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FISCAL NOTE (Misc. 92258)
BY: FINANCE COMMITTEE, DR. G. WILLIAM CADDELL, CHAIRPERSON
IN RE: COURTS - STATE FINANCING OF COURTS CLASS ACTION LAWSUIT,
MISCELLANEOUS RESOLUTION # 92258
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Mr. Chairperson, Ladies and Gentlemen:
Pursuant to Rule XI-G of this Board, the Finance Committee has
reviewed Miscellaneous Resolution #92258 and finds:
1. The cost to participate in the second legal effort is
$15,411.42.
2. The Board of Commissioners 1992-1993 Adopted Budget
contains funding for such legal expenses.
FINANCE COMMITTEE
0 November 5, 19 r)2
MISCELLANEOUS RESOLUTION #92258
BY: Public Services Committee, John McCulloch, Chairperson
IN RE: Courts - State Financing of Courts Class Action Lawsuit
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Chairperson, Ladies and Gentlemen:
WHEREAS the firm of Clary, Nantz, Wood, Hoffius, Rankin & Cooper has filed
a class action lawsuit on behalf of all units of local government currently
required to fund Circuit, Probate and District Courts; and
WHEREAS this lawsuit was filed to force the State of Michigan to: (I)
Reimburse 80% of court expenses for 1986 and 1987, and 100% thereafter, as
required by P.A. 438 of 1980; (II) Require the State of Michigan to finance all
court expenses as required by the constitutional reference to the one State Court
of Justice; (III) Force the State to adopt or promulgate an enforceable system for
the annual auditing and accounting of judicial expenditures, at State expense; and
WHEREAS the Court of Claims certified the class action and, each identified
unit of government in the class had the opportunity to request exclusion there
from; and
WHEREAS Oakland County, on MR 89182, dated July 20, 1989, exercised their
"Request for Exclusion"; and
WHEREAS Judge Giddings of the Court of Claims has ruled in favor of the
plaintiff class in regard to Count I, which involves reimbursement for court
expenses, and has ruled for the defendants on Counts II and III; and
WHEREAS both parties intend to appeal this decision to a higher court; and
WHEREAS the Class Steering Committee, through their present attorneys, Law,
Weathers and Richardson, have filed a claim on behalf of the non-participating
communities to protect their interests, effective with 1991 expenditures; and
WHEREAS the committee is offering these non-participating units of government
an opportunity to join in this second effort to present, pursue and preserve their
damage entitlements; and
WHEREAS the successful outcome of this lawsuit could result in financial
relief favorable to Oakland County despite the threat of revision to the formula
for distribution of funds under Article IX Section 30 of the constitution; and
WHEREAS the courts, in answer to previous litigation, have exempted court
employees from local government control and have removed all courts from any
obligation to comply with the uniform budget and accounting laws and the courts
have generally ruled in their own favor in other "superintending control"
challenges thus nullifying any semblance of local control; and
WHEREAS a mandate for state funding of all courts would permanently resolve
the District Court financing inequities in Oakland County.
NOW THEREFORE BE IT RESOLVED that the Oakland County Board of Commissioners
wishes that Oakland County remain a participant in the second legal effort and
authorizes the chairperson of the Board to so notify the Class Steering Committee
through their attorneys, Law, Weather and Richardson.
On behalf of the Public Services Committee, I move the adoption of the
foregoing resolution.
PUBLIC SERVICES COMMITTEE
#92258 November 19, 1992
The Chairperson referred the resolution to the Finance Committee. There were
no objections.