May 26, 2005

The meeting of the Supervisors of Franklin Township, held in the Township office, was called to 
order by Chairman John Sachar at 0801 hours with the Pledge of Allegiance.  Present were 
Sachar, Jarrett Miller, David Henderson and June Shelhamer/tax collector.

VISITORS/PUBLIC COMMENT
Shelhamer explained how EIT checks for non-resident money would need to be handled since 
the passage of a new law.  The law requires that the money must be distributed within 60 days.  
June would like to open a new checking account for non-resident money only.  She said that 
another possible law would mandate one EIT collector per school district.  She felt that 
Berkheimer and Associates would probably be the firm chosen and possibly within a year.  June 
also stated that she had a local resident/self-employed list prepared if the new EMS tax is 
implemented in the Township.  The new law most likely will state that anyone earning $12,000 
or less is exempt from the tax.

PLGIT Procurement Cards – Dave reported on the informational session held recently by 
PLGIT on procurement cards.  The idea with the card is to get away from writing checks.  
Payment would be made by electronic funds transfers and would be used with large vendors.  
There would be no physical cards, just a number.  The vendor would not have to wait for 
payment; payment would be instant with an electronic transfer.  Dave said he would check with 
each of our large vendors to see if they would issue discounts since there would be no wait time 
for their money.

With small vendors, we could use a debit/credit card.  PLGIT’s debit card system works just like 
a regular debit card.  They recommend each employee have a limited amount debit card.  
Usage would cut down on paperwork.  A bill list for approval would still be presented at the 
meetings but the bills would already be paid.

Henderson – for June, she can do ACH bank transfers for each of her municipalities as long as 
she has their number.  Discussion.

Shelhamer – how long before we can do it?  My first quarter payments are due.

Henderson – not for a while yet, we are just starting the process.  PLGIT is very municipality-
oriented.

Miller – does every employee now have the power to make purchases?

Henderson – the card would be held here.  If it is a local purchase, the card would be given to 
the employee to make the purchase and then they would return the card.  For fraud protection, 
you set the fee low.  We would be liable for only the first $50, same as with your personal card.

Miller – as long as we have controls and limits for employee cards, I’m in favor.

Discussion on purchases at a large vendor with procurement cards, discussion on fees, 
discussion on paying taxes by credit card.

Shelhamer – several townships have tried allowing credit card payments for taxes and have 
given up on the idea.  It causes too many headaches.

RESOLUTION #2 OF 2005
AUTHORIZING ISSUANCE OF
PROCUREMENT CARDS

WHEREAS, the Board of Supervisors of Franklin Township (hereinafter Township) has authority 
to authorize the purchase of goods and services by use of Procurement Cards;

WHEREAS, PFM Financial Services LLC (“PFM”) has agreed to administer, on behalf of 
participating local governments and the Pennsylvania Local Government Investment Trust in the 
State of Pennsylvania, a Procurement Card system.  The Procurement Cards will be issued to 
authorized employees, by Bank of Montreal, a Canadian chartered bank with a branch at 115 
South LaSalle Street, Chicago, IL  60603, with established limits and purpose;

WHEREAS, it is the desire of the Board of Supervisors of Franklin Township to enable 
authorized employees to procure authorized supplies and other products for Township purposes 
in order to facilitate creative pedagogical and governmental processes and efficient Township 
operations;

WHEREAS, it is the desire of the Board of Supervisors of Franklin Township to reduce the 
economic burden on the resources of the Township by increasing efficiency and reducing the 
administrative costs of the Township and to respond to the exigencies of the day-to-day 
operations in accordance with the procurement process as established by Pennsylvania 
Statutes;

WHEREAS, the Board of Supervisors of Franklin Township recognizes that the Procurement 
Card is neither a substitute for public bidding nor the Township’s existing procurement program, 
and that the Procurement Card Program is not being implemented for the purpose of bid 
splitting and/or the avoidance of the statutorily mandated public bidding process; and

WHEREAS, the Board of Supervisors of Franklin Township recognizes the economic and 
financial savings and benefits to be gained by establishing an electronic Procurement Card 
system and sponsors and endorses the Corporate MasterCard Procurement Card Program.

NOW, THEREFORE, BE IT RESOLVED by Franklin Township, Commonwealth of 
Pennsylvania, as follows:

1.	The Chairman and Secretary of the Board of Supervisors are authorized to enter into an 
Agreement with Bank of Montreal to secure Procurement Cards for each authorized employee 
of Franklin Township under such terms and conditions as approved by Franklin Township.

2.	As a condition precedent to receiving the Procurement Card, each authorized employee 
shall execute a Procurement Card Use Agreement.

3.	As a condition precedent to receiving the Procurement Card, the Board shall establish a 
monetary limit of authority for each employee’s use of each Procurement Card.

4.	As a condition precedent to issuance of a Procurement Card, the Board shall establish in 
writing purchasing parameters in accordance with the law including but not limited to: (a) a 
listing of goods and services which may be procured using the Card; (b) authorized vendors; (c) 
daily/weekly/monthly/annual monetary Procurement Card limits for each employee recipient of 
the Procurement Card.

5.	As a condition precedent to receiving the Procurement Card, each employee recipient 
shall sign an Agreement of Indemnity, which is included in the Procurement Card Use 
Agreement.

6.	The Board of Supervisors of Franklin Township hereby authorizes the Chairman to 
execute the Procurement Card Use Agreement on its behalf.

7.	Upon receipt and use of a Procurement Card, the cardholder shall submit receipts and 
such information as periodically requested by the Board and/or the Treasurer.

8.	The Board shall establish procedures and internal controls to implement this program, to 
ensure that Procurement Cards are being used only for authorized Franklin Township business 
purposes and in compliance with applicable law, and to allow for easily verifiable audits of their 
use.  These procedures and internal controls and any changes thereto shall be submitted to the 
Board of Supervisors of Franklin Township at least annually for its review and input.

9.	If Franklin Township has indicated to PFM/PLGIT that the account to be debited in 
connection with the Township’s use of the Procurement Cards will be an account of Franklin 
Township with the Pennsylvania Local Government Investment Trust, Franklin Township will 
specify the specific account to PFM, which serves as Administrator of the Pennsylvania Local 
Government Investment Trust, and PFM is authorized by Franklin Township to debit such 
account and make payment to Bank of Montreal in connection with the Township’s use of the 
Procurement Cards.

Miller moved to adopt Resolution #2-2005/Issuance of Procurement Cards.  Henderson 
seconded.  Carried unanimously.

Sachar moved to approve the Tax Collector setting up a new checking account for non-resident 
earned income tax money.  Miller seconded.  Carried.

Shelhamer – there will be about $30,000 that I won’t get paid for but will do triple the amount of 
work to process.

Henderson – we can pay her from her distribution report form for the non-resident money.  We 
will lose any money that is currently not claimed.  That has amounted to $4,000-$5,000 in the 
past.

Miller moved that the Board will get documentation from the Tax Collector on non-resident 
money collected and disbursed and pay June from that amount.  Henderson seconded.  
Carried.

Shelhamer – I would like to see the Board oppose the law that would establish one tax collector 
for each school district.

June said that the school district passed their 2005-2006 budget with no increase in taxes (12.6 
mills) and voted no on Act 72.

Shelhamer left the meeting at 0830 hours.

MINUTES
Miller moved to approve the minutes of 5/10/05 as presented.  Henderson seconded.  Carried.

REPORTS
Roadmaster – Dave reported that the crew has graded when possible, they are finishing up 
winter equipment fix-ups and repairs.  We got a line on a good used AC/DC welder at a cost of 
$150 and $150 for repairs.  The unit would normally cost $1,200.  We will use it in the building.

Agility – an agreement was signed; mowing is in progress.  We will bank around $1,500 this 
year to be used for seal coating in several years.

Falls Road Bridge #1 – we were approved for up to $24,000 from Emergency Liquid Fuels.  
We asked for $48,000.

Henderson – every other bridge in the County has been funded at a 50/50 split except us; we 
got shafted again.

CDL Driving Hours, Equipment Repair – nothing.

Anti-Skid Building – Dave reported that he is working on an agility project for PennDOT to 
build the blocks for us.

Traffic Light at Franklin Center – repairs are scheduled for June 2nd.

Grader Sharing Agreement with Washington Township – they have approximately 10-12 
miles of dirt roads.  They do not want to replace their grader and have been using ours.

Henderson presented a chart on cost per hour to operate a grader less operator.  Right now 
when they pick it up, they fuel it here and put in the hours.  When it comes back, they fill it up at 
their building and put in the hours at our building.  The fuel comes out of the equation but the 
consumables like grease and cutting edges goes in.  The cost comes out to $39.50 an hour with 
fuel.

Miller – if we had to replace the grader, the $39 would be low because of the increase in a new 
unit.

Henderson – there is nothing to say we can’t make a small profit.  Using our unit is convenient.  
They can pay by the hour and not by the week.  It would be $31 an hour less fuel.  Hours used 
would be the best way.  What they have offered is a new set of stinger teeth.  They cost $1,100 
to $1,200.

Sachar – are they using the stinger blade?  There is a big difference between cutting edges and 
stinger/scarifier teeth.  Over a period of time, we could figure consumables and share the cost.  
Suggest to them $36 an hour plus a ratio of consumables based on hours or miles.

FINANCIAL AND TAXES
Bills – Miller moved to approve the bill list for payment totaling $2,241.13 general fund; $781.00 
state fund and $1,514.00 fire dept. fund.  Sachar seconded.  Carried.

Payroll – Sachar moved to approve payroll #10-05 as presented.  Miller seconded.  Carried.

EMS Tax Collection, EIT Tax Collection, Procurement Cards – see visitor section.

Monahan and Monahan/EIT Tax Audit – Henderson moved to approve the appointment of 
Monahan and Monahan to audit the EIT tax records.  Sachar seconded.  Carried.

Employee’s Benefits Credit Hours – Dave will draft a policy for review.

PLANNING, ZONING, RECREATION, SAFETY, SANITATION/RECYCLING, HEALTH AND 
THE COMMON GOOD
Planning Commission Minutes, History Grant, SFTF, Shooting Range, Edinboro Lake 
Watershed, Regional Planning Commission – nothing.

Industrial Park/KOZ – Dave said that he talked to Rick Bain who suggested a regional 
consortium for economic development for the whole region.

Storage Trailers – Dave presented proposed changes to the Zoning Ordinance concerning 
storage trailers.  Discussion.  The Planning Commission recommended not allowing wheeled 
units.

Henderson moved to refer the proposed amendment to the Planning Commission for their 
recommendations.  Miller seconded.  Carried.

Ordinance Compliance – Sachar moved to approve the draft letters for mailing with the 
addition of a deadline for compliance and the words “please do not ignore this letter”.  Miller 
seconded.  Carried.

Recycling – notice was received that Kathy Keller-Mielke is leaving the County.

SOLICITOR
Vittorio Judgments – Mrs. Vittorio signed for our certified letter.

OLD BUSINESS
Internet Survey – waiting for WinBeam proposal.  We will contact Rep. Good again about 
Verizon.

PA One Call – nothing.

Northwestern RECA – letters were sent.

Walsh Equipment Show – the crew attended and had a good time.  Discussion on the event.

NEW BUSINESS
Transportation Funding – PSATS is urging municipalities to contact their legislators and urge 
them to increase state funding for local roads.

Sachar moved to authorize Henderson to write a letter of support for an increase in state 
funding for local roads to be sent to our local legislators.  Henderson seconded.  Carried.

Edinboro Food Pantry – Miller stated that the request for funds is not in this year’s budget.  
Discussion on how Edinboro Borough came up with the cost of operations figure of $5,000.  No 
action taken.

CORRESPONDENCE
A letter was received from Tom Graney of Graney, Grossman and Colosimo saying that Mr. 
Grossman is leaving the company.  Upcoming training sessions were reviewed.

ADJOURN
Sachar called the meeting adjourned at 0935 hours.

Bonnie J. Bernhardt, Secretary