HomeMy WebLinkAboutResolutions - 1993.11.18 - 23304MISCELLANEOUS RESOLUTION #93215 October 7, 1993
BY: General Government Committee
IN RE: Clerk/Register of Deeds - Optical Scan Voting System
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Chairperson, Ladies and Gentlemen:
WHEREAS for the past 18 months the Oakland County Clerk's
Office, in conjunction with the County's Municipal and Township
Clerks, has been investigating alternative voting systems for use
in Oakland County's 545 polling precincts; and
WHEREAS four types of voting systems are presently used in
Oakland County; optical scan, punch card, paper ballot and
automatic voting machines (AVM), these systems obligating the
County to the printing of four types of ballots; optical scan,
punch card, paper ballot and machine; and
WHEREAS the punch card and AVM systems 1) are comprised of
older equipment, much of which is obsolete, and requires ever-
increasing maintenance, 2) often aid in causing longer lines at
polling precincts due to their drag on the voting process by
decreasing throughput speed, and 3) inevitably result in slower
ballot tabulation largely due to spoiled ballots because of over
voting; and
WHEREAS upon completion of its investigation, the Clerk's
Office has concluded that the optical scan system will provide
immediate efficiency and economic benefits through creation of a
faster voting process, increased accuracy, voter friendliness and
standardization of equipment and voting system across the County's
polling precincts; and
WHEREAS local units of government are responsible for the
acquisition and provision of voting systems pursuant to Michigan
law and that the capital expenditures necessary to sufficiently
provide each local unit with the equipment necessary to establish
a County-wide standardized optical scan voting system may be
burdensome to some of the local governmental units; and
WHEREAS the Oakland County Treasurer, as agent for the
Delinquent Tax Revolving Fund (DTRF) has determined that funds are
available for loan to the Oakland County Clerk/Register's Office,
thus providing a mechanism to effect the lease-purchase of the
necessary optical scan voting system equipment by the local units
of government; and
WHEREAS the local units of government may lease the optical
scan voting system equipment from the Clerk/Register's Office in
accordance with the attached lease agreement.
NOW THEREFORE BE IT RESOLVED that Oakland County Board of
Commissioners recommends that each local unit of government approve
the optical scan voting system and lease the associated equipment
necessary to sufficiently provide for their respective polling
precincts.
BE IT FURTHER RESOLVED that Oakland County provide an amount
not to exceed $2,000,000 from the DTRF, in compliance with the
terms and conditions specified in Miscellaneous Resolution #89276,
from which the Clerk/Register's Office may borrow the necessary
monies to acquire optical scan voting system equipment for the
purpose of leasing same to the local units of government.
BE IT FURTHER RESOLVED that the $2,000,000 from the DTRF is to
be paid back by each community in annual principal and interest
payments not to exceed six years.
BE IT FURTHER RESOLVED that no monies will be spent or
committed except as each community commits to said lease-back
agreement.
BE IT FURTHER RESOLVED that this borrowing agreement shall not
exceed six years.
BE IT FURTHER RESOLVED that the Chairperson of the Board of
Commissioners and the County Treasurer, as agent of the DTFR, are
authorized to execute the attached Borrowing Agreement.
BE IT FURTHER RESOLVED that the Chairperson of the Board of
Commissioners and the County Clerk are authorized to execute the
attached lease-purchase agreement with the local units of
government.
On behalf of the General Government Committee, I move the
adoption of the foregoing resolution.
GENERAL GOVERNMENT COMMITTEE
REVOLVING FUND BORROWING AGREEMENT
WHEREAS, the Clerk/Register of Deeds is desirous of
persuading local units to participate in a Lease/Purchase
borrowing program for the purpose of purchasing optical scan
voting system equipment, and,
WHEREAS, the Delinquent Tax Revolving Fund Agent has
determined sufficient monies are available to loan the County
Clerk/Register of Deeds for this purpose,
THEREFORE, in consideration of agreements setforth below it
is hereby agreed by and between the parties as follows:
The County will borrow the principal sum not to
exceed $2,000,000 from the Delinquent Tax
Revolving Fund to be paid back in annual
principal and interest payments not to exceed six
(6) years. Said payments shall be billed
annually each December 1st. Interest on each
payment will be based on the average monthly rate
paid during the term of this agreement by the
agent of the Delinquent Tax Revolving Fund for
that years outstanding borrowing. (Schedule of
payments attached).
It is further agreed that the County may pay off
all or part of the loan at any time plus accrued
interest without penalty.
Agent for Revolving Fund Chairman, Board of Commissioners
ELECTIONS SYSTEMS
LEASE PURCHASE AGREEMENT
This LEASE PURCHASE AGREEMENT (hereinafter, AGREEMENT) is made between the County
of Oakland, (hereinafter, COUNTY), a Michigan Constitutional Corporation, and the City/Village/Township
of (hereinafter, LESSEE).
1 . Lease of Equipment. The COUNTY leases to LESSEE, the Equipment described in
Exhibit "A" as attached hereto, in accordance with the terms of this AGREEMENT.
2. Term and Termination.
(a) The term of this AGREEMENT shall commence on , 1993 and shall
continue in effect until 1999, unless terminated earlier pursuant to the terms of this
AGREEMENT.
(b) The COUNTY may, at its sole option, terminate this AGREEMENT effective
immediately if the LESSEE fails, within thirty (30) days after written notice thereof from the COUNTY, to
cure any breach of any of its covenants in this AGREEMENT.
3. Delivery and Acceptance. The COUNTY will cause the Equipment to be delivered to
LESSEE at the location specified in Exhibit "A", LESSEE will accept the Equipment as soon as it has
been delivered and is operational. LESSEE will evidence its acceptance of the Equipment by executing
and delivering to the COUNTY a Delivery and Acceptance Certificate in the form provided by the
COUNTY, which shall signify LESSEE'S acceptance of the Equipment for all purposes and LESSEE'S
certification to the COUNTY that the Equipment is fuiiy operational, complete, without apparent detect and
satisfactory for LESSEE'S intended use.
4. Lease Payments. LESSEE agrees to pay the COUNTY annually in advance beginning
on the Commencement date of this AGREEMENT, the sums as listed in Exhibit "B" entitled "Schedule of
Payments". The Lease payments will be payable without notice or demand at the office of the COUNTY.
The Lease payment is unconditional in all events and will not be subject to any set-off, defense,
counterclaims, or recoupment for any reason whatsoever, including without limitation, any failure of the
Equipment.
5. Disclaimer of Warranties. THE COUNTY HEREBY EXPRESSLY DISCLAIMS ANY
WARRANTIES OR REPRESENTATIONS, EXPRESS OR IMPLIED, OF MERCHANTABILITY OR
FITNESS FOR A PARTICULAR PURPOSE OTHER THAN THOSE PROVIDED BY BUSINESS RECORDS
CORPORATIONS, INC. THE COUNTY IS NOT LIABLE FOR ANY DIRECT, INDIRECT, INCIDENTAL
OR CONSEQUENTIAL DAMAGES ARISING IN CONNECTION WITH THE USE OF THE EQUIPMENT.
6. Repair and Maintenance. A five (5) year warranty is provided by BUSINESS RECORDS
CORPORATION. Thereafter, all necessary maintenance, repairs and replacement parts will be the
responsibility of LESSEE.
7. Destruction Of the Equipment. LESSEE assumes all risk of loss or damage to the
Equipment from any cause whatsoever. The total or partial destruction of the Equipment or total or partial
loss of use or possession thereof shall not release or relieve the LESSEE from the duty to pay the fees or
other amount set forth in this AGREEMENT.
8. Title to the Equipment. Title to the Equipment shall at all times remain in the COUNTY.
The Equipment is and shall remain the COUNTY'S personal property. LESSEE shall have the option to
purchase the leased Equipment for the sum of one ($1.00) dollar at the end of the term of this
AGREEMENT.
9. Assignments and Claims.
(a) LESSEE shall not assign any rights hereunder to any other person or corporation
without the prior written consent of the COUNTY; and
(b) Lessee shall comply with all laws, ordinances and regulations applicable to the
Equipment and the use thereof.
10. Indemnifica-iion. LESSEE agrees to indemnify and defend the COUNTY against, and
hold the COUNTY harmless from, any and all claims, actions, proceedings, expenses, damages or
liabilities, including attorney's fees and court costs, arising in connection with the Equipment, including,
but not limited to, its selections, purchase, delivery, possession, use, or operation.
11. Entire Agreement. This AGREEMENT constitutes the entire AGREEMENT between the
parties. LESSEE acknowledges that no representations or warranties have been made by the COUNTY
except as set forth herein. No modifications of this AGREEMENT shall be binding upon the parties unless
in writing and signed by the parties.
12. Construction. This AGREEMENT shall be construed in accordance with the laws of the
State of Michigan.
IN WITNESS WHEREOF, the City/Village/Township has signed this day of
1993, by , (Mayor, Manager, etc.) of the CityNillage/Township and the signing
is attested by , Clerk of the City/Village/Township.
LESSEE:
By:
of
COUNTY OF OAKLAND,
a Michigan Constitutional Corporation
WITNESSES:
By:
LARRY P. CRAKE,
Chairperson, Board of Commissioners
By:
LYNN D. ALLEN,
County Clerk
November 18, 1993
FISCAL NOTE (Misc. #93215)
BY: FINANCE COMMITTEE, JOHN P. MCCULLOCH, CHAIRPERSON
IN RE: CLERK/REGISTER OF DEEDS - OPTICAL SCAN VOTING SYSTEM,
MISCELLANEOUS RESOLUTION #93215
To the Oakland County Board of Commissioners
Chairperson, Ladies and Gentlemen:
Pursuant to Rule XI-G of this Board, the Finance Committee has
reviewed Miscellaneous Resolution #93215 and finds:
1) Conversion to an optical scan voting system would result
in savings to Oakland County in ballot costs and to local
municipalities in labor and postage costs. Non-monetary
benefits also would be realized, such as quicker election
results and shorter waiting lines at the polls.
2) Based on an analysis of the 1992 August primary and
November general elections, it is estimated that if all
municipalities converted to the optical scan voting
system, Oakland County would realize savings
approximating $300,000 per general election year. Over
the six-year period of the proposed lease/purchase
agreement, potential savings could approximate $900,000.
3) The actual ballot savings realized each general election
year depends on several variables: the number of
municipalities converting to optical scan, the number of
registered voters within each municipality, the type of
equipment that will be replaced, and the expected voter
turnout each year.
4) The County Executive Recommended Budget contains an
appropriation in 1994 of $800,000 for election supplies.
As municipalities convert to optical scan voting
machines, the election raapplies line item should be
reduced by an amount spec,..fied for each municipality as
detailed in the attached Schedule A, which is based on
the study of the 1992 ballot costs. These reductions
will be presented to the Finance Committee and the full
Board of Commissioners with the quarterly forecast
adjustments during 1994.
5) The Oakland County Clerk anticipates that there will be
no costs to Oakland County associated with converting to
an optical scan voting system.
6) Budget amendments are not recommended at this time,
however, a new fund (#26700) is authorized to account for
the municipal lease/purchase agreements and the
transactions with the Delinquent Tax Revolving Fund.
FINANCE COMMITTEE
POTENTIAL BALLOT SAVINGS FOR CONVERSION TO OPTICAL SCAN
ALLOCATED BY MUNICIPALITY
Primary General Total
Cities & Villages
Auburn Hills $1,101 $210
Berkley 2,014 2,516
Birmingham 4,146 301
Bloomfield Hills 905 78
Clarkston 1,048 1,028
Clawson 3,095 5,402
Farmington 2,065 327
Farmington hills 17,934 4,655
Ferndale 1,581 295
Hazel Park 2,014 1,160
Huntington Woods 2,025 126
Keego Harbor 325 199
Lake Angelus 418 384
Lathrup Village 750 76
Madison Heiohts 7,305 8,214
Northville 513 61
Novi 3,396 • 546
Oak Park 3,478 1,557
Orchard Lake 1,008 732
Pleasant Ridge 326 53
Pontiac 3 ,30 5 621
Rochester 4,.288 5,595
chester Hills 17,097 3,933
Royal Oak 12,507 4,110
South Lyon 1,209 1,272
Southfield 14,073 4,347
Sylvan Lake 659 379
Troy 8,523 2,157
Walled Lake 890 1,145
Wixom 670 119
Townships
$1,311
4,530
4,447
983
2,076
8,497
2,392
22,589
1,876
3,194
2,151
524
802
826
15,519
574
3,942
5,035
1,740
379
3,926
9,883
21,030
16,617
2,481
18,420
1,036
10,680
2,035
789
Addison Twp. 920 78 998
Bloomfield Twp. 29,031 22,470 51,501
Brandon Twp. 7,381 9,123 16,504
Commerce Twp. 4,601 1,677 6,276
Groveland Twp. 1,791 3,226 5,017
Highland Twp. 2,152 959 3,111
Holly Twp. 682 109 791
Independence Twp. 3,102 1,530 4,632
Lyon Twp. 722 120 842
Milford Twp. 3,369 773 4,142
Novi Twp. 116 158 274
Oakland Twp. 986 114 1,100
Orion Twp. 3,362 354 3,716
Oxford Twp. 1,942 173 2,115
Rose Twp. 545 73 618
Royal Oak Twp. 1,888 2,733 4,621
Southfield Twp. 3,507 275 3,782
Springfield Twp. 0 0 0
Waterford Twp. 11,445 3,748 15,193
West Bloomfield Twp. 0 0 0
White Lake Twp. 3,428 459 3,887
TOTAL $199,638 $99,770 $299,408
Prepared by Budget Division
,
ANALYSIS OF POTENTIAL BALLOT SAVINGS
CONVERSION TO OPTICAL SCAN VOTING .
Paper
Ballots
Voting Punch
Machine Cards Total
1992 AUGUST PRIMARY
Number of Votes
Ballot Costs
Optech Ballot Cost
Potential Savings
11,746 61,244 61,182 134,172
$56,723 $86,394 $125,633 $268,750
$6,050 $31,547 $31,515 $69,112
$50,673 $54,847 $94,118 $199,638
1992 NOVEMBER GENERAL
Number of Votes 37,493 214,424 262,225 514,142
Ballot Costs $78,070 $88,539 $130,442 $297,051
Optech Ballot Cost $14,386 $82,276 $100,618 $197,281
Potential Savings $63,684 $6,263 $29,824 $99,770
TOTAL POTENTIAL SAVINGS $114,356 $61,110 $123,942 $299,408
W:\LAUR\ELECDATA.WK1
AMENDED ELECTIONS SYSTEMS
LEASE PURCHASE AGREEMENT
This LEASE PURCHASE AGREEMENT (hereinafter, AGREEMENT) is made between the County
of Oakland, (hereinafter, COUNTY), a Michigan Constitutional Corporation, and the CityNillage/Township
of (hereinafter, LESSEE).
1. Lease of Equipment. The COUNTY leases to LESSEE, the 'Equipment described in
Exhibit "A" as attached hereto, in accordance with the terms of this AGREEMENT.
2, Term and Termination.
(a) The term of this AGREEMENT shall commence on _ , 1993 and shall
continue in effect until _, 1999, unless terminated earlier pursuant to the terms of this
AGREEMENT.
(b) The COUNTY may, at its sole option, terminate this AGREEMENT effective
immediately if the LESSEE fails, within thirty (30) days after written notice thereof from the COUNTY, to
cure any breach of any of its covenants in this AGREEMENT.
3. Delivery and Acceptance. The COUNTY will cause the Equipment to be delivered to
LESSEE at the location specified in Exhibit "A". LESSEE will accept the Equipment as soon as it has
been delivered and is operational. LESSEE will evidence its acceptance of the Equipment by executing
and delivering to the COUNTY a Delivery and Acceptance Certificate in the form provided by the
COUNTY, which shall signify LESSEE'S acceptance of the Equipment for all purposes and LESSEE'S
certification to the COUNTY that the Equipment is fully operational, complete, without apparent defect and
satisfactory for LESSEE'S intended use.
4. Lease Payments. LESSEE agrees to pay the COUNTY annually without notice or
demand. The Total Lease Purchase Price (principal) for the Leased Equipment as specified in Exhii ;it
"A", of $ , shall be payable in six (6) annual installments as set forth in Exhibit "B".
The first payment shall be interest only. The remaining installments shall consist of five (5) equal
payments of principal together with interest on the unpaid balance. The interest rate shall be equal to the
Delinquent Tax Revolving Fund average monthly rate paid on its outstanding borrowings or the six (6)
month Treasury Bill rate [determined as of the first (1st) of each month], whichever is higher. The interest
charge shall be computed on a 360 day per year basis. The principal may be prepaid in whole or in part
with accrued interest without penalties. The Lease payment is unconditional in all events and will not be
subject to any set—off, defense, counterclaims, or recoupment for any reason whatsoever, including without
limitation, any failure of the Equipment.
5. Disclaimer of Warranties. THE COUNTY HEREBY EXPRESSLY DISCLAIMS ANY
WARRANTIES OR REPRESENTATIONS, EXPRESS OR IMPLIED, OF MERCHANTABILITY OR
FITNESS FOR A PARTICULAR PURPOSE OTHER THAN THOSE PROVIDED BY BUSINESS RECORDS
CORPORATIONS, INC. THE COUNTY IS NOT LIABLE FOR ANY DIRECT, INDIRECT, INCIDENTAL
OR CONSEQUENTIAL DAMAGES ARISING IN CONNECTION WITH THE USE OF THE EQUIPMENT.
6. Repair and Maintenance. A six (6) year warranty is provided by BUSINESS RECORDS
CORPORATION. Thereafter, all necessary maintenance, repairs, replacement parts, and software
upgrades shall be the responsibility of LESSEE.
7. Destruction of the Equipment. LESSEE assumes all risk of loss or damage to the
Equipment from any cause whatsoever. The total or partial destruction of the Equipment or total or partial
loss of use or possession thereof shall not release or relieve the LESSEE from the duty to pay the fees or
other amount set forth in this AGREEMENT.
8. Title to the Equipment. Title to the Equipment shall at all times remain in the COUNTY.
The Equipment is and shall remain the COUNTY'S personal property. LESSEE shall have the option to
purchase the leased Equipment for the sum of one ($1.00) dollar at the end of the term of this
AGREEMENT.
9. Assignments and Claims.
(a) LESSEE shall not assign any rights hereunder to any other person or corporation
without the prior written consent of the COUNTY; and
(b) LESSEE shall comply with all laws, ordinances and regulations applicable to the
Equipment and the use thereof.
10. Indemnification. LESSEE agrees to indemnify and defend the COUNTY against, and
hold the COUNTY harmless from, any and all claims, actions, proceedings, expenses, damages or
liabilities, including attorney's fees and court costs, arising in connection with the Equipment, including,
but not limited to, its selections, purchase, delivery, possession, use, or operation.
11. Entire Agreement. This AGREEMENT constitutes the entire AGREEMENT between the
parties. LESSEE acknowledges that no representations or warranties have been made by the COUNTY
except as set forth herein. No modifications of this AGREEMENT shall be binding upon the parties unless
in writing and signed by the parties.
12. Construction. This AGREEMENT shall be construed in accordance with the laws of the
State of Michigan.
IN WITNESS WHEREOF, the CityNillage/Township has signed this day of
1993, by , (Mayor, Manager, etc.) of the CityNillagerf ownship and the signing
is attested by , Clerk of the CityNillagefrownship.
LESSEE.
By:
of
COUNTY OF OAKLAND,
WITNESSES: a Michigan Constitutional Corporation
By:'
LARRY P. CRAKE,
Chairperson, Board of Commissioners
By:
LYNN D. ALLEN,
County Clerk
DRAFT 11/5/93
Resolution #93215 November 18, 1993
Moved by Jensen supported by Law the resolution be adopted.
Discussion followed.
Moved by McCulloch supported by Palmer the resolution be amended in the
Lease Purchase Agreement in Sections 4 r:c1 6 as follows:
"4. Lease Payments. LES2L7,: agrees to pay the IUNTY annually
without notice or demand_ The Total Lease Purchase Price
(principal) for the Leased Equipment, as specified in Exhibit "A",
of $ , shall be payable in six (6) annual installments as
set forth in Exhibit "B". The first payment shall be interest only.
The remaining installments shall consist of five (5) equal payments
of principal together with interest on the unpaid balance. The
interest rate shall be equal to the Delinquent Tax Revolving Fund
average monthly rate paid on its outstanding borrowings or the six
(6) month Treasury Bill rate [determined as of the first (1st) of
each month], whichever is higher. The interest charge shall be
computed on a 360 day per year basis. The principal may be prepaid
in whole or in part with accrued interest without penalties. The
Lease payment is unconditional in all events and will not be subject
to any set-off, defense, counterclaims, or recoupment for any reason
whatsoever, including without limitation, any failure of the
Equipment."
"6. Repair and Maintenance. A six (6) year warranty is provided by
BUSINESS RECORDS CORPORATION. Thereafter, all necessary
maintenance, repairs, replacement parts, and software upgrades shall
be the responsibility of LESSEE."
A sufficient majority having voted therefor, the motion carried.
Discussion followed.
Moved by Law supported by Miltner the resolution be amended by clarifying
that it is the OPTECH optical scan voting system and should be noted as such
throughout the resolution.
The Chairperson stated a "YES" vote would specify "OPTECH" and a "NO" vote
would not.
AYES: Huntoon, Jensen, Kaczmar, Kingzett, Law, McCulloch, McPherson,
Miltner, Moffitt, Price, Schmid, Wolf, Aaron, Crake, Garfield. (15)
NAYS: Gosling, Johnson, Oaks, Obrecht, Palmer, Pernick, Powers, Taub,
Dingeldey, Douglas. (10)
A sufficient majority having voted therefor, the motion carried.
Resolution #93215 continued
Vote on resolution, as amended:
AYES: Huntoon, Jensen, Kaczmar, Kingzett, Law, McCulloch, McPherson,
Miltner, Moffitt, Oaks, Obrecht, Price, Schmid, Wolf, Aaron, Crake, Garfield.
(17)
NAYS: Johnson, Palmer, Pernick, Powers, Taub, Dingeldey, Douglas, Gosling.
(8 )
A sufficient majority having voted therefor, the resolution, as amended,
was adopted.
STATE OF MICHIGAN)
COUNTY OF OAKLAND)
I, Lynn D. Allen, 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 November 18, 1993 with the original
record thereof now remaining in my office.
In Testimony Whereof, I have hereunto set my hand and cfixed the seal of the
County of Oakland at Pontiac, Michigan this 18th day qf 4oveliger
Lynn D. Allen, County Clerk