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2006-828-Minutes for Meeting June 19,2006 Recorded 8/22/2006FICIAL NANCYDESCHUBLANKENSHIPTES COUNTY CLERKS 1+u 2006'828 COMMISSIONERS' JOURNAL 08/22/2006 01;21;32 PM 1111111111111111111111111111111111111 2006-828 Do not remove this page from original document. Deschutes County Clerk Certificate Page If this instrument is being re-recorded, please complete the following statement, in accordance with ORS 205.244: Re-recorded to correct [give reason] previously recorded in Book and Page or as Fee Number Ltl~~ ❑ { Deschutes County Board of Commissioners 1300 NW Wall St., Bend, OR 97701-1960 (541) 388-6570 - Fax (541) 385-3202 - www.deschutes.org MINUTES OF ADMINISTRATIVE LIAISON DESC14UTES COUNTY BOARD OF COMMISSIONERS MONDAY, JUNE 199 2006 Commissioners' Conference Room - Administration Building - 1300 NW Wall St., Bend Present were Commissioners Dennis R. Luke, Bev Clarno and Michael M. Daly. Also present were Mike Maier, County Administrator; Dave Kanner, newly hired County Administrator; and, for a portion of the meeting, Susan Ross, Anna Johnson and David Givans, Commissioners' Office. Also present was Erik Lukens of The Bulletin. No other citizens were present. The meeting began at 1: 30 p.m. Mike Maier provided an overview of the purpose and structure of the Administrative Liaison. 1. Discussion of Commissioner Clarno's Recent Trip to Washington, D.C. Commissioner Clarno gave an overview of the discussions she had with various federal representatives in Washington, D.C., including those regarding funding for roads, veterans' services, health services and other programs. (A copy of her report is attached as Exhibit A.) She emphasized that because of the uncertainty of continued funding, the County must decide how to deal with a possible revenue loss. 2. Communications Update. Anna Johnson gave an update on the newsletter program and Department "report cards". The budget newsletter was distributed today. Mike Maier explained the "Inside Deschutes County" program to Mr. Kanner. These segments are produced in lieu of televised meetings. It is possible the program will be on line at some point in the near future. Minutes of Administrative Liaison Monday, June 19, 2006 Page 1 of 2 Pages 3. Property and Project Update. Susan Ross stated that the County is participating in the downtown Bend flag project, which is handled by the Boy Scouts. Flags will be placed in front of the Courthouse building. Community Development will be moving into temporary facilities in Redmond soon, as construction of the facility they are to occupy has been delayed. She is trying to contract with the City to possibly develop a joint use building. Ms. Ross brought a request for lottery grant funds before the Board regarding La Pine Community Kitchen - operations. Each Commissioner granted $1,000. Grant requests from the Historical Society and the Deschutes Children's Foundation will be addressed at the June 26 meeting. 4. Discussion of Transition Plans/Issues. Dave Kanner said that the issues the County is addressing are familiar; just the process is different. 5. Other Items. None were discussed. The meeting adjourned at 2: 55 p.m. DATED this 19th Day of June 2006 fzens utes County Board of Commissioners. ke, Chair Bev Clarno, Vice Chai ATTEST: Mi ael M. Daly, Co missioner Recording Secretary Minutes of Administrative Liaison Monday, June 19, 2006 Page 2 of 2 Pages June 12-15, 2006 Report regarding visit to various key individuals in Congress to secure federal county payments: Meetings: Congressman Greg Walden & Brian MacDonald, Chief of Staff Paul Unger, Counsel and Legislative Director to Senator George Allen (R-VA). Paul is a good friend to Oregon and keeps a close eye on legislative matters that affect his native state. A native of Redmond, Paul was the Chief of Staff for many years for former Congressman Bob Smith both on his personal office staff and on the House Agriculture Committee. Chris Lyons, Legislative Assistant to Senator Ron Wyden (D- WA). I was supposed to meet with the Senator, but he was unable to meet at the time we had arranged. Jay Sullivan, Jamison & Sullivan (Lobbyist for AOC). Jay is a native Oregonian and grew up in Ontario. He has been in Washington, D.C. for over 20 years and is close to the natural resources/forestry issues in the Congress. Among other senior posts in D.C. he's held in the past, he was a senior staffer in the Department of the Interior under Secretary Manuel Lujan, and his partner (Cy Jamison) was the Director of the BLM under President George Herbert Walker Bush. Congressman Peter DeFazio and David Dreher, Legislative Assistant Doug Crandall, Staff Director, House Resources Subcommittee on Forests & Forest Health. Doug is the Staff Director for the Subcommittee Congressman Greg Walden chairs. Doug is a native Oregonian, and is a key staff leader on all forestry matters in the Congress. Doug was instrumental in assisting Congressman Walden in swiftly passing the County Payments reauthorization bill (HR 517) out of the Resources Committee in June of 2005. Bill Imbergamo, Professional Staff Member, House Agriculture Committee. The jurisdiction over forestry policy in the House spans two committees, with Agriculture being one and Resources being the other. Bill is the lead forestry staff member for the Agriculture Committee, where the County Payments bill is currently pending in the House. The Agriculture Committee is chaired by Congressman Bob Goodlatte (R-VA) who works closely with Congressman Walden on forestry matters. Frank Gladics, Professional Staff Member, Senate Energy and Natural Resources Committee. Frank is the principal forestry staff member on the committee chaired by Senator Pete Domenici (R-NM). Frank has an Oregon background as he used to be the Executive Director of the Independent Forest Products Association based in Portland (IFPA merged a few years ago into the American Forest Resource Council in Portland). Frank works closely with his counterparts in the House, Doug Crandall and Bill Imbergamo. Calli Daly, Deputy Legislative Director to Senator Larry Craig (R-ID). Calli is the principal natural resource staffer to Senator Craig. The Senator chairs the Senate Energy & Natural Resources Subcommittee on Public Lands & Forests, and is the sponsor of the Senate version of the County Payments reauthorization bill (S. 267). Senator Gordon Smith and his Legislative Assistant, Matt Hill. David Tenny, Deputy Under Secretary of Natural Resources & Environment, United States Department of Agriculture. David is the principal deputy to Under Secretary Mark Rey and is one of the leading staff members for the Executive Branch on the County Payments effort as well as related forestry matters. Prior to being appointed by the President, David was a senior staff member on forestry matters in the U.S. House of Representatives. He served under former Chairman Bob Smith when Bob chaired the House Agriculture Committee. Findings: There is general optimism among the most involved lawmakers and senior staff leading the County Payments reauthorization and funding effort that the coming year will be fully funded, although it's impossible to determine at this point if full funding will occur. The primary reason for this is not lack of strong commitment from the leading Representatives and Senators, rather it's due to undetermined revenue sources to fund the program. Thus, while advocates are working hard to fully fund the reauthorization through 2013, the multi-billion dollar "price tag" simply doesn't have a revenue source at this point so both short-term and long-term funding sources are being pursued. The funding means is quite complicated as, in layman's terms, the revenue must be "new money" - so it must be a source that is not currently utilized or relied upon by another federal funding recipient, or funding must have an offset (cutting payment from one federal recipient to reallocate it to another, in this case County Payments). Neither route is easy as the current timing finds the federal government without a budget surplus, unlike the surplus situation when the Act was last reauthorized and funded. The concern about the specifics advanced in the President's budget proposal is minimal since, as most of Congress notes, the President's budget is merely a requested blueprint and once proposed, the will of the Congress takes over and priorities and requested funding changes. The fact that President Bush acknowledged the County Payments program and need for some funding is a positive advancement, leading Members and staff acknowledge. By comparison for those concerned about the lack of full- funding in President Bush's budget, during the last authorization and funding round President Clinton didn't advocate a single dollar for County Payments despite strong urging to support the program in the Congress - and the Congress still fully funded it and disregarded Clinton's lack of support. In addition on the "concern" front, while the House Resources Committee approved the County Payments bill with strong support last June, the joint committee of jurisdiction, the Ag Committee, has not yet acted on the bill. While Chairman Goodlatte is a supporter of the effort, it's key to understand that the technical process requires that the program's funding be "scored" against the Ag Committee's budget allocation. It's a technical issue, but a critical one. The timing of this scoring reality is less than ideal as the County Payments passage timeline comes at the same time as the Farm Bill is being developed. The Farm Bill reauthorizes all federal farm programs, which are not inexpensive. Coupled together, the funding required for the Farm Bill and County Payments produce a hefty funding tab. This is one significant functional hurdle facing the Ag Committee, and helps explain why they have not yet acted on the bill. The jurisdiction for the bill in the Senate is the Energy & Natural Resources Committee, and no action has occurred in that committee yet either. Senators Smith and Wyden both serve on this panel and are working with Chairman Domenici (R-NM) to see action scheduled on the bill. Note that Oregon receives substantially more funds than New Mexico. In addition to the lack of solid revenue sources at this time, it's key for us to understand that Oregon receives the significant majority of the county timber payment receipts under the current formula (260M). County Payments, while supported by a solid bipartisan list of Representatives and Senators, are not a priority for many eastern and urban legislators, and many believed this program to be a short term and temporary fix during the last reauthorization. While they are not necessarily opposed to reauthorization, it may well come at the cost of another priority to them if an offset is the means to fund it. And considering that the eastern and urban votes in the Congress are many, there certainly appears to be thought given outside the Oregon congressional ranks that something different than the status quo formula will be needed to build a majority of support when the vote to fund the program comes around. This is not a formal position by any of the leading proponents outside the Oregon delegation, but that sense appears clear as an option. Another concern voiced was the issue of Title III monies being inappropriately used by several counties. Without Audits and other control measures, expenditures were inappropriate. In addition to many ideas for new revenue or achievable offsets that are constantly being run out by County Payments advocates in the Congress, in my meetings I advocated for land in lieu of payments. Suggesting that the Federal Government convey management of Federal Lands f to the States to manage for the replacement of lost federal payments. A formula could be developed whereby the average of timber receipts could be off set by an acreage of federal lands to equal the amounts of county payments. MESSAGE: • The reauthorization, and primarily the full funding of County Payments, is no easy task. The fact that the federal government is in a deficit position rather than a surplus like was the case during the last authorization and funding period creates a much taller hurdle to clear. • Congressman Walden, who is leading the effort in the House along with Congressman DeFazio (it is their bill being pushed in the House), has noted this difficulty openly for the past year. Together Greg and Peter have turned over every possible funding stone in their reach, and the fact that none of them "score" sufficiently by the Office of Management & Budget and Congressional Budget Office (as is required) at this point reiterates the warning they've been issuing for some time. That being said, they remain very dedicated to finding the funding source and won't discount any idea until they run it out entirely. • While the Oregon county position has been advocated well to our delegation, many other counties in other states who rely on County Payments are apparently not working their Members of Congress directly. So, our effort is one of strength-in-numbers, and we're reaching across state lines to ensure that every recipient county meet directly with their Representatives and Senators to get them formally on board the reauthorization and funding need. One's constituency, particularly their elected constituencies, are the best advocates to spur additional support in the Congress. G ❑ Deschutes County Board of Commissioners 1300 NW Wall St., Suite 200, Bend, OR 97701-1960 (541) 388-6570 - Fax (541) 385-3202 - www.deschutes.oriz ADMINISTRATIVE LIAISON AGENDA DESCHUTES COUNTY BOARD OF COMMISSIONERS 1:30 P.M., MONDAY, JUNE 19, 2006 1:30-1:45 1. Update on Washington, DC Visit - Bev Clarno 1.-45-2:00 2. Communications Update - Anna Johnson 2:00- 2:15 3. Project & Property Update - Susan Ross 2:15- 2:30 4. Request(s) for Economic Development Grant Funds - Susan Ross ■ La Pine Community Kitchen 2:30 - 2:45 5. Discussion of Transition Plans/Issues 2:45 - 3:00 6. Other Items