Wednesday, April 24, Noon 3:00 p.m. Conference Registration

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1 2013 MN County Highway Accountants Association Conference Minutes of 40th Annual Conference Best Western Plus Kelly Inn, St. Cloud, MN April 24-26, 2013 Wednesday, April 24, 2013 Noon 3:00 p.m. Conference Registration 1:00 Welcome and Orientation was conducted by Vice-President, Judy Peterson, McLeod County. The meeting was well attended. Three of the four new accountants were in attendance and introduced themselves. Bobbie Vickerman from Winona County, Cherie Winters from Cottonwood County and Heather Olson from Wadena County. Judy discussed how this year was the 40 th Anniversary for the MCHAA; how we should get to know other accountants from across the state during our conference; and how State Aid was out in the hallway with computers so we could talk to them and discuss questions with the state aid pay requests. Judy had the session broken out into 3 segments - the first 20 minutes to discuss what are the difficulties of the job; next 20 minutes what we enjoy/look forward to in our job and the final 20 minutes to go get to know state aid and ask them any questions we may have. First 20 minutes for the difficulty of the job include: -One accountant brought up that she was now working out of the Courthouse because they wanted all the finance staff to be in one spot. She stated how difficult it is to be away from the Highway Office and the group discussed how bad of an idea this is for not only the accountant but the people they work with from the highway department on a daily basis and how they still need to go talk with them and meet with them on a daily basis. She also stated that she gets put to work on other departments finances since she is now in a central location with all other accountants. -RT Vision issues with security certificates -New E-Time update many counties are having issues with. The process for the update is too time consuming and they are receiving incorrect information from Melissa at RTVision as to what they should be doing with the information for the update. The update is creating a lot of headaches for most or all of the counties that have been thru the update. -Funding splits in One Office are incorrect. Very few counties are setting their funding up in One Office correctly. As of right now there is no instruction/manual on the correct way to do the funding set up by One Office. This has been a problem for many counties using the funding reports for completing other requests/forms/reports and having the numbers pulling incorrectly in the contract payments and other reports. Second 20 minutes what do you like about your job? People and the work Third 20 minutes break or talk with State Aid in the hallway.

2 2:00 Mixed District Roundtable Discussion (questions handed out in packet) Everyone was given a number on their ID to meet with a randomly selected group of accountants to discuss the roundtable questions with people out of your district. 2:45 District Roundtable Discussions (questions handed out in packet) Accountants met with their district to discuss roundtable questions. 3:30 Business Meeting President Nila Ellis, Wright County, called the meeting to order. The executive and planning committees were introduced. Judy Peterson, McLeod County, agreed to take over as President next year and Sarah Olsen, Aitkin County, agreed to move up to Vice President. Stacy Reilly, Dakota County, agreed to assume the Secretary-Treasurer position and Gloria Winkler, Mahnomen County, agreed to continue as historian. No nominating committee was required Conference will be in Rochester at The Kahler Grand Hotel. The 2015 location will be in Central Minnesota and will be voted on Friday. District pictures will be taken during the banquet on Thursday. The four new accountants were introduced to the entire group. -Bobbie Vickerman Winona County -Heather Olson Wadena County -Cherie Winters Cottonwood County -Lisa Sorlie Cook County Directions were given regarding the hospitality room, all were reminded to buy their raffle tickets, and the meeting was adjourned; motioned by Gloria Winkler, Mahnomen, and 2 nd by Lori Koch, Cass County. Approved. 4:00 ACS/Costrite Update (Concurrent Sessions) Counties broke up into their respective groups for their costing system updates/meetings. 4:30 Adjourned THURSDAY, APRIL 25, :00 a.m. Breakfast 8:00 Welcome Nila introduced Kristi Fischer from the U of MN who went over the contents of the folders and that this year the evaluations will be electronic and be ed to everyone on Friday. Nila introduced Chris Byrd Benton County Engineer (formerly of Kansas DOT) who welcomed us and provided a PowerPoint of the fun differences between MN and Kansas. Nila introduced Felix Schmiesing Sherburne County Board of Commissioners who gave an overview of the county and explained the importance of the Highway Accountant to the County. 8:10 CSAH Needs Changing 21 st Century Rick Kjonaas, MNDOT, announced he would be retiring within the next year so this would be his last year presenting at our conference. The way the NEEDS have been computed has not changed since There are roughly 30 County Engineers on the NEEDS Task Force they still have not come up with a new formula but expect to within the next couple years. They are trying to make the formula based on

3 fairness and make sure that they keep data to help support the history to help with future formulae. The Screening Board and the NEEDS Study Task Force will most likely present their recommendation for the new formula to the County Engineers at their January meeting in MNDOT is working on a new GIS system that will work with the counties own GIS systems. This new system would help report costs and activities on CSAH roads and show the cost per mile to build a road. This would use 5 years of data. For reporting this data you would send a copy of our abstract with all state aid eligible costs and put into the computer program. The State will be encouraging longer segments 1 5 miles. Traffic counts would be completed and entered into the program along with construction costs. 8:45 Project Funding Database: Version 11, an Overview of What s New Mike Kilanowski, MNDOT State Aid, went over the updates to the Project Funding Database (handout) 9:15 State Aid and Legislative Updates Rick Kjonaas, MnDOT, Deputy State Aid Engineer, discussed Federal Funding and how there will be less dollars available for local roads and projects and more money spent on the National Highway System. The Federal and State Highway Trust Fund revenue has been dropping. FHWA will try and honor commitments thru There will be a redistribution of the way State Funds are used. There is a new Transportation Commissioner for MN, Charles Zelle. He was appointed in December 2012 by Governor Dayton. Doesn t know much along the lines of government but expects minimal changes in MNDOT while he is the Commissioner. There are 21 initiatives in the legislature. One is for Street Improvement districts for cities to allow there to be a levy to pay in to so they can build up balances for projects. Wheelage Tax - charge of $20 per vehicle when they buy tabs each year. Gas Tax Commissioner out promoting MNDOT to business community to help with support for funding. He is holding town meetings around the state. State Aid will be restructuring in the near future. Kim Kildal is working to get all old projects finaled. State Aid Hot Topics Bonding Bill turnback and LRIP got combined by the Legislature versus two separate bills. State Aid Bonds may not be available any longer for counties. Disaster Funds provided a lot of money for the floods mostly District 1 Duluth and surrounding areas. Audits they cleaned up the process of auditing projects now it will be more like a peer review. Traffic Counts experimenting with three counties on having the counties perform them. New Payroll Software DBE Office Senate Bill gas tax revenue is decreasing each year due to vehicles getting better gas mileage/hybrids/electric vehicles. In 2008 there was $32million in revenue in 2013 the expected amount is $29million. They want to lower the gas tax but replace with sales tax at the refinery. Sales tax would be on the gross receipts at the refinery. This would increase revenue by $200million more for the State and $70million more for the counties. General fund is in trouble possibly increase taxes, big priority is the metro transit increase which makes outstate unhappy. 10:00 Break 10:15 Concurrent Sessions from the Department of Finance Sheri Koch and Lynn Pitts Federal Highway Administration Moving ahead for progress in the 21 st Century Act MAP 21 Highlights of the new law relative simplicity; increased emphasis on national issues; focus on shortening project delivery. New approach to formulas: Authorize lump sum for all apportioned programs then calculate total amount to apportion to each state then divide lump sum among programs Significant Changes to Shorten Project Delivery New set of categorical exclusions; streamlining of process review; new/improved delivery techniques Division Office Priorities Inactive Project Management Three Tiers Plus

4 -Tier 1 inactive 12 months unexpended balance greater than $200,000 -Tier 2 inactive 18 months unexpended balance $50,000-$200,000 -Tier 3 inactive 36 months - unexpended balance less than $50,000 (handout) Ashanti Payne Office of Civil Rights Discussed the Federal Disadvantaged Business Enterprise (DBE), the MNDOT Targeted Group Business (TGB) and Veteran-owned Small Business programs are part of the MNDOT initiative to increase small business participation on all MNDOT projects and contracts. These programs are intended to provide eligible businesses with increased access to state contracting and business opportunities. He handed out a map of who the contacts from his office are for each area of the state. (handout) 11:45 Lunch 12:45 Getting the Biggest Bang for Your Procurement Dollar Brenda Theilen Willard, State of MN, Department of Administration Material Management Division Brenda discussed what the CPV Program is, who is eligible to join, what is included in the program, how each county can join and buy from the State of MN s contracts and ways to save money buying thru the CPV Program. (handout) 1:45 Break 2:00 Prevailing Wage Contract Administration Clancy Finnegan, MNDOT, Labor Compliance Unit Clancy reviewed what Prevailing Wage is and why it is important, who is subject to prevailing wages, the role of the contracting agency, four areas of prevailing wage compliance, prevailing wage decisions and truck rental rate decisions, poster boards, interviewing employees and ITO s, daily inspection reports, prevailing wage rates and overtime requirements, certified payroll reports, trucking and material production and listed the people to contact with any questions from his office. (handout) 3:00 Break 3:15 Federal Highway Administration Emergency Relief Process and Reimbursement Lynnette Roshell, MNDOT, State Aid Special Programs and Lori Peterson, MNDOT, Project Accounting, Office of Financial Management Lynnette and Lori reviewed the FHWA Emergency Relief Program, the background, requirements, what roads are covered, repair categories, eligible items, contract requirements and information about the DDIR form. (handout) 4:15 Update from County Engineers Rich Sanders, Polk County Engineer, President, MN County Engineers Association (MCEA) Rich went over the Legislative issues with the Transportation Bill. Included in the bill are possible wheelage tax and sales tax exemption. Rich also suggested/requested that we move our conference to May so the conference did not land on the same week at the NACE Conference. 4:45 Adjourn

5 6:00 Annual Banquet Semi-Formal Entertainment was provided by a chorus from St Cloud State University. Each district provided a basket that was raffled off as an additional fundraiser. The Best Western plus Kelly Inn provided a one night stay as well that was raffled off with the gift cards during the regular raffle. Raffle Winners included: Michele Maland, Rice County; Nancy Schmidt, Redwood County; Tim Stapleton, Freeborn County; Stephanie Larson, Chisago County; Duane Ruona, Crow Wing County; Lisa Avenson, Hubbard County; Cheryl Thiner, Nobles County; Dian Tufenk, Isanti County; Cindy Bacon, Kanabec County; Sheila Schroeder, Houston County; Lori Becker, Todd County; Robin Evenson, Freeborn County. The Best Western plus Kelly Inn overnight stay winner was Lisa Sander, Murray County. The basket winners included: Lee Christopher, Hennepin County; Lisa Avenson, Hubbard County; Dian Tufenk, Isanti County; Robin Evenson, Freeborn County; Pam Hahn, Sibley County; Deb Knudtsen, Wilkin County; Duane Ruona, Crow Wing County; Nancy Schmidt, Redwood County. FRIDAY, APRIL 26, :00 a.m. Breakfast 8:00 Wending Our Way to the Present Annette Atkins, Professor of History/Flynn Professor in the Humanities, Saint John s University/College of Saint Benedict 9:15 Break 9:30 Wending Our Way to the Present (continued) 10:30 Minnesota County Highway Accountants Business Meeting Called to order by President, Nila Ellis. Thank you to Kristi Fischer, Planning Committee, Executive Committee, Gloria Winkler, Site Committee and the Hospitality Committee. The 2012 Conference minutes were approved and approved to not be read aloud. Motion by Leslie Lueck, Pipestone County and second by Robin Sterzinger, Lincoln County. A copy of the 2012 Treasurer s Report was handed out to everyone in the packets. Motion by Cindy Johnson, Chisago County, and second by Stacy Reilly, Dakota County to waive reading the report. Approved. Sarah Olsen, Treasurer/Secretary, went over the current year (2013) expenses and revenues. Recognized new Accountants: -Bobbie Vickerman Winona County -Heather Olson Wadena County -Cherie Winters Cottonwood County -Lisa Sorlie Cook County No retirees for Conference will be held April at The Kahler Hotel in Rochester Planning Committee = District 6 Chairmen = Sheila Schroeder, Houston County, and Gail Schmidt, Wabasha County Hospitality = District Conference will be held April 29- May 1 in Alexandria Site Committee will be JoAnn Kelly, Douglas County, was nominated by her peers, and Lori Becker, Todd County

6 Planning Committee will be District 7 with Cindy Wenkel, Nicollet County, as Chairman of the group Hospitality will be District 6 Items to discuss: -With the policy we passed in 2011 which stated: Policy for Funerals: The Minnesota Highway Accountants Association will spend up to $50.00 for flowers (plant)/memorial in the event of the death of the accountant or their Souse. If this should occur, a member of the Executive Committee should be notified so that the flowers/memorial can be sent. Adopted by the MCHAA at the 2011 Conference April 27-29, 2011 Cragun s Resort & Hotel -Policy on the flowers $50 death of an accountant or spouse of an accountant. As of now there is no policy on what happens if we miss a death. It was discussed and approved to amend the current policy to include: -In the event the funeral of a current accountant or spouse of a current accountant has gone beyond the Association s ability to send flowers, a $50.00 memorial will be sent to the spouse or family of the deceased. In the event a former accountant passes away within a 12 month period from the date of her/his retirement, a $50.00 memorial will be sent to the spouse/family. Motion to approve by Bette Schweer of Yellow Medicine and 2 nd by Pam Hahn of Sibley County. Approved. -It was discussed to increase the Historian pay to $100 plus reimburse the Historian for any expenses of developing pictures, updating books, etc. Motion to approve by Tracey Worzala of Stearns County and 2 nd by Judy Peterson of McLeod County. -The dates of the future conferences were discussed due to our conference landing in the same week of the NACE Conference. This makes it hard for the MCEA President to make it to our conference to speak to us since the President is normally attending the conference. Rich Sanders requested the change when he spoke to us during our conference. It was approved to move our conference back a week to allow the two conferences to not interfere with each other. It was motioned to approve by Gloria Winkler, Mahnomen County and 2 nd by Deb Klemmetsen of Clearwater County. Approved. The 2015 conference dates were set for April 29-May 1, Motion to adjourn by Heather Olson, Wadena County and 2 nd by Geri Fournier, Benton County. Approved. 11:30 Adjourn Respectfully submitted, Sarah Olsen Aitkin County Highway Accountant 2013 Secretary-Treasurer Wednesday, April 25

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