Commission Board Meeting on Wed, April 4, 2012 - 6:00 PM

Amended Agenda 04-04-12

WEDNESDAY, APRIL 4, 2012
6:00 p.m.
-Executive Session Executive Session for the purpose of consultation with County Counselor on matters, which would be deemed, privileged under the attorney-client relationship. The justification is to maintain attorney client privilege on a matter involving Douglas County.

6:35 p.m.
-Convene

CONSENT AGENDA
(1) (a) Consider approval of Commission Orders;
(b) Consider approval of two resolutions establishing (1) a 25-mph speed limit, and (2) a 5-ton commercial weigh limit on E 1750 Road from the north Baldwin City limits to Route 12 (N 400 Road).(Keith Browning);
(c) Receive 2011 County Engineer's Annual Report (Keith Browning); and
(d) Consider acquisitions of right-of-way for culvert replacement, 17.50N-7.53E (Michael Kelly)

REGULAR AGENDA
(2) Receive and adopt the US-40 & K-10 Area Transportation Plan. (Jason Hoskinson, BG Consultants)

(3) Consider awarding a construction contract to the low responsible bidder for Project No. 2010-20, Route 1055 (6th Street) reconstruction from US-56 highway to Route 12 in Baldwin City (Keith Browning)

(4) Discussion on proposed Bond refinancing (Sarah Plinsky)

(5) Accept proposal from Humana for stop loss health insurance coverage (Sarah Plinsky)

(6) Presentation on health insurance updates (Sarah Plinsky)

(7) Other Business
(a) Consider approval of Accounts Payable (if necessary)
(b) Appointments:
-Lawrence-Douglas County Metropolitan Planning Commission - 05/12
-Property Crimes Compensation Board - 04/12
-Heritage Conservation Council (2) Positions - 05/12
(c) Public Comment
(d) Miscellaneous

(8) Adjourn

  
Gaughan called the regular meeting to order at 6:00 p.m. on Wednesday, April 4, 2012 with all members present. 

EXECUTIVE SESSION
At 6:00 p.m., Gaughan moved for the Board to recess to executive session for 30 minutes (until 6:30 p.m.) for the purpose of consultation with the County Counselor on a matter which would be deemed privileged under the attorney-client relationship. The justification is to maintain attorney client privilege on a matter involving Douglas County. Attendees included Evan Ice, County Counselor; Craig Weinaug, County Administrator; and Sarah Plinsky, Assistant County Administrator. Motion was seconded by Thellman and carried 3-0.

The Board returned to regular session 6:30 p.m. No action was taken. The Board took a five minutes recess.

The Board reconvened at 6:35 p.m.

CONSENT AGENDA 04-04-12
Flory moved approval of the following Consent Agenda for items:

► Authorized Commission Order No. 12-016 (on file in the office of the Clerk);
► Resolution 12-08 establishing a 25 miles per hour maximum speed limit on a portion of e 1750 Road in Palmyra Township;
► Resolution 12-09 establishing a 5 ton weight limit for commercial vehicles on portions of E 1750 road in Palmyra Township;
► Received 2011 County Engineer's Annual Report submitted to KDOT; and
► Contract for Highway Purposes for Drainage structure N. 17.50N - 7.53E, Project No. 1750075 3 with Curtis W. and Erin l. Morgan, 754 N 1750 Road, Tract No. 1; and Gary E. and Terrie L. Price, 763 N1750 Road; Tract No. 2.

Motion was seconded by Thellman and carried 3-0.

PUBLIC COMMENT 04-04-12
Dean Banks, Banks Construction, spoke to the Board regarding his attendance at a meeting on March 20, 2012 with Rural Water District (RWD) No. 6 to review the award of a contract for the waterline project bids for the Berry Plastics project. Banks stated his company had the lowest bid and was told by Bartlett and West Engineering firm that his company was awarded the bid. He was later informed the Board of County Commissioners approved the next to lowest bid due to negative comments received from references. Banks said the information the County received was not true.

Flory stated that at a prior meeting the County Commission had recommended RWD No. 6 accept the bid of M-Con, LLC, but the Commission had acknowledged that the water district would ultimately make a decision in a subsequent special meeting. If the water district chose to accept the lowest bid, the County would accept it. Flory stated the position of the Commission at that meeting and tonight remained the same and was appropriate decision based on the information the Commission had. If the water district decided to contract with the low bid, the County would support it. That continues to be the County Commission's position.

PLANNING/TRANSPORTATION 04-04-12
Jason Hoskinson, BG Consultants, presented the Board with a transportation plan for US-40 (6th Street)/K-10 interchange area developed by KDOT with input from the City and County. The purpose of the plan is to serve as a framework for potential highway enhancements, identification and preservations of right-of-way that may be necessary to accommodate projected enhancements, access management objectives for the highway and for the inter-facing local network, and inter-connectivity of local street and road networks with the highway. The study area includes the US-40 corridor from E800 Road to George Williams Way, a length of 1.5 miles. The width of the corridor is approximately one-half mile with the side of the highway's centerline. Todd Girdler, Transportation planner, was present for the discussion.

Hoskinson stated the improvements are consistent with the Area Plan. Items discussed included possible improvements to the interchange, options to get bikes and pedestrians across K-10 by either widening the path on the bridge or building a separate pedestrian bridge.

KDOT will soon prepare an Implementation Agreement for each partner to approve. No action was taken.

PUBLIC WORKS 04-04-12
The Board considered awarding a construction contract to the low responsible bidder for Project No. 2010-20, Route 1055 (6th Street) reconstruction from US-56 highway to Route 12 in Baldwin City. Keith Browning, Director of Public Works, presented the item.

The County received four bids for the project as follows:

                            Total Base Bid      Bid Alternate         Bid Alternate                        

Bidder                   Sections 1 & 2      Section 1               Section 2               Total      

RD Johnson        $2,461,425.69      $82,062.50           $7,511.80              $2,550,999.99

King's Const       $2,499,156.40      $104,306.00         $9,100.00              $2,612,562.40

Hamm                   $2,614,846.07      $90,174.70           $8,125.15              $2,713,145.92

Killough                 $2,724,457.27      $77,251.78           $7,466.84              $2,809,175.89

Engrs Est               $3,376,259.50      $117,815.00         $9,780.00              $3,503,854.50

 
RD Johnson was the low bid. Section 2 referenced above is the US-56/Route 1055 intersection. Construction costs for this section will be reimbursed 100% by KDOT. Section 1 is the rest of the project for which Douglas County and Baldwin City are sharing all costs (except sidewalks) 50/50. Baldwin City is responsible for all sidewalk costs. Bid alternates are for the construction of a 10'-wide multi-use path in lieu of a 5'-wide sidewalk on the east side of the road. The bid alternate cost for Section 1 will be the responsibility of Baldwin City.

Gaughan opened the item for Public comment. No comment was received.

Flory moved to award the contract to low bidder, RD Johnson, for a total base bid of $2,550,999.99 including bid alternates, and authorized the Public Works Director to approve change orders up to 5%. Motion was seconded by Thellman and carried 3-0.   

BONDS/ADMINISTRATIVE SERVICES 04-04-12
Greg Vahrenberg, Piper Jaffrey, made a presentation to the Board on the opportunity for the County to capture a savings through the refinancing of a portion of outstanding General Obligation Bonds which were issued to finance certain county projects.

The County currently has several outstanding bond issues which may be candidates for refinancing, recommendations are as follows:

The possible savings to the County today is estimated at $760,537.00, a net amount including all costs and having a combined average interest at 4.2%. The estimated combined average interest rate on any new General Obligation Refunding Bonds would be approximately 1.5%, which represents a reduction in the interest rate for the County of 2.7%.

Gaughan opened the item for public comment. No comment was received.

It was the consensus of the Board for staff to draft a resolution to move forward with the refinancing of the County's General Obligation Bonds and to bring back to the Commission for approval at the next meeting.

STOP LOSS INSURANCE/ADMINISTRATIVE SERVICES 04-04-12
The Board considered the acceptance of a proposal for stop-loss health insurance coverage from Humana. Sarah Plinsky, Assistant County Administrator, presented the item.
 
Each year, requests for proposals for reinsurance coverage are solicited from various companies. This year the County received quotes from four companies. There was a wide variety of difference between the quotes from a 27.69% increase to an 8.68% decrease from our current rate. Our current carrier is ING and they initially submitted a quote with a 17.95% increase. In an unusual move, ING revised their quote. The revised quote from ING is below, as well as the quote from the low bidder. 

The reduction from our current rate is significant enough that it is worth considering a move. While it is likely that Humana would increase our rate in a future year, the advantage of the discount this year put us ahead. The industry has been seeing 10-12% increases a year on this coverage.  

Gaughan opened the item for public comment. No comment was received.

Gaughan moved to approve the stop-loss insurance bid from Humana as the low bidder and authorize staff to complete the contract. Motion was seconded by Flory and carried 3-0.

EMPLOYEE HEALTH BENEFITS/ADMINISTRATIVE SERVICES/ 04-04-12
Sarah Plinsky, Assistant County Administrator, made a presentation to the Board on health insurance plan updates as recommended by the Health Insurance Committee. 

The early renewal projections for health insurance for the 2012-2013 Plan Year showed an approximate 10% increase. The updated renewal projection increase has been decreased because of: 1) a favorable stop loss coverage proposal from Humana; 2) the addition of the passive Delta Dental network, and 3) an additional month of claims data. The committee evaluated options for financing the revised 6.9% renewal projection increase and recommended a combination of plan benefit changes and premium equivalent rate increases. 

Gaughan asked that staff provide to him a historical plan cost percentage the employer has paid over the years by email.

It was the consensus of the Board for staff to bring back a proposal to the Board for the April 11, 2012 meeting at 4:00 p.m.

ACCOUNTS PAYABLE 04-04-12
Gaughan moved to approve accounts payable in the amount of $231,664.64 to be paid on 04/05/12. Motion was seconded by Flory and carried 3-0.

Gaughan moved to adjourn the meeting; Thellman seconded and the motion carried 3-0. 

____________________________  ____________________________
 Mike Gaughan, Chair                           Nancy Thellman, Vice-Chair

ATTEST:

 ____________________________  _____________________________  
Jamie Shew, County Clerk                       Jim Flory, Member