May 21, 2014

CALL TO ORDER @ 7:00 pm

ROLL CALL           x Mr. Anderson                  x Mr. Takacs             x Chief Lutz

x Mr. Frager                          x Mr. Vest               x Mr. Long

x Mr. Gauntner                  x Mr. Wayman       x Mr. Szeman

PLEDGE OF ALLIGENCE

MINUTES:

Minutes of 04/16/14 Regular Session

Amendment – Page 3, Board Closing Comment regarding meeting station personnel was made by Mr. Frager, not Mr. Gauntner.

Motion to approve as amended by: Mr. Anderson    Seconded by: Mr. Wayman

ROLL CALL: All ayes

BILLS & PAYROLL

Bills ($59,554.37) and (3) payroll ($268,598.94) totaling $328,153.31 are motioned for acceptance and payment. Mr. Long, CFO, detailed several expenditures.

Motion to approve bills and payroll as presented by: Mr. Anderson

Seconded by: Mr. Wayman                       ROLL CALL:   All ayes

OPENING PUBLIC PORTION:None to report.

COMMITTEE REPORTS:                                                                                            

Full Time Wage Reopener:Chief Lutz requested that the board meet in Executive Session after the Regular Session to discuss the Full Time Wage Reopener.

Buildings: Chief Lutz reported that the punch list for St.#3 is still ongoing for a few minor issues (tiles, gutters, locks). He is still holding Seitz Builders’ final payment ($63,000) until all the work is completed.

OLD BUSINESS:                                                                                                  

Full Time Candidate List: Captain Kloski detailed the Full Time Testing Process which began in February, 2014. The process is quite extensive (Essays, VAT, Officer Interviews, etc.) and a final ranking of the 12 candidates has been published. Chief Lutz requested that the Fire Board approve the Full Time Test Results List for one year to be used in the event additional Full Time personnel are required. The Fire Board also agreed that the list can be extended after the first year.

Motion by: Mr. Takacs                  Seconded by: Mr. Anderson         ROLL CALL: All ayes

Full Time New Hire: Chief Lutz recommended that the Fire Board approve Benjamin Erdani, the highest ranking candidate, to the open Full Time position.

Motion by: Mr. Takacs                  Seconded by: Mr. Frager               ROLL CALL: All ayes

St. #2 Signage: Chief Lutz proposed that Conrad Signs Co. of Geneva be given the go-ahead to install a 48” x 72” aluminum sign in front of St.#2 for $4,096.54. The new sign is made of aluminum and will display the Madison Fire District logo and station number.

Motion by: Mr. Wayman              Seconded by: Mr. Anderson         ROLL CALL: All ayes

1992 Pierce 75’ Ladder Truck: Chief Lutz reported that the Perry/Madison Joint Purchase Agreement for the 1992 Pierce 75’ Ladder Truck (37,000 mi.) purchased from Painesville City Fire and Concord Fire for $30,000 has been finalized and signed by the Fire Board (Resolution #13-29). The truck has a 1500 gpm pump and carries 400 gallons of water. All records, including current ladder test, have been received from Painesville and the truck has been certified. All maintenance and improvements will be split between Madison Fire District and Perry Fire. The unit has been renamed using Perry and Madison logos and renumbered with Perry #2059. The truck will be housed mostly in Perry, is titled by Perry and is covered thru Perry’s VFIS insurance policy ($450,000 replacement cost). Madison will be covered by standard AMA agreements. Chief Lutz stated that, while in Madison, the unit will be housed in the north to serve Rt. 20. He anticipates the truck will serve both communities for 10 – 15 years.

A check for $21,718.55 will be issued to Perry Fire for the District’s portion of the purchase. The final cost summary is as follows:

Total Cost                  MFD Portion

Truck Purchase                 $30,000.00                 $15,000.00

Insurance – 1 year                    959.00                       479.50

Repairs – Countryside         7,578.32                     3,789.16

Tires                                        4,172.00                     2,086.00

Logos/Lettering                       727.78                          363.89

$43,437.10                   $21,718.55

 

1992 Pierce 75’ Ladder Truck (cont.):                                                       

Ladder Truck – Additional Tools Required:Chief Lutz stated that both Madison Fire and Perry Fire have equipped the recently purchased Ladder truck with surplus equipment available, however, additional tools and equipment are required to ensure the truck is adequately supplied. He asked that the Board approve an additional $7,500 ($15,000 total) to purchase Clamp Brackets, Fan Hangers, Negative Pressure Fan, Shop Vac, Pick Ax, Headset and Thermal Imaging equipment.

Motion by: Mr. Takacs                  Seconded by: Mr. Wayman           ROLL CALL: All ayes

Unemployment Hearing: Mr. Szeman, District Counsel, reported on the recently discussed unemployment hearing and it was concluded that the employee left because they cannot physically do the job anymore, and because no other work could be assigned. Therefore, it is his recommendation that Madison Fire District not pursue the matter any longer and pay the claim.

NEW BUSINESS:

Resolution #14-018 Depositories Designation: This resolution designates Andover Bank and STAR as District Depositories and, if approved, will remain in effect until 2019.

Mr. Takacs inquired whether other bank bids were submitted and if other rates were compared. Mr. Long replied that other banks were considered and that Andover and STAR offered rates that were as good as the rest. He reported that Andover has a $2,500 minimum in their Interest Bearing checking account with no service charge. Mr. Long also stated that STAR’s rate is lower than normal right now, but historically is higher than the others. Currently, we have reduced the amount of funds in this account to a minimum to retain the account. He also reminded the board that this resolution can be modified if additional depositories are desired.

Motion by: Mr. Anderson             Seconded by: Mr. Gauntner         ROLL CALL: All ayes

Station #1 Purchase Agreement – Village Deposit Check:                            

Mr. Vest reported that a question was raised regarding the “escrow” money that was given to the Madison Fire District from Madison Village, and the propriety of cashing the check issued, and where the funds are currently. Mr. Long reported that the Village Mayor and the President of the Council directed him (as Village CFO) to issue a check and deliver it to the Madison Fire District the following day – which he did. The Village did not appropriate additional dollars for this check – the dollars were taken out of previously appropriated funds. The District received the check, and per Ohio Revised Code which states that any check over $1,000 must be deposited within 24 hours, Mr. Long immediately deposited the check back into the Capital Fund which is where the dollars came from when the Training Center was originally built. If the deal does not go through, the District will issue a check back to the Village.

Station #1 Purchase Agreement – Village Deposit Check (cont.):             05-21-14

Mr. Kenneth Cahill, Village Council, asked if it was represented to the Village Council that the check would be held in escrow and not cashed. Mr. Vest replied, “Not to the best of my knowledge”.

Mr. Frager asked what “held in escrow” means. Mr. Szeman answered that the funds are held by a third party with fiduciary obligations to both parties to a transaction and that they have no actual direct interest in it.

Per Mr. Szeman, the March 19th, 2014 District minutes state that the Village would issue a “good faith” down payment check in the amount of $10,000 to the District on 3/20/14, and does not reference anything about an escrow account. Also, per Mr. Szeman, the Village Council minutes reflect that the Council motioned authorizing the expenditure of $10,000 in earnest money, a refundable deposit extended towards the Madison Fire District, together with an offer for $189,000, if ultimately accepted. It should be made very clear that these funds are sitting in a public treasury and the Fire District understands that the deposit will be refunded if the purchase agreement is not ultimately consummated.

Mr. Gauntner commented that, in his experience, the Ohio Revised Code specifically states that funds must be deposited in a timely manner and will impose citations for those who do not comply by the regulations. Chief Lutz offered that according to years of state audits, no findings were cited against the District which speaks loudly that Mr. Long understands and complies by the Ohio Revised Code.

Mr. Cahill asked Mr. Takacs if he was satisfied with the explanation. Mr. Takacs answered that he was, and further commented that, in his opinion, the word “escrow” was being used in error causing the miscommunication regarding this transaction. According to Mr. Takacs, the important issue is that the $10,000 deposit will be refunded to the Village if the transaction fails. Mr. Vest requested that an apology be given to Mr. Long for the accusations made against him in regards to “improper handling of the deposit check”. Mr. Cahill declined.

Chief Lutz reported that he has retained Attorney Gary Pasqualone to represent the District on this issue. Mr. Pasqualone is reviewing and revising the purchase agreement to protect the District’s interest, and will forward it to Madison Village when amended.

St. #2 Renovation:Mr. Frager asked for an accounting of the renovation evaluation considered for Station #2 during the new construction project of 2012-2013. Mr. Szeman stated that the information is available in the APP Architecture engineering reports and that the Board ultimately determined that the renovation was not feasible (too expensive 1.5-2 mil), and that part of the project was abandoned. Mr. Takacs explained that the Fire Board did make some improvements to St.#2 this past year to make it more hospitable, but passed on the major overhaul in favor of building a new station in the north at some later date. Mr. Szeman further explained that the Master Plan Facilities Review dictated what changes were needed and that the new St. #3 was designed as a template (less the administrative offices) for additional stations in the future. Mr. Frager asked to see said documentation.

CHIEF’S REPORT – Chief Gene Lutz:                                                         05/21/14

Blue Card: Chief Lutz reported that all officers have completed the Blue Card process and now the Full Time Employees are working through the process (50 hours online and 3 days of hands-on).

Inspection Report: In board folders.

Painesville City’s FIU Truck #2377: Chief Lutz reported that the District is storing Painesville City’s FIU Command Truck (renovated Lake Tran Bus) at St. #1 and will utilizing it for fire investigations as needed. Painesville City will maintain ownership, insurance and maintenance. The District will be responsible for fuel for District usage only.

Hose Testing: Chief Lutz reported that District personnel identified 700’ of damaged reserve hose during last year’s hose testing and will be looking to purchase 1000’ of new hose in the near future. Chief Warner, with Concord Fire, is going to Harrisburg and will be checking on pricing for 5” hose.

CLOSING PUBLIC PORTION:No Comments.

CLOSING BOARD COMMENTS:

Mr. Wayman recommended that the District Clerk order summer Fire Board shirts for the new Board members (Frager, Gauntner). Mr. Vest approved.

Mr. Vest reminded everyone of the June 18th Fire Board Meeting at 7:00 pm at Station #3 Training Center.

Motion to adjourn to Executive Session @ 7:57pm to discuss Labor Negotiations with business to follow by: Mr. Wayman     Seconded by: Mr. Frager   ROLL CALL:   All ayes

Motion to reconvene to Regular Session @ 8:20pm by: Mr. Wayman

Seconded by: Mr. Anderson                     ROLL CALL: All ayes

A motion was made to give Full Time Employees a 3% increase pursuant to the 2014-2015 Wage Reopener negotiation agreement ratified on May 21st, 2014.

Motion by: Mr. Takacs                  Seconded by: Mr. Anderson         ROLL CALL: All ayes

Motion to adjourn @ 8:30pm by: Mr. Anderson

Seconded by: Mr. Wayman                       ROLL CALL:   All ayes