***Monday, January 13, 2014, Commissioners met in regular session with Chairman Dan Dinning, Commissioner LeAlan Pinkerton, Commissioner Walt Kirby, Clerk Glenda Poston, and Deputy Clerk Michelle Rohrwasser.

Commissioners gave the opening invocation and said the Pledge of Allegiance.

9:00 a.m., Road and Bridge Superintendent Jeff Gutshall joined the meeting to give the departmental report. Mr. Gutshall presented a written report. Mr. Gutshall said there is no damage to roads as it has stayed frozen. Mr. Gutshall briefly mentioned hearing comments pertaining to water runoff from a county road, but any drainage work that is going on has mainly been on the increased side and he doesn’t change the drainage pattern.

Mr. Gutshall said two drains have been constructed by the golf course near where the jersey walls had been placed and now another drain was dug last week so it has a free flow. Nystrom Hill had an issue as a result of the storm, according to Mr. Gutshall. The pitch of this road is steep and the driveways come off at an angle. There are culverts on this hill, but it doesn’t address the runoff that comes out of the driveways so that needs to be addressed. Mr. Gutshall spoke of working on guardrail repairs on several bridges.

Next Boundary Area Transportation Team (BATT) meeting will be on the 29^th of this month. Dan Coonce with Local Highway Technical Assistance Council (LHTAC) will review consultant proposals for the proposed Trout Creek Bridge project. Mr. Gutshall spoke of working with various engineering firms.    

Mr. Gutshall said Boundary is eligible to submit a bridge application this year. There are three small bridges on Ruby Creek Road that qualify for this program. The bridge #2 has a sufficiency rating low enough to qualify for replacement. This particular bridge is a 39 year old homemade bridge and the other two bridges are similar. Mr. Gutshall spoke of the work that had been done to widen Ruby Creek Road. Ruby Creek Road is currently a one lane road for one half mile so it would be a good project to improve the bridge. Two of the bridges serve the residents beyond NW Academy. Mr. Gutshall said the cost for replacement is listed $250,000, but Mr. Gutshall said it wouldn’t cost that much if the improvement is done the way he wants. Mr. Gutshall mentioned wanting to include a modular retaining wall. Mr. Gutshall further discussed his proposed plan for one of the bridges. If this bridge project is approved, the county would receive notice sometime this fall, but construction wouldn’t occur before year 2016 so it would possibly be during year 2017.

Commissioner Pinkerton moved to authorize the Chairman to sign the 2014 Highway Bridge Program for Ruby Creek Bridge #2. Commissioner Kirby second. Motion passed unanimously.

Mr. Gutshall left the meeting at 9:30 a.m.  

9:30 a.m., Courthouse Maintenance Jerry Kothe joined the meeting to give his departmental report. Mr. Kothe said he met with Boundary Volunteer Ambulance President Ken Baker and Mike Smith, who owns Cool-It, about the furnace issue. Mr. Kothe said he is not yet sure if someone has spoken to the Fire Marshal about this. There are oxygen tanks stored in the ambulance barn and that may be the main concern, but the tanks are upright and secured. If those 80% furnaces will work with combustibles, it’s a matter of relocating duct work and some work to the gas lines as they weren’t installed properly. If the county can use a 90% furnace, the system will be legal as those furnaces suck air in. Chairman Dinning asked if the existing furnaces can be adjusted.

Mr. Kothe resumed reviewing his department report to include running the water pump all weekend, plowing snow and applying salt. Mr. Kothe spoke of plowing around Memorial Hall and the fairgrounds. This area was also checked this morning and most of the ice and snow is melting. Mr. Kothe said other than that he has checked the tractor to make sure everything is tight and hauled Clerk’s Office records from the vault basement. Everything looks good as far as water and damage, according to Mr. Kothe.

Mr. Kothe said he did review his existing job description since he is retiring soon and he didn’t see much that needed changing. Commissioners asked for a copy of Mr. Kothe’s job description.

Mr. Kothe left the meeting at 9:40 a.m.

Deputy Clerk Nancy Ryals joined the meeting at 9:40 a.m.

Commissioner Kirby moved to go into closed session under Idaho Code #31-874. Commissioner Pinkerton second. Motion passed unanimously. 9:48 a.m., Commissioner Kirby moved to go out of closed session. Commissioner Pinkerton second. Motion passed unanimously.

Commissioner Pinkerton moved to reschedule the appeal hearing for indigent application #2014-1 for March 24, 2014 at 10:00 a.m. Commissioner Kirby second. Motion passed unanimously.

Commissioner Pinkerton moved to write off indigent account #2009-34 in the amount of $9,721.00 and indigent account #2009-37 in the amount of $1,350.00 as the obligated person is deceased and there is no estate. Commissioner Kirby second. Motion passed unanimously. 

Commissioner Pinkerton moved to deny indigent applications #2014-11 and #2014-9 as per the Clerk’s recommendation. Commissioner Kirby second. Motion passed unanimously.

Deputy Clerk Ryals left the meeting at 9:50 a.m.

Boundary Volunteer Ambulance (BVA) President Ken Baker joined the meeting at 9:58 a.m.

10:00 a.m., Commissioner Kirby moved to recess as the Boundary County Board of Commissioners and convene as the Governing Board of the Boundary County Ambulance Service District. Commissioner Pinkerton second. Motion passed unanimously.  

Commissioner Kirby moved to approve the minutes of December 16, 2013. Commissioner Pinkerton second. Motion passed unanimously.

10:03 a.m., Commissioner Kirby moved to adjourn as the Governing Board of the Boundary County Ambulance Service District and reconvene as the Boundary County Board of Commissioners. Commissioner Pinkerton second. Motion passed unanimously.

Mr. Baker informed Commissioners that BVA had 840 calls last year. Commissioner Pinkerton asked Mr. Baker how close BVA is to getting a paramedic. Mr. Baker said BVA is working on a contract for a paramedic right now. BVA is also close to getting a contract with the City of Bonners Ferry for housing as currently there is no place to house a full time responder.

Mr. Baker left the meeting at 10:05 a.m.

Commissioner Pinkerton moved to adopt Resolution 2014-10. A resolution authorizing the sale of surplus county property at public auction. Commissioner Kirby second. Motion passed unanimously. Resolution 2014-10 reads as follows:

RESOLUTION NO. 2014-10

A Resolution Authorizing the Sale of Surplus County Property at Public Auction

               WHEREAS, Boundary County owns surplus personal property, which is not being used by the County and for which the County is presently obliged to provide storage space, and which the various department heads and the Board of Boundary County Commissioners have determined is not necessary for the County’s use; and

               WHEREAS, the Board of Boundary County Commissioners are authorized under Idaho Code Section 31-808 to sell or offer for sale at public auction, after not less than ten days’ previous notice given by publication in a newspaper of the county, any property, real or personal, belonging to the County but not necessary for its use; and

               WHEREAS, the Board of Boundary County Commissioners believes it is in the best interest of the County that the surplus property described as in “Attachment A” be sold and therefore desire to sell the property so described at public auction as provided in Idaho Code Section 31-808.

               NOW, THEREFORE, upon motion duly made, seconded and unanimously carried, it is

RESOLVED that, after publication of notice in the Bonners Ferry Herald in the manner and for the time required by Idaho Code, the personal property of Boundary County described as in “Attachment A” be offered for sale at public auction at a date and time determined by Boundary County Commissioners at the Boundary County Maintenance Shop located on the south side of the Boundary County Annex/Extension Office Building.

               DATED this 13^th day of January, 2014.

                                                                                          COUNTY OF BOUNDARY

                                                                                          BOARD OF COUNTY COMMISSIONERS

                                                                                          s/_____________________________                             

                                                                                          Dan R. Dinning, Chairman

                                                                                          s/______________________________    

                                                                                          LeAlan L. Pinkerton, Commissioner

                                                                                          s/______________________________         

                                                                                          Walt Kirby, Commissioner

ATTEST:

Glenda Poston

Clerk of the Board of County Commissioners

By s/_________________________________

 Recorded as instrument #259815

Clerk’s Note: A complete list of surplus items can be found with the original resolution located in the Clerk’s office vault.

Commissioners discussed a lease the county has with Mike and Trevelyn Sheppard for a small piece of property used for advertising the Porthill Mercantile and Bistro.

Commissioner Pinkerton moved to renew the lease with Mike and Trevelyn Sheppard for property in Porthill for the purpose of advertising for the Porthill Mercantile and Bistro. Commissioner Kirby second. Motion passed unanimously.  

Commissioners addressed a request for an extension for 2013 property taxes.     

Commissioner Pinkerton moved to grant an extension of time to pay taxes for year 2013 for parcel #MH61N02E04391BA as follows: the first half of year 2013 taxes are to be paid now and the second half of year 2013 taxes are to be paid no later than June 20, 2014. Commissioner Kirby second. Motion passed unanimously. 

Those present discussed custodial and maintenance duties.

Commissioners reviewed claims for payment. Fund totals are as follows:

Current Expense                                    $48,543.76

Road & Bridge                                       67,898.21

Airport                                                     4,492.80

District Court                                         13,896.71

Fair, County                                            39,140.00

Justice Fund                                            43,842.62

911 Funds                                                  3,768.11

Health District                                         26,664.50

Indigent & Charity                                   15,129.15

Parks and Recreation                                   955.84

Revaluation                                                  435.67

Solid Waste                                             10,938.22

Tort                                                         98,538.03

Veterans Memorial                                       351.18

Weeds                                                       1,080.41

Restorium                                                25,427.78

Waterways                                                   286.19

Grant, Airport                                       218,711.00

Grant, Fire Mitigation                             13,684.38

                          TOTAL                    $633,784.56

Trusts

Auditor’s Trust                                             161.88

Beverage License Trust                                  20.00

Drivers License                                         5,034.00

Magistrate Trust                                      44,877.00

Indigent Reimbursements                          8,390.61

Motor Vehicle Trust                                94,290.56

Sheriff’s Fund                                                78.30

                        TOTAL                      $152,852.35

                        GRAND TOTAL      $786,636.91

Citizens are invited to inspect detailed records on file in the Courthouse (individual claims & Commissioners’ allowance & warrant register record 2013-2014).

Commissioners tended to administrative duties.

10:50 a.m., Boundary County Emergency Services Incident Commander Bob Graham joined the meeting to discuss proposed changes to Public Law 84-99 for assistance on levees and dikes. Over the last month the home office of the US Army Corps of Engineers sent out pre-proposals on changing their response to levees that are in danger or in trouble, according to Mr. Graham. There are only a couple miles within the City of Bonners Ferry that are eligible. Mr. Graham said there are three areas that still do not qualify for assistance and they are the Kootenai River Inn and Casino, the levee across the river on the north side, and one by the Search and Rescue/Waterways building. So far this information has not drifted down to the counties, except for the City of Coeur d’ Alene.  The City of Coeur d’ Alene representatives had attended a meeting with the Corps’ officials a month ago and just two days prior to that meeting the Corps’ officials received their third change for repairs of levees and dikes. Mr. Graham said the Corps is not working on the north fork of the Coeur d’ Alene River. This area was way over built and it has lots of trees and Coeur d’ Alene was looking for a variance, but things have changed. Mr. Graham said Boundary County should be receiving a letter in the next month after the Seattle Corps of Engineer Office receives guidance from the main Washington D.C. office as to what the change means. The Seattle office doesn’t know what the three notifications mean to changing management of levees. Mr. Graham said everything is in limbo now and as far as the county is concerned nothing has changed, but when the county receives the letter the county is no longer eligible for repairs.

Mr. Graham said the county is still eligible for using the Corps’ flood fighting capabilities and personnel if there is a current flooding problem and that is when an emergency is declared. The instance involving the work done in Copeland last year when the county had to cost share will probably worsen, according to Mr. Graham. If the Corps come to Boundary County to flood fighting, they will assist at no charge, but last year the county had to share the expense and that will get worse so that needs to be kept in mind. If that happens we need to convince the Corps’ Colonel that we have enough infrastructure that is threatened, according to Mr. Graham. The Corps provided, furnished and delivered rock, but the county placed the rock and only had to pay for the mechanics who placed rock on the dike.

Mr. Graham said last week was the final week of the federal employees’ use it or lose it annual leave so very few of the higher echelon were in the office last week. The Corps will keep the county posted, but we may go through spring in limbo or on a case by case basis, according to Mr. Graham. Repairs may be more touchy a far as cost share.

Chairman Dinning said he asked Bob Olson to inform the dike districts to build up their cash if they could. Chairman Dinning said he’s also been working with Beth Reinhardt with the Corps and we have almost gotten to the end of a process that is closed. There is a slopes document that will allow the Corps five or six projects each year to work on that can be excluded from having to go through the full National Environmental Policy Act (NEPA) process, and when this plan is completed Chairman Dinning said he would schedule a meeting with local farmers to talk about it.

Chairman Dinning said for clarification that this is a policy change and Mr. Graham agreed and added that there doesn’t have to be public input. Mr. Graham said if the dike districts came up with projects that were not too large, that would be a good move. Reinforcement for some of those levees up north would be good. Chairman Dinning said Mr. Olson made application to Ms. Reinhardt with the Corps and sent her pictures of the rock that had been placed in that area during prior work. Prior levee work has to be shown and then it exempts that levee from the NEPA process and Ms. Reinhardt has approved that.

The meeting with Mr. Graham ended at 11:15 a.m. 

Commissioners tended to administrative duties.  

Commissioner Pinkerton moved to grant an extension of time to pay year 2013 taxes for parcel #MH002700020310a as follows: payments of $50.00 per month will be made on the fifth of every month beginning February 5, 2014 until paid in full. Commissioner Kirby second. Motion passed unanimously. 

Commissioners recessed for lunch at 11:50 a.m.

4:15 p.m., Commissioners met for the afternoon session with Chairman Dinning, Commissioner Pinkerton, Commissioner Kirby, Clerk Poston, and Deputy Clerk Rohrwasser.

Blue Sky Broadcasting Reporter Mike Brown, Airport Board members Jay Wages and Bob Blanford, Airport Manager Dave Parker, property owners Don Stolley and Robin Merrifield, J-U-B Engineer Brad Niemeyer, and County Civil Attorney Tevis Hull joined the meeting.

Attorney Hull informed those present that he met with Ms. Merrifield and Ms. Stolley late last week to provide them with an update on information as provided by Mr. Niemeyer. Moving expenses totaling $10,800 has been confirmed by Gary Gates of the Federal Aviation Administration (FAA), but it is not payable until all personal property is removed from the Merrifield property the county wishes to purchase. Attorney Hull reviewed breakdown of costs. It was stated that $84,000 is left to complete the Merrifield’s purchase of the Stolley property. Of the figures presented to Commissioners $8,400 is the amount the transaction is short to close.

Attorney Hull addressed the contract between the county and Merrifields. The contract is a little more than $207,000. The replacement cost of the house is $64,000 and that has already been approved by the FAA. What is problematic in the money flow is that the appraisal on the Merrifield’s current home is only $190,000. The purchase is the difference $207,000 and $190,000 which is $17,000. All the cash the Merrifields would get at closing will go to escrow, according to Attorney Hull. The amount of $10,800 has been approved for moving expenses after the Merrifields move their personal property and after the funds have been applied for. Two factors outstanding are interest differential between the Merrifield’s purchase property and x amount of interest to pay. Mr. Niemeyer has sent the FAA different calculations than the FAA prefers so that has been discussion between them. It was said that Mr. Niemeyer had talked to Mr. Gates last Friday about the interest differential payment and it appears there is justification for that so it is eligible, but Mr. Gates still has questions on how it was calculated. Mr. Niemeyer is to input the existing Merrifield loan information into a spread sheet, but it doesn’t fit the FAA’s format. There should be more communication on that tomorrow and Mr. Niemeyer and Mr. Gates will talk through that. Attorney Hull said that leaves $17,000 in negative equity. Attorney Hull said when he spoke with the Commissioners last week the waiver had not been applied for, but Ms. Merrifield had informed him that Roxanne Grimm of Epic Land Solutions had represented to her that the waiver had been applied for and that money was not an issue. Mr. Niemeyer said even if the waiver had been applied for, it takes two weeks to two months to get since the request has to go to the FAA Washington D.C. Office as the house has negative equity and that has not happened in the past. Mr. Niemeyer said Ms. Grimm mentioned the waiver had already passed the Federal Highways Administration (FHWY), but the FAA has to pass their own waiver. Chairman Dinning said for clarification that in today’s FAA rules this isn’t even something that is allowed in this situation and the FAA will have to insert it into their rules. Mr. Niemeyer said it’s a conflict. Attorney Hull said the issues have got to be resolved for the Merrifields so they can go on with their lives.

The Merrifields and Stolleys know they will get a specific amount of funds and moving expenses once property is moved. Attorney Hull asked if those amounts could be put into the Delphi system. Mr. Niemeyer said the check goes to the county first. Mr. Niemeyer said he is hoping to get the interest differential resolved. Mr. Niemeyer said if approved and you take $47,000, the $10,000 in moving expenses and approximately $19,000 for arguments sake, take that pool of cash and we’re still approximately $7,000 shy of the magic number of $87,000. Attorney Hull said if the county is on the hook for the negative equity anyway, he wanted to inquire if Commissioners would be interested in taking out a loan for $17,000. If the county did take out that loan, it would be payable in one year and the county could cash out the Merrifields completely. The Merrifields could then close on their property with the Stolleys and the county is on the hook for $17,000. Once the waiver is received that money from the waiver would go back to pay the loan. Chairman Dinning said he’s trying to get to the magic number of $84,000 or the total of what the Merrifields have coming because it is $84,000. Attorney Hull said if it all worked, the Merrifields would receive $64,000, $10,800 and the lender would get $17,000 so that is $93,800. Chairman Dinning said in essence the Merrifields would receive an additional $9,000. Chairman Dinning said if the county did borrow the funds, the bet the county is taking is the federal government at the FAA level saying “yes” in allowing the waiver. Attorney Hull said yes. Attorney Hull clarified that the county is on the hook one way or another.

Ms. Merrifield said when discussing this last July with Ms. Grimm and approval of the waiver had been discussed, she didn’t realize there were two applications. Mr. Niemeyer explained that the FHWY Administration relocates many more people for rights-of-way than the FAA. FHWY Administration has its own process for approving waivers, but they cannot approve the waivers on behalf of the FAA. Ms. Merrifield said she had no indication of which agency had approved the waiver. Ms. Merrifield reviewed a break down of the voucher she has and she said she was surprised by the deduction of $17,000 so that told her the waiver had been approved. Attorney Hull asked Mr. Niemeyer about being 75% sure of waiver. Commissioner Pinkerton spoke of that percentage being reduced since its two different agencies. Even though it’s hopeful the waiver will pass, it’s to a lesser degree. Attorney Hull said if Commissioners go into this, they need to do so without the thought of getting anything reimbursed. Commissioners agreed it’s the best thing to do for the Stolleys and Merrifields.

Chairman Dinning said on the Dinning property, how much is coming from the state. The response was $11,390 and that the process had been started. Mr. Parker said the state usually takes some time. Chairman Dinning said rather than borrow the funds, what are the thoughts of using grant match funds. Mr. Wages asked if that would leave the budget short for other matches. Mr. Parker said there is $40,000 in that budget and J-U-B has to be paid out of that in addition to the future of other land purchases to talk about.

Mr. Niemeyer said Mr. Gates informed him that the replacement housing and interest differential will not be eligible up front. Commissioners said that is talking about the full $83,000. Attorney Hull said the Commissioners cannot make that happen. Mr. Gates will not be able to move forward until the documents are recorded, according to Mr. Niemeyer. Ms. Merrifield said it’s her concern to relinquish rights to her property with no guarantees. It would be complete blind faith that Mr. Gates would say now that the documents are recorded, the funds will be released to move forward. Ms. Merrifield said she would lose bargaining power and she asked what she would be able to get in writing. Mr. Niemeyer said this isn’t closing on the property the county is purchasing from Merrifields, but it’s the closing on the Stolley house. Ms. Merrifield questioned if the county would have to put out $207,000 up front. Mr. Gates needs to have recorded documents and he had been asked if he would accept something such as certificate of title and that will not work, according to Mr. Niemeyer. Commissioner Pinkerton said now it’s not the $17,000 that is the problem, it’s the entire amount. Attorney Hull asked what if the contract for $300,000 was rewritten. The transaction would close and in the contract $84,000 would be payable in month. Attorney Hull said he could do a deed in lieu of foreclosure. Attorney Hull said it gets the property to where it’s in the new owner’s name. Mr. Niemeyer said for the FAA it needs to be clearly stated. Mr. Gates is looking at $212,000 to calculate the mortgage interest statement. The amount of $64,000 needs to be shown as the down payment. Mr. Niemeyer said he needs to be in conversation with Mr. Gates and Attorney Hull. Attorney Hull suggested meeting tomorrow at 12:30 p.m. pacific time. Chairman Dinning asked Mr. Stolley if he agreed to this. Mr. Stolley said this just blows his mind. Money was supposed to come in to the Stolley’s escrow account. Attorney Hull said now we don’t even get the money. Ms. Merrifield said according to the last meeting, it was a direct fund and all that was left was the $17,000.

Commissioner Kirby moved to schedule a meeting on Tuesday, January 14, 2014 at 12:30 p.m., with Gary Gates of the Federal Aviation Administration to discuss the Merrifield property purchase and to possibly make a motion in regards to funding. Commissioner Pinkerton second. Motion passed unanimously.  

Mr. Niemeyer, Ms. Merrifield and Mr. Stolley left the meeting at 4:55 p.m.

It was said that for the county to be reimbursed the cost of the trees on the Dinning property, the county has to obtain three estimates for logging, but if the county does not request reimbursement, the property can just be logged without having to obtain quotes. Attorney Hull said Mr. Gates has been very clear that any income gained from these properties would go into the Airport’s budget.

Mr. Brown left the meeting at 5:00 p.m.

5:05 p.m., Commissioner Kirby moved to go into executive session under Idaho Code #67-2345(1)f, to communicate with legal counsel for the public agency to discuss the legal ramifications of and legal options for pending litigation, or controversies not yet being litigated, but imminently likely to be litigated. Commissioner Pinkerton second. Commissioners voted as follows: Chairman Dinning “aye”, Commissioner Pinkerton “aye” and Commissioner Kirby “aye”. Motion passed unanimously. 5:30 p.m., Commissioner Kirby moved to go out of executive session. Commissioner Pinkerton second. Motion passed unanimously. No action was taken.

5:50 p.m., There being no further business, the meeting recessed until tomorrow at 9:00 a.m.

***Tuesday, January 14, 2014, Commissioners met in regular session with Chairman Dan Dinning, Commissioner LeAlan Pinkerton, Commissioner Walt Kirby, Clerk Glenda Poston, and Deputy Clerk Michelle Rohrwasser.

Commissioner Kirby moved to authorize the Chairman to sign the Municipal Lease Purchase Agreement #20288512 regarding the Western States/Caterpillar Motor Grader, Model 140M2, AWD, Serial #M9J00807, as it has been approved by the county’s civil attorney. Commissioner Pinkerton second. Motion passed unanimously.

9:00 a.m., Chief Deputy Sheriff Rich Stephens joined the meeting.

Chief Deputy Sheriff Stephens spoke of reviewing Operation Stonegarden documents and reports with Bureau of Homeland Security Local Area Field Officer, Jay Baker. Quarterly reports for this grant have to be done and on some of these forms the grantee is supposed to sign as the person preparing the reports. Chief Deputy Sheriff Stephens asked Commissioners if they would designate someone at the Sheriff’s Office to sign these documents on behalf of Commissioners. Clerk Poston said her office receives the funds, but she questioned if the grant related documents are making it to her office. Clerk Poston said she needs to have all grant documents on file in her office for audit purposes. Chairman Dinning said Commissioners have not authorized another signer for any other office to date, and he added that since he has been a Commissioner they have maintained that they are the signers on behalf of the county. Chief Deputy Sheriff Stephens said documentation and reporting requirements change just about every year. Chief Deputy Sheriff Stephens said if Commissioners prefer, he can just bring the documents over for them to sign and to explain what the paperwork is about. Commissioner Pinkerton briefly explained his experience with the Stonegarden Grant and he said he would hesitate to change anything at this point, but if this was a new grant, Commissioner Pinkerton said he would be more inclined to say go ahead. Chief Deputy Sheriff Stephens said it was just a suggestion mainly for the quarterly reports. Chairman Dinning said Commissioners are the agency who can enter into a contract on behalf of the county.

Clerk Poston asked Chief Deputy Sheriff Stephens to check on documents for the Boat Safety Grant.

Clerk Poston informed Chief Deputy Sheriff Stephens that the county’s outside auditor had commented on audit reporting for the county vehicles that go home with an employee for the various departments. Commissioners said they will get clarity on that. Clerk Poston said she believed that law enforcement was exempt in this matter.

The meeting with Chief Deputy Sheriff Stephens ended.

Commissioners tended to administrative duties.

9:30 a.m., Parks and Recreation Board Chairperson Pam Copeland and Angela Hittle joined the meeting to update Commissioners on the proposed playground project. Bonners Ferry Herald Reporter Laura Roady also joined the meeting.

Ms. Hittle presented Commissioners with paperwork on the proposed playground and said when looking at the numbers it still does not quite meet the goal. The bid for concrete curbing and sidewalks in phase 1 is approximately $13,000, which is a bid as if someone else is going to do this work, but the Parks and Recreation Board has now planned on doing this work themselves so will be a substantial savings. It was said the Parks Board is fairly confident that they will be close enough to pay for a spring install, weather permitting, maybe by April 2014, but a lot of things can be done before excavation and by then the Parks Board is confident they will be at the limit or more. Ms. Hittle said all businesses will be approached for possible donations. Chairman Dinning responded that requesting donations may be sensitive as people already pay taxes.

Ms. Copeland explained the letter that will go out and the conversation that will explain what will occur with the donations. Ms. Hittle said sponsorships are not requested, but would be something at someone’s own free will to donate. Ms. Hittle said the plan is to follow the leads for donations and work towards the install for phase 1, which is all ground work and something that board member Rob Tompkins is more involved in. The Parks Board will have the existing swings refurbished, but a T bar for infants and toddlers will be added. That area of the swings is not a nice shape so that area will be squared off.

Chairman Dinning said he sees the cost of $6,000 for mulch material, but Commissioners just approved a permit for a mulching facility so that may be a good contact as well as a possible significant savings. Ms. Hittle mentioned trucking services as a donation to be used so when the term soliciting donations is mentioned, it’s not necessarily funding.

Ms. Copeland informed Commissioners that someone has approached Mr. Tompkins about wanting the existing playground structure that is to be removed, but they’re aware that it is county property and it needs to be sold at auction. Chairman Dinning said the playground equipment has to be declared surplus and sold at auction so there is a legal process the county has to go through. Ms. Hittle said the Parks Board is looking for the installation of the new playground by June.   

The meeting with Ms. Hittle and Ms. Copeland ended at 9:50 a.m.

10:00 a.m., Boundary Economic Development Specialist David Sims and Marion Johnson with Selkirk Pend O’Reille Transit (SPOT) joined the meeting to discuss the use of the Restorium’s passenger bus for senior transportation. Bonners Ferry Herald Reporter Laura Roady was also present.

Mr. Sims said Ms. Johnson manages the SPOT Bus system, which provides a service to Dover, Ponderay, Kootenai, and Sandpoint. During the last meeting there was discussion on entering into a contract with SPOT, but oversight was an issue. It was felt it would be better to have someone who is a transportation business manager so Mr. Sims talked to someone including Ms. Johnson and SPOT is willing to provide the service under the Area Agency on Aging contract. This will leave the county out of it as SPOT could use the county bus under an MOU. Going forward SPOT is interested in expanding to the Boundary County area and the Area Agency on Aging has the funds available to apply for.

The Idaho Transportation Department (ITD) administers the 5311 grant dollars. ITD was approached about one week ago and they have opened a grant program to allow SPOT a pre-application to apply for 5311 funds for Boundary County for year 2015. Chairman Dinning mentioned using the same agreement proposed by the Area Agency on Aging. Boundary County could suggest awarding the funds to SPOT and all that money would be used for services in Boundary County. Ms. Johnson said that was correct. The 5311 funds would be for Boundary County residents also and Ms. Johnson said that was also correct. Chairman Dinning said that SPOT is a part of the City of Dover. Ms. Johnson said yes. Chairman Dinning said Boundary County can work something out for use of the bus in Boundary County. Ms. Johnson said a simple memorandum of understanding will take care of that. Boundary County will probably want to retain the bus, but the title can be transferred, according to Ms. Johnson. Mr. Sims mentioned maintenance. Ms. Johnson said she and Mr. Sims had suggested a service starting out two days per week at five hours each day and to see how it grows from there, and she would go to the Restorium and talk to them as their ridership would be big.

Ms. Johnson said based on per capita Boundary County should get $70,000 per year from the 5311 funds. There should be success in getting that funding as there is no service here. Bonner, Kootenai, Shoshone and Benewah Counties all have a form of this service.

Ms. Johnson suggested running the bus one or two days per week to get started and in years 2015-2016 she would like to increase rides to three days, with two of those days in Bonners Ferry and one day running the medical appointments. Ms. Sims said these services always start out slow and increase. SPOT is at 80,000 riders currently. Ms. Johnson said for having three buses, the SPOT buses are everywhere. Ms. Sims said he would take Ms. Johnson around the county to show her the area. Commissioner Kirby mentioned contacting the Senior Companion Program.

Mr. Sims said what’s important, if going forward, is a commitment to work with the Restorium as that was a bus initially for them and this has turned into something different. Mr. Sims said this would be a big help for the Restorium. Clerk Poston asked if a number of Restorium residents wanted to go on an outing to the Refuge, would that be possible. Ms. Johnson said it would depend on the schedule for that day. Mr. Sims said one of the thoughts was to take Restorium residents on field trips. Commissioner Kirby voiced that this is a positive thing as there are people who already know what they’re doing as it pertains to running this system. Chairman Dinning asked if the City of Dover’s attorney could draft the memorandum of understanding. Ms. Johnson said if not, she could also have the City of Ponderay’s attorney draft one as he had done it before for the cities.

Clerk Poston mentioned Boundary County insuring the van if there is an accident. Chairman Dinning said yes, but Dover is also with Idaho Counties Risk Management Program (ICRMP).

It was said the 5311 funds will come at one point and that will also be for the county’s citizens to take advantage of. Mr. Sims said he put together information that he thought was important. Chairman Dinning recommended working with Restorium.

The meeting with Mr. Sims and Ms. Johnson ended at 10:20 a.m.

Chief Deputy Clerk Tracie Isaac joined the meeting at 10:25 a.m.

Commissioner Kirby moved to go into executive session under Idaho Code #67-2345(1)b, to consider the evaluation, dismissal or disciplining of, or to hear complaints or charges brought against, a public officer, employee, staff member or individual agent, or public school student. Commissioner Pinkerton second. Commissioners voted as follows: Chairman Dinning “aye”, Commissioner Pinkerton “aye” and Commissioner Kirby “aye”. Motion passed unanimously. 10:45 a.m., Commissioner Kirby moved to go out of executive session. Commissioner Pinkerton second. Motion passed unanimously. No action was taken.

Those present discussed the custodial and maintenance positions, their job descriptions and possible changes. Commissioners will decide on posting and possible contracts.

Chief Deputy Clerk Isaac left the meeting.

Commissioners tended to administrative duties.

11:10 a.m., Sick Leave Bank President Les Vetter and committee member Chief Deputy Clerk Tracie Isaac joined the meeting.

Commissioner Pinkerton moved to allow a county employee the use of 60 hours from the County’s Sick Leave Bank. Commissioner Kirby second. Motion passed unanimously.

Commissioners discussed the ability to donate annual vacation hours to the sick leave bank.

Chief Deputy Clerk Isaac, Mr. Vetter and Clerk Poston left the meeting at 11:30 a.m.

Commissioners tended to administrative duties.

12:30 p.m., Commissioners reconvened for the afternoon session with Chairman Dinning, Commissioner Pinkerton, Commissioner Kirby, Clerk Poston, and Deputy Clerk Rohrwasser.

12:30 p.m., J-U-B Engineer Brad Niemeyer, property owners Don and Gina Stolley, and Robin Merrifield, and County Civil Attorney Tevis Hull joined the meeting. Federal Aviation Administration (FAA) representative Gary Gates joined the meeting via conference call.

Chairman Dinning said the meeting was to talk about issues pertaining to the Merrifield property purchase to gain understanding. Chairman Dinning said the purchase price for the Merrifield home has been submitted and approved at the FAA’s end. Mr. Gates said he’s approved the amount of the appraised value and the amount of the administrative settlement. Also with that is the identification of the replacement housing payment. Mr. Gates said he advised that he needs clarification on what’s included in the replacement housing payment. To understand the replacement house has been identified and there were early estimates as to the additional cost, but Mr. Gates said he needs to adjust information to reflect the cost of the replacement home. Mr. Gates asked for clarification on how the mortgage interested payment was calculated as the earlier calculation he was not able to support. Mr. Gates asked those present to keep in mind that if the county entered into a contract, the FAA’s involvement is in respect to reimbursement to the county and if there were other agreements, those would stand on their own. That is where the FAA stands on that, according to Mr. Gates.

Chairman Dinning said the FAA has authorized an amount of $207,628.33, according to J-U-B. It was said the administrative settlement was included in that figure. Chairman Dinning asked Mr. Gates, if the sale were scheduled to close this week or next week and Boundary County would come up with a figure beyond $207,000, would it be anticipated that that amount would be reimbursable costs to the Merrifields. Mr. Gates said he recognizes there are likely additional costs eligible for reimbursement.

Attorney Hull said as to the administrative settlement there is negative equity on the property. Mr. Gates said yes. Attorney Hull said Mr. Gates had made some approvals, but the waiver needs to be filed or received or has that been approved. Mr. Gates said he requested, as far as the replacement housing payment, clear language that the replacement housing payment is to be reduced by the amount of the administrative settlement. Attorney Hull asked if there is opportunity for the county to recapture the waiver. Mr. Gates said the Federal Highways Administration (FHWY) has in their codes to provide for these negative equity situations, but the FAA doesn’t. Mr. Niemeyer had represented yesterday that he has prepared a statement of conflict between the two statements and that the FAA would consider adopting the FHWY code, which allows for reimbursement on the negative equity so will that happen in this case to recapture the $17,000 waiver? Mr. Gates said he did receive the email from Mr. Niemeyer, but he hasn’t had the chance to review it. Mr. Gates said the waiver needs to be reviewed by FAA headquarters as it’s contrary to his marching orders. Attorney Hull asked if there is a time frame as to how long it would take for review and decision. Mr. Gates said unfortunately there is only one specialist in this so he would expect the time frame to be within the next couple weeks to get a response.

Chairman Dinning said what we’re considering and if we are right, is if the county was to close on this transaction, we’re looking at $190,000 that has been approved by Mr. Gates to apply to the transaction. Mr. Gates said he’s prepared to support the amount of $190,000 plus the administrative settlement. What has been proposed at this point is that in addition to the settlement above the appraised value and the replacement housing payment, the settlement can not be deducted. Chairman Dinning said if Boundary County chose to close the transaction this week, what amount of money would Mr. Gates be able to reimburse the county and within how many days? Mr. Gates said the amount would be $207,000. Chairman Dinning said Attorney Hull has completed the certificate of title and the county is considering borrowing the amount of money that is needed to get the Merrifields into their replacement house. If that occurs, can that reimbursement, whatever it is, can those funds come to Boundary County instead. Mr. Gates said reimbursement would go to the county as that is the contractual agreement similar as the Dinning process. Attorney Hull asked what the trigger is to get reimbursements. Mr. Gates said he needs a summary of costs that reflect eligible items. Mr. Niemeyer said what he was anticipating is one request for reimbursement for the purchase price of $207,000 plus the administrative fees associated with that. The second request for reimbursement would be for the replacement housing amounts as verified by the actual closing documents with the January 10^th email on record for the Stolley and Merrifield transaction. Verification of the total $300,000 purchase price was mentioned. Mr. Gates said the first draw down would be the appraised value, the administrative settlement up to $207,000 plus administrative costs to include the appraisal, review appraisal, fees under contact with J-U-B related to that parcel, and advertising costs. Attorney Hull said the 2^nd draw down would not be made until after the actual purchase of the Stolley property by the Merrifields.

Chairman Dinning said the county is considering making a request for $207,000 and borrowing the amount of money so the Merrifields have a down payment to purchase the Stolley property. There are also the moving costs, but the exact figures are not yet known, but those are to be reimbursed to Boundary County in order to repay the loan. Mr. Gates said conceptually it sounds right to him and he should get clarification on the other items soon.

The mortgage differential payment and mortgage interest was mentioned. Mr. Gates referenced the replacement housing payment and he said early on he mentioned he can reimburse the difference between the appraised value and the difference between the existing home and the purchase of the new. The replacement housing payment was compared to comparable homes, according to Mr. Gates. Mr. Niemeyer said in Mr. Gates’ January 10^th email, he makes note of that. There is confusion on the paperwork and how it was represented. The replacement house the Merrifields have under contact is for $300,000. The promissory note for conditions is listed at $212,000 and that is based on what is anticipated to get back for the replacement housing payment and mortgage interest differential payment so that is what Mr. Niemeyer will clarify in writing for Mr. Gates, but the property the Merrifields are actually purchasing costs $300,000. Mr. Gates said he follows that. There is a narrative for that that will give clarification.

Chairman Dinning said Commissioners are taking a chance on some things, but the county wants to make good. Chairman Dinning asked if a plan has to be in place to demolish the house before the Merrifield purchase. Mr. Gates said yes. Chairman Dinning said that should be done in the next day or so. Chairman Dinning asked Mr. Gates if the amount of $207,000 could be entered into the Delphi system or if that would rush the process too much to close on January 22. Mr. Gates said as far as what he can address for the time frame for wired payment, if the county can enter that payment tomorrow for $207,000, yes, that amount can be expected to be transferred to the county within that amount of time.

Mr. Niemeyer said the county has in front of them a draft request for reimbursement summary for approximately $190,000, the waiver of $17,000 plus attorney fees, consulting and administrative fees for a total of $234,000 so if the county is okay, he will get a copy of that Mr. Gates so he can enter that into the Delphi system. Mr. Gates said he would recommend getting the total parcel summary that is being offered to the Merrifields given the questions on replacement housing.

Chairman Dinning asked if Boundary County were to contract for logging the Dinning property, would that money go back to the FAA or to the county’s airport budget, if there is any profit. Mr. Gates said if tree removal wasn’t included in the grant, it would normally to go the airport’s designated fund. Mr. Gates said he recalls the question of demolition or relocation of the structure itself so he recommended competitive bids or quotes if the county wanted reimbursement. Mr. Niemeyer said in the grant application it included costs under item #10 for demolition and removal and he can’t recall if it was stated removal of obstruction or just removal. Chairman Dinning said nothing is in there regarding timber. Mr. Niemeyer said there is nothing specific. Chairman Dinning said as of today the county could have trees removed and any profit would go to the airport fund.

Ms. Stolley asked what settles the mortgage differential. Mr. Niemeyer said the loan needs to be recorded and with that a final calculation can be done based on that final amount. What is done today is an estimate on what is received verbally. Mr. Niemeyer can’t he can’t do a final calculation until the transaction has been recorded so that is what will go to the FAA for back up. Chairman Dinning said someone will have money for the down payment. It’s $300,000 minus the down payment so it’s not based on any reimbursement. Boundary County is taking the risk on the reimbursement and will fund the down payment. It was suggested to go forward as if there is a down payment in the calculations. Mr. Gates said it sounds like the county is prepared to reimburse the homeowner regardless of reimbursement from the FAA.

Ms. Merrifield presented Commissioners with how the estimates were arrived at and she mentioned it was indicated that moving expenses of $10,800 was approved. Mr. Gates that is accurate. Commissioners asked if the reimbursement goes to the county or the Merrifields once the property is cleared and it clears inspection. Mr. Gates said federal reimbursement would go to the county who would issue reimbursement to the Merrifields. Ms. Merrifield said an appraisal was done by the FAA and she had a review appraisal done as a second opinion, which cost $650 and was submitted last June or July so would that cost come back to her. Mr. Niemeyer said that would technically be a payment from the county so technically that would be reimbursed.

Mr. Gates’ participation in the meeting ended at 1:00 p.m.

It was said the Merrifields will come up with $8,400. Chairman Dinning asked if title costs are included in the reimbursement. Mr. Niemeyer said Mr. Gates said not to include that, but he has an estimate for it. Chairman Dinning said the request will be $207,000 or will it show additional costs. Mr. Niemeyer said it will show additional costs as the total is $235,000 and there is no problem with that. Mr. Niemeyer said the FAA’s share is $212,000 and the county’s is $23,000 with an anticipated $10,000 coming back from the Idaho Transportation Department. It was said the amount for closing is not yet known, but the title company can tell them. Chairman Dinning said the county will make the best effort and figures to come up with the $8,400 to close the transaction, but everything the property owners receive as reimbursement will go back to the county first and anything left will go to property owners.

It was said the amount of $83,000 didn’t include the $10,800, but when the $10,800 comes, if the county gets it, it goes directly to the Merrifields. Ms. Merrifield said when looking at the mortgage differential is the amount of $19,000 fairly accurate. Mr. Niemeyer said he didn’t know if the amount is up to $19,000 as that is something Roxanne Grim and De Ressa with Epic Land Solutions will provide information on, but it may be closer to $16,000. Ms. Stolley asked why that number had not been determined yet and she added that it’s been known the house has been under water from the beginning. Mr. Niemeyer explained that the information doesn’t work in FAA’s computer system to arrive at the right numbers so he is working with Mr. Gates on that. Mr. Niemeyer said Mr. Gates mentioned that because of the mortgage interest differential it’s possible to look at a higher mortgage interest. Commissioner Pinkerton asked if the information is entered into the FAA’s up to date format, what is the figure other than $19,000? Mr. Niemeyer said it doesn’t work as it is a variable interest on a prepayment method. This is the Merrifield’s contract and it’s not an adjustable rate, but a graduated mortgage.    

1:15 p.m., Ms. Merrifield, Mr. & Ms. Stolley and Clerk Poston left the meeting.

1:20 p.m., Deputy Clerk Nancy Ryals and Airport Manager Dave Parker joined the meeting.

Mr. Parker reviewed the figures on a report provided by Mr. Niemeyer. Commissioners informed Mr. Parker they needed the demolition or relocation plan by tomorrow in order to have any funds reimbursed by the FAA. Those present discussed matters pertaining to removing trees on the Dinning property. Commissioner Pinkerton said the plan can be just a simple plan. Mr. Parker said his interpretation is that the county will not get the final funds until the houses have been removed. Commissioner Pinkerton informed Mr. Parker that the plan has to be submitted in order to obtain funds for the Merrifield property purchase.

Commissioner Pinkerton moved to authorize the Chairman to sign the request for reimbursement for the Merrifield property purchase. Commissioner Kirby second. Motion passed unanimously.

Mr. Niemeyer said the county has paid for $59,000 of J-U-B’s fees. When funding comes in for the Merrifield transaction, it includes the invoices for J-U-B. Chairman Dinning and Mr. Niemeyer briefly discussed J-U-B’s fees in relation to the Dinning and Merrifield purchases and it was stated the county has paid J-U-B’s fees for both of these transactions.

Chairman Dinning asked about what is reimbursable on the closing documents. The county will get $190,000 and the estimated $17,000. If you take $207,726 minus $190,000 that is what will be used for final documentation on the administrative settlement. Chairman Dinning said of the $212,000, the county will borrow $84,000 and then there is approximately $20,000 to come up with to close the transaction, if he’s correct. Mr. Parker mentioned the grant match. The county will obtain a loan and use grant match to complete the purchase. When funds are reimbursed the county will receive approximately $27,000 that is not obligated to put toward grant match or pay off the bank.    

Those present reviewed figures. Chairman Dinning said the county should receive $26,000, which will cover all of the closing monies needed on the Merrifield purchase. The county needs to come up with the amount of money anticipated the Merrifields need, which is $84,000. Chairman Dinning said he wants the loan with the bank to be wrapped up with within three months.

The meeting ended at 2:05 p.m.  

Commissioner Pinkerton moved to authorize the Chairman to approach Panhandle State Bank for the purpose of borrowing $84,000 in order to complete the Merrifield property purchase. Commissioner Kirby second. Motion passed unanimously.  

Chairman Dinning said the Merrifield property and associated reimbursements will be used as collateral.

Commissioners contacted Dave Walter at Panhandle State Bank to request borrowing funds totaling $84,000 using Merrifield property at collateral and the goal to close next Tuesday.

The call to Mr. Walter ended.

Commissioners tended to administrative duties.

There being no further business, the meeting adjourned at 3:40 p.m.

                                                           /s/

                                                            Dan R. Dinning, Chairman

Attest:

/s/

Glenda Poston, Clerk

By: Michelle Rohrwasser, Deputy Clerk