Correspondence between

FYI — xxxEND_PAGE:treasury01_b33_5236_5444_099 Sampson, Jeremy (TREASURY)

Importance: High Randy, Per your request, attached is the updated final timeline. The attachments are located here V:\LGOV\OFR\Cities\City of Flint\KWA Water Authority\2015 Water Quality Issues\Flint Water Timeline RWidigan 11-06-15 \f additional information is desired please let me know. -Rob Robert Widigan Local Government Financial Services Division Michigan Department of Treasury Office (517) 373-3227 Cell (517) 243-8645 xxxEND_PAGE:treasury01_b33_5236_5444_073 4425 (Rev 04-15) STATE OF MICHIGAN RICK SNYDER DEPARTMENT OF TREASURY NICK A. KHOURI GOVERNOR LANSING STATE TREASURER Flint Water Timeline (11-06-15) 1. June 26, 2012 — Letter from Flint EM Mike Brown to DWSD for permission to begin blending Flint River water with treated water from DWSD. The letter indicates that the DEQ is supporting this option and its implementation would save the City between $2M and $3M annually. 2. September 20, 2012 — Letter from Flint EM Ed Kurtz to DWSD requesting written permission to implement the blending option. Approval is requested by October 1, 2012. 3. October 31, 2012 — Analysis by the Flint Finance Director suggests that the annual cost to purchase water from DWSD will steadily increase to $23M per year by fiscal year 2020. 4. November 2012 — Treasury retains Tucker, Young, Jackson and Tull (TYJT) to evaluate the KWA proposal to the City of Flint. 5. November 6, 2012 — Letter from Flint Emergency Manager Ed Kurtz to State Treasurer Dillon that a proposal from DWSD is expected but that the initial assessment is that switching to KWA is in the best interest of the City of Flint. 6. February 6, 2013 — TYJT issues a final report to Treasury on the comparison between Karegnondi Water Authority (KWA) and DWSD. Analysis suggests that the KWA option is the cheaper option for the City of Flint. 7. March 2013 — DWSD contacts the City of Flint to begin direct negotiations on a contract extension. Multiple options are provided to the Flint Emergency Manager (EM) Ed Kurtz. 8. March 25, 2013 — The Flint City Council endorses joining KWA. 9. April 11, 2013 — State Treasurer Andy Dillon authorizes Flint EM Ed Kurtz, pursuant to Section 12(3) of P.A. 436 of 2012, to enter into a contract with KWA if a final offer from DWSD is either not received for rejected in good faith based upon specific objections. 10. April 15, 2013 - DWSD provides a best and final offer to the City of Flint. Analyses by Flint EM Ed Kurtz, the Department of Environmental Quality and Treasury’s Office of Fiscal Responsibility independently conclude that the KWA option is cheaper for the City of Flint. PO BOX 30728 e LANSING, MICHIGAN 48908-8228 www michigan gov/treasury e 517-373-3227 xxxEND_PAGE:treasury01_b33_5236_5444_074 Page 2 11. 12. 14. 15. 16. 17. 18, 20. 21. 22. April 16, 2013 —Flint EM Ed Kurtz informs the State Treasurer that the City will join KWA. This decision was officially announced May 1, 2013. April 17, 2013 — DWSD transmits a letter to Flint EM Ed Kurtz terminating service to the City of Flint, effective April 17, 2014. . June 26, 2013 — Groundbreaking for the Karegnondi Water Authority. Flint also requests full time use of the Flint Water Treatment Plant with Flint River water as a source. June 28, 2013 — Financing Contract between the City of Flint and KWA is approved. Effective August 1, 2013. This document was signed by EM Mike Brown. July 08, 2013 — The City retains Lockwood, Andrews & Newman engineering firm to get the City’s water plant up and running while the KWA pipeline is built. February 19, 2014 — The KWA Board of Directors adopts Resolution 2014-01, authorizing KWA to bond for water line construction on-behalf of the City of Flint. April 17, 2014 — Water service from DWSD officially ends. The City of Flint also conducts two separate public forums regarding the use of Flint River water, upgrades to the City’s water system and the overall cost of the switch to KWA. April 25, 2014 — City conducts public event marking the transition to the use of Flint River water. DEQ information shows that transition complete by May 2015. . January 2, 2015 — The City issues a public notification stating the City water system exceeds the TTHM maximum contaminant level. March 3, 2015 — Flint EM Jerry Ambrose provides a memorandum to Deputy State Treasurer Wayne Workman stating that a reconnection to DWSD will cost the City $10.1M/year and that water purchases could be as high as $1M/month. March 12, 2015 — Veolia issues the final operational evaluation of the City’s water system. November 4, 2015 — The EPA issues its final report on high lead levels at three residences in the City. xxxEND_PAGE:treasury01_b33_5236_5444_075 Byrne, Randall (Treasury)

Randy, Will the attached article work for an attachment to item #13? Robert Widigan Local Government Financial Services Division Michigan Department of Treasury Office (517) 373-3227 Cell (517) 243-8645 xxxEND_PAGE:treasury01_b33_5236_5444_069 Westward ho: KWA pipeline groundbreaking starts new path for water - By Ron Fonger | rfonger1@mlive com on June 28, 2013 at 6 00 AM, updated July 03, 2013 at 9 34 AM W Tweet Pint | KjReddt -, Emad (This story has been updated to correct an error.) GENESEE COUNTY, MI ~ When dignitariescut the ribboninear Lake Huron on the new SS Karegnondi Water * Authority pipeline Part of the construction site for the Karegnondi Water Authonty water pipeline ts shown in this submitted photo. today, June 28, they won't have to look far to imagine the project's initial path back toward Genesee County. Drain Commissioner Jeff Wright said plans call for the pipeline to be buried in the public right of way under Fisher Road, a gravel road that borders Sanilac and St. Clair counties, most of the way to Lapeer County. Talked about for decades, the water pipeline will put Flint and Genesee County into the water supply business and end its time as a customer of the Detroit Water and Sewerage Department. xxxEND_PAGE:treasury01_b33_5236_5444_070 Detroit water prices have increased an average of more than 9 percent annually for the last 12 years, according to the county. The county and city are the key members or the KWA and officials in Sanilac and Lapeer counties have expressed interest in future raw water purchases from the authority. Wright said the city of Lapeer is still considering membership in the KWA. Flint emergency manager Ed Kurtz has said the city of Flint alone has the potential to save at least $100 million during the next 25 years by using KWA water. Friday's ceremony at Fisher Road and M-25 marks the start of construction of the intake portion of the pipeline and heavy equipment is already at the site, laying the foundation for that work, much of which wili be done in Lake Huron. While that work gears up this summer, talks are continuing over the design of the pipeline and the firming-up of the exact route it will be built on. “About 95 percent of the pathway has been set,” Wright said. "The other 5 percent ~— we're looking at some options ... potentially a cost savings" by using some private property. The drain commissioner said he expects to contact about 10 owners of farmland in Lapeer County as early as next week about his interest in using their land. Talks with road commissions in Sanilac and St. Clair counties about Fisher Road started about six months ago, he added. Sanilac County Road Commission Engineer/Manager Robb Falls said he's already getting questions from Fisher Road residents about the $274-million pipeline project, which will require detours. "A lot of people, | think, are happy for the project," Falls said. "They figure maybe the road will actually be improved (as a result). A couple of people have been upset (but) hopefully, maybe the pipeline would allow some industry in the area." xxxEND_PAGE:treasury01_b33_5236_5444_071 The potential for attracting new businesses with a need for raw water is certain to be one of the subjects of speeches kicking off the pipeline ceremony, which starts at 10 a.m. Friday. Several! officials, including Wright, Flint Mayor Dayne Walling, state Reps. Pam Faris and Charles Smiley, and county Board of Commissioners Chairman Jamie Curtis are among scheduled speakers. Wright said visitors to the ground-breaking site might be surprised by how much preparation work, including construction of a service road, has already started. "It's amazing ... I'm surprised myself (about) how much they have gotten done,” including about 100 feet of road, drainage work, and the creation of a 3-acre staging area for the intake project work, he said. Construction of the water intake will require tunneling under the floor of Lake Huron and the use of divers, who will connect sections of 72-inch diameter pipe underwater. The work is expected to take 30 months to complete and to bring an estimated 250 workers to the construction zone, located on 230 acres, including 40 acres of shoreline, which is owned by the county. L. D'Agostini & Sons Inc., a Macomb-area contractor, won the right to build the intake for $24.6 million, and the job, including engineering, is expected to cost $26.7 million. xxxEND_PAGE:treasury01_b33_5236_5444_072 Byrne, Randall (T Treasury)

Hello ail, Here are my notes from the call today with the City of Flint. Please notify me if you identify any factual errors, and | will be happy to remedy for the records: Flint — Nov. 4 Mayor Walling, N. Henderson, J. Freeman, F. Headen, W. Lamphiery, E. Cline, P. Dostine, D. Hudson, A. Heimann — Allin attendance Elections dy ee ge a a Mayor Walling — Reiterate a few things already shared, hopes that this group can continue to meet, and involve City Council, Council presence has been essential. Saying that we are going to be met with an entirely different approach, one of “anger and resentment”. Will need to be much more “Hands On”. Called for additional investments to help deal with the elevated lead levels in high risk people’s blood Believes that the new administration will be very destructive We “have his number” ALL- Nervous about new administration, and are looking for the State to be more involved to ensure that the atmosphere does not become too destructive. N Henderson — Suggested that all department heads are at risk because new mayor has made promises to people for these department head jobs. J Freeman — Not likely going to be elected for City Council president Priorities 1, Grants: Received three grants from the Ruth Mott Foundation $1.5M (three yr) from the Ruth Mott foundation for Police work in the North End of the City. Not for operational policing, but for public safety programs. Neighborhood planning grant $300K, can work with previous grant, and are waiting on agreements Park Grant $70K Devil’s Night / Halloween report 1, 2. No Major issues One fire, basement fire. Two more brush fires, nothing major. Sat it rained Water System Update de 2. Switched to DWSD Waiting on a finalized permit, to add more phosphate to the water. Already have phosphate in water, but they believe that more is needed, and special permit is needed to add more. Recommendation from that there is substantially more Phosphate in the water. Technical advisory committee meeting on November 9" 1 xxxEND_PAGE:treasury01_b33_5236_5444_022 4. N Henderson will have a private EPA Meeting 5. EPA will have a task force meeting on Tuesday (Not public information) KWA bond payment date 1. November 2016 - Working on it now (called Jodi? While we were on call to find date) Planning Director Start-date 1. First day will be November 9th Miscellaneous 1. RTAB vacancy — The Governor’s office is taking names and then they will be making the decision. Unclear how long that process will take. 2. Veterans Day — will not be having a phone call with Veteran’s day being Wednesday, Thursday will be the RTAB meeting not Wednesday, confirmed that they had posted the RTAB meeting appropriately. Alexandr Heimann Municipal Anlayst Local Government Financial Services Division Michigan Department of Treasury Office (517) 335-2434 xxxEND_PAGE:treasury01_b33_5236_5444_023 2 3 UNITED STATES ENVIRONMENTAL PROTECTION AGENCY FA SZ a REGIONAL ADMINISTRATOR % FY 77 WEST JACKSON BOULEVARD ha sat CHICAGO, It. 60604-3590 REPLY TO THE ATTENTION OF MEMORANDUM DATE: November 4, 2015 SUBJECT: Transmittal of Final Report - High Lead at Three Residences in Flint, Michigan FROM: _TinkaG. Hyde Ain Ba 1/d. Water Divisio (Hirector TO: Jim Sygo Deputy Director Michigan Department of Environmental Quality Howard Croft Director of Flint Public Works Enclosed please find for your file a final redacted version of a report prepared by EPA Scientist, Miguel Del Toral, regarding lead in drinking water at three residences in Flint, Michigan. The redactions remove personally identifiable and medical information. This report has been finalized and is also being provided to the National Drinking Water Advisory Council (NDWAC) for discussion during their upcoming meeting on November 17-19, 2015. We understand you saw an earlier version of this document; and note that most of the recommendations in that interim report are already being implemented (e.g., the City of Flint has switched back to Detroit water; filters have been provided to residents; and additional corrosion control treatment will be implemented). The final report contains important new information indicating that physical disturbances of lead service lines can dislodge the protective coating that prevents lead from leaching into drinking water. The final report recommends notifying residents about the potential risks of increased lead levels in drinking water when work is undertaken that may disturb lead service lines. ce: Natasha L. Henderson, City of Flint Administrator RecyclediRecyclabie » Panted with Vegetable Oil Based Inks on 100% Recycled Paper (100% Post-Consumer) xxxEND_PAGE:treasury01_b33_5236_5444_024 High Lead Levels in Flint, Michigan The purpose of this report is to present the findings of activities conducted in response to high lead levels in drinking water reported to the United States Environmental Protection Agency Region 5 Office (EPA) by a resident in the City of Flint, Michigan. Background Information Prior to April 30, 2014, the City of Flint purchased water from the City of Detroit. On April 30, 2014, the City of Flint switched from utilizing purchased water from Detroit to a new water source, the Flint River, Subsequent to the change in source water, the City of Flint experienced a number of water quality issues resulting in violations of National Primary Drinking Water Regulations (NPD WR) including acute and non-acute Coliform Maximum Contaminant Level (MCL) violations and Total Trihalomethanes (TTHM) MCL violations (see Appendix A). Beginning in January 2015, (EN, a resident of Flint, called the Flint Water Department (FWD) regarding the water quality in her home. In response to the initial and subsequent calls, the FWD visited the home on a number of occasions and also collected tap water samples. [EEE also contacted EPA regarding these same water quality issues and medical issues she believes are associated with the water quality in Flint. Following initial calls on the general water quality, on February 26, 2015, contacted EPA regarding high lead levels found in her drinking water by the City of Flint. The result of the initial lead in water sample collected by the City of Flint on February 18, 2015 from the f | home was 104 g/L and the level of iron in the water exceeded the capability of the instrument to measure (>3.3 mg/L). On February 26, 2015, upon receiving the lead results from [MEE the EPA contacted the Michigan Department of Environmental Quality (MDEQ) regarding the high lead result. The MDEQ advised that the City of Flint collect a follow-up sample for lead at the [EJ home. On March 3, 2015, the City of Flint collected a follow-up sample for lead at the JE residence and the result of this second sample was 397 y1g/L!, Subsequent to receiving her second result, EPA spoke to via phone on March 19, 2015, and the following information was provided by : existing plumbing had been removed and the installed plastic plumbing. ® Due to high iron levels in the tap water, the installed an iron filter downstream ’ of the service line inlet into the home. ¢ BE indicated that at this time they are not drinking the water or using it for cooking. She stated that her child’s blood lead level (BLL) was originally at in 2012 and that a more recent test showed it had increased to but she noted that ¢ The IY home is a HUD home which was i and renovated in 2011. All ! Note’ A third water sample had been collected on April 2, 2015, but the results had not been provided to the YE at the tine the interim report was written. The third lead in water sample result was 707 ug/l. xxxEND_PAGE:treasury01_b33_5236_5444_025 Final Report, October 21, 2015 the BLL testing was done well after the child had stopped drinking the water and may have been higher during the time the child was consuming the water. « Water samples collected by the City of Flint from her home were collected from the kitchen tap after the iron filter was physically removed. « The Flint Water Department (FWD) informed | that her service line does not connect to the water main in front of her home as is typically the case for most homes. ¢ On March 18, 2015, City of Flint personnel went to the en home to locate the external shut-off valve in conjunction with the planned replacement of the service line and were unsuccessful, Eventually it was discovered that the external shut- off valve was located at the comer of a and Bryant Street, two houses down from the J home. As part of EPA’s effort to respond to {EEE concerns regarding her water results, EPA contacted the FWD. The following information was provided to EPA by the FWD: . home is one of the first homes built on the black and the service line runs for approximately 50-60 yards, connecting to the water main on Bryant Street which runs perpendicular to | {see Appendix A). ¢ Flint has a large number of fead service lines, so it would not be surprising to find that this is a very long lead line. * The first sample from the [EJ home was collected with the iron filter in place, and the second was with the iron filter physically removed. The iron filter was located just after the water meter. . ¢ RR showed FWD a video of her son 10 minutes after taking a bath, and that he had a full body rash in the video. It was a common practice in the early 1900s to purchase large parcels of land and later subdivide them. Since service lines are typically run from the water main to the nearest location on a property and it is possible that the [J home may have originally been art of a larger parcel of land that encompassed the two homes that now exist adjacent to the home and was subsequently divided, leaving the original home connected to the same service connection and water main, while the newer homes were connected to a more recent water main installed along Based on a suspected conflict of interest at the healthcare facility that originally tested her son’s BLL, P| took her son to a different healthcare facility to have his blood lead tested again. On April 1, 2015, EEN provided EPA with a copy of her child’s blood lead testing performed on March 27, 2015, showing a higher BLL — than the original test. Due to the persistently high lead results, the FWD shut off the water service to the J home on April 3, 2015. Per agreement between the FWD and EE, her home was then connected to her neighbor’s home via a garden hose, from one hose bib to another. This was understood to be a temporary measure until the service line could be replaced. The Hl used this water connection only for bathing, washing dishes and washing clothes. Page 2 of 25 xxxEND_PAGE:treasury01_b33_5236_5444_026 Final Report, October 21, 2015 At the invitation of [EEEN, EPA visited the {J home on a 27, 2015, and reviewed the internal plumbing and information provided by , including water samples and spent filter cartridges. During this visit, EPA observed that the internal pipes, valves and connectors at the a residence were made of CPVC plastic, approved by NSF for potable drinking water applications, with a few minor metal connectors. A review of the treatment units in the home by EPA found that there was no iron filter in the home as had previously been thought. The only active treatment device in the home was a whole- home sediment filter which utilizes NSF certified Whirlpool WHKF-WHWC cartridge filters for sediment removal and taste/odor, There was also a non-functioning ‘Water Resources International Hydro-Quad Commercial Water Processor’ which was bypassed (see Appendix A). At the request aaa. Dr. Marc Edwards at Virginia Tech provided sampling instructions to for collecting a series of samples from her home. As part of the instructions, on the night of April 27, 2015, the water at the | residence was turned back on temporarily and the kitchen tap was flushed for 25 minutes at low flow prior to letting the water sit overnight. A series of sequential samples were collected the following morning (April 28, 2015) and sent to Dr. Edwards for analysis. Dr. Edwards provided [EEE with the results of the analyses and also shared the results with EPA on May 5, 2015, along with information regarding other chemical parameters tested (see Appendix B). In addition to very high lead levels in all sample results, the analytical data shows a correlation between lead and phosphate as well as lead and aluminum in all samples. On April 24, 2015, EPA had learned that Flint did not have corrosion control treatment in place and also learned that Flint was using ferric chloride as a coagulant. Consequently, as the City of Flint is not utilizing phosphate or alum as treatment chemicals since the source switch, the results indicate that it is likely that the phosphate and aluminum were being released from the scale within the distribution system network. This scale would have formed on the inside of the pipes in Flint during the time when the City was purchasing water from Detroit, as Detroit utilizes orthophosphate for corrosion control and alum as a coagulant in their water filtration process. Research conducted by EPA on lead content in pipe scales has shown that scales which form on the inside of lead pipes can be released or dislodged into the water and may contain a high percentage of lead (Appendix C), Although the results received from Virginia Tech were indicative of the presence of a lead service line, the FWD indicated that no records existed to confirm whether any portion of the service line connecting to the home was made of lead. However, given the high lead Jevels found, it was presumed that at least a portion of the service line was likely made of lead. In the course of following up on the high lead at the | home, additional sample results provided to EPA from other residences in Flint also showed high lead levels. Primarily from a public health standpoint, but also from a research standpoint, it was important to try to find out what the cause of these very high lead levels might be. EPA Region 5, EPA’s Office of Research and Development and others have been working Page 3 of 25 xxxEND_PAGE:treasury01_b33_5236_5444_027 Finat Report, October 21, 2015 together collaboratively to better understand lead release mechanisms from lead service lines in anticipation of upcoming revisions to the Lead and Copper Rule (LCR) and as part of a collaborative effort in EPA Region 5 to study potential options for optimizing phosphate treatment to control iead in water and the need to reduce phosphorus discharges into the environment. Since the [EI service line was scheduled for replacement on May 6, 2015 and the presumption was that at least a portion of the service line was lead, EPA visited the home on the day of the service line replacement to gather information and service line pipe samples that could provide additional infomation, as to how lead levels could get as high as they did in this case. The original service line to the [EJ home was disconnected and two service line pipe ségments from this service line were extracted on May 4, 2015. Additional tap water samples were collected also from two homes on Bryant Street that were connected to the same water main as the I home (Appendix A). The samples were collected from these homes as they had more typical service line lengths as compared with the home. During the same visit, patches of asphalt were also noted along the curb on Browning Avenue, indicating that excavation had occurred. These patches, which were in proximity of the [I service line in the parkway (see Appendix C) may be one of the potential factors contributing to the high lead at the home, as it has been shown that physical disturbances to pipes can dislodge the scales within those pipes. The two service line segments that were extracted were subsequently identified as galvanized iron pipe. Analyses conducted by Virginia Tech on the extracted portions of the pipe indicate that the galvanized iron pipe was fairly typical in terms of composition (see Appendix C). The galvanized iron portion ran from inside the [EE home to the external shut-off valve at the corner of a and Bryant Street. The remainder of the original service line from the shut-off valve to the water was made of fead. Although the service line had been disconnected from the [EEE home, it was not possible to retrieve a segment of the lead portion of the service line as it was beyond the shut-off valve which had been closed and left in place. Following the disconnection of the original service line, a new service line made of copper was installed from the home to the water main in front of the home on —— I Subsequent ta the replacement of the service line at the home, water samples were also collected

OK I RSVP, it is just a telephone conference, so | can participate from home. -Rob

Rob, Go ahead and plan on attending. | did mention this to Wayne and he agrees we should at least be aware of this. Please report back on what transpires. Eric Cline | Department Manager | State of Michigan Michigan Department of Treasury | Local Government Financial Services Drvision | Fiscal Responsibility Section 430 W. Allegan Street, 3rd Fleor | Lansing, MI 48922 Lansing Office (517) 335-2078 | Cell Phone (517) 243-8450 | Traverse City Office (231) 922-5228 E-mail cliner]@michigan.gov CONFIDENTIALITY NOTICE: This e-maul, and any attachments, ts 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 4s 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.

Randy/Eric, (received this email yesterday, thought I’d pass it along. Do we want someone to attend this? -Rob

Patrick Dostine State of Michigan Department of Treasury Local Government Financial Services Division, Office of Fiscal Responsibility Cadillac Place 3044 W Grand Blvd Detroit, MI 48202 (office) 313.456.1772 [email protected] xxxEND_PAGE:treasury01_b36_6099_6552_055 Weekly Conference Call Notes — Oct. 19, 2015 Allen Park —Oct. 16 —Mayor Matakas, M. Kibby, R. Byrne, E. Cline, P Dostine Priorities e White Hall auditors will be starting approximately Nov. 6. Audit should wrap up by end of December. Bond tender update e An institution which holds approximately 20% of the bonds that were tendered recently wants to sell. Tentatively a special council meeting and RTAB meeting is scheduled for Oct. 27 & 28 respectively to address the proposed acceptance of the offer. Park Street construction e Finished paving today. Walk through tomorrow with city engineers. If all goes well, road will be open next week. City said there are a few issues that have to be addressed by contractor. FDCVT Grant e The City submitted its grant Oct. 14. Retiree Health Changeover « B Cady said there have been some minor issues. Otherwise, 99% of the people are satisfied. Overall, actives saw an increase in their healthcare cost of 3.2%. Police realized an increase of 5.5%, Retiree healthcare lawsuit « Retirees filed an appeal. Allen Park is working with its attorneys. A hearing date has been set for Nov. 5. Miscellaneous e Allen Park was informed that the Governor may be appointing a new member to the RTAB. Benton Harbor —Oct. 8—D. Watson, R. Byrne, R. Widigan © Weekly Priorities: © Negotiations ongoing with ASFME and FOP — should be wrapped up shortly. = FOP is asking for everything EM Saunders took away. xxxEND_PAGE:treasury01_b36_6099_6552_056 © Election: Two for mayor, and there is a write-in candidate challenging every commission seat that is up for re-election. © Audit: Auditors will be on site next week, should be out by mid-November. o Budget amendments: Two amendments will go to the commission on the 19", reallocation of dollars, no change in bottom line. e Lange, O’Brien/Unruh Lawsuits: Plunkett & Cooney will hold a closed session on October 19 to update the Commission. o Lange still is asking for $595K o Timeframe: Noting will be done before the election is over — Treasury will set up a date for Darwin and the Mayor to come to Lansing to discuss the lawsuits. © Update on Vacant Positions: Personal committee approved the MML search proposal and moved it along to the full Commission. © Water Department Superintendent: Fleis & Vandenbrink Engineering, Inc. is asking for $2,500/week to provide the City with 4 individuals to run the plant. o Assessor: The City has identified an individual to hire, meetings are scheduled to discuss details. ¢ FDCVT Grant Applications: The City will be submitting 4 grant applications shortly. e City Manager Evaluation Discussion: One commissioner was hoping to “bridge the peace” between Darwin and the Commission. o The Commissioner wanted an update from the evaluation that took place six months ago. Priorities o Budget and 5-year budget. New controller has finished revising the budget and the 5-year budget. O’Neal said Ecorse council has approved the revised ‘15/’16 budget. Going to the Nov. RTAB. The revised 5-year budget has a projected fund balance of $1.5MM in 2021. Capital projects were revised in the ‘15/°16 budget as well as in the 5-year. Fire consolidation o O'Neal said today that Ecorse is counting on the $2MM FDCVT request to make the transition to an all part time fire department work. He asserts that the 5-year is balanced with this deal. OPEB benefit audit xxxEND_PAGE:treasury01_b36_6099_6552_057 o O’Neal said that the OPEB benefit audit, which Ecorse did in-house, will be done in a few days. Miscellaneous o Water rates. O’Neal said the city will be raising water rates. Plans on hiring an engineering firm to audit all the customers. o O'Neal promised to get Drew Van de Grift contract disclosure forms for: auditor, insurance, purchase of car, and Miller / Canfield legal services. o O’Neal said Ecorse is working on the list from the Wayne Workman memo dated Aug 10. Items include: developing a business plan for DPW; OPEB audit; Savings in fire department; budget for fill ARC payments. o O'Neal has a meeting with US Steel to discuss the company selling a piece of property to the city to use for parking. o Treasury will meet with O’Neal in the coming weeks. Flint — Oct. 14 —N. Henderson, Mayor Walling, J. Freeman, F Headen, Wendy, R. Byrne, E. Cline, P. Dostine « Priorities o Henderson bringing two amendments to Oct 14 RTAB: $2M budget adjustment (money from the Water Fund fund balance) and Agreements needing execution between Flint and DWSD, and Flint and Genesee County. o The city anticipates connecting to DWSD in the next few days. e Lawsuit © Miller Canfield still representing Flint in both the Kincaid and Shears lawsuits. Henderson repeated again that Flint will need assistance in maintaining Miller Canfield as counsel. e Public Safety o Fires are down in Flint. Because of that, Flint no longer qualifies for some grant dollars. © Tierl crimes (homicide, rape, armed robbery) are down in Flint. o. Chief of Police (and Flint) is participating in Violence Reduction Network (VRN), a Dept. of Justice initiative that provides technical assistance and other in- kind crime prevention assistance to cities with higher than average violent crime. Hamtramck — Oct. 8 — K. Powell, R. Byrne, R. Cline, P. Dostine, D. Van de Grift Priorities o Hamtramck has commenced work on the park in front of City Hall, Pope Park, and Veteran’s Park. xxxEND_PAGE:treasury01_b36_6099_6552_058 o Katrina and the City Council successfully attended the MML training in Traverse City, in compliance with EM Square’s final order and the directive of the RTAB. o At last month’s RTAB meeting, the Board denied the city’s current contract with their auditor of choice; the City must find another auditor. o Following the death of Councilman Walters, the Council disagrees about how the vacancy will be filled. Police Study o Katrina has only one potential study proposal; Treasury has requested additional proposals for comparison. o Ann Moise likely will be appointed to full-time chief after the election. Pension Study o Phase II will be skipped; Phase III is expected to begin soon. City Treasurer co Has been busy on some projects. Highland Park— Oct. 14—C. Square, R. Byrne © The collection firm has approximately $7M in past due accounts to collect. However, many of these accounts are no longer active. o Meadowbrook will be providing an updated report on OPEB costs which show a substantial reduction of the annual costs. The new estimated annual costs will be between $200K and $300K. o New water bills with the new water and sewer rates have been sent out to the customers. o Wade-Trim has opened its customer service center on Woodward Avenue. o BSA software installation has been completed. o The City will be submitting several FDCVT grant applications including master water meters, LED streetlights, and building improvements. o Wade-Trim has received several shipments of residential water meters that will be installed soon. Inkster — Sept 16 — M. Stuhldreher, R. Byrne, P. Dostine Priorities xxxEND_PAGE:treasury01_b36_6099_6552_059 a Redevelopment Ready Community program. Inkster is interested in following through with MEDC to achieve RRC certification. Treasury to forward brief report on the program’s requirements. Police chief o New chief is fully engaged. He's attended several community events. He’s been in the neighborhoods. Chief is in the process of hiring an officer to work narcotics. Inkster Police administration has lots of training dollars. Mark said Inkster has $47K remaining from the FDCVT grant earmarked for training as well. Pastors o Mark had a meeting with Rev. George Williams, an outspoken critic of the upcoming Parks & Recreation millage. Mark stressed the importance of millage passing and that Rev Williams should at most remain neutral on the matter. °16 FDCVT grant o Inkster has not started its application process yet, but does plan to apply. Last year the city received $900K in grant monies from Treasury. Lincoln Park — Oct. 7 — B Coulter, R Byrne, E Cline, D. Van de Grift, P Dostine Priorities o PA 345. Another councilman has endorsed the millage. Three councilmen have now officially endorsed the millage, and one other councilman quietly supports it. Unions are behind the millage. The fire union has been doing mailings, meeting with residents. More neighborhood town hall meetings are planned. City Manager Matt Coppler o Brad stated that the new city manager is a “good fit” in the city. Transition is very smooth. Coppler will be sitting on the Downriver Sewage committee, taking over for Brad. Lincoln Park Retiree Lawsuit o A status conference will take place Oct. 20. FDCVT grant o LP is applying for grant to help with DTE street lighting change over. DTE said city would save $100K. LP contemplating using grant funds in police department. RTAB recruitment membership o Coulter has one name thus far. It has not been easy for Brad to find willing participants. Final Order xxxEND_PAGE:treasury01_b36_6099_6552_060 o Treasury told Brad it should have a draft FO soon. With the new city manager on board, Brad said a lot more time will be freed up for him to focus on other projects. Gabriel Roeder Smith lawsuit o Nota priority until after the election results and PA 345 is decided. City is conserving money for other legal matters at the moment. Attorneys for Lincoln Park will be drafting a demand letter for a cost of $7K to $10K. MEDC / MSHDA o LP meeting MSHDA Oct. 12 in Lansing. Treasury is invited to the meeting. Miscellaneous © City pursuing $1.5MM SRF funding for sanitary sewer line projects. o MML declined coverage in the retiree lawsuit because the issue at hand deals with modification of healthcare benefits. ° Pontiac — Oct, 16 - J. Sobota, N. Nazarko, R. Byrne, R. Widigan, P. Dostine e Weekly Priorities: o District Court Decision: On Oct 7 the City received an Adverse Arbitration Ruling. Can Treasury ask AG to get Letter from Treasury to the City and Court instructing them not to pay the amount decided by the arbitrator. Email sent 10/07 @ 11:25, it has been forwarded to Randy and Eric for review. o Next week’s call: CA and the Mayor will be at a homeland security conference. Should cancel next week’s. o Comprehensive Compensation Study: Sobota is looking for bids from Mark Notley, and the MML and Fox for the projects. Are there any other companies to get bids from? o City Demolitions: Information is handed off to At-Well. Have demolished 427 of 944 identified. 53 Have been repaired by owners, 56 were dismissed. 303 condemned to be demolished, 50 of the 303 are with hardest hit. That leaves 250 within the City, of that 40 are occupied. = Once completed, the blight issues will be mostly resolved. o Cemetery Endowment Funds: City is still responsible for cemetery still, would like to re-establish it and deposit $1M. The fund was drained by EFM Stampfler. Possibly do $500K each year over two years. = Note for future EMs, may wish to tell them not to touch endowment funds. e $6M with Gray Financial Group: No updates. Nevrus has talked with the director of the pension board and raised concerns. o The Director is going to speak with the GERS Board attorney. o The City Council being kept up-to-date on the issue. xxxEND_PAGE:treasury01_b36_6099_6552_061 Two-year Rolling Budget/Audit: © Two-year: Not been addressed due to the Council not acting on the budget amendment and no agreement on the Sherriff’s contract. = President Waterman said that Council will vote on the budget amendment this Thursday. co Audit: Last few details are being inputed, bulk is done. = Fund balance will be $10.8M Community Development Positions: HR director had identified 12 candidates total. Sent resumes and questions to the Mayor. The Mayor has asked Joe and HR Director to conduct the interviews. Joe would rater the Mayor be involved. Royal Oak Township — Oct 5— R. Burgess, R. Byrne, P. Dostine Priorities for the Week/Miscellancous Items o Hired an accountant — Nicholas Fedewa -- approximately $55 to $60 /hr. Fedewa was recommended by Pontiac Finance Director. He initially will work full time to catch the township up in the books. Produce a cash flow analysis from Aug till Dec. Work up till the end of the year. Treasury recommended the new accountant stay on pass the end of the fiscal and perhaps even longer. The work is needed. o Montgomery has reduced its price from $17K to $10K. Still no deal, no close out of this invoice. Robert requested an Order so he can void the contract. Treasury noted that Montgomery could still take the township to court over the matter. o There is an office employee that the township must provide rights and benefits under the union contract. Robert did not budget for these costs. The township attorney has counseled against eliminating her position or denying her benefits because she will grieve the case. FY ‘16 budget o Robert said a draft of the budget is completed. He’s met with all the directors and elected officials regarding their budgets. He’s ready to show it to the Board at the next meeting (Oct. 15) or maybe earlier for review. In the budget are CIPs which have $50,000 place holders. o Robert has distributed project applications for FY 16 CIPs to all the dept directors. That process is underway. o Robert said tax revenues will be slightly higher in FY ’16 budget. o Oakland Co told Robert that chargebacks for 2016 will be small. o In 2017, the Fire, Street and Disposal funds should all break even. o The projected fund balance for Year End FY 16 is approximately $200K, which is less than the 15 percent recommended of the total budget amount ($2MM). o No money budgeted for township offices. Robert said he would have to do an amended budget should the issue arise in ’16. o Treasury requested a copy of the draft budget. Police Update xxxEND_PAGE:treasury01_b36_6099_6552_062 o Robert met with Oak Park regarding police services. Last week Robert gave Oak Park a written proposal. Oak Park has promised a response in two to three weeks. Grant School o Robert said this is not a priority until ROT gets a police contract first. Township-owned house o Update: This property has not been sold yet for $975. At its last meeting, the Board approved the selling of the property, not the sale of it. At the same meeting, the Board did not approve of the rehabbing of the house for $3K. Municipal Risk (sp) sent a crew in to dry the basement out (the basement experienced water damaged due to clogged drains from area restaurants using them as grease bins) remove damaged drywall etc. It has been estimated that $3K of rehab on the house would elevate the house in price on the market from $10K to $30K. McKenna o In 2014 the township paid approximately $100K for McKenna’s services. This year, the figure is approximately $64K. Robert has talked to the DDA and Parks about what their share in the cost will be going forward. He hopes to get a reduced price

The GOV just announced that the City will be reconnecting to DWSD, it will cost $12M. That $12M will be will come

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)

Governor says he's "working hard" to resolve Flint water problems Governor Snyder says the state is “working hard” and doing its best to resolve Flint’s water issues. Recent tests have raised alarms about high lead levels in city water — and in some Flint children’s blood. Snyder wouldn't offer specifics about possible action, but he will soon. “There’s actions going on," he said. "But I think we’d rather make sure I can give you a longer list of the comprehensive actions we’re taking sometime during the week.” Flint Mayor Dayne Walling said last week the governor should “work harder” to resolve the water issues. Flint’s system has had repeated problems since it switched from Detroit to Flint River water in April 2014. Sent from my iPhone xxxEND_PAGE:treasury01_b37_6553_6782_166 Schafer, Suzanne K. (T reasury)

| don’t know if anyone saw this, by we may want to monitor what Hurley Children’s Hospital’s says. http: f switch/72741222/ Robert Widigan Local Government Financial Services Division Michigan Department of Treasury Office (517) 373-3227 Cel xxxEND_PAGE:treasury01_b37_6553_6782_116 Stanton, Terry A. (T Treasury)

We need to advise Tom and Fred of the situation and set a call with Natasha and Pete Sent from my iPhone xxxEND_PAGE:treasury01_b37_6553_6782_060 CITY OF FLINT Dayne Walling Mayor September 14, 2015 The Honorable Rick Snyder Govemor, State of Michigan P.O, Box 30013 Lansing, MI 48909 RE: Call for Additional Support for Flint Water Improvement Plan Dear Governor Snyder: On behalf of the Flint community, | am writing with a renewed request for additional support to address Flint’s water challenges to ensure that water is affordable and secure for everyone in Flint especially our vulnerable populations. I am asking for an additional $30 million in funds for Flint’s infrastructure and a new healthy homes initiative. Significant progress has been made throughout this year to increase water safety and quality and I thank you for the involvement of your office, the Michigan Department of Environmental Quality, and the Michigan Department of Treasury. A majority of items in the Water Improvement Plan are completed or underway. Most importantly, Flint is now in compliance with the Safe Drinking Water Act due in large part to the installation of the new carbon filter. The infrastructure systems are being made more secure and efficient through the State grants. Now the City is committed to following the recommendation of the Michigan Department of Environmental Quality to optimize the treatment process, reduce corrosion and further minimize risks from lead. The need to accelerate the City’s capital improvement investments remains and has been further increased by the continued financial stress and legal issues. Previously I requested support for replacement or forgiveness of payment to the Drinking Water Revolving Loan Fund due to Flint’s status as a distressed community and the gap in funding in the adopted capital improvement plan. I understand that the existing federal law does not allow the existing Drinking Water Revolving Loans that Flint is carrying to be forgiven in retrospect but the need still exists. Flint owes approximately $20 Million. One solution is for the State to grant a new $20 Million that is designed as forgivable from the start. Another solution is to provide Cry of Flmt © 1101S Saginaw Street * Flint, Michigan 48502 wiv cilyotflint com © (810! 766 - 7346 © Fae (810) 766 - 7218 xxxEND_PAGE:treasury01_b37_6553_6782_061 The Honorable Rick Snyder September 14, 2015 Page 2 equivalent funding through an expansion of the grant program to Michigan’s Financially Distressed Cities, Villages and Townships with a supplemental budget amendment in cooperation with the State Legislature. The community’s heightened concern about lead leeching into the water from old service lines and home plumbing also needs to be addressed. We know that lead is an environmental contaminant and there have been many programs in place over the years to address sources in paint and pipes. Flint needs a new healthy homes initiative specifically focused on lead in water with $10 Million to start the process of replacing service lines for the most vulnerable houscholds. Regardless of the source and treatment of Flint’s water, this long term threat of lead in pipes needs to be removed in the interest of public health. My approach continues to be to work with you and your appointed officials, State Senator Ananich, State Representatives Phelps and Neeley, Congressman Kildee, community groups, businesses, churches, foundations, the Flint City Council, and all of the City of Flint and State and Federal government personnel. We need every available expert and resource to address Flint’s water problems. Flint’s safety is my top priority. Just as the City and State have worked together on public safety, we need additional support for fixing the water problems, We need $30 Million in new funds to repair and update the city-wide infrastructure and to assist households in becoming lead-free. The entire Flint community deserves sustainable, safe, secure and affordable water now and into the future. Thank you for the consideration Governor and I look forward to future discussions. Sincerely, Dayne Walling Mayor, City of Flint CC: Flint City Council President Joshua Freeman; Congressman Dan Kildee; State Senator Jim Ananich; State Representative Sheldon Neeley; State Representative Phil Phelps; EPA Regional Administrator Dr. Susan Hedman; Chief of Staff Dennis Muchmore xxxEND_PAGE:treasury01_b37_6553_6782_062 Weekly Conference Call Notes — Sept. 14, 2015 Allen Park —Sep. 11 — Mayor Matakas, B. Cady, M. Kibby, R. Byrne, E. Cline, P. Dostine Priorities o Payroll clerk is leaving Allen Park, going to Garden City. Allen Park will start interviews for new payroll clerk Monday. © Town Hall meeting scheduled for next week. Topic is 2 mill on ballot for street repair. o City closing books. Audit to start next week. Update on Bond Tender o $1.3M so far. Cady said they are disappointed. Hoping that people waiting to last minute (Sept 16) for every penny. Fire contract Update o Fireman are taking Allen Park to arbitration. They and the city cannot reach an agreement. Cady said one of the problems is that all the city’s internal knowledge is gone. oO FDCVT Grant Application © Allen Park is working on the grant. Looking to fund a LED replacement program and purchase a portable generator. ° Retiree Health Care Update © The retiree have been switched to Humana. The under 65 and actives are with BCBS. Go live for both is Oct. 1 ° Position/Classification Study Update o Allen Park selected White Hall Group ($47K) to conduct third and final piece of the study: city personnel/service efficiency study. Other two, Job Description and Salary Surveys, MML did. ° Beatom Lawsuit eo Settled for $22.5K. MML is paying the cost. Benton Harbor —Sept. 10 —D. Watson, R. Byrne, P. Dostine, E. Cline Priorities o Fri, Sept 11, Benton Harbor is unveiling its Sept 11 Monument. Expecting 1,000 people. o BH still in negotiations with FOP and AFSCME. Darwin said it’s easy because the city has no money. ° Lange, O’Brien / Unruh Lawsuit o No update, at a standstill. xxxEND_PAGE:treasury01_b37_6553_6782_063 Update on Vacant position o Assessor position. RFP went out. A company responded that Darwin likes, a mother and son team. One works as an assessor for a small twp. One works in equalization for Berrien County. The cost for their services is $10K less than former assessor. They are committing to 2 years. o Finance Director. Darwin forwarded Treasury the MML-headhunter specs for the position. The headhunter is Kathy Eisinger (sp) o Plante Moran is conducting the annual audit. Preliminary numbers show a $774K fund balance. A Ronda Hildebrandt, interim finance director as described by Darwin, will be helping out BH from now through the close of the audit. She will be at the offices 5 days a week. Watson plans on asking her is she has any interest in applying for the finance job. o Water Supervisor. BH posted the position. BH has an agreement with St Joseph to assist them. The current supervisor is staying till Oct. 20. BH also advertised for a Distribution Foreman. o Community Development & Economic Director. The current director is staying till Nov, she will help with transitioning the new hire when he/she gets on board. BH posted the position already. o BH’s political season is in full swing. Darwin noted that commission meetings are ratcheting up. FDCVT Grant o Darwin plans to make an application in about 2 weeks. The focus will be using the grant monies on the sanitary survey results mentioned below. Sanitary Survey results © Two areas were found to be deficient: the hydraulic and reliability systems. New commissioner o Darwin reported that the new commissioner is doing well. He’s been given the Charter Code of Ethics and a copy of the ordinances. Ecorse — August 25 — W. O’Neal, T. Sadowski, J. Pepperman, R. Byrne, P. Dostine, C. Porubsky Priorities: Waiting to hear from Treasury on five-year budget, would like feedback. Randy: does the budget reflect the consolidation with River Rouge? Current fiscal year doesn’t show anything, didn’t budget for savings. Transferred salaries to professional services. Has some time to show savings. Has leeway in PA 33. Spoke with RR yesterday, have to put contract on hold. Things are heating up. If the deal does not go thru, all Ecorse FF will be reduced to part-time. Would help with savings needed to balance five-year. Current salaries are around $850-900K, thinks this would cut roughly in half. Would pay RR around $400K. Would like to have shared command with the agency to cut down on overtime costs. Their Public Safety gets a bonus, Ecorse has not had a raise in twelve years. xxxEND_PAGE:treasury01_b37_6553_6782_064 Tim’s first day was yesterday. John and Tim will work together this week. John has volunteered to be on call. DPW Superintendent resigned last week. Will be brought to the RTAB next month. This position was being paid salary plus overtime. Has been here around two years, Wayne thinks he is overwhelmed administratively. Wayne is thinking of moving current employee into vacant treasury position and give an applicant that has water/sewer billing experience the position of DPW Administration Assistant. Wayne stated the bills are going out on time; has some problems to address regarding fraud, etc. OPEB Benefit Audit is also on the radar, Wayne is going to look at. Has to look at what a couple people are paying for healthcare and ensure it is the correct amount. Pre-65 do not have healthcare anymore, only ones grandfathered in (approximately % dozen or more). Wayne has met with MERS multiple occasion. 7.75 rate of return, Wayne was using 8. Need to recalculate. Prax Air: Got a call from Livese at Prax Air and stated there are things that need to be changed in the resolutions to comply with law. Getting prep work ready, conducting pre-construction meetings, etc. Council voted to receive and file letter from Wayne Workman. Flint — Sept 2 — Mayor Walling, N Henderson, J Freeman, Wendy, R Byrne, E Cline, P Dostine o Flint sent adjusted water bills out to customers; bill reflects 35% reduction per court order. (So, even if stay is granted, customers will receive at least one newly adjusted bill.) Henderson said financial impact of adjusted rate is approx. $600K per billing period. For the year, projected to be $7M. o Average water bill reduction for a 5/8” line is $18.00. Flint is still able to bill and collect for water and sewer service charges. © Class Action Suit. How many homes are affected? Flint officials have assumed the impact is city-wide, some 30,000 customers. The city doesn’t know how many past, foreclosed homes are a result of delinquent water bills. Mayor Walling and Henderson said they are trying to determine this number. o Flint can resume water shut-offs with the new, adjusted bills that just went out. o Henderson has asked engineers to study the KWA project, to see what is essential, what must remain. The engineers said there are two different scenarios: (1) June Plan, (2) December Plan. o First KWA bond payment ($6M) is due in Nov-15. o Results from Quarterly Water Test. TTHM levels tested higher than the average in one part of the city. Levels still within acceptable limit. Flint not required to send out notifications. o Flint still continuing its meter installation program. xxxEND_PAGE:treasury01_b37_6553_6782_065 © Flint will be applying for this year’s FDCVT grant, $2M, for a property assessment project. o Watermain Break. The break is under the Flint River. City officials said they cannot fix this in-house, will have to contract it out. Will need RTAB approval. A special meeting may have to be called to address this issue. o Public safety. Fires are down, but this means the city loses some eligibility for grants. Homicides are still high, approx. 42 so far this year. o The administrative assistant was hired, brought on, prior to the recent hiring freeze edict. o Flint officials asked Treasury during the call if there was any assistance available to the city for its suspended CIP. Hamtramck — Sept. 10 — K. Powell, R. Byrne, P. Dostine, D. Van de Grift Priorities o Hamtramck is busy working on the park in front of City Hall, Pope Park, and Veteran’s Park. o Katrina attended a focus group meeting in A2 hosted by the MML. MML is exploring the development of a program that would provide consultants to communities in financial distress. Other participants included: Joyce Parker, Flint’s finance director, a Monroe representative and someone from the GFOA. © Hamtramck’s city council as well as Katrina will attend next week’s MML conference in Traverse City. o Hamtramck is signing contracts with an auditor to audit the city, a company to perform sewer repairs, and someone to audit the housing fund. The city has yet to bid-out the landscaping contract. o No meeting date has been set yet between Katrina and the Wayne County Executive and the Sheriff to discuss jail services. Police Study © Katrina reached out the ICMA who gave her a list of consultants to conduct a police study. They included Tri Data, Wes Anderson & Assoc, McGrath Consulting, and Fitch. o Treasury provided Katrina with a contact at the ICMA who may be able to assist with the study. Housing discrimination lawsuit o There are 5 homes left to be built: Hamtramck is responsible for two, Habitat for Humanity two, and MSHDA one. The cost to Hamtramck will be approximately $500K of which the city will put on its winter tax rolls. City Treasurer © Has been busy on some projects. xxxEND_PAGE:treasury01_b37_6553_6782_066 Inkster — August 13 — M. Stuhldreher, R. Byrne, P. Dostine, C. Porubsky e Priorities/Misce.: le} le] Oo a oo DOJ employee came in to facilitate community group (resulted from Dent situation). Richard Marsh is transitioning; Mark is getting used to new position/role. Meeting with MSHDA on Monday; Mark will be in attendance. Discussion will take place Monday at the Council meeting regarding Mark’s role as Interim City Manager. Final billing for search has been processed. Police training is needed, but it is hard to send as they are short-staffed. Randy suggested contacting Capt. Yes. TIFA is declining; Mark will have to get money from GF. Debt was issued in 2010 and has about 20 years left. This was in the long-term forecast and is not a surprise. Initial projections were at 4-5%, actual rate of decline was 8-9%. © Police Chief: fe) fe] fe) [e) Started Monday. Interim Chief Thomas is completely separated from the agency now, but the two were able to spend some time together. To Mark’s knowledge, the Chief has not met Captain Yesh yet, but has met some MSP members, include Lt. Shaw. Mark stated that the new Chief is straightforward, about business, articulate, and has good people skills, Expects that the community will embrace him. Randy would like to meet the new Chief and see the building. e Chargebacks: Q ° Came back lower than budgeted. $300K positive variance on GF, $100K negative on Sewer; everything together is $213K positive variance. Lincoln Park — Sept. 9 - B. Coulter, R. Byrne, E. Cline, D. Van de Grift, P. Dostine Priorities: o Cell Tower ° ° o Should be completed next week. The City expects to gross about $350K. PA 345 Issue o The EM will be holding 3 town hall meetings with the Police and Fire chiefs. The Mayor may also be invited. © Information will also be placed on Cable TV and on the City’s social media sites. o The EM noted that he is being careful not to violate state law regarding ballot proposals. FDCVT Grants o Applications being developed. co Retiree Lawsuit xxxEND_PAGE:treasury01_b37_6553_6782_067 o Noactivity on this issue. Noted that MML will not provide insurance coverage. The EM is deciding how to address this. o Cost Recovery o All information is being assembled for cost recovery regarding the tanker fire on I- 75. o Jury Duty o The EM is still scheduled for jury duty the week of September 21. o Panhandling and Donation Bins — The EM is still considering the adoption of ordinances regarding these issues. o First Amendment issues must be taken into concern. o May look at enforcing this through the Motor Vehicle Code. FY 15-16 Budget o Adopted. City Manager o Start date is anticipated at October 1. 4-Month Plan o The EM indicated that this is moving forward. MSHDA/MEDC o No new information. Exit Timeline o Eric is to develop a draft Exit Timeline to share with the EM. o Drew stated that the EM’s last day, based on the 18-month limit, is Thursday, January 7, 2016. Wayne County Sewer Issue co This continues to be researched. Pontiac — Sept. 11 — Councilman K. Williams, J. Sobota, , N. Nazarko, R. Byrne, P. Dostine, R. Widigan e Weekly Priorities: eo Council will have a special meeting on Monday to take up the contact for the Deputy Mayor and the Transition Advisor Position. e Questions from Councilman Williams: 1. Is this a true transition?: Yes, it is. xxxEND_PAGE:treasury01_b37_6553_6782_068 ow Why is there no timeline in the contact for the transition advisor?: The timeline is unknown, it may take 5 months or 10 months. Jerry is simply an advisor, period. The idea is to limit the number of hours, hoping there is no need to re-new the contact. . It would be prefer that there are limits on the advisor, council has no appetite to add more “advisors”. Why not set the contract at 4 months and renew if it’s needed: We will take to W. Workman. Retiree healthcare and Phoenix Center litigation are two big issues. Healthcare lawsuit must be resolved before RTABs exit? Financial best practices have already been implemented, limits to spending, fund balance policy, etc... RTAB/State has requested a 5-year financial plan, that is out of council’s control: Mayor stated the requirement is to have a two year budget and a five year projection, right now they are waiting on the council to address and act on the two year budget. Sobota stated once the first two years is finalized the five year protection will not be difficult. a. Councilman Williams: how much of these bullet points must be finalized/addressed before the RTAB can begin the transition and what are the sticking points to transition out. Council needs a list of what THEY need to take care of to help with transition. Most of the bullet points are in the hands of the Mayor, Dept. Mayor, and CA. b. How does the Council show the state that they are making progress/addressing the checkpoints. c. The benchmarks are left to interpretation as to how to complete them, need a clear set of bullet points showing how the council moves towards local government (referencing the contract). d. The Council’s key goal is to have a legitimate plan as to how to transition. e. Issue with the contract is it does not come back to the Council, there is no renewal date. No problem with the council renewing it, the problem is that it’s not an option. Deputy Mayor Position Update: No vote was taken last night, the council agrees with the Mayor’s choice. Debate on the salary. Council will meet on Monday at 5PM to address. © Raise in the salary was NOT mentioned to the council until last night. Last they were informed the salary was $95K. With the salary at $107K it will be hard to get four votes from the council. o Residents do NOT want the Dept. Mayor making more money than the Mayor. Transition Advisor Position Update: Comments from Mayor — Councilman Williams is part of the old guard, looking for some sound bites and is a very ‘savvy’ councilman. Any changes Treasury makes to the contract he will take to council and will say that they took on Treasury and ‘won’. © Mayor says that if changes are made to the contract it puts her in a precarious situation. xxxEND_PAGE:treasury01_b37_6553_6782_069 Community Development Positions: City is still accepting applications. HR director will review and present to the council. Process closes soon. Street Sweeper: Council is requesting to bring street sweeping ‘in-house’. No research has been done as to the liability and cost of this undertaking. Two-year Rolling Budget: This is being addressed by council and committees. RTAB Agenda add-on requests: Mr. Sobota is requesting the RTAB address street sweeping and DPW road stripping. He was informed the request must be submitted in a memo by noon today. Royal Oak Township — July 27— R. Burgess, D. Squalls, R. Byrne, P. Dostine, C. Porubsky Priorities for the Week/Miscellaneous Items: oO oO Set up meetings for this week or next with potential developers. Code enforcement officers currently have dealership in court over taxes — Donna thinks the best scenario would be for someone to buy both the dealership and motel next to it and demolish the motel. Donna: Finish F&O Plan. Robert: Spoke with Finance on Thursday, need a cash flow analysis for the remainder of the year and to create an amended budget. Current on all bills with the exception of one. Revenue sharing is anticipated to be the only income, but Robert thinks there is enough money to make it thru the year. Randy reminded the Twp. that a monthly financial report is required. General fund renewal is on the ballot August 4; Donna and Robert would like to send a flyer out. Randy cautioned them on the wording Audit: ie} ° (e) Completed; Donna said that it was better than last years’ and didn’t highlight many problems. Robert stated that one of the things the audit noted was that an inventory needed to be completed. Donna wanted to know if the Board had to approve the audit — Randy said to ask Mr. Wilkerson. Police Update fe) ie) ° ie} Donna will know soon after August 4 (election) more regarding Hazel Park. Oak Park is not interested; very short meeting where annexation was suggested. Ferndale: Over $1M, have not talked to. Deadline is August 31; if not completed money will need to be returned. Street Lighting: le} 1°) le) Completed last Friday, grant should close this week. A rebate of $9700 is anticipated. Bills should start being lower in September; the entire $10K budgeted for these may not be needed. xxxEND_PAGE:treasury01_b37_6553_6782_070 Dempkowski, Angela (Ti reasury)

Let keep in our files for future refwerence

FY! —- we may want to monitor this: Robert Widigan | Local Government Financial Services Division State of Michigan | Department of Treasury 430 W. Allegan Street | Lansing, MI 48922 Office (517) 373-3227 | Cell (517) 243-8645 [email protected] xxxEND_PAGE:treasury01_b37_6553_6782_007 Independent water tests show lead problems far worse than Flint claims | Blogs | Detroit... Page 1 of 3 NEWS HITS ‘Tuesday, September 1, 2018 Independent water tests show lead. problems far worse than Flint claims Posted By Curt Guystte on Tue, Sep 1, 2015 at 5 13 pm Phote courtesy Min Tang and Kelsey Pieper/Virginia Tech Photo of Flint drinking water pipes showing different kinds of iron corrasion and rust Claims by state and local officials that Flint’s municipal water is safe to drink are being put to the test in a precedent-setting independent study. So far, those claims are emphatically failing to pass muster. Researchers from Virginia Tech — working with a group of Flint residents and the ACLU of Michigan — are conducting an extensive analysis of lead and copper levels in water flowing into the homes of Flint’s residents. Initial findings show the problem is roughly twice as bad as the city’s tests indicate. What's been dubbed the Flint Citizen Science Study is still under way, but the early findings have been so disturbing that the Virginia Tech team is posting Tesults on the web in order to alert residents about how extensive the problem may be. *I think it would have been unethical to not release this information right away,” said VT professor Mare Edwards, who is leading the project. According to U.S. Environmental Protection Agency regulations, the city would be out of compliance if 10 percent of homes tested were above the action level of 15 parts per billion lead. The city says its latest sampling, conducted during the first six months of this year, shows that Flint's water is in compliance with federal regulations, according to documents obtained by the ACLU of Michigan. 2/23/2016 xxxEND_PAGE:treasury01_b37_6553_6782_008 Independent water tests show lead problems far worse than Flint claims | Blogs | Detroit ... That claim is based on tests conducted at 69 homes. The VT study is looking at nearly four times as many homes. Of the 120 samples analyzed so far, 20 percent have been over the federal action level — twice what it would take for the city to be out of compliance. “Needless to say, these data are very worrisome,” said Edwards. “There are a disturbingly high number of homes with lead levels in a range where water consumption has caused lead poisoning in children and adverse pregnancy outcomes.” Flint Mayor Dayne Walling and the Michigan Department of Environmental Quality both failed to respond to requests to comment on this story. Edwards said that a study of this type — with residents leading the effort — is unprecedented, Impetus for the project grew after the ACLU of Michigan in early July disclosed an internal U.S. Environmental Protection Agency memo that raised concerns about the water-sampling methodology used by the City of Flint. One major concern is that the city, operating in accordance with Michigan Department of Environmental Quality protocol, instructs residents to “pre- flush” their water lines prior to testing. Residents are told to run their water for about four minutes in advance of taking a sample, which limits the amount of time water can absorb lead and copper from pipes and fixtures prior to testing. As a result, the amounts of metals that will be found are minimized, and the possibility that worst-case scenarios will be missed is increased. Miguel Del Toral, a water specialist for the U.S. EPA’s Region V, characterized the city’s method as the equivalent of finding a “loophole” in the law and exploiting it. Edwards agreed, contending that “no legitimate scientist” would say that the pre-flushing approach is an acceptable way to test for lead. He also said that, based on recent tests the VT team conducted, high lead levels were to be expected, in part, because water from the Flint River is so caustic. “At present, as a rough estimate ... it looks like Detroit water is about five times less corrosive to iron pipe than Flint River water. This also probably means that the iron pipes in the city of Flint system will fail five times faster using the Flint River water rather than the Detroit water,” according to the VT web site. While under the control of a state-appointed emergency manager, Flint switched from using Detroit water as its source to the Flint River in April 2014, ostensibly as a cost-saving measure. Since then there has been a constant stream of water quality problems, with residents complaining of a variety of health issues and water that’s often brown or yellow and frequently four- smelling. According to Edwards, Flint’s water is at least four times more corrosive than Detroit’s, causing infrastructure to break down and lead to be released into the city’s drinking water. As a result, his study’s disturbing findings are not surprising. Edwards, a former recipient of a MacArthur Foundation “genius grant” who Page 2 of 3 2/23/2016 xxxEND_PAGE:treasury01_b37_6553_6782_009 Independent water tests show lead problems far worse than Flint claims | Blogs | Detroit... Page 3 of 3 discovered widespread problems regarding lead in Washington, D.C.'s water in the early 2000s, applied for an emergency National Science Foundation grant to fund the study currently taking place. Three hundred sample kits arrived in Flint on Aug. 19. Since then, a team of residents representing such local groups as Concerned Pastors for Social Change, Water You Fighting For?, and the Democracy Defense League — all of which are part of a lawsuit seeking to force the city to return to the Detroit system — has been recruiting volunteers to have their water tested. As of Tuesday, more than 265 sample kits have been collected and returned to Virginia Tech. The community-driven effort has exceeded all expectations regarding resident participation, said Edwards, who noted that the project would have been considered successful if at least 75 of the kits had been returned for analysis. “The response shows how concerned the people of Flint are about the quality of their water,” Edwards said. Curt Guyette is an investigative reporter for the ACLU of Michigan. His work, which is funded by a grant from the Ford Foundation, focuses on issues involving emergency management and open government. Tags lead levels drinking water, emergency management, (mage dump to comments READERS ALSO LIKED... Oct 15, 2014 BLOGS Archives | RSS 2/23/2016 xxxEND_PAGE:treasury01_b37_6553_6782_010 Schafer, Suzanne K, (T Treasury)

Tracking: Recipient Delivery Byme, Randall (Treasury) Delivered 5/20/2015 8 26 AM Widigan, Robert (TREASURY) Delivered 5/20/2015 8.26 AM Here are my suggestions for the Weekly Call with Flint: @ abd ot map Pe ride elt 3 deo gett eng yz Dadti bites Alsen Hiced te Ootrae 5 Wh hee wey Priorities for the Week: 1) Poss) ble an wettim betetien MeTe te eiaitil 4) Bir) oa Etude Ie 5S) aren €ap a4 boy Je ot Rhiuk fueled 3) weat ic hee Quethos £ Cfeeutec , - yr appa cane) a7 @ Flat Titel Asse ah t) GH Expansien Gi Fl. v 33 geataly porated Update on Election Issues: 1) Choi te Tectely er Sinem Heaven | halle wh 4) Co Cle aay cial te keg S)ivtecal tuvest Crperng an545 x) Ary Neste re ated faut, Update on Water Issue: 1) Next Water Advisory Committee Meeting?; 2) New Mediators Selected?; 3) Other Updates? Tech, cont - ieday Com suety Cota Mae bing 7% Reerqon es 7 Presets. ¢ . Selvdule v " Pecclaetier Regars+ te Cham, Late Pag bt 8 te ees fHety 5 x = na a Shee — My, t Leak Detection - Tee te hive Eee -heg os! BEES K Based ca rat shady 1H GB pepac City Charter Commission: Sworn-in Yesterday? Next Steps? Yuu Gee el covctreny * a Hurd re teecle | ¢ hasten Hates reals peevidid Position Hiring’s: 1) Finance Director; 2) HR Director; 3) Other Positions. Lt) FD- Bogen Sune 19 af he ATA aprreesl 2) Teg - Abe See | Lee nen FD heorethe €) Shaved Su bice wf 3) Hr - [ater icee$ ¥ Tatervite 60 Sayer Meee) Rely nexkiwclé Chawnty 7 Police Operations: RTAB: First meeting scheduled for June 11. Schedule Phone Call with City on Packet Preparation. Di¢¢cusscel Eri¢ Cline | Department Manager State of Michigan | Michigan Department of Treasury | Office of Fiscal Responsibility 430 W. Allegan Street, 3rd Floor | Lansing, MI 48922 Lansing Office (517) 335-2078 | Cell Phone ($17) 243-8450 | Traverse City Office (231) 922-5228 E-mail cliner] chigan.gov xxxEND_PAGE:treasury01_b32_5109_5235_100 2:00 pm 2:05 pm 2:10pm 2:20 pm 2:40 pm 2:50pm 3:30pm 3:35 pm Flint Water Technical Advisory Committee May 20, 2015 Flint City Hall Agenda Welcome Purpose of the Technical Advisory Committee: Provide a respectful means of sharing factual Information and having dialogue around the City of Flint water. Introductions Current water status information — M. Glasgow, Operator In Charge (F-1) Improvements Information — H. Croft, Director Department of Public Works New filter media installation Leak detection New pipe installation Water meter installation New water page on City website Discussion on next TTHM testing expectations Discussion on current health concerns, Including lead and copper testing Next Steps Next meeting, one month or two months? Adjourn Sources of Information: City Website: CityofFlint.com See Residents: WATER or Departments: Public Works: Utilities - WATER. If you, or another Flint resident, would like to have their water tested: call 810-766-7135 ext 2606 xxxEND_PAGE:treasury01_b32_5109_5235_101 City of Flint Technical Advisory Committee 5/20/2015 Meeting Summary -Introductions ¥ Introduced the new Utilities Administrator Mike Glasgow ¥ Introduced the City Administrator Natasha Henderson Vv Roundtable introductions of other participants -Updates v¥ Update on current water status (Mike Glasgow, Utilities Administrator). o Water is not as hard (hardness between 150 — 180) down from 210- 230 © Quarterly TTHM testing submitted and expecting all eight sites to be below the MCL ¥ Update on GAC installation (Samir Matta, LAN). 9° Installation ahead of schedule Design has been submitted to DEQ, quick approval expected Vendor is identified and capable of supply and installation Vendor is testing flint water samples Flint will install one filter ahead of time for actual results © Full installation now scheduled for tate June (moved up from mid-July) v¥ Update on remaining initiatives, (Howard Croft, DPW Director). © Leak detection is expected to begin by July(will take 10 ~ 14 weeks to complete) o New pipe installation has been tentatively pushed back to a July start o Aggressive water meter installation (9,000 meters in one year} is on track to start in July o New “water webpage” chronicling all events set to launch in the next week aooco Discussions » Genessee County Health Department, Flint Water Plant, & Flint City Hall have received no water complaint calls in over 60 days. > Health department has listed several items such as “hard water rash” on the front page of their website with explanations. Some attention has shifted to lead and copper concerns, recent internal testing numbers still show approximately 2 -3 out of 100 with high levels. Lead and copper issues trace back to household plumbing and service lines nationally. All independent area testing continues to show water quality to be in line with EPA standards. Question was raised about “Bromite” levels in the water, Mike Glasgow will address how the implementations are addressing this in the next meeting. The DEQ acknowledged that their requirements for notification are the minimum levels and additional efforts can be undertaken. yv Vv Vv ¢ xxxEND_PAGE:treasury01_b32_5109_5235_102 -Objectives v The health department will present a proposal to the City of Flint DPW to partner ina social media campaign designed for community outreach. Vv Aplan was set to maintain a 24 hr. advance notification to this group of future low residuals, or potentials of boil water advisories, ¥ The annual Consumer Confidence report will go out in July and if a violation notice is required then it will go with this report. (OEQ agrees with this approach}. -Next Steps = Next meeting is targeted for late July or Early August after the GAC has been installed. ® Meeting wil! focus on the results of the implementation measures and what internal testing is showing for water quality in the late summer months. = We plan to invite several community leaders to participate in this forum, candidates are: oO Mike Sargent — Flint Strong o. Pastor Harris — Concerned Pastors o Rebecca Fedewa / Jack Minore — Flint River Watershed Coalition * The subsequent meeting is targeted for September (after the late summer TTHM results are in) and we intend to start directing attention towards Lake Huron water and the upcoming transition to the KWA. -Attendees Hilda McShane - Genesee County Health Department Jim Henry - Genesee County Health Department Samir Matta ~ LAN Engineering Warren Green — LAN Engineering Larry Kohler — Mott Community College Mike Lane — University of Michigan Flint Rusty Hudson — McLaren Hospital Norb Birchmeier — Hurley Hospital Gerald Natzke — DO-Genesys Regional Medical Center Kirk Smith — Greater Flint Health Coalition Pete Levine — Genesee County Medical Society Mike Prysby — Department of Environmental Quality Dr. Michael Wright - Environmental Protection Agency Mike Glasgow -— City of Flint - Utilities Administrator Howard Croft — City of Flint - DPW Director Natasha Henderson — City of Flint - City Administrator xxxEND_PAGE:treasury01_b32_5109_5235_103 haat tha 15639 | RESOLUTION NO.:_ CA ? 20K, PRESENTED: MAY 26 2015 ADOPTED: RESOLUTION TO ESTABLISH THE INTEREST RATE CHARGED ON WATER AND SEWER BILL BALANCES THAT ARE PAST DUE Chapter 46, Utilities; Article lil, Rates and Charges; Division 4, Water; Section 46-52.2 of the Flint City Code of Ordinances has been amended and restated so that the Interest charged on past due water and sewer bill amounts is established by resolution and shall be applied to any unpaid balance. The City of Flint relies on timely payment of water/sewer bills to provide for the water and sewer system needs and recognizes the financial challenges certain customers face. IT IS RESOLVED that the interast charged on City of Flint past due water and sewer bill amounts shall be 0.5% per month charged no sooner than ten (10) days after the due date, provided that the guidelines for late payment interest for financially challenged customers Include: « waiver of late payment interest for low-income customers who provide proof as to their eligibility for food stamps, or that their Income is at or below the most current Federal Poverty Guidelines; e waiver of penalty for customers who are not In arrears on the schedule defined in their payment arrangements; and s waiver of late payment interest for veterans, senior citizens, and other persons, whether a homestead property owner or not, who would qualify for the Michigan Homestead Property Tax Deferment based on the income threshold in MCL 211.51 (2). -SPPROVED AS T' : —- --- APPROVED AS TOFINANCE: — - -—~- -- “Tha ‘5 Mh MW if. wl SOB ora, aE inance Director City Administrator Dayne Walling, Mayor APPROVED BY COUNCIL: SAP. to Establish Past Due Interest Charge 5.13.15.doc xxxEND_PAGE:treasury01_b32_5109_5235_104 RESOLUTION STAFF REVIEW DATE: 05-12-15 Agenda Item Title: Resolution to establish the interest charged on past due water and sewer bill amounts and provide for certain walvers. Prepared By: Albert Mooney — Interim Clty Treasurer Background/Summary of Proposed Action: Staff has reached out to Dr. Roger D. Colton, co- founder of Fisher, Sheehan & Colton, an economics consulting firm near Boston that specializes in working with public finance, economics, and poverty law. Dr. Colton has provided guidance on several simple steps the City of Flint might take to address some affordability concerns for water and wastewater rates. The attached resojution will follow certain aspects Included in his recommendations and lower the interest rate charged on late balances from 1.5% per month to 0.5% . per month and provide waivers of late charges for low-income customers who provide proof as to thelr eligibility for food stamps. Waivers also will be provided to customers who are not in arrears on the schedule defined in their payment arrangements and for those with proof their income is at or below the most current Federal Poverty Guidelines, 2015 POVERTY GUIDELINES FOR THE 48 CONTIGUOUS STATES AND THE DISTRICT OF COLUMBIA Persons in family/household | Poverty guideline ee ee 1 28,410 32,570 36,730 Lastly, customers listed below who would qualify for deferring property tax payments (this includes all customers, not just property owners) who substantiate their eligibility would be granted walvers. SENIOR CITIZEN (62 YEARS OR OLDER), BLIND PERSONS, PARAPLEGICS, QUADRIPLEGICS, TOTALLY AND PERMANENTLY DISABLED, ELIGIBLE SERVICEMEN, ELIGIBLE VETERANS, OR ELIGIBLE WIDOWS. In order to be eligible for the waivers (pursuant to the law on property tax deferments), the person Toust: . a) have total income, including Social Security, tax exempt pensions, and all other income except the first $300 of gifts, lottery, bingo, or gambling winnings, that totals $40,000 or less; and b) live at the property address as their primary residence. xxxEND_PAGE:treasury01_b32_5109_5235_105 Airdate NOUBA (@roposal No. 15000846) suamission no: CAO// ZOlS PRESENTED: 8 °2O- IS ADOPTED: RESOLUTION FOR ADDITIONAL COUPLINGS/CONNECTORS, CURB BOXES, FITTINGS AND HYDRANT REPAIR PARTS WITH ETNA SUPPLY CO. BY THE MAYOR RESOLUTION On October 17, 2014, the Emergency Manager by resolution number EMES712014 authorized the Department of Purchases & Supplies to issue a purchase order to tle Etna Supply Co., 529-23" St. SE, Grand Rapids, Michigan for water service supply parts coupliugs/connectors, curb boxes, fittings and fire hydrant repair parts as requested by the DPW Utilities/Water Service Center in the amount of $65,000.00; and The DPW Utilities/Water Service Center has exhausted the purchase order for said parts and has — requested the need for additional water service supply paris couplings/connectors, curb boxes, fittings and fire hydrant repair parts for the current fiscal year in the amount of $49,000.00. Funding for said supplies will come from the following account: 591-540 202-726.000; and ITIS RESOLVED, thal the Department of Purchases & Supplies, upon the City Council’s approval, is hereby authorized to issue an additional purchase order to Etna Supply Co. for additional water service supply paris couplings/connectors, curb boxes, fillings and fire hydrant repair parts in an amount not to exceed $49,000.00 for a revised aggregate FY'S total of $114,000.00. (Water Fund) APPROVED AS TO FORM: APPROVED AS TO FINANCE; (4PPr VED PURCHASING: 5 7 % —E [te wf f- VY \ Bs i Peter M. Bade, Derrick Jones,\ City Attorney puty Finance Director Purchasing Mana: or DISPOSITION: ADMINISTRATION REFER TO COUNCIL, FAIL. SIGNED: Natasha/L, Henderson, City Administrator DISPOSITION: CITY COUNCIL ENACT FALL FYi5 ~ BDB xxxEND_PAGE:treasury01_b32_5109_5235_106 RESOLUTION STAFF REVIEW DATE: 4-21-15 Agenda Item Title: Water Service/Water Main Repair Paris Prepared By: Cheri Priest, Water Service Center Backoround/Summary af Proposed Action: The City of Flint Water Service Center requests that a purchases order be issued to Efna Supply for the additional purchases of repair parts for mains and service. Etna is the current vendor and the current purchase order has been exhausted. - Financial impiteatlons: Adequate funding has been allocated in the below listed account. Budgeted Expenditure? Yes Nol] _—— Please expiain if no: Ascount Ne.: -§40.202-726-000 000.00 Pre-ancumbered? Yes Nol] Requisition # 150000186 Other Implications (1.e., collective bargaining); None Staff Recommendation: Recommend Approval Staff Person: | - (Dept Head or other authorized staff} -——- - Soe xxxEND_PAGE:treasury01_b32_5109_5235_107 Athchnut #62 '~ ~' [SoyZep (Proposal No, 844) SUBMISSION NO.:_( AOL3 20S PRESENTED: S"RO-NS ADOPTED: RESOLUTION FOR CONTRACT CHANGE ORDER #3 TO ROWE ENGINEERING SERVICES FOR THE NEW IRGOUGIS & DUPONT WATERMAIN DESIGN BY THE MAYOR RESOLUTION On October 17, 2014, the Emergency Manager by resolution number EME5672014 authorized the Proper City Officials (o enter into change order 42 to contract #F 13149 with Rowe Enginecring, PO Box 3748, Flint, Michigan for professional engineering services in the amount of $190,000.00 and a new contract {olal amount of $315,000.00; and The DPW Utilities/Water Service Center has requested the need for additional professional engineering services for the construction and installation design of the new Iroquois and Dupont Street watermain proyect in the amount of $210,000.00, Funding for said services will come from the following account: 591-540.300- 801.000; and JT IS RESOLVED, that the Appropriate City Officials, upon the City Council’s approval, are hereby authorized to issue a change order #3 to Rowe Engineering for additional professional engineering services for the construction and installation design of the new Iroquois and Dupont Street watermain project in an amount not to exceed $210,000.00 for a revised aggregate FY 15 total of $525,000.00. (Water Fund) APPROVED AS 0 FORM; Derrick Jones, hasitiz Manager wh Steele, Deputy Finance Director Péter M. Bade, City Attorney Ss. DISPOSITION: ADMINISTRATION DISPOSITION: CITY COUNCIL REFER TO COUNCIL FAIL ENACT. FAIL. rT DISPOSITION: RECEIVERSHIP TRANSITION ADVISORY BOARD (RTAB) ENACT REFER TO COUNCIL, FAIL SIGNED: FYI5 - BDB xxxEND_PAGE:treasury01_b32_5109_5235_108 RESOLUTION STAFF REVIEW DATE: §-11-15 Agenda item Titie: Water Main Replacement — lraquois Avenue Prepared By: Cheri Priest, Water Service Center Background/Summary of Proposed Action: The City of Flint Water Service Center raquesis that that change order #9 be issued to Rowe Engineering for additional engineering services for the above project. See attached specification sheet for proposal detalls. Financial Imoilcations: Adequate funding has been allocated in the below listed account, Budgeted Expenditure? Yes Nol] Please expiain If no: AscountNo.: 594-540.100-300-000 Pre-encurmbered? Yes Nol] Requisition #150090360 Other Implications (i.e., collective bargaining): None Staff Recommendation: Recommend Approval Staff Person: (Chet Break _ (Dept Head or other authorized staff} = __ wee ee xxxEND_PAGE:treasury01_b32_5109_5235_109 CITY OF FLINT CASH AND INVESTIVENT ACCOUNT SUMMARY FOR THE PERIOD FROM JULY 1, 2014 70 APRIL 30, 2015 Baginning Ending Fund Balanca Balance Account Deseription a7/oif/2014 94/30/2015 001,000 Commercial Poaled Cash Account 1,345,857.62 1,047,113.61 Fund 274 HUO CORG, ESG, & HOME GRANTS 001,000 Commercial Pooled Cash Account (895,285.06) {2,341,545.43] 001.109 Bank - Urban Renewal - 230006018038: cl 034,576.21 HUD CDBG, ESG, & HOME GRANTS (895,285.06) (306,969.22) Fund 296 Other Grants Fund 091.000 Commarcial Poated Cash Account (243,104.95} 595,538.47 001.100 Bank ~ Urban Renewal - 230006018089 250,538.50 : Other Grants Fund TASS 595,538.47 Fund 402 Public Impravement Fund 001.000 Commercial Pooted Cash Account 2,242,619.26 1,323,877.63 Fund 542 Building Inspection Fund 01.000 Commercial Pooled Cash Account 660,243.05 1,812,110.85 04.000 imprest Cash 50.00 50.00 Building Inspection Fund 660,293.05 1,812,160.85 Fund S90 Sewer Fund 001.000 Commarciat Pooled Cash Account Oo " 44349,497.44° 28,537,947.23 Fund 592 Water Fund 091.600 Commercial Pooted Cash Account 7,B33,368.59 16,936,576,22 601.001 Cash Reserve 5,B48,116.20 5,848,126,20_ water Fund 13,683,485.19 22,784,692.42 TOTAL- ALL FUNDS 44,947,727 47 72,598,403,99 Page 2 of 2 G-20-\S xxxEND_PAGE:treasury01_b32_5109_5235_110 Weekly Conference Call Notes — May 26, 2015 Allen Park —May gg Mayor Matakas, M. Kibby, B. Cady, R. Byrne, E. Cline Priorities for the Week: le} ° O° fe) [e) The City of Dearborn has apparently agreed to provide jail services to the City for two years. The call with S&P on the bond tender went very well. The City’s L4029 was filed. The City’s millage rate may decline 0.9712 mills due to judgment levy removals. The Mayor provided an update on the Brownfield issue. The State may need to consider a change to the EM Order regarding this. An update to the County wastewater issue was discussed. The question is what the assets are really worth. Status of City Administrator Search Process: The City has updated the job description; posting of the advertisement is pending. City Hall Relocation Status: City Hall will begin moving on Friday, June 5. The City is exploring a possible contract violation over the tower issue. The City has also erected a temporary tower for use until the issue is resolved. The Mayor stated that an Intern will be retained to assist those with accessibility issues when they enter the new City Hall until the elevator issue is resolved. It is hoped this will be completed in 3-4 weeks. Five-Year Budget: Eric will send Treasury’s analysis to the City. Status of Fire & Police Negotiations: le} ° The Police Department apparently rejected the City’s offers. The Interim City Administrator will be meeting with the City Council on June 9 to discuss this issue. The City met last week with the Fire Department. A possible resolution on the Tentative Agreement issue may be at-hand. Benton Harbor —May 14" — D. Watson, R. Widigan Priorities for the Week: oO Started Negotiations with AFSCME — They are looking to reverse everything EM Saunders did, . FLSA Complaint — Response was received from the Dept. of Labor; the City is required to pay $19K to settle the complaint. Money is available. Modern Plastics Case — Darwin was in a meeting with the County Treasurer and New Products to settle the taxable value of Modern Plastics. " As of now, the Judge is siding with the City and County. City’s Assessor — Darwin is preparing an RFP for the position. " The current Assessor mentioned the position may need to be a part-time position, at three days a week (currently only at one day a week). Board Appointments: Still an issue with the City Commissioners. ° ° City Commissioners attend a Committee Meeting, discuss the agenda items, and then come back to the City Commission meeting and table because they “don’t have any information.” Commissioners want to appoint the same individuals with absolutely no experience or training on the subject. xxxEND_PAGE:treasury01_b32_5109_5235_111 ¢« Commissioner with five consecutive meeting absences: Mayor Pro-Temp sent an email to the Commission stating that a resolution needs to be passed to remove Commissioner Seats. o Commissioner Seats says the Commission needs to excuse his absences. o Per the Charter — the Commission shall excuse a Commissioner’s absences BEFORE they occur. o Darwin has instructed the City Attorney to issue an opinion by the first meeting in June. e FDCVT Grants: The City is issuing RFPs for the water main and fire hydrant replacements. o Working on the RFP for the assessment with the Assessor. co The City has not done an overall assessment in 20-25 years. o Sidewalk replacement is more than anticipated - $50K will do six blocks of sidewalk replacement. © Blight elimination - The Code Enforcement Officer is working on a list of condemned homes. o. The City is meeting every other week to discuss the grants. e Public Safety Director Lawsuit/Chief: Trial begins on June 15. o The City will speak with their insurance provider on May 20 to discuss payment options. e Deputy Finance Director/Finance Director: Darwin has reached out to Plante Moran. They are willing to help as an Interim Finance Director. o The job will be posted with the MML, GFOA, MGFOA, and the Berrien County Treasurers Association. o Darwin would like someone from Treasury/State to assist with the vetting and hiring process. o (What technical support can-Treasury provide? Ecorse — May 54 _ wy, O’Neal, J. Pepperman, R. Byrne, E. Cline, D. Van de Grift Five-year budget — waiting for Tim Sadowski to be hired first. Power outages at City Hall. The Mayor interested in the DDA project. There has been little progress on fire consolidation, despite the stated finalization goal of July 1, 2015. e Wayne was unable to answer basic questions about his own budget (i.e. how much taxation, expenses of the District Court, etc.) e Significant increases in PA 33 Special Assessments. Wayne stated that the public supports these increases, though it likely means that levies will exceed 100 mils. e Library sharing with River Rouge? 60/40 split? Flint - May 13" _D. Walling, N. Henderson, J. Freeman, R. Byrne, E. Cline, R. Widigan State of the City Address: The speech was very optimistic, 6" SOTC address done by the Mayor, and was well received. o CANUSA games are back on for Flint, started after WWI. o 3RTAB members attended along with Charter Commission members. ° City Charter Commission: The City Attorney said the members will be sworn in on May 19 around 5:00 or 5:30. 9 Update on Election Issues: N. Henderson spoke with Representative Neeley — legislation may pass to address the issue. © City is also pursuing legal action, issued must solved by the end of May. e Update on Water Issue: The City will send a detailed report to OFR. 2 xxxEND_PAGE:treasury01_b32_5109_5235_112 o Accepted a bid for leak detection project — will be presented to Council on May 27. o GAC installation is on schedule, needs DEQ approval, LAN is working on the approval. o Positive working relationship between the DPW and the City Administrator. Position Hiring: o Finance Director: Offer accepted by Jody Lundquist - will be submitted to the RTAB for approval. © HR Director: Interviews will take place today. Mayor is concerned that a local candidate will not be hired. N. Henderson and the Mayor will discuss with Joyce Parker. o Treasurer: City will re-advertise for the positon. RTAB Court Recorder: Still working on this. o Tentative RTAB date June 10, 2015 at 1 or 2 PM. o Eric will work on the Plan of Action for the City’s CDBG Action Plan that was passed by Council. It must be submitted by May 15. Other: o The new park at the old Genesee Towers site will be completed in 3-5 weeks; the Up-Town Group is developing a recreation space. o Harrison Street will be re-opened. o The Riverbank Park will be receiving safety improvements and ADA upgrades. Hamtramck — March 19" — K. Powell, D. Van de Grift Discussed improvements for City RTAB submissions; Angela will send another packet example illustrating the proper way to submit items. According to Katrina, moral has improved. She is taking all employees out to lunch in groups as well as organizing a municipal softball team. Ann Moise, previously a Lieutenant, is acting Chief of Police. Katrina intends to keep her in this position for 3-6 months.

Here are my suggestions for the Weekly Call with Flint: * State of the City Address: Very opkinashi cs , Gry Sore | privadé [avestmenty ere... wet receiwe dl , CANOSA gomaS beck on Far Flint (Storked ofter wus) 3 rlab members attended, charter commision membars attendee N pead 45 be heating remes | e Priorities for the Week: on back ag to adses) + Update on Election Issues: CA Spoken wl Rep, Nealey 1. apse eee the vSsve, Also p23 peeSsing legal actin, Must be solved by O« o G-l7 « Update on Water Issue: 1) Next Water Advisory Committee Meeting; 2) New Mediators Selected?; 3) ear) Hens pe” Updates. Tethateal water Committe, in May 20? eGAC iat! — On Schedle ,o £9 \ . approval LAN working to tek ogprotal . 4 —e City fe send a detailed repirt today _, epee, me: ie vdeerled bid foc leak detection PR eek = $0 camcil on May ZT wfsifve belwoen dPtd ond No” CFO —> other occegted by Jodie 2) gape eaduatise. CFO caniktes yy 4 ‘ io a todas till met are) pee ATATTIEL uarnt (terested, of e Position Hiring’s: 1) Finance Director; 2) HR Director; 3) Other Positions. ce Z. HR —>inrxen uo re Police Operations: —_——— © RTAB Court Recorder: Status of this issue. First meeting scheduled for June 10. Nai on feconers —~ Tentative RTAB Jone [o, lor Z PM —Need te confirn Schedule y . es S — CDBG achion plan gassed by coonci( y Most be Seba Ele by May . eWill send te EC. Eric Cline | Department Manager State of Michigan | Michigan Department of Treasury | Office of Fiscal Responsibihty 430 W. Allegan Street, 3rd Floor | Lansing, MI 48922 Lansing Office (517) 335-2078 | Cell Phone (517) 243-8450 | Traverse City Office (231) 922-5228 E-mail cliner | @michigan.gov . d xxxEND_PAGE:treasury01_b32_5109_5235_080 CONFIDENTIALITY NOTICE: Thus e-mail, and any attachments, 1s for the sole use of the intended recipient(s) and may contain informaton that is confidential and protected from disclosure under the law. Any unauthorued review, use, disclosure, or distribution 1s prohibited, If you are not the intended recipient, please contact the sender by reply e-mau, and delete/destroy all copies of the onginal message and attachments Thank you. ‘ New park +o be comple ted @ gn fours Site ad sy sl e Up- town dleveloping fee. Soace. (quarter oF a o Nak 3-S weaks _ Hoceison No fe— opeting | Qryecbank Porte softy improvements” xxxEND_PAGE:treasury01_b32_5109_5235_081 Byrne, Randall (T reasury)

Here are my suggestions for the first Weekly Cal! with Flint: # Purpose of the Weekly Call: Discussed /# Update on City Charter Election: Dizcursed , electian wert uel, bagin doties: Attoney is Working on thok. Outside Counsel will work w/ Comm issian, - Any feck assistance: Poss aleng te CA, CNSU cotcantly “nvelved ) - Update on Water Issue: Saar in process, on achesule work ng wl Lang av J- Toiy loloe velioan'ng, vale werk is “Ae dtrecllan un i eente- et chy to Sens Opdade, a Timeline for Position Hiring’s: A . inkerieatS Schedu lee! © peap le) i A Ue FD. Treasurer fo ask . a cp has 6 CFO bee La recewend todie Treasope ~ — Pad CFO Candidate 5 € “Update on Election ‘suet iked i lat STF s r os ied "an . ballot = mille + Cantield, —~ Prelerming “ALAMGA iNest gation. on Cler ° nifort corte Week: * tard 3 infrey Nelson. = Deke for RTAB 7 [Working on date. uh = Coty Fe Wire Cour Recor ec treasury 7 Memburse Cit . ~ hay issue regard ing B.harkin ? Moytr tees thinks high ly ot B Larkin, Eric Cline | Department Manager State of Michigan | Michigan Department of Treasury | Office of Fiscal Responsibilty 430 W. Allegan Street, 3rd Floor | Lansing, MI 48922 Lansing Office (517) 335-2078 | Cell Phone (817) 243-8450 | Traverse City Office (231) 922-8228 E-mail cliner 1 @muchigan.gov CONFIDENTIALITY NOTICE: This e-mail, and any attachments, 1s 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 1s prohibited, If you are not the intended recipient, please contact the sender by reply e-mau, and delete/destroy all copies of the original message and attachments Thank you. xxxEND_PAGE:treasury01_b32_5109_5235_003 Cline, Richard (Treasury) 944, ATAG Aaalyst, Natasha, Mayer, Jesh Frecsan

FYI

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, Randy,

Chart.pdf Good morning, | received the remaining documents (attached) from the City: breakdown of FY 2015 Water and Sewer budgeted expenditures and answers to all 61 questions asked at the last advisory committee meeting. if additional information is desired, please let me know. Thank you, 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]

Randy, Yesterday's meeting was very informational; however, discussion was cut short by understandably upset water customers. The main points of information relayed during yesterday’s meeting are as follows: 1. The City provided a table of water improvements* currently that the City is in the process of implementing or currently evaluating. o The City has built a hydraulic model to assist the City in identifying the locations of bad valves. o The City restructured four outstanding Drinking Water Revolving bonds allowing the City to afford an additional $2.24M towards Capital Improvements in Water. With $2.24M the City will: i. Installing a $1.5M Granulated Activated Carbon Filter (GAC). This will provide the best reduction possible and provide better than 90% removal of total organic carbon (TOC), dramatically reducing the potential for total trihalomethane (TTHM) formation. This entire project needs to be done by early June to assure a flow of water throughout the system. Several months are required for the engineering design, State approval, bidding of work, and installation of the GAC. According to the Veolia report, this process needs to begin now. ii. Accelerate repair and replacement of values, estimated at an additional $120K annually. 1 xxxEND_PAGE:treasury01_b31_4719_5108_291 iii. Implement a process control management plan (PCMP}) to increase efficiency and professionalism by allowing operators on the day shift to communicate with the night shift, ensure operators follow the same treatment plan for the water, ensure adjustments are unified between all operators, and inform staff as to what the process is when water quality set points begin to drift away from its desired quality levels. This will help the City transition to lake water. Estimated at $25K annually. iv. Automate plant operations to allow the City to monitor activities throughout the entire plant, estimated at $450K. Department of Public Works director Howard Croft provided a breakdown of FY 2015 Water and Sewer budgeted expenditures*, and explained 96% of the $70M is needed if the City uses DWSD or river water as its source. Also provided was a document* with answers to all 61 questions asked at the last Water Advisory Committee. Suggestions for the City: 1. The facilitators seemed to have inexperience in mediating or controlling the flow of the meeting. This lead to upset outbursts from the public, which stopped any information from being communicated to the public. The City may wish to hire professional mediators with experience in facilitating large public meetings. The agenda did not include time for public comment. This gives the perception that the meeting is “closed off” to the opinions of the residents. It was mentioned by the Mayor, that he City charges an initial cost of $425 to new renters. This fee appears to higher than anticipated, and more information should be provided regarding fees and fee structures. If additional information is desired, please let me know. *Sources: City of Flint, Water Advisory Committee meeting handouts (once received form the City they will be provided to anyone interested) and Veolia’s Water Quality Report, dated: March 12, 2015. 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] xxxEND_PAGE:treasury01_b31_4719_5108_292 Stanton, Terry A. (T. reasury)

FYI

FYI, attached is the Mayor's letter to the White House requesting support from the White House to address the ongoing water issues in Flint. Robert Widigan|Cffice of Fiscal Responsibility State of Michigan] Department of Treasury 430 W. Allegan Street | Lansing, Ml 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. 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_b27_4112_4389_236 CITY OF FLINT Dayne Walling Mayor Mr. Jerry Abramson February 23, 2015 White House, Executive Office of the President Director of Intergovernmental Affairs 1600 Pennsylvania Ave. NW Washington, DC 20500 Dear Mr. Abramson 1am writing to request the support of the White House for improving the City of Flint’s water quality and infrastructure. The President, Vice-President and White House have been highly engaged in seeking solutions for Flint challenges around public safety, neighborhood stabilization and economic development. We are very thankful for President Obama’s leadership and dedicated support being provided through the Sustainable Communities, Choice Neighborhoods, Justice Innovation, and Strong Cities Strong Communities initiatives. Now residents are most concerned about the safety and quality of the drinking water that is being treated from the Flint River. This is my top priority and work is being done every day to secure drinking water that is 100% safe according to the standards, As with other challenges, it is essential that we have a coordinated effort among Local, State and Federal agencies. To this end, | am requesting participation