5/28/1991 - Laserfiche WebLink

Home Browse Search

MAY 2 8 1991 PooK 831 PAGE 46S Mr. O'Keefe noted that if you look at Table 10, the Sanitary Landfill, in 1990 the coverage comes out to be 4.06, which is well above your required coverage. Commissioner Scurlock wished to point out that we have 4 times normal coverage there. In the Golf Course, we are solid there as well. In the Water and Sewer Revenue Bonds, we have gone from 3.63 in 1981 down to 1.69 in 1990 as the growth of that system has come on. Mr. O'Keefe noted that there was a lot of acquisition recently of smaller systems, and getting them up to the caliber of your existing system takes some time, effort and cost. Commissioner Scurlock felt these tables show the trend of what we are doing and demonstrate the need for the rate increase. Obviously that coverage is important because if you don't have it, you don't issue debt. Mr. O'Keefe agreed that was a good point. He did want to point out the Housing Authority is moving along very well. He believed they have received final approval from FHA for the final phases of their Victory Park project, and their projects are doing very well and covering their costs. Of course, they still have a need for their overall operating costs to be subsidized by the County, and he believed that is running about $70,000, but the complexes themselves, which they also audit, are doing well and seem to be in good shape. Mr. O'Keefe next referred to the Internal Service Funds set out on page 112 - Fleet Management and Self Insurance. He advised that the Self Insurance Program is, in essence, the County's privately owned and operated insurance company, and accounting for it is treated very much the same as any insurance company. The auditors have to go in and make certain the County has computed their reserves properly. Mr. O'Keefe referred to claims expense including "incurred but not reported claims" which is an actuarial determination. He noted the important thing is that your retained earnings are $539,000. In these funds it is difficult to say if that is a good year or bad, but the main thing is that you are matching your premiums - your charges back -to your user departments - with the claims on a fairly good basis. He stressed that you really have to look at this on a year to year basis, but right now they can say that the County has transferred enough money in and is charging your user departments adequately and recovering expenses very well. Mr. O'Keefe then introduced Ms. Christine Hill, a partner in their office and his boss. Ms. Hill felt that Mr. O'Keefe has done a good job leading the Board through the numbers, but she would like to take a few minutes and talk about the nature of 10