HomeMy WebLinkAboutResolutions - 2010.04.22 - 10012MISCELLANEOUS RESOLUTION #10076 April 22, 2010
BY: FINANCE COMMITTEE, THOMAS MIDDLETON, CHAIRPERSON
IN RE: ESTABLISHMENT OF OAKLAND COUNTY TELEPHONE OPERATING
SURCHARGE RATE FOR THE PERIOD JULY 1, 2010 TO JUNE 30, 2011
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Chairperson, Ladies and Gentlemen:
WHEREAS Miscellaneous Resolution #99279 authorized the telephone
companies operating within Oakland County to levy up to four (4%) percent surcharge
for emergency telephone operations (with the actual levy being $.57 per wireline, as
then defined by State statutes, while the authorized amount could have been up to $.80
per wireline) with recognition that the surcharge would expire on December 31, 2006;
and
WHEREAS enabling legislation permitted the extension of wireline and wireless
operating surcharges from January 1, 2007 and through February 28, 2008 pending a
more permanent solution; and
WHEREAS the Board of Commissioners extended the telephone operating
surcharge for 2007 and through February 28, 2008 at a rate of S.28 per line, as defined
(down from the $.57 per line); and
WHEREAS the $.28 per line, as defined, was to fund the construction of a new
radio communication system and related operations ($.19 per line) and $.09 per line (a
one-time charge) for the acquisition of IF-based call-taking equipment for the County
Sheriff's Office and local public safety answering points operating within Oakland
County; and
WHEREAS the Board of Commissioners established a telephone operating
surcharge rate for the period of July1 , 2008 to June 30, 2009 of $.18 per line, as
defined; and
WHEREAS the Michigan Public Services Commission (MPSC) interpreted the
legislation to limit the Board of Commissioner approved telephone operating surcharge
of $.28 per line, as defined, to $.18 per line through Case Number U-15489, causing a
restructuring of the IF-based call-taking equipment project to live within the amount
adjusted by the MPSC; and
WHEREAS Public Act 379 of 2008 permits the Board of Commissioners to
review the amount of the operational surcharge it annually authorizes each May and
adjust the amount effective July 1 of that year: and
WHEREAS the telephone operating surcharge for the period July 1, 2009
through June 30, 2010 was set at $.18 per line, as defined, by the Board of
Commissioners in spring 2009; and
WHEREAS the $.18 per line, as defined, as approved by the Board of
Commissioners action generates approximately $3.7 million in annual surcharge
revenues (or, approximately $205,000 per penny of surcharge levied for a year) to
construct and maintain the radio communications / E-9-1-1 functions for public safety
(law enforcement, fire and emergency medical services) in Oakland County; and
FINANCE COMMTITEE
Motion carried unanimously on a roll call vote.
-Jo -
Oakland County
Association
of Chiefs
of Police
OAKLAND COUNTY ASSOCIATION OF CHIEFS OF POLICE
April 15, 2010
Oakland County Board of Commissioners Finance Committee:
The Oakland County Association of Chiefs of Police strongly supports the increase of E-911
telephone operating surcharge from 18 cents to 23 cents, per line, as defined in State statutes.
The increase, by statue, will be used to support emergency Police, Fire and EMS communication
needs including Computer Aided Dispatch, wireless and hard wire communication, mobile data
connectivity, LEIN costs, hardware, software and generally any costs related to Public Safety
operations and connectivity to the Public Safety Answering Point, PSAP.
Local public safety agencies in Oakland County; police, fire and emergency medical services, are
experiencing unprecedented losses in personnel, equipment and other operating necessities arising
from the declines in property tax values and the regional economy in general. This modest fee
increase would help local public safety agencies in Oakland County avoid further pressures that could
adversely affect services to the public. The increase from 18 cents to 23 cents, per line, would give a
slight 60 cent, per phone line annual charge, to citizens using phones in Oakland County._ Oakland
would still remain the lowest in cost of all Michigan counties imposing a telephone fee, while providing
a necessary monetary support.
By August 2010, all Oakland County participating Police, Fire and EMS CLEMIS agencies will be
integrated by a radio system supported by the E-911 surcharge dollars and will utilize the increase in
funding.
Due to budgetary cuts at CLEMIS its cash, working capital and fund equity continues to deteriorate
even after numerous actions by CLEM staff to mitigate these losses. By September 2010 1 CLEWS,
a division of Oakland County Information Technology, will have reached a position that all "cash" will
have been spent and working capital and equity would be in a deficit sometime during 2011. This five
cent increase of the E-911 telephone operating surcharge will generate $1,025,000 annually,
beginning in July 2010, and will assist in resolving the cash and operating shortfall.
The Oakland County Association of Chiefs of Police supports the Oakland County emergency
network of the future and therefore strongly supports the increase of the E-911 telephone operating
surcharge from 18 cents to 23 cents, per line, and urges all Commissioners to do the same.
Respectively,
Patrick T. Browne
President
FROM:
SUBJECT:
DATE:
Bob Daddow
CLEM1S Financial Status, Issues and Potential Solutions
April 5, 2010
n•nM• COMaANDP L BROOKS PATTERSON, OAKLAND COUNTY EXECUTIVE
COUNTY MICHIGAN
Robert J ()widow
Special Projects Deputy County Executive
TO: Finance Committee
CLEM'S Advisory Board
Radio Oversight Committee
Oakland County Budget Task Force
Laurie Van Pelt, DMB Director
Joe Sullivan, CLEWS Manager
Attached is report covering a detailed description of the financial status of the CLEMIS
Operating Fund. business issues it faces and potential solutions to resolve the business issues.
The business issues are complex. The CLEMIS is a program that contributes to a quality of life
benefitting Oakland County residents and the southeast region, namely law enforcement. The
business issues contained in the attached report have been shared with you before.
The State continues to release dat felons from prison to resolve its operating shortfalls. The State
and regional economy is creating havoc on the operating budgets of local units of government.
Sworn law enforcement officer reductions are occurring in virtually each community. CLEMIS
as a regional law enforcement system has never before been needed more than now in providing
an increased efficiency of officers retained in local units of government.
Over the past dozen years since CLEM'S began to offer its services outside the Oakland County
border. the Oakland County General Fund, on behalf of all regional lavc enforcement agencies,
was able to support law enforcement that allowed the local units of government to pay nominal
charges. Other than Oakland County, counties in the region have paid nothing in support of the
CLEMIS operations or capital needs, nor has Oakland County requested that they do so on
behalf of their law enforcement agencies inside their borders.
Over the past six years, Oakland County's General Fund has paid 511.2 million in direct
operating support of CLEM'S. In addition, the General Fund absorbs the cost of central
connectivity outside the CLEMIS Operating Fund (most agencies are responsible for
connectivity to CLEM'S) — both in its construction of OAKNet of $g.0 million and roughly $1,0
million to annually operate OAKNet for law enforcement. The local COPS MORE grant match
of $7.5 million was paid by Oakland County. The Oak Video system, which benefits Oakland
County agencies only, cost $6.75 million with no less than $400,000 annually to operate.
Oakland County Administration and the Board of Commissioners have clearly demonstrated
their support of law enforcement and the quality of life it provides not only for the Oakland
County residents but the region.
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EXECUTIVE OFFICE BUILDING 41 WEST • 21 00 PONTIAC LANE RD DEPT 409 • WATERFORD MI 48928-0409 (248) 858-1560 • FAX (248) 452-9216
EMAIL; ilacklowr oakgov.com
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• Hardware maintenance 65,000
• Wireless fees for mobile data computers / LEIN fees 494,000
• Reimbursement of General Fund for OAKNet and
restoration of CLEMIS support 236,000
TOTAL $1,087,000
NOW THEREFORE BE 1T RESOLVED that the Oakland County Board of
Commissioners authorizes the extension of the operating surcharge on telephone lines, as defined
by State statute, for the period of July I, 2010 through June 30, 2011 to cover the operations,
construction and necessary provisions of the Radio Communications Fund in the amount of $.23
per line (such increase in operating surcharge is estimated to generate $1,025,000 in new
revenues in support of local law enforcement).
NOW THEREFORE BE IT FURTHER RESOLVED that a plan to mitigate the "parity
issue" as described in the attached letter of transmittal and report be developed, approved by the
CLEM1S Advisory Board no later than July 31, 2010 and subsequently brought back to the
Board of Commissioners no later than August 15, 2010 for review and approval.
Chairperson, on behalf of the Finance Committee, I move the adoption of the foregoing
resolution.
FINANCE COMMITTEE
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Oakland County is not immune from the ravages of the State's economy. Over the past several
years, each operating department has been expected to reduce its operations to accommodate the
reductions of revenue. All County operating departments have so far have addressed the
anticipated operating shortfalls allocated to them. Oakland County Administration is very
hopeful that this collaborative effort between County officials will continue as it serves the
County's taxpayers very well.
As can be seen in Exhibit B of the report, the cash, working capital and equity of the CLEM IS
Operating Fund has declined over the past several years. The cash is presently at a position that
is far too low to continue to sustain CLEMIS operations. Something must be done to resolve this
present situation through raising rates, reducing expenditures and / or reforming the way in
which CLEMIS is operated and / or governed.
Several solutions that have already been implemented to mitigate the CLEMIS fiscal issues have
resulted in the Radio Communications Fund absorbing costs that had previously been borne by
the CLEMIS Operating Fund. In doing so, only these allocated costs involving law enforcement
operations within the County's border have been included. Those similar law enforcement costs
still reside in the CLEMIS Operating Fund for those agencies outside the County's border. This
matter has been termed the "dispatch parity" issue in the attached report. Essentially, the
Oakland County taxpayers are absorbing the operating subsidy for CLEM1S and those dispatch
parity costs moved to the Radio Communications Fund,
As the CLEM1S Operating Fund struggles with its operating and capital needs, the UASI
(Homeland Security) Board approved $1.0 million towards a fusion center that has little hope of
providing any improved re gional security. Fusion centers use data from a variety of sources (Re
CLEM IS) , analyze it and in theory, develop actionable items on the intelligence information,
The fusion center will be operated by Detroit — a non-CLEMIS member. The underlying
assumptions are flawed, there have been no discussion with CLEWS personnel to secure its data
for use in its operations and the skill set of the personnel to be hired cannot provide the necessary
experience levels in law enforcement necessary for this complex operation.
The fusion center's original plan relied on the donation of law enforcement personnel even in
this stressed economy. Yet, even as CLEM1S has and continues to have operating needs, limited
regional grant funds the fusion center were approved (Wayne, St. Clair and Washtenaw Counties
and Detroit approved; Oakland, Macomb and Monroe Counties opposed).
On March 29. 2010, the Budget Task Force (BTF) of the County Administration met and
discussed the CLEMIS report, Support for the extension of $.18 level of telephone operating
surcharge was garnered from the BTF. In addition, a portion of the projected cash expected to be
in the Radio Communications Fund (at the S.18 level) was allocated to develop the computer-
aided dispatch system (estimated at $3.5 million) in tandem with the records management
system, even as the allocation would exacerbate the dispatch parity issue. A General Fund
operating subsidy of $400,000 for OakVideo will be recommended for the 2011 budget.
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On March 31, 2010, a proposed resolution was voted on electronically by members of the Radio
Oversight Committee: "I move to increase the current 911 surcharge by .10 cents (sic) from the
current level of 18 cents (sic) to .28 cents (sic). These funds shall be utilized for allowable
wireless and wireline 911 surcharge expenditures as approved by the ETSC." The motion was
approved by the Radio Oversight Committee on a 7 to 6 vote (local police and fire chiefs in
favor; Administration, Sheriff's Office, Sheriff's Office and Medical Care Authority opposed).
County Administration believes it is time for the region to address the law enforcement needs
through the proper and equivalent funding of CLEMIS operations by non-County law
enforcement agencies or their respective counties on their behalf. Increasing the General Fund's
operating support would exacerbate the operating pressures in 2011 to 2012 operating budgets.
The computer-aided dispatch development and potentially other E-9-1-1 eligible costs still
remaining in the CLEMIS Operating Fund could be absorbed by the Radio Communications
Fund operating surcharge. However, this further exacerbates the dispatch parity issue even as
the other regional public officials rail on the Oakland County Administration for the lack of
regionalism on issues such as Cabo Hall, transit and Aerotropolis. Yet, there is no discussion of
their support of law enforcement on services rendered by Oakland County taxpayers for years —
while their taxpayers get a bye at the expense of Oakland County taxpayers.
If the County does move the computer-aided dispatch development and certain other operating
costs from the CLEIVIIS Operating Fund, there must be parity in increased rates for non-Oakland
County CLEMIS members. Those increases could come from other counties who would then
support their local law enforcement agencies, or directly through increased membership rates. Et
is entirely possible that some law enforcement agencies outside the County's borders may seek
service alternatives other than CLEMIS. County Administration recognizes this as a possibility.
Clearly, the fee structure and other financial arrangements need to be reviewed and agreed upon
regionally. This may require a regional meeting to resolve this matter and a potential
restructuring of CLEMIS (up to and including the potential of a use of a separate legal authority).
In summary, the County Administration supports the extension of the telephone operating
surcharge by 5.18 per line. The computer-aided dispatch system development would be covered
from the operating surcharge collected through September 30, 2011 (hopefully avoiding a
maintenance fee to start in 2012). The OakVideo operating costs would be covered via an
operating transfer into CLEMIS of 5400,000 starting in fiscal 2011. The capital program for the
Oak Video system and CLEMIS remain open issues.
The above will not solve the fiscal issues of the CLEMIS Operating Fund but it will help. In
order to close the gap in operating needs (assuming that CLEMIS achieves the revenues for the
E-Citation and E-Crash at the levels currently in the budget by 2011) an increase of $700,000 to
$800,000 would he required from the non-County communities in lieu of the increases in
operating surcharge. This level of added revenue, however, leaves the funding of depreciation
unresolved.
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CLEMIS FISCAL ISSUES AND OPTIONS TO RESOLVE
OAKLAND COUNTY, MICHIGAN
Mardi 28, 2011)
The CLENIIS Operating Fund (CLEWS Fund) is and continues to experience operating and cash
Low lo:-..;es over the past several years, Unreserved equity has declined as weli — in fact, quite
substantialiv. Discusioris have been held with the parties in interest. Memoranda dated June
10, 2008 January l 7, 2009, and July 21., 2009 have been prepared on the business issues and the
prog ress in resolving than. The memoranda have been sent to the CLEMIS Advisory Board,
the Oakland County Finance Committee of the Board of Commissioners and other County
administrative personnel.
Despitc numerous meetings and sonic actions to resolve the financial burdens of Oakland County
taxpayers, the operanng and cash flow losses continue. The resolutions to mitigate the losses, so
far, have fallen solely on the Oakland County taxpayer. The cash and equity losses must be
stopped and the CLEMIS Operating Fund returned to financial stability. Options include
reforming operations, increasing membership fees, and / or reducing operating costs and are
discussed subsequently. Other options are welcome,
Presently, the State of Michigan, region, Oakland County and cities! villages / townships
(UTs) are experiencing the worst economic decline in the past 75 years. Property tax values,
which represent the principal revenue source of local units of government are declining and are
expected to continue to do so over the next several years resulting in roughly one-third of the
property taxes being eliminated by 2012.
The State of N,liehigan has not solved its fiscal issues over the past several years. Presently, thre
is a SL6 billion operating shortfall in the 2011 fiscal year budget as announced by the State's
revenue estimation committee. The State is not even discussing the 2012 and beyond operating
budgets. Since 58% of the revenues collected by the State are passed down to local units of
government for program operations, this unresolved operating shortfall will place added, as yet
unknown, pressures on regional and local operating budgets. State expenditure reductions could
reduce loca1 units of governments' revenues. Unemployment remains stubbornly high at just
over 14%. The automobile industry has yet to recover. Other factors in the regional and
Michigan economy will continue to exacerbate an economic recovery. Yet, the CLLM1S Fund
must still solve its fiscal issues.
Even as the revenues for local units of government are declining, the State is returning felons
from prisons to the commurMy through various release programs, County Sheriff Offices and
CVTs are responding to revenue reductions with various budget approaches, including personnel
reductions in the law enforcement community. Never before has technology such as CLEMIS
been expected to assist in mitigating the incongruent positions of more felons on the street with
less law enforcement officers through efficiencies. CLEMIS has become increasingly important
in salvaging a quality of life expected by the Oakland County and regional residents.
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This report provides a detailed discussion of the following involving the CLEWS Operating
Fund:
• General Background - a general background of the recent history of CLEMIS and the
attempts to solve the fiscal issues continuing to plague the Fund.
• Fiscal Issues - this section covers die past half dozen years of fiscal history, the General
Fund contributions of Oakland County to the CLEMIS Fund on behalf of both the public
safety agencies within Oakland County but also those in the region, actions that have
been undertaken to mitivate the continuing operating and cash flow losses and other
matters. In addition, this section discusses th- fiscal actions already undertaken to
mitigate the continuing operating and cash flow losses and equity declines.
• Overlapping Radio Communications Fund Issues - certain issues within the CUM'S
Operating Fund are affecting or could affect the operations of the Radio Communications
Fund, in particular the need for the development of a computer-aided dispatch system to
replace the existing system in concert with the records management system already under
development. The issues are discussed in this section.
Options for Resolution - options to resolve the continuing operating and cash losses are
discussed. Others may be proposed and considered by the CLEWS membership that
may have equal merit. Any issue that resolves the operating and cash flow losses and
does not continue to place added burdens of financial support L. Oakland County
taxplyers should be considered without a similar burden on non-Oakland Coo: ,y
taxp,iyers.
Oakland County is not immune from the fiscal realities facing each Michigan governmental unit
today. The County's General Fund no longer has the discretionary resources to fund the
operating shortfalls on behalf of the regional CLEMIS membership - even on a service as
important as public .'"ty. Presently, the Oakland County opcmting '.-partments will be
expected to continue reduce their operations in response to :he corn: lued declining revenues
from property taxes, rtatc support and other revenues.
GENERAL BACKGROUND
Prior to the County securing the COPS MORE grant, the CLEWS operations included most law
enforcement agencie -vithin the County's border and two law enforcement agencies outside the
border. When the County secured the COPS MORE grant from the federal government, it was to
cover only those pre-existing agencies within CLEMIS (and the two outside agencies). The
County Administration realized that the expansion of CLEM'S outside the County's border
would benefit not only the County law enforcement agencies through added shared data, but
those outside the County's border having access to Oakland County law enforcement data. The
County lobbied the COPS Office and secured a commitment from the federal government to
allow an expansion into the region so many more law enforcement agencies could benefit from
the COPS MORE grant. In the late 1990s, the expansion began.
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Prior to the expansion Of CLEMIS in the late 1990s and into the 2000s, the law enforcement
agencies in the region maintaiited separate records management systems or none at all
(particularly for fingerprint. mugsbot, and mobile data computers). Several attempts sprung up
in the region to replicate CLEMIS — for example, the Wayne Area Justice Information System.
Presently, the Detroit is attempting to launch a fusion center that would require at least the
functional capabilines of CLEMIS and frankly, added functions. The State expanded its records
management system hut decided it could not do so effectively and terminated the program. No
other governmental entity has been successful in replicating CLEM1S.
Even as the Michigan State Police (MSP) was effectively denying Oakland County access to the
MSP radio towers (at a cost to Oakland of no less than S1.0 million to $1.5 million in towers that
required building that could have been avoided). Oakland provided financial incentives
encouraging the MSP to join CLEM'S. The LEIN fee debates with the 1\4SP continue to day.
As discussed subsequently, the financial support of the Oakland County Genera: Fund was and
continues to be substantia1. Oakland County has incurred these costs on behallof regional public
safety (law enforcement, courts, prosecutors, federal agencies, and others) as the County
recognized the benefits to the region and Oakland County backed the need with dollars. Other
counties have criticized Oakland County Administration for failing to be regional players, even
as they were willing to benefit from Oakland County's discretionary contributions to public
safety on behalf of the region. Unfortunately, in today's adverse economic times, the Oakland
County General Fund does not have the luxury to resolve the fiscal issues facing CLEM'S as all
County departments have reduced their operations and further reductions are expected. A
revision to the County's approach to CLEMIS is now required.
A recent example of the regional support of an expanded project is the fusion center. The
concept, which arose circa 2005 in response to information needs first identified nationally
because of the September I 11 event, involves the conversion of data into actionable intelligence.
The computer needs are tremendously complex along with a high level of law enforcement
experience. The MSP through the Governor's office awarded the City of Detroit a fusion center
in 2005. Detroit immediately sought funding from the UASI (Homeland Security) grants.
Up until last week, the region rejected the request for funding from the 12ASI grant. The IJASI
Board approved the use of Si million in grants to hire personnel in order to enable the fusion
center. Those supporting the grant were — Wayne, St. Clair and Washtenaw Counties and
Detroit. Those opposed: Oakland. Macomb and Monroe Counties.
At the time of the original request. Detroit had 35 databases that were largely manual and had
been on a centralized database for oniy a few years„4 memorandum of business and technical
issues was issued by Oakland County with no response even to date — not least of which is access
to the detailed intOrmation in the CLEMIS records management system. Detroit is not a
CLEMIS member. The grant approved last week would secure 8 new personnel at a salary of
$30,000 to 535,000 annually for two years. Entry level police officers with no experience are
compensated at a higher level. The original fusion center requests for grants assumed that the
regional law enforcement departments would supply 'free' labor to man the operations. Given
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the budgetary reductions affecting all law enforcement agencies in the region, this earlier
assumption (which was challenged and not addressed as part of the above Oakland County
memorandum) remains questionable.
Even as CLEWS is experiencing fiscal issues, the fusion center with no access to regional data
via CLEMIS is funded by some of the very counties who have CLEMIS members benefiting
from the CLEMIS data. This issue alone makes it ever so much more difficult to continue to
burden Oakland County taxpayers even as some of the regional members are launching a
program that has little hope of success.
Exhibit A is a matrix of the participating CLEMIS members and the applications that they use.
Some applications are offered only to Oakland County law enforcement agencies (such as
OakVideo, a video conferencing system and OAKNet, a fiber optic network — although a few
limited CLEWS agencies do receive this connectivity service). Other applications have a
regional approach — for example, records management, fingerprint and mugshot systems, mobile
data computers / wireless connection, and computer-aided dispatch. The future funding
approach to CLEMIS ; which has yet to be defined until input is received from the law
enforcement agencies, will have to be sensitive to applications used and costs incurred by
agency.
Exhibit B provides the details of the operating subsidy for CLEMIS paid by the Oakland County
General Fund — both the general subsidy benefitting all CLEMIS members, the County's 50%
share of the call-taking equipment maintenance, the Radio Communications System support of
upper level personnel in CLEM1S in the deployment of the new radio communications system
and other transfers into the CLEMIS Fund. For the six years from 2004 to 2009, the Oakland
County General Fund contributed $11.2 million towards CLEM1S capital and operating
programs. No other county contributed any amounts for operations. In addition, these amounts
do not include certain other costs (OAKNet, for example) that are funded directly through the
County's Information Technology Fund by the County's General Fund. The 0,41(1\let costs are
not included in the CLEMIS Fund operations.
The 2008 and 2009 fiscal years' operating subsidies from the Oakland County General Fund
were reduced by $59,064 and $54,883, respectively, for CLEMIS's allocated budget task arising
from the declines in the General Fund revenues (largely property taxes) in a manner consistent
with operating costs of all General Fund departments. The 2010, 2011 and 2012 operating
subsidies will be reduced further as well. The 2010, 2011 and 2012 fiscal year operating
subsidies to CLEWS from the Oakland County General Fund is $1,208,126 in each year.
The business issues are cited below and are quantified in the next sections of the report:
• Cash, working capital and equity as of September 30, 2009 and into fiscal year 2010 have
declined to a point where actions must be taken to resolve the immediate fiscal issues.
On the present course and with no corrective action, it is unlikely that the cash position
will remain positive by year end (September 30, 2010) and borrowings will be required
even as the structural CLEMIS operating problems remain.
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• Depreciation for the centrai CLIMB equipment (servers, message switches, etc.) has not
been funded and will eventually need replacement. The CLEMIS law enforcement
agencies, however, have assumed the replacement of locally-based COPS MOIth grant
equipment (mobile data computers, for example) that has alleviated what would have
otherwise been a further fiscal burden for capital replacement on CLEW S.
• Oakland County's General Fund can no longer fiscally sustain the region's CLEM IS
needs on its own. However, at least one exception needs to be considered — Livonia
Police Department, The City of Livonia has provided a back-up system to CLEMIS in
case of a disaster through Livonia's local resources. This cost incurred by Livonia has
benefitted the region as well in providing a safety net in case of a physical disaster at the
Oakland County Information Technology facility. Any new rate structure imposed as a
solution to the CLFMIS fiscal issue needs to consider that Livonia has recognized the
need for regional law enforcement information and, like Oakland County, has supported
the regional needs with dollars.
• The regional economic problems have resulted in a decline in sworn officers in the
CLEM'S membership. The decline in sworn officersis the base used to calculate
CLEMIS membership fees. The impact now and into the future will be difficult to
determine as CA/Ts respond to a declining revenue base,
• Oakland County, on behalf of the region again, has mitigated the CLEMIS operating
losses through a transfer of some computer-aided dispatch and other costs from CLFMIS
to the radio communications operations; such operations are largely funded via telephone
operating surcharge. In doing so. Oakland taxpayers arc now covering not only the
operating subsidy from the General Fund through property taxes (which are declining
along with other revenues), but also the telephone operating surcharge. These earlier
efforts by Oakland County to partially mitigate the CLEWS fiscal issues were supported
in anticipation of a satisfactory resolution of the non-County agencies to participate as
well. Law enforcement agencies outside the County's borders have yet to cover the costs
for these same dispatch services that remain in the CLEMIS Fund. This issue is referred
to subsequently as the "dispatch parity issue."
• As a condition for the failure to adhere to the contract. Motorola has waived its software
licensing and maintenance fees throughout the 2000s. However, starting in 2012 and
beyond, the fees arc no longer waived. The software licensing and maintenance fees ibr
the records management system (RMS), computer-aided dispatch (CAD), and HP
Tandem are $381,417, $350,016, and S175,601, respectively, for a total of $907,034
starting in 2012. These costs will be a new expense of the CLEM'S operations requiring.
cash to fund the costs — absent the replacement of the CAD and RMS. The replacement
of these systems with ones created internally would eliminate all but the HP Tandem
costs. These new tees will exacerbate the cash flow of CLEMIS as they arc not currently
part of:he CLEWS membership fees.
• Law enforcement agencies dispatch for not only for the police department but the lire
department and emergency medical services as well through the CI IMIS equipment.
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Membership fees are based solely on the sworn police officers in the law enforcement
agencies. Given the economic times, the sworn police officers are being reduced in
response to local budgetary concerns.
• The Oak Video system, which supports only Oakland County agencies, is now roughly
five years old and has nearly depleted its bond proceeds. Sustaining this service to
Oakland County's law enforcement agencies through a specific revenue source must be
determined for both operating and capital needs.
• CLEM'S launched two major programs to increase revenues from outside sources: E-
Citation and E-Crash. While both are still being deployed and show potential, the actual
revenues for the five months through February 28, 2010 (5123,300) have not lived up to
amounts included in the budget (annual budget total for both sources of revenue -
$750.000). Simply put. the significant unfavorable variances wEl exacerbate the cash
flow and operating losses in the 2010 fiscal year.
If the projected revenue levels for E-Citation and E-Crash cannot be obtained as included
in the 2011 and 2012 operating budgets for CLEM'S, further unfavorable variances
would occur and will have to be resolved as well, Some law enforcement agencies have
chosen to not participate in these programs, particularly the E-Citation program.
The budget to actual operating statements for CLEATS for the period from October 1, 2009
through February 28, 2010 has just now been prepared. The revenues are 51,897,000 against
$2,615,000 in expenses, including $827,000 of depreciation. No further decline in cash has
occurred since September 30, 2009. It is not nearly enough to solve the issues cited above or
ensure that the CLEMIS Fund's cash and equity position will remain solvent over the next year
or two. On a full-cost basis, this indicates that longer-term CLEWS cannot continue to survive
absent further actions.
CLEMIS FISCAL HISTORY AND ISSUES
CLEMIS operating revenues are comprised of the following principal sources:
• Membership access fees — the fees are generally based on sworn officers as of January 1
of each year as reported to the State of Michigan for those that do share the law
enforcement data. For CLEWS members that do not share data, a second fee structure is
used. The decline in property tax revenues anticipated in the next several years for local
units of government will lead to sworn officers being reduced as well. The County
adopted budgets for 2011 and 2012 do not reflect any significant declines for loss of
positions within the CLEMIS membership as the number of sworn officers lost cannot be
accurately predicted — even now.
The current annual membership fees are $156.50 per sworn officer in Oakland County
and S172,00 for those outside the County's border (or a 10% surcharge for those outside
the County's borders). Fees are billed quarterly_ The membership access fees cove
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basic services such as records management, computer-aided dispatch. mugshot and
fingerprint services -- see Exhibit A.
Generally, connectivity to CLFM1S is the responsibility of the member agency.
• Wireless fees •-• annual wireless fees are calculated at $1,109 per mobile data computer.
As with the sworn officers, mobile data computers are likely to decline in response to
regional economy us well as CVT poiice vehicles fleets decline,
• Maintenance fees — annua repair and maintenance fees for fingerprint units are billed at
a rate of $3,523 with printer or $3,313 without printer. The munshot capture station fees
are $4,000 per unit and $2,000 per unit for the munshot investigative maintenance efforts_
The recent purchase of replacement fingerprint units and the reduction of maintenance
charges offered by outside vendors, these costs are being paid directly by some law
enforcement aneneies.
• Monitoring fees — Tier 2.5 and higher agencies pay $2,400 per year for wide-area
network monitoring fees for 24 x 7 site monitoring and maintenance.
• E-Crash E-Citation — these new programs provide a service to the public with the
added fees allocated back to the law enforcement agencies and CLEMIS.
In 2009, the CLEMIS Advisory Board voted to increase the membership fees each July lby 5 -.6
with the last seheduled increase on July 1, 2011. While higher than inflation, these rate increases
do not provide CLEMIS much in revenue just $46,628, $48,960, and $50,772 for fiscal years
2010, 2011 and 2012, respectively, from law enforcement agencies outside the County's border.
Similar dollars and increases were charged to law enforcement ancncies within the County's
border as well. These rate increases have been incorporated in the County 2010 to 2012
CLEMIS operating budget as adopted by the Board of Commissioners in September 2009.
Unfortunately, it is unlikely that the rate increases will cover the loss in sworn personnel in
corning years. Said another way, the rate increases help, but will not resolve the cash flow and
operating losses expected in the CLEMIS Fund in the coming years. Likely, the membership
fees will decline even as rates increase as the base —sworn officers — is declining faster.
Fiscal Contributions to CLEMIS
As provided in Exhibit B entitled "Cash, Working Capital and Fund Equity — CLINES
Operating Fund", substantial declines in the financial liquidity of CLEMIS have occurred, even
as actions have been undertaken to resolve these issues. For example,
• Cash •- the cash balance as of September 30, 2004 was $3.7 million but by the end of
September 30, 2009, it had declined to $401,000 — a decline of $3.3 million in a tive-vear
period. At February 28, 2010, the cash position is largely unchanged from that of
September 30. 2009. At the pace of decline over the last several yerars it would be
unrealistic to believe that the cash position would remain positive by the end of the 2010
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fiscal year. Essentially. CLEMIS would be borrowing from other County fund.s in order
to operate while having a structural operating problem if left uncorrected. Other funds
operations in the County would be affected.
• Working Capital — working capital represents all current assets (cash, receivables,
inventory, prepaid expenses, etc.) less outstanding vendor and other payables at a point in
time_ CLEMIS has no long-term debt. The working capital has declined from $4.1
million as of September 30, 2004 to $1.4 million as of September 30, 2009. It is possible
that the current pace of decline would result in a negative working capital as of
September 30, 2010, but it is more probable that at the current pace it would take into
fiscal 2011 unti: it becomes negative if no actions are undertaken to resolve the problem.
• Equity — the unreserved equity, which is available to fund operations, has declined from
$4.1 million as of September 30, 2004 to $1.2 million as of September 30, 2009. While
the Fund is likely to remain in a surplus condition through September 30, 2010, it is
almost certaii4 going to move to a deficit sometime during 2011. Because of State
statutes, if the CLEMIS equity would move into a deficit, a deficit elimination plan
would be required with State involvement in the approval of the deficit elimination plan.
Deficits and their resolution are looked upon unfavorably by the bond rating agencies.
Accordingly, Oakland County cannot permit this to occur.
The substantial declines in cash, working capital and equity over the past five years have been
significant and cannot continue unabated. The continued declines have occurred even as
Oakland County has contributed significant amounts from its General Fund and through other
management effois as are described subsequently. Some efforts to resolve the CLE MIS Fund
issues have benefitted the region as a whole and some are solely benefiting Oakland County
residents, Al! have been covered by Oakland County taxpayers. Either way, the management
efforts to date have been insufficient to solve the continued declines in cash, operating losses and
equity.
Fiscal Actions 8enefittinv, the Re2ional CLEMIS Memershio
Certain actions undertaken and funded by Oakland County taxpayers have benefitted the regiou
in enabling the expansion of CLEMIS and in support of law enforcement_ The principal actions
are cited below:
• The Oakland County General Fund covered the local grant match and related costs for the
COPS MORE program in the approximate amount of $7.5 million in the late 1990s. The
region benefitted from the local grant match paid by Oakland County when the County
negotiated an agreement with the COPS Office to allow for the grant to be used by law
enforcement agencies outside the original grant application. The agencies outside the
County's border were not asked to cover any portion of the local match,
• Several of the early new members outside Oakland County had the fiber optic network
(e.g. 0A_KNet) extended to their law enforcement offices for a variety of reasons
(Livonia, for example). The fiber optic connection ensures a more stable connection and
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faster service. Some of the central infrastructure for OAKNet located in the Countv's
Information Technology Department supports the region although the amount cannot
easily be determined. OAKNet cost is discussed subsequently.
• Durine! 2004 and subsequently, the Oakland County General Fund provided 5926.000 of
contributions to CLEM'S to enable the replacement of obsolete fingerprint units along
with the several recently-received federal awards. During 2008, the amount contributed
by Oakland County (along with the federal awards) was expended for not only the
fingerprint unit replacement in the region but the acquisition of new fingerprint units for
law enforcement agencies who had none previously.
• Since the mid-1990s when the regional expansion began, the Oakland County General
Fund has contributed roughly $1.4 million annually, or more, towards the operations of
CI.EvIIS in addition to the membership and other fees charged to the Oakland County
Sheriffs Office (e.g. from the General Fund as well in a manner similar to any other
CLEM'S member agency). CLEM1S has been in existence and supported by the Oakland
County General Fund at varying levels for the past 30 years on behalf of the Oakland
County taNpayers and since the mid-1990s, the region.
• Oakland County provided $517,000 in UASI (homeland security) grants towards the
replacement of the records management system in 2009 and has committed to use another
S517,000 in UAS1 grants for 2010. In addition, a Byrne grant of $500,000 has been
received by Oakland County and contributed towards the records management system
replacement. Oakland County is attempting to secure a change in the federal grant scope
of work to move roughly Si million in allocated federal grants for fingerprint units into
the development of the records management system. At this time, the reallocation of
resources from fingerprint units to the records management system is pending. To date,
only Washtenaw County has contributed $78,000 towards the records management
system replacement effort. Macomb and Wayne County have declined.
• CLEM1S is located within the Oakland County Information Technology Department and
uses certain central County services (facilities, copiers, risk management, etc.). In the
mid-1990s, Oakland County committed to charge no more than $900,000 in costs for
these services_ Since that time, all costs have increased if for no other reason than
inflation. Yet, the amounts billed for these costs have been fixed at an amount no greater
than 5900.000 — causing Oakland County to absorb an undetermined amount of cost
increases since the rind-1990s.
There is no operating or capital contributions provided by other counties (Wayne and Macomb
Counties) for CLE11S on behalf of their law enforcement agencies. Waslilenaw County has
contributed 578,000 towards the replacement of the computer-aided dispatch, but nothing
towards annual operating or other capital programs for CLEWS.
9
IS
Certain programs and related costs are being borne by the Oakland County General Fund but
on:y benefit law enforcement agencies within the Oakland County border. Actions follow:
• The OAKNct fiber optic network build-out n the late 1990s cost a total of $8.0 million.
wili $3.1 million allocated to law enforcement as the largest user (based on end points oi
69 law enforcement of the total 183— even as the likely use of the system is higher and
more intense by law enforcement). Since that time, there have been several, multi-
million dollar capital upgrades in the equipment related to the network ., such upgrades
were borne by the Oakland County General Fund. An undetermined portion of these
costs would also benefit the region. The original construction and upgrades to the
OAKNet has been borne by the Oakland County General Fund on behalf of the County,
the law enforcement and other agencies within the County's border and, tbr law
enforcement, outside the County's border,
• Annually, ¶1.7 million is expended to maintain the OAKNet network in good working
order with $961,000 allocated to law enforcement. The operating costs of OAKNet are
borne by the Oakland County General Fund.
• Oakland County provided $791,000 in funding for the creation of a standardized web
page for law enforcement agencies. The agencies generally benefitting from this service
were law enforcement agencies located in Oakland County.
• Call-taking premise equipment used in computer-aided dispatch operations, which had
always been and continues to be a local unit of government responsibility, has been
funded through the County as follows:
a Circa 1999 to 2000 — Oakland County's General Fund contributed $3.0 million
for the cost of this equipment or the reimbursement of certain then recently-
acquired equipment in four dispatch centers.
o In the past year, the County began replacing this obsolete equipment via the
telephone operating surcharge funds on behalf of public safety in the amount of
approximately $2.8 million, plus allocating $250,000 of UASI funds towards this
replacement effort. By June 30, 2010, the replacement should be completed for
most dispatch centers.
o During the late 1990s and up to the recent replacement, the Oakland County
General Fund covered one-half of the cost of a maintenance contract, estimated to
be $178,000 annually for the County share, for this local equipment through fiscal
2007. In 2008 and 2009, the maintenance costs were borne by the Radio
Communications Fund in lieu of the General Fund. The total amount contributed
during the past decade that has alleviated CVT costs within the County's border is
$1.8 million.
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• The County, tin-ouch Mr. Sullivan's negotiating efforts, was successful in delaying the
imposition of the licensing and maintenance fees from Motorola from the launch of the
project throtO 2011 for the records management system and the computer-aided
dispatch. Motorola had not complied with the contractual terms for several applications
and the delay in bi Ling CLEWS is recompense for those delays as negotiated by M.
Sullivan, CLLM1S Manager.
The benefit of the delayed billings for maintenance, had they started in the early 2000s
could easily be between $4 million and $6 million in costs avoided, However, in 2011
and beyond, :he Motorola licensing and maintenance fees will have to be paid. The
membership rates do not reflect these significant costs starting in 2011 should the records
management and computer-aided dispatch systems not be replaced prior to the need to
start paying the licensing and maintenance fees.
* With the launch of the automated fingerprint identification system in August 2010, an
additional licensing and maintenance fee of S153,000 annually will be required. As with
the above maintenance fees, these costs are not included in the membership rates. Thee
added costs are in the 2010 and beyond operating budget but is one of the causes of the
increased fiscal pressures facing CLEMIS.
• The Oak Video system cost $6.75 million to create, including $750,000 of the COPS
MOR1!. grant funds. The construction of the system was primarily fUnded via a bond
issued through the County's Building Authority, The debt is being funded by the
County's Genera: Fund. Annually, it has required roughly $400,000 to maintain and
operate it - at a bare minimum of operations and no new applications coming On line.
OakVideo provides the video conferencing between public safety agencies (law
enforcement. Prosecutor, Courts, Community Corrections, State corrections, and others),
warrant teiceonferencing. (communications between law enforcement agencies and
Prosecutor), and jail video visitation for the Oakland County Sheriffs Office. With the
exception of a ho:ding cell in the Macomb County jail, only Oakland County agencies are
presently on the Oak Video system.
Actions 'taken to Date to Nlitigate the Business Issues
Oakland County management has undertaken actions to try to resolve the declining cash,
working capital and equity. As noted in Exhibit B. the management actions have reduced, but
not eliminated, the decline. The reductions continue and must eventually be reversed to place
CLFMIS back to a stable fiscal position.
The principal actions undertaken arc summarized below:
• The computer-aided dispatch operating costs for dispatch centers located within the
Oakland County border have been shifted to the Radio Communications Fund in the
amoun: of $413,300 in 2008 and $413,300 in 2009. The 2010 and beyond operating
budgets anticipate future support from the Radio Communications Fund for these costs in
lieu of the CLEMIS Fund.
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The above cost transfer from the CLEM1S Fund to the Radio Communications Fund
excludes those costs relating to dispatch centers located outs dc the Oakland County
border. Only the operating, and maintenance costs for those dispatch centers in Oakland
County were transferred to the Radio Communications Fund as the principal source of
radio funding is the telephone operating surcharge. There are more dispatch centers
served by CLEMIS outside the County's border than within the County.
The above creates a 'dispatch parity' cost problem. Oakland County residents are not
only paying an operating subsidy from the County's General Fund that other counties are
not, but also covering the dispatch costs via a telephone operating surcharge. CLEM'S
has calculated an equivalency for the dispatch agencies outside the County border of
roughly $617,000 annually. To date, the dispatch centers outside the Oakland County
border have resisted any increase in membership fees to resolve this dispatch parity issue.
• During the 2008 and 2009, all General Funded departments (including CLEMIS) were
required to address a portion of the then budgetary operating losses projected for the
coming years. CLEWS addressed the losses by reducing the operating subsidy by
$59,064 in 2008 and $54,883 for 2009.
In addition, the cost of the 50% maintenance on call-taking equipment for dispatch
centers in Oakland County borders was charged to the Radio Communications Fund in
lieu of CLEMIS. Because the CLEMIS costs were covered by the General Fund
contribution, this activity did not cause any of the cash, working capital or equity issues
CLEM1S now faces. The amounts paid by CLEMIS were entirely covered by an
Oakland County General Fund contribution. Moving these dispatch costs into the Radio
Communications Fund as part of the dispatch operations allows the General Fund
contribution to be discontinued,
• The cost of maintaining the Oakland County Sheriffs Office equipment and related
applications, which for certain functions fell on CLEMIS personnel, was first reimbursed
by the General Fund in 2008 and then again in 2009 (roughly $229,000 annually). Future
support of the Sheriff's Office will be charged to the General Fund on a time and material
basis via the project management system at the established Information Technology rates.
• An annual administrative charge of $200,000 for CLEMIS staff s supervision and active
management of the deployment of the new radio communications system has been
charged to the Radio Communications System starting in 2008.
• Oakland County attempted to market the OakVideo application to other governmental
entities through an outside firm with the County taking commissions from the application
sales. Even as the company has invested over $10 million in marketing and production
costs, it has not been successful in selling any applications. Commission revenues have
therefore been eliminated in the 2010 and beyond budgets. This situation does, however,
reinforce the unique nature of the relationship that CLEMIS has in providing the type and
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nature of services to law enforcement in support of their needs in serving the public not
available in other parts of the country.
The principal cause tor the inability to sell these applications as it almost certainly
requires an organization similar to CLEM'S to first exist and then, that organintion :o
reconi7e the need, fund it and implement it. Smply put, there are so few regional law
enforcement agencies of a similar nature to CLEM1S that a market simply does not exist
for the Oak Video product.
• The professional services costs have been substantially reduced. Contractors have been
placed on a sour-day work week. Several contractors have been shifted from daily
support of CLEWS applications to the creation of the new records management system -
allowing them to stay on site for the occasional CLEMIS support issue, when necessary,
• The Sheriff's Office mobile data computers were replaced out of the County's Office
Equipment Fund at a cost of roughly $750,000 as has been the case in the expectations of
the local units of government's responsibIlities to replace its computers from local
resources.
Summary
Exhibit B of this report cites that the operating support provided by Oakland County's General
Fund for the six years ended September 30, 2009 was S11.2 million plus the absorption of the
operating costs for the OAKNet system by the Department of Information Technology of
5961,000 (paid for by the Oakland County General Fund for jaw enforcement). Combine these
significant operating costs with the local match provided to cover the COPS MORE grant of S7.5
million, $6.0 million for the creation of OakVideo, and the construction of the OAKNet system
of WO million as well (let alone two major capital upgrades in the past dozen years),
Oakland County's financial support for the regional law enforcement system called 'CLEMIS' is
second to none. No other county in the region — Wayne, Macomb or Washtenaw Counties —
provides any direct support for the above capital and operating costs of public safety on behalf of
their law enforcement agencies. Oakland County clearly provides more financial and technical
support on this significant quality of life than any other county in the region, if not the State.
The time has conic to consider a new paradigm in funding CLEMIS given the fiscal issues facing
the County, regional and State,
RADIO COMMUNICATIONS SYSTEM
Somewhat related to the CLEMIS issue is the Radio Communications System requirement to
consider the level of telephone operating surcharge to support the Radio Communication Fund
activity for both the remaining, capital needs for construction of the new system (all amount
collected and to be collected through September 30,201]. at the $.18 / line charge indicate the
system can be constructed with no concerns) and the operations longer-terrn.
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The old Motorola ra&o system is nearing termination with the completion of the Sheriffs Office
conversion. Other local public safety agencies have since converted to the new radio
communications system. When the Sheriffs Office is converted, roughly 3,500 portable and
mobile radios will be live on the new radio system out of a projected total of roughly 5,000. Al
the tine that the Sheriff's Office is removed from the old radio communications system, the fees
char&!ed for the E-9- 1-1 component of the Sheriffs Office will be eiirnina J. Corrections and
other non-F-9-1-1 services, as defined by the State, will continue to be charged for radio service,
Presently, $822,000 is budgeted annually in fiscal years 2010 through 2012 for the Sheriffs
Office use of the present radio communications system. The reduction in the fees attributed to
the law enforcement contracts will result in a reduction of the rates for radio usage starting in
knuary 2011 (essentially, the CVTs having contacts with the Sheriffs Office will benefit from
ce reductions).
During April, the telephone operating surcharge must be set for the period July 1, 2010 through
June 30, 201/ by the Board of Commissioners. The submission of the adopted rate must be
provided :o the State no later than May 17, 2010. On March 25, 2010, the Radio Oversight
Committee voted to tentatively support the extension of the $.18 per line operating surcharge —
leaving the level unchanged.
The telephone operating se.reharue could overlap the CLEMIS fiscal issues in several areas:
• Further uses of the Radio Communications Fund in certain E-9-1-1 eligible costs
presently funded by CLEMIS for Oakland County law enforcement services, These
services, to the extent that they can be demonstrated to involve E.9-1-1 communications,
could include capital and operating costs for: mobile data computers, wireless
communications, LEIN searches, and other applications.
• The computer-aided dispatch application needs to be replaced and integrat: into the new
records management system at a very high level estimate of roughly $3.5 million
(excluding the local equipment needs at the 28 dispatch centers assumed to be funded
locally). Presently, there is no funding source identified and the records management
system funding is currently being cobbled together. The development of the computer-
aided dispatch system concurrent with the records management system would be more
cost-effective than one being created and then, the other. Issues can be addressed in the
development concurrently.
If the operating surcharge is used to cover the operating and / or capital needs cited above, it
further exacerbates the dispatch parity issue. In addition the development of a new computer-
aided dispatch system through the use of the operating surcharge would benefit not only dispatch
centers in the County but those outside the County as well. Essentially, the Oakland County
taxpayers will further cover a disproportionate amount of the CLEMIS costs while other counties
in the region pay nothing towards CLEMIS operations and capital programs.
A limitation on the use of the operating surcharge, however, is that it needs to be used solely for
the ability to communicate E-9-1-1 activities. Substantial discussions are underway on this very
topic as it appears that other counties are using these surcharge funds for purposes outside the
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written definitions provided by the State. A legal review has been requested from Corporation
0-einsel and a meeting will be held with the MSP to clarify the uses of operating surcharge.
A December 2009 cash how memorandum was prepared concerning the status of the Radio
Communications Fund. The projected cash balance as of September 30, 2011 (based on the
continued $.18I opereting surcharge line) is SS.5 million. The proposed uses for this resource,
which would adversely impact the disparity issue, would be to complete the development of the
computer-aided dispatch center software and replace the related central equipment. A second
use would be to start a replacement reserve of $3.0 million as of September 30. 2011 so that
there is some funding already in place for the replacement of future equipment needs. The
remaining cash of roughly S2.0 million reflects a nominal reserve for a contingency fund that no
longer exists in the construction component of the capital program the original contingency is
uone
Given the potential use or the telephone operation surcharge for additional costs currently borne
by the CLEMIS Fund, it may be feasible to have the Radio Communications Fund reimburse the
CLEM'S Fund for these as yet to be determined costs. However, along with the development of
the computer-aided dispatch system, this would also exacerbate the "dispatch parity" issue.
ISSUES TO RESOLVE — CLEMIS
The CLEMIS fiscal issues can be resolved only through: increase revenues, reduced costs and /
or in the reform of services. No other course of action to solve the decline in CLEMiS cash,
working capital and equity exists in the short-term or longer term. Many of the costs being.
incurred by CLE MIS are largely fixed in the short-term and the elimination or applications
already in existence would not necessarily eliminate personnel, depending upon the application.
A review needs to be conducted to eliminate any costs remaining that can be eliminated without
significantly affecting the CLEMIS primary operations.
CLEMIS must be restored to solvency with an operating and capital plan. OakVideo's operating
costs and replacement needs must also be funded. The "dispatch parity" issue must be resolved.
Proper consideration of who is covering the current costs of the CLEMIS operations must also be
considered as well in order to nut further exacerbate the issue.
The following assumptions have been made — all such projections are the minimum needed to
return CLEM'S to a modicum of financial stability:
• The unreserved equity of CLEMIS should be DO less than $2.0 million in order to provide
orderly cash flow and support for operations. This level of equity does not address the
capital needs of replacing the centralized equipment. As of September 30, 2009, the
equity is $1.2 million, Over the next three years, the equity must be increased. On an
annual basis, this would mean the CLEMIS Fund revenues must exceed expenses
(excluding depreciation) by roughly $300,000 annually starting in 2010, even as the
revenues for the e-commerce activities are still unfavorable. A better revenue target
would be between $500,000 and $750,000 — either in new revenues or reduction of
services, or a combination of both.
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• In addition to the above, a reserve should be developed to cover the anticipated future
needs associated with the capital needs of CLEMIS for the centralized equipment. While
a capital plan has yet to be produced, clearly it is needed. For discussion purposes and
pending the completion of a formal capital plan by CLEMIS staff, roughly $250,000
annually is needed (N.vhieh would be well below the roughly $2.6 million in depreciation
being incurred by the CLEWS Fund). The amount needed to cover the central
equipment needs in the future is being clouded a bit by the tota inclusion of all
equipment costs and related depreciation for equipment now being funded out of local
resources (mobile data computers, for example). Fortunately, much of the central
equipment at CLEM'S is relatively new and should last for several years to come,
• The Oak Video operating needs are estimated at S400,000 annually and are presenCy
outside the CLEMIS Fund operations. A formal capital program to replace the
equipment should be prepared as %TU. For discussion purposes herein, an amount of
$400,000 annually would be required. The operating support must corne from either the
County's General Fund or a fee for service approach. The local return on the law
enforcement time avoided is substantial,
• The funding for the full replacement of the records management system is needed.
Presently, there is roughly $1.6 million (two $517,000 contributions from LEAS! Oakland
County grants, plus a $500,000 Byrne grant and $78,000 from Washtenaw County
telephone operating surcharge for the computer-aided dispatch replacement) of the $3.5
million needed to complete the project. Roughly $1.0 million of fingerprint grants are
being attempted to be converted into a scope of work that would enable the funds to be
used by CLEMIS for the records management system replacement. The success of the
reallocation of these fingerprint funds is unknown. No source of funds is presently
available to complete the project. Worse, several recent Congressional representatives in
the region have signed a pledge to not ask for earmarks, a source of funding in prior years
for these type of needs.
• Li the records management system and computer-aided dispatch system cannot be
completed in the near-term, $761,000 will be needed to cover these costs as well startiuv,
in 2012.
The potential funding or other sources to cover the above follow:
• A study needs to be conducted to determine if there are costs that can be further reduced
from the CLEV1IS central operations that would serve to mitigate the fiscal issues. A
reduction of service levels will also mean a reduction of the quality of services presently
offered to CLEMIS members.
• Wayne, Macomb and Washtenaw Counties should provide operating support on behalf
of their respective law enforcement units in order to minimize the costs of those units in
a manner similar to Oakland County. In tact, if an equivalent amount of operating
support were provided, it would certainly resolve the operating and capital needs of
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• .
CLEM'S for quite some time. (liven these Counties lack of support for law enforcement
in the past on behalf of their law enforcement units, it is unlikely that they will providc
this support absent potentially a separate authority - see below.
As reflected in Exhibit C. a membership fee equivalent for the existing operations
allocated to all CLEM1S members would be roughly $540 per officer per year - using
the Oakiand County's current operating subsidy levels as a base. Frankly, the only
reason why the amount is not charged at this level is simple - Oakland County hiL
provided this benefit when other counties have not.
Increasing the Oakland County General Fund contribution is certainly possible, but
cannot be supported for several reasons:
First, other County departments are expected to reduce their operating costs for
2011 and beyond. An appropriation that effectively relieves non-Oakland
County entities from financial obligations for law enforcement services while
burdening non-public safety Oakland County operations (drain, treasurer, courts,
etc.) will create increasing difficulties in the County's ability to balance its
operating. budget in future years. It is not inconceivable that a successful
securing of an increased level of Oakland County General Fund support would
result in a hardening of positions on further operating reductions, resulting in
even further reductions in the coming years for those entities not compelled to
reduce their operations - either voluntarily or through Board of Commissioner
wiil.
o The County's 2010 and 2011 operating budgets have contemplated a 2.5% salary
reduct ion effective October 1, 2010 and another 2.5% salary reduction effective
October 1, 2011. Presently, all County employees have committed to this
reduction except for the deputies and the nurses. County administration has
issued a request for information to investigate the potential use of an outside
vendor for the nursing services. The deputies will be entering Act 312 shortly.
There arc no formal commitments by any unionized personnel to provide the
October t, 2011 reduction.
• The -dispatch parity .' issue needs to be solved by virtue of an increase in tees for those
local units of government using the computer-aided dispatch system. CLEMIS staff has
estimated that a parity fee increase would approximate $617,000 in new revenues.
• The operating and capital needs funding for the Oak Video system, which supports only
Oakland County communities, could either come from a general appropriation from the
County's General Fund or fees imposed on local users,
• The eligible costs associated with E-9-1-1 operations presently included in the CLEN ,IIS
Fund that could be charged to the Radio Communications Fund could be identified and
billed. These costs would be for Oakland County law enforcement agencies only. Th:-s
approach would exacerbate the "dispatch parity" issue and the amount expected to be
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secured from law enforcement agencies outside the County border would increase
accordingly.
Early discussions have indicated that the County's law enforcement agencies may want
to increase the telephone operating surcharge. All such changes in the operating
surcharge must be voted by the Oakland County Board of Commissioners. If the eligible
costs identified could include a portion of the capital program, such as for mobile data
computers, these sources of funds could replace local resources. In freeing up local
resources those dollars could then be incorporated in a CLEWS fee increase that would
serve to mitigate CLEMIS's fiscal needs — to the extent eligible under State statutes.
This proposal, however, would mean a higher operating surcharge for the approach in a
time when the economy is struggling and exacerbate the "dispatch parity' issue.
• A general fee increase on law enforcement agencies in and outside the County's border
could be imposed as well.
• CLEM'S is presently under the County's hiring freeze and inability to launch major
unapproved software and other capital programs without approval from the Oakland
County Budget Task Force. Future attribution might solve a portion of the fiscal issues
but cannot be presently be relied upon as this is an unknown and not quantifiable.
• Any other suggestions that might increase revenues and / or reduce expenses of
CLEM1S.
Given the present lengthy time that has been required to solve the business issues relating to
CLEM'S (which at this writing are still unresolved), the mid-1990s agreement passed by the
Oakland County Board of Commissioners Deeds to be revisited and formalized in a services level
agreement to avoid future fiscal issues.
Alternatively, another consideration could be undertaken to formally create a regional authority
that supports the CLEMIS function. In doing so, it provides a higher potential for Wayne,
Macomb and Washtenaw Counties to financially participate. It would also provide a more
representative governance structure, although to date this has yet to be a problem in any formal
votes of the CLEMIS Advisory Board. The launch of a potential regional authority could be
preceded by a law enforcement summit to address the increasing release of felons by the State at
a time when sworn police officers are declining. A more robust usc of CLEM'S as an efficient
tool could assist in mitigating the potential decline in quality of life in the region.
18
24
EXHIBIT A
CLEM'S SERVICES PROVIDED TO MEMBERS BY AGENCY
OAKLAND COUNTY, MICHIGAN
March 29, 2010
CONTENT: The content of Exhibit A is a listing by agency (police, fire, EMS, hospital,
court, etc.) of the services received through CLEM1S operations.
25
CLEM IS
Inquiry
Only MOCs
1
1
I I 1
1
1
CAD RMS
1 I 1
11
—Palen
Fingerprint'
Llvescan WehLEIN CrirnelMS CrimoWsich
CalrYideo I PSAF
nd —
T —
Equipment FRMS a 811 Radio Mugshota
1
1 1 1
1
1
1
1 1
1
1
1
1
1
1
1
1 ii 1
1
1
CLEWS Support of Police and Fire
OAKLAND COUNTY INFORMATION TECHNOLOGY
March 19, 2010
Department A.gency Name
Oakland County Police & Fire
b
2 Auburn Hills Fire
3 Auburn Hills Greal elves Crossing FD
4 Be rk1ey DPS _
5 Beveri
Auuroy.hitlis FD
HD's DPS
610irmingt3.rn PD
7 EtIrmingharn Fire
Ft Bloomfield Hills [)PS
9 Bloomfield Tono„pD
10 Bloomfield Twp Fire
11 Clarkston PD
12 Clawson. PD
13 Clawson Fire
14 Fermi . on DPS
15 Fern !ion PD
16 Farmington Hills Fxe
17 FerndeJe PC
18 Ferndale Fire
19 Frankhn PD
20 Groveierhd Two Fire
21 Hazel Perk PD
22 Hazel Park Fire
23 Holly Village PO
24 Holl Village Fire
25 Hurt' . Oil Woods DPS
25 K.: • Harbor PC
27 Lake • -WS PO
28 Lake Orlon %Allege PD
29 LathrU. Villa PD
39 Lathru. Valate Fire
31 Lail!) • VIII.. EMS
32 Madison He ihis PD
33 Madison He.ats Fire
34 Milford Waif! PO
35 fylitiord T Fire
35 Florth Oakland Fire Authority
37 Northville RD
38 Northville Fire
39 Novi In)
40 Novi Fire
41 Oak Park CPS
42 Oeidend Coinritsik Collar
43 Oakland County Sheriff
Daldand Count Sheriff SuOstations:
44 kddison Two
45 Addison Twk Fire
48 Brandon T
47 Brandon Tw. Fire
48 Commerce Tw • _ 49 Commerce Twp Fire
50 Hi! arrd T .
51 HI bland Tv.. Fire
52 tnd - - ndenoe Twp
53 trite endence Twp Fire
Page 1 of 5
Oak Video
rimeWatch Equipment
OCSD 1
OCSD
OCSU
OCSO 1
OCSO
OCSD
OCSD
PSAP
ENNIS and 811 Radio
_
1
1
1
1 I L 1
1
1 I I I 1
1
1
1
1
CrimelMS
1
1 I I 1
1 I 1
1
1
1 1 I
MEM
Ntli
MEM
_ 1 1
1
1
1
1
1
1 I I 1 I 1 1
1
1
TIE
1
CLEMIS Support of Pollee and Fire
OAKLAND COUNTY INFORMATION TECHNOLOGY
March 19, 20t0
CLEWS
Palm
Inquiry
RMS I Only Mu2shots Livestan WebLEIN
1
Fingerprint
. _ 1 1
Department I Agency Narne
ron'twp
55 • .n 1w. Fire
56 1 eklarod TwE
57 le Aland 7w Fire
58 l• non Tw
59 IC. on Tw. Fite
60 Ile ford 7w.
81 le dard "Tw. Fire
62 1 octlester H7ls
631-0 al Oak Too
64 al Oak Ip Fire
66
67
68
69
70
71
72 Pontiac Fire
73 Rochester Pt)
74 Rochester Fire
75 Rochester Hills Fire
76 Royal Oak PD
77 Royal Oak Fire
78 South Lyon PD
79 .auth Lyon Fire
:oudifield PD
81 .outhileld Fire
82 1-ifieltS EMS
83 -Oven Lake PD
84 H-City Fire
85 roy PD _
rFire_
87 ailed Lake PO
88 aired Lake Fire
89 aterfri-r; -fwp PC
90 stet-ford Tkvp Fite
91 eat Bloomfield Twr...
921 et Bloomfield Twp Fire
93 White Lake TWO PD
94 hte Lakel-wp Fire
95 mom PO
96 lxorn Fire
97 olverine Lake PD
utsIde Oaklaad County Police & Fire
98 PD
PP • ellevile Fire
100 antan Twp DPs
101 union Tvip Fire
102 enter Lone DPS
103 Iiron Twp.,PD
104 atom PD
/05 iamb= Fire
108 • etarburn Hetylita PO
107 1.earborr He9ht5 Fire
Pontiac PD
65 Springfield Tw , Springfield Twp 1 I 1
Springfield Twp Fire ( t
Oak.and University PD 1 1
Orchard Lake Vilage PD 1 1 1
Oxford Village PD ._____ _ _ .,_ _.: j I I
Plea-s-a-ri Ridge iiiD - I 1 _, 1
Pontiac PD 1 ' 1
l'ege 2 of 5
CLEMIS Support of Police and Fire
OAKLAND COUNTY INFORMATION TECHNOLOGY
Marsh 19, 710
_ .. ' a
Inquiry Fingerprint OakMao PSAP Department 1 Agency Name MDcs CAD FIMS Oh M -sots Livescan WebLE1N CrinielMS CrirnaWatch E-u • mant FRMS and 911 Radio 08 Dearborn Heithts EMS I IMMI 09 Eestpoinie PD
El
0 Fenton PD
1 Fenton Hre
2 Fraser DPS 1 ___ . - 3 Fraser Fire 1
T i
I .._ . 4 Fraser EMS MEI 5 Gatlen City PD 1 1 =En= 1 •1
8 't,-;rden City Fire ._ 7 osse Poirte City APS 'MIR . _ .... 8 rosse Pointe Farms IDPS 1 IR,1 1 1 1 . 9 fOBSB Pointe Park DPS I IN 1II 1 . - 20 roses Poinle Woods DPS 1
21 arntraryck PA 'MIMI i MI t 1
.
22 a r Woods PO 1 I 1
23 a • er Woods Fire _________ 24 aster P0 ------I__
25 okstar Fire
126 Overlie' PO I 1 1 1
.23 ,..tacemb County Sheriff.
1
IN ,._ Armada PO
27 Livonia Fire 1 III
130 Armada Torp Fite
131 Armada EMS 1321 Two
33 ruce Twpflre 1E11 11111 ___.
34 giti%on Twp
35 aryl son Tern Fire
38 lenox Twe
37 lenoa Fire RE r _ _ r - - —
30 acamb Tw •
40 1 acomb Tw. Fire
41 lir Oskar EMS
1111 ll . . _
3 a i enox EMS-- POINIIIIIIIII
4211 -am his Fre
43 I'• ay Two MIMI It
49 Rielatord rwp = 1=1.11MI
-
...--.. ....-A--- .. 46. Richmond Twp Fire
44 R Two Fine 1.111.1.=IIII
• 471 Washington TwR PC
441 Waste nir n Ty/. Fire.
49 New Haven PD M111.11.1111 E VVVVV •V E _,.... i CI New Haven Fore =moms _
i I Ncolifi-Thi. Twp PO
2 Northve II Tw • PO
3 NorChyil Tor. Fire 1•1n1111111EM PI mo . CittpD
5 Iii= ra2 PA immillill•i•IN I 8 1=1:g Twr Fire
I
_
2 Saint IT-S-horeE EMS
1 MEM 1 IMIll MIMI=
7 Richrnoll PD , IIIIEIIIIIII a Roseyil , PO'
Rosevil I!. Fire
0 r Shores PD , INNIS
I Saint x Shores Fire MI= MI
WWI
1
r
MI=1 MAN In1 J____
Page 3 of 6
CAD
1
1
1
1
1
1
1
1
1
1
1
1
1
1
MDCs
1
1
1
1
CrimelMS I CrimeWatch
1
OakVidim I PSAP I
E mini FR/AS and 911 I Radio
1
1
CLEM'S Support of Police and Fire
OAKLAND COUNTY INFORMATION TECHNOLOGY
March 19. 2010
L EMS
[
Department / Agency Name
163 Saline PD
164 Shelby Twp PC
165 Shelby lv....p Fire
166 Sterling Heights PD
167 Sterling.Heights Fire
168 Itylur PD
159 Utica PD
171) Utica Fire
171 Van Buren Twp DPS
17 .n an Duren Twp Fire
11 • Warren PD _
17. Warren Fire
17' Washtenew Emergency Managemenl.
17;1 Wastrteraw Count Sheriff
17 Ann Arbor PD
174 Ann Artor FD
171 Chelsea PD
181 Chelse.a Fire
181Eastern Michigan University PD
181 Milan PD
18 Milan Fire
18 Northfield Two PD
18 Pittsfield Tvv p DPS
18 Pittsfield Twp Fire
18 Saline PD
18 Saline Fife
18 Ypsilanti PD
19 Ypsilanti Fire
19 We County Airport Authority
19 Wayne County Airport Fire
19 ayno PD
19 ayne Fire
195 Westland PD
196 'Westland Fire
Other Agencies
1D7 8th Circun Court - CIS Judicial Admii-:
i1 . 3rd District Court - F erndiVe
1.. 43rd Districd Court - Hazel Park
2 0 43rd Districd Court - Madison Heights
2 1 44th Distrid Court .• Royal Oak
2 4513 DistriCt Court - Oak Park
2. 3 46th District Court - Soti-ifTeld- --- — ' ---
2 47th i District C owl - F armington Hills
2 5145th Cistrid. Coirrt • Dloorffold Hills
2 6513th Districl Court - F'orrirec
2 T S151Drstrict Court - Waterford
2 5 52/1 rbisirict Coort Novi
209 5212 District Court - Clarkston —
210 52'3 District Cowl Rod-rester
211 5214 District Cowl - Tr.
212 FBI
213 Huron-Clinton Metia Parks
214 Hudson Mills Delhi
2151 Hudson Mills Dexter Huron --
21d Hudson Mills Metro Park
RMS Only Mtngshots Livescan bLEIN
1
Inquiry
---
Fingerprint
1
1
1
1
1...
Page 4 of
105 195 122 18 92 80 124 91 12 88 35 29 91
18 19 1 0 1 2 5 2
CLEMIS Support of Polka and Fire
OAKLAND COUNTY INFORMATION TECHNOLOGY
March 19, 2010
CLEWS
217
218
219
220
221
222
223
224
225
220
227
228
729
230
231
232
233
234
235
236
7.37
_ atm
inquiry Fingerprint Oak Video PSAP I Deertment 'Agency Name MOCe CAD RIMS Oni Ma. shots L lyres* n Web LEIN C rimelMS CrIr.sWatch EquIrnen1 _ FIRMS and 81-I Radio ' enslnoton Huron Meadows =M 1 1 Kew • Ion Indian S • ri • a 1111=0111111w. 1 Kensi •Ion Metro Park Mill 1 1
Lower Huron Moho Park I 1
Lower Huron Lake Erie Mjn 1
Lowe' Huron Oakwoods Mil Il 1
Lower Huron Willow =IMIIIIIIIMMMAIIII I Metro Beach Metro Park Mill111.111. 1 E Ston Creek Metro Park ME Stony Creek Wolcott Mills MSP Post ff 21 Metro North Oak Pad( 11111 III M msp Post # 27 Groveland I-loll
CC Animal Control 1
Mil CC Children's Village IIMEI=1 1 1
0C CL 'I EWS 1 =1/. 1 1 1 1 _
0C Conwiurnity Corrections =[= 1 OC Fr f tiend ohe Court {Werrants EMI.M 1 1' _
OC Probate - Juvenile ntake - FO Judicial =MEM= 1 OC Prosecutor 1 1 QC Reimburseme-ri .
' OO Risk Management MIMI ORIMMIIMINIMIll
These agencies used the following systems through 2009 .
Livingston Central Dispatch: 1
Livingston County Sheriti 1 1
Livingston County Ambulance 1
i IvIvrtOn EMS —._—, &ASP #12 Brighton
Argentine Twp Fee
Brighton PD
Brighlon Area Fire 1
Fowlervil le PO 1 1 .
Fowierville Area Fire 1 1
Green Oak PI") PrI 1 1
Green Oak Twc_Fire I 1
_ HamtpurR Tw2 Pb 1 1
Hamburg Twp ! ire 1 1 ----,----- Harliand Area Fire 1
Howell PD 1 1 1
11bweH Area File 1
Pinckney PD 1
Putnam Twp Fire 1
Lined illa Twp PD 1 1
Unadilla Two Fire .
Revised 311912010
Page 5 of 5
EXHIBIT B
CLEMIS OPERATING FUND REDUCTIONS IN CASH, WORKING
CAPITAL AND FUND EQUITY AND OAKLAND COUNTY
GENERAL FUND OPERATING SUBSIDIES
OAKLAND COUNTY, MICHIGAN
March 29. 2010
CONTENT: Exhibit B provides information concerning:
• Cash, working capital and fund equity reductions from September 30, 2004 through
September 30, 2009 as reflected in the County's audited financial statements,
• Operating subsidies from the Oakland County General Fund to the CLENIIS
Operating Fund for the 2004 through 2009 fiscal years.
31
CASH, WORKING CAPITAL AND FUND MP' rMIS OPERATING FUND B
OAKLAND COUNTY, MICHIGAN
Fiscal Years 2005 to 2009
CLEMIS Fund
Working NBV - Fixed
Cash Balance Capital Assets Designated
Total
Unreserved Equity
926,000
926,000
(710,680)
215,320
September 30, 2004
Increase / (Decrease)
September 30, 2005
Increase / (Decrease)
September 30, 2006
Increase / (Decrease)
September O, 7007
Increase / (Decrease)
September 30, 2008
Increase I (LoL..rease)
$ 3,794,323 $
(574,754)
3,219,569
(683,226)
2536,343
(573,777)
1,962,566
(1,214,578)
747,988
(346,687)
4,113,237 $ 8,022,165 $
(422,277) 4,949,453
3,690,960 12,971,618
(563,631) (3,634,965)
3,127,329 9,336,653
(641,325) (623,634)
2,486,004 8,713,019
(901,324) (841,109)
1,584,680 7,871,910
(166,332) 2,613,504
$ 4,113,237 $ 12,135,402
(422,277) 4,527,176
3,690,960 16,662,578
(563,631) (4,198,596)
3,127,329 12,463,982
(1,567,325) (1,264,959)
1,560,004 11,199,023
(190,645) (1,742,434)
1,369,359 9,456,589
(166,330) 2,447,174
September 30, 2009 $ 401,301 $ 1,418,348 $ 10,485,414 $ 215,320 $ 1,203,029 $ 11,903,763
NOTE - working capital is all current assets (cash, receivables, inventories, prepaid expenses, etc.) less current liabilities (al!
amounts payable at year end). The net book value (NBV) of fixed assets represents the amount in equity applicable to the
undepreciateci cost of fixed assets (equipment, software, etc.) and is not available to fund normal CLEM'S operations.
The designated amount was provided by Oakland County's General Fund largely through a $780,000 General Fund
contribution (Board Resolution MR 404246) where $780,000 was transferred into CLEMIS to replace obsolete
fingerprint equipment. The designation was first segregated out from the unreserved equity at the end of fiscal 2007.
At September 30, 2009, $215,320 of designated General Fund contributions remain unexpended.
OAKLAND COUNTY GENERAL FUND OPERATING SUBSIDIES TO THE CLE MIS OPERATING FUND EXHIBIT B
OAKLAND COUNTY, MICHIGAN
Fiscal Years 2004 to 2009
Fiscal Year Operating Call-Taking Radio Fingerprint Unit
Contributions Subsidy Maintenance Communications Replacement Other Total
2004 $ 1,408,000 $ 169.000 $ $ 780,000 $ 643,363 $ 3,000,363
2005 1,444,000 172,500 50,000 49,900 1,716,400
2006 1,444,000 175,000 - 14,400 1,633,400
2007 1,444,000 175,000 - 14,400 1,633,400
2008 1,384,936 200,000 5,195 1,590,131
2009 1,389,117 200,000 1,589,117
Six Year Total $ 8,514,053 $ 691,500 $ 450,000 $ 780,000 $ 727,258 $ 11,162,811
NOTE - the maintenance costs for the call-taking equipment for dispatch centers in Oakland County for 2008 and 2009 were paid
by the Radio Communications Fund directly. The amounts transferred in from the County's General i.trid for 7004 through 2007
were approximately equal to the amounts paid by CLEMIS to local police departments in Oakland County and the Rochester Hills
Fire Department.
The 2004 amount, which included the $730,000 for fingerprint replacement, also included:
RMS professional services S 514,7117
CAD replacement oi computers 116,000
Other 12,616
643,363
The above excludes certain costs - such as OAKNIet, for example - paid by the County's General Fund on behalf of local units of
government in support of Cl E MIS.
EXHIBIT C
CLEMIS OPERATING FUND RATE ANALYSIS
OAKLAND COUNTY, MICIIIGAN
March 29, 2010
CONTENT: Exhibit C provides a per sworn officer equivalency based on the Oakland
County General Fund's operating subsidy for non-Oakland County CLEMIS members.
2,235
1,419
1.120
309
433
15
5.531
2.235
1,419
1.'20
309
433
15
5,531
5 2.134,044 $ 1.574,044 S ' .724661
2,235
1,419
1.120
309
433
/5
5,531
Net CIM'S Costs :0 be S.'wed by ALL FTEs
CLEM!S FIE Covits:
Oakland
Ware
Ma;ome
Lyingsten
wasntenaw
Genesee
Totai CJEPol.S FTEs
Cost Per 5TE without Subsidies (does not Include OakNet and OakYldeo) S 311.82 284.59 $ 385.83 $
Out County FTEs
,419
1,720
309
453
15
3.296
0-it Cour ty
Arra per FTE Amax,:
540.58 5 757.083.02
540.58 $
54056 $ '57,039.22
540.53 $ 234,071.14
540.58 $ 8.108.70
$ 1.781,751.58
Other County Proposed Subsidy Equal to Oakland County Subsidy:
Ware
macom5
Lvingston
Washtenaw
Genesee
901.520 $
400.000
300.1100
1.661,520 5
96'.520
400.000
300,000
1.661.520
061,520 $
400,000
30C 000
1,66' .520 5
2,235
Addilional Oakland County CLEM'S Members Only Costs per FTE S 743.41 $
Oakland County FTEs 2,235 2.235
743.41 743 41 5
CLEMIS FUND RATE ANALYSIS
DRAFT 03/2412010
i".;LEMIS Fun'. ...:..!-ect Ex;.)erisos FY 2010 FY 2011 FY 2012 _
E a anes S 1,555,114 5 1,559.114 S
Frinces 835,445 938,445 838 445
ComrazI.Ja. 5i:.:r-yq.e.s 2,908,250 2,773,250 3,3411.867
CommaO :.es 0,750 6150 6.750
Deproc.cat.ur. - - .
Into:nal Serwices 900,000 900,000 000.000
Trars'ers Du: -
—$ 6.212_559 5
-
Tote: CLEMIS Fnri DireC1 ExpensuS 6,077,55. $ 0,3E3.176 ---------
Less Othc.!- Pever%e e..ourr.t.;s pia; ,-,..,...ir. be ,..sud -,0 ofiso; rat e5 (nut including Oakland County General Fund Subsidy):
T-Er..sers .r1 - Redo (200,000) (200,000) 203.300;
CALI Support - Radio (350,000) {350,000) (350.0W
a.Car Te77.in@l External (1,632,058) (1,532,068) (1,532,0661
in-Car Tenr.-.Ir.al InternaL (69,677) 1169,67?) (159,677;
Maintenance ContraL-ts (420,000) (420,000) (420,000)
CLEM!S Craan ret from CLEMIS Aerniri cr. FY 2010) (350.000) (600,000) (730.000)
CLEMIS C.:_tution lest from Cl, EMIS Adm.r. for FY 2010} (100,000) (275.000) (300,3001
Rebilec Ch.ages (Connectivity cnarges 10 Tier 2.55 3.01 (127,000) (127,000) ( ' 27,000)
Site Mcnitorirg :Tie, 2.5 & 3_3) (76,800) (76,800) (76,800)
CLEM'S Deveicprrent Billirg (229,000) (229,000) (225,00C)
CLES1S Fee .`.cr r.,-m-dontrib,Irg aprdies (Note 1) (214,070) (214,070) (274,07C)
hvesirrent Irccrre (0,900) (9,900) 9,90C)
Tata. Otner Revenue Sources $ (4.078,515) $ 4,503,5151 $ (4 578,55)
Oakland County Subsidy for Oakland County FTE Counts:
Oakianci County General Fund Subsidy
Oakland County TE Count
Oaklar.0 County SubSfey Per Oakland County FTE
1,208.186 $ !,2C8.186 $ 1,208,156
2,236 2.235 2,235
540,58 5 540.58 5 540 58
—,
Additional Oakland County CLEM'S Members Only Costs:
Oak Net Ope,ating (Note 2 - s!riould this be s'ared by ALL or just OAKLAND COUNTY?) $
OaxVideo Operating
:02,(Vdeo Capital
Total Caland County CLEM'S Members Only Costs S
Notes:
1 - Non-Contributing agencies include district courts ard Oak!end County 0epertmen(s other than Sheriff (ie Prosecutors, Chiierens Village, FOC, etc).
2 • Annual OakNet Operatina Costs in IT Fund Budget is $1,717,1300. local number of OakNet sites is 216 with 'law enforcemer.1 sites of 120.5; or roughly 56%
51,717.000 '56% = 951.520. Need to conIrrn shared sites and discuss how silos were used to determine CLEMIS %.
35
Resolution #10076
Moved by Middleton supported by Potter the resolution he adopted.
Discussion followed.
April 22,2010
AYES: Capello, Coleman, Coulter, Douglas, Gershenson. Gingell, Greirnel, Hatchett, Jackson,
Jacobsen, Long, McGillivray, Middleton, Nash, Potter, Potts, Runestad, Schwartz, Scott, Taub,
Woodward, Zack, Bullard, Burns. (24)
NAYS: Gosselin. (1)
A sufficient majority having voted in favor, the resolution was adopted.
HEREBY APPROVE THE FOREGOING RESOLL:
ACTING PURSUANT TO 1973 PA 139
STATE OF MICHIGAN)
COUNTY OF OAKLAND)
1, Ruth Johnson, Clerk of the County of Oakland, do hereby certify that the foregoing resolution is a true
and accurate copy of a resolution adopted by the Oakland County Board of Commissioners on April 22,
2010, with the original record thereof now remaining in my office.
In Testimony Whereof, I have hereunto set my hand and affixed the seal of the County of Oakland at
Pontiac, Michigan this 22nd day of April, 2010.
Gat
Ruth Johnson, County Clerk