**APPROVED MINUTES**

Mason, Michigan

May 17, 2007

The Board of Ingham County Road Commissioners met for a regular meeting on Thursday, May 17, 2007, at 6:00 P.M. in the Board Room of the Road Commission’s Austin E. Cavanaugh Administration Building located at 301 Bush Street, Mason, Michigan.

Present: Larry R. Smith, Chair, Joseph A. Guenther, Vice Chair, and Shirley M. Rodgers, Member.

Also Present: John W. Midgley, Managing Director, Deborah L. Bellows, Secretary to the Board, Kathryn M. Haves, Director of Administrative Services, Joseph D. Pulver, Director of Operations, and Robert H. Peterson, Director of Engineering.

Others Present: Randy Maiville, Onondaga Township Supervisor, Dale E. Arnett, Eastern District Supervisor, Dan Chapman, Engineering Dept. employee and OPEIU Local 512 Representative, and Will Comstock, Eastern District employee.

AGENDA ITEM #4 - LATE ITEMS.

A. Permit #07-0269 for the Webberville Lest They Be Forgotten Memorial Day run/walk. To be added as agenda item #6A.

AGENDA ITEM #4 – CONSENT ITEMS.

Moved by Commissioner Guenther and Supported by Commissioner Rodgers, that the following items be approved under consent:

A. Agenda Item #5 – Minutes.

B. Agenda Item #6 and #6A – Routine and Special Permits.

C. Agenda Item #9A – Accounts Payable.

3 yes, 0 no. Motion carried unanimously.

Agenda Item #5 – Minutes.

Moved by Commissioner Guenther and Supported by Commissioner Rodgers, that the minutes of the meetings of May 3, 2007, and May 10, 2007, be approved as presented. 3 yes, 0 no. Motion carried unanimously.

Agenda Item #6 and #6A – Routine and Special Permits.

Moved by Commissioner Guenther and Supported by Commissioner Rodgers, that routine permits be approved as follows:

07-0213 07-0214 07-0215 07-0216 07-0217 07-0218

07-0219 07-0220 07-0221 07-0222 07-0223 07-0224

07-0225 07-0229 07-0230 07-0231 07-0235 07-0238

07-0239 07-0241 07-0242 07-0243 07-0244 07-0245

07-0246 07-0247 07-0248 07-0249 07-0250 07-0251

07-0252 07-0253 07-0254 07-0255 07-0256 07-0258

07-0259 07-0260 07-0212 07-0226 07-0227 07-0228

07-0232 07-0233 07-0234 07-0236

3 yes, 0 no. Motion carried unanimously.

Moved by Commissioner Guenther and Supported by Commissioner Rodgers, that permit #07-0269 be approved for the Webberville Lest They Be Forgotten Memorial Day 5k run/walk to be held on Monday, May 28, 2007, from 9:00 A.M. until 11:00 A.M. The event is sponsored by the Webberville Community Schools and is sanctioned by the Village of Webberville. 3 yes, 0 no. Motion carried unanimously.

Agenda Item #9A – Accounts Payable.

Moved by Commissioner Guenther and Supported by Commissioner Rodgers that accounts payable for the two week period from April 31-May 13, 2007, be approved as follows: check numbers #88359 through #88439, totaling $323,575.65 (including payroll and 4D). 3 yes, 0 no. Motion carried unanimously.

AGENDA ITEM #8 – MANAGING DIRECTOR REPORTS.

A. Administrative Fees. Onondaga Township Supervisor Randy Maiville was present for this discussion. Managing Director Midgley stated his intent was to discuss this with the Board to get a feel of how the Board wants to proceed with the rate of the administrative fee that is charged on township local road construction projects, and then present a recommendation at the next meeting (May 31).

Commissioner Rodgers stated that, according to the discussion that was held at the last meeting, she had requested additional information regarding the 11 percent administrative fee that is charged. She said she also asked for the factors that are considered when determining how much the administrative fee is. Mr. Midgley said he would have a print out and recommendation at the next meeting. He said he is not prepared to make a recommendation now.

B. Lake Lansing Road Construction Bids. Bids for this project were received on May 8^th. The apparent low bidder is C&D Hughes Inc. at $1,656,738.35. The final plans will arrive at the Road Commission tomorrow for review. The DEQ permit is in the process of being transferred to Lansing Township, but that has not yet been completed. Chair Smith asked if it is likely this project will actually start this year. Director of Engineering Bob Peterson stated that while this project has been moving ahead slower than expected, it will, in all probability, start this summer. Chair Smith asked about the permit that is needed for Sam’s Way. Mr. Peterson said that is expected tomorrow.

Commissioner Rodgers asked Mr. Peterson to elaborate on the DEQ permit process. Mr. Peterson stated the DEQ permit was issued to the Road Commission. Both Lansing Township and the Road Commission agreed that the permit should have been issued to Lansing Township, so both parties signed a letter of agreement to transfer the permit from the Road Commission to the Township. This letter was just sent within the last couple of days. This should be approved and receipt of an amended permit received soon.

Commissioner Rodgers asked the status of the right of way. Mr. Peterson stated only one person remains, Lyle Miller, who is also the President of the Lansing Township DDA, for property he owns at the New Chamberlain Drive roundabout at Lake Lansing Road. There is a trade of land involved, as well as other issues. Mr. Hayward has been notified that the Road Commission needs to have the document signed by Mr. Miller before the project can begin. Mr. Hayward advised that it should be completed next week.

Commissioner Rodgers said it may be time for her to attend the next DDA meeting. She said she was under the impression that all of these things were cleared up and agreed to months ago, and that it was just a matter of signing an agreement once the Road Commission authorizes the contractor to proceed. Mr. Peterson agreed.

C. Bond vs. Loan. Managing Director Midgley reviewed the costs associated with the proposed $500,000 bond, versus the costs involved in borrowing this money from the County. It appears that it would be more cost effective to bond for the money. He recommended that the Board consider moving

forward with the bonding process. Commissioner Rodgers suggested that the Chair share this information with the County Treasurer and find out if he would be willing to drop the interest rate on the loan.

D. Noble Road Bridge Structure. Managing Director Midgley reviewed a report submitted by Director of Engineering Bob Peterson, in which he discusses the condition of the Noble Road Bridge structure and the result of the inspection recently completed by DLZ Michigan. There are three options available to consider: 1) Close the bridge to traffic and make application for Local Bridge Program replacement funding; 2) Temporarily repair the bridge and make application for Local Bridge Program replacement funding. The repair would include stiffening the beam ends at both abutments and installing mid-span bracing so that our winter maintenance trucks can cross the one-lane bridge. The proposed repairs are estimated to cost approximately $2,000 in materials and $15,000 in ICRC labor. The repairs should yield the Road Commission five years of use. The Bridge will be required to be inspected annually, rather than every two years; and, 3) Remove and replace the bridge using 100 percent ICRC funding. Engineering and construction costs to replace the bridge will cost about $475,000. Construction costs were derived using the Local Bridge Program costs guidelines.

Mr. Midgley recommended proceeding with Option 2. He stated that making temporary repairs to the bridge will not jeopardize Local Bridge Program funding.

RESOLUTION AUTHORIZING REPAIRS TO THE NOBLE ROAD BRIDGE OVER DOAN CREEK IN LEROY TOWNSHIP.

RESOLUTION #075-07

Moved by Commissioner Guenther and Supported by Commissioner Rodgers. 3 yes, 0 no. Resolution carried unanimously.

BE IT RESOLVED that upon recommendation of the Director of Engineering, the Board authorizes repairs to the Noble Road Bridge over Doan Creek in Leroy Township, at a cost of approximately $17,000.00.

AGENDA ITEM #9B – SEASONAL HIRES.

Chair Smith asked if any of these candidates were related to any current Road Commission employees. Both the Director of Operations and the Director of Administrative Services replied no, not as far as they knew. Commissioner Rodgers acknowledged the current Nepotism policy and asked how it is enforced if you don’t really know. Director of Administrative Services Kathy Haves stated the applicants are asked and these employees are part time, at-will employees. Chair Smith said, based on prior experience, it makes no difference whether these individuals are at-will or not. Commissioner Rodgers asked how this information is gathered to find out? Ms. Haves stated there is nothing other than asking the question during the interview process.

RESOLUTION AUTHORIZING FILLING THE SEASONAL POSITIONS.

RESOLUTION #076-07

Moved by Commissioner Rodgers and Supported by Commissioner Guenther. 3 yes, 0 no. Resolution carried unanimously.

BE IT RESOLVED that upon recommendation of the Director of Administrative Services, the Board authorizes staff to fill the three seasonal positions as recommended.

AGENDA ITEM #10A – AWARD OF PROPOSAL #1511.

Director of Operations Joe Pulver reviewed his recommendation for award of Proposal #1511 for processed road gravel. Commissioner Rodgers asked if the recommendation to purchase from certain locations is so the material can be retrieved from an area that is more contiguous to the areas where we might be working and have the need for the material? Mr. Pulver responded yes.

RESOLUTION AUTHORIZING AWARD OF PROPOSAL #1511 FOR PROCESSED ROAD GRAVEL.

RESOLUTION #077-07

Moved by Commissioner Guenther and Supported by Commissioner Rodgers. 3 yes, 0 no. Resolution carried unanimously.

BE IT RESOLVED that upon recommendation of the Director of Operations, the Board authorizes award of Proposal #1511 for processed road gravel as follows: Part A for stockpiled gravel purchased as used to Carl Schlegel of Lansing for $3.65 per cubic yard on an as needed basis; Part B for stockpiled gravel purchased in advance to Carl Schlegel of Lansing for the purchase of 10,000 tons of 22A gravel at Osborne Pit for $3.50 per ton and to Aggregate Resources of Kalamazoo for the purchase of 10,000 tons of 22A gravel at the Honaker Pit on Base Line Road for $2.93 per ton; Part C for crushed natural aggregate delivered and spread to Sunrise Aggregate of Dansville for the purchase of 21AA material at $12.35 per ton and 23A material at $8.10 per ton; and the one bid received for Part D for crushed natural aggregate delivered, spread and shaped is hereby rejected because the bid price did not include trucking, which was required as part of the bid specifications.

AGENDA ITEM #10B – SEASONAL SUPPLY OF TIGER MOWER PARTS.

Director of Operations Joe Pulver recommended the purchase of season’s requirements of tiger mower parts, i.e., blades, bolts and discs. He indicated that we can save 20% if we purchase all the parts in bulk, instead of purchasing a few parts here and there as needed. In response to a question by Commissioner Rodgers, Mr. Pulver stated if purchased as needed, the cost would be $15,000, where if purchased in bulk, the cost is $12,500.

RESOLUTION AUTHORIZING THE PURCHASE OF A SEASONAL SUPPLY OF TIGER MOWER PARTS.

RESOLUTION #078-07

Moved by Commissioner Guenther and Supported by Commissioner Rodgers. 3 yes, 0 no. Resolution carried unanimously.

BE IT RESOLVED that upon recommendation of the Director of Operations, the Board authorizes the purchase of the seasonal supply of Tiger mower parts in the amount of $12,500.00.

AGENDA ITEM #11A – TRAFFIC CONTROL ORDER.

Managing Director John Midgley reviewed the recommendation of the Sign and Signal Manager for the installation of a stop sign on Mockingbird Lane for Nightingale Drive in Meridian Township. Commissioner Rodgers stated that while she realized this is for a location in a subdivision, is there a difference between this traffic control order which has been signed by the Managing Director, and the ones for Hamilton Road, which were not signed by the Managing Director? Mr. Midgley stated that the Sign and Signal Manager reviews and makes a recommendation for the traffic control; but the traffic control orders have been changed so that there is a signature line for the Managing Director to sign that he has reviewed the recommendation. Commissioner Rodgers stated that with that change, though, it doesn’t necessarily mean that the Managing Director agrees, is that correct? Mr. Midgley stated yes, but in this case, he does agree with the recommendation.

RESOLUTION APPROVING A TRAFFIC CONTROL ORDER TO INSTALL A STOP ON MOCKINGBIRD LANE FOR NIGHTINGALE DRIVE IN DELHI CHARTER TOWNSHIP.

RESOLUTION #079-07

Moved by Commissioner Rodgers and Supported by Commissioner Guenther. 3 yes, 0 no. Resolution carried unanimously.

BE IT RESOLVED that upon recommendation of the Managing Director and the Sign and Signal Manager, the Board approves Traffic Control Order #S-04-07-002 requiring northbound traffic on Mockingbird Lane to Stop for eastbound and westbound traffic on Nightingale Drive, located in Delhi Charter Township.

AGENDA ITEM #11B – TRAFFIC CONTROL ORDER.

Managing Director John Midgley reviewed and recommended a traffic control order for a stop on Otsego Drive for Ambassador Drive in Meridian Charter Township.

RESOLUTION APPROVING A TRAFFIC CONTROL ORDER TO INSTALL A STOP SIGN ON OTSEGO DRIVE FOR AMBASSADOR DRIVE IN MERIDIAN CHARTER TOWNSHIP.

RESOLUTION #080-07

Moved by Commissioner Guenther and Supported by Commissioner Rodgers. 3 yes, 0 no. Resolution carried unanimously.

BE IT RESOLVED that upon recommendation of the Managing Director and the Sign and Signal Manager, the Board approves Traffic Control Order #S-05-07-003 which requires southbound Otsego Drive to Stop for southwest bound and northeast bound traffic on Ambassador Drive, located in Meridian Charter Township.

AGENDA ITEM #11C – AWARD OF PROPOSAL 1510 FOR STEEL SIGN POSTS.

Managing Director John Midgley reviewed the recommendation of the Sign and Signal Manager for award of Proposal #1510 for steel sign posts. He indicated he concurred with the recommendation.

RESOLUTION AUTHORIZING AWARD OF PROPOSAL #1510 FOR STEEL SIGN POSTS.

PROPOSAL #081-07

Moved by Commissioner Guenther and Supported by Commissioner Rodgers. 3 yes, 0 no. Resolution carried unanimously.

BE IT RESOLVED that upon recommendation of the Managing Director and the Sign and Signal Manager, the Board authorizes award of Proposal #1510 for steel sign posts to the low bidder, Lange Enterprises of Oconomowoc, Wisconsin, for their low bid total price of $16,854.00.

AGENDA ITEM #12 – COMMISSIONER COMMENTS.

A. Commissioner Rodgers asked about the information submitted in the packet regarding local road improvements preventive maintenance costs for the years 2000 through 2007. She said that up through 2004 the crack filling costs were figured on a per gallon basis, then for 2005 through 2007, the cost was figured on a per pound basis. Why the change? Director of Operations Joe Pulver stated for the years 2005 through 2007, the Road Commission had a contractor performing the crack filling and it was figured on a per pound basis; prior to that the cost was provided but the service was not done, so for estimating purposes, he used a per pound pricing.

Commissioner Rodgers referred to Mr. Maiville’s visit of two weeks ago regarding the administrative fee. She said as she understands the process, the Road Commission sends letters out to the townships in the spring and gives them information on costs of various options they have for road improvements, as well as recommendations for specific road projects. Commissioner Rodgers stated that if she follows Mr. Maiville’s logic, the township has a total of $44,000 to work with, but if we take 11 percent off of that for an administrative fee, then the township actually has roughly only $40,000 to work with. So, if a contractor is doing the work, do they get the whole $44,000, or do they get $40,000? Mr. Midgley stated the administrative fee is taken off of that. Commissioner Rodgers asked why we charge an administrative fee to oversee our own people? She said that if we have our own inspectors on the job, we would have to pay them anyway, right? Commissioner Rodgers asked how the administrative fee is defined? What all is included in that fee?

Vice Chair Guenther explained that when the Road Commission’s contractor is performing crack filling, we have our own employees there to make sure it is done properly in accordance with our requirements and to make sure we pay for only those services actually done. They oversee the work to make sure it is what we want.

Commissioner Rodgers stated using that logic, we would then have our employees overseeing all work, wherever something is being done on our road system, so, we are paying them anyway.

Onondaga Township Supervisor Randy Maiville was in the audience and stated that paving is the most expensive work to have done. If they pave a mile of road, then, at the estimated cost for this year for a mile of paving, the administrative fee would be around $10,000 to $11,000 alone for maybe half a day’s work. He said the township’s complaint is that they think the eleven percent administrative fee is excessive.

Vice Chair Guenther stated if we have our own employees overseeing the project, why don’t we at least split that administrative cost with the townships? He said he can’t believe it actually costs eleven percent to oversee a project. He said the Board would like to see a breakdown of those costs. Mr. Maiville commented that it equates to four percent of their paving budget being paid to the Road Commission for administrative fees.

Chair Smith asked that this information be emailed to the Board members prior to the next meeting so that they have ample time to review it prior to the meeting.

No further public comment was offered. The meeting adjourned at 6:40 P.M.

LARRY R. SMITH, Chair DEBORAH L. BELLOWS, Board Secretary