HomeMy WebLinkAboutResolutions - 1994.06.23 - 24123June 23, 1994
MISCELLANEOUS RESOLUTION 04178
BY: FINANCE COMMITTEE, JOHN P. MCCULLOCH, CHAIRPERSON
IN RE: COMPUTER SERVICES - APPROVAL OF LOAN FROM DELINQUENT TAX
REVOLVING FUND TO MAINTAIN INVENTORY POOL OF OFFICE AUTOMATION
EQUIPMENT
To the Oakland County Board of Commissioners
Chairperson, Ladies and Gentlemen:
WHEREAS Computer Services is requesting an additional loan of
$757,940 from the Delinquent Tax Revolving Fund (DTRF) to provide
an inventory of approximately 250 personal computers and 115
printers in order to provide quick response as requests are
approved; and
WHEREAS Computer Services will obtain Finance Committee
approval prior to installing any of the equipment in the user
departments and will bring a resolution for approval by the full
Board of Commissioners on a quarterly basis summarizing the
appropriate budget amendments in the Computer Services and user
departments' budgets; and
WHEREAS Computer Services estimates the initial costs to be
$757,940 for capital and $189,093 for start-up expenses,; and
WHEREAS the annual operating cost is estimated to be $63,162
for 1994 and $225,080 for 1995, which includes maintenance and
depreciation expense; and
WHEREAS the loan will be repaid over a five-year period with
interest expense estimated to be $34,739 for 1994 and $33,476 for
1995.
NOW THEREFORE BE IT RESOLVED that the Oakland County Board of
Commissioners authorizes the Chairperson of the Board to execute
the attached Borrowing Agreement in the amount of $757,940 with the
County Treasurer as agent of the DTRF.
BE IT FURTHER RESOLVED that principal and interest 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 1994/95 Biennial Budget is
amended as follows to appropriate the interest expense:
1994 1995
General Fund (10100)
Expenditures
10100-909-01-00-9920 Office Automation $(34,739) $(33,476)
10100-181-01-00-6360 Computer Services 34,739 33,476
TOTAL S 0
Computer Services Fund (63600)
Revenue
181-01-00-2037 Gov't. Operations $ 34,739 $ 33,476
Expense
184-01-00-3418 Interest Expense $ 34,739 $ 33,476
TOTAL 0 S 0
Chairperson, on behalf of the Finance Committee, I move the
adoption of the foregoing resolution.
FINANC, MMITTEE
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 $757,940 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 Princiloal •
1 $ 151,588
2 151,588
3 151,588
4 151,588
5 151.588
Total $ 757,940
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
fPgRC; I HEREB
L. Brea 'attarSon. Coecutive
Date
Resolution #94178 June 23, 1994
Moved by McCulloch supported by Huntoon the resolution be adopted.
Moved by Gosling supported by Huntoon the resolution be amended in the 4th
WHEREAS paragraph, after the words "depreciation expense", strike the word "and"
and add the words "...Funds to be charged to operational fund in Information
Technology Department; and
A sufficient majority having voted therefor, the amendment carried.
Vote on resolution, as amended:
AYES: Crake, Dingeldey, Douglas, Garfield, Gosling, Huntoon, Jensen,
Johnson, Kaczmar, Kingzett, McCulloch, McPherson, Miltner, Moffitt, Newby, Oaks,
Obrecht, Palmer, Powers, Schmid, Taub, Wolf. (22)
NAYS: Pernick. (1)
A sufficient majority having voted therefor, the resolution, as amended,
was adopted.
HE FOREGOING R ES OLUTI ON
--------_. ,6Z21
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 June 23, 1994 with the original record
thereof now remaining in my office.
In Testimony Whereof, I have hereunto set my hand and af ixed the seal of the ,./1County of Oakland at Pontiac, Michigan this 23rd day of ilife 19.444c_.- ,7 ,:,/,/
Lynn/. Allen, County Clerk