MINUTES
OF THE
BOARD OF DIRECTORS
OF THE
KENTUCKY RIVER AREA DEVELOPMENT DISTRICT
HELD
OCTOBER 22, 2008
CALL TO ORDER
Chairman Judge Raymond Hurst called the meeting to order.
PLEDGE OF ALLEGIANCE
Chairman Judge Raymond Hurst led in the Pledge of Allegiance to the Flag.
INVOCATION
Reverend John Pray gave the invocation.
WELCOME
Mayor Lonnie Hendrix introduced and welcomed Mr. Gene Collett of Nashville, Tennessee; Mr. Dean Osborne of the Bluegrass School of Music; and Mr. Bobby Osborne of the Osborne Brothers.
Chairman Raymond Hurst also welcomed Mr. Ron Cain of Southern Kentucky Economic Development Corporation (SKEDC).
CALL OF ROLL
Judge Jimmy Sizemore called the roll with the following members present:
*Denotes designated representative
BREATHITT - Mayor Mike Miller
Gary Campbell
Ellis Tincher
KNOTT - Mayor Scott Cornett
Richard Pigman
Larry Parke
LEE - Mayor Joseph Kash
LESLIE - Judge Jimmy Sizemore
Mayor Lonnie Hendrix
Rufus Fugate
Hiram Cornett
LETCHER - Judge Jim Ward *Paul Miles
Mayor James W. Craft
Mayor Charles Dixon
Mayor Susan Polis *James Collins
Jack Burkich
Jim McDannel
OWSLEY - Judge Cale Turner
Mayor Charles Long *Ronnie Callahan
Dale Bishop
PERRY - Mayor Ernest Back
Freddie Combs
Reverend John Pray
Randy Bailey
WOLFE - Judge Raymond Hurst
Mayor Gay Campbell *Betty Clark
Reva Terrill
Roger Milligan
KRADD Staff Present - Paul Hall, Executive Director
Benny Hamilton, Assist. Dir./Physical Resources Planner
Annette Napier, Program Director
Gladys Slone, Executive Secretary
Carolyn Howard, Public Administration Specialist
Sherry Burchell, Human Services Planner
Betty Green, Human Services Assistant
Kimberly Coomer, Staff Accountant/Grant Administrator
Michelle Allen, Finance Officer
Eunice Holland, Transportation Planner
Jennifer McIntosh, Community Resources Planner
Peggy Roll, Human Services Director
Stacie Noble, Human Services Coordinator
John Chester, GIS/GPS Technician
Dave Adams, GIS/GPS Technician Assistant
Julie Haynes, Aging and Disability Resource Marketer
Marcia Swartzentruber, Homecare Case Manager
APPROVAL OF MINUTES
A motion was made by Mr. Jim McDannel to approve the minutes of the September 24, 2008 Board meeting; Motion seconded by Mr. Dale Bishop; Motion carried.
APPROVAL OF FINANCIAL REPORT
A motion was made by Mr. Roger Milligan to approve the Treasurer’s Report as presented; Motion seconded by Mayor Scott Cornett; Motion carried.
INTRODUCTION OF GUEST SPEAKER
Judge Raymond Hurst introduced Commissioner B.D. Wilson, Department of Governmental Relations Kentucky Transportation Cabinet.
Guest Speaker Commissioner B.D. Wilson, Dept of Governmental Relations KY Transportation Cabinet
Commissioner B.D. Wilson, Department of Governmental Relations KY Transportation Cabinet stated that his pledge as commissioner is that everyone that requests help or funding with a project will receive an answer back from his office whether it be yes or no. Commissioner Wilson stated that his cell phone number is 859-585-3686 and anyone should feel free to contact him at anytime with questions.
Commissioner Wilson spoke of the ADD’s and the state highway districts and encouraged everyone to utilize them to the fullest.
Commissioner Wilson introduced Mr. Rick Long Director of the Office of Rural and Secondary Roads.
Mr. Rick Long explained that the Office of Rural Secondary Roads oversees three revenue-sharing programs that are funded by the state gasoline tax as follows:
· Rural Secondary Road Program - 22.2% of gasoline tax
· County Road Aid Program - 18.3% of gasoline tax
· Municipal Road Aid Program -7.7% of gasoline tax
Mr. Long explained that each fiscal year all 120 counties, and 421 incorporated cities, and 46 unincorporated urban areas are allocated county and municipal aid. Counties receive funding based on the Fifth’s Formula and cities are funded based on their population as determined by the most recent Census. The funds are to be used for the construction, reconstruction, and maintenance of county roads and city streets.
Participants in the cooperative program do not receive their road aid as a monthly check. Instead participants receive a portion of their funds 3 times a year. The first check usually makes 60% of the total anticipated road aid available to the county or city. The second check makes another 30%-35% available and the third and final installment is the remaining balance based on the actual revenues tabulated after the end of the fiscal year. In addition, participants have 3% of their road funds withheld. This money is then placed in emergency funds. Participants in the cooperative are eligible to request emergency funding for projects. Non participants are not.
Mr. Long explained that the Rural Secondary Program funds must be used for the construction, reconstruction and maintenance of secondary and rural roads in each county. The Rural Secondary Program funds for each county were let as follows: June 27th Breathitt, Lee, Owsley, Knott and Letcher counties were let; and July 25th Perry, Wolfe and Leslie counties were let. Mr. Long stated that all projects have a November 30th completion date provided there are no extensions due to extraordinary circumstances.
Mr. Long gave a brief report on the history of the state gasoline tax.
Mr. Shane Tucker, Federal Program Manager explained that his office is responsible for administering the federal programs that are filtered through the Transportation Cabinet. Mr. Tucker noted that the office administers four programs as follows:
· Transportation Enhancement Program (TEP)
· Safe Routes to School
· Congestion Mitigation and Air Quality (CMAQ) and
· Scenic Byways and Highways
Mr. Tucker explained that the Transportation Enhancement Program, Congestion Mitigation and Air Quality Program, and the Scenic Byways and Highways Program are 80% federal and 20% local match and the Safe Routes to School is 100% federal.
Mr. Tucker noted that these are reimbursement projects rather than loans or grants. The program funds non-traditional highway projects such as sidewalks, welcome centers, air quality and congestion prevention and, etc. The program funnels $40 to $45 million dollars a year in federal funds through the state.
Mr. Tucker explained that the application process will begin in early December for 2009 projects.
BUSINESS
Remote Area Medical Health Expedition (RAM)
Ms. Julie Haynes spoke briefly about the Remote Area Medical Health Expedition (RAM). The RAM event will provide free vision, medical and dental services and supplies such as eyeglasses, pulling teeth, fillings and, etc. to several hundred individuals. Ms. Haynes explained that several local doctors and dentists are volunteering for this event. The RAM expedition will be held on December 6th and 7th at the Knott County Sportsplex on a first come-first service basis.
Revolving Loan Fund
Mr. Benny Hamilton brought everyone’s attention to the Summary of Changes to the Revolving Loan Fund Program guidelines included in the Board packet. Mr. Hamilton stated that board approval was needed in the form of a resolution to accept the changes to the Revolving Loan Fund Program guidelines.
Mayor Mike Miller made a motion to approve a resolution to accept the Revolving Loan Fund Program Guidelines changes as presented; seconded by Mr. Roger Milligan; motion carried.
Mr. Hamilton explained that three companies are in default in the Revolving Loan Fund Program at this time and the total outstanding principle is approximately $260,000. Mr. Hamilton noted that in discussing this with the auditors, and taking into account the 15% default rate guideline change as mandated by the Economic Development Administration (EDA), it has been recommended to write off the principle amounts for these default loans. Mr. Hamilton stated that although the amounts would be written off, collection efforts will continue.
Mr. Gary Campbell made a motion to approve write-offs of the aforementioned principle amounts; seconded by Mr. Jim McDannel; motion carried.
Mr. Paul Hall explained that the write-offs were necessary for KRADD to be in compliance with the EDA guidelines, however it will show as a negative fund balance on KRADD’s 2008 income/expense report.
Prioritization of Water and Sewer Projects
Ms. Jennifer McIntosh explained that the Water Management Council met prior to this Board Meeting for the purpose of ranking and prioritizing the regions top ten water and sewer projects. Ms. McIntosh explained the process of ranking and prioritizing the water and sewer projects. The projects were ranked and prioritized as follows:
Water Projects
1. Knott County Water and Sewer District – Carr Creek Water Line Project
2. Hyden/Leslie Water District – Grassy Water Line Extensions
3. Beattyville Water Works – Various Waterline Extension Projects
4. Letcher County Water and Sewer District – Hwy 1410/Knott County Interconnect
5. City of Vicco – Vicco/Knott County Interconnect
6. Booneville Water and Sewer District – Raw Water Intake Project
7. City of Jackson – Water Storage Tank for 476/15
8. City of Campton – Campton Water Plant
9. Beattyville Water Works – Water Line Extensions
10. City of Jackson – Wal-Mart Shopping Center Water Improvement
Wastewater/Sewer Projects
1. Booneville Water and Sewer District – Hwy 11 Extension
2. City of Beattyville – Hwy 11 South Extension
3. City of Vicco – Vicco Wastewater Treatment Plant
4. City of Campton – West Campton Expansion
5. City of Jackson – Lick Branch, Panbowl & Hwy 15 North Extensions
6. Whitesburg – Crafts Colley Extensions
7. Troublesome Creek Environmental Authority – Ball Creek Sewer Plant and Collection Lines
8. City of Hyden – Wooten Sewer Plant Project
9. City of Campton – KY Route 15 Extensions
10. City of Vicco – Collection/Conveyance Improvement Project
Ms. McIntosh stated that Board approval was needed for the Prioritization of the Water and Sewer Projects.
Mr. Gary Campbell made a motion to approve the Prioritization of the Water and Sewer Projects as presented; seconded by Mayor Mike Miller; motion carried.
Area Aging Plan
Ms. Peggy Roll explained that requests for Aging Service Contract Proposals will be mailed out on December 12th 2008 and are due at KRADD by close of business day on January 21st, 2009. Ms. Roll noted that the bids will be determined by March 1, 2009 and presented to the KRADD Board for approval at the March 2009 monthly meeting.
Staff Requirements
Mr. Paul Hall explained that Manchester Memorial Hospital will no longer provide Homemaker and In-Home Services for senior citizens in Owsley and Lee Counties. It is expected that those clients will apply for the Consumer Directed Option (CDO) Program through KRADD. It appears that the CDO Program will receive 50 to 80 new clients.
Mr. Hall explained that KRADD now employs one full-time and two part-time employees that provide the CDO case management. Each employee is allowed a maximum of 40 clients therefore KRADD would need to hire two CDO case managers and one CDO payroll clerk to maintain CDO timesheets and payroll.
Ms. Jim McDannel made a motion to hire 3 employees for the Consumer Directed Option Program; seconded by Mr. Roger Milligan; motion carried.
November Board Meeting
Mr. Paul Hall noted that the November meeting falls on the day before Thanksgiving. Mr. Hall explained the November meeting is usually moved up from the usual 4th Wednesday of the month to the 3rd Wednesday of the month.
Ms. Reva Terrill made a motion to move the November Board meeting to the 3rd Wednesday of the month; seconded by Mayor Scott Cornett; motion carried.
OTHER BUSINESS
Mr. Paul Hall announced that KRADD and KY River Community Care will sponsor a free summit on Health Disparities in the Appalachian Coal Producing Counties. The summit will be held at Buckhorn Lodge on November 12th and 13th. Mr. Hall stated that he has registration forms for the summit and encouraged as many to attend as possible.
Mr. Dean Osborne Director of the KY School of Bluegrass and Traditional Music in Hyden spoke briefly about the School of Music stating that it is a part of the Hazard Community Technical College. Students can study Bluegrass music and receive an A.A.S. Professional Studio Artist Degree. The program offers classes in Bluegrass History, individual instruction on all Bluegrass instruments, Bluegrass Band Ensemble, Music Business, Recording, Songwriting and many other classes.
Mr. Bobby Osborne spoke of his childhood roots in Leslie County and the excitement of coming back to the area and teaching Traditional Bluegrass Music at the KY School of Bluegrass and Traditional Music.
Chairman Raymond Hurst made a motion to adopt a resolution declaring Mr. Bobby Osborne the “Worlds Greatest Mandolin Player”; seconded by Mayor Lonnie Hendrix; motion carried.
Ms. Regina Crawford, Field Representative for Senator Jim Bunning, announced that Senator Mitch McConnell and Congressman Hal Rogers would be in Leslie, Clay and Jackson counties on Friday, October 24th and in Hazard on October 30th.
ADJOURNMENT
With no further business to discuss Mr. Dale Bishop made a motion to adjourn the meeting; seconded by Mr. Roger Milligan; motion carried.
______
Judge Raymond Hurst, Chairman
______
Judge Jimmy Sizemore, Secretary