HomeMy WebLinkAboutResolutions - 1994.01.06 - 24087$(933,473)
933,473
0
$ 933,473
$ 933,473
$ 73,440
555,950
205,865 '
75,980
$ 911,235
0
I move the
, January 6, 1994 ,
-MISCELLANEOUS RESOLUTION #94001
BY: FINANCE COMMITTEE, JOHN P. MCCULLOCH, CHAIRPERSON
IN RE: COMPUTER SERVICES - OAKLAND COUNTY DISTRIBUTED COMPUTING
NETWORK
To the Oakland County Board of Commissioners
Chairperson, Ladies, and Gentlemen:
WHEREAS the County of Oakland desires to migrate from a
mainframe-dominant computer system to a system that networks
personal computers (PC's); and
WHEREAS an investment in network infrastructure is necessary
to achieve the County's goal of advanced PC communication; and
WHEREAS the total investment is estimated to be $2,223,800 for
'hardware, software, training, and installation assistance; and
WHEREAS a loan is requested from the Delinquent Tax Revolving
Fund (DTRF) in the amount of $2,223,800 for the initial investment
to be repaid over a five-year period; and
WHEREAS annual operating costs are estimated to be $835,255
for maintenance, depreciation, and communication lines; and
WHEREAS interest expense is estimated to be $98,218 for 1994
and $75,980 for 1995; and
WHEREAS funds for the annual operating costs and interest
expense are available in the non-departmental reserve account for
office automation.
NOW THEREFORE BE IT RESOLVED that the Oakland County Board of
Commissioners approves implementation of the infrastructure to
network personal computers throughout the County.
BE IT FURTHER RESOLVED that the Chairperson of the Board is
authorized to execute the attached Borrowing Agreement in the
amount of $2,223,800 with the County Treasurer as agent of the
DTRF.
BE IT FURTHER RESOLVED that principal and irterest payments
made to the DTRF in repayment of this agreement will be accounted
for in the Computer Services Operations Fund, fund #63600.
BE IT FURTHER RESOLVED that the 1994/1995 Biennial Budget is
amended as follows:
1994 1995
General Fund (10100)
Expenditures
909-0d-00-9920 Office Automation
181-01-00-6360 Comp. Serv. Operations
TOTAL
Computer Services Fund (63600)
Revenue
181 -01-00-2037 Operations
Subtotal
$(911,235)
911,235
0
$ 911,235
$ 911,235
Expense
184-01-00-3278 Communications
184-01-00 -3304 Depreciation
184-01-00-3342 Maintenance
184-01-00-3418. Interest Expense
Subtotal
TOTAL
Chairperson, on behalf of the
$ 73,440
555,950
205,865
98,218
$ 933,473
0
Finance Committee,
adoption of the foregoing resolution.
/A
FINANCE COMM TTEE
REVOLVING FUND BORROWING AGREEMENT
WHEREAS the County of Oakland is desirous of borrowing monies
from the Oakland County Delinquent Tax Revolving Fund, and
WHEREAS the Delinquent Tax Revolving Fund Agent has determined
sufficient monies are available to loan to the County,
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 of $2,223,800 from
the Delinquent Tax Revolving Fund to be paid back in annual
principal and interest payments not to exceed five (5) years.
Said payments shall be deducted from the annual Revolving Fund
distribution made to the County on or about June 1st of each
year. 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 year's
outstanding borrowing. The schedule of principal payments
will be:
Year Principal
1 $ 444,760
2 444,760
3 444,760
4 444,760
5 444,760
Total S2,223,800
It is further agreed that the County may pay off the loan at
any time plus accrued interest without penalty.
Agent for Revolving Fund Chairperson
.- Board of Commissioners
FINANCIAL ANALYSIS
DISTRIBUTED COMPUTING NETWORK
EQUIPMENT SOFTWARE/ ANNUAL OPERATING EXPENSE
COST PROF. SERV. MAINTENANCE DEPRECIATION OTHER TOTAL
Building Preparation $511,000 $127,750 $73,440 $201,190
Network Connection 421,470 18,520 19,840 109,998 129,838
Network Services 613,300 527,750 174,086 285,263 459,349
Network Management 77,700 54,060 11,939 32,940 44,879
TOTAL $1,112,470 $1,111,330 $205,865 $555,950 $73,440 $835,255
DTRF LOAN REPAYMENT
Principal Estimated
Payment Interest* Balance
$2,223,800
1994 444,760 98,218 1,779,040
1995 444,760 75,980 1,334,280
1996 444,760 53,742 889,520
1997 444,760 31,504 444,760
1998 444,760 9,266 0
TOTAL $2,223,800 $268,710
*Interest is calculated based on one principal payment
made on June 1 of each year compounded at 5% annually.
The actual rate will be determined annually based on
the average monthly rate that is paid by the DTRF,
which currently is approximately 3.4%.
Prepared by Budget Division-LV 15-Dec-93
r HEREpPPRO
; E FOREGOING RESOLU
Date
In Testimony Whereof, I have hereunto set my hand and agkixed the seal of the
County of Oakland at Pontiac, Michigan this 6th day of itiAuary....1_994,
-61
Resolution #94001 January 6, 1994
Moved by McCulloch supported by Miltner the resolution be adopted.
Moved by Gosling supported by Moffitt the resolution be amended to add the
two following paragraphs:
BE IT FURTHER RESOLVED that Computer Services is directed to identify the
impact on its customers of the ongoing network costs and to include the
Department of Management and Budget in this effort and in the development of an
annual rate structure for all computer services.
BE IT FURTHER RESOLVED that Computer Services is to report back to the
Finance Committee on the status and impact of this project within six months of
adoption of this resolution.
A sufficient majority having voted therefor, the amendment carried.
Vote on resolution as amended:
AYES: Garfield, Gosling, Huntoon, Jensen, Johnson, Kaczmar, Kingzett, Law,
McCulloch, McPherson, Miltner, Moffitt, Obrecht, Palmer, Pernick, Powers, Price,
Schmid, Taub, Wolf, Crake, Dingeldey, Douglas. (23)
NAYS: None. (0)
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 January 6, 1994 with the original record
thereof now remaining in my office.
Lynl/D. Allen, County Clerk