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Commissioners approve finance contract with Holting after debate over backdated start date

March 05, 2024 | Yellowstone, Montana


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Commissioners approve finance contract with Holting after debate over backdated start date
The Board of County Commissioners approved, by voice vote, a finance contract with Holting during the March 5 meeting after a commissioner questioned why the agreement was dated to start Jan. 15 and terminate June 15, 2024, and warned the county had already incurred liability under the arrangement.

Commissioner S3 objected to the contract terms and timing, saying the agreement appears to create a retrospective liability the board had not previously approved. "This is actually backdated to 01/15/2024 and terminates 06/15/2024," S3 said, adding, "I don't like signing contracts for in the past that I had no idea that we were actually doing something along this line." S3 also stated the county had "already hit the 49,500," indicating funds committed under the engagement.

County staff (S5) responded that the contract reflects earlier technical assistance tied to work on a "72-hour hold," and that Holting had been engaged as experts to advise finance, the Office of Management and Budget and the county attorney while the board and staff were exploring funding and structure. "This all goes back to the 72 hour hold...Holting as early experts in this process," S5 said, explaining why the agreement bore an earlier date.

The commissioners discussed the governance implications of backdated contracts and agreed that, going forward, contracts should be executed up front. They voted to approve the item but required legal staff to add standard contract language before final execution. S3 said they would support approval despite continuing concerns.

The board moved the item as part of consent item 3J; the motion passed by voice vote and the chair recorded the approval. Legal was directed to insert standard language before signing.

Next steps: Legal will add the agreed standard contract language and staff will return with the finalized document; the board did not provide a detailed final cost in the public record during the meeting.

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