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HomeMy WebLinkAbout181030a Individuals requiring special accommodations are requested to contact the Office of the County Commissioners, 240.313.2200 Voice/TDD, to make arrangements. Page | 1 BOARD OF COUNTY COMMISSIONERS October 30, 2018 OPEN SESSION AGENDA 08:00 A.M. INVOCATION AND PLEDGE OF ALLEGIANCE CALL TO ORDER, President Terry L. Baker APPROVAL OF MINUTES – October 16, 2018 08:05 A.M. CLOSED SESSION (To discuss the appointment, employment, assignment, promotion, discipline, demotion, compensation, removal, resignation, or performance evaluation of appointees, employees, or officials over whom this public body has jurisdiction; or any other personnel matter that affects one or more specific individuals; to consider a matter that concerns the proposal for a business or industrial organization to locate, expand, or remain in the State; to consult with counsel to obtain legal advice on a legal matter; and to consult with staff, consultants, or other individuals about pending or potential litigation.) 09:00 A.M. RECONVENE IN OPEN SESSION 09:05 A.M. COMMISSIONERS’ REPORTS AND COMMENTS 09:15 A.M. REPORTS FROM COUNTY STAFF 09:25 A.M. CITIZENS PARTICIPATION 09:35 A.M. GENERAL FUND CONTINGENCY GRANT REQUEST, KEEDYSVILLE COMMUNITY CENTER – Susan Buchanan, Director, Office of Grant Management, and Art Williamson, President, South Eastern Washington County Health & Community Services 09:40 A.M HOTEL RENTAL TAX FUNDING REQUEST, HAGERSTOWN-WASHINGTON COUNTY CONVENTION VISITORS BUREAU – Susan Buchanan, Director, Office of Grant Management, and Daniel Spedden, President, Hagerstown / Washington County Convention and Visitors Bureau 09:45 A.M. HAGERSTOWN / WASHINGTON COUNTY CONVENTION VISITORS BUREAU ANNUAL AUDIT AND ECONOMIC IMPACT PRESENTATION – Daniel Spedden, President, Hagerstown / Washington County Convention and Visitors Bureau, and Al Martin, Treasurer, Hagerstown / Washington County Convention and Visitors Bureau 09:55 A.M. CONSTRUCTION BID AWARD – PARKING FACILITY AT COUNTY ADMINISTRATION BUILDING – Scott Hobbs, Director, Division of Engineering 10:00 A.M. FEDERAL AID PROJECT FUNDING – Scott Hobbs, Director, Division of Engineering Terry L. Baker, Jeffrey A. Cline, Vice President John F. Barr Wayne K. Keefer LeRoy E. Myers, Jr. WWW.WASHCO-MD.NET Individuals requiring special accommodations are requested to contact the Office of the County Commissioners, 240.313.2200 Voice/TDD, to make arrangements. Page | 2 10:05 A.M. ENHANCED NUTRIENT REMOVAL AT WASHINGTON COUNTY’S WWTP – Mark D. Bradshaw, P.E., Deputy Director, Engineering Services Water Quality 10:15 A.M. PRETRIAL SERVICES PROGRAM GRANT – APPROVAL TO ACCEPT AWARDED FUNDING – Stephanie Lapole, Senior Grant Manager, Office of Grant Management, and Major Craig Rowe, Washington County Sherriff’s Office 10:20 A.M. PRESENTATION OF FARM OF THE YEAR 2018-2019 – Leslie Hart, Agricultural Specialist, Department of Business Development, Susan Small, Director, Department of Business Development, and Dan Norris, Owner, Don Spickler Insurance and President, AG Marketing Advisory Committee 10:30 A.M. ADJOURNMENT Board of County Commissioners have been invited to attend the “Ribbon Cutting and Grand Opening” of the Hancock Veteran’s Memorial Branch of the Washington County Free Library located in Hancock, Maryland Open Session Item SUBJECT: General Fund Contingency Grant Request, Keedysville Community Center PRESENTATION DATE: October 30, 2018 PRESENTATION BY: Susan Buchanan, Director, Office of Grant Management, Art Williamson, President, South Eastern Washington County Health & Community Services RECOMMENDED MOTION: Move to approve the request for General Fund Contingency funding from South Eastern Washington County Health & Community Services in the amount of $________, for direct expenses associated with the Keedysville Community Center. REPORT-IN-BRIEF: South Eastern Washington County Health & Community Services has submitted a request for General Fund Contingency funding to support the operations of the Keedysville Community Center. DISCUSSION: South Eastern Washington County Health & Community Services is requesting $6,000 of General Fund Contingency funding to support costs associated with operating the Keedysville Community Center. The Keedysville Community Center is a former elementary school building which was sold to South Eastern Washington County Health & Community Services in the 1980’s. The building houses several tenants including a day care center, several small businesses, and is utilized by local groups for practices, meetings, and private events. The building, due to its age, requires considerable maintenance and the current operating expenses exceed rental income. Recent unexpected repair costs include the replacement of a furnace, an underground sewer line replacement, and roof and appliance repairs. If awarded, the General Fund Contingency funds will allow the center to remain open through the end of fiscal year 2019, while allowing the organization to seek other funding sources to support ongoing operations. The Office of Grant Management has reviewed this request and the organization is eligible for General Fund Contingency grant funding. FISCAL IMPACT: General Fund Contingency fund will be reduced by the amount of this award. CONCURRENCES: N/A ALTERNATIVES: Deny the request for General Fund Contingency funding. ATTACHMENTS: General Fund Contingency Funding Application AUDIO/VISUAL NEEDS: N/A Board of County Commissioners of Washington County, Maryland Agenda Report Form Washington County, Maryland General Fund Contingency Grant Application 100 West Washington Street Room 2200 Hagerstown, Maryland 21740 240-313-2040 Organization/Agency: S_ E. Washington Co. Health & Community Services E-mail Address: Address: 40 Mount Vernon Drive, Keedysville, Maryland 21756 Contact Person: Arthur Williamson Title: Board President Phone Number: 301-432-0281 Fax: 301-432-0271 Tax ID/Federal ID#: 31168108 / 521071379 (` Capital Request f: Operating Request ® Pre -Event / Project Request ❑ Post -Event / Project Request Project Name: Keedysville Community Center Project Start Date: 1-1-2018 Project End Date: I6-30-2019 Narrative Description of Project: Include description, purpose, goals, expected attendance or participation, and any other information that may be useful in the consideration of your request. The Keedysville Community Center is an old Washington County Elementary School that was sold to the non-profit S. E. Washington County Health & Community Service Corp. circa 1980. It is currently operated as a facility for the benefit of the citizens of the area. A Day Care, Kombuca business, Karate classes, BAAA Wrestling practices, Keedysville Ruritan Bingo Fundraisers, Chair Caning classes through HCC, and various private parties rent the building. Being aged, the building requires considerable maintenance, and expenses exceed rental income. This grant is being sought to make up the operating deficit. A. Amount of Contingency Funding Requested B. List other sources of funding to be provided by applicant below: $6,000.00 Estimated rental income (2018) [ $20,000.00 Estimated rental income (6 mo. 2019) $10,000.00 C. Total Project/Event Funding (A + B) $36,000.00 Total Project Budget (indicate how grant funds will be used) D. Personnel Costs: None I E. F. :ing: Estimated 2018 $24,000.00 Estimated - 6 month 2019 $12,000.00 nent Purchases/Rental: None G. Other: None Total Project Budget (This line should agree to to line C) $36,000.00 Certification: I/We certify the information contained in this application is complete, accurate, and fully discloses the scope and intent of our request for funding from the General Fund Contingency. We agree to comply with the County's requests for information regarding the use of awarded funds and to provide access to accounting records related to these funds. We acknowledge that if expenditures of funds is approved, such approval will be for line -item -by -line -item expenditures, which must be adhered to within the maximum 10% line item deviation. We further acknowledge that any deviations beyond 10% of the allowable amount will require us to submit a program amendment which will have to be approved in writing by the Office of Grant Management prior to any further expenditures. By signing this application, I/we accept and agree to be bound by the terms and conditions of General Fund Contingency Regulations/Procedures as administered by the Washington County Commissioners in compliance with current State laws. Applicant: Date: / 0 - / _ Rol Title/Position: Board Presi ent Recommended by: Date: (� Approve Director, Office of Grant Management i Deny Comments: Approved by: Recommended Award: Date: County Administrator Approved Award: Return Application To: Washington County Office of Grant Management 100 West Washington Street Room 2200 (7 Approved (- Denied Hagerstown, Maryland 21740 240-313-2040 Open Session Item SUBJECT: Hotel Rental Tax Funding Request, Hagerstown-Washington County Convention Visitors Bureau PRESENTATION DATE: October 30, 2018 PRESENTATION BY: Susan Buchanan, Director, Office of Grant Management, Daniel Spedden, President, Hagerstown/Washington County CVB RECOMMENDED MOTION: Move to approve the request for Hotel Rental Tax funding from the Hagerstown/Washington County Convention Visitors Bureau in the amount of $________, for direct expenses associated with the USA Cycling Amateur Road National Championships to be held on June 20-23, 2019. REPORT-IN-BRIEF: The Hagerstown/Washington County Convention Visitors Bureau (CVB) has submitted a request for Hotel Rental Tax funding to support the USA Cycling Amateur Road National Championships to be held on June 20-23, 2019. The amount of funding requested for this event by the CVB is $65,000. DISCUSSION: This is the second year that Washington County has hosted the USA Cycling Amateur Road National Championship, a nationally recognized event that is expected to bring economic benefits to our region. As a host community of the USAC Championships the region can anticipate increased visitor spending on lodging, food & beverage, gas, and amusements. The USAC Championships will also generate labor income in the hospitality, transportation, government, health, waste, insurance, emergency services, construction and utilities sectors. This national event will elevate the profile of our community and present it as a preferred destination among cyclists. In July 2018, the USA Cycling Amateur Road National Championships event reported 672 individual athletes and 1,507 unique race registrants, and the event is predicted to attract 1,000 unique participants in 2019. On average two spectators accompany each athlete. Additionally, over 30 staff members and officials will be in the region for this event. A minimum of 140 room nights will be generated from this event from staff and officials. It is anticipated that athletes and spectators will generate an additional 2,500 - 3,500 room nights during the event. Visit Hagerstown expects to see a $1.5 million impact in Hagerstown and Washington County in 2019. Board of County Commissioners of Washington County, Maryland Agenda Report Form The total event budget for 2019 is set at $180,040. The CVB is providing $76,290 for the event and has secured funding from the Maryland Sports Commission and local & national sponsors for this event totaling $38,750. This year’s budget is based upon actual costs of the 2018 race and has increased significantly, primarily due to much higher than expected traffic control costs associated with the event. The CVB has increased this year’s Hotel Rental Tax funds request from $25,000 to $65,000 to assist with these costs. The project budget for County Hotel Rental Tax funding includes $51,414 for traffic control costs and detour signage, $13,586 towards the costs of law enforcement and EMS services for the event. This event meets all 7 of the Board of County Commissioner’s goals and criteria for the use of Hotel Rental Tax Funds. There are no issues of outstanding obligations to the County that would prevent the CVB from receiving funding. It is the recommendation of the Washington County Office of Grant Management that this application be approved in an amount determined to be appropriate by the Board of County Commissioners. FISCAL IMPACT: The Hotel Rental Tax Fund will be reduced by the amount of this award. CONCURRENCES: N/A ALTERNATIVES: Deny the request for Hotel Rental Tax Funding. ATTACHMENTS: Hotel Rental Tax Funding Application AUDIO/VISUAL NEEDS: N/A Washington County, Maryland Hotel Rental Tax Funding Grant Application 100 West Washington Street Room 2200 Hagerstown, Maryland 21740 240-313-2040 Organization/Agency: Hagerstown/Washington County CVB E-mail Address: dan@visithagerstown.com Address: 16 Public Square Hagerstown, Maryland 21740 Contact Person: Dan Spedden Title: President Phone Number: (301) 745-5770 Fax Number: (301) 791-2601 Tax ID/Federal ID#: 152-1866211 C Capital Request ( Operating Request Project Classification: (%J Tourism/Attraction ( Economic Development C Cultural (i Recreation Project Name: IUSA Cycling Amateur Road National Championships 2019 Project Start Date: June 20, 2019 Project End Date: June 23, 2019 Project Justification and Economic Benefit/Impact to the Visitor Industry, if Applicable -he USA Cycling Amateur Road National Championship is a nationally recognized event that is certain to bring economic benefits to )ur region again in 2019. As a host community of the USAC Championships the region can anticipate increased visitor spending on odging, food & beverage, retails, gas, and amusements. The USAC Championships will also generate labor income in the hospitality, ransportation, government, health, waste, insurance, emergency services, and utilities sectors. This national event will elevate the )rofile of our community and present it as a preferred destination among cyclists. Anticipated Visitor Attendance and Impact on Hotel Rental Occupancy, if Applicable In 2018 the USA Cycling Amateur Road National Championships event in Washington County reported 672 individual athletes and 1,507 unique race registrants, the event has the potential to attract 1,000 unique participants in 2019. On average two spectators accompany each athlete. Additionally, 30 + staff members and officials will be in the region for this event. A minimum of 140 room nights will be generated from this event from staff and officials. It is anticipated that athletes and spectators will generate an additional 2,500 -3,500 room nights during the course of the event. Narrative Description of Project: Include purpose of project, outline of project procedures, intended results of project or any additional comments that support the need for project and/or merit as an event or activity designed to promote Washington County, Maryland. Recognized by the United States Olympic Committee and the Union Cycliste Internationale, USA Cycling is the official governing body for all disciplines of competitive cycling in the United States, including BMX, cyclocross, mountain bike, road and track. As a membership -based organization, USA Cycling comprises 60,000+ annual members; 2,500+ clubs and teams; and 34 local associations. The national governing body sanctions over 3,000 competitive and non-competitive events throughout the U.S. each year and is responsible for the identification, development, and support of American cyclists. The mission of USA Cycling is to develop the sport of cycling in the United States at all levels and to achieve sustained international racing success while fostering a shared commitment to safety, integrity, and the joy of cycling. The vision of USA Cycling is that the sport of cycling in the United States is safe, fun, and locally accessible for a vibrant community of racers, enthusiasts, supporters and event directors, and is represented by highly successful athletes competing with integrity on the world stage. The purpose of this event is to generate tourism and fulfill our mission to improve the economy of our destination. In partnership with , USAC, Visit Hagerstown aims to provide event participants with a memorable experience that encompasses our regions historic significance, culture and scenic road ways. As the host destination for the USAC Amateur Road National Championship businesses will be able to benefit from a visitor segment known for their lengthy overnight hotel stays as well as increased spending. To maximize our impact of the visitors during the event, the CVB plans to provide an on -site expo demonstrating opportunities for local businesses. By leveraging an event with such national prestige, we intend to elevate the status of the community in the tourism sports market. Total Project Budget A. Amount of Hotel Rental Tax Grant Funding Requested $65,000.00 B. List Other Funding Sources and Their Respective Amounts Source: MD Sports Commission $25,000.00 Source: National and Local Sponsors $13,750.00 Source: Hagerstown/Washington County CVB $76,290.00 C. Total Project/Event Funding (A+ B) $180,040.00 Itemize your total project budget into the appropriate classifications: A. Tourism Attraction (Be specific in expense break down): See the attached detailed report of the 2018 event. Actual spending from the 2018 event will serve as a budget for 2019 B. Economic Development Enhancement (Be specific in expense breakdown): See Attached C. Cultural Projects (Be specific in expense breakdown): See Attached D. Recreational Projects (Be specific in expense breakdown): See attached JTotal Project Budget $180,040.00 Certification: We certify the information contained in this application is complete, accurate and fully discloses the scope and intent of our request for funding from the Hotel Rental Tax Fund. We agree to comply with the County's requests for information regarding the use of awarded funds and to provide access to accounting records related to these funds. We acknowledge that if expenditures of funds is approved, such approval will be for line -item -by -line -item expenditures, which must be adhered to within the maximum 10% line item deviation. We further acknowledge that any deviations beyond 10% allowable amount will require us to submit a program amendment which will have to be approved by the Office of Community Grant Management prior to any further expenditures. By signing this application, Vwe accept and agree to be bound by the terms and conditions of Hotel Rental Tax Regulati s as administered by the Washington County Commissioners in compliance with current State laws. �a n $ ed d e Digitally signed by Dan Spedden Date: 9/27/2018 Signature: p Date: 2017.07.06 15:02:37-04'00' Applicant/Organization: Hagerstown/Washington County Convention and Visitors Bureau Recommended by: Date: Approve ( Denied Director, Office of Community Grant Management Comments: Approved By: County Administrator Comments: For Requests over $25,000 Date:', Approved By: Date President, Board of County Commissioners Return Application To: Washington County Office of Community Grant Management 100 West Washington Street Room 2200 Hagerstown, Maryland 21740 240-313-2040 ('• Approved (' Denied (' Approved ( Denied Washington County, Maryland Hotel Rental Tax Grant Report Post -Event Report USA Cycling Amateur Road National Championship • July 26 -29, 2018 Accommodations & Total Room Nights Five host hotels were utilized for the event, though all hotels in the region were asked to report any rooms that actualized because of the event. From speaking with spectators, we know visitors also stayed at Hagerstown area campgrounds or temporary Airbnb/short term rental lodging properties in the surrounding tri-state region. A total of 585 roorn nights actualized according to direct reports from Hagerstown area Hotels. According to the pick-up reports the average length of stay was 3.5 nights. This reporting is believed to be lower than what actualized, as we know for a fact that several properties reported no nights associated with the event did have participates stay at their property. To better streamline our hotel reporting for 2019, we will be requiring all hotels to provide a rate code to track room nights associated with the event. Total Participates & Estimated Number of Spectators • 672 Athletes were registered for the National Championship • 1,507 Race starts occurred: meaning on average athletes participated in two or more cycling races at the National Championship • Based on hotel occupancy and directly speaking with attendees, we estimate that on average each athlete was accompanied by 3 spectators, totaling participation at 2,688 Event Summary The USA Cycling Amateur Road National Championship occurred over four days and encompasses three styles of racing: Time Trial, Road Race and, Criterium. In total 672 athletes accompanied by their cycling coaches and family members traveled to the region to participate in the event. In 2017 the Amateur Road National Championship was held in Louisville, KY and drew approximately 100 more riders. The registration was slightly down, due to the lack of category 1 level riders, who have been competing in the Pro -Road National Championships. On average athletes participated in two types of road racing or more. A substantial number of athletes arrived days prior to the first race to practice and get a feel for the courses in Boonsboro, Clear Spring and Hagerstown, MD. This is important for those riders who hailed from much dryer destinations as they had to acclimate the humidity and the terrain. The event was deemed successful by both athletes and the national sanctioning body, USA Cycling. Several factors that contributed to the success of the event were the commitment of the USA Cycling Staff, USAC Officials, USAC third -party contractors, auxiliary personnel paid for by Visit Hagerstown and the robust volunteer program. In total, Visit Hagerstown and USA Cycling invested $260,506.59 to organize the event. The athletes and their supporters were impressed by the quality of the courses and the challenges they presented, certainly worthy of a National Championship. Many athletes commented on not only the quality of the courses but also the scenic beauty of the region. The athletes were impressed with the welcoming spirit of the community and are looking forward to returning to the area next year. USA Cycling Amateur Road National Championships will return to Hagerstown, Maryland June 20 — 23, 2019. The goal of the local organizing committee in 2019 are to: improve logistics, medical and safety planning, streamlining communications amongst agencies on site, provide more discounted lodging options for athletes and focus on driving more regional spectators to the National Championships. In addition to the support of MD Sports Commission, the 2018 USA Cycling Amateur Road National Championships was made possible by the partnerships Visit Hagerstown forged with Maryland Sports, Washington County Government and the various departments within; the City of Hagerstown and the various departments within; Main Street Hagerstown; the Town of Boonsboro and the Boonsboro Economic Development Commissions; Maryland State Highways, Antietam Velo Club, the Cumberland Valley Cycling Club, CVB Members and the Community. • Hosting Expenses o Most of the grant funds were utilized to offset the cost for housing the USA Cycling Staff and Officials. o The average length of stay (4.5 Days) for staff and officials was slightly more than that of the athletes o Two of the five host hotels were utilized for hosting. • Digital Marketing with Herald Mail Media Website Traffic: • July traffic experienced an overall traffic increased 50% over the previous month of June primarily during the July 20-30 timeframe • Organic traffic rose 41% over the previous month • Our 2017 to 2018 traffic comparison 0 29% in overall traffic o Organic traffic improving 18% o Social Media traffic to the site increased by 256%, primarily via Facebook, due to paid posts • The Amateur Road page (created specifically for cyclists) was the #1 visited landing page • Google rankings increased 18 ranks with an overall ranking increase of 35,704 positions • Bing rankings increased 52 ranks in July and an overall ranking increase of 30,201 ranks • We received a Google Anomaly alert that showed that on the day of July 28 (the Saturday of the race week) our website usage spiked in Page Views by 45%. o Amateur Road (the Cyclist's page) showed an increase of 361% o The Amateur Road Spectators Page showed an increase of 307% ARTICLES: Print and Online (See attached list of links) • A search on the Herald Mail's website for USA Cycling produces nearly 50 event related articles and photo galleries pages (pre and post event) • WDVM aired 7 reports on air and online Additional Publications: Sports Destinations Recreation News BicycleRetailer.com BikingPress.com CyclingNews.com CXMagazxine.com Shreveport Times Business Insider The Eagle (Bryan, TX) Bicycling.com Duarngo Herald (Durango, CO) Wilton Bulletin (Norwalk CT) SoCalCyling.com Washington Post (slight negative) Daily Interlake (Kallispell, MT) ADVERTSING (Paid and In -Kind): Paid Media: • 9 Boosted Posts, geared to Cyclists, Volunteers, and Resident Specific info via Facebook for the month of July which ran from March -July • Digital ads on Herald Mail Media page — 35,000 impressions • Digital ads on websites across the internet via Manning media • Herald Mail Insert • In -Kind - Sponsored Media: • Print: Herald Mail Sponsored Ads for March-JUly o A Total of 30 COLOR Back Page ads, and several Full Page ads in What's NXT o 70,000 digital ads on their page in June —July Radio: Manning Media Sponsored on -air radio ads — daily for March -July o WWEG, 106.9 The Eagle: 1,000 commercials 0 102.1MoreFM: 1,185 commercials o WARK 98.9FM: 1,500 commercials o Total: 3,685 commercials SOCIAL MEDIA ANALYTICS: (Organic) FACEBOOK: • In July 47 Posts were made about the event by Visit Hagerstown • 33,008 times posts entered the users screen, all unique users • 47,147 times posts entered any screen, all users • 2.030 Post engagements (likes, shares, etc), unique users • 27,208 impressions to people who like our page, unique users • 822 Video Views of 95% of video, unique users IN STAG RAM/TWITTER: • A search of the #amateurroadnats and other related hashtags yielded close to 1,000 posts on each platform. (hashtags included team names, cyclist names, cycle venue, race names) • Total reach on each platform of 1,000 posts averages about 350 likes, shares, and impressions (according to our insights and metrics • Conclude that about 35,000 were reach on each platform VIDEO: • The official video was created by Scott Cantner, and other videos made during the event can be found here: https://www.f ace bookcom/HagerstownWash ingtonCountyCVB/videos/101606 56913415440/ • For pre -event excitement, volunteer recruitment, etc. we created a YouTube Playlist on our channel, called USA Cycling which contains 3 videos Link here to view: https://www.youtube.com/playlist?list=PLV35y8Sp8bGRT2 k4ilaUZF8UBDa1- 3Ld PHOTOGRAPHY: • Youngblood Studios was our official event photographer, and will provide individual high-res, non -watermarked photos at no cost, on an as - requested basis; the link to them is here:littps•//www.facebook.corn/youngblood.seniors/photos all • Ed Crawford, local photographer, also took some great photos of the Crit and they can be found and downloaded here: https://app.box.com/folder/53832517668 SAMPLE OF NUMEROUS QUOTES/TESTIMONIALS: • Local resident Tim Hamilton said he and his wife, Robbin, are not really cycling fans, "but we love this." The couple live downtown and walked over to catch a midmorning race. "The excitement. The young kids. It's just unreal," he said. The couple were planning to spend the day watching the cycling and hanging out at a nearby block party. (source: Herald Mail Media, Sun. July 29, 2018) • From a cyclist: "I'm telling you, everybody is so friendly," Katy May said. The Mays made the nine -hour drive a week ago because Elizabeth's team reviewed the course Tuesday ..."We've been eating fresh corn and blueberries and peaches," she said. Georgia has all of that, but "It's not, like, right down the street." (source: Herald Mail Media, Sun. July 29, 2018) Event Budget • Total Direct Spend by Event Organizers was $260,507 • Visit Hagerstown expenses were $168,506.59 • * $20,000 was received In -Kind Marketing Support from Herald Mail Media and Manning Media for Digital, Radio and Print Marketing. • Additional $8,500 of In -Kind goods or services were also awarded to the CVB by area businesses and restaurants to assist with the Volunteer Program, Staff Meals and Operations. 2018 Amateur Road National Championship Hosting Expenses Rental Vehicles , Security . Itosident Notifications . USAC site Visit . Event Insurance ■ Waste Management - Volunteer Incentives - General Supplies - Mediral Support Services r r Detoan Signage Marketing ' Staff & Volunteer Meals Promotional/Venue Signage Hosting Accommodations • ' Personnel Police rraftic Control r Event Impact • The event drew Athletes from 42 of the 50 states to Maryland. • The top five represented states by visitors where: Pennsylvania, California, Colorado, Maryland and Texas. • In July 2018, the month of the USA Cycling Amateur National Road Championship, more than $3,686,633 was spent on lodging on Washington County Maryland. • According to STIR, Average Daily Rate reached a record high of $101.44 for during a peak night of the event. • Average hotel occupancy during the event was 85.84% with several hotels reporting sells out or near sell out at their properties. • "The USA Cycling Amateur National Road Championship generated an unprecedented volume of marketing forever elevating Washington County's profile as a destination." — Daniel P. Spedden, Visit Hagerstown • This event help Visit Hagerstown absorb a loss that had been created by the decline in meetings and convention business and further strengthen our stake in the Sports Market. Category As5um )tian Attendance Characteristics Number or Events Total Participants Average Household Travel Party Size I 672 3.0 Total Attendees (Spectators & Participants) 2,016 Number of Room Nights Total Attendees (Spectators & Participants) Percentage Staying Overnight in a Flotel/Motel Overnight Attendees Average Length of Stay Total Overnight Attendee Days People Per Room 2,688 75% 2,016 4.0 8,064 4.0 Total Room N hts 2,016 Attendee Spending Outside the Venne Total Overnight Attendee Days AveraRe Spending Per Person Per Da 8,064 $150 Total Direct S endin - Overnight Attendees $1210 000 Daytripper Attendee Days Average Spending Pcr Person Per Da 672 $40 Total Direct Spending - Daytripoer Attendees $27 000 Total Direct S endin - All Attendees S1,237,000 Weighted Average - Direct Spending Per Attendee $142 Event Organizer/Producer Spending in the State Number of Events Average S endin Per Organization Per Event I $129 932 Total Direct S endin - Event Organizer/Producer $260 507 Grand Total - Direct Spending $1 49? 507 Open Session Item SUBJECT: Hagerstown/Washington County Convention and Visitors Bureau Annual Audit and Economic Impact Presentation PRESENTATION DATE: October 30, 2018 PRESENTATION BY: Dan Spedden, President, Hagerstown / Washington County Convention and Visitors Bureau, and Al Martin, Treasurer Hagerstown / Washington County Convention and Visitors Bureau RECOMMENDED MOTION: Move to accept the annual audit report REPORT-IN-BRIEF: Mr. Spedden and Mr. Martin will discuss ongoing efforts, future planning and present the 2017 audit report of the Bureau’s finances. DISCUSSION: Economic impact statement will be presented, and the 2021 world canal conference will be discussed. FISCAL IMPACT: N/A CONCURRENCES: N/A ALTERNATIVES: N/A ATTACHMENTS: Audit report, Economic Impact Statement AUDIO/VISUAL NEEDS: None Board of County Commissioners of Washington County, Maryland Agenda Report Form Audited Financial Statements December 31, 2017 Washington County, Maryland Convention and Visitors Bureau, Inc. I-.'*0 AG &Washington County Convention and Visitors Bureau CONTENTS INDEPENDENT AUDITORS REPORT FINANCIAL STATEMENTS PAGE 1-2 Statements of Financial Position 3 Statements of Activities and Changes in Net Assets 4 Statements of Cash Flows 5 Notes to Financial Statements 6-10 Smith Elliott Kearns & Company, LLC (SEN 4D CERTIFIED PUBLIC ACCOUNTANTS & CONSULTANTS INDEPENDENT AUDITOR'S REPORT Board of Directors Washington County, Maryland Convention and Visitors Bureau, Inc. l-Iagerstown, Maryland REPORT ON THE FINANCIAL STATEMENTS We have audited the accompanying financial statements of Washington County, Maryland Convention and Visitors Bureau, Inc. (the Bureau) (a nonprofit organization), which comprise the statements of financial position as of December 31, 2017 and 2016, and the related statements of activities and changes in net assets and cash Flows for the years then ended, and the related notes to the financial statements. Management's Responsibility for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. Auditor's Responsibility Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with auditing standards generally accepted in the United States of Arnerica. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor's judgment, Including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity's preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity's internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. 1 Opinion In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Washington County, Maryland Convention and Visitors Bureau, Inc. as of December 31, 2017 and 2016, and the changes in its net assets and its cash flows for the years then ended in conformity with accounting principles generally accepted in the United States of America. Hagerstown, Maryland May 11, 2018 2 WASHINGTON COUNTY, MARYLAND CONVENTION AND VISITORS BUREAU, INC. Statements of Financial Position December 31, 2017 and 2016 ASSETS CurrentAssets Cash Taxes receivable Grants receivable Inventories Prepaid expenses Total Current Assets Property and Equipment Office equipment Leasehold improvements Less accumulated depreciation Total Property and Equipment TOTAL ASSETS LIABILITIES AND NET ASSETS Current Liabilities Accounts payable Accrued salaries and wages Deferred income Total Current Liabilities Unrestricted Net Assets TOTAL LIABILITIES AND NET ASSETS 2017 2016 $ 160,868 $ 98,272 70,452 68,837 - 703 9,648 11,552 - 13,516 240,968 192,880 66,382 42,462 33,236 33,236 99,618 75,698 55,834 47,430 43,784 28,268 $ 284,752 $ 221,148 $ 24,741 $ 17,555 22,633 21,541 59,298 24,559 106,672 63,655 178,080 157,493 $ 284,752 $ 221,148 The Notes to Financial Statements are an integral part of these statements. 3 WASHINGTON COUNTY, MARYLAND CONVENTION AND VISITORS BUREAU, INC. Statements of Activities and Changes in Net Assets Years Ended December 31, 2017 and 2016 2017 2016 UNRESTRICTED REVENUES AND OTHER SUPPORT Lodging taxes $ 1,028,163 $ 1,016,479 Grants 102,815 68,565 Membership revenues 49,650 53,353 Official Visitor's Guide revenues 46,806 50,878 Gift shop revenues 19,433 18,953 Ticket sale commissions 1,895 1,293 Advertising revenues 2,463 1,485 Miscellaneous 6 12 Interest income 479 199 Total Revenues and Other Support 1,251,710 1,211,217 UNRESTRICTED EXPENSES Advertising expense 330,325 314,672 Board of directors expense 4,413 5,301 Convention sales expense 74,131 77,965 Civil War Heritage 3,800 6,200 Depreciation 8,404 7,764 Dues and subscriptions 17,088 15,001 Employee benefits and payroll taxes 66,069 65,469 Gift shop cost of sales 9,949 11,328 Interest expense 324 76 Loss on disposal of asset - 81 Maintenance and repairs 22,039 26,287 Miscellaneous 15,174 13,012 Newcomer house expenses 4,501 3,848 Office supplies 7,879 16,288 Office equipment expense - 24,303 Postage 11,791 13,800 Printing expenses 4,007 5,652 Professional fees 25,300 21,975 Programs expense 80,100 93,987 Public relations 60,940 64,419 Publications expense 89,117 80,542 Rent expense 42,976 40,204 Salaries 334,128 312,345 Utilities 18,668 18,586 Total Expenses 1,231,123 1,239,105 Change In Unrestricted Net Assets 20,587 (27,888) UNRESTRICTED NET ASSETS, BEGINNING OF YEAR 157,493 185,381 UNRESTRICTED NET ASSETS, END OF YEAR $ 178,080 $ 157,493 The Notes to Financial Statements are an integral part of these statements. 4 WASHINGTON COUNTY, MARYLAND CONVENTION AND VISITORS BUREAU, INC. Statements of Cash Flows Years Ended December 31, 2017 and 2016 CASH FLOWS FROM OPERATING ACTIVITIES Change in unrestricted net assets Adjustment to reconcile change in net assets to net cash provided by (used in) operating activities: Depreciation Loss on asset disposal Decrease in grants receivable (Increase) decrease in taxes receivable Decrease in inventories (Increase) decrease in prepaid expenses Increase in accounts payable Increase(decrease)in accrued expenses Increase (decrease) in deferred income Net Cash Provided By (Used In) Operating Activities CASH FLOWS FROM INVESTING ACTIVITIES Acquisition of property and equipment Net Cash (Used In) Investing Activities Net Increase (Decrease) In Cash CASH, BEGINNING OF YEAR CASH, END OF YEAR 2017 2016 $ 20,587 $ (27,888) 8,404 703 (1,615) 1,904 13,516 7,186 1,092 34,739 7,764 81 6,258 15,086 679 (11,616) 3,238 (8,674) (33,621) 86,516 (48,693) (23,920) (11,884) (23,920) (11,884) 62,596 (60,577) 98,272 158,849 $ 160,868 $ 98,272 The Notes to Financial Statements are an integral part of these statements. 5 WASHINGTON COUNTY, MARYLAND CONVENTION AND VISITORS BUREAU, INC. Notes to Financial Statements December 31, 2017 and 2016 NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Organization and Nature of Operation Washington County, Maryland Convention and Visitors Bureau, Inc. (Bureau) is a not -for -profit organization headquartered in Hagerstown, Maryland. The purpose of the Bureau is to develop tourism and market Washington County to meeting planners, leisure travelers and business customers. Approximately 82% of the Bureau's unrestricted funding in 2017 was received from lodging tax revenues passed through the County Commissioners of Washington County. Basis of Accounting The accounting policies of the Bureau conform to generally accepted accounting principles. Therefore, the financial statements are prepared using the accrual basis of accounting. Revenue from lodging taxes is recorded in the period the tax is remitted by the hotels/motels to the County Commissioners of Washington County. Use of Estimates in the Preparation of Financial Statements The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Allowance for Bad Debts The Bureau does not normally provide credit to its customers. The Bureau records receivables for lodging tax revenues and grant revenues. Management of the Bureau periodically reviews the collectability of accounts receivable, and those accounts which are considered not collectible are written off as bad debts. Based on management's review, an allowance for doubtful accounts is not considered necessary. Property and Equipment The Bureau follows the practice of capitalizing expenditures for property and equipment in excess of $5,000 that are deemed to have a useful life greater than one year. Fixed assets are recorded at cost or estimated value, if donated. Depreciation of fixed assets is charged as an expense against operations. Depreciation has been provided over the estimated useful lives, between three and fifteen years, using the straight-line method. When assets are retired or otherwise disposed of, the cost and related accumulated depreciation are removed from the accounts, and any resulting gain or loss is recognized in income for the period. The cost of maintenance and repairs is charged to expense as incurred; significant renewals and betterments are capitalized. 6 WASHINGTON COUNTY, MARYLAND CONVENTION AND VISITORS BUREAU, INC. Notes to Financial Statements December 31, 2017 and 2016 NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED Donated Services and Material Donations of services and materials, if applicable, are recorded at their estimated fair value at the date of donation, given the services received create or enhance nonfinancial assets or require specialized skills, are provided by individuals possessing those skills, and would typically need to be purchased if not provided by donation. General and Program Service Expenses Expenses directly identified within functional areas are charged to such area. If an expense affects more than one area, it is allocated based on the time expended, space utilized, or by another rational basis. Advertising Advertising costs are expensed the first time the advertising takes place. Advertising expense amounted to $330,325 and $314,672 for the years ended December 31, 2017 and 2016, respectively. Income Tax Status The Bureau is a not -for -profit corporation as described in Internal Revenue Code Section 501(c)(6) and is exempt from federal income tax under Internal Revenue Code Section 501(a). Uncertain Tax Positions The Bureau follows the FASB Accounting Standards Codification, which provides guidance on accounting for uncertainty in income taxes recognized in an entity's financial statements. The guidance prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return, and also provides guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosures, and transition. The Bureau's policy is to recognize interest and penalties in expense as incurred. The Bureau's federal and state income tax returns are subject to examination by the Internal Revenue Service and state tax authorities, generally for a period of three years after the returns are filed. Inventory Inventory is valued at cost, using the first -in first -out method. 7 WASHINGTON COUNTY, MARYLAND CONVENTION AND VISITORS BUREAU, INC. Notes to Financial Statements December 31, 2017 and 2016 NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Statement of Cash Flows For purposes of the statement of cash flows, the Bureau considers all highly liquid deposits with a maturity of three months or less to be cash equivalents. NOTE 2 PROPERTY AND EQUIPMENT Accumulated Net Book Cost Depreciation Value 2017 Office equipment (3-10 years) Leasehold improvements (5-15 years) 2016 Office equipment (3-10 years) Leasehold improvements (5-15 years) $ 66,382 33,236 $ 99,618 $ 42,462 33,236 $ 75,698 $ 38,892 16,942 $ 55,834 $ 32,428 15,002 $ 47,430 $ 27,490 16,294 $ 43,784 $ 10,034 18,234 $ 28,268 Depreciation expense was $8,404 and $7,764 for years ended December 31, 2017 and 2016, respectively. NOTE 3 SAVINGS INCENTIVE PLAN FOR EMPLOYEES The Bureau adopted a contributory employee savings incentive plan effective June 29, 1998. The plan covered substantially all employees and the Bureau could contribute a matching amount at their discretion. Employer contributions to the plan were $6,253 and $6,364 for the years ended December 31, 2017 and 2016, respectively. This plan was terminated December 31, 2017. On January 1, 2018, the Bureau adopted a new contributory employee savings incentive 401(k) plan. The plan covers substantially all employees and the Bureau may contribute a matching amount at their discretion. NOTE 4 FUNCTIONAL EXPENSES Expenses grouped by functional category are as follows: 2017 2016 Program services $ 1,056,426 $ 1,064,668 Management and general 174,697 174,437 $ 1,231,123 $ 1,239,105 Salary expenses for the visitor center store employees reflects as an expense to the store, but employees only spend a portion of their time servicing store customers while their remaining time is spent answering phones for the visitor's bureau. 8 WASHINGTON COUNTY, MARYLAND CONVENTION AND VISITORS BUREAU, INC. Notes to Financial Statements December 31, 2017 and 2016 NOTE 5 OPERATING LEASES The Bureau leases office space from an unrelated party which will expire March 2023. The lease requires a monthly payment of $1,533, with a 2.5% increase over the most recent base rent amount on the annual anniversary date of the lease. The Bureau also leases retail space from the City of Hagerstown, which will expire in January 2021, requiring monthly payments of $1,609. The lease contains an option to renew for a period of five years with a 3.6% increase of monthly payments. The Bureau must maintain general liability insurance and property damage insurance. During 2012, the Bureau entered into a lease for a mailing machine from a local vendor. The lease term is for sixty months, with a monthly payment of $75. This lease will be paid off in 2018. During 2016, the Bureau entered into a sixty month lease for a copier which expires in August 2021, requiring a monthly payment of $330, including taxes and monthly service charges. During 2016, the Bureau entered into a lease for a vehicle with Honda. The lease term is for 36 months, expiring in May 2019, with a monthly payment of $467. The following is a schedule of future minimum lease payments for the above operating leases based on their current terms as of December 31, 2017: Year Ending December 31, 2018 $ 47,486 2019 44,454 2020 42,592 2021 24,060 2022 20,310 Rent expense for office and retail space under operating leases was $42,976 and $40,204 for 2017 and 2016, respectively. 9 WASHINGTON COUNTY, MARYLAND CONVENTION AND VISITORS BUREAU, INC. Notes to Financial Statements December 31, 2017 and 2016 NOTE 6 DEFERRED INCOME Deferred income represents fees and grants received prior to the designated period. Deferred income at December 31 is as follows: Amount Description 2017 Membership fees Visitor guide USA cycling event 2016 Membership fees Visitor guide NOTE 7 LINE OF CREDIT 24,630 2018 Dues 9,668 2018 Advertising Fees 25,000 2018 event $ 59,298 $ 14,499 2017 Dues 10,060 2017 Advertising Fees $ 24,559 The Bureau has a line of credit with a bank with a borrowing limit of $125,000 bearing interest at the Prime Rate plus 1.50% (4.50% at December 31, 2017). At December 31, 2017 and 2016, there was no outstanding balance on this line of credit. NOTE 8 SUBSEQUENT EVENTS The Bureau has evaluated events and transactions subsequent to December 31, 2017 through May 11, 2018, the date these financial statements were available to be issued. Based on the definitions and requirements of generally accepted accounting principles, management has identified one event that has occurred subsequent to December 31, 2017 through May 11, 2018 that require recognition or disclosure in the financial statements. January 1, 2018, the Bureau adopted a new contributory employee savings plan 401(k) as discussed in Note 3. 10 I i&A Economic Impact of Tourism in Maryland Calendar Year 2017 analysis Washington County, visitors Washinqton Count Year 2017 607.9 668.0 1,275.9 0.3% 2016 599.7 672.3 1,272.0 1.5% 2015 584.9 668.2 1,253.1 4.7% 2014 563.5 633.5 1,197.0 2.4% 2013 531.4 638.1 1,169.5 4.9% Visits by type 2017 Overnic 47.6°/ El gay 4% 4oTOURISM ECONOMICS Washington County, industry sales Washington County Year ... - .! .. 2017 $40.55 $70.48 $55.01 $36.42 $42.44 $12.40 $257.29 0.2%, 2016 $40.28 $70.96 $55.24 $36.43 $41.48 $12.31 $256.71 -1.7% 2015 $39.45 $70.17 $57.08 $33.89 $48.05 $12.59 $261.24 1.6% 2014 $39.52 $68.30 $58.82 $31.56 $46.03 $12.81 $257.05 4.6% 2013 $37.42 $64.99 $57.13 $29.89 $44.17 $12.16 $245.76 2.9% Tourism industry sales $270 $261 $260 $257 $257 $257 $250 S 41; Recreatior 14.2% � $240 $239 0 i2 $230 2225 N $220 $210 Ret; 21.4 $200 1 1 2011 2012 2013 2014 2015 2016 2017 Transport Second 16.5% Homes Lodging 15.8% )od & ierage 27.4% • #&TOURISM ECONOMICS Washington County, tourism impact Washington Count Tourist Year 2017 2.32%u Labor Incor 3,394 5,203 2016 3,434 5,281 2.38% 2015 3,428 5,275 2.41 % 2014 3,369 5,193 2.43% 2013 3,282 1 5,064 2.40% Year ■ $87.1 171.1 1.70% Employmf 2017 2016 $86.77!$170.7 1.75% 2015 $83.5 163.8 1.77% 2014 $82.6 $160.1 1.83% 2013 1 $78.5 1 $151.3 1 1.82% Year Total Tourism Tax Receipts (millions) 2017 $35.3 $38.1 $2.06 $73.4 2016 $35.2 $37.8 $2.04 $73.0 2015 $34.0 $37.9 $2.05 $72.0 2014 $33.3 $37.1 $1.99 $70.4 2013 $31.6 $35.7 $1.90 $67.3 63 n share of County economy ne ,nt 0% 2% 4% 6% 8% 10% TOUrism Sales W�T"owism (millions) Tourism . . $257.3 $277.5 $256.7 $277.6 $261.2 $283.5 $257.0 $277.5 $245.8 $265.4 46TOURISM ECONOMICS Open Session Item SUBJECT: Construction Bid Award – Parking Facility at County Administration Building PRESENTATION DATE: October 30, 2018 PRESENTATION BY: Scott Hobbs, Director, Division of Engineering RECOMMENDED MOTION: Move to award the Washington County Employee Parking Facility contract to the lowest responsive, responsible bidder, Kinsley Construction, Inc. of Hagerstown, Maryland, in the amount of $148,405.00. REPORT-IN-BRIEF: The project was advertised in the Herald Mail, on the County’s website, and on the State of Maryland’s website, e-Maryland Marketplace. Six (6) bids were received on October 19, 2018. Contractor: Bid: Kinsley Construction, Inc. $148,405.00 L.W. Wolfe Enterprises, Inc. $175,990.10 David H. Martin Excavating, Inc. $197,819.50 Huntzberry Brothers, Inc. $215,788.00 Outdoor Contractors, Inc. $263,833.41 MIM Construction, Inc. $285,625.00 The bids have been evaluated. The low bid from Kinsley Construction, Inc. is in order. The Engineer’s estimate for this work is $160,000. DISCUSSION: The project involves construction of a new parking lot that will allow for additional employee parking near the County Administration Building and alleviate parking needs at other locations. The parking lot is located behind the County Administration Building at 100 West Washington Street between Wareham Alley and Franklin Street (formerly the T&R Tire location). The work includes grading, paving, curbing, inlet, and pipe installation. The alley at the intersection with Jonathan Street will be temporarily closed to through traffic during completion of the drainage work. Signs will be posted accordingly. The bid documents provide thirty-five (35) consecutive calendar days to complete the work. The Notice to Proceed date is anticipated to be on or about November 12, 2018. Bid documents include Liquidated Damages in the amount of $250.00 per calendar day for work beyond the completion date. FISCAL IMPACT: Budgeted Capital Improvement Plan Project (BLD091). Board of County Commissioners of Washington County, Maryland Agenda Report Form CONCURRENCES: N/A ALTERNATIVES: N/A ATTACHMENTS: Bid Tabulation, Aerial Map AUDIO/VISUAL TO BE USED: N/A PROJECT NAME: Washington County Employee Parking Facility DATE: October 2018 ITEM DESCRIPTION ITEM UNIT Price Total Price Total Price Total Price Total Price Total Price Total Mobilization 101 1.00 LS $7,400.00 $7,400.00 $9,300.00 $9,300.00 $27,282.00 $27,282.00 $7,600.00 $7,600.00 $9,400.00 $9,400.00 $50,000.00 $50,000.00 Nyloplast 2FT X 3FT Curb Inlet Structure 303 1.00 EA $3,085.00 $3,085.00 $7,028.00 $7,028.00 $2,808.00 $2,808.00 $6,450.00 $6,450.00 $3,600.00 $3,600.00 $5,000.00 $5,000.00 WASHINGTON COUNTY DIVISION OF ENGINEERING BID TABULATION Kinsley Construction, Inc.L.W. Wolfe Enterprises Inc.David H. Martin Excavating, Inc.Huntzberry Brothers, Inc.Outdoor Contractors, Inc.MIM Construction Inc. BID QTY. Sub-Total WestWashingtonStreet JonathonStreet NorthProspectStreet WarehamPlace T & R Tire Parking Lot 0 25 50 75 100Feet Legend - Parcel Boundaries - T & R Tire Parking Lot WestFranklin Street Open Session Item SUBJECT: Federal Aid Project Funding PRESENTATION DATE: October 30, 2018 PRESENTATION BY: Scott Hobbs, Director, Division of Engineering RECOMMENDED MOTION: For informational purposes. REPORT-IN-BRIEF: The Maryland Department of Transportation State Highway Administration (MDOT SHA) has been working to update the 1978 Master Agreement for recipients of federal funding and requests Washington County to sign the revised 1978 Master Agreement. DISCUSSION: MDOT SHA is responsible for the oversight and assistance to local public agencies for projects financed with federal funds in accordance with Title 23 U.S.C.; 23 CFR 635.105, which contains regulations relating to highways including 2 CFR 200. There have been no significant changes to the 1978 agreement. FISCAL IMPACT: Federal Aid Funding. CONCURRENCES: County Attorney’s Office ALTERNATIVES: N/A ATTACHMENTS: Master Memorandum of Understanding AUDIO/VISUAL TO BE USED: N/A Board of County Commissioners of Washington County, Maryland Agenda Report Form MDOT SHA Control No. POI### C-1 MASTER MEMORANDUM OF UNDERSTANDING WASHINGTON COUNTY and MARYLAND DEPARTMENT OF TRANSPORTATION MDOT SHA HIGHWAY ADMINISTRATION FEDERAL -AID PROJECT GUIDELINES AND WORKING AGREEMENT THIS MASTER MEMORANDUM OF UNDERSTANDING ("MOU"), executed in duplicate, made effective as of the 2018, by and between the Maryland Department of Transportation State Highway Administration, acting for and on behalf of, the State of Maryland, hereinafter referred to as "MDOT SHA", and "WASHINGTON COUNTY", Maryland, a body corporate and politic, hereinafter referred to as the "Local Public Agency" or "LPA". WHEREAS , MDOT SHA is responsible for the oversight of and assistance to the LPA for projects financed with Federal funds in accordance with Title 23 U.S.C.; 23 CFR 635.105 which contains regulations (general and permanent rules published in the Federal Register) relating to highways including 2 CFR 200. Regulations based on Civil Rights requirements -in Title 49, the Uniform Relocation Assistance and Real Property Policies, the Federal Highway Administration ("FHWA"), and other Federal laws and regulations set forth procedures whereby services and facilities of LPA may be utilized on Federally -aided projects and requires that an agreement be executed between MDOT SHA and the LPA setting forth the conditions under which any project would be implemented; MDOT SHA determines if the LPA is able to satisfy the requirements of Title 23 U.S.C. 106(g)(4) and therefore be effective in managing Federally - aided projects; and WHEREAS, the LPA desires to make improvements to roads, bridges, traffic signals, or other highway -related facilities, orto engage in a safety or highway related project, either on and/or off the Federal -aid system of highways; and , WHEREAS, the MDOT SHA has accepted the proposal of the LPA and agrees to assist in the administering and partnering with the LPA as outlined in this MOU and in the Supplemental Agreement ("SA") as they are developed for any selected project(s); and WHEREAS, the LPA proposes to utilize Federal funds for eligible project activities and agrees to participate in financing the project if the project costs exceed the amount of the Federal aid; and MOTSHA federil Aid to Local Public Agencies WHEREAS, the LPA desires to cooperate with the MDOT SHA in carrying out Projects, in accordance with the regulations, policies, and procedures of the FHWA, with the provisions of the MDOT SHA's, USDOT Order 5020.2 dated August 14, 2014 and Stewardship & Oversight Agreement between the MDOT/SHA/FHWA dated May 21, 2015, where applicable. NOW, THEREFORE, be it understood the MDOT SHA and the LPA do hereby agree as follows: 1. Project Selection A. Projects shall be selected by the LPA in cooperation with the MDOT SHA (hereinafter "Project"). Grant Programs may require the LPA to apply for fielding that is approved and awarded by a Review Committee. For each Project, the parties will jointly develop a SA, which shall include, when applicable, the following: 1. A Detailed scope and objective(s). 2. Set milestone targets and schedule. 3. Indicate ' compliance with the MDOT SHA's monitoring requirements to include monthly progress or status reports which shall be submitted to the designated Office(s) within the MDOT SHA on or about March I", June I", September I", and December V of each year until the Project has been closed out. 4. Outline the Federal and LPA funding amounts and other pertinent financial information. 5. Establish roles and responsibilities that are tailored to and recognize the LPA's experience and capabilities 6. Insure timely delivery. 7. Monthly billing and reimbursement arrangement. 8. Set forth a timely Project Closeout Date for the LPA to complete all related project closeout activities and reviews. 9. Set forth a timely Project Agreement End Date (Period of Performance 2 CFR Pail 200.309) 10. The Project Closeout Date and Project Agreement End Date will be determined using the established MDOT SHA project end date procedures. IL . Outline records and retention requirements 12. Identifies the LPA's fulltime employee to be in "responsible charge" of the project as defined on the MDOT SHA Development Guide for Local Public Agencies and other Sub -recipients of federal funds. \1130'1' SI IA I'edend Aid to Local Public Agencies 2 B. The LPA Projects must be included in an approved State Transportation Improvement Program (STIP) and, when applicable, an approved Metropolitan Transportation Improvement Program (TIP). C. The LPA's pursuant to 23 U.S.C. 106(g)(4) and the MDOT SHA shall be responsible for determining that sub -recipients of Federal fiends have adequate project delivery systems for locally administered projects and sufficient accounting controls to properly manage such Federal -aid fiends. The MDOT SHA is also responsible for ensuring compliance with reporting and other requirements applicable to grantees making sub -awards, such as monthly reporting requirements under the Federal Funding Accountability and Transparency Act of 2006, PL 109-282 (as amended by PL 110-252). 11. Procurement of Consultant Services A. The LPA shall perform preliminary design (PD) and final design (FD) work under Preliminary Engineering (PE), prepare specification, estimates, contract plans, inspections and/or construction management either with their own forces or by utilizing the services of an approved A/E Consultant in accordance with 23 CFR Part 172. B. The LPA shall, prior to initiating procurement of a A/E consultant, request the MDOT SHA approval for procuring an A/E consultant, the contract type, the procurement and payment methods to be used based on the estimated cost, and the award of the A/E consultant contract from the MDOT SHA Office of Procurement through the MDOT SHA Office of Finance Federal Aid Programming Division. If the contract type is an open- end (IDIQ), the LPA shall also request approval of their 2" d Qualification Based Selection (QBS) in awarding of task orders is in compliance with 23 CFR 172.9 (a)(3). C. The LPA will use the Development Guide for LPAs and Other Sub - Recipients of Federal Funds for instructions on the procurement and payment methods, and contract types. D. The MDOT SHA may allow the following options for obtaining A/E Consultant Services. Each request will be subject to review, availability of services, LPA's ability to manage process as described in Section I.C. The LPA Consultant Procurement Options: I . The LPA request use of the MDOT SHA open-end contract (ID1Q). 2. The LPA procure a project specific contract via the QBS or small purchases method. 3. The LPA procure an IDIQ or project specific contract QBS (see section 11.B). 111. Preliminary and Final Design nluo•r SnA Federal Aid to Locol Public Agencies A. Design Standards: 1. The geometric design standards shall meet FHWA most currently adopted edition of "A Policy on Geometric Design of Highways and Streets" by American Association of State Highway and Transportation Officials (AASHTO), or as modified with t h e concurrence of (i) the LPA, and the MDOT SHA for projects exempt from FHWA review, and (ii) the LPA, the MDOT SHA, and FHWA for projects not exempt from FHWA review. 2. Bridge design standards shall be consistent with the current edition of AASHTO Load Resistance Factor Design (LRFD) Bridge Design Specifications. 3. Non -highway projects must conform to the currently accepted standards for the type of work being done, such as architectural standards and/or International Building Code (IBC) (current version). 4. Bicycle and pedestrian facilities funded with Federal funding must conform to design standards in the MDOT's Bicycle Policy & Design Guidelines and Accessibility Guidelines for Pedestrian Facilities along State Highways (current version). 5. All projects must conform to FHWA design standards, specifications and guidelines. Projects within the MDOT SHA right-of-way must conform to the MDOT SHA approved standards where they are more stringent than FHWA requirements as outlined Chapter 9 of the Development Guide for LPA and other Sub - Recipients of Federal Funds. Projects within the Local right of way must meet Local and Federal requirements. G. The installation of traffic control devices shall meet the warrants and/or guidelines prescribed in the current version of Maryland's Manual on Uniform Traffic Control Devices and Maryland Supplements. 7. The specific design and dimensions shall be determined from said standards using traffic volumes, terrain, and benefit/cost analysis as warranted. Design exceptions shall be cooperatively reviewed and approved by the MDOT SHA, the LPA, and FHWA, for Projects not exempt from FHWA review. 8. The LPA will comply with the Project Design Standards, Guidelines, Policies and Requirements as outlined in Chapter 9 of the Development Guide for Local Public Agencies and Other Sub - Recipients of Federal Funds. B. Project Plan Development: Aino'r S11A Pedcrol Aid to Locnl Public Agencics 4 1. Preliminary and final design w o r k may be performed by the L P A, the MDOT SHA, or ii A / E consultant (23 CFR Part 172), as agreed to by the LPA and the MDOT SHA (see Section 11). PE (preliminary and final design) may be programmed for Federal participation, including surveys, environmental documents, hearings, and permits. 2. LPA will comply with the MDOT SHA approved Book of Standards for Highway & Incidental Structures to develop plans and specifications to the maximum extent practical; and the Standards Specifications for Construction and Materials of the MDOT SHA shall apply unless other MDOT SHA approved specifications are adopted. 3. The appropriate MDOT SHA Office, which may include but not be limited to, the MDOT SHA Office of Highway Development, Office of Traffic and Safety or Office of Structures. The appropriate office will provide technical assistance, guidance and review and approval of the LPA's design documents. C. Environmental Reviews and Permitting: 1. The preparation, submittal and approval of all environmental permits, clearances and approvals is the responsibility of the local public agencies, except for National Environmental Policy Act (NEPA) clearances and approvals [e.g., Programmatic Categorical Exclusion (PCE), Categorical Exclusion (CE), Finding of No Significant Impact (FONSI), or a Record of Decision (ROD)] specifically required by FHWA to be obtained by the MDOT SHA. Environmental documents must be obtained prior to FHWA authorization of final design funds, right of way funds and construction fiends. Permits and other environmental clearances must be obtained prior to submitting PS&E package for advertisement to MDOT SHA. a) LPA must request a NEPA document from the MDOT SHA Environmental Liaison, PCE #1, before initiating any Prelin7inary Design (Preliminary Investigation) activities. b) Generally, the threshold for entering final design is the approval of the NEPA document. c) h'inal Design (Semi -Final, Final, and PS&E) means any design activities following preliminary design that expressly includes the preparation of final construction plans and detailed specifications for the performance of construction work. MDOT SI IA fcdcrnl Aid to Locnl public Agencics d) FHWA can approve some final design activities during preliminary design if those activities do not materially affect the objective consideration of alternatives or have adverse environmental impacts. e) The execution or modification of the project agreement to authorize final design for design -bid -build projects shall not occur until after the NEPA decision. f) Under no circumstances may any construction related work, such as long lead item procurement or early work packages, proceed prior to a NEPA decision. 2. Portions of the environmental documents may be prepared by the LPA, consultant, or the MDOT SHA, as agreed by the project sponsor and the MDOT SHA. All LPA projects must receive environmental approval through the MDOT SHA's Environmental Planning Division (EPLD) as NEPA approval is not delegated to the LPAs. 3. The MDOT SHA, through its Environmental Planning Section, shall coordinate with the LPA and may provide technical assistance in the preparation of environmental documents, where required. As staff resources are available, the MDOT SHA may also provide technical assistance for the preparation of environmental documents during the preliminary engineering phase of project development. The LPA must follow the Environmental Coordination and Documentation Process for Local Government projects. 4. In conformance with the MDOT SHA and/or Federal established procedures, the LPA shall provide the opportunity for, and hold when required, public involvement or hearings for each Federal - aid project. The MDOT SHA shall, if requested and agreed to in the SA, assist in publicizing and conducting hearings. D. Railroads ] . A railroad certification statement is a standard requirement that applies to all Federal -aid projects, even if railroads are not affected by the project. Sub -recipients are responsible for working with the MDOT SHA's Office of Traffic and Safety's Traffic Development and Support Division (DOTS TDSD) to obtain a railroad certification. 2. The Railroad certification statement should include that either no Railroad coordination is required or that all Railroad work has been completed prior to the project or that the necessary arrangements have been made for all Railroad work to be undertaken and iNIDOI' SI IA fcdcrnl Aid to Load Public Agencies G completed as required for proper coordination with physical construction schedules. 3. The LPA shall contact the Railroad Liaison within the OOTS TDSD when a highway -rail crossing is located within the project or within 500 feet outside the project limits to determine if a highway -rail crossing safety improvement is needed as prescribed in Chanter 7 of the Development Guide for LPA and other Sub -Recipients of Federal Funds. 4. The LPA may only include costs allowable under Title 23 CFR Part 140 Subpart 1, and Title 23 Part 646 Subpart B in the total project costs; all other costs associated with railroad work will be at the sole expense of the LPA, or others. The LPA may request the MDOT SHA, in writing and at project expense, provide railroad coordination and negotiations. However, the MDOT SHA is under no obligation to agree to perform said duties. E. Utilities 1. A utility certification is a standard requirement that applies to all Federal -aid projects, even if utilities aren't affected by the project. Sub -recipients are responsible for working with the MDOT SHA's District Utility Liaison to obtain a utility certification. 2. The LPA shall follow the MDOT SHA established Utility Policy and Utility Procedures Manual when impacts occur to privately or publicly -owned utilities. MDOT SHA's Utility Policy, Utility Procedures Manual and applicable forms are available through the MDOT SHA's website at https://www.i-oads.inarylaiid.g—ov/liidex.aspx?Pap,eld=869 or the MDOT SHA's District LPA Liaison as included in Chapter 8 of the Development Guide for LPA and other Sub -Recipients of Federal Funds. 3. The Utility certification should include that either no Utility coordination required or that all Utility work has been completed prior to the project or that the necessary arrangements have been made for all Utility work to be undertaken and completed as required for proper coordination with physical construction schedules. 4. The LPA shall provide copies of all required utility documentation (Agreements, MOUs, Utility Permits, Utility Certification, Utility cost, Utility schedule, etc.) for each utility listed in the Utility Statement of the Invitation for Bids (IFB) to the MDOT SHA's District Utility Liaison. Only those utility relocations, which are eligible for reimbursement under State Law and Title 23 CFR 645 Subpart A and B, shall be included in the total project costs; all other nmo•r SIIA redcnd Aid io Local Public Agencies utility relocations shall be at the sole expense of the LPA, or others. The LPA may send a written request to the MDOT SHA, at LPA expense, to arrange for utility relocations/adjustments lying within the LPA jurisdiction. This request must be submitted no later than; (i) twenty-one (21) weeks prior to bid let date or (ii) the time needed to relocate utilities with physical construction schedules, whichever is longer. However, the MDOT SHA is under no obligation to agree to perform said duties. 5. The LPA shall not perform any utility work on the MDOT SHA highway right of way without first receiving written authorization from the MDOT SHA. F. Rights -of -Way 1. The LPA must select the method of acquisition and reference the specific method in the SA. If any federal fiinding has been utilized during any portion of the project, federal acquisition requirements must be followed regardless if federal funding is used for right-of-way acquisition activities. 2. If the LPA performs right of way acquisition, the following method would apply: The LPA shall provide all necessary rights -of -way, in compliance with the conditions governing acquisition of rights -of -way with Federal participation, as set forth in the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, as amended in 1987, Public Law 91-646, 42 US.C. Sections 4601-4655 and the enforcement regulations at no expense to the MDOT and in accordance with the LPA's Right -of -Way Manual. The LPA shall, prior to acquiring any rights -of -way, prepare a LPA's Right -of -Way Manual approved by the MDOT SHA and the FHWA, or use the MDOT SHA's Manual. 3. If (lie LPA requests the MDOT SHA Office of Real Estate to perform some of the right-of-way services, the applicable part(s) of the following should be used: If the LPA requests, and the MDOT SHA agrees, the MDOT SHA shall provide title, right-of-way plan preparation, right-of-way plat preparation, appraisal, appraisal review, relocation assistance, and negotiation services, at the expense of the LPA. The LPA is responsible for providing all the other services in connection with right-of-way acquisitions at their own expense. 4. If the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, as amended in 1987, and the enforcement regulations to the Act or the Manual, are not complied with, neither the MDOT SHA nor the FHWA will participate in the cost of preliminary and final design engineering, construction, or any other costs of the Project(s). An)oT srrA Federal Aid to Locnl Pu61ie Agencies 8 5. The LPA will coordinate with the MDOT SHA Office of Real Estate for revision of all ROW documentation. The MDOT SHA Office of Real Estate is responsible for issuing a right-of-way certification once all necessary documents are received. For information on the documents needed for submittal, refer to Chapter 6 of the Development Guide for LPAs and Other Sub -Recipients of Federal Funds. G. Advertisement, Bid and Concurrence in Award 1. The LPA shall submit the Plans, Specifications and Estimate (PS&E) package to the MDOT SHA Office of Finance Federal Aid Programming Division for approval to advertise. Refer to Chapter 10 for process guidance and Appendix F for a PS&E checklist in the Development Guide for LPAs and Other Sub -Recipients of Federal Funds. 2, The LPA shall not advertise the project prior to obtaining written approval of Federal funds. The LPA must advertise the project for competitive bidding and shall award the contract to the lowest responsible and responsive bidder. 3. The LPA must advertise all projects using Maryland Department of General Services website: eMaryland Marketplace. 4. The LPA must conduct a public opening of the sealed bid proposals. The LPA will review and evaluate the bid documents to determine the lowest responsive and responsible bid that conforms to the requirements contained in the Invitation for Bids book and design plans. The LPA must submit a formal request for written concurrence of the bid analysis for the MDOT SHA Concurrence in Award (CIA) approval. 5. The MDOT SHA Office of Construction and the Federal Aid Office shall distribute the CIA letter to the LPA. 6. The LPA must contact the MDOT SHA District Assistant District Engineer of Construction (ADE-C) prior to Notice to Proceed. 1V. Construction & Construction Management A. All Project work shall be performed in accordance with plans, estimates, and specifications prepared in accordance with Section 11 and Ill,above, approved inadvance,by the MDOT SHA, if exempt from FHWA oversight, or by the MDOT SHA and FFIWA, if the MDOT SHA's exempt status is not applicable. The LPA shall either perform project work with their own forces in compliance with 23 CFR 635 Subpart B; or advertise, receive bids, and award a contract or contracts for the performance of the work (all Contract Procedures shall comply with the provisions of 23 CFR 635 Subpart A). The LPA forces performing work on a Force Account basis orAgreed Unit Price INuuor STIA Federal Aid to Local Public Agencies WJ shall be acceptable to, and approved in advance, by the MDOT SHA and FHWA. B. The MDOT SHA, the LPA or qualified consultant may perform construction management, if obtained in accordance with 23 CFR Part 172 as described in Section II. C. The LPA shall provide the MDOT SHA with a project and organizational chart including a person in "responsible charge" (RC) of the administration and construction inspection for the project. This person must be a full-time employee of the sub -recipient's agency who is accountable for the project per FHWA Memorandum dated August 4, 2011, that is included in Appendix G of the Development Guide for LPAs and Other Sub -Recipients of Federal Funds. 1. The LPA may hire a consultant to oversee the project; however, the RC must be available to respond to any issues on the project and be informed on the day-to-day activities. 2. The LPA's RC will be the primary contact for the MDOT SHA regarding contract administration issues. The RC is ultimately responsible to ensure the requirements described in this manual are followed and documented as a stipulated condition for receiving the Federal Aid associated with the project. D. The MDOT SHA ADE-C are responsible for construction oversight. The MDOT SHA ADE-C will establish the oversight expectations for each project located within their District. The ADE-C will assign various field managers who will be authorized as the MDOT SHA construction compliance reviewers. These individuals will serve as the MDOT SHA representatives to the subrecipients regarding compliance reviews, technical questions, guidance, and other information during the project. V. Inspection A. The LPA's project is subject to inspections by representatives of the MDOT SHA and of the FHWA. The LPA shall complete the inspection•processes in accordance with the procedure as outlined in Chapter 11 of the MDOT SHA Development Guide for LPAs and Other Sub -Recipients of Federal Funds. B. The LPA and/or consultant employed by LPA must maintain good records, such as measured field quantities for payment; work activities on the Inspectors Daily Reports (IDRs); certifications of material quality; field diaries as a general project record; environmental permits and commitments; and other documentation to show observance with other Federal, State, and local requirements in the contract. AIDOT 5rrA Fedcrul Aid to Local Public Agencies IL C. The LPA must supply adequate construction inspection staff during all construction activities. The RC and/or designated on -site consultant assigned to inspect the project are required to have and maintain proper experience, training, certifications and knowledge throughout the duration of the project to ensure all requirements are met. 1. The number and qualifications of the inspection forces shall be determined in accordance with standards generally applied on other comparable MDOT SHA contracts. 2. The LPA may supply the inspection forces by assigning its own personnel, by utilizing the services of a consultant acceptable to the MDOT SHA under 23 CFR Part 172 as described in Section II, or by utilizing available MDOT SHA personnel. The MDOT SHA, at the request and expense of the LPA, shall provide its construction inspection forces, if available. D. The MDOT SHA District Construction Office, Office of Construction (OOC), OOC Safety Inspectors, OEO Compliance Officer, Office of Environmental Design and/or Highway Hydraulics Division will provide technical support and guidance for compliance documentation. E. The LPA will develop a punch list after the semi-final inspection and track completion of remaining items till closeout. The LPA will schedule a project final inspection meeting/walk through and invite all key project personnel (to include SHA District staff, Program Manager and FHWA Area Engineer). The MDOT SHA ADE-C staff must participate in the project final inspection meeting/walk through and the MDOT SHA must approve project acceptance according to the 2015 Stewardship and Oversight Agreement. The MDOT SHA -District Construction staff is available for technical support or guidance. F. The LPA will send a letter to notify the contractor of the Final Acceptance and the MDOT SHA and FHWA should be carbon copied. A project closeout audit is required by the District Contract Finals personnel prior to processing of final reimbursement and contract closeout. VI. Material Testing A. The LPA must have all materials sampled, tested and inspected to comply with the details published in the specifications at the time of the advertisement award request in accordance with the procedure as outlined in Chapter 11 of the MDOT SHA Development Guide for LPAs and Other Sub -Recipients of Federal Funds. B. The AASHTO certified testing laboratory of the LPA or of the MDOT SHA shall be incorporated in the work only after the materials have been approved and accepted by the MDOT SHA. AIDOT SLrA Federal Aid to Local Public Agencies 1. The LPA must contact the MDOT SHA's Office of Materials "Technology (OMT) prior to executing the project to determine materials testing requirements and associated expenses. 2. The MDOT SHA will provide general requirements and an associated cost estimate to the LPA for concurrence. 3. The MDOT SHA shall accept all materials meeting SHA's Standard Specification for Construction and Materials. The LPAs must follow all current policies, procedures and directives of the MDOT SHA for material testing, clearance and acceptance and in accordance with State Quality Assurance (QA) Processes Manual (hltp:Hroads►naryland,gov/Index.aspx?Pageld=284). C. The LPAs and the MDOT SHA must appoint RC persons for each project. D. The LPA's contractor must submit a Source of Supply (SOS) listing for all items used on the project, which identifies the manufacturer and supplier for each material for the MDOT SHA's OMT review and approval. E. The LPA shall submit regular material clearance reports to OMT. Refer to the Materials Clearance Report and Materials Approval Status Report in Appendix G and Chapter I l of the Development Guide for Local Public Agencies and Other Sub -Recipients of Federal Funds. OMT will issue a Materials Clearance letter when all material issues are resolved. V11. Changes and Additional Work A. The LPA must submit any contract changes to the MDOT SHA Program Manager or RC and the MDOT SHA ADE-C for review and approval. All changes to the project must be accepted and approved in advanced by the MDOT SHA (if Exempt from FHWA oversight) or be acceptable and approved in advance by the MDOT SHA and FHWA (if non -Exempt from FHWA oversight). B. The cost of any change or additional work that has not been approved by the MDOT SHA or by the MDOT SHA and FHWA shall be borne solely by the LPA. C. The LPA will submit a request in accordance with the procedure as outlined in the MDOT S14A Development Guide for LPAs and Other Sub -Recipients of Federal Funds. The MDOT SHA District Office of Construction and Office of Construction's Engineering Support Section will review and provide approval of the package for distribution to the LPA. Vlll. Maintenance of Traffic Operation A. The LPA shall install all necessary traffic control devices. All signs, signals, and markings shall conform do the Maryland's Manual on Uniform Traffic Control Devices for Streets and Highways. The LPA is responsible Fcdcmi Aid to Local public Agencies 12 for the operation and maintenance of all traffic control devices as detailed in Chapter I 1 of the MDOT SHA Development Guide for LPAs and Other Sub -Recipients of Federal Funds, B. The LPA shall ensure the contractor has a designated Traffic Control Manager with current certifications, to be on site anytime the project requires disruption to the normal flow of traffic and perform Traffic Control Quality Assurance inspections as necessary. The LPA shall document daily Maintenance of Traffic set-ups on the IDRs. C. The MDOT SHA District Traffic Office is available for technical support and guidance. IX Maintenance of Project Improvements A. Upon completion of the project, the LPA having jurisdiction will maintain and operate the project at its own cost and expense, and in a manner satisfactory to the MDOT SHA and the FHWA. Where unsatisfactory maintenance has been identified by the MDOT SHA or FHWA and brought to the attention of the LPA in writing, immediate corrective action shall be taken by the LPA at is sole expense. B. If the LPA fails to fulfill its responsibilities under this Section, it shall be disqualified from receiving Federal aid for future projects for which it will have maintenance responsibility. Federal fiends may be withheld from firture LPA projects until the infrastructure is properly functioning, or until deficiencies in regulations have been corrected, or until project improvements have been brought to a condition of maintenance to the satisfaction of the MDOT SHA and FHWA. X. Fund Reimbursement - General A. The amount of funds available for the local bridge program will be determined annually by the MDOT SHA. B. The MDOT SHA federal funds may be used for all phases of a project, including but not limited to, PE (preliminary and final design), right of way, utility relocation, and construction. The funding use shall be consistent with the applicable program requirements, laws and policies of the MDOT SHA and FHWA. The LPA shall be subject to audits for expenditure of the MDOT SHA funds. C. The MDOT SHA and the LPA shall enter into a Supplemental Project Agreement ("SA") to finding reimbursement projects. SAs shall describe the projects and assign specific responsibilities in matters of project financing. The procedure for invoice submittal, review and processing varies based on the LPA; therefore, the details and timefr•ames of each are determined by the project schedule, unless otherwise amended by the parties. MDOT SI IA Federal Aid w Local Public Agencies 13 D. Funding reimbursements shall be requested by the LPA on, at minimum, a quarterly basis and will be paid on a reimbursement basis up to the maximum amount specified in the approved SA. XI. Funding Reimbursements - SHA Services for LPA Project A. If the LPA requests MDOT SHA services (design, material testing, inspection, etc.) a SA shall be entered to document requested services and agreed upon cost for the services. Payment method for all MDOT SHA expenses incurred will be determined in the SA. B. Reimbursement shall cover direct salary costs ofpersonnel assigned to the Project, (which includes the appropriate payroll additives); all non -salary direct costs, including, but not limited to, payments to contractors or consulting engineers, travel, supplies, equipment utilization, plus the prevailing MDOT SHA and general overhead rate as applied to direct costs. C. If for any reason the LPA fails to pay any portion of said Project(s) costs, MDOT SHA is hereby authorized to deduct such costs from the LPA's share of applicable Federal Aid finds and/or MDOT SHA Highway User Revenue. XII. Funding Reimbursements - Eligible Project Costs A. The LPA shall be reimbursed for all eligible Project costs to the extent of the amount stipulated in the approved SA. Reimbursement shall be made through the MDOT SHA on a monthly or quarterly basis. B. The LPA shall bill the MDOT SHA for federal aid project costs incurred in conformity with applicable federal and state laws. Expenditures by the LPA for maintenance, general administration, supervision, and other overhead shall not be eligible for federal participation unless a current indirect cost plan has been prepared in accordance with the regulations outlined in 2 CFR Part 200 - Uniform Admin Requirements, Cost Principles and Audit Requirements for Federal Awards, and retained for audit. C. Final reimbursement shall be made to the LPA upon the acceptance of the Project by the SHA after a satisfactory checklist of the LPA's records has been performed. D. The LPA shall maintain, in readily accessible files, all project records in support of all costs incurred and actual expenditures in accordance with local government accounting procedures prescribed by the Maryland State Auditor's Office, the U.S. Department of Transportation, and the MDOT SHA. The records shall be open to inspection by the State and Federal Government at all reasonable times and shall be retained and made available for such inspection for a period of not less than five years from the financial closure of the project to FHWA. Copies of said records shall be furnished to the State and/or Federal Government upon request. NIU91' SI IA Federal Aid to Local Public Agencies 14 E. The LPA is not prevented from pooling their funds with other LPA or transportation jurisdictions in order to accomplish one or more transportation projects as long as they meet the federal, state and program policies. F. If the LPA makes a written request for the cancellation of a Federal -aid project, the LPA shall bear one hundred (100) percent of all costs as of the date of cancellation. if MDOT SHA was the sole cause of the cancellation, MDOT SHA shall bear one hundred (100) percent of all costs incurred. If it is determined the project was cancelled due to a third party or circumstances beyond the control of MDOT SHA or the LPA, then no further charges may be incurred to the project once work has been terminated. Repayment for completed work will not be required by the LPA. G. The requirements o f MDOT SHA as required in the 2 CFR part 200.501 "Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, issue December 26, 2014, and the Federal Single Act must be followed by those LPA receiving $750,000 or more in Federal finds. The Single Audit Act of 1984, PL 98 502 as amended by PL 104 156, described in "Office of Management and Budget Circular A 133" requires LPA to obtain an audit that includes internal controls and compliance with Federal laws and regulations of all Federally funded programs in which the LPA participates. The cost of this audit can be partially prorated to the Federal program. H. If right of way acquisition, or actual construction of the improvement for which PE is undertaken is not started by the close of the tenth fiscal year, following the fiscal year in which preliminary design phase was authorized, the LPA will repay to the State the sum or sums of federal fiends paid to the LPA under the terms of this agreement per the PE 10-year rule. 1. The LPA stipulates, as a condition to payment of the Federal fiends obligated, it accepts and comply with the provisions set forth in 23 CFR 630.112. These provisions incorporate by reference all other federal laws and regulations pertaining to the project or the activity for which the funds are obligated. Solely for the purposes of emphasis, such applicable provisions include, but are not limited to, the requirements of Appendix A to 2 CFR Part 170-Award terms for Reporting subaward and executive compensation information, and 2 CFR 200, including for those fiends for which such amount will be sub awarded to a sub recipient, 2 CFR 200.331.3 J. Any costs incurred after the Project Agreement -End Date are NOT eligible for federal reimbursement. All eligible costs incurred prior to the Project Agreement End Date must be submitted for reimbursement within 90 days after the Project Agreement End Date or they become ineligible for federal reimbursement. A►no•r sr►A ►'evelal Aid to loco► Public Agencies 15 K. The procedure for invoice submittal, review and processing varies depending on the LPA and finding program; therefore, the details and timefiamcs of each are defined in the SA. Additional general information can be found in the Development Guide for LPAs and Other Sub -Recipients of Federal Funds. XIII. Indemnity The LPA shall save the MDOT SHA and the State of Maryland harmless from all liability adjudged in any law or equity suit for or on account of Project work undertaken by the LPA, and from all liability whatever, either directly or indirectly related to that work. XIV. Nondiscrimination All parties to this MOU shall comply with the requirements of APPENDIX A through APPENDIX E of SHA's Standard Title VI/Non-Discrimination Assurances DOT Order No. 1050.2A which generally set forth non-discriminatory regulations and other civil rights related regulations. APPENDIX A through APPENDIX E are attached hereto and incorporated herein as substantive parts of this document. XV. General A. This MOU supersedes the previous Federal -Aid AGREEMENT between parties dated August I, 1978. B. This MOU shall inure to and be binding upon the parties and their successors and assigns. C. This MOU does not and is not intended to create any rights or benefits for any third party. No third party shall have any legally enforceable rights or benefits under this MOU. D. Any amendment to the MOU must first be approved in writing by all the parties signing the MOU, subject to any additional approval required by Maryland law. E. This MOU shall be construed, interpreted, and enforced according to the laws of the State of Maryland and in Maryland courts. F. The parties hereby warrant and affirm that the persons executing this MOU are authorized and empowered to act on behalf of their respective party. G. The WHEREAS clauses are incorporated herein as a substantive pail of this MOU. H. Contacts: For the LPA: Contact Position, Agency County \IDOT SIIA Federal Aid to local Public Agencies 16 Address Phone Email For MDOT SHA: William J. Bertrand Director, Office of Finance MDOT SHA 707 N. Calvert Street, MS C-505 Baltimore, MD 21202 Phone: 410-545-5530 Email: bbertrand@sha.state.md.us with a copy to: Agreements Division MDOT SHA Office of Procurement and Contract Management 707 N. Calvert Street, MS C-405 Baltimore, MD 21202 Phone: 410-545-5547 Fax: 410-209-5025 Email: SHAAgLeeiiieiitsTeai-n@sha.state.md.us NIDOTSIIA Federal Aid to Local Public Agencies 17 IN WITNESS WHEREOF, the parties hereto have caused this MOU to be executed by their respective duly authorized officers. MARYLAND DEPARTMENT OF TRANSPORTATION STATE HIGHWAY ADMINISTRATION BY: (SEAL) WITNESS Gregory Slater Date Administrator APPROVED AS TO FORM AND RECOMMENDED FOR APPROVAL LEGAL SUFFICIENCY: Assistant Attorney General Tim Smith, P.E. Deputy Administrator/Chief Engineer for Operations Jason A. Ridgway, P.E. Deputy Administrator/Chief Engineer for Planning, Engineering, Real Estate, and Environment Lisa B. Conners Deputy Administrator for Administration William J. Bertrand Director Office of Finance NInOT SIIA rcderal Aid to Locnl Public Agencies 18 ATTEST: Krista L. Hart Clerk .BOARD OF COUNTY COMMISSIONERS OF WASHINGTON COUNTY, MARYLAND BY: (SEAL) Terry L. Baker, President Date RECOMMENDED FOR APPROVAL: Scott Hobbs, P.E. Director of Engineering APPROVED AS TO FORM AND CONTENT FOR EXECUTION BY THE COUNTY: Kirk C. Downey Deputy County Attorney <]nsert DOT Order No. 1050.2A as provided by Pl-1WA) MDOT snA Federal Aid to Local Public Agencies 20 Open Session Item SUBJECT: Enhanced Nutrient Removal @ Washington County’s WwTP PRESENTATION DATE: October 30, 2018 PRESENTATION BY: Mark D Bradshaw, P.E., Deputy Director, Engineering Services Water Quality RECOMMENDED MOTION: Approve Change Order for Buchart-Horn, Inc. in the amount of $140,126.00. REPORT-IN-BRIEF: Buchart Horn, Inc’s contract for project management and inspection services for the Conococheague WwTP was for eighteen (18) months. Due to the construction duration being extended by four (4) months, Buchart Horn is requesting an additional four (4) months of project management and inspection services be added to their contract. For a breakdown of the hours associated with this work please refer to Buchart Horn’s letter dated September 24, 2018. Increase contract amount by $140,126.00. DISCUSSION: N/A FISCAL IMPACT: The project has funds available to pay for this change order. CONCURRENCES: Dan Divito, Director, Division of Environmental Management ALTERNATIVES: N/A ATTACHMENTS: Change Order #14 and Buchart-Horn’s letters dated 9/24/18. AUDIO/VISUAL NEEDS: N/A Board of County Commissioners of Washington County, Maryland Agenda Report Form Enhanced Nutrient Removal @ Washington County's WwTP Add an additional four (4) months of project management services to the contract. TO: Consultant: Contractor: Vendor: BOARD OF COUNTY COMMISSIONERS OF WASHINGTON COUNTY MARYLAND 100 WEST WASHINGTON STREET, HAGERSTOWN, MARYLAND 21740-4735 CHANGE ORDER Change Order No. Contract No. Purchase Order No. Oracle Account No. Project Title: Date: Oct 5, 2018 The contract time will: increase decrease remain the same by: 120 calendar days working days Description of Change: Reason for Change: The completion date, incorporating the changes included in this change order, is: July 2018 The original contract sum was: $3,638,300.00 Net changes by previous change orders: $417,300.26 Contract sum prior to this change order: $4,055,600.26 By this Change Order, the contract sum will be changed by: $140,126.00 The new contract sum including this change order will be: $4,195,726.26 The Consultant/Contractor/Vendor shall not commence with the work described hereon until this form is executed by all agents. Digitally signed by Jeffrey S Culton Date: 2018.10.08 15:36:15 -04'00' Finance: Contractor/Vendor: Purchasing: Digitally signed by Mark D Mark D Bradshaw Bradshaw Date: 2018.10.09 09:17:15 -04'00' County Administrator: Outside County Entities: Please email the signed form to ChangeOrder@washco-md.net. Buchart Horn was under contract to provide construction services for a period of eighteen (18) months which corresponded to the construction contract but the construction contract was extended through change order by four (4) months. Buchart Horn provided construction services during this period, thus they are requesting an additional four (4) months of project management services be added to the contract. Buchart Horn is giving the County a credit of $3,100.00 for a design issues associated with HRI's change order #5. For more detailed information please refer to Buchart Horn's letter dated September 24, 2018. Increase contract amount by $140,126.00. Buchart Horn, Inc PO Box 15040 York, PA 17405 WASHCO 23792 PUR - 977 515000-32-42010-TRP018-INSP00000 $UCHART HORN ENGINEERS - ARCHITECTS - PLANNERS September 24, 2018 Mark D. Bradshaw, P.E. Deputy Director Washington County Department Of Water Quality Public Works Annex 16232 Elliott Parkway Williamsport MD 21795-4083 Reference: Conococheague BNR Upgrade Construction Inspection Services BH No. 76436-02 Dear Mr. Bradshaw: As a follow-up to our recent meeting and conversations, Buchart Horn is requesting to supplement our Fee Proposal for the Conococheague BNR Upgrade Project. Due to the complexity of the design the construction period schedule has continued to be delayed. Our original contract included a construction period of one year for the Conococheague Upgrade and that schedule was subsequently updated to extend the completion date an additional six months, or March 20, 2018. Buchart Horn, Inc. has continued to provide construction phase services, that includes Project Administration and a Resident Representative beyond this projected completion date. Resident representative services were provided through July 2018 and ongoing contract administration services will continue through project close out, which is anticipated to extend to the end of August into September. The following is a breakdown of the additional fee requested with estimated hours and rates by pay grade. Title Hours Hourly Rate Fee Project Manager 384 hrs. $134 $ 51,456 Inspector 890 hrs. $ 99 $ 87,120 Administrative Secretary 93 hrs. $ 50 4,650 $143, 266 The Russell E Horn Building - 445 West Philadelphia Street - PO Box 15040 - York, PA 17405-7040 T: (717) 852-1400 - F: (717) 852-1401 - www.bucharthorn.com J:\PROJ\76436-02\CORRESP\Itr Inspection Services 9-24-18 docx August 21, 2018 Page 2 of 2 Please note that the Project Manager grade includes hours for both myself and Matt Todaro. We are also in receipt of your most recent request related to Contract Change Order No. 5. In an effort to resolve this matter, BH is willing to adjust this supplement request in the amount of $3,100. Considering the adjustment, the requested supplement for these additional services would be reduced to $140,126. If you do have any questions regarding this request please let us know. We enjoy working with Washington County and look forward to continue to work with you toward the completion of this project. Regards, BUCHART HORN, INC. Jeffrey S. Culton, P.E. Project Manager www bucharthorn.com J:\PROJ\76436-02\CORRESP\Itr Inspection Services 9-24-18.docx Open Session Item SUBJECT: Pretrial Services Program Grant – Approval to Accept Awarded Funding PRESENTATION DATE: October 30, 2018 PRESENTATION BY: Stephanie Lapole, Senior Grant Manager, Office of Grant Management and Major Craig Rowe, Washington County Sheriff’s Office RECOMMENDED MOTION: Move to approve the acceptance of the award from Governor’s Office of Crime Control and Prevention in the amount of $125,386. REPORT-IN-BRIEF: The awarded funding will be utilized primarily to fund a Classification Officer position to run the Pretrial Service activities at the Detention Center. Additional funding will be utilized to lease GPS monitoring and alcohol testing equipment as well as the purchase of drug testing equipment for those placed in the program. With at least thirty-five participants on Pretrial supervision, the Detention Center will reduce food cost by $58,943.85 and medical expense by $17,501.75. The Pretrial Supervision fee will be $35 per week for a total of $63,700 in revenue. DISCUSSION: The Office of Grant Management has reviewed the grant funding guidelines. Matching funds or in-kind support is not required and there are no unusual conditions or requirements associated with the grant. FISCAL IMPACT: The combination of reduced fees and revenue will provide $140,145.60 to sustain the program. CONCURRENCES: Susan Buchanan, Director, Office of Grant Management ALTERNATIVES: Deny acceptance of the award ATTACHMENTS: N/A AUDIO/VISUAL NEEDS: N/A Board of County Commissioners of Washington County, Maryland Agenda Report Form Open Session Item SUBJECT: Presentation of Farm of the Year 2018-2019 PRESENTATION DATE: October 30, 2018 PRESENTATION BY: Leslie Hart, Agricultural Business Specialist, Department of Business Development, Susan Small, Director, Department of Business Development, and Dan Norris, Owner, Don Spickler Insurance and President, AG Marketing Advisory Committee RECOMMENDED MOTION: N/A REPORT-IN-BRIEF: The 2018-2019 Farm of the Year has been selected. Members from the Farm of the Year will be in attendance at the Board of County Commissioners (BOCC) meeting. Presentation of plaque and certificate to the owners by BOCC. DISCUSSION: N/A FISCAL IMPACT: N/A CONCURRENCES: Susan Small, Director, Department of Business Development ALTERNATIVES: N/A ATTACHMENTS: N/A AUDIO/VISUAL NEEDS: Photo will be taken with Farm of the Year and BOCC. Leslie Hart will bring Proclamation and outdoor Plaque Board of County Commissioners of Washington County, Maryland Agenda Report Form