Jefferson Local Development Corporation
Barbara gave a JLDC audit report for the period ending FY'06. Darrell and she met with the JLDC auditor at his office in Helena. Barbara reported no outstanding errors, although some changes were needed. Barbara, Darrell, Byron, Ed, and Joe will receive copies of the final audit report to review and bring recommendations to the December JLDC meeting. After discussion it was decided the auditor needs to review his draft more closely before submitting it to the JLDC for approval. A letter on the discrepancies will be sent to the auditor. In the future, payment will be withheld until final approval and adoption of the audit by the JLDC board. Barbara reported the auditor also filed JLDC's FY'06 tax returns. The auditor will be asked to attend the December JLDC meeting. Darrell feels the board needs to spend more time with the auditor and staff for a better understanding of audit report figures. 3. Boulder South Campus a. Update on AYA from Peter Degel Peter gave on update on buildings #7 and #8 at AYA. He invited all present to attend the open house tomorrow at 4:00 p.m. for building #7 where AYA is opening a third group home. There are currently three six-bed homes in operation now; two in building #8 and one in building #7. Extensive renovating has been completed and the homes have a "homey-like" appearance. There is a long client waiting list; however, staffing is a challenge. AYA is offering commuting allowance and other staff incentives. b. Maintenance of Buildings #7 and #8 Building #8 now has a new roof and new boiler. The remodeling has been completed in building #7. Peter said he had the carpets in building #7 cleaned as they were badly stained; however, the cleaners could not get the stains out and the carpet did not pass licensing with the State. Building #7 received new carpeting throughout as a result. AYA is asking for carpet cost reimbursement in building #7 in the amount of $12,560.00 for new replacement carpeting throughout and in building #8 in the amount of $7,460.00 for new carpet replacement in the Commons area only. Tom H. looked into IRS recommendations for landlord responsibility on buildings. Carpet replacement is to be expected between 5-9 years. Pat had concerns with AYA not consulting with JLDC for approval before replacing the carpet as per the maintenance agreement. She said the board needs to be involved in decisions as it's the JLDC budget as well as the taxpayers. Joe agreed with Pat. After discussion Ed made a motion to reimburse AYA for 90 percent of the $20,020.00 total carpet replacement amount or $18,018.00, to reflect the fact the JLDC board had no say in the carpet replacement decision. Byron seconded the motion. Ed said Pat raised a good point in that the board should be able to make decisions as to the carpet grade, stain guard option, etc. Bob commented that this is a capitalized improvement. Pat asked Peter to please guard the quality of carpet that is in place. Motion passed. c. Monthly Allowance The $300 per month maintenance allowance with AYA was discussed. AYA has been sending JLDC monthly statements since March for the $300 maintenance allowance with no itemized breakdown. Tom H. said JLDC needs a list from AYA with itemized monthly maintenance charges. Peter said AYA will do this. d. Boulder School Funding Bob Klein, Superintendent of Jefferson High School and Clancy School, spoke on the school funding with AYA and distribution of funding with the high school and elementary school. Bob said the high school trustees bring the issue up annually of the school's relationship with the AYA program and the cost to the high school / AYA program. There is further concern for the tax impact on costs if the AYA program expands. Bob K. distributed a letter sent earlier to a JLDC board member that never received the letter. The letter summarizes the high school trustees' concerns. Lengthy discussion followed. Joe asked Bob K. if there was something JLDC could do; Joe suggested having someone analyze and give a logical assessment on the situation. Bob K. asked if a JLDC board member who could communicate what JLDC's goals are in terms of AYA's programs and answer questions/concerns of the trustees in the Boulder community would attend the next high school board meeting. Joe said he will attend next Tuesday's meeting in Clancy at 7:00 p.m. Tom H. suggested OPI do a study. Bob K. said he would help us find someone to do this. 4. Golden Sunlight Mine (GSM) a. GSM Update Tom H. gave an update on the GSM. Production at the mine is going well. Tim Dimock is the new general manager. He likes it here in Montana and hopes to keep the mine running as long as possible. They currently have about 156 employees and 20 contractors. The mine is moving forward with their underground mine plan and expect to start before the new year. The mine is doing some exploration drilling at the old Sunlight Vein and are optimistic. They would like to obtain exploration drilling funds next year from Barrick. The SEIS final draft was expected October 1st but didn't happen. This means the Record of Decision will not happen by the anticipated end of the year date. b. Lease Status - Sunlight Business Park Tara and Tom H. met with Tim on the lease status for the Sunlight Business Park. There were two issues that needed to be resolved; insurance rates and end of term lease disposition of property. These two issues have been worked out. There will now be an end of term option to buy and will assess as agricultural property and set a baseline price. Waiting to hear back from the lawyer, then should be ready to sign. c. Jefferson Valley Presents (JVP) Lease Status The JVP lease was a five year program. The lease is valid until March, 2007. GSM leased the site to JLDC and JLDC leased the site to JVP with GSM's approval. JVP no longer uses the site and has disbanded. Bob M. was concerned if the land has been returned back to the satisfaction of the GSM. JVP has filled all their end of lease obligations except one. The ditch needs to be filled and reseeding done. GSM said they will fill the ditch for us with their grader. Barbara said JVP has a performance letter of credit. Tom H. will check to see if they still have a bond. Three different community groups are interested in the site for a possible outside shooting range, an indoor shooting range, and a quarter-mile professional motorcycle race track. GSM needs to give final approval before putting something on the site. The lease would need to be extended past the March, 2007, time frame is at corporate headquarters now for a decision. The site has a well, septic, and building on it. The board discussed extending the lease and other opportunities. d. Update on Architecture and Engineering Good progress has been made with the A&E. Ed, Tara, and Tom met with the engineer and architect to review documents. Ed and Tom did a great job with the review and revisions of the documents. Bob complimented Ed and Tom on the many hours they have spent on this. A final list of things to be accomplished was developed. Ed, Tara, and Tom went over details with them and refocused them on details. Ed feels the package is at 90-95 percent completion. The documents should be completed this Friday. The water and sanitation plans have been submitted to the DEQ for final approval. No problems are anticipated. Roadwork, road specifications, encroachment permits, and utility easements need to be worked on yet. Bob asked if this is a document that could be sent to EDA. Ed recommended JLDC not send the drawings to EDA; rather provide a capital summary or overall project guide from the drawings. JLDC would like to apply for a Phase 2 grant by the end of the year as EDA is now in their grant cycle, else will have to wait till October, 2007, to apply. Joe is concerned about the professional product we thought we were going to get and didn't and feels someone other than JLDC needs to have knowledge of this. 5. Montana Tunnels Advisory Group (MTAG) Report a. Meeting Update Tom H. gave a meeting update. Significant things are happening at Montana Tunnels and all is going well. They are moving waste rock, hiring employees, and expect the mill to be running after the first of the year. Discussion continues on holding public meetings this fall that MTAG may host in Clancy and Montana City on the impact of the mine and employment. They continue working on their pit expansion. Another individual with the title of mine manager has been hired to help with pit operations. This has caused some confusion with who is in charge. Tim Smith is general manager and responsible for overall mine operations. In general, it was a good, productive meeting. b. Metal Mine Trust Fund Allocation Tom H. said it was an interesting Commission meeting yesterday. $30,000 was allocated to the Metal Mines grant program for the north end, including the Jefferson High School in Boulder. A loan program is to be developed; no set amount was allocated for it. The Commission asked JLDC to help set up the program based on the south end of Jefferson County's programs. $40,000 was allocated to JLDC operations from the north end of the county's metal mines money and $40,000 to JLDC operations from the south end's metal mines money, $10,000 was allocated for the housing coordinator position to develop affordable housing, and $40,000 matching grants for housing. $100,000 will be reserved for the north end county business park and JLDC will need to approach the Commission and it will be dealt with as needed. The money will be controlled by the Commission. Tom L. said $800,000 was not allocated to the JLDC. The money will be held in a county account for future requests as appropriate. Dick inquired as to how the $10,000 fit into housing allocation; it will be used to help with staffing the Housing Program that is growing. Barbara explained the south end of the county's release of metal mines money as she was on the original committee that helped set this up. She was not a JLDC board member at that time. The committee researched how much money should go into the RLF, grants, etc. and the proposal was accepted by the Commission. The money was allocated to the Metal Mines Committee, not the JLDC, with final approval by the Commission. It has worked very well on the south end of the county. Tom L. said the Commission wants Tara and Tom H. to come forward with a metal mines grant and loan program for the north end of the county. Tom L. realizes the $30,000 grant allocation will not go far and may need to be revised after a program is developed and approved. In the interim, $30,000 was allocated for this year. Joe said that Tara and Tom H. need to develop the programs and bring to the JLDC board for approval before presenting to the Commission as Tara is employed by the JLDC. Joe inquired as to who was putting the program together for the north end; that someone needs to take a lead, the program needs to be designed by someone. Tom L. asked Tara and Tom H. if they would be the "architects" for the program. Barbara said it's already designed. There was discussion on who was going to agree on using the south end programs as the model for the north end programs. Bob M. asked for some entity to submit a model to the Commission, subject to the Commission approval. JLDC staff and board will set up and approve a process before submitting it to the Commission for their consideration. Barbara Reiter asked if Tara didn't also work for the county and not just JLDC. Tom H. said they both work for MSU and JLDC. Joe said Tara works 100 percent for JLDC (employee) and is funded by the county. Personnel issues and evaluations are done by JLDC. Tom H. said she has some direct responsibility to MSU. 6. Business Expansion Assistance Program (BEAP) Project Proposal Tom and Tara met with a prospective client interested in BEAP. The Boulder business is in a niche market that provides third party self funded insurance benefits to clients. There appears to be an opportunity to continue to grow the business and add new employees and plan for future potential growth. The business is more complicated than other projects as the site is located within the Boulder city limits but currently does not have city services. The prospective client is working on a business plan. Board approval is needed to proceed. Bob M. made a motion to approve the Boulder business for the Business Expansion Assistance Program (BEAP), Barbara seconded the motion. Motion passed. 7. Staff Reports Tara and Tom H. met with banking representatives and a housing developer who specializes in affordable housing on land available in Boulder. There is some movement going forward on this. If the property deal goes through, it would most likely be for senior and single-housing units. 8. Board Comments a. Pat asked about the at-large JLDC Executive Board member selection. Joe said it was his prerogative to elect someone and he elected Darrell. Joe thanked Pat for volunteering for this position. b. Joe discussed the upcoming evaluation to be done by board and staff members on Tara Mastel, JLDC Manager. The Performance Evaluation Committee, consisting of Mike, Darrell, Joe and Jim decided to contact Steve Siegelin, MSU Western Region Department Head, and Steve sent Joe information. The evaluation is to be done in conjunction with Tara's evaluation by MSU before the end of the year. The form is a simple questionnaire that board and staff members will be asked to fill out. Joe will keep in communication with Tara. Steve told Joe the evaluations will be helpful to him when he does Tara's overall evaluation. c. Yesterday's Commission meeting was discussed. A guest, Ernie K., said he was impressed with how positively JLDC was represented at the Commission meeting by some community members. Celia also commented positively on the meeting and discussion. Ed said JLDC needs to do a better job of being visible; on what we're doing, progress we have made, and successes we have had. Bob mentioned at the JLDC Annual Planning Session allocating funds to make JLDC a more prominent entity in the community was discussed and it was decided to spend funds on projects instead; perhaps funds should have been allocated for this. d. Joe discussed Jefferson County suing the City of Helena over the annexation issue. He said JLDC has a vested interest and that JLDC would like to be a party on this lawsuit in some capacity if need be. He asked for any objections to JLDC going further with this. Tom L. said the City of Helena attorney admitted to the court that the City of Helena has no jurisdiction even if they form this planning board unless it goes to annexation or zoning. The Judge is waiting for Jefferson County's attorney to submit a brief to Helena's attorney to what Jefferson County expects. Tom L. said at this point, JLDC does not need to take a role. If the issue goes beyond where it has gone, then JLDC needs to take a role. Next meeting is scheduled for Wednesday, December 20th, 2:00 p.m. at the Boulder City Hall. Meeting adjourned at 4:25 p.m. Respectfully Submitted, Nancy Wheeler Notetaker Close Window |