The majority of the Bulloch County Commissioners meeting Tuesday morning, October 18, 2022, was spent in a work session on an employee retirement plan proposal. Captain Marcus Nesmith, Bulloch County Sheriff's Deputy made a presentation on a proposed employee retirement plan.
At the end of the presentation and after brief discussion from the commissioners, the commissioner voted three to three to delay the vote on the retirement plan until the November 1st commission meeting. Roy Thompson, Bulloch County Commission Chairman cast the tie breaking vote to delay the vote on whether or not to move forward with the proposed plan.
Commissioners who voted to delay the vote on the employee retirement plan:
- Commissioner Ray Mosley
- Commissioner Anthony Simmons
- Commissioner Walter Gibson
Commissioners who voted NOT to delay the vote on the employee retirement plan:
- Commissioner Curt Deal
- Commissioner Jappy Stringer
- Commissioner Timmy Rushing
You can read more about the work session retirement presentation below. We will continue here with other business covered in the meeting.
Public Comments
Marcus Toole with Habitat for Humanity presented a miniature orange construction cone to the commissioners as gift from Habitat for Humanity. On the bottom of the cone there was a QR code which linked to videos from Toole. The videos covered his concerns with how county policy affects the cost of homes and how the county road paving policy impacts citizens. He discussed the inefficiency of the requirements that land has to be donated before you pave a road. With the rate of growth, this policy needs to be revised.
He expressed an equity issue in the current law that could have a single landowner prevent road improvements that could impact hundreds of residents who live on the road.
Bulloch County Management Development Program Class Project
Cindy Mallett, Bulloch County H.R. Director introduced Alexis Knox with public works. Knox is one of 25 county employees selected to participate in the Bulloch County Management Development Program. The program is made possible through a partnership between the county and UGA's Carl Vincent Institute of Government.
As part of the class they are required to conduct a service learning project which they have now completed. Mallett said this is a milestone for the class which has also completed about 70% of the course.
For their project they chose to take on the challenge of installing a basketball court, flowerbed, and birdhouse at Safe Haven. While the obvious goal was the installation of the features, the underlying goal became adding normalcy and a safe space for the children in the shelter to play, exercise, and complete various other activities.
They also completed a secondary project of building and installing bluebird houses throughout recreational areas of the county to promote the education of nesting habits and bluebird behavior.
Knox added that all of the materials needed for the projects were donated by individuals in the class along with businesses and community members.
Full list of Management Development Class
CONSENT AGENDA
APPROVED: Minutes Approval: Tuesday October 4th, 2022 05:30 PM
APPROVED: Minutes of Oct 10, 2022 5:30 PM
APPROVED: 2498: Motion to approve a contract for Stryker Pro Care in the amount of $18,044.80.
Contract to have Bulloch EMS fleet of Stryker stretchers, stair chairs, and Power loads
serviced. The contract includes parts, labor and travel, an annual preventative maintenance inspection of all Stryker equipment, unscheduled services and battery replacement. This includes 8 power cots, 8 stair chairs and 4 power load systems. The cost is $18,044.80.
APPROVED: 2506: Motion to approve a Long Leaf Pine Straw purchase renewal.
Brian T. Powell Enterprises, Inc. was awarded a bid for the purchase of 11,500 bales of long leaf pine straw totaling $37,375 for the period November 1, 2021 to October 31, 2022, with the option to renew under the same terms and conditions for two consecutive years. Mr. Powell has agreed to supply us with the pine straw for the same price for another year for the period November 1, 2022 to October 31, 2023.
The pine straw will be used for Parks Division projects (6,500 bales) and for the I-16 landscaping project (5,000 bales). The cost would once again be split between Recreation and Transportation budgets.
APPROVED: 2509: Motion to approve a 2022 BJA FY22 Adult Discretionary Grant Program Award.
The Office of Justice Programs has approved the application submitted by the Bulloch County Board of Commissioners for an award under funding opportunity entitled 2022 BJA FY 22 Adult Drug Court Discretionary Grant Program. The grant award is $739,172 and will run from 10/1/22 - 9/30/26
APPROVED: 2510: Motion to approve a proposal from Woodcock Builders for renovations to the Human Resources Office in the amount of $12,800.00.
Staff is requesting permission for the construction of a new office space within the Human Resources Office.
APPROVED: 2513: Motion to approve an amendment to the budgets for Fiscal Year 2022 by appropriating amounts in each fund for various activities.
Staff is requesting a final budget amendment to appropriate monies needed for various operational and capital activities which were needed to complete organizational objectives. Adjustments are necessary to modify budgets at the legal level of control per O.C.G.A.Chapter 36, as only the Commission has the authority to change spending levels. Though O.C.G.A only requires an amendment for over-expenditures, Staff also provided information on revenues to aid in understanding fund performance and the necessity for amending the budget
APPROVED: 2515: Motion to approve the appointment of Nandi Marshall to the Bulloch County Health Board to serve a term beginning January 1, 2023 and ending December 31, 2029.
APPROVED: 2516: Motion to approve the appointment of Andy Ellis to the Library Board of Trustees to fill the unexpired term of Que'Andra Campbell beginning October 18, 2022 and ending June 30, 2024.
NEW BUSINESS
APPROVED: 2507: Motion to approve a bid from Atmax Equipment Company for two 223 Mower Max All-In-One Boom Mowers in the amount of $399,044.00.
Public Works would like to request the acceptance of Atmax Equipment Company's bid on two 223 Mower Max All-In-One Boom Mowers at the price of $399,044.00. Tried to contract out vertical mowing, but that did not work. Due to this public works took over this program again. This equipment is necessary to continue this mowing.
WORK SESSION- RETIREMENT PLAN
At the September 7, 2021 meeting of the Bulloch County Board of Commissioners (BOC), Sheriff Noel Brown asked the BOC to authorize a feasibility study to examine the possibility of changing the employee retirement plan. Specifically, Sheriff Brown requested consideration for (1) a defined benefit (pension) plan and (2) post-retirement health care benefits. The BOC authorized the formation of an employee study group to evaluate options. They have held multiple meeting and provided updates to commissioners. Today they presented the final report to commissioners.
Members of the Employee Study Group include:
- Tony Morgan, Parks & Recreation
- Dadrian Cosby, Parks & Recreation
- Paul Conner, Tax Assessor/GIS
- Trish White, Tax Commissioner’s Office
- Sidney Alston, Development Services
- Wendy Ivey, Animal Services (later withdrew from the group)
- Etta Diemert, Fire
- Karen McNair, Clerk of Court
- Michelle Sawyer, Probate Court
- Jack Koon, Correctional Institute
- Kile Deloach, Public Works (no longer employed)
- Ben Lienhard, Sheriff’s Office
- Marcus Nesmith, Sheriff’s Office
Captain Marcus Nesmith with the Bulloch County Sheriff's office represented the retirement study group and made a recommendation to change the employee retirement plan. Nesmith presented a due diligence report to provide the BOC members with information and data pertinent to evaluating that request.
During his presentation Nesmith reminded commissioners that a 401k, which many county employees have, was never designed to be a sole source of retirement. It was designed to be a supplemental retirement.
With a 401a there is a risk involved because it is invested in the stock market. Over the past few months, with the troubled markets, their balances goes lower and lower.
"The current plan is not working. It is broke. The longer we wait, the more expensive this gets. My hope is that we can make a decision on this today. If we keep kicking the can down the road this will never change," said Marcus Nesmith.
Commissioner Timmy Rushing asked employee group to survey the county employees. The results of the survey show overwhelming support for the new retirement plan. In fact, 209 wanted the plan versus 81 who did not.
Nesmith said his committee has worked hard to create a retirement plan that is as simple and viable for both the county and the employees.
During Nesmith's presentation you could hear the frustration in his voice for the delay in getting this plan over the goalpost. He addressed his frustration to the commissioners.
"I want you to know that I am very passionate, not angry. We have done everything you have asked for us to do. The final plan proposal has been in place for over two months now. I am not a retirement specialist, I am not even good at math. But this is a good option for the employees and the county. All of these people are here today to see what you are going to do," said Marcus Nesmith.
Points addressed during the work session included:
- Retirement/Pension plan is stable for the rest of the employees life. It is not impacted by stock market fluctuations
- Currently the county pays 8.5% now per employee to cover 401k match
- The proposed retirement pension cost is only 7.4% per employee
- This is a savings of $280,000 annually for the county converting to a pension retirement fund
- It is not mandatory for employees to switch to new plan
- If they do switch they will direct their 401a fund balance to the county to help fund the new plan
- With either plan, the employees keep their 457 funds
- WIth pension plan an employee who retires at age 65 with 30 years of service will get 45% of their salary until death.
- If they draw a pension for five years a majority of employees will get their current 401a fund balance back in cumulative retirement payments
- The current projected cost to implement the retirement plan is $22.5 million if all employees choose to participate
- $20 million of this would come from 401a conversions
- County would need to borrow $2.5 million to cover the cost. Nesmith said this could be repaid using the savings from switching plans.
- County has lost $1 million due the markets.
- What happens if only enough employees participate to contribute say $15 million instead of the $22.5 million needed to fund the plan?
- The plan cost would be proportionate based on participation. If less choose to participate the overall cost would be lower
- 401a removes all of the liability from the employer and passes along to the employees
- Employee Retirement Pension plan shifts liability from employee to employer
- New retirement plan would help as incentive for Employee recruitment
- City of Statesboro has a pension plan
"If you compare with what county currently puts in, Mr. Nesmith is correct this plan is affordable. As he stated this is a marriage between the county and our employees which has to be funded every year," said Tom Couch, Bulloch County Manager. "The concern is will our successors be as financially sound as our current leadership. This is necessary to prevent a financial dumpster file in the future."
Review the Employee Retirement Plan Due Diligence Report below:
COMMISSION AND STAFF COMMENTS
Tom Couch, Bulloch County Manager reminded the commissioners that the county will be holding a farewell reception on Friday, October 21, 2022 at 3 PM for County Clerk Olympia Gaines. The reception will be held in the commissioners chambers. Gaines has accepted a position with the City of Statesboro.
Manager Couch polled commissioners on a date and time for a community wide town hall to be held at Willow Hill School. They agreed on Monday, November 14, 2022 at 5:30 pm.
