[00:00:09]
I CAN START 30 SECONDS, 30 SECONDS.
ALRIGHT, GO AHEAD AND CALL THIS MINI OF THE BOARD OF SUPERVISORS, FINANCE COMMITTEE MEETING TO ORDER OR AUGUST 2ND AT 12:30 PM.
THE FIRST ITEM BEFORE WE GET STARTED, UH, UH, I'LL MAKE SURE THE ATTENDANCE AND WE HAVE SOMEONE TAKING NOTES, WHICH IS GREAT.
AND OUR, UH, WE HAVE SOME NEW MEMBERS CALL ME IF YOU'VE JOINED US AS A NEW MEMBER.
AND IF YOU JOIN US IN NOVEMBER, AND I BELIEVE IN OUR FOUNDING DOCUMENTS, WE APPOINT FIVE MEMBERS, FIVE VOTING MEMBERS, THREE OF THE FIVE OF YOU AND THOSE FIVE MEMBERS.
I BELIEVE WE APPOINTED THREE BOARD MEMBERS BY NAME AND WE WOULD REPORT A APPOINTED BY POSITION SO THAT WE WOULDN'T HAVE TO REAPPOINT NEW MEMBERS AND STILL BE ABLE TO VOTE TONIGHT.
WE ARE MISSING ONE MEMBER TODAY.
MR. SHARP, YOU WILL HAVE TO JOIN US, BUT WE DO HAVE TWO BOARD MEMBERS AND TWO OTHER MEMBERS THEM UNTIL WE CAN VOTE, WE DON'T HAVE A LOT TO VOTE ON TODAY.
A COUPLE OF THINGS ARE JUST BASICALLY RECOMMENDATIONS TO THE BROADER BOARD, SOME OF THE FINANCIAL TRANSFERS AND WHATNOT, BUT I JUST WANTED TO CLARIFY THE ATTENDANCE, UH, BEFORE WE GET STARTED AND THE FACT THAT WE DON'T NEED TO APPOINT THOSE FOLKS WITH THEIR POSITIONS APPOINTED.
SO ANY QUESTIONS ON THAT SO FAR? ALL RIGHT, GOOD JOB.
EXPLAIN THAT ARE PUT TO SLEEP.
SO, UM, MY FIRST ITEM ON THE AGENDA IS THE APPROVAL OF MINUTES FROM OUR MAY 3RD, 2022 MEETING.
WE'VE BEEN DISTRIBUTED IN ADVANCE.
I'LL HAVE A CHANCE TO READ THROUGH THAT.
ANY ADDITIONS, DELETIONS, OR CORRECTIONS TO THE MINUTES, IF NOT, I'LL ENTERTAIN A MOTION TO APPROVE SHERIFF WHO WE APPROVED AND ET CETERA.
THAT'S BEEN MOVED TO A SECOND, SECONDED ALL IN FAVOR, ALL IN FAVOR, SIGNIFY BY SAYING, AYE, AYE.
ANY OPPOSED? ANY ABSTENTIONS, ONE ABSTENTION WE HAVE THAT, UH, BUT THE THREE I'S, UH, MOTION IS APPROVED AND THE MINUTES OF THE NEXT DAY MOVING RIGHT ALONG IS OUR KICKOFF.
IT SEEMS LIKE WE DO AN ORDER ROLLS AROUND THAT.
AND IT SEEMS LIKE THAT JUST LIKE BIRTHDAYS, RIGHT? IT'S BETTER THAN HAVING TO NOT HAVE IT RIGHT, I GUESS.
SO, UM, THAT WE'RE PLEASED TO HAVE WITH US.
UH, MR. MIKE GARBER WAS GONNA, UH, TAKE US THROUGH, I KNOW YOU'VE ALREADY DONE OUR HALLWAY LIGHTING YOU.
THERE YOU GO FROM THE AUDIT FIRM.
IF YOU'RE HERE TO HELP, I'VE SAID THIS BEFORE.
AND I JUST THINK, AGAIN, WE DO APPRECIATE OUR WATER VENDORS.
THEY'RE HERE TO HELP US AND IDENTIFY ANY POTENTIAL WEAKNESSES AND HELP US SHARE THINGS.
AND IF THEY DO THEIR JOB RIGHT, AND WE DO OUR JOB AND WE DON'T HAVE THE SAME CRITICISM TEACHING HERE, WE WELCOME IDEAS OF HOW TO STRENGTHEN OUR METRO POSITION.
AND SO WE REALLY DO APPRECIATE THE WORK THAT THEY DO AND DON'T FEEL FINE COOPERATION, UM, WITH THAT.
UH, SO WELL WITH THAT INTRODUCTION, LET ME GET MY LIST.
AND I HAVE ONE EXTRA GUEST PRETTY CLOSE WALK US THROUGH.
YES, BUT ANYWAY, THANK YOU FOR THAT INTRODUCTION.
UH, THE GOOD NEWS IS I NEVER HAVE TO FIRE ANYBODY, BUT EVERY NOW AND THEN A RECOMMENDATION MAY POP UP, BUT WE'VE NEVER HAD TO DO THAT HERE.
ANYWAY, LET'S JUST GET STARTED.
SO JUST REAL QUICKLY, UM, IT'S MORE OF AN OVERVIEW FOR YOU, ALL OF THE AUDIT FAN A LITTLE BIT AND REALLY TO HELP MAKE SURE MY ROLE, WHAT I'M DOING IN YOUR ROLE AS AN AUDIT COMMITTEE OR COMMUNICATING AND THINGS OF THAT NATURE, TRULY THE PURPOSE OF THIS MEETING, BUT YOU KNOW, OUR COMMITMENT TO, TO THE COUNTY, UM, TO THE SCHOOLS AND INTO A SERVICE AUTHORITY, OF COURSE, UM, YOU KNOW, WE WILL ALWAYS TRY TO STAFF WITH EXPERIENCED PEOPLE AS BEST WE CAN AS YOU AND I WERE TALKING ABOUT EARLIER.
UM, FINDING ACCOUNTANTS RIGHT NOW IS ANY POSITION IN ANY JOB IS EXTREMELY DIFFICULT.
UM, BUT WE DO HAVE ALMOST SEVERAL PEOPLE THAT ARE RETURNING FROM THE PRIOR YEARS.
UM, WE'LL TALK ABOUT THOSE COUPLE OF WEEKLY TOURNAMENTS.
SO WE DO TRY TO MAKE THAT COMMITMENT TO YOU.
YOU KNOW, WE ARE, UH, WE'RE A LOCAL, WE HAVE 12 OFFICES, EIGHT IN VIRGINIA, TWO IN MARYLAND, TWO IN
[00:05:01]
NORTH CAROLINA, AND WE'RE AFFILIATED WITH RSL.WHO'S THE LARGEST CPA FIRM IN THE NATION, BUT HOW IS THAT OUR RICHMOND OFFICE THIS MORNING? SO I DO, I DO CONSIDER US LOCAL.
I MEAN, I TOOK ME 25 MINUTES TO GET HERE.
UM, AND SO I EVER, THERE'S A NEED, WE NEED TO HAVE BOOTS ON THE GROUND.
WE HAVE THAT ABILITY TO DO THAT.
AND WE ARE OUR FAVORITE CHARACTER.
WHEN YOU ALL WELL, IS THIS BEING RECORDED, ROCKINGHAM COUNTY WOULD GET UPSET WITH THEM.
KNOW, UH, IT'S A RHETORICAL QUESTION.
SO, UH, YOU KNOW, AND WE TO TRY TO LOOK AT THIS MORE AS ADJUST, WE'RE HERE TO DO AN AUDIT AND TAKE NAMES AND MAKE RECOMMENDATIONS, BUT LOOK AT THIS MORE OF A PARTNERSHIP TO WORK TOGETHER.
UM, WE WILL ALWAYS COMMIT TO CONTINUE WITH OUR TIMELY DELIVERY OF REPORTS.
UM, I DON'T THINK WE'VE MISSED A DEADLINE YET.
AND WHEN THE APA CHANGED DATES ON US, WE WERE ABLE TO ACCOMMODATE THAT AND MOVE OUR DELIVERY DATES OUT TO MAKE SURE THAT WE CAN REPORT TO THE COUNTY BOARD AND GET THAT IN ON TIME.
YOU ALWAYS HAVE DIRECT ACCESS TO BETSY MYSELF.
THAT'S ALWAYS A GIVEN AT ANY TIME.
AND AGAIN, I WAS TALKING TO SOMEBODY THIS MORNING.
I THINK ONE OF THE THINGS FOR OUR FIRM THAT I REALLY THINK DOES PUT US IN POSITION OF OTHER FIRMS. YOU DON'T SEE ME AS A PARTNER DURING THE INTERVIEW PROCESS.
AND THEN I COME AND DELIVER THE REPORT AT THE END OF THE DAY, BETSY AND I, ALL OF OUR GOVERNMENT JOBS ARE HERE WHILE THE AUDIT SCHOOL WE'RE HERE TO REVIEW WORK.
UM, ONE OF US IS ALWAYS HERE WHILE IT'S HAPPENING.
UM, AND WE HAVE A VERY LONG HISTORY OF CLAIM, PEER REVIEWS FOR OUR FIRM, FROM THE AUDITOR OF PUBLIC ACCOUNTS.
THEY COME IN AND DO EXTRA WORK AND LOOK AT WHAT WE DO JUST IN OUR GOVERNMENT ARENA.
AND WE HAVE NEVER HAD COMMENT ON ANY OF OUR PEER REVIEWS THAT I HAD BEEN DOING THIS FOR 20 YEARS, 25 YEARS.
AND I'VE NEVER HAD A COMMENT THAT'S DIFFICULT MAY NOT HAPPEN ON THE NEXT ONE, BUT TO THIS POINT WE'VE NEVER HAD.
UM, OUR CLIENT SERVICE TEAM MYSELF, I'M THE CLIENT SERVICE COORDINATOR.
I DO THE QUALITY REVIEW ON THE BACK END.
UM, AND BETSY IS REALLY INVOLVED MORE ON THE FRONT END AND WHILE WE'RE DOING THE WORK, UM, SHE AND I HAVE BEEN INVOLVED IN THIS ENGAGEMENT, UM, SINCE WE STARTED.
I THINK IT HELPS WITH BOTH THE LESS, UM, TO SERVE YOU.
ANDREA NICHOLS IS OUR ENGAGEMENT MANAGER.
SHE'S ALSO AN ADVANCED, SINGLE AUDIT CERTIFIED PERSON WHEN IT COMES TO SINGLE AUDIT.
SHE'S THE ONLY ONE IN OUR FIRM.
ACTUALLY, WHO'S GONE THROUGH THAT COURSE.
AND, UM, SHE'S ON ALL OF OUR LOCAL, OUR LARGE COUNTY GOVERNMENT JOBS.
SHE MANAGES THOSE AS WELL AS THE SINGLE AUDITS.
MICHAEL CRAWLEY IS IN OUR FREDERICKSBURG OFFICE AND WILL BE HANDLING THE COMMUNITY SERVICES AUDIT THIS YEAR.
AND THEN NINA MACK OF AWAY, UM, IS, IS HEADS UP OUR INTERNAL IT GROUP.
AND IF WE NEED THOSE SERVICES IN THAT SPECIALTY, IN THEIR CYBER RISK, UM, SHE'S AVAILABLE TO DO THAT, TO HELP US OUT.
SO SHE'S BEEN WITH US FOR QUITE A WHILE AND HAS DONE, UM, A LOT OF WORK IN SOME OF THE PREVALENT COUNTIES FORCES, VERY FAMILIAR, MAYBE NOT GOOCHLAND, BUT WITH LOCAL GOVERNMENT, HOW THEY OPERATE, HOW THEY FUNCTION AS WELL.
SO LOOKING AT THE, THE OVERSIGHT FROM THE AUDIT COMMITTEE IN OUR COMMUNICATION BACK AND FORTH, UM, YOU KNOW, PROFESSIONAL STANDARDS REQUIRE US TO COMMUNICATE WITH YOU.
THAT IS ONE OF THE PURPOSES OF THIS MEETING TO MAKE SURE THAT THIS COMMUNICATION LINE IS OPEN, UM, TO UNDERSTAND AND OBTAIN FOR YOU.
IF THERE ARE THINGS GOING ON IN THE COUNTY THAT WE NEED TO KNOW ABOUT OR SHOULD KNOW ABOUT WHEN PERFORMING OUR AUDIT.
UM, AND THEN IT'S FOR US TO REPORT TO YOU TIMELY, IF THERE ARE SIGNIFICANT ISSUES, DEFICIENCIES, OR FINDINGS, TO MAKE SURE THAT WE HAVE DEPTH CHANNEL TO DO THAT AS PART OF OUR BY COMMITTEE OVERSIGHT WITH, UM, THE SERVICES THAT WE'RE GOING TO PROVIDE THIS YEAR, OBVIOUSLY AS THE AUDIT OF THE COUNTY'S FINANCIAL STATEMENTS, AS WELL AS THE SCHOOLS THAT IS INCLUDED IN THE COUNTIES APPAR, UM, AND THE COMMUNITY SERVICES, ADDITIONAL ACCOUNTING CANOE SERVICES.
SO WE WILL BE DOING THAT FOR JUNE 30.
AND OF COURSE THE SINGLE AUDIT THAT TOOK US A FEW YEARS TO GET TO WHERE WE WANTED IT, BUT NOW WE'RE THERE.
AND, AND, UH, SO FAR ANYTHING WE'VE LOOKED AT THIS YEAR, WE DO NOT HAVE ANY FUNDS THAT ARE ANYWHERE ELSE.
UM, LAST, JUST THE DELIVERABLES THEN FROM US TO U COURSES, OUR OPINION ON THE FINANCIAL STATEMENTS AND OUR OPINIONS IN TOBACCO CONTROL AND COMPLIANCE, UM, COUNTY IS CONSIDERED A LOW RISK AUDITEE, WHICH IS GREAT.
AND IT HELPS US WITH OUR AUDIT TEAM PLANNING, THINGS OF THAT NATURE.
AND THEN THERE'S ALWAYS SOME THINGS THAT OTHERS REQUIRE US TO DELIVER.
THAT'S NOT REALLY PART OF YOUR FINANCIAL STATEMENTS, BUT THE AUDITOR OF PUBLIC ACCOUNTS ASKS US TO LOOK AT THE SHERIFFS INTERNAL CONTROL.
WE DO A TRANSMITTAL LETTERS THAT GO TO THE APA.
[00:10:01]
THERE'S A LANDFILL CERTIFICATION FOR A DBQ THAT WE HAVE TO DO.AND THEN OF COURSE THE DATA COLLECTION FORMS, THE VERY LAST THING THAT WE DELIVER ON ONCE ALL THE SINGLE AUDIT IS COMPLETE, THINGS LIKE THAT.
SO THOSE ARE JUST SOME THINGS WE'D LIKE TO BRING UP.
UM, AND THEN, UH, LASTLY, WE'VE ALSO BEEN ASKED TO DO EXTRA WORK BY THE APA ON THE VIRGINIA RETIREMENT SYSTEM.
SO WE HAVE TO ISSUE A REPORT ON THAT AS WELL.
SO I THINK IT'S ALWAYS IMPORTANT TO REMEMBER THAT BECAUSE IT'S MORE THAN JUST THE AUDIT AND FINANCIAL STATEMENTS.
THERE'S A LOT OF OTHER THINGS THAT GO ALONG WITH THAT AND THAT VRS REPORTING REPORTINGS FOR THE COUNTY, AS WELL AS THE SCHOOLS HAVE TO DO IT IN BOTH PLACES.
AND THEN IF WE DO HAVE ANY RECOMMENDATIONS WOULD ISSUE THAT LETTER AS WELL.
UM, JUST A REAL, REAL HIGH LEVEL OVERVIEW OF OUR AUDIT APPROACH, UH, YOU KNOW, GETTING AN UNDERSTANDING OF THE COUNTY AND THE SCHOOLS AND, AND NOT JUST DOWN IN THE DETAILS OF CONTROLS AND DAILY PROCESSES, BUT A HIGHER LEVEL LOOK OF THE ENVIRONMENT THAT YOU OPERATE IN, OR THERE ECONOMIC CONDITIONS THAT COULD BE IMPACTING YOU OR THEIR POLITICAL CONDITIONS THAT COULD BE IMPACTING YOU.
UM, AND SO IT'S REALLY THE LEVEL, REALLY LOOK FROM US AT EVERY LEVEL OF HOW THE COUNTY AND THE SCHOOLS COULD HAVE THINGS IMPACTING THE FINANCIAL STATEMENTS.
THIS IS PART OF THAT RISK ASSESSMENT, BUT WE'LL DO OTHER RISK ASSESSMENTS AS WE GO.
THEN WE'LL PRODUCE, WE'LL DO OUR FURTHER AUDIT PROCEDURES BASED ON THOSE ASSESSMENTS AND UNDERSTANDINGS.
AND THEN WHEN WE'RE DONE, WE'LL GO BACK AND EVALUATE WHAT WE'VE DONE AND DOES IT MEET OUR PLANNING METHODS OF WHAT WE NEEDED TO DO TO MAKE SURE WE'VE DONE THE AUDIT, THE WAY THAT WE SAID WE WOULD, THEN WE HAVE DELIVERY.
I'LL BE BACK AND WE'LL GO THROUGH SOME OF THIS AGAIN.
AND THEN AT THE VERY END, WE'D GO BACK AND REASSESS WHAT WE'VE DONE AND REASSESSED WITH YOUR MANAGEMENT, UM, AND TALK TO THEM ABOUT THINGS MAYBE WE CAN DO DIFFERENTLY FOR NEXT YEAR'S AUDIT TO HELP THAT COMMUNICATION.
IF THERE'S THINGS THAT WE NEED TO CHANGE, THERE'S PEOPLE WE NEED TO CHANGE THINGS, I THINK, SHOULD WE DO THAT AGAIN? WHEN WE ARE LOOKING AT THE DETAILS AND THOSE LAST WEEK INTERNAL CONTROLS, UM, THERE'S LOTS OF DIFFERENT THINGS.
WE'RE FOLLOWING, WE'RE FOLLOWING THE UNIFORM GUIDANCE.
WE'RE FOLLOWING YELLOW BOOK, OTHERWISE KNOWN AS GOVERNMENT AUDITING STANDARDS.
WE'RE FOLLOWING THE GUIDELINES THAT THE APA GIVES US, AND WE HAVE TO GO THROUGH ALL OF THOSE.
AND YOU CAN SEE HERE BOTTOM OF THE PAGE, THESE ARE SOME OF THE MAJOR AREAS THAT WE WILL BE DOING OUR AUDIT PROCEDURES ON THE TREASURY.
I'M NOT GOING TO READ THOSE 10 DIFFERENT AREAS, BUT THAT'S WHERE WE'LL HAVE A LOT OF OUR MAIN FOCUS.
AND WHEN YOU'RE DONE READING THOSE, IT'S JUST ABOUT EVERYTHING YOU DO IN ONE WAY OR THE OTHER.
EVERYTHING'S TIED INTO MOST OF THE THAT.
AND LASTLY, OF COURSE, ONE OF THE THINGS WE ARE NOT, WE'RE NOT HERE TO UNCOVER OR TO TRY TO PLAN OUR AUDIT AROUND FINDING FRAUD.
UH, BUT WE DO HAVE SOME REQUIREMENTS WE HAVE TO AS AUDITORS AND DOING INTERVIEWS, MEETING WITH THIS GROUP, ASKING IF THERE ARE THINGS THAT WE SHOULD BE AWARE OF.
UM, WE DO MEET WITH THE MANAGEMENT, WE MEET WITH OTHER PEOPLE THROUGHOUT OUR AUDIT AND ASK THEM VARIOUS QUESTIONS.
IF, IF THERE ARE AREAS THAT THEY'VE SEEN THROUGHOUT THE YEAR, THAT THEY MIGHT HAVE CONCERN ABOUT THAT WE SHOULD LOOK OUT HERE.
WE DO EVERY YEAR AS, AS WE'RE SUPPOSED TO.
UM, AND USUALLY THAT IS ONE OF THE EMPHASIS FOR ME.
THIS MEETING IS TO JUST OPEN THAT COMMUNICATIONS AND OPEN-ENDED QUESTION.
UM, IF THERE ARE AREAS OF CONCERN THAT YOU MAY HAVE, PLEASE LET ME KNOW AND HAVE TO BE TODAY IN AN OPEN MEETING, GIVE ME A CALL, SHOOT ME AN EMAIL.
UM, I'M ALWAYS, ALWAYS READY FOR THOSE TYPES OF COMMUNICATION NECESSARY THAT IN A NUTSHELL, IT'S ALL OUT, BUT I AM HAPPY TO ANSWER ANY QUESTIONS.
YOU HAVE TIME FOR A FEW QUESTIONS.
I'M SURE I ALWAYS HAVE TIME FOR MUCH.
UH, THANKS FOR MUCH FOR THAT QUESTIONS FOR THE DRIVER.
UM, YOU MENTIONED THAT WE'RE LOW RISK.
AND TO QUALIFY TO BE A LOW RISK.
SO THE PRIOR TWO YEARS, NO FINDINGS, NO MATERIAL WEAKNESSES.
SO IT'S NOT JUST IN YOUR SINGLE AUDIT WORLD AND YOUR FEDERAL DOLLARS, BUT IF YOU WERE TO HAVE A MATERIAL WEAKNESS IN YOUR FINANCIAL STATEMENTS, THEN THAT WOULD NOT QUALIFY YOU.
SO THE PRIOR TWO YEARS, AND I THINK MORE THAN TWO YEARS, BUT THE PRIOR TWO YEARS OF PAINFUL AND YOU NO LONGER OFFER UNQUALIFIED OPINIONS BECAUSE YOU QUALIFY.
WE NOW OFFER AN UNMODIFIED MODIFYING THAT I CALL NOT UNQUALIFIED.
SO WE'VE BEEN CLAIMED FOR A COUPLE OF YEARS NOW.
AND, UH, THAT'S IN PART, THANKS TO YOU OVER THE YEARS, SAY YOU HAVE A FOCUS HERE, FOCUS THERE.
AND OUR UNDERTAKING IS TO MAKE SURE THAT DON'T HAVE THE SAME FINDINGS YEAR AFTER YEAR.
AND IF WE FIND THEM ONCE WE FIX IT AND STUFF, AND THAT KIND OF HELPS US GET TO THIS CLEAN AUDIT.
WE LIKE TO STAY IN THERE SOMEWHERE ARE UNDERTAKING
[00:15:01]
TO TRY AND MAKE SURE THAT WE CONTINUE TO STRENGTHEN.THE SECOND ONE IS, UH, YOU MENTIONED WE'VE ADJUSTED THE SCHEDULE IN THE PAST TO ACTUALLY HAVE A SPECIAL BOARD MEETING IN NOVEMBER SO WE CAN GET IN THE, UH, OFFICER, UH, POLITICS WITH APA.
GET THAT IN BY NOVEMBER 30 IS OUR DECEMBER MEETING, UM, IS NOT UNTIL AFTER NOVEMBER 30.
AND YOU GUYS ARE TYPICALLY NOT DONE WITH YOUR WORK BY OUR NOVEMBER MEETING.
SO WE HAVE A SPECIALTY AND THEY MOVED THAT DATE TO THE NOVEMBER 30.
DON'T READ ANY, I THINK WE HAVE TO DECEMBER 15TH NOW, I THINK LAST YEAR MIGHT'VE BEEN THE FIRST YEAR THAT WE HAD ALREADY SCHEDULED EVERYTHING.
BUT I THINK WE HAVE DECEMBER 15, IF YOU WOULDN'T MIND DOING
THEY ALWAYS ACCEPTED IT AFTER NOVEMBER 30, BUT THEY PUT AN ASTERISK NEXT WOULD SAY DELIBERATELY, AND WE DON'T WANT IT TO BE ASTRONAUTS.
WE WANT TO BE ABLE TO MAKE, WE ALREADY ASKED HER.
SO AS A BOOK THAT MAKES YOUR DAY PLATE OR WHATEVER.
SO IF YOU JUST LET US KNOW IF THAT HAS BEEN OFFICIALLY MOVED AND THAT YOU'RE, YOU DON'T GET AN ASTERISK, IT'S ALL GOOD.
AND WE CAN APPROVE IT SEPARATE BOARD.
AND I THINK WE'RE MENTIONING IN A STAFF MEETING THAT, UM, YOU KNOW, THIS FINANCE AND AUDIT COMMITTEE HAPPENS QUARTERLY, BUT MAYBE WE COULD DO THAT ALSO IN DECEMBER, UM, TO TIME IT UP.
ASSUMING YOU DON'T WANT, I GUESS, DRAFTS DELIVERED.
IT'S THE SAME DAY WE WOULDN'T BE DELIVERING DRAFTS.
SO THEY'RE REFERENCED TO SEE DRESS VERSIFY, REDEFINING AUDIT, UM, GATSBY AS STILL IN EXISTENCE.
UM, SOMETIMES THEY'LL COME UP WITH NEW PRONOUNCEMENTS.
IS THERE ANY GATSBY ANNOUNCEMENTS THAT YOU CAN SEE COMING AROUND THE CORNER? UM, SOMETIMES IT'S MOVING THINGS INTO THE FOOTNOTE, SOMETHING THAT IS MOVING FOOTNOTES INTO THE NUMBERS THEMSELVES.
IS THERE ANYTHING LIKE THAT OUT? YEAH.
SO WE HAVE LEASES THAT WE'RE IMPLEMENTING THIS YEAR.
SO THE AUDIT THAT WE'RE CURRENTLY CONDUCTING TILL OPERATING AND CAPITAL B, SO ALL LEASES ARE NO LONGER OPERATING OR CAPITAL.
THEY'RE JUST LEASING THE SITUATIONS AND YOU'RE RECORDING THE ASSET, WHETHER IT'S A PHYSICAL ASSET OR INTANGIBLE ASSET THAT WE'RE RELEASING AND THE CORRESPONDING LIABILITY.
SO IT'S MORE OF YOU REMEMBER WHAT YOUR BACK FOR IT LOOKS LIKE YOU HAVE YOUR ENTITY WIDE STATEMENTS AT THE FRONT, AND THEN AFTER THAT YOU HAVE YOUR FUND STATEMENTS, GENERAL FUND SPECIAL REVENUE.
SO IT WON'T IMPACT YOUR FUND STATEMENTS, WHICH IS WHAT YOU USE TO OPERATE ON A DAILY BASIS.
IT'S JUST THAT ANY OF THE WIDE STATEMENT RECORDED THERE.
WELL, I WON'T SAY NOW, UM, IT HAS NO IMPACT ON YOUR DAILY OPERATIONS.
YOU'RE DEALING, CLOSES RECONCILIATIONS, ANY OF THAT TYPE OF STUFF.
IT CAN IMPACT, UM, YOUR BUDGETING A LITTLE BIT BECAUSE WHAT WE USED TO CALL, LEASE PAYMENTS, MAYBE IN A CAPITAL ACCOUNT OR THINGS OF THAT NATURE, WE SHOULD START THINKING ABOUT RE CATEGORIZING THAT PAIN, THE SAME DOLLAR AMOUNT AS PRINCIPAL AND INTEREST ON LEASE PAYMENTS.
SO THE CATEGORY MAY CHANGE THE DOLLAR AMOUNT.
AND THAT CAN AFFECT THE SCHOOLS AS WELL, DEPENDING ON HOW MANY LEASES THEY HAVE.
AND THAT IS EFFECTIVE THIS YEAR.
AND YOUR DEBBIE AND I HAVE BEEN WORKING WITH, UH, WE HAVE A NEW VENDOR CALLED DEBT BOOK THAT CAME ALONG SPECIFICALLY FOR THIS CAUSE IT'S A PRETTY BIG IMPLEMENTATION FOR COUNTIES ALL OVER.
I THINK WE'RE GOING TO BE READY AND THEN ANY GAS IS GOING FORWARD.
UM, THEY WILL BE SOFTWARE THAT MIGHT IMPACT SCHOOLS, BUT NOTHING, ANY OF THAT STUFF, THAT'S ALL WELL TALK ABOUT WHAT COULD BECOME, BUT THEY'RE, THEY'RE TALKING ABOUT COMPLETELY CHANGING THE ENTIRE PRESENTATION OF THE MONEY.
SO THAT'S, I'D LIKE THE AFTER RETIREMENT, UH, WITNESSES AND TESTIFIES.
UM, BUT NOTHING, THERE WAS SOME TALK ABOUT HOW DO YOU DISCLOSE, UH, INCENTIVES FOR ECONOMIC DEVELOPMENT, THAT KIND OF THING, BUT IT'S STILL THERE, BUT NOTHING'S CHANGED WITH THAT DISCLOSURE.
[00:20:01]
OKAY.WE'RE UP TO OVER A HUNDRED PRONOUNCEMENTS NOW, BUT I'M HERE TWO YEARS AND A HALF TO WORRY ABOUT 67, 68 AT, AT ONE OF THE TRAININGS I WENT BACK.
WE HAVE TRAINING THAT WE OFFER TO OUR CLIENTS A COUPLE OF TIMES A YEAR.
I STARTED DOING THIS WHEN IT WAS GATSBY 16, SINCE I WAS PRETTY CLOSE, CLOSER TO 16, THAT'S LESS THAN A HUNDRED AND I MIGHT BE THE 16 THAT, BUT ANYWAY, GATSBY 16.
SO I REMEMBER A 67 68 REQUIRED A FEW PENSION PRESENT VALUE OF YOUR PENSION TO SWITCH TO YOUR FUNDING COST RATHER THAN JUST ASSUME GREATER INCREASE IN YOUR PORTFOLIO.
WE ALREADY HAVE OUR UNFUNDED PENSION LIABILITY.
LAST QUESTION I HAVE IS BACK TO THE FRAUD.
YOU DIDN'T HAVE A WHOLE SEPARATE PAGE ON THAT.
CYBER SECURITY IS ALWAYS A BIG ISSUE.
I KNOW WE HAVE A VERY COMPETENT IT DEPARTMENT HERE THAT TAKES CARE OF THAT.
DO YOU HAVE MUCH OF THAT? DO YOU DO IN A NORMAL COURSE? I THINK IN THE PAST YOU'VE MENTIONED YOU HAVE A SEPARATE HAVE TO, WILL COME IN AND DO WHATEVER WE ASKED FOR IT FOR A SEPARATE.
IT'S NOT AN IN DEPTH DIVE INTO THE IT SYSTEM AND CONTROLS.
WE'RE REALLY FOCUSED MORE ON THE CONTROLS FROM THE FINANCIAL SYSTEMS AND ACCESS AND PHYSICAL SECURITY AND THINGS OF THAT NATURE WHEN IT COMES TO THE FINANCIAL SYSTEM.
BUT WHEN YOU LOOK AT YOUR ENTIRE SYSTEM, OVERALL EMAILS AND WEBSITES, WE'RE NOT REALLY LOOKING AT THAT STUFF.
SO THAT'S NOT PART OF OUR AUDIT OF THE FINANCIAL.
I KNOW WE HAVEN'T DONE IN THE PAST, HOW MANY CREDIT CARDS, CASH CONTROLS DRAMATICALLY BETTER CONTROLS IF THERE THERE'S ANYTHING ELSE LIKE THAT, ANY OTHER QUESTIONS? HOW ARE YOU? HOW'S OUR UTILITIES HANDLED WITH EVERYTHING ELSE
YOU'VE BEEN THROUGH THIS PROCESS.
ANY QUESTIONS WE'RE HAPPY TO? I THINK THAT'S ABOUT IT.
UM, THERE WAS NOTHING FOR YOU TO PRESENT TO THE FULL BOARD IS JUST THE KICKOFF, CORRECT? I'LL MAKE SURE THAT WE VERIFY DECEMBER 15TH.
PLEASE DO NOT HAVE AN EXTRA, I THINK YOUR PROFILE.
NEXT YOU WANT TO GO THROUGH THE RESULTS.
UM, PAGE FOUR, YOU'LL SEE THE FOURTH QUARTER PROJECTIONS AND JUST KEEP IN MIND, IT'S CALLED PROJECTIONS BECAUSE WE'RE STILL DOING THOSE INTO THE YEAR.
SO THIS IS WHAT WE THINK IT'LL END UP AS, UM, WE ARE LOOKING AT BRINGING IN $72 MILLION IN REVENUE, WHICH IS FOUR AND A HALF MILLION DOLLARS FOR WHAT WE'VE BUDGETED.
UM, AND I'LL ALSO SPEAK TO THIS AT THE MAIN BOARD MEETING, BUT A LOT OF THAT IS DUE TO NOT ONLY PERSONAL PROPERTY TAXES COMING IN HIGHER BECAUSE OF THAT HIGH ASSESSED VALUE.
BUT, UM, BUILDINGS DEPARTMENT WAS DOING MUCH HIGHER THAN PROJECTED THIS YEAR.
SO THEY'VE BEEN BUSY, SO FOUR AND A HALF MILLION OVER BUDGET AND REVENUE AND OUR EXPENDITURES LOOK TO BE COMING IN AT RIGHT UNDER 63 MILLION, WHICH IS 4.3 UNDER WHAT WE THOUGHT AND TO EXPLAIN WHY THAT IS.
UM, I LOOKED A LITTLE CLOSER, UM, A LITTLE OVER A MILLION OF THAT IS DUE TO PERSONNEL VACANCY SAVINGS.
WE JUST HAD A LOT OF OPEN POSITIONS THAT WEREN'T AVAILABLE FOR A MONTHS AT A TIME.
UM, SO BETWEEN THE SALARIES AND BENEFITS THAT CAME TO OVER A MILLION DOLLARS AND,
[00:25:01]
UH, A LITTLE OVER 2 BILLION WAS DUE TO, UM, WE BUDGETED A LITTLE HIGHER ON OUR DEBT KNOWING WE WOULDN'T SPEND IT, BUT WE DON'T WANT TO SEE THAT CREEP UP FROM ONE YEAR TO THE NEXT HIGHER THAN SEVERAL MILLION DOLLARS.SO WE'RE TRYING TO KEEP THAT STABLE.
SO WITH THE 72 3 COMING IN FOR REVENUE AND THE 63 GOING OUT FOR EXPENSES, UM, WE ENDED UP WITH A NON $0.3 MILLION SURPLUS OPERATING OF THAT.
WE TRANSFERRED A LITTLE OVER 6 MILLION TO CIP, AND WE ALSO SUPPORT FROM THE GENERAL FUND OR CHILDREN'S SERVICES OR CSA, WHICH LEAVES US AND INCREASE THE FONT BALANCE OF A LITTLE UNDER 2.8 MILLION.
IT LOOKS LIKE WE'RE GOING TO END UP WITH A LITTLE OVER 44 MILLION.
UM, AND IF YOU LOOK DOWN AT THE BOTTOM, YOU WILL SEE LIKE WE HAVE, OR GOOCHLAND COUNTY HAS POLICIES AND TARGETS THAT WE LIKE TO HIT.
AND THE WAY WE ARE LOOKING TO SEPARATE OUR CLASSIFICATIONS OF THIS FUND BALANCE, WE'RE GOING TO REMAIN WITHIN ALL OF OUR TARGETS.
UM, AND I CAN MOVE ON TO PAGE FIVE, UNLESS ANYONE HAS ANY QUESTIONS ABOUT THE OUTCOMES.
PAGE FIVE, WE'LL BREAK DOWN THE FUND BALANCE, UH, QUESTIONS WITH US ON THE BUDGET BUDGET.
IT SHOWS THAT WE HAVE NO VARIANCE.
IS THAT BECAUSE OF WHAT WE'RE DOING TODAY? YES.
BEFORE THAT IT WAS GOING TO GO OVER ABOUT 75,000.
SO THAT'S WHERE WE'RE GOING TO SHOOT THEM UP TODAY.
UM, I'LL JUST MAKE A COUPLE OF COMMENTS REAL QUICK.
ONE IS, UH, WE TYPICALLY DO BUDGET, VERY CONSERVATIVE BECAUSE IT'S MORE FUN AT THE END OF THE YEAR TO SAY, WHAT DO WE DO WITH THE EXTRA THEN WHEN WE DO MAINLY SHORT AND AS PART OF THAT SORT OF BUDGETING THE REVENUES AND EXPENSES TEND TO COME IN A LITTLE LONGER, UH, REVENUE IN A LENDER INEXPENSIVE, WHICH IS FINE BECAUSE WE HAD SOME DISCUSSION FROM OUR PREVIOUS MEETINGS ABOUT WHETHER OR NOT THE OTHER FUNDING SOURCES AND USES REALLY AS OPERATING IF IT, OR IF IT RECURS EVERY YEAR, CIP IS FOR NORMAL OPERATING EVERY ANNUAL EXPENSES AREN'T LUMPY.
ONE TIME EVERY YEAR IS RECURRENT NOW THEIR CURRENT KIND OF EXPENSES.
AND IF YOU CAN SEE HERE, WE HAD NINE AVAILABLE IN SIX SPENDING ON AN ANNUAL ANNUAL TEST ABOUT BETWEEN FIVE AND SEVEN.
SO THAT THE, UH, IF YOU LOOK AT THE OPERATING BUDGET, IT LOOKS LIKE THERE'S THIS LARGER SURPLUS AFTER THE ANNUAL OPERATED OR ANNUAL CIP, WHICH AGAIN, ARGUMENT COULD BE A BEAUTIFUL PART IS OPERATING AT THIS.
THE NET NET IS MUCH LESS THAN GROSS.
IF THAT NET NET, UH, WHEN I MET WITH THE RATING AGENCIES, I SAID, YOUR NUMBERS ALL LOOK GOOD.
THE RATIO OF YOUR RESERVES AS A PERCENTAGE OF YOUR OVERALL BUDGET LOOK GOOD.
AND YOUR REVENUE STABILIZATION FUND IS DETERMINED AS A PERCENTAGE OF YOUR BUDGET GROWS.
AND THIS CASE DRAMATICALLY, YOU'VE GOT TO GROW THOSE RESERVES ALONG WITH IT.
AND IN LOCKSTEP, IN ORDER TO PRESERVE THE SAME KIND OF RATIO, SO SAME KIND OF FINANCIAL POSITION, YOU LET THE BUDGET GROW WITHOUT GROWING YOUR RESERVES WEAKEN YOUR POSITION.
SO THAT TWO MANNERS OR THIS LEFTOVER, THAT GOES TO THE REVENUE STABILIZATION FUND RESERVES NEEDS TO KEEP PACE.
THERE'S ADDITION TO THE RESERVES TO KEEP PACE WITH THE OVERALL GROWTH OF THE BUDGET US JUST TO MAINTAIN.
IT LOOKS LIKE YOU HAVE MORE RESERVES.
YOU HAVE TO GET A BETTER POSITION, BUT IT REALLY IS JUST A TANNING RATHER THAN.
SO THAT'S KIND OF THE BIG PICTURE HERE.
IT'S KIND OF WORKING AS WE HOPED IT WOULD THAT THE CONSERVATIVE BUDGETING LEAVES ENOUGH TO COVER OUR CIP AND GROW THE RESERVES, KEEP THEM IN THE SAME RATIO.
SO, UM, I JUST WANTED TO PUT ALL THAT IN PERSPECTIVE THAT THE ONE THING I WILL POINT TO YOU MENTIONED DEBT SERVICE.
IF YOU GO TO THE DEBT SERVICE LINE, UM, YEAH.
PRINCIPLE METRICS ARE FOR 3.6 AND IT ONLY COMMITTED 1.5.
UM, WE ISSUED THAT GENERAL OBLIGATION DEBT, UH, FUNDED SCHOOLS AND PUBLIC SAFETY IN FEBRUARY, WHICH WAS ABOUT HALFWAY THROUGH THE FISCAL YEAR.
NEXT YEAR, WE'LL HAVE A FULL 12 MONTHS WORTH OF THAT IN THERE.
SO THAT'S WHY WE DIDN'T WANT TO DROP THE BUDGET DOWN TO ONE FIVE.
AND THEN ALL OF A SUDDEN I HAVE TO FILL THAT GAP NEXT YEAR WITH THE ONE FIVE.
SO THE NEXT YEAR THERE WON'T BE THAT THEN THAT'LL DISAPPEAR.
SO TAKE THAT OUT OF THE BOTTOM LINE THAT PEOPLE ARE LESS, YOU KNOW, UM, SO, UH, WE CAN TALK ABOUT SOME OF THE OTHER HEADWINDS WE'RE FACING 20, 23, AND THERE ARE SORT OF A LUNCH, BUT, UH, BUT THAT'S JUST TO GET, PUT THIS IN PERSPECTIVE, PERHAPS GIVES YOU THE IMPRESSION THAT BOOK'S BETTER THAN IT REALLY IS REALLY IS KIND OF WHAT WE TRY TO ACCOMPLISH.
LAST THING HAS ANSWERED THOSE RESERVES FROM THE SUNSHINE AND FIX THE ROOF, RIGHT? YOU WANT TO FIX IT, YOUR FRIENDS, RIGHT? SO, SO YOU SHOULD BE BUILDING
[00:30:01]
SMARTER SOMETHING.THAT'S THE WAY FOR THE WAY TO RUN.
IT'S THE SUN SHINING BECAUSE WHO KNOWS WHAT NEXT YEAR IT'S GOING TO AFFECT INTEREST RATES, MORTGAGE RATES GOING UP.
YOU JUST NEVER KNOW INFLATION.
JUST NEVER KNOW WHAT NEXT YEAR'S GONNA LOOK LIKE.
UH, WE DO KNOW THAT SERVICES INFLATION IS GOING TO BE, SO THIS IS THE TIME WHEN YOU'D WANT TO KIND OF SHOW YOURSELF UP ANY QUESTIONS ON ANYTHING.
I JUST WENT THROUGH, IF NOT, WE'LL GO AHEAD AND FLIP THE PAGE.
UM, SO OF THE 44,000, WE'RE GOING TO HAVE LIKE A FEW PREPAID ITEMS, A VERY SMALL AMOUNT OF INVENTORY THAT GETS LUMPED AS NON SPENDABLE.
UM, WE BOUGHT A LITTLE BIT OF RESTRICTED, A LITTLE BIT COMMITTED, RIGHT THERE IS I'M LOOKING AT THE BOTTOM UNDER THE 44 MILLION, THE BREAKDOWN, UM, THE 3 MILLION THAT SHOWN US COMMITTED.
THAT'S OUR REVENUE STABILIZATION.
UM, THAT IS JUST, WE WANT TO KEEP IT AT AT LEAST 3% OF THE NEXT YEAR'S ADOPTED BUDGET.
UM, THAT'S ACTUALLY A LITTLE MORE THAN 3% JUST TO KEEP US WHERE WE WANT TO BE ON OUR, ON A SIGN.
SO THAT LEAVES OUR BONUS LINE AT 22.3 MILLION.
UM, AND AT THE TOP, YOU'LL SEE WHERE THOSE, THOSE ASSIGNED IS.
THE BIGGEST ONES TO POINT OUT ARE, WE'VE GOT 6 MILLION UP THERE, UM, SET ASIDE FOR A FUTURE DEBT SERVICE, UM, BUT A LOT OF BIG PROJECTS ON THE HORIZON.
SO IT'S SAFE TO SAY THAT PROBABLY WE'LL ALL GET TO BE SPENT ON THAT.
UM, WE'VE GOT A MILLION SITTING THERE JUST FOR THE TCFD DEBT, UM, TO HELP ADDRESS FUTURE DEBT COSTS.
WE'VE GOT, IF YOU SCROLL DOWN A LITTLE BIT, YOU'VE GOT 4.4 MILLION SET ASIDE FOR THE YEAR WE'RE IN.
NOW, IF Y 23 CAPITAL PROJECTS AND THAT AMOUNT HAS ACTUALLY ALREADY BEEN TRANSFERRED TO THE CIP, BUT SINCE WE'RE LOOKING AT 22, UM, WE'VE HELD THAT ASIDE FOR THAT, WE'VE GOT A MILLION SITTING THERE TO BE USED FOR FUTURE TRANSPORTATION PROJECTS.
UM, OUR TRANSPORTATION DEPARTMENT IS DOING A LOT WITH B-DOG, SO THEY'RE GETTING A LOT OF GRANTS COMING IN, BUT, UH, WE'VE GOT MONEY HERE.
IF THERE'S ANY MATCHING REQUIREMENTS, WE'VE SET THAT ASIDE.
WE ARE SEEING A LOT OF, UM, BIDS GO OUT AND REQUEST FOR QUOTES ON PROJECTS, COME BACK AT ABOUT 30 TO 40% HIGHER THAN PROJECTED.
HOPEFULLY WE DON'T NEED THIS, BUT WE'VE GONE AHEAD AND ADDED A $1.6 MILLION AMOUNT SET ASIDE, THEREFORE, ANY INFLATION COSTS THAT AREN'T INCLUDED IN THE BUDGET.
AND WE'VE GOT 3 MILLION SITTING ASIDE FOR FUTURE CIP PROJECTS, FYI 0.4.
AND SO WHAT, WHAT THIS BREAKDOWN DOES IS LEAVES US AT, UM, YOU KNOW, WE HAVE A TARGET OF 25% IS WHERE WE HOPE TO KEEP OUR HONEST ON FUND BALANCE.
AND WE ARE STAYING AT 27.6% AND WE ARE A FINANCIAL POLICY SAYS YOU WANT TO STAY.
WE WANT TO KEEP OUR DEBT PAYMENTS BELOW 10%.
LIKE WE DON'T ANYTHING PAID OUT THE GENERAL FUND FOR DEBT.
WE WANT THAT TO BE 10% OR LESS OF OUR GENERAL FUND BUDGET.
AND WE'VE GOT OUR REVENUE STABILIZATION MONEY AT 3.7% WHEN OUR TARGET IS THREE.
SO WE'RE REALLY SETTING IN A GOOD FINANCIAL POSITION.
UM, SO YEAH, EVERYTHING LOOKS GOOD.
UH, 3% OF YOU MENTIONED THAT THAT SERVICE TARGET 10 ACTUAL THREE, THAT DOESN'T REALLY TAKE A FULL YEAR.
AND THEN THE SCHOOLS THAT ARE ARMY BURDEN, THAT'S TRIPPING FOR WORK.
WE'VE GOT A COURTHOUSE, A COUPLE OF FIREHOUSE.
SO THERE'S ANOTHER 50 MILLION WE HAVE APPROVED BY REPRIMANDED THAT WE HAVE AN ISSUE.
SO WE ISSUED THAT THAT WOULD HAVE DOUBLED, SIR.
THAT'S ONE OF THE REASONS WHY YOU SEE SO MUCH SERVICE RESERVES, IF DIFFERENT, WHEN WE ISSUED A SECOND 50, OUR DEBT TEST SERVICES GOING TO GO DRAMATIC AND HOW WE'RE GOING TO FIT THAT ON BUDGET IN LOVE TO FIGURE IT OUT BEFORE WE DO THAT.
AND THEN OF COURSE THE CAPITAL PROJECTS, WE KNOW THERE'S BEDS SOME OF THE NEAR TERM PROJECTS, BUT WE'VE GOT SOME DOWN THE ROAD PROJECTS AS WELL.
SO UNSURE WHERE THE SAFETY COSTS ARE GOING TO GO.
AND I'M SURE WHAT THAT SERVICE IS GOING TO GO.
WE JUST KNOW WE HAVE NEEDS GOING FORWARD.
THAT'S PART OF THE REASON FOR SOME OF THIS, IT'S JUST TO PUT SOME SHOT OR DRUGS IN THE SYSTEM, BECAUSE WE DON'T WANT TO DRAIN THESE RESERVES YOU THE IMPACT ON OUR AAA, COULDN'T BE MORE THAN WE WANT IT TO BE.
AND THEN THE SECOND 59, IF IT'S NOT AAA INTEREST RATES GO UP PEOPLE MORE THAN COSTCO OR SO THE WHOLE THING IS CONNECTED.
NOW I HAVE ONE REAL QUICK QUESTION,
[00:35:01]
OR IF I NOTICE THE FILE OF PAGE FIVE INCREASE ON ASSIGNED IS 2.6.BUT IF I GO TO PAGE FOUR, FOUR, AND WE'RE RIGHT IN THE MIDDLE OF THE PAGE THAT CHANGE AND FIND OUT A 2.7, SO FUNNY BALANCE CHANGE.
SO THAT'S JUST THE FUND BALANCE.
WHILE THE 3.6 IS, PLUS THE REVENUE STABILIZATION, IT IS STILL A LITTLE OFF, LIKE LESS THAN A HUNDRED THOUSAND DOLLARS.
AND I GET WHAT YOU'RE SAYING, BUT YEAH, THAT 3.66 DOES INCLUDE REVENUE STABILIZATION WHILE THE OTHER DOES NOT THE TWO SENTENCES, CORRECT? OH YEAH, IT DOES.
IT INCLUDES ALL OF THE FUND BALANCE.
UH
THAT'S, THAT'S ALL, THAT'S THE CHANGE IN OUR ENTIRE FUND BALANCE.
SO THEN WE BROKE OUT PART OF IT TO REVENUE STABILIZATION, PART OF IT, THE GENERAL FUND BALANCE UP TO A 3.6.
WELL, BECAUSE THE 2.7 IS THE INCREASE AND THE TOTAL FUND BALANCE IS 44.
SO IT IS WHAT'S AVAILABLE FROM THE OPERATING SIDE, BUT THERE'S USES THIS USES OR THE BALANCE.
THERE SHOULDN'T BE ANY SOURCES OF THE FRONT BALANCE, BUT YOU'RE SAYING HOW I GET FROM A TO 7 36, WHERE DOES THAT EXTRA COME FROM? WELL, IT'S LOOKING AT YOUR HONOR, SIGNED IS 22.38.
AND YOUR UNASSIGNED PLUS REVENUE STABILIZATION IS THE 25.38.
SO YOUR CHANGE REALLY SHOULD BE THE DIFFERENCE BETWEEN THOSE TWO FIGURES, WHICH IS WE'VE HAD THIS CONVERSATION OFFLINE.
BARBARA AND I DID THIS TOGETHER, SO I FEEL CONFIDENT ABOUT IT, BUT I FEEL LIKE WITH YOU, LIKE IT'S NOT ADDING UP, BUT YEAH.
AND THE BOTTOM LINE CHANGE THE NUMBER OF DOLLARS AVAILABLE.
IT'S JUST A MATTER OF HOW YOU TREAT THEM WITH THE MEMBER.
SHOW US, WE'LL FIGURE THAT OUT.
CHECK THE NUMBERS AND THAT'S A GOOD DAY.
ONE MAY HAVE CHANGED WHILE THE OTHER SHOWS HAVE CHANGED.
UH, UM, DO YOU KNOW WHAT IS INCLUDED IN THE 2023, UM, CAPITOL PRIVATES THAT BRIAN VAN, IF THAT WAS FOUNDED AS PART OF CIP, THEN YES.
I FEEL LIKE THE REASON I ASKED IS WHERE WE'RE GETTING, THIS IS LIKE WHERE'S I BROUGHT ME IN AND I HAD HEARD THAT WE ASSIGNED MONEY.
WE ACTUALLY SENT THEM TO THEM YET.
I HAVEN'T ASKED FOR ANY SO CURIOUS THAT IS OTHERWISE, I DON'T KNOW WHAT $4 MILLION OF PROJECTS YOU'RE DOING NEXT.
UM, WHAT WE'RE SEEING HERE ON THE FUND BALANCES, ONCE SOMETHING IS APPROPRIATE BY THE BOARD, THE MONEY DISAPPEARS FROM THIS LIST AND WE MAY HAVE APPROPRIATE MONEY THAT HASN'T BEEN SPENT YET.
THAT'S WHY I'M WONDERING WHAT THAT IS.
SO IS THAT THE 4.4 SHOULD BE, AND WE'VE ALREADY MADE THE TRANSFER, THE TOTAL AMOUNT OF F Y 23 PROJECTS THAT WERE ADOPTED THROUGH THE BUDGET.
AND I DON'T, IF I HAD BEEN HERE DURING THE BUDGET PROCESS, I COULD PROBABLY TELL YOU, BUT I CAN'T REMEMBER.
I DID GLANCE AT IT, BUT IF WE GET APPROPRIATE MONEY IN A PRIOR YEAR FOR THE BROADBAND, THAT WOULD NO LONGER APPEAR HERE, IT'S BEEN APPROPRIATELY APPROPRIATED OR ASSIGNED OTHER QUESTIONS THAT WE OPERATE AS A TEAM.
AND WE'RE ALL IN THIS TOGETHER.
SO I'LL FIGURE THIS STUFF OUT TOGETHER.
YOU HAD A COUPLE OF MORE ITEMS, A COUPLE MORE PAGES HERE.
UM, SO AT TODAY'S BOARD MEETING AT TWO O'CLOCK,
[00:40:01]
I'LL BE ASKING TOO, YOU'RE GOING TO HEAR A PRESENTATION FROM EVERGREEN WHO IS GOING TO BE TALKING ABOUT THE BENCHMARK STUDY THAT'S BEEN GOING ON FOR SIX, SEVEN MONTHS.UM, AND DURING THE BUDGET ADOPTION PROCESS, YOU HAD SET ASIDE, OR YOU HAD BUDGETED 753.
I'M GOING TO, I'M GOING TO SKIP TO PAGE SEVEN.
UM, YOU HAVE SET ASIDE 750, $3,000 TO PAY FOR THESE SALARY INCREASES THAT THEY'RE GOING TO BE SPEAKING ABOUT.
SO ONE AMENDMENT IS JUST TO MAKE THAT TRANSFER FROM, WE HAD STUCK IT IN A NON DEPARTMENTAL LINE, AND WE'RE JUST GOING TO TRANSFER IT UP AMONGST THE VARIOUS DEPARTMENTS.
BUT THAT'S WHAT WE BUDGETED IS ABOUT THE COST THAT IT CAME TO TO IMPLEMENT THIS.
SO THAT ALL WENT AS PREDICTED.
UM, AND I'M ALSO GOING TO ASK TO TAKE $100,000 SITTING IN OUR ASSIGNED FUND BALANCE.
UM, AND YOU'LL SEE IT ON THE LIST THAT WE JUST HAD.
WE DIDN'T SPECIFICALLY TALK ABOUT IT BECAUSE IT'S ONE OF THE SMALLER AMOUNTS, BUT A HUNDRED THOUSAND DOLLARS HAS BEEN SITTING ASIDE FOR THE SHERIFF'S OFFICE CAD SYSTEM.
UM, THE ONE THEY HAVE IS FROM, I BELIEVE 2008.
UM, SO THEY'RE STEADILY DOING MAINTENANCE TO IT AND UPGRADING IT, BUT THEY'RE READY TO SPEND A LITTLE UNDER 300,001 MAKING A BIG UPDATE TO IT.
SO THEY'VE GOTTEN THAT PROCESS STARTED AND ARE REQUESTING THAT $100,000.
IF WE DO APPROVE THAT TODAY IS APPROPRIATE.
UM, I KNOW YOU HAVE A SECOND THING TO TALK ABOUT.
WE'RE GOING TO GO THROUGH BOTH OF THEM AND THEN TAKE YOUR VOTE APPROVAL OR DENIAL TO THE FULL BOARD AS A GROUP.
THE CAD SYSTEM IS IT, ISN'T AN OPERATOR SYSTEM, IT'S AN UPGRADE.
UM, IT DOES A LOT MORE THAN WHAT THE ONE THEY CURRENTLY HAVE DOES, BUT IT'S JUST WITH THE SAME VENDOR THAT THEY HAVE RIGHT NOW.
IT'S GONNA, IT'S GONNA MAKE IT A LOT MORE USER FRIENDLY.
THEY'RE LOOKING AT DIFFERENT VENDORS SYSTEM.
IF YOU LOOK AT SEVERAL VENDORS, CANADA'S NOT COMPUTERATED DESIGN ASSISTED, IS THAT DISPATCH.
SO CAD CAM WAS ALL RIGHT, AND THEN JUMPING BACK TO THE YEAR WE JUST FINISHED
SO I THINK IF I REMEMBER CORRECTLY, THEY BROUGHT IN ABOUT $150,000 IN REVENUE, MORE THAN THEY EXPECTED WHILE THEY ONLY SPENT 75,000 MORE.
SO THEY, THEY HAD A GREAT YEAR OF OPERATIONS THERE.
SO THERE'S FEES WE'LL COVER THEIR EXPENSES.
AND, UM, OUR SOCIAL SERVICES BUDGET DID GO OVER ABOUT 121,000, BUT 21,000 OF THAT WILL BE COVERED BY FEDERAL GRANT FUNDS, UM, SHOULD BE COMING IN LATER THIS YEAR, PROBABLY ANY DAY NOW.
AND, UM, THEY HAVE A FUND LIKE A PRIOR YEAR FUND BALANCE ALREADY BUDGETED WITH A HUNDRED THOUSAND DOLLARS IN IT.
SO WE'RE ASKING TO USE THAT TO COVER THEIR EXPENSES, TO TOTAL THEIR $121,000.
AND THERE'S NO INCREASE IN THE OVERALL BUDGET OF HOUSE, CORRECT? IT'S ALL COVERED BY BUDGETED REVENUE, IT'S APPROPRIATE AND GRAND BUDDY PARKS AND REC.
I'M SEEING NO QUESTIONS AGAIN, WE'LL TAKE THESE TWO AS A PACKAGE HERE.
UH, THE ONE WAS THE FUND BALANCE, APPROPRIATION BUDGET AMENDMENTS, APPROPRIATIONS, JUST TRANSFER FROM PARKS AND REC AND THEN WE'RE AT APPROPRIATE FEDERAL GRANTS.
SO THE ONLY APPROPRIATION WOULD BE THE F 22.
UM, THAT $100,000 FOR THE CAT PROJECT WAS COMING OUT THE SIDE.
SO WE'D HAVE TO APPROPRIATE THAT THE REST OF HER JUST TRANSFERS METAL, ENTERTAIN A MOTION.
I MOVE THAT WE RECOMMEND TO THE FULL BOARD APPROVAL OF THE FOUR QUARTER
[00:45:01]
PROJECT FROM BONES, APPROPRIATIONS AND BUDGET AMENDMENTS, UH, ALL IN FAVOR SIGNIFY BY SAYING, AYE, OUR VOTES.WE HAVE APPROVED THE RECOMMENDATION TO THE FULL BOARD.
WE'LL SEE WHAT THEY DO IN OTHER THOUGHTS, LET'S SEE, WE'VE GOT PUT A BUSINESS, I'LL GO THROUGH SOMETHING VERY QUICKLY.
WE'VE GOT ABOUT 15 MINUTES OR SO BEFORE OUR LAST COUPLE OF MEETINGS, I TOOK FIVE MINUTES.
WE KIND OF COVERED A TOPIC OF INTEREST.
THE FIRST ONE WAS SHOULD THE ANNUAL OPERATING CIPD PROPERTY VIEWED AS NOT VERY EXPENSIVE, SHOULDN'T BE VIEWED AS A CIP.
CAN WE JUST TRY TO BALANCE THE OPERATIONS AND TRY TO BALANCE THE WHOLE BUDGET? UM, THE NEXT ONE WE TALKED ABOUT A LITTLE BIT WITH DEPRECIATION NOW HAS ASSETS EACH YEAR BASICALLY LIQUIDATE A PORTION OF THE COUNTY'S ASSETS TO DELIVER SERVICES.
DURING THE COURSE OF THAT YEAR, HE WAS UP THE CARPETS IN THE VEHICLES, WE BASED WITH LIQUIDITY ASSETS.
AND SO THE CONCEPT OF DEPRECIATION WE TALKED ABOUT, UH, WHICH IS THE REPLACEMENT OF THOSE ASSETS.
SO MAINTAIN THE COUNTY'S ASSETS AND APPRECIATION FOR PRIVATE SECTOR IS IMPORTANT BECAUSE IT'S A NON-CASH TAX SHIELD, MUNICIPAL SUBSIDED TAXATION FOR NON TAX PAYING ENTITY, BUT IT STILL IS IMPORTANT.
SO THAT ANNUAL PORTION OF CIP IS MEANT TO GENERALLY APPROXIMATE WITH OUR LIQUIDATION OF ASSETS IS DURING THE COURSE OF THE YEAR REPLACEMENT.
AND THEN EVENTUALLY OVER TIME, THERE'S SOME LUMPINESS WHERE WE NEED TO REPLACE ALL ASSETS, STEP FUNCTION.
SO WE TALKED ABOUT THAT TODAY, TWO OR THREE MINUTES, WHEN TALKING ABOUT INFLATION AND THE IMPACT ON OUR BUDGET AND FATALITIES ASSETS, YOU'VE ALL WATCHED THE INFLATION NUMBERS.
YOU'VE ALL SEEN THE PPI CPI, DOUBLE DIGITS.
SO THEN ONE OF THE IMPACTS FOR US, UH, AT THE COUNTY, UM, INFLATION IS, IS AN ABSOLUTELY HORRIBLE AND INSIDIOUS AND DISPOSABLE THING BECAUSE IT IS WHAT'S CALLED REGRESSIVE TAX.
IT HURTS THE FOLKS THAT ARE MOST VULNERABLE AND THE FOLKS WHO ARE LOWER INCOME, MUCH MORE THAN THE HIGH RATE OF COVID.
BECAUSE IF YOU FILL UP YOUR CAR AND IT COSTS TWICE AS MUCH, IF YOU'VE GOT PLENTY OF RESOURCES, YOU DON'T CARE.
IF YOU'RE LIVING DAY TO DAY AND MONTH TO MONTH, I BREAK PEOPLE DOWN INTO TWO CATEGORIES.
WHAT HAS SOME MONEY LEFT AT THE END OF THE MONTH FOR THEM? IT'S NOT THAT BIG A DEAL.
THE OTHER SIDE IS PEOPLE THAT HAVE MORE FUNDS LEFT AT THE END OF THE MONTH.
AND FOR THOSE FOLKS, THEY GET HURT PROPORTION MORE BY INFLATION.
AND THERE'S AN INCREASE IN THE BASIC BASIC COST OF LIVING HURTS THAT MUCH MORE.
SO WE IN MANAGING THE COUNTY NEED TO BE AWARE THAT 10% INFLATION DOESN'T HURT EVERYBODY EQUALLY OR EFFECTIVE, BUT THEY BELIEVE IT AFFECTS DIFFERENT THINGS DIFFERENT.
UM, WE'RE FORTUNATE IN THAT BALLPARK THAT IT'S FIXED.
SO NONE OF OUR DEBT SERVICE WILL FLOAT HIGHER, EVEN THOUGH INTEREST RATES ARE GOING HIGHER.
UM, AND WE ALSO HAVE CONSIDERABLE RESERVES.
WE JUST TALKED ABOUT FUND BALANCE AND PRESUMABLY IN THE INTEREST RATE OF THAT BULL WILL FLOW HIGHER.
SINCE THOSE ARE ALL INVESTED VERY SHORT TERM, WE MAY NEED TO ACCESS THEM AT ANY TIME.
SO AS THE SHORT TERM RATES FLOAT HIGHER, WE MAY OR MAY NOT SEE ADDITIONAL INCOME TREASURY FUNCTION.
I'M INTERESTED TO KNOW WHAT THE TREND ISSUES, BUDGET, WHAT THAT WE MIGHT, BUT CONSERVATIVELY, UH, FOR ADDITIONAL REVENUE FOR THE FUND BALANCE SIDE, BUT NO ADDITIONAL EXPENSE ON THE DEBT SERVICE.
THERE'S OBVIOUSLY A NUMBER OF OTHER, UH, IMPLICATIONS, BUT I, I CALL IT A REVERSE ROBIN HOOD AND THAT IT TAKES FOR THE CORE GIFTS, BECAUSE IF YOU'VE GOT A LOT OF DEBT OUTSTANDING, A BIG MORTGAGE, OR YOU'RE A BIG BORROWER, YOU CAN REPAY THAT DEBT CHEAPER DOLLARS GOING FORWARD.
THE VALUES THAT DEBT DEFLATION INFLATION DEVALUES THAT JUST THE WAY IT COSTS MORE FOR A GALLON OF GAS.
SO IF YOU'RE A BIG BORROWER, INFLATION IS ACTUALLY HELPFUL.
AND THAT MEANS THAT THE BETTER WELL-TO-DO FOLKS THAT BORROW A LOT MORE MONEY ARE GOING TO BE HELPFUL.
AND THE FOLKS THAT ARE OUT THERE, THE BIRD OR THE FOLKS THAT JUST CAN'T REALLY AFFORD TO BEAR THAT BURDEN.
SO THAT'S SOMETHING WE SHOULD DO SINCE NOW.
WE ALL KNOW WHO THE BIGGEST BORROWER IS.
THE BIGGEST POTENTIAL BENEFICIARY OF INFLATION IS IT'S THE ONES PRINTING THE MONEY AND CAUSING THE RATE OF INFLATION OF THE PAYMENT OF THE $30 TRILLION.
IF YOU DEFLATE THAT AT 10%, NOW IT'S ONLY 27 TRILLION AND THESE ARE THE FOLKS ARE BRINGING US THE TOO MUCH MONEY FOR THOSE THAT DON'T FOLLOW IT.
THE FED RESERVE, WELL, I CALL IT THE MONEY TO GO AROUND.
CONGRESS PASSES A BUDGET DEFICIT.
THEY NEEDED TO BORROW TO FUND DIFFERENCE BECAUSE THEY DON'T HAVE THE CASH.
SO THEY GO TO THE TREASURY, THEY SHOULD TRIGGER YOUR COLLEGE.
AND THEY FUND THAT, TAKE IN THE CASH, GIVE IT TO THE CONGRESS TO PAY THE BILLS.
TREASURY DOESN'T WANT TO DUMP THE TRILLION DOLLAR ANNUAL DEFICIT IN SECURITIES
[00:50:01]
ON THE MARKET.AND I SAY, INTEREST RATES WOULD SKYROCKET.
SO THEY GO TO THE FEDERAL RESERVE AND SAY FOR RESERVE, CAN YOU PRINT MONEY AND BUY THESE BONDS AND KEEP THEM OFF THE MARKET? AND THEN THAT WAY WE CAN TAKE THAT CASH AND PASS IT THROUGH TO CONGRESS TO SPEND, BUT WE DON'T HAVE TO INFLUENCE THEM.
THE PROBLEM WITH THAT IS WHEN THEY PRINT THAT MONEY, IT ENDS UP IN INFLATION.
SO IF SOMEBODY DOES PAY, HEY, THE RAISE TAXES TO PAY THE BUDGET DEFICIT, WHERE YOU'RE GOING TO INFLATE YOUR WAY TO PAY THE DEFICIT.
AND IT'S JUST A MATTER OF WHO YOU SHIFT THAT BURDEN TO.
AND SO IN TERMS OF WHAT THE FED HAS DONE DURING STIMULUS YEARS, THEY ACTUALLY DOUBLED THEIR BALANCE SHEET FROM FOUR AND A HALF TRILLION TO NINE.
AND TROY, THEY PRINTED FOUR AND A HALF TRILLION DOLLARS WORTH OF MONEY IN TWO YEARS.
AND YOU SAY, GSB DROVE FOUR HALF TRILLION OUT OF THE MARKETS.
YOU'RE PROBABLY GOING TO SEE SOME INFLATION.
SO THAT'S THE MACRO KIND OF BACKDROP THAT WE MOVED TO THE OPERATING.
AND WE GOT TO, AS WE START TO THINK ABOUT THE 20, 23 BUCKETS, UH, AS WE STARTED TO THINK ABOUT OUR NEXT YEAR'S BUDGET, HOW'S ALL THIS GOING TO PLAY IN TO THE, UH, THE SOURCES OF REVENUE AND THE EXPENSES THAT THEY HAVE.
WAGE INFLATION, WAGE INFLATION, A GALLON OF DIESEL FUEL FOR THE SCHOOL BUSES.
ONCE THEY GO ELECTRIC OR HYBRID, A LOT OF THIS, WE'RE GOING TO HAVE TO THINK ABOUT FOR OUR NEXT YEAR, BECAUSE IT'S IMPACTFUL.
AND THEN WE CAN THINK ABOUT ALSO HOW WE STRUCTURE, HOW WE RAISE TAX DOLLARS, UM, RECOGNIZE SOME OF THE FOLKS THAT ARE STRUGGLING MORE AND MORE THAN MAYBE COMING IN FOR PAYMENT SCHEDULES, MORE AND MORE OF IT SHOW UP IN KIMBERLY JEFFERSON'S OR SEPARATE GROUPS IN PAIRS AND SAY, YOU KNOW, I COULDN'T MAKE IT LAST YEAR, BUT NOW I UNDERSTAND.
SO SOME FOLKS THAT ARE MAKING, THEY GET PUSH DOWN A LITTLE BIT OF INCOME STRUCTURE.
SO ANYWAY, I WANT TO JUST TOUCH ON THAT VERY BRIEFLY.
HEY, QUESTIONS OR THOUGHTS ON INFLATION? IT'S DEFINED AS TOO MUCH MONEY CHASING TOO FEW GOODS.
IF YOU'VE DONE A LITTLE MONEY FROM 40, I'VE TRIED THE NINE TRENDS, TOO MUCH MONEY, TOO FEW GOODS, BECAUSE WE GOT SHIPS IN LINE OFF THE COAST OF CALIFORNIA.
SO TOO FEW GOODS, TOO MUCH MONEY BANK AND DOUBLE DIGIT INFLATION.
AND THAT AFFECTS THE CITIZENS DISPROPORTIONATE PIGGYBACKING THROUGH COURT.
I HEARD THIS MORNING, NUMBER 61% OF THE PEOPLE THAT LIVE PAYCHECK TO PAYCHECK IN THE COUNTRY.
SO NOW THEY'RE GONNA BE STANDING IN FRONT OF THE NUMBER SHOTGUNS, THE BEST CASE THAT YOU WOULD MAY SEE DEFAULT START TO GO UP, UM, SKIP PORTAGE PAYMENTS.
I'M ALREADY GOING TO SEE A LOT OF SKIP CARD.
THEY WERE SAYING THAT, OR ANOTHER REPORT ABOUT SMALL BUSINESSES, ASTRONOMICAL NUMBER OF PERCENTAGE OF THEM CAN'T MAKE THEIR LEASE PAYMENTS.
NOW I CAN'T IMAGINE A SMALL BUSINESS, RIGHT? THEY WENT THROUGH THE PANDEMIC, THEY GO THROUGH WAGE, WAGE, INFLATION, INTEREST RATES GOING UP INFLATION.
AND NOW WE'VE GOT AN ECONOMIC SLOWDOWN AT A RECESSION KIND OF, AND THEY'RE THERE.
MOST OF THE SMOKERS HAVE TRUCKS AND VANS.
THE HARDEST WOULD BE VALUES AND THE PERSONAL AND THE GAS TO USE THE VACUUM, OF COURSE THEIR BUSINESS.
SO IT'S SOMETHING WE SHOULD ALL BE SENSITIVE TO LOWER INCOME FOLKS AND GO TO SMALL BUSINESSES AND GOODS.
AND I KNOW IT LAST YEAR WE DID, WHO WAS HERE LAST JUNE.
WE DID A SMALL BUSINESS ASSISTANCE PROGRAM, SMALL BUSINESSES, A COUPLE OF, I DON'T KNOW, IT'S NOT THAT EXTREME YET, BUT WE JUST NEED TO KEEP OUR MINDS OPEN AND BE SENSITIVE TO THE SYSTEMS AND HOW THIS IS ALL GOING TO COME TOGETHER.
THAT SAID, THAT'S A GOOD SEGUE TO CIRCLE BACK TO WHERE I STARTED, WHICH WAS WHEN A SUNSHINY MESS, WHEN YOU REPAIR THE ROOF AND THE BUILDING RESERVES AND ALL THAT, BECAUSE YOU JUST DON'T KNOW WHAT'S HAPPENED.
AND SO PLEASED THAT WE FINISHED, I FINISHED THIS YEAR WITH SOME EXTRA PUT ASIDE BECAUSE I HAVE A COUPLE OTHER THINGS FOR OTHER BUSINESSES.
I WAS JUST WONDERING WHAT THE FIFTH, UH, FISCAL YEAR 23 BUDGETS, LIKE IF OTHER DEPARTMENTS ARE LIKE MY DEPARTMENT, EVERYTHING THAT WE ARE USING, UM, WHETHER IT'S PHYSICAL ITEMS OR JUST SERVICES OR, UH, EVERY ONE OF THEM ARE UP.
SO, UM, WE'RE TRYING TO MAKE UP FOR IT AND OTHER WAYS, BUT COME CLOSER TO THE END OF FISCAL YEAR 23, I DON'T KNOW THAT, ESPECIALLY THE SERVICES THAT WE USE FOR THE BILLING SERVICES AND STUFF LIKE THAT.
UH, I DIDN'T KNOW WHERE WE STOOD AND WHERE WE LOOKED AT.
IT'S ONLY BEEN, YOU KNOW, ONE MONTH, BUT LET ME KNOW IF YOU'VE SEEN ANYTHING YET OPERATING THE TRENDS YET,
[00:55:01]
BUT WE CAN EXPECT THAT.I THINK IN ALL DEPARTMENTS OPERATING THE EXPENSES DIDN'T INCREASE AS MUCH 22 TO 23.
IT WAS PERSONNEL THAT INCREASED THAT'S WHAT'S.
BUT IN OTHER BUSINESS, UM, SO JUST REALLY QUICK, I, I LOOKED AT THIS $3.6 MILLION AGAIN, BECAUSE IT WASN'T MAKING SENSE TO ME.
IF YOU LOOK UP TOP IT'S REALLY, SO WE'RE BREAKING DOWN LAST YEAR'S FIGURES, LIKE AS OF JUNE 30 OF 21 TO 22.
SO OUR UNASSIGNED PLUS REVENUE STABILIZATION LAST YEAR, LAST, JUNE 30, WAS IT 21 7 AND THIS JUNE 30, OUR UNASSIGNED PLUS REVENUE STABILIZATION IS AT 25 3.
SO WHILE OUR TOTAL FUND BALANCE IS ONLY OUR OPERATING FUND BALANCE IS ONLY INCREASING 2.7, UH, 6 30, 22, NO, 6 30, 21 IS UP TOP.
THAT'S OUR HONEST, THAT, THAT 21.7 MILLION.
THAT'S OUR ON SIGN PLUS REVENUE STABILIZATION 21 DAY.
AND THAT'S PART OF THE 41 3 TOTAL FUND BALANCE.
JUST THOSE TWO, TWO TOP FIGURES THERE.
END OF THE YEAR OF LATE LAST YEAR.
NOW THE NUMBERS YOU'RE LOOKING AT AT THE BOTTOM ARE END OF THE YEAR, THIS YEAR.
SO WE'RE GOING FROM 21 7 TO 25, 3, 4 ARE WHAT WE'RE PULLING OUT OF.
IN, IN OUR, WHAT YOU CAN CALL RAINY DAY FUNDS STABILIZATION.
I KNOW NO ONE LIKES THAT TERM, BUT WHAT WOULD WE DO IN AN EMERGENCY? WE'VE GOT OUR REVENUE STABILIZATION AND OUR HONOR SIGNED.
THAT'S WHAT THEY'RE THERE FOR? UM, THAT NUMBER IS INCREASING $3.60.
BUT THE OTHER NUMBER, THE TWO MINUTES, ISN'T THAT THE 6 30, 21 TO 6 30, 22 NUMBER AS WELL.
THE 3 MILLION WAS LET'S TAKE THIS, BUT IN OTHER BUSINESS, UM, I KIND OF WANT TO, I DON'T KNOW WHEN WE TRY TO END THIS, ARE WE TRYING TO END THIS AT 1230? I MEAN, ONE 30.
I WANTED TO BRING UP THE AUDIT CONTRACT BECAUSE WE ARE ON OUR LAST YEAR.
WE HAVE AN OPTION TO EXTEND IT ONE MORE YEAR.
I DON'T HAVE A PREFERENCE EITHER WAY.
AND I DON'T THINK IT HAS TO BE DECIDED TODAY, BUT IF WE DID WANT TO GO OUT FOR BID, WE WOULD WANT TO GET THAT PROCESS STARTED VERY SOON IN THE NEXT FEW MONTHS.
AND I DON'T KNOW IF YOU GUYS HAVE, WE DO NOT.
I THINK WHEN WE ORIGINALLY SIGNED THE CONTRACT, THEY GAVE US EITHER A FOUR OR FIVE EXTENSION FOR ONE YEAR OPTIONS.
SO WE HAVE ONE MORE YEAR THAT WE CAN EXTEND AND THEN WE WOULD HAVE TO GO OUT TO BID THE FOLLOWING YEAR.
YEAH, THE GENERAL THUNDER'S YOU DON'T WANT TO CORRECT A WRONG, UH, SOMEWHERE IN A THREE TO FOUR YEAR RANGE IS WHEN YOU WANT TO DO SATELLITE WALLS, JUST BECAUSE PEOPLE CAN DO.
AND WE HAVE DONE IN THE PAST, WE WANT A DIFFERENT SET OF BYLAWS.
WE DON'T NECESSARILY HAVE CHANGED FIRMS SO DIFFERENTLY TO DIFFERENT MANAGING.
UM, AND THAT IS WHERE YOU MIGHT DO AN EXTENSION FOR A YEAR.
IF THEY CHANGED THE TEAM OR YOU MIGHT COME UP.
SO, UM, OUR NEXT MEETING IS I WOULDN'T SAY THERE'S VALUE KEEPING THE SAME GROUP SINCE YOU'VE GOT A NEW TEAM HERE.
THERE'S SOME VALUE IN STABILITY OF THE SAME TEAM ON THAT SIDE.
OTHERWISE YOU DON'T HAVE TOTALLY ALL, ALL NEW SETS OF EYES LOOKING AT IT.
IS THERE A COUNTERPOINT? IS THERE SOMEONE THAT THINKS WE SHOULDN'T GO OUT FOR A NEW FIRM? OUR PROCEDURES ARE THE SAME, NO MATTER WHO'S AUDITING US.
SO IT'S TOTALLY UP TO YOU GUYS.
IF YOU WERE HAVING ARIZONA SAGES PROBLEMS, UH, THERE'S A GOOD BAG OF BUCKS.
THEY'RE EXCELLENT AT WHAT THEY DO.
AND THEY, THE PRODUCTIVE, MOST COMPETITIVE BID AS WELL.
SO, UH, PUBLIC COMMENT, IS THERE ANYBODY FROM THE PUBLIC THAT WOULD LIKE TO COMMENT SAY WE'RE GOOD, WE'RE GOOD OR ANYTHING? UH, ALSO YOU GUYS HAVE LATER.
WE'RE GOING TO FINISH AND ACTUALLY HAVE TIME.
I TOLD YOU IF WE STARTED 30 SECONDS, 30 SECONDS EARLY,
[01:00:02]
I'M GOING TO GO AHEAD AND ADJOURN THE MEETING, UH, TO 1230 ON DECEMBER 6TH, 2022.THANKS FOR MUCH FOR HAVING ME APPRECIATE IT.