Business Development
Officer, and small increases in contractual, membership, meeting expenses, and
marketing which was offset by decreasing the available remaining budgeted
dollars in fringe benefits, technical assistance and indirect.
B. Financial Statements through October 2019 – Darlene Steyer presented the
financials showing that total revenue was at 86.09% while total expenses were
at 75.04%. She noted that if expenses were disbursed equally throughout the
year that expenses would be 83.33%. Year to date we have revenue over
expenses of $169,300. The VLT account is $84,817 revenue over expense.
Based on the modified budget salaries through October are $79.73% spent,
Fringe is 76.1% (7.23% under budget), Indirect is 61.95% (21.38% under
budget). Spending is progressing as expected with some larger items to hit the
budget in November/December, including the audit expenses and equipment
purchases.
Roger Fairbourn moved to approve the financial report as presented, Dave
Nedved seconded the motion and the motion carried.
C. 2018 Audit Report
Darlene Steyer presented the 2018 Audit report which was prepared by Case
Sabatini. The audit was due to Federal Clearinghouse by September 30, 2019.
The audit was sent and accepted by Federal Clearinghouse on September 26,
2019. An unmodified opinion was given stating “In our opinion, Tri-County
Council for Western Maryland, Inc. complied, in all material respects, with the
compliance requirements referred to above that could have a direct and material
effect on each of its major federal programs for the year ended December 31,
2018.”
The balance sheet reflects cash on hand and loan receivables of $9,628,085 with
total liabilities of $113,611. The total fund balance as of December 31, 2018
was $9,083,204.
The statement of revenues and expenditures showed loan interests and fees to be
$397,300 which is available to pay administrative expenses. Total expenditures
were $896,021. A total of $153,553 was transferred to the General Fund.
The final opinion was unmodified showing no internal control weaknesses and
no audit findings regarding compliance, material weaknesses, or questioned
costs.
Jeff Cline moved to approve the 2018 Audit report, Dave Nedved seconded
the motion and the motion carried.
VII. Staff, Committee and Liaison Reports
A. Director’s Report – Leanne Mazer offered the following reports:
Legislative Report
• Ms. Mazer gave an overview of the appropriation status for the Appalachian
Regional Commission. Currently continuing resolution #2 was signed into law on
November 21, 2019 and is set to expire on December 20, 2019. Congressional
leaders are still working to pass appropriations for 2020 but to date none of the 12
appropriations bills have currently passed. It is likely with less than two weeks to
go that an additional continuing resolution will be passed which would fund ARC
and EDA at 2019 levels.
• Ms. Mazer also summarized a letter that was submitted to the House Transportation
and Infrastructure Committee by a coalition of national associations including the
National Association of Counties, National Association of Development
Organizations and the National League of Cities. The letter urges the committee,
as they are considering an infrastructure package, to include reauthorization and
robust funding for Economic Development Administration.
• ARC currently has not decided if a grant will be issued for the entire 2020 year or
for a six-month period. We expect a decision will be make in the near future. EDA
issued an electronic grant agreement and it was subsequently withdrawn. Congress
is still hoping to pass a budget for the entire 2020 year.
• EDA is slated to be eliminated in the President’s budget which is consistent with
the most recent previous years. The House is currently looking to fund EDA at
$540 million and the Senate at $320 million. ARC is currently in the President’s
budget at level funding of $165 million. Both the House and Senate are looking to
increase the number.
Operating Report • All reports for 2019 were completed in an accurate manner and submitted on time.
• The 2019 ARC Planning Grant totaled $155,500 utilizing $7,500 in recovered
funds. All grant revenue has been drawn in. The 2020 ARC Grant was submitted
on November 27, 2019 requesting the same amount as 2019. The balance of
recovered funds remaining is slightly over $35,000.
• The 2019 EDA Planning Grant was the first in a three-year grant cycle. The 2019
grant totaled $70,000 and all grant revenue has been drawn in. The 2020 EDA
grant was submitted on November 15, 2019 requesting the same amount as 2019.
This is year two of the three-year cycle. • The Maryland Department of Commerce FY 2020 Planning Grant is in place at
level funding of $200,000. Commerce missed a payment on the FY 2019 grant
which they confirmed. While TCC has not received that revenue, it is expected in
the near future. All payments for FY 2020 are current.
• The Maryland Transit Administration Grant for FY 2020 is in place for $26,000
and all payments are current. • The RMC-RMPIF – The Rural Maryland Prosperity Investment Fund Grant for FY
2020 is in place for $411,133. The grant period of these funds is September 1,
2019 – June 30, 2020. The total funding has been drawn in.
B. Revolving Loan Fund – Christie Wakefield reported the RLF activity for 2019
included a total of 11 inquiries. During that period, a total of $1,039,480 was
requested by 7 applicants. A total of $650,500 was approved with one loan of
$240,000 dying before settlement for a total disbursement of $410,500.
The portfolio has 21 clients with a total of $3.6 million lent and an outstanding
balance of $2.1 million. The aggregate fund currently has $2.3 million available
for lending in the Western Maryland region.
C. Video Lottery Terminal Fund – Christie Wakefield reported that the VLT
program had a total of 53 inquiries during 2019. A total of 4 applications were
received for $690,979. Three of those applications were approved and settled
totaling $290,979.
The portfolio has 23 loans with a total of $4.1 million lent and an outstanding
balance of $3.0 million. The fund currently has $1.3 million available for
lending.
D. Technical Assistance Program – Christie Wakefield reported that the program
has proven to be a very successful for clients in both funds. The Council can
offer up to $7,500 in grant funds for paid professional services that will aid
businesses in their development. During 2019, the program saw 8 engagements
completed for $42,857.50. One project is still in progress totaling $6,135.42.
A new award for FY 2020 was made in the amount of $50,000 available as of
September 1, 2019. There have been several inquiries but no engagements to
date.
E. Maryland Transit Administration – Ryan Davis noted that TCCWMD continues
to serve as the Coordinating body for MTA in the Western Region of Maryland.
As part of this function, staff attends the Transit Advisory Committee meetings
for Allegany, Washington, and Frederick Counties.
Additionally, the Council oversees the grant process for the 5310 Grants which
provides funds to improve mobility for seniors and those disabled by removing
barriers to transportation. Funds can be used for capital purchases, preventative
vehicle maintenance and mobility management solutions. Eligible grantees are
private non-profit organizations. For FY 20-21 the Council endorsed 12
applications, all of which received fund at some level. A total of $1,785,088 in
Federal funding was received, matching $940,712 in local matching funds.
The Council also oversees the Western Maryland Job Access and Reverse
Commute (JARC) program. Two applications were endorsed for this program
and awarded a total of $157,000 per year for the next three years.
The Council also provides input on the five-year Coordinated Transportation
Plan for Western Maryland. The Council works with KFH Group to schedule
regional meetings for those stakeholders to provide input and update the current
plan. Additionally, a survey was available for additional input. A final draft
was provided to the Executive Board for review and was approved on
November 18, 2019.
F. Maryland Department of Commerce – Andrew Sargent provided the Council
with a regional update of activities throughout the region.
Statewide
• There is currently a state-wide feasibility study underway on the decline in the
forestry industry. While this is a state-side initiative, the effort was sparked by
the closing of the Verso paper mill.
• A new state-wide website is being created that will link to all 13 of the state’s
regional offices to make contact for the public more efficient.
Regional
• A region-wide study is underway to determine the feasibility of a regional
woodyard. This effort also was sparked by the closing of the Verso paper mill.
Currently local sources of lumber will have to travel vast distances in order to
deliver their raw product to a new user.
• Currently HCC and FSU are working with a private company to start new
programs at each institution to train individuals in renewable energy.
G. Small Business Development Center – There was no update given.
H. ARC Program Manager Update – Dave Cotton was introduced as the new ARC
Program Manger to replace Bill Atkinson. Mr. Cotton offered regrets from
Secretary Peters who was unable to attend the meeting. Updates were given for the
ARC program for the State of Maryland.
• The Area Development program will continue to be funded at $1.5 million
annually while the Local Access Road program will be increased to $5
million annually.
• One J1 Visa request was submitted for review. The J1 Visa program is a
waiver for physicians that wish to enter the country and work in
Appalachia.
• Mr. Cotton reported that 11 applications were reviewed for FY 2020
projects invited to submit application.
• Mr. Cotton reported that he attended the kick-off event for the Autonomous
Technology program at Frostburg State University. POWER funds will be
explored to provide funding for implementation of the program.
• Project applications for FY 2020 funding were due in mid-November.
Several applications have not yet been received but TCC and his office is
working with the remainder of the applicants to finalize submissions.
VIII. Unfinished Business – There was no unfinished business.
IX. New Business –
A. Amendment of By-Laws – Jayci Duncan reviewed the proposed changes to the
by-laws of the Council. The most notable changes included removing the
nomination of municipal representation by the local chapters of the Maryland
Municipal League. This step was unnecessary and tended to cause long delays in
the appointments following an election. Those seats have always been confirmed
by the County Commissioners and this change would simply allow the
Commissioners of each respective county to appoint those members. The second
notable change would allow current voting members to retain their seat after an
election until a new representative for that position was appointed. The by-laws
currently list the term for those positions as four years concurrent with the term of
the Commissioners. This allows for ample time for new appointments after
elections. There was also some minor clean up done to the structure of the by-
laws, and red-line copies were available.
Amendments to the by-laws requires 2/3 majority vote, so mail ballots have been
prepared and were distributed to members in attendance, and will be emailed to
those not in attendance for a special mail meeting to be held on December 27,
2019.
B. 2020 Work Plan and Budget –
• The Work Plan largely remains the same as 2019 with a few changes noted. The
Revolving Loan Fund with the City of Cumberland was removed as the Council
was unable to provide administrative support for that program in a mutually
agreed upon fashion. The one capital project listed in 2019 will change from
exploring the building of new facility to focusing on the possibility of property
sharing at our current location. This could include either purchasing an existing
area of the building or adding an addition. The Executive Committee will oversee
the process of purchasing an office facility. Lastly, the agency has discontinued
the website known as statswmd.org due to the required overhead for keeping data
current which was not being justified by the amount of traffic the website was
receiving.
Darlene Steyer presented the agency-wide operating budget for 2020, and noted
said budget exceeds $1 million as an indicator of the growth in the Council’s
programs. Currently $77,000 of that is considered undesignated/unbudgeted.
Roger Fairbourn moved to approve the 2020 Work Plan and Budget as
presented, Dave Nedved seconded the motion and the motion carried.
C. 2020 CEDS Update – Roger Fairbourn reported that this is the 3rd year of a five-
year (2018-2022) CEDS. As always projects continue to be updated in the spring
of the year while planning initiatives are updated in the fall.
The top strategic initiatives for this year remain unchanged. The CEDS continue
to identify the declining forest industry as a threat to the regions economy which
is now a focus of the state of Maryland with the loss of Verso who was a major
consumer of timber in the region.
The CEDS Committee was recognized for their continued hard work throughout
the year.
Howard Long moved to approve the annual update to the CEDS, Jim Hinebaugh
seconded the motion and the motion carried.
D. 2020 Calendar of Meetings –
• Wednesday, April 15, 2020 Allegany County
• Wednesday, June 17, 2020 Garrett County
• Wednesday, December 16, 2020 Washington County
E. Announcements from the floor – Commissioner Shade thanked everyone for their
participation in the December meeting. He also presented the Chairman’s Award
to Bill Atkinson who has served as the ARC Program Manager for Maryland for a
number of years.
Roger Fairbourn announced that former Commissioner John Barr will be honored
by Hagerstown Community College for his lifelong achievements and asked that
TCC consider a proclamation or similar support for the event.
Commissioner Hinebaugh announced that as a member of the Executive
Committee overseeing the day to day work of the staff, he wanted to commend
them on a continuing to do a great job serving the agency during 2019.
X. Adjourn – Commissioner Cline moved that the meeting be adjourned. The meeting
was adjourned at 6:10pm.