Stoddard County commissioners will discuss filling another open spot on the Senate Bill 40 board in August, according to presiding commissioner Greg Mathis.
The commission discussed SB40 matters July 23, after a board member resigned at last week's meeting. Three new members appointed in July by the commission have created a shift in board priorities, and new upheaval for the entity created to help the county's developmentally disabled.
The board voted recently to stop funding the majority of programs scheduled to open in nearly $1.3 million worth of new buildings paid for with taxpayer money since 2017.
Payments for debt on these buildings could use more than one-fourth of SB40's annual revenues, for up to 25 years, according to discussion by board members and a bank representative. The buildings were constructed to hold targeted case management and a new thrift store, which was scheduled to open in July. There have been 17 applications from developmentally disabled residents to work at the shop, staff said.
A new sheltered workshop was also slated to open in the new buildings. The new sheltered workshop is competing for contracts with the existing sheltered workshop, according to officials, who say the new facility has one confirmed contract and is working on two additional contracts. They would not release information regarding the additional contracts, citing the competition with the existing sheltered workshop.
The nearly four-hour meeting Thursday of the new board prompted a resignation from treasurer Larry McGonigal. The meeting was contentious and at times chaotic, with arguments between members of the board, as well as the board and members of the audience.
"I asked for cooperation, accountability and transparency. Boy, we sure didn't get any of those things," McGonigal said near the end of the meeting, adding he hoped in the future the board could come together to do the things that were needed for the individuals SB40 is meant to serve.
Split votes by the board directed staff to remove approximately $66,000 in an operating account for Echos, the thrift store, and return it to SB40. No discussion was held concerning what this will mean for the opening of Echos or the individuals who have applied to work there.
A majority of board members also voted to stop funding Stoddard County Progressive Industries, the new sheltered workshop.
Echos and SCPI have a total of four paid employees at this time, all supervisors. No decisions were made regarding the future employment of these individuals, or how payroll would be covered.
The new SB40 board voted to restore funding to the existing sheltered workshop, under management for the past three months by Devin Miller. This sheltered workshop has between 40-50 employees, according to Miller.
The former SB40 board voted six months ago to stop funding the existing sheltered workshop, saying financial information was not provided when requested and a number of repairs were needed to the building.
The former SB40 board contends the existing sheltered workshop was asked to partner with them in the new facility, and they were turned down.
Loan
The two new buildings, which were constructed without taking bids, have been paid for with a commercial construction loan, according to discussion Thursday. The money has been spent, but an interest rate and terms of the loan still need to be secured. The board asked for a 90-day extension to review options. Information presented at the board by a bank official and board members indicated a loan term could be for up to 25 years, or much shorter, depending on decisions by the board.
Board member Don Rhodes estimated SB40 will spend more than $110,000 a year on payments.
A 2019 budget proposal estimated revenues at $400,000. The budget proposal was not approved by the board, and will likely miss an August deadline to be published in the newspaper, according to administrator Dana McClure. The proposed budget estimated loan payments at around $90,000, and did not have figures for some budget items still to be determined. The board would have less than $24,000 in revenues left, under that proposal, before costs for budget items left blank were determined.
Program strengths
The meeting was attended by Dan Gier, state director of the Division of Special Education Extended Employment Sheltered Workshops.
Gier praised the new sheltered workshop building, as well as both Miller and the woman selected to run the new sheltered workshop. Miller is a proven go-getter, who has been making changes to the existing sheltered workshop, according to Gier. The existing building has facility needs that can only be remedied by money, especially in the bathroom facilities, he added.
The woman chosen to lead the new sheltered workshop program is very intelligent and impressed staff at a new manager's training in St. Louis, Gier said.
"You've got problems over there (existing workshop), but together you can solve those problems and certify and help the disabled members of this community," Gier said. "It would be a waste to the disabled individuals of this county if you all don't let (Miller) do his job and let her (new manager) do her job... The work is here. You've got a proven go-getter and you've got some brains. That is amazing, so don't blow the opportunity. It's here.
"At the end of the day, it's about the folks."
$100,000 transfer questioned
The new board also asked for a $100,000 payment to targeted case management to be reviewed. TCM occupies one of the new buildings and was a blended unit with SB40 until this year.
TCM, Echos and both sheltered workshops operate under independent boards that are self appointed. They receive the majority of their funding from SB40 tax dollars and income generated through contracts.
Previous board members say the $100,000 was repayment of a loan. The Federal Deposit Insurance Corporation, or FDIC, told TCM it had too much money in that account, said McClure. Because the boards were approaching construction of the buildings, they chose to transfer the money to SB40 instead of taking out a certificate of deposit or something else, she said.
New board member Josh Hester demanded proof in SB40 minutes that it was a loan. The minutes show the intent of the board decisions, and, he feels, do not show the money as a loan.
"Until we figure out the intent of the $100,000, I don't think they need to be paid back to targeted case management. I think we need to retain that," Hester said.
The payment has already been made to TCM, McClure said, on the approval of three SB40 board members who make up an executive board. The executive board approves items between SB40 board meetings, which are held every other month, she said. No minutes or records are kept for the SB40 executive board.
"It's not been approved, it's just been paid," said vice chairman Clay Prough.
Monthly bills are one thing, but a $100,000 is different, said board member Ray McLane.
"I think a $100,000 is a lot to move and not be sure (the reason)," Hester said, addressing the audience.
Board member Deb McKay asked Hester to address the board, not the audience.
"I can address the crowd. They're taxpayers," said Hester.
The payment, while already made, was on the agenda Thursday to be approved by the SB40 board. The board did not approve the payment, asking for more investigation.
"I'd like to know what the intent was. I'd like to study the minutes," McKay said, later saying, "There's no need to make haste of everything and undo everything we've done for the last two years."
The board also asked to hold an "email vote" at a later date to decide on a new auditing firm, after getting additional bids.
SB40 is still waiting on a 2015 audit from its current firm.
A portion of the meeting was also spent arguing about where 2nd District Commissioner Carol Jarrell resides. Jarrell said her primary residence is the address of record.
Audience members, who did not give their names, said this was not true.