HomeMy WebLinkAboutRes 045 - Safety Net PaymentsDeschutes County Board of Commissioner,;
1300 NW Wall St., Suite 200, Bend, OR 97701 -1960
(541) 388 -6570 - Fax (541) 385 -3202 - www.deschutes.orj.. ,
AGENDA REQUEST & STAFF REPORT
For Board Business Meeting of May 13, 2009
Please see directions for completing this document on the next page.
DATE: May 5, 2009
FROM: Tom Blust Road Department 322 -7105
TITLE OF AGENDA ITEM:
Consideration of Signature of Resolution No. 2009 -045 in the matter of the FFY 2009 elections for
National Forest related safety -net payments.
PUBLIC HEARING ON THIS DATE? No.
BACKGROUND AND POLICY IMPLICATIONS:
A four -year extension of the Secure Rural Schools and Community Self Determination Act was enacted
for Federal Fiscal Year 2008 - 2011. Under the provisions of the act, counties must make an annual
election in regard to the percentage of their full payment amount for expenditure on projects under 1 itle
II and Title III (no less than 15% nor more than 20 %). Of the total amount allocated to Title II & III.
counties must further make an allocation split between the Title II and Title III projects (no more than
7% of the full payment amount to Title III).
Title II provides for projects on federal lands or that directly benefit federal lands. The Title II projects
are selected by local resource advisory committees (RAC's). The RAC project selection process is
directed by the Forest Service. Title II funds remain with the federal government (funding allocations
are through the Forest Service).
Title III provides for county projects within three defined categories: 1) fire prevention and planning
under the Firewise Communities program, 2) reimbursement of search, rescue and emergency services
including firefighting on federal lands and, 3) development of community wildfire protection plans.
Title III funds come to the county and are spent at the discretion of the Board of County
Commissioners. Any county Title III funds not obligated by September 30, 2012, must be returned t
the federal government.
The proposed resolution allocates 15% of the County's full payment amount to Title II &III. Of the f1111
payment amount the resolution allocates 8% to Title II and 7% to Title III.
FISCAL IMPLICATIONS:
Estimated receipt of funds in FY 2009 -10:
Road $2,481,912
School $827,304
Title III $272,524
Title II $311,456
Total $3,893,195
(see attached spread sheet for full four -year estimate)
RECOMMENDATION & ACTION REQUESTED:
The Department recommends signature of Resolution 2009 -045
ATTENDANCE: Tom Blust, Road Department Director
DISTRIBUTION OF DOCUMENTS:
Original or certified copy to: Kevin Q. Davis, One SW Columbia Street Suite 1600, Portland, OR
97258.
Copy to Road Department / Tom Blust
REVIEWED
LEGAL COUNSEL
For Recording Stamp Only
BEFORE THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON
In the Matter of the FFY 2009 Elections for
National Forest Related Safety -Net Payments
*
*
RESOLUTION NO. 2009 -045
WHEREAS, Congress enacted in 1908 and subsequently amended a law that requires
that 25 percent of the revenues derived from National Forest lands be paid to states for use by the
counties in which the lands are situated for the benefit of public schools and roads; and
WHEREAS, the principal source of revenues from National Forest lands is from the sale
and removal of timber, which has been curtailed in recent years with a corresponding decline in
revenues shared with counties; and
WHEREAS, the United States Congress recognized a need to stabilize education and
road maintenance funding through predictable payments to the affected counties, and to achieve
that goal enacted the Secure Rural Schools and Community Self- Determination Act of 2000,
which has been amended and re- authorized for FFY 2008 - 2011 ( "SRS2008 "); and
WHEREAS, SRS2008 provides for guaranteed minimum payments for the benefit of
affected counties, as well as an opportunity to invest a portion of the payments in projects on
federal lands or that benefit resources on federal lands, or in county projects or activities; and
WHEREAS, Title I of SRS2008 gives each eligible county the right to elect to receive
either its traditional share of revenues from the National Forest lands pursuant to the Act of May
23, 1908 and Section 13 of the Act of March 1, 1911 (the "25- percent payments "), or instead to
receive a guaranteed minimum share of the State payment pursuant to Sections 102(a)(1)(B) and
103 (the "full county payment amount "); and
WHEREAS, an election to receive the full county payment amount is effective for all
federal fiscal years through FFY 2011, and an election to receive a 25- percent payment is
binding for two years; and
WHEREAS, any county electing to receive a full county payment amount must further
elect to expend an amount not less than 15 percent nor more than 20 percent of its full county
payment amount as project funds; and
Page 1 of 3 - Resolution 2009 -045 — National Forest Safety -Net Payments
WHEREAS, Title I, Section 102(d) of SRS2008 requires that counties electing to receive
a full county payment amount must allocate its project funds for between projects in accordance
with Title II and Title III, and return the balance of project funds unspent under Titles II and III
to the Treasury of the United States, and communicate such allocation to the Secretary of the
United States Department of Agriculture; and
WHEREAS, Title II provides for special projects on federal lands or that benefit
resources on federal lands, which projects are recommended by local resource advisory
committees ( "RACs "); and
WHEREAS, RACs recommend projects for consideration by the Secretary of
Agriculture, with project funding supplied in whole or in part out of monies allocated for such
purposes by participating counties; and
WHEREAS, counties that allocate funding to projects under Title II, and are participants
in more than one RAC, may further direct that their Title II project funds be divided between
different RACs according to an allocation decided by each participating county, with such funds
held in the Treasury of the United States under the name of the county with a designation of the
amount allocated to each RAC; and
WHEREAS, Title III provides for county projects, some of which are associated with
federal lands, with Title III authorizing expenditures for search, rescue and emergency services,
fire prevention and planning under the Firewise Communities program, and development of
community wildfire protection plans; and
WHEREAS, a county with a full county payment amount of $350,000 or more may not
allocate more than 7 percent of its full county payment amount for Title III projects.
NOW, THEREFORE, be it resolved as follows:
1. Deschutes County has previously agreed to receive the guaranteed minimum full county
payment amount pursuant to SRS2008 Sections 102(a)(1)(B) and 103.
2. Deschutes County hereby allocates 15 percent of its full county payment amount for
expenditure on projects under Title II and Title III. Deschutes County will return none
(zero percent) of its full county payment amount to the Treasury of the United States.
3. Of the percent allocated to Title II and Title III projects above in paragraph 2, Deschutes
County further allocates between such Titles for FFY 2009 (for expenditure after FFY
2009) on the following basis: 8 percent of full county payment amount for expenditure on
Title II projects and 7 percent of the full county payment amount for expenditure on Title
III projects.
Page 2 of 3 - Resolution 2009 -045 — National Forest Safety -Net Payments
4. Of the amount of project funds allocated to Title II projects above in paragraph 2,
Deschutes County further allocates between RACs as follows:
100 percent to the Deschutes / Ochoco RAC.
5. The original or a certified copy of this Resolution shall be transmitted to Kevin Q. Davis,
sent to the following address: One SW Columbia Street, Suite 1600, Portland, OR 97258
ADOPTED this day of , 2009.
ATTEST:
Recording Secretary
TAMMY BANEY, Chair
DENNIS R. LUKE, Vice Chair
ALAN UNGER, Commissioner
Page 3 of 3 - Resolution 2009 -045 — National Forest Safety -Net Payments
DESCHUTES COUNTY
FOREST REVENUE ESTIMATE
(FFY 2006) BUDGET
2006 -07 2008 -09
2008 -09
2009 -10 2010 -11
2011 -12 2012 - beyond
TOTAL
(TITLE I /II /III) $4,806,414 $4,325,773 $3,893,195
TITLE I $4,085,452 $3,676,907 $3,309,216
ROAD (75%) $3,064,089 $500,000 $2,757,680 $2,481,912
SCHOOL (25 %) $1,021,363 $167,000 $919,227 $827,304
TITLE II /III $720,962 $0 $648,866 $583,979
TITLE II $360,481 $0 $346,062 $311,456
TITLE 111 $360,481 $0 $302,804 $272,524
Notes:
Estimate is based on AOC intrepretation of SRS2008 (per 10/7/08 McVay /Davis memo)
FFY 2008: 90% of FFY 2006
FFY 2009: 81% of FFY 2006
FFY 2010: 73% of FFY 2006
FFY 2011: assumed 40% of FFY 2006 (AOC estimated 40% to 50% of FFY 2006)
Assumed Title II /III allocation of 15% (bill allows 15% to 20% at discretion of BOCC)
Assumed Title II /III split of 7% title II and 8% title III (bill allows no more than 7% to title III)
Shaded areas indicate funds deposited to county. Title II funds remain with fed.
$3,508,682 $1,922,566
$2,982,380 $1,634,181
$2236,785 - $1,225,636
$745,595 $408,545
$526,302 $288,385
$280,695 $153,805
$245,608 $134,580
25% of actual
timber revenue