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This may be his personal cell phone. ey Edward B. Koryzno, Jr. | Director - Bureau of Local Government Services State of Michigan | 430 W. Allegan Street, 3rd Floor | Lansing, MI 48922 (517) 373-4415 | (517) 373-0633 (fax) [email protected] = Think Green! Don't print this e-mail unless you need to. CONFIDENTIALITY NOTICE: This e-mail, and any attachments, is for the sole use of the intended reciptent(s) and may contain information that is confidential and protected from disclosure under the law. Any unauthorized review, use, disclosure, or distribution ts prohibited. If you are not the intended recipient, please contact the sender by reply e-mail, and delete/destroy all copies of the original message and attachments. Thank you

Anybody know how to find Ed Kurtz? Sent from my iPad Begin forwarded message:

Tom and Wayne: Eric and | will call Jeremy regarding the response. Thanks, Randy

City’s usage is 14 MGD/Day Timeline is 9 months until June 2016 Fixed Cost is $662,100 for 9 months or $5,958,900 Commodity Rate is $501,383/month Total Monthly Cost is $1,163,483 Cost until June 2016 is $10,471,347 The City does not know the cost to move the water plant into stand-by mode. However, they have indicated that there might be some reduced costs as lower chemical costs will be incurred. Eric Cline | Department Manager | State of Mictugan Michigan Department of Treasury | Local Government Financial Services Division | Fiscal Responsibility Section 430 W. Allegan Street, 3rd Floor | Lansing, MI 48922 Lansing Office (517) 335-2078 | Cell Phone (517) 243-8450 | Traverse City Office (231) 922-8228 E-mail cliner 1 @muchigan.gov CONFIDENTIALITY NOTICE: This e-mail, and any attachments, 1s far the sole use of the intended recipient(s) and may contain information that is confidential and protected from disclosure under the law Any unauthorized review, use, disclosure, or distribution 1s prohibited. If you are not the intended recipient, please contact the sender by reply e-mail, and delete/destroy all copies of the orginal message and attachments Thank you. 14 xxxEND_PAGE:treasury01_b35_5648_6098_032

Thanks, Natasha L. Henderson, City Administrator City of Flint, Michigan @Samsung Galaxy Note 4 xxxEND_PAGE:treasury01_b35_5648_6098_021 Natasha L. Henderson CITY OF FLINT, MICHIGAN City Administrator Department of Finance Jody N. Lundquist Finance Director Dawn Steele Dayne Walling Mayor Deputy Finance Director DATE: October 1, 2015 TO: Natasha Henderson, City Administrator FROM: Jody Lundquist, Chief Financial Officer RE: Review of Water/Sewer Funds’ Fund Balance On August 7, 2015 Genesee County District Court Judge Archie Hayman issued a Preliminary Injunction Order (the “Order”) against the City of Flint (the “City”). As a result of the Order, the City anticipated an immediate and devastating impact on the financial stability of the Water and Sewer Funds if a stay was not quickly granted by the Michigan Supreme Court Appellate Court. Indeed, the City’s request was denied and the financial impact of the Court order has been reviewed through the fiscal year ending June 30, 2016. Upon issuance of the Order, the City was immediately enjoined from charging and collecting water and sewer rates that include the September 16, 2011 35% rate increases and disconnecting water service for its delinquent water and sewer customers wherein the delinquency arose between September 16, 2011 and the date of the Order. This immediately resulted in a decrease in cash collections on outstanding and current water bills and a decrease in total billed revenue. At August 7, 2015 the City had $8,024,558.65 in outstanding accounts receivable (or unpaid bills). As of September 25, 2015, the City’s outstanding accounts receivable had grown to $10,313,020.61. This clearly indicates that all outstanding accounts due and payable as of the date of the court order remain unpaid. With an xxxEND_PAGE:treasury01_b35_5648_6098_022 increase equivalent to the amount of non-delinquent bills issued since the order. It is highly probable that the entire accounts receivable balance as of the court order will have to be written off as uncollectible without the ability to enforce payment. On a foregoing basis, the City has already experienced a decrease in monthly revenue by approximately $666,000 for the month of September as a result of the reduced water and sewer rates. Projecting the rate loss of the remaining nine months of the fiscal year will result in total lost revenue of $6.6 million. The City’s adopted FY 16 budget projected a beginning unrestricted fund balance of $16 million for its water and sewer funds. As the City works to finalize its FY15 operating activity, it appears that actual results were close to projections with the only difference being outstanding capital improvement projects in progress at year end. The information was summarized before Council at the Department of Public Works Committee meeting on September 30, 2015 as follows: Budget Actual Beginning Unrestricted Fund Balance $16M $18M FY15 CIP N/A <S2M> Adjusted Unrestricted Fund Balance } $16M Net Income <$26K> 514M Ending Unrestricted Fund Balance $16M $2M Required Fund Balance Reserve 516M $16M In addition to the budgetary impact, the City has seen a drastic decrease in payment activity since the date of the Court Order. The City began tracking daily collections activity on a weekly basis since August 7. On average, the City is receiving approximately 100 less water payments per day. For the period August 10- September 25, the City has realized $1.75 million less in cash receipts than the same period last year. With approximately the same number of customers, the City’s apples-to-apples comparison illustrates that not only is the City billing less, less customers are paying. While shut-off efforts to enforce non-payment will resume in October, the outstanding balance of accounts receivable at August 7 and loss in monthly revenues has already been incurred. xxxEND_PAGE:treasury01_b35_5648_6098_023 The City is working diligently to review the FY 16 water and sewer fund operating budgets for additional sources of spending. Upon issuance of the Order, the City immediately implemented a spending and hiring freeze for all non-critical items. In addition, the City is working to redevelop its capital improvement plan to cancel and postpone planned projects and purchases until financial stability has been regained. The City’s emphasis at this time continues to be on providing safe, clean water to the City’s residents and moving forward with preparations for the KWA pipeline to come online. xxxEND_PAGE:treasury01_b35_5648_6098_024 Workman, Wayne (TREASURY)

FYI — yesterday the Genesee County Board of Commissioners released the attached public health advisory for residents concerning lead in Flint Water. It states one of the common health effects on children is brain damage resulting in IQ loss, learning disabilities, hyperactivity, inability to concentrate, and/or behavior problems. A copy is on in our share drive — V:\LGOV\OFR\Cities\City of Flint\KWA Water Authority Robert Widigan Local Government Financial Services Division Michigan Department of Treasury Office (517) 373-3227 Cell (517) 243-8645 21 xxxEND_PAGE:treasury01_b37_6553_6782_188 Widigan, Robert (TREASURY)

Ed: (will stop by at 2:00 p.m. Randy, Randall Byrne | State Administrative Manager Local Government Services - Office of Fiscal Responsibility State of Michigan | 430 W. Allegan Street, 3rd Floor | Lansing, Mi 48922 (517) 335-2521 | (517) 373-0633 (fax) | [email protected] Think Green! Don't print this e-mail unless you need to. CONFIDENTIALITY NOTICE: This e-mail, and any attachments, is for the sole use of the intended recipient(s) and may contain information that is confidential and protected from disclosure under the law. Any unauthorized review, use, disclosure, or distribution is prohibited. If you are not the intended recipient, please contact the sender by reply e-mail, and delete/destroy all copies of the original message and attachments. xxxEND_PAGE:treasury01_b30_4670_4718_44 Weekly Meeting with Ed—June 24, 2015 e Staff— Auditor Specialist 13-to Restructuring Specialist 13 draft PD is ready. e Allen Park—issues include information for the Fire Contract discussion, Tender Offer now looks like August, retiree lawsuit, and City Adm. Search review of candidates during week of July 20th. Televising the RTAB_meetings and one additional RTAB member. Fred inquired about Order 45. The EM Order on City Hall property sale needs to be amended. | asked Cady to send us a request in writing. e Benton Harbor-issues include lawsuit with former Public Safety Director and two former employees. Filling the Finance Director position Suzanne reviewed the resumes’. Budget was adopted. City Council is alleging City Administrator is insubordinate. e Ecorse -issues include FY16 budget- Wayne indicated about $31,000 GF balance at end of FY 15- 16, the city has $3.7M accumulated GF balance now, the Five- year budget will have a draft in July, merger of fire services with another unit and Finance Director's position. e Flint — issues include the re-advertising of the HR Director position, two year budget amendment, lawsuit on water rates, lawsuit to mandate return to DWSD was denied, water issues are getting resolved, and tax assessment problems. GM tax abatement was approved. e Hamtramck— issues include the status of pension consulting work, police study, meeting with City Council regarding the RTAB. Katrina is planning to fire Rehman. e Highland Park— water and sewer rate increase was adopted, a public hearing has to be held, the RFP will likely be approved next week. We have received another high school cost estimate for preparation of plans and specs, demolition, and project management. It is much cheaper than original estimate. Storm sewer lawsuit filed against MDOT. City wants to know what to do about the DEP. OPEB savings update. The City plans to hire Lou Schimmel to assist them in negotiating a settlement on past due sewer bills. City will have to pay 65% to DWSD of all proceeds collected from customers. ® Lincoln Park—CM interviews with the City Council last night, Matt Coppler and Brent Merrriman. Brent Merriman was offered the position but his Council enhanced his compensation. He will make a decision on Thursday. Draft FY15-16 budget review (SSOOK GF balance). He is considering placing the Act 345 request on the November ballot, Charter amendments may have to wait. Cell tower sale is proceeding. Brad is discussing an E-Loan with Suzanne. | want Brad to develop a plan for the last six months. e —Inkster- issues include Police Chief Selection, no word as of Tuesday. Wayne County sewer charges, and Order 5 implementation. e Pontiac— issues include Search for Deputy Mayor is underway. Review of candidates the week of July 20". Budget issue with the Mayor. One on One’s with City Council went weil. Exit plan preparation. e River Rouge—issues include five year budget and discussion on exit from Consent Agreement, tax base loss and assessment problems. Contracts have been approved now we need to see the savings. xxxEND_PAGE:treasury01_b30_4670_4718_45 Cline, Richard (T: reasury)

Wayne — it appears per PA 436, within Sec. 12, if the contact is $SOk or more, the Treasurer may authorize this contract. (3) Except as otherwise provided in this subsection, any contract involv is subject to competitive bidding by an emergency manager. However, if a p of $50,000.00 or more, the emergency manager may submit the potential ec the state treasurer may authorize that the potential contract is not subjec!

Let's try to get this approved by Monday. If you don't see anything wrong, I think going without bids is OK. This is an emergency. Prepare the appropriate papers and I will get it signed by Kevin or does it need the Gov signing? Have a meeting on Flint Tuesday am that I can get it OKd at. Sent from my iPad Begin forwarded message:

Importance: Low FYI — warn theyll go t.html xxxEND_PAGE:treasury01_b24_3567_3629_41 Jason Lorenz Public information Officer (810) 237-2039 For Immediate Release [email protected] City of Flint Moves Ahead with $5 million in Water Treatment Improvements Flint, Michigan — April 16, 2015 ~ Emergency Manager Jerry Ambrose, with approval from the Department of Treasury, has authorized a contract with LAN, the City’s consulting engineers, to immediately proceed with design and installation of granulated activated carbon filter for the Water Treatment Plant. Installation of the filter was one of the primary recommendations from Veolia and others as a means to help assure that City water will continue to be within EPA guidelines. Installation is scheduled to begin in Mid-June, with completion by mid-July. Other action steps are also underway at the plant, including cleaning plate settlers, repairing the clarifier, and adjusting chemical dosing and levels as also recommended. Additionally, a contract is being finalized for the water main leak detection project, hydraulic modeling and flushing is underway, and bids for the replacement of 2 miles of major pipe are being reviewed. Nearly $5 million has been budgeted to implement these actions, which in large measure are the ongoing types of action necessary to maintain the water treatment and distribution system. $2.1 million of this amount is budgeted for replacement of the pipe along Dupont St., and $1.6 million is budgeted for the GAC, with $900,000 budgeted for water main leak detection. Actual replacement of the pipe is scheduled to begin in June, and to be completed by early September. —CONTINUE- City Hall 1101 S. Saginaw Street - Flint, Michigan 48502 810-766-7346 FAX: 810-766-7218 | wwwacityofflint.com xxxEND_PAGE:treasury01_b24_3567_3629_42 These steps are all part of the action plan recently released by the City as it continues its work to maintain the safety of the water and improve its quality. Recent testing has shown that Flint’s water is meeting all regulatory safety standards, with TTHM levels being significantly below the maximum level accepted. The measures that have been taken to date by the Flint Water Plant staff have resulted in a significant improvement in the quality of Flint water since last summer. “Both the hardness and TTHM levels are at the lowest point since the switch to the Flint river last April,” said DPW Director Howard Croft. “Installing the GAC filter, in addition to these other steps, wiil further bolster the positive direction we are moving in to continue improving the quality of water in the City.” -END- City Hall 1101 S. Saginaw Street - Flint, Michigan 48502 810-766-7346 FAX: 810-766-7218 = www.cityofflint.com xxxEND_PAGE:treasury01_b24_3567_3629_43 Stanton, Terry A. (Ti reasury)

FYI - Jerry Ambrose just called with an update on the process. You will recall that the Genesee County Board of Commissioners approved court consolidation subject to negotiating an acceptable MOU with the City. - Ameeting took place yesterday between the principals and they are ready to move forward. - The County Board will consider the MOU at a special meeting 4/13/15. Jerry said the county Board Chair is confident he has the necessary votes for passage. - If approved Jerry will issue an EM order to proceed. - He will be meeting with the affected union members in advance of the public announcement ~ The consolidated court will not require the same number of employees so union members will be offered incentives to retire. - Consolidation is schedule to take place on 1/1/16 - This plan must be presented to city council and Jerry believes they will not approve it, but will be unable to present an alternate plan with comparable savings. - Most likely an ELB meeting in May or June xxxEND_PAGE:treasury01_b31_4719_5108_385 Edward B. Koryzno, Jr. | Director - Bureau of Local Government Services State of Michigan | 430 W. Allegan Street, 3rd Floor | Lansing, MI 48922 (517) 373-4415 | (517) 373-0633 (fax) [email protected] ba Think Green! Don't print this e-mail unless you need to. CONFIDENTIALITY NOTICE: This e-mail, and any attachments, is for the sole use of the intended recipient(s) and may contain information that is confidential and protected from disclosure under the law. Any unauthorized review, use, disclosure, or distribution is prohibited. If you are not the intended recipient, please contact the sender by reply e-mail, and delete/destroy all copies of the original message and attachments, Thank you xxxEND_PAGE:treasury01_b31_4719_5108_386 Byrne, Randall (T: reasury)

FYI ---------- Forwarded message ----------

FYI

Randy, You my contact Jerry and inform him that Treasury agrees that he is not required to have City Council approval to restructure the bonds. However, State Treasurer approval is required per Section 12(1){x). Because the bonds will be restructured through the MFA, Jerry will be working with John Barton and LAFD approval will not be required. Ed Edward B. Koryzno, Jr. | Director - Bureau of Local Government Services State of Michigan | 430 W. Allegan Street, 3rd Floor | Lansing, MI 48922 (517) 373-4415 | (517) 373-0633 (fax) [email protected] Te 5s) Sa) = Think Green! Don't print this e-mail unless you need to. CONFIDENTIALITY NOTICE: This e-mail, and any attachments, is for the sole use of the intended reciprent(s) and may conta information that 1s confidential and protected from disclosure under the law. Any unauthorized review, use, disclosure, or distribution is prohibited. If you are not the intended recipient, please contact the sender by reply e-mail, and delete/destroy all copies of the original message and attachments. Thank you

FYI, Randy,

FYI Sent from my iPhone Begin forwarded message:

Thoughts?? Sent from my iPhone Begin forwarded message:

Ed: Hope to see at 9:00 a.m. today. Thanks, Randy, Randall Byrne | State Administrative Mananger Local Government Services - Office of Fiscal Responsibility State of Michigan | 430 W. Allegan Street, 3rd Floor | Lansing, M! 48922 (517) 335-2521 | (517) 373-0633 (fax) | [email protected] Think Green) Don't print this e-mail unless you need to. CONFIDENTIALITY NOTICE: This e-mail, and any attachments, is for the sole use of the intended recipient(s) and may contain information that is confidential and protected from disclosure under the law. Any unauthorized review, use, disclosure, or distribution is prohibited. If you are not the intended recipient, please contact the sender by reply e-mail, and delete/destroy all copies of the original message and attachments. 28 xxxEND_PAGE:treasury01_b31_4719_5108_025 Weekly Meeting with Ed—March 5, 2015 Staffing Update—Specialist 13 has 54 applications. | am in the process of screening out at least 50 and Analyst 9 OFR has been approved. Allen Park— issue—The City Council is meeting tonight to approve the severance agreement with Karen. | told the Mayor yesterday to not take action tonight to hire an interim administrator. | stated that Treasury wanted to have a discussion with them as to the way forward. Benton Harbor- update of FDCVT Reappraisal grant award, any update on this. Ecorse—Five- year budget and Wayne disregard for our weekly telephone calls. Flint — Draft of the final EM Order. 911 tower issue. Meeting with Natasha and Jerry is being rescheduled for March 18th. Fiscal Stabilization Bonds/E-Loan. | should note that Jerry indicated that he wants an E-loan to resolve the deficit and will repair the water system with funding from the DEQ’s revolving water program. Jerry’s exit date extended through April or .longer? Flint water meeting this afternoon, | will be in attendance. Jerry indicated that only one candidate had applied for the Finance Directors position. Hamtramck— _|ssue between John Gabor and Katrina. | plan to meet with John. Segal has begun the pension consulting work. Police Chief Update. Katrina has begun to meet with City Council regarding the RTAB. Highland Park—_ RFP is being sent out. Vacant High School facility environmental RFP, a recommendation to Wayne will be completed soon. Water- Sewer billing update- may need to financially assist the City because Cathy wants to hire Pierce-Monroe to get it resolved. Need to discuss loan agreement items with Wayne. Lincoln Park— CM Search with Tom Adams is progressing. We are probably several weeks out

Thanks! Edward B. Koryzno, Jr. | Director - Bureau of Local Government Services State of Michigan | 430 W. Allegan Street, 3rd Floor | Lansing, MI 48922 (517) 373-4415 | (517) 373-0633 (fax) KoryznoE@ michigan. gov = Think Green! Don't print this e-mail unless you need to. CONFIDENTIALITY NOTICE: This e-mail, and any attachments, is for the sole use of the intended recipient(s) and may contain information that is confidential and protected from disclosure under the law. Any unauthorized review, use, disclosure, or distribution is prohibited. If you are not the intended recipient, please contact the Sender by reply e-mail, and delete/destroy all copies of the original message and attachments, Thank you

All, | was able to reach Liz Murphy; she said the water advisory committee will meet Thursday, March 5 from 2-4 PM in the Mass Transportation Authority auditorium, 1407 South Dort Highway. Flint, Ml. | will discuss the details with Randy. Regards, Robert Widigan | Office of Fiscal Responsibility State of Michigan |Department of Treasury 430 W. Allegan Street|Lansing, MI 48922 Office (517) 335-2130 | Cell (517) 243-8645 | [email protected] CONFIDENTIALITY NOTICE: This e-mail, and any attachments, is for the sole use of the intended recipient(s) and may contain information that is confidential and protected from disclosure under the law. Any unauthorized review, use, disclosure, or distribution is prohibited. {f you are not the intended recipient, please contact the sender by reply e-mail, and delete/destroy ail copies of the original message and attachments. Thank you.

Please contact Jerry Ambrose to obtain the details of this meeting which is scheduled to take place next week. Wayne wants a someone from OFR to attend and “take notes”. You two can decide which one of you will attend. Edward 8. Koryzno, Jr. | Director - Bureau of Local Government Services State of Michigan | 430 W. Allegan Street, 3rd Floor | Lansing, MI 48922 (517) 373-4415 | (517) 373-0633 (fax) Koryzno! ichigan,gov 5 Think Green! Don't print this e-mail unless you need to. CONFIDENTIALITY NOTICE: This e-mail, and any attachments, is for the sole use of the intended recipient(s) and may contain information that is confidential and protected from disclosure under the law, Any unauthorized review, use, disclosure, or distribution is prohibited. If you are not the intended recipient, please contact the sender by reply e-mail, and delete/destroy all copies of the original message and attachments. Thank you 26 xxxEND_PAGE:treasury01_b27_4112_4389_233 February 27, 2015

Maybe we can discuss this table idea Tuesday am while I am driving. It may be a good way to simplify things Sent from my iPad Begin forwarded message:

Ed, Does this make it more clear? Items in red are subtracted. Liz Murphy Assistant to the Emergency Manager City of Flint 810 237 2025 59 xxxEND_PAGE:treasury01_b27_4112_4389_168 Koryzno, Edward (Treasury)

I forgot to attach letter from Sue McCormick which details proposed DWSD terms/rates. LIZ

Importance: High Jerry is saying they do not agree with the $28M in fund equity for 2014. The numbers | used came directly from their audit. Rob