There was a moment of silence in memory of Arthur Bond. The Pledge of Allegiance was led by Danny Williams.

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1 September 21, 2017 The regular meeting of the County Commissioners of Allegany County was held in the Commissioners Meeting Room, Allegany Room 100, 701 Kelly Road, Cumberland, at 5:00 p.m. on the above date. The following were present: Commissioner Jacob C. Shade; Commissioner Creade V. Brodie, Jr.; Commissioner William R. Valentine; County Administrator David A. Eberly; and County Attorney William M. Rudd. The following business was transacted: There was a moment of silence in memory of Arthur Bond. The Pledge of Allegiance was led by Danny Williams. MOTION There were no additions or deletions to the agenda. MOTION Upon Motion by Commissioner Brodie, seconded by Commissioner Valentine, and Motion carried, the Commissioners approved the minutes of the September 7, 2017, public business meeting. PRESENTATION Item 1 Allegany County Sheriff s Fire Police 20 th Anniversary Sheriff Craig A. Robertson started by explaining that the Allegany County Fire Police has been in existence since 1997, under the direction of former Allegany County Sheriff David A. Goad. He discussed the safety assistance provided by this organization to the Sheriff s Department and the County s firefighters, including security and traffic assistance. Sheriff Robertson pointed out that the Fire Police have assisted with many tragic events, receiving little to no recognition, and he said that this evening, he wanted to honor them with the respect and recognition they deserve. He then called forward former Sheriff David Goad to share some remarks about the Allegany County Fire Police. Mr. Goad shared some history about the Fire Police organization. He remarked that not many states have Fire Police, with Maryland being one of only fourteen states where they are in existence. Mr. Goad pointed out that the Fire Police is made up of volunteer members of other companies, and that through legislation, the number of Fire Police members permitted has increased from three initially to twelve currently. He spoke of the unique service of the Fire Police, including their 24/7 on-call status, and their value to Allegany County. Mr. Goad thanked the Sheriff for honoring these men, and congratulated them on their 20 th Anniversary. Sheriff Robertson reported that in addition to assisting the Sheriff s Department and the County s fire departments, the Fire Police also provide services to the Cumberland City Police Department and the Maryland State Police. He explained that while Chief Hinnant of the Cumberland PD was unable to attend this evening s meeting, Lt. Martz of the MSP LaVale Barracks was present to offer his remarks. Lt. H. B. Martz, Commander of the LaVale Barracks of the Maryland State Police, offered his congratulations to the Fire Police on their 20 th anniversary. He acknowledged the volunteers in Allegany County as second to none and expressed his appreciation for everything that the County s Fire Police do for the State Police and also talked of their value, especially in freeing up a State trooper, deputy or city policeman to attend to other necessary duties.

2 Next, Sheriff Robertson presented Danny Williams, Fire Police Chief, with a letter from Kevin Kamauf, Allegany County Fairgrounds Manager. He explained that Mr. Kamauf was not able to attend this evening s meeting, but sent the letter to express his appreciation for the assistance of the Fire Police during the annual County Fair each summer. Sheriff Robertson concluded by thanking the Commissioners for their time and for honoring the Fire Police at the meeting. A round of applause followed. Commissioner Shade read and presented the Official Citation in honor of the 20th Anniversary of the Allegany County Fire Police. There was another round of applause. Item 2 National Recovery Month Proclamation, September 2017 Becky Meyers, Program Director, Behavior Health Outpatient Addiction Services, Allegany County Health Department, thanked the Commissioners for all of the support they give the Allegany County Health Department in all of their efforts, especially over the last couple of years concerning the opioid epidemic. Ms. Meyers discussed the annual Recovery and Wellness Walk. When Ms. Meyers had concluded her remarks, Commissioner Shade read and presented her with an official Proclamation of September 2017 as National Recovery Month in Allegany County. The presentation was followed by a round of applause. Item 3 Mental Illness Awareness Week, October 1-7, 2017 Lesa A. Diehl, Director, Allegany County Health Department Mental Health System s Office. Commissioner Shade read and presented an official Proclamation of the week of October 1 7, 2017, as Mental Health Awareness Week to Ms. Lesa A. Diehl, Director of the Allegany County Health Department Mental Health System s Office. Ms. Diehl offered brief remarks, first thanking the Commissioners for their many years of being very supportive of mental health in Allegany County. She described Mental Illness Awareness Week as a national observance that was designated by the United States Congress in 1990, to recognize the increasing incidence of mental illness. She pointed out that it takes place the first full week of October, which includes October 10th, World Mental Health Day. Ms. Diehl discussed the reasons for and goals of Mental Illness Awareness Week, and then invited everyone to join in its celebration by participating in the annual Candlelight Celebration in observance of Mental Illness Awareness Week. She announced that this year s event, which is the 24th Annual Candlelight Celebration, will be held on Tuesday, October 3, 2017, at 12 noon, in the Allegany County Health Department Community Room. Ms. Diehl distributed flyers providing information on the event. Before moving on to the Action Agenda, Commissioner Brodie announced that at the last meeting of HRDC, Ms. Lesa Diehl was appointed and voted on to become an HRDC Board member in place of Kevin Turley, who recently vacated his position on the HRDC Board. Ms. Diehl confirmed that she has accepted the position, and Commissioner Brodie welcomed her to the Board, remarking that she is very knowledgeable and will be an outstanding Board member. ACTION AGENDA Item 4 Resolution United States Department of Agriculture (USDA) $3,000,000 Loan Resolution for the Wrights Crossing Pump Station Board of County Commissioners to approve Resolution USDA $3,000,000 Loan Resolution for the Wrights Crossing Pump Station David A. Eberly, County Administrator, explained that Resolution is simply to authorize the Board of County Commissioners to execute a 40-year loan with USDA, to cover the upgrades to the Wright Crossing Pump Station along with other improvements that were made in the vicinity. He added that in the long run, this will assist the County with its I and I (Inflow and

3 Infiltration) Program. Mr. Eberly reported that the total of these upgrades and equipment acquisition totaled $4,900,000, and that the loan is for two (2%) percent, with an annual debt service of approximately $109,000 that will be borne by the users of the system. Mr. Eberly explained that this Project is an important part of the County s I and I Program. He reported that Allegany County is very fortunate to have received a $900,000 grant from USDA and a $1,000,000 grant from the Maryland Department of the Environment. Upon Motion made by Commissioner Brodie, seconded by Commissioner Valentine, and duly carried, the Commissioners unanimously approved and passed Resolution USDA $3,000,000 Loan Resolution for the Wrights Crossing Pump Station. Item National Bridge Inspection Program Professional Engineering Services Board of County Commissioners to award the contract for the field inspection and preparation of inspection reports in accordance with the National Bridge Inspection Program for 74 county and municipality maintained structures meeting Federal criteria to the Wilson T. Ballard Company, Owings Mills, Maryland, in the amount of $513,637.57, pending approval by the Maryland State Highway Administration Bridge Inspection and Remedial Engineering Division Adam Patterson, PE, County Engineer, reminded the Commissioners that every two years, he comes before them to request their approval to accept a contract. He added that this year, he wanted to give them a little more background about how the National Bridge Inspection Program works. The information Mr. Patterson provided was from his staff report dated September 12, 2017, a copy of which is attached to and made a part of these Minutes. During his presentation, Mr. Patterson acknowledged that most of the contractors used are State Highway Consultants from downstate. He explained that this is because they are prequalified; one hundred percent of the cost comes out of the County s federal bridge funds; and that the two-year contract involves in excess of 3,000-man hours. Mr. Patterson further explained that when asked why local contractors are not used for the bridge inspection program, the answer is that they are not qualified and cannot supply the required manpower. He added that after awarding of the contract, work on the Project would begin very soon. Before taking action on this Item, Commissioner Shade asked Mr. Patterson a question: If a tractor trailer were to slam into one of the County s bridges, would the owner of the tractor-trailer be held responsible for repair of the bridge? Mr. Patterson replied that if this involves driver error, the answer is yes. Commissioner Valentine moved that the Board of County Commissioners accept and award the contract for the field inspection and preparation of inspection reports in accordance with the National Bridge Inspection Program for 74 county and municipality maintained structures meeting Federal criteria to the Wilson T. Ballard Company, Owings Mills, Maryland, in the amount of $513,637.57, pending approval by the Maryland State Highway Administration Bridge Inspection and Remedial Engineering Division. Commissioner Brodie seconded the Motion. Motion carried unanimously. Item 6 George s Creek Stream Restoration Shaft Final Design and Construction Board of County Commissioners to authorize the President to sign the Maryland Department of Natural Resources Trust Fund Natural Filters Grant Agreement and the Abandoned Mine Lands Division Memorandum of Understanding and authorize the office of the Land Use & Planning Engineer to solicit professional qualifications and proposals to complete final design and specifications for George s Creek Stream Restoration in Shaft Angela R. Patterson, PE, Land Use and Planning Engineer, told the Commissioners that she was present to request their

4 authorization on three items related to restoration of 3,500 linear feet of Georges Creek in Shaft: 1) authorization to accept funding awarded by DNR s Trust Fund Natural Filters Program, in the amount of $786,422, for the stream restoration portion of the Project (with the grant agreement anticipated to be ready for signature within a few weeks); 2) authorization to accept funds in the amount of $720,906 from MDE s Abandoned Mine Lands Division to fill and seal two surface mine pits, which is a necessary first step to realigning and restoring the stream (with the Memorandum of Agreement with the Abandoned Mine Lands Division to be ready for signature by December 31, 2017); and 3) authorization to solicit qualifications and proposals for professional design services (with a 70 percent design in hand as a result of MDE Watershed Assistance Grant Program funding, and with the chosen consultant to partner with County staff in delivering final construction plans and obtaining necessary permits for the complete restoration). Mrs. Patterson explained that the George s Creek Stream Restoration Project was made a priority by the County s Chesapeake Bay TMDL Watershed Implementation Plan Team, due to its potential for water quality credits, while also adjusting significant access and inflow and infiltration issues of the County s sanitary sewer interceptor. She further explained that the sewer line is currently inaccessible for evaluation or maintenance in this area, due to its location between the stream and the abandoned surface mine pit. Mrs. Patterson added that the only cost to the County to complete this Project is staff time to manage the Project, estimated at $40,000; all design and construction funds have been secured, with an additional $500,000 in capital funds being budgeted by the Abandoned Mine Lands Division for August She further explained that the Project is anticipated to move into a construction phase at that time. Mrs. Patterson told the Commissioners that the landowner is in support of the Project; and that when completed, the Department of Public Works will be able to gain access to the existing sewer to determine the specific course of action needed to address significant documented I and I (Inflow and Infiltration) issues within this reach of the sewer. Commissioner Shade asked if there was any discussion. Commissioner Brodie asked if action on this Item could be tabled until a future public business meeting, to allow him to meet with the Bureau of Mines onsite. He explained that there are several conflicting areas here and that part of the water drains into the Huffman Tunnel, and there is a teardrop effect there. Commissioner Brodie pointed out that there is a total of about six series of ponds in question, and he discussed his concerns with those ponds. He asked the other Commissioners if they would agree to tabling Item 6 George s Creek Stream Restoration Shaft Final Design and Construction until he has had a chance to meet with the Bureau of Mines regarding his concerns about the Project. Commissioner Valentine asked if any of the funding for the Project would be jeopardized by a delay in action for two weeks to a month. Mrs. Patterson replied that such a delay would not jeopardize the funding. Commissioner Shade announced that, if there were no objections, Item 6 would be tabled until a meeting in October CONSENT AGENDA

5 As recommended by the County Administrator Item 7 Allegany County Board of Elections Memorandum of Understanding for Early Voting Board of County Commissioners to sign the Memorandum of Understanding with the Allegany County Board of Elections and authorize use of the Allegany County Office Complex for the process of Early Voting in Allegany County for the Primary and General Elections in Commissioner Shade requested that Item 7 be tabled until a future public business meeting. Commissioners Brodie and Valentine agreed to Item 7 being tabled. He voiced his concern over the State s new policy of not releasing precinct results on election night, but instead sending them to Annapolis to then be sent out as they (those in Annapolis) see fit. Commissioner Shade remarked that Allegany County s voting machines are paid for by both the County and the State, and said that he considers precinct results to be public information and that they should be posted and available on election night. He explained that this is causing concern because of the issue of transparency. Upon Motion by Commissioner Valentine, seconded by Commissioner Brodie, and Motion carried, the Consent Agenda as recommended by the County Administrator, as to Items 8, 9, 10, and 12, was adopted. Upon Motion by Commissioner Shade, seconded by Commissioner Valentine, and Motion carried, Item 11 of the Consent Agenda was adopted, by a vote of 2 to 0. Commissioner Brodie abstained from voting on Item 11. Item 8 Repairs to North Branch Industrial Park Bridges A-085 and A-086 Bid Award Board of County Commissioners awarded the contract for repairs to North Branch Industrial Park Bridges A-085 and A-086 to Carl Belt, Inc., Cumberland, Maryland, in the amount of $462,065, and authorized the President to sign any necessary agreements/contract documents. Item 9 Allegany County Complex Window Replacement Bid Award Board of County Commissioners awarded the contract for replacement windows for the Allegany County Complex to Glass Service of Cumberland, Inc., in the amount of $45,027. Item Emergency Management Performance Grant Acceptance Board of County Commissioners authorized the acceptance of the 2017 Emergency Management Performance Grant in the amount of $83,273 for reimbursement of Emergency Management Program costs. The grant will be administered by the Department of Emergency Services and is provided through the Maryland Emergency Management Agency. Item 11 LaVale Sanitary Commission Board Appointment Board of County Commissioners approved the re-appointment of David C. Gehauf to a six-year term as a member of the LaVale Sanitary Commission. His term will expire on September 21, Item 12 Declaration of Surplus Property Board of County Commissioners declared the real property formerly known as the San Mar Girls Group Home, Willowbrook Road, as surplus to the County s needs; authorized the transfer of this property to the Western Maryland Health System; and authorized advertisement of notice of intended transfer of the property. Mr. Eberly provided some further information and background on Item 12, explaining that the County intends to transfer the property to the Western Maryland Health System to support their efforts in establishing a transitional housing program at the property for County residents in recovery. As background, he explained that the property was donated by Allegany County to the

6 State of Maryland in the 1970s, and the conveyance included a right of reversion. Mr. Eberly reported that the State closed the facility a while back, when the State shifted the San Mar model from a group home model to a private residential family model. He went on to explain that the proposed use by the Western Maryland Health System is in partnership with the Health Department, to help address a critical need in the ongoing fight against opioid addictions. County Administrator Eberly read two letters into the record: the first dated September 18, 2017, from the City of Cumberland to the Board of County Commissioners, which he paraphrased at this meeting; and the second dated September 21, 2017, from the Board of County Commissioners to the City of Cumberland, in reply to the City s letter. He read the second letter in its entirely at this meeting. Copies of both letters are attached to and made a part of these Minutes. Following the reading of the letter from the Board of County Commissioners to the City of Cumberland, the Commissioners all signed the original letter and authorized Mr. Eberly to mail it. County Attorney Rudd offered some remarks on the late Arthur Bond, discussing his longstanding working relationship with Mr. Bond and his great respect for him. He described Mr. Bond as a very smart man, possessing both street smarts and common sense. Attorney Rudd also mentioned Mr. Bond s loyalty to County employees. Commissioners statements, comments, recognition Commissioner Valentine commented on the letter from the County to the City of Cumberland that Mr. Eberly just read into the record. He pointed out that he especially liked the line we will not apologize for being responsible stewards of the taxpayer money, and referred to tough votes and tough steps taken by him and Commissioner Brodie approximately six or seven years ago, in public, to keep the County s financial system under control. Commissioner Valentine added that all three Commissioners took similar steps at the work session held earlier in the day, explaining that they look forward to seeing what has to be done to keep the County running properly. He spoke of how it disturbs him when other entities, such as the Board of Education, do not take such steps, and then approach the County Commissioners to ask for money from their fund balance, after that agency has already spent all of its fund balance. He commented that the City of Cumberland is now doing the same thing, instead of taking steps that could be taken to control their own destiny. Commissioner Brodie also spoke about Arthur Bond, making reference to the five terms Mr. Bond served as a County Commissioner, an almost impossible accomplishment. He described Mr. Bond as a true gentleman, who offered him some helpful advice before he (Commissioner Brodie) first ran for office. Commissioner Brodie reported that the County flag is flying at half-mast this week, and also that he contacted the Governor s Office to ask if they would fly the State flag over the Capitol at half-mast as well, to honor both Arthur Bond and the late Larry Kelly. He explained that the State responded that such an honor is reserved for serviceman killed in action, saying that he totally understood and agreed with this policy, but that the State did give the County permission to fly its State flag at the County Building at half-mast in honor of Mr. Bond and Mr. Kelly. Commissioner Brodie asked the other Commissioners if they would agree to the flags being lowered accordingly, beginning the next day through Tuesday, October 3. The Commissioners agreed. Mr. Eberly spoke again, offering his own memories and thoughts about Arthur Bond. He brought up a very memorable speech made by Mr. Bond 20 years at a ceremony honoring him in the City of Frostburg, during which Mr. Bond shared details about his own personal struggles. Mr. Eberly said it was an amazing and memorable speech. Commissioner Shade reported that the Commissioners did hear back from the Maryland

7 Historical Trust about the pillars at the Washington Street Library, and the County is slowly moving forward, at a price tag less than $200,000, with the Trust s preliminary approval. He thanked Adam Patterson and the Public Works Department for their efforts regarding this project. Constituents In order of sign-up sheet Kenneth Wilmont, of 513 Fort Avenue, Cumberland, remarked on the beautiful day and then proceeded to comment on several subjects. First, he talked about the Washington Street Bridge and his efforts to persuade the City of Cumberland to team up with the Railroad (CXS) regarding that issue. Next, Mr. Wilmont reported on lack of customers at the Downtown Farmers Market, commenting that he thinks it is because people are leaving the area due to lack of work. Finally, Mr. Wilmont discussed his concerns about the animal shelter and animal control in Allegany County. Reminders/Upcoming Meetings Next Public Business Meeting Thursday, October 12, 2017, 5:00 p.m. Announcement Comprehensive Update to the Allegany County Zoning District Map Public Hearing, Wednesday, September 27, 2017, 5:00 p.m., 701 Kelly Road, Allegany Room 100, Cumberland, Maryland (See News Release). ADJOURNMENT: There being no further business to come to the attention of the Board, the meeting was adjourned at 5:55 p.m. True Copy Attest: Jacob C. Shade, President Cynthia A. Young Recording Secretary

8 CITY OF CUMBERLAND MARYLAND September 18, 2017 The Honorable Jacob C. Shade, President Board of County Commissioners Allegany County Government 701 Kelly Road Cumberland, Maryland RECEIVED SEP ALLEGANY COUNTY COMMISSIONERS Dear President Shade: In recent weeks we have heard concerns expressed that the City of Cumberland has not adequately communicated its needs to Allegany County Government. It is our opinion that a healthy Allegany County depends significantly on a healthy City of Cumberland. While we have great respect for our fellow municipalities in Allegany County and the outstanding work they do, Cumberland serves as the county seat of Allegany County and faces some unique challenges associated with having the largest concentration of county population and hosting most of the state and county public service agencies within its borders. Therefore, we would like to request the Board of County Commissioner' s assistance in several areas. MAYOR BRLAN K GRIM COUNCIL SETH D. BERNARD DAVID J. CAPORALE RICHARD J. CIONI. JR. EUGENE T. FRAZIER CITY ADMINISTRATOR jeffrey D. RHODES CITY SOLICITOR MICHAEL SCOTI COHEN CITY CLERK MARJORI E A W OODRING I MEMBER MARYLAND MUNICIPAL LEAGUE (MML) First, the City implores the Board to move forward with consolidation of EMS services by July 1, It is clear that Allegany County is under increased pressure to provide reliable EMS services and we believe the demand for these services will only grow. To this end, we are ready and willing to cooperate on consolidation of these services and believe that talks should begin immediately to ensure a smooth transition and fair treatment of employees who may be impacted by the consolidation. Second, we request the assignment of two Deputy Sheriffs within the borders of the City of Cumberland on a 24/7/365 basis for patrol and law enforcement purposes. Just recently, President Shade expressed his concern directly to Police Chief Hinnant about vagrants found around the Market and Valley Street Bridges. This is an example of a growing concern that the Allegany County Sheriffs Department could help address. While we all can agree that the Cumberland Police Department and the Allegany County Sheriffs Office do an outstanding job in an increasingly difficult environment, we believe it is time that the Commissioners provide funding for an increased law enforcement presence in the City of Cumberland on a permanent and ongoing basis. Our request is supported by the fact that the ratio of county law enforcement to city law enforcement is misaligned. The Allegany County Sheriffs Office is one of, if not the smallest Sheriffs department in the State of Maryland on a per capita basis. In fact, Worcester County, which has a particularly unique situation, is the only other Maryland county we could identify that has a smaller law enforcement presence than any municipality within its border. We believe it is time that the County provide greater 57 N. LIBER1Y STREET. CUMBERlAN D. MD VOICE (301) FAX (301) TDD (800)

9 funding to the Sheriff's office to allow for the expansion of the Sheriffs law enforcement operations and the assignment of at least two Deputies to serve the residents of Cumberland on a full time, round the clock basis. Third, the Tax Differential is a continuous topic but one that cannot be ignored. Rather than use a court decision that is decades old as reasoning for the continuance of a formula-based municipal tax differential in Allegany County, the City requests that the issue be revisited. Each year Allegany County, after tax differential, collects in excess of $7 million in real property tax revenues just from City of Cumberland residents. We believe that amount is excessive unless Allegany County steps up to provide a greater level of services to the Cumberland residents who are paying these county taxes. Compared to how their city tax dollars are spent, many city residents see very little in return for their county tax dollars. Fourth, as construction of the new Allegany High School progresses we have received complaints about additional street damage due to heavy vehicle and equipment use at the construction site. Once construction on the school is complete, the City will make plans to improve Braddock Road (from Seton Drive to the corporate boundary near LaVale), Seton Drive, and Bishop Walsh Road to provide suitable access to the new school. The City is requesting that Allegany County provide a 50% match of up to $500,000 to assist with milling and paving of these streets that will not only serve as access roads to the new school, but provide access to the homes of some of the highest tax payers in the County. We believe these improvements are necessary to adequately serve the school and residents of the area around the new school. Fifth, and also related to the construction of the new school, the City of Cumberland is requesting that Allegany County ensures demolition of the old Allegany High School if and when the Board of Education ceases to use the building and declares it surplus. While the County will certainly hear calls to save the gym and/or save the auditorium, history has shown that the redevelopment of former school buildings seldom work and the vacant facilities often become a burden to the community. Ultimately, most end up as property that is vacant, blighted, and a source of endless requests for public assistance to help renovate the building. The City does not want to see Allegany County convey the high school property to a private entity without reversionary contingencies that would bring the property back into the County' s ownership if the private entity does not follow through with their development plans. As you know, should that happen, the local community, not Allegany County, would be left to deal with the situation. We need look no further than the former East Side School as a prime example of how cases such as that can negatively impact a community. East Side School sat as a visible blighted property for decades after numerous failed attempts to redevelop the building and the City of Cumberland ultimately was forced to deal with the situation. Finally, we point out that Allegany County's own FY16 audit, which is attached, indicates nearly $24 million in unassigned and assigned fund balance just in the General Fund. While the County's financial stewardship is commendable, communities throughout Allegany need your help, including the City of Cumberland. We therefore respectfully urge the Board of Commissioners to consider our requests as soon as possible. We look forward to discussing these issues with you and welcome any questions you may have.

10 Respectfully, ioni, Councilman cc: Creade V. Brodie, Jr., Commissioner William R. Valentine, Commissioner

11 ALLEGANY COUNTY, MARYLAND BALANCE SHEET GOVERNMENTAL FUNDS JUNE 30,2016 Revolving Other General Building Public Improve Governmental Funds 1,150 62,375 2,846,171 ASSETS: Fund Fund Bond Fund Cash $ 25,125,676 $ $ Cash -restricted Invesm1ents 8,752,495 Investments-Restricted 1,623,360 8,059,000 Property tax receivable 4,785,277 Receivables Notes and loans Other receivables 4,337, ,392 5,703 Due from other funds 10,273,171 3,558,575 Advances to other funds 1,200,000 Inventory Prepaids Miscellaneous assets 49,247 Total Assets $ 45,873,352 $ 10,563,563 II,623,278 $ 289,771 1,509,623 1,820,024 45,460 6,574,574 $ $ Total 25,126,826 62,375 11,598,666 9,682,360 4,785, ,771 6,143,015 15,651,770 1,200,000 45,460 49,247 74,634,767 LIABILITIES, DEFERRED INFLOWS OF RESOURCES AND FUND BALANCES: Liabilities: Accounts payable $ 1,485,480 $ 1,404,446 $ Accrued payroll 851,763 12,606 Accrued payroll fringe 387,801 4,328 Due to other funds 12,064,375 Amounts held in escrow 648,514 Unearned Revenue 39,752 Miscellaneous liabilities 307,360 22,500 Total Liabilities 15,785,045 1,443,880 Deferred inflows of resources: Unavailable Revenue 4,835,365 65,032 Total Deferred inflows of resources 4,835,365 65,032 Fund Balances: Nonspendable 1,200,000 Restricted 173,170 I 1,623,278 Committed 150,000 9,054,651 Assigned 5,637,360 Unassigned 18,092,412 Total Fund Balances 25,252,942 9,054,651 I 1,623,278 Total Liabilities, deferred inflows of resources and fund balance $ 45,873,352 $ 10,563,563 II,623,278 $ 1,004,729 46,960 23,067 1,120, , ,779 3,205, , ,816 45,460 1,102, ,276 1,342,978 (419,033) 2,752,326 6,574,574 $ 3,894, , ,196 13,185, , , ,860 20,434,357 5,517,213 5,517,213 1,245,460 12,899,093 9,884,927 6,980,338 17,673,379 48,683,197 Amounts reported for governmental activities in the statement of net position are different because: Capital assets used in governmental activities are not financial resource! and, therefore, are not reported in the funds. Other long -term assets are not available to pay current -period expenditure' and are deferred in the funds. Deferred Inflows of Resources Deferred Outflows for Pension benefits Long-term debt, including compensated absences, is not due and payable in the current period and therefore is not reported in the funds. Deferred Inflows for Pension benefits Other long -term liabilities arc not due and payable in the current period and therefore are not reported in the funds. Net position of governmental activities 86,785,445 1,657,498 5,517,145 2,302,077 (26,575,440) (206,830) (13,826,555) $==I 04 :::::=,3::: 36::,5::::: 37= The notes to the financial statements are an integral part of this statement. C-11

12 BOARD OF COMMISSIONERS Jacob C. Shade, President Creade V. Brodie, Jr. William R. Valentine ALLEGANY COUNTY, MARYLAND Office of The Board of County Commissioners 701 Kelly Road Cumberland, MD FAX September 21, 2017 David A. Eberly, County Administrator William M. Rudd, County Attorney The Honorable Brian K. Grim and Council Members City of Cumberland 57 N. Liberty Street Cumberland, MD Dear Mayor Grim and Council Members: The Board of Commissioners of Allegany County is in receipt of your letter dated September 18, 2017 regarding various public service issues and a request for financial and operational considerations across the board. We will take this opportunity to address each one of the points raised in your correspondence and provide you with feedback. We must preface our comments with the restatement that the County's revenue estimates for both property tax and income tax are relatively flat. At the same time, costs associated with funding public education, healthcare, maintaining roads with only a small share of highway user funds we once enjoyed, requires us to also make painful decisions. As such, our capacity to assist the City is limited. With regard to EMS, the County has taken steps to expand its EMS program to meet growing demands. Additional county personnel were recently put into place to address the cessation of the Frostburg Area Ambulance organization. In the coming months, additional personnel will be hired to serve areas East of Cumberland to reduce demands currently placed upon the City. We welcome future discussions with the City relative to the consolidation of services on EMS and in other areas that could potentially eliminate the duplication of services for the taxpayers. It is important to emphasize that the County will not enter into any expansion of services with the City on EMS until such time a clearly defined revenue stream is available to adequately cover the expenses associated with the expanded service. Using fund balance resources without a clearly defined revenue source long term, is not acceptable. Regarding the County funding additional law enforcement inside the City on a 24/7/365 basis, funding is also a consideration. We estimate the cost to be well in excess of $500,000 per year for personnel only to provide the service you request. The City's municipal charter authorizes the hiring of law enforcement personnel, and the residents of Cumberland are granted a differential on their city tax bills to offset the city's investment for these services. Again, making a commitment to expand the Sheriff's Road Patrol without a clearly defined source of new revenue would not be prudent, and the assignment of any new personnel existing or proposed is not a function of our Board, that responsibility lies with the Sheriff.

13 On the question of tax differential, the City and County are currently operating under the latest circuit court decision rendered in As defined by State Law and the court's ruling, the differential only pertains to the level of duplicative services provided by the County and each municipality that is supported by property tax revenue. We are not opposed to discussing the financial impacts of our citizens paying for duplicative services. Each and every year during our public budget meeting we outline for the taxpayers the number of services the County is obligated to pay for, that the municipalities don't pay for. These services account for over sixtyone million dollars of the County's General Fund budget. For purposes of clarification, we have attached a portion of our approved FY 2018 Budget that displays a list of entities and services that all the Citizens of Allegany County derive a benefit from that are paid for by County government, not the municipalities. The County will take your request to provide funding for paving Seton Drive and Bishop Walsh Drive under advisement. It is important to note, that municipalities across the state have had larger portions of their highway user funds returned than was returned to the counties. Allegany County has been forced to budget with the loss of over four million dollars of HUR over the past eight years. In lieu of setting a precedent to support such a large paving project, we would like to discuss with the City the prospect of County crews working within the City for a defined period each summer to apply chip seal coating on low volume roads. A recent partnership with the Board of Education provided us the opportunity to allow crews to chip seal parking areas and access roads at both Washington and Braddock Middle Schools. The cost savings to the BOE was substantial. A chip seal application can be done for a fraction of the cost of paving, and it is certainly better than having no maintenance completed at all which is what is taking place now. We believe that over time, many City residents would appreciate having some of their low volume roads and byways improved beyond their current condition. We will take your position on the soon to be vacated Allegany High School property into consideration. It would be optimal to have the property redeveloped and contributing to the tax base of both the City and County. Community interest in the property will also be carefully evaluated by the County. Any further discussion on this topic is premature, as the Board of Education is still evaluating the need to retain portions of the property for "educational purposes". The City's reference to the County's Fund balance has been noted, and we thank you for recognizing our efforts to live within our means as commendable. As publicly reported during our budget development process, the County maintains the minimum level of fund balance suggested by both the Government Finance Officers Association, and the Government Accounting Standards Board. Funds in excess of the amounts desired have been used most recently to cover the funding shortfall for the new Allegany High School, and to reduce the amount we needed to borrow to upgrade all public safety agencies in the County with new state of the art radios for migration to the new state radio frequency. Of the five million the county recently borrowed to fund the purchase of the equipment, 20% of the new debt will be used to install radios in firetrucks, ambulances, and police cars owned by the City of Cumberland. We will not apologize for being responsible stewards of the taxpayer money. As such, we are accustomed to being targeted for our business-like decisions from entities that are not responsible for paying the debt on large capital projects obligated to us by the State on behalf of multiple agencies.

14 We would like to return to the opening paragraph in your letter that discussed Cumberland's unique challenges. Mayor Grim has made the difficult observation on numerous occasions that the City today has twice the amount of public infrastructure it needs to support its current population. That indeed makes for a difficult set of variables particularly when the tax base of the City is declining. For the record, it must be clearly stated, that cities all across the nation are facing very similar challenges. No entity, whether public or private relishes reducing or eliminating services. Unfortunately, if you do not have money to sustain the programs you now have in place, asking County government to be the solution without structural change on the City's part will only jeopardize the County's financial wellbeing and delay inevitable changes for the City. The recent tax increase is only a bandage on a much larger problem. Your letter to us only begs the observation on our part that it is now time for the City to begin a formal assessment on the need to retain its' municipal charter. In the interim, we will continue to encourage our staff to meet with city staff to discuss opportunities for consolidation and collaboration. Sincerely, Th~~anyCounty J~~~Z:: t- Creade V. Brodie, Jr., Commissioner ~vjt,;,?}~ William R. Valentine, Commissioner

15 ALLEGANY COUNTY ADOPTED BUDGET FISCAL YEAR 2018 GENERAL FUND Services Not Provided by Municipal Government SERVICE DOLLARS % Board of Education 30,424, % Detention Center 7,684, % Allegany College 7,630, % Debt Service On Services 2,935, % 911 2,383, % State's Attorney 1,487, % Health Department 1,462, % Allegany County Library 956, % HRDC (Senior Citizen Centers) 744, % Election Office 732, % Other Health Services Programs 716, % Tourism 544, % County Fair & Ag Expo 520, % Transit Operation 384, % Animal Control 375, % Circuit Court Master Program 368, % Domestic Preparedness 309, % Airport 230, % Emergency Management 204, % Alternative Sentencing Program 195, % Solid Waste Recycling 186, % Home Detention 161, % Agricultural Extension Agent 153, % Liquor Board 119, % Soil Conservation 111, % Family Law Master 81, % Haz Mat 69, % Some 27 Services For 70.4% of Budget 61,176, % Total General Fund Budget 86,897,607 Note: Services above represent primary services and is not all-inclusive. 13

16 BOARD OF COUNTY COMMISSIONERS Jacob C. Shade, President Creade V. Brodie, Jr. William R. Valentine ALLEGANY COUNTY DEPARTMENTOF Kelly Road, Suite 300 Cumberland, MD FAX /alleganygov.org S_ Director Of PUOIIC WOrKS Adam Patterson, P.E. County Engineer STAFF REPORT TO: FROM: David Eberly, County Administrator Adam Patterson, P.E., County Engineer CC: Paul Kahl, P.E., Director of Public WorksO".C~ DATE: September 12, 2017 RE: Professional Engineering Services /2018 National Bridge Inspection Program {jtjy For the Agenda of September 21, 2017 Public Meeting 1. BACKGROUND In accordance with Federal Law, all bridges greater than 20' span open to the public must be inspected every two years. Bridges maintained by Allegany County are due for inspection in The Allegany County Department of Public Works Engineering Division is utilizing Maryland State Highway Administration (MDSHA) - Bridge Inspection and Remedial Engineering (BIRE) Division's open-ended contract to meet Federal procurement requirements. As a result, the County may use Federal bridge rehabilitation and replacement monies to pay for these services. 2. ISSUES The consulting firm available through MDSHA for these services is The Wilson T. Ballard Company from Owings Mills, Maryland. In September 2017, Wilson T. Ballard submitted their final engineering services proposal to MDSHA - BIRE and the Department of Public Works - Engineering for approval. The total cost to inspect the 74 applicable structures (City of Cumberland - 10, Midland - 1, Lonaconing- 3, Westernport- 1, Allegany County- 59) is $513, FINANCIAL IMPACT By utilizing a consulting firm procured by MDSHA in accordance with Federal guidelines, the total cost for these services is 100-percent reimbursable through the County's share of the Federal Bridge Rehabilitation and Replacement allocation. No local match is required from Allegany County.

17 4. ALTERNATIVES None. Federal Law requires a biennial inspection of all bridges greater than 20 feet in length every two years. Failure to comply will jeopardize receipt of Federal monies for Allegany County. 5. OTHER CONSIDERATIONS N/A 6. CONFORMITY TO COUNTY POLICY County policy allows for the solicitation of proposals for professional engineering services utilizing existing contracts through other government agencies. 7. RECOMMENDATION The Allegany County Department of Public Works - Engineering Division hereby recommends the award of the contract for the field inspection and preparation of inspection reports in accordance with the National Bridge Inspection Program for 74 County and municipality maintained structures meeting Federal criteria to The Wilson T. Ballard Company, in the amount of $513,637.57, pending approval by the Maryland State Highway Administration - Bridge Inspection and Remedial Engineering Division.

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