HomeMy WebLinkAboutResolutions - 1996.12.12 - 24694REPORT (Misc. #96260)
BY: Public Services Committee, Shelley Taub, Chairperson
RE: MR 96260 ESTABLISHMENT OF CMH AUTHORITY IN OAKLAND COUNTY
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Chairperson, Ladies and Gentlemen:
The Public Services Committee, having reviewed the above-
referenced resolution on December 10, 1996, reports with the
recommendation that the resolution be adopted with the following
amendment
Page 5, second to last BE IT FURTHER RESOLVED paragraph--
change the word acceptance to approval.
Chairperson, on behalf of the Public Services Committee, I
move acceptance of the foregoing report.
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PUBLIC SERVICES COMMITTEE
PUBLIC SERVICES COMMITTEE:
YES-Taub, Huntoon, Moffitt, Amos
NO -McPherson, Devine, Pernick
FISCAL REPORT (M.R. #96260)
BY: FINANCE AND PERSONNEL COMMITTEE, SUE ANN DOUGLAS, CHAIRPERSON
IN RE: ESTABLISHMENT OF A COMMUNITY MENTAL HEALTH AUTHORITY IN OAKLAND COUNTY
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Chairperson, Ladies and Gentlemen:
The Finance and Personnel Committee, having reviewed the above
referenced resolution, reports as follows:
1. Section 208 of the new Mental Health Code specifies the amount of
match required of a county that has created a Community Mental
Health Authority "...shall not exceed the amount of funds provided
by the county as a county match in fiscal year 1994-1995 or the
year the authority is created, whichever is greater."
2. The 1994-1995 Oakland County CMH Match was $9,620,616, excluding
Title XX replacement monies.
3. Funds have been included in the Finance and Personnel Committee
Recommended FY 1997 ($7,215,462 for 9 months) and FY 1997/1998
($9,620,616) Budget to cover the required County Match under a CMH
Authority, no additional appropriation is required.
4. The Finance and Personnel Committee further recommends the
insertion of a comma in the fifth BE IT FURTHER RESOLVED
paragraph, item b, between the words pension and seniority.
Chairperson, on behalf of the Finance and Personnel Committee, I move
acceptance of the foregoing report.
FINANCE AND PERSONNEL COMMITTEE
12/5/96
December 12, 1996
REPORT (Misc. #96260)
BY:
IN RE:
GENERAL GOVERNMENT COMMITTEE - KAY SCHMID, CHAIRPERSON
M.R. #96260, ESTABLISHMENT OF A COMMUNITY MENTAL HEALTH
AUTHORITY IN OAKLAND COUNTY
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS:
Chairperson, Ladies and Gentlemen:
The General Government Committee, having reviewed M.R. #96260 on
December 2, 1996, reports with the recommendation that the resolution be
adopted.
Chairperson, on behalf of the General Government Committee, I move the
acceptance of the foregoing Report.
GENERAL GOVERNMENT COMMITTEE
MISCELLANEOUS RESOLUTION #96260
BY: RUTH JOHNSON, COMMISSIONER DISTRICT 1,THOMAS LAW,
COMMISSIONER DISTRICT 13, DAVID MOFFITT, COMMISSIONER
DISTRICT 18, SHELLEY TAUB, COMMISSIONER DISTRICT 12
RE: ESTABLISHMENT OF A COMMUNITY MENTAL HEALTH AUTHORITY IN
OAKLAND COUNTY
To the Oakland County Board of Commissioners;
Chairperson, Ladies and Gentlemen:
WHEREAS the timely, appropriate, efficient and cost-effective
delivery of community mental health services to the residents of
Oakland County is a high priority for Oakland County Government;
and
WHEREAS the State of Michigan has proposed and is implementing
dramatic changes in the way mental health services are funded,
managed, and delivered to state residents; and
WHEREAS Oakland County's Community Mental Health Agency
Program and its beneficiaries would greatly benefit from a
reorganization that will allow the Program maximum flexibility in
designing, financing, planning for and implementing mental health
service programs for Oakland County's residents; and
WHEREAS Section 205 of the Michigan Mental Health Code, 1974
PA 258, as amended by 1995 PA 290, effective March 28, 1996,
authorizes the County Board of Commissioners to establish a
community mental health authority (CMH Authority) to operate as a
community mental health services program; and
WHEREAS this innovative form of organization was designed by
the Legislature to provide community mental health programs with
maximum flexibility in designing, financing, planning for and
implementing mental health service programs; and
WHEREAS a CMH Authority would possess all of the powers and
duties currently possessed by Oakland County's Community Mental
Health Agency Program; and
WHEREAS a CMH Authority, as a legal public governmental entity
separate from the county that establishes it, would possess
additional powers not enjoyed by the existing CMH agency, including
but not limited to powers to fix and collect charges, rates, rents,
fees, and other charges; the power to collect interest; the power
to transfer, divide, or distribute assets, liabilities and
contingent liabilities; the power to accept gifts, grants, or
bequests and to determine the manner of their use; the power, in
its own name, to enter into contracts and agreements, employ staff,
acquire, construct, manage, maintain, or operate buildings or
improvements, the power to acquire, own, operate, maintain, lease,
or sell real or personal property; the power to incur debts,
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liabilities, or obligations that are not the debts, liabilities or
obligations of the county; the power to commence litigation and
defend itself in litigation, and the power to invest funds; and
WHEREAS a CMH Authority would be responsible for all of its
own executive administration, employees, personnel administration,
finance, accounting, and management information system functions,
and is authorized to discharge these responsibilities through
direct staff or by contracting for services; and
WHEREAS a CMH Authority could not levy any type of tax or
issue any type of bond in its own name or financially obligate any
unit of government other than itself; and
WHEREAS Oakland County, after creating a CMH Authority, would
not be liable for any intentional, negligent, or grossly negligent
act or omission, for any financial affairs, or for any obligation
of the CMH Authority, its board, employees, representatives, or
agents; and
WHEREAS consistent with the Michigan Mental Health Code,
under the CMH Authority form of organization, CMH consumers
continue to possess the same rights, privileges and benefits with
respect to CMH operations and services as they enjoy under the
current CMH agency form of organization, including membership on
the CMH Board; and
WHEREAS under the CMH Authority form of organization the Board
of Commissioners continues to have a statutory duty to appoint CMH
Board members and to consider for approval the CMH Authority's
annual request for county funds to support the CMH program, thereby
continuing to maintain a meaningful oversight role with respect to
the provision of CMH services in Oakland County; and
WHEREAS the public's right to be informed of and participate
in the affairs of the CMH Authority continues to be protected by
the Open Meetings Act and Freedom of Information Act, both of which
are binding on CMH Authorities; and
WHEREAS the Board of Commissioners' Task Force on Mental
Health has determined that the establishment of a Community Mental
Health Authority in Oakland County would be in the best interests
of the residents.
WHEREAS as a condition precedent to this resolution becoming
effective, the Board of commissioners shall adopt a transition
plan.
NOW THEREFORE BE IT RESOLVED that the Oakland County Board of
Commissioners hereby establishes an Oakland County Community Mental
Health Authority (AUTHORITY).
BE IT FURTHER RESOLVED that the purpose and power to be
exercised by the AUTHORITY shall be to comply with and carry out
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the provisions of the Michigan Mental Health Code, 1974 PA 258, as
amended;
BE IT FURTHER RESOLVED that the AUTHORITY shall exist in
perpetuity, unless otherwise dissolved or terminated by either:
a. Legislative enactment by the Legislature of the State
of Michigan; or
b. Upon recommendation from the County Executive and
a resolution of the Oakland County Board of Commissioners,
adopted by a majority of those elected and serving, after the
Board of Commissioners have first notified the State of
Michigan of their intent to terminate participation in a
community mental health services program in the manner
provided in section 220 of the Mental Health Code, 1974 PA
258, as amended;
BE IT FURTHER RESOLVED that in the event of the termination or
dissolution of the AUTHORITY, the net financial assets originally
made available to the AUTHORITY by Oakland County shall be returned
to Oakland County by 12:00 noon on the business day immediately
prior to the date the termination or dissolution is to become
effective. All other remaining assets net of liabilities shall be
transferred to the community health services program or programs
that replace the AUTHORITY.
BE IT FURTHER RESOLVED that the AUTHORITY shall remain liable,
until fully satisfied, for all costs associated with real or
personal property purchased or leased by the County of Oakland for
use by the AUTHORITY. The County may agree to a transfer to a
successor community mental health services program or programs of
the AUTHORITY'S liability for such costs upon the condition that
such agreement be in writing and assures that financial liability
to the County of Oakland will be fully discharged by the successor
program or programs.
BE IT FURTHER RESOLVED that all existing Oakland County
Community Mental Health Agency Program employees are, upon the
effective date of this resolution, separated from County service
and transferred to the AUTHORITY, subject to the following
conditions:
a. Employees of the AUTHORITY are public
employees. The AUTHORITY and its employees are subject
to Act 366 of the Public Acts of 1947, being sections
423.201 to 423.217 of the Michigan Compiled Laws.
Employees of the AUTHORITY are not County employees. The
AUTHORITY is the employer with regard to all laws
pertaining to employee and employer rights, benefits and
responsibilities.
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• b. All existing Oakland County Community Mental
Health Agency Program employees are transferred to the
AUTHORITY and appointed as employees subject to all
rights and benefits for 1 year. Such employees of the new
AUTHORITY shall not be placed in a worse position by
reason of the transfer for a period of 1 year with
respect to worker's compensation, pension seniority,
wages, sick leave, vacation, health and welfare
insurance, or any other benefit the employees enjoy as an
employee of the former Oakland County Community Mental
Health Agency Program. Such employees who are transferred
shall not by reason of the transfer have their accrued
pension benefits or credits diminished.
c. The AUTHORITY shall assume and be bound by
all existing collective bargaining agreements between the
County of Oakland and employees of the Oakland County
Community Mental Health Agency Program who are transferred to
the AUTHORITY . Formation of the AUTHORITY shall not
adversely affect any existing rights and obligations contained
in such existing collective bargaining agreements.
d. The AUTHORITY, subject to subsections (a) to
(c) above, shall employ, compensate, transfer or separate
necessary AUTHORITY personnel in a manner consistent with
law and policies, procedures, regulations and collective
bargaining agreements established or adopted by the
AUTHORITY Board.
BE IT FURTHER RESOLVED that upon the effective date of the
establishment of the AUTHORITY all existing assets, debts, and
obligations of the Oakland County Community Mental Health Agency
Program, including but not limited to equipment, furnishings,
supplies, cash, and other personal property, are hereby transferred
to the new AUTHORITY. The AUTHORITY shall indemnify and hold
harmless the County from any and all liability in regard thereto.
Assets, equipment, furnishings, supplies, cash and other personal
property which are the property of the County of Oakland and are
being used by the Oakland County Community Mental Health Agency
Program shall be transferred to the OCCMHA upon the County
receiving credit from the AUTHORITY and State of Michigan for the
fair market value of said property, said credit be attributed to
the County's contribution to the annual operating budget of the
AUTHORITY.
BE IT FURTHER RESOLVED that all contracts regarding mental
health services will be transferred to the AUTHORITY. The
AUTHORITY, where possible, shall obtain a novation of these
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contracts.
BE IT FURTHER RESOLVED that in addition to other powers of a
community mental health services program as set forth in the Mental
Health Code, 1974 PA 258, as amended, the AUTHORITY has all of the
following powers:
(1) To fix and collect charges, rates, rents, fees or other
charges and to collect interest.
(2) To make purchases and contracts.
(3) To transfer, divide, or distribute assets, liabilities or
contingent liabilities.
(4) To accept gifts, grants, or bequests and determine the
manner in which those gifts, grants or bequests may be
used consistent with the donor's request.
(5) To acquire, own, operate, maintain, lease or sell real or
personal property, including the power to determine the
location of property purchased, leased, and\or operated.
Before taking official action to sell residential
property, however, the AUTHORITY shall implement a plan
for alternative housing arrangements, subject to the
requirements of MCL 330.1205(4)(e)(ii)&(iii).
(6) Enter into contracts and agreements in the AUTHORITY'S
name.
(7) Employ staff in the AUTHORITY'S name.
(8) Acquire, construct, manage, maintain, or operate
buildings or improvements in the AUTHORITY'S name.
(9) Acquire, own, operate, maintain, lease or dispose of real
or personal property in the AUTHORITY'S name.
(10) Incur debts, liabilities, or obligations in the
AUTHORITY'S name that do not constitute the debts,
liabilities, or obligations of Oakland County.
(11) Commence litigation and defend itself in litigation.
(12) To receive and expend funds for the purposes of the
mental health AUTHORITY.
(13) To invest funds in accordance with statutes regarding
investments.
(14) To set up reserve accounts, utilizing state funds in the
same proportion that state funds relate to all revenue
sources, to cover vested employee benefits including but
not limited to accrued vacation, health benefits, the
employee payout portion of accrued sick leave, if any,
and worker's compensation. In addition, the AUTHORITY may
set up reserve accounts for depreciation of capital
assets and for expected future expenditures for an
organizational retirement plan.
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(15) To develop a charge schedule for services provided to the
public and utilize the charge schedule for first and
third-party payers. Charge schedule may include charges
that are higher than cost for some service units by
spreading nonrevenue service unit costs to revenue-
producing service unit costs with total charges not
exceeding total costs. All revenue over cost generated in
this manner shall be utilized to provide services to
priority populations.
(16) To determine the method and extent to which the AUTHORITY
secures and maintains insurances, including but not
limited to self-insurance and re-insurance.
BE IT FURTHER RESOLVED that, in addition to the powers and
duties set forth above, the AUTHORITY, its board members, officers,
agents, and employees, shall have all the powers and duties,
privileges and immunities from liability and exemptions from laws,
ordinances, and rules that under Michigan law, including but not
limited to the Mental Health Code, 1974 PA 258, as amended, are
granted community mental health authorities, agencies,
organizations and programs, their board members, officers,
administrators, agents, employees and county elected officials and
employees;
BE IT FURTHER RESOLVED that in addition to other duties and
responsibilities of the AUTHORITY as set forth in the Mental Health
Code, the AUTHORITY shall do all of the following:
(1) Provide Oakland County and the Department a copy of an
annual independent audit performed by a Certified Public
Accountant in accordance with Governmental Auditing Standards
issued by the Comptroller of the United States.
(2) Be responsible for all executive administration, personnel
administration, finance, accounting and management information
systems functions. The AUTHORITY may discharge the
responsibility through direct staff or by contracting for
services.
BE IT FURTHER RESOLVED that, to the extent required by law,
the AUTHORITY, as a public governmental body, is subject to the
Open Meetings Act, 1976 PA 267, as amended, and the Freedom of
Information Act, 1976 PA 442, as amended, except for those
documents produced as part of the Peer Review Process required in
Section 143a and made confidential by Section 748(9) of the Mental
Health Code.
BE IT FURTHER RESOLVED that it is recommended the Community
Mental Health Authority Articles of Incorporation include a
requirement that performance audits be conducted.
6
Thomas Law
lcwk
Shelley Tau David Moffitt
BE IT FURTHER RESOLVED that all powers, duties, obligations,
rights and protections not mentioned herein but otherwise provided
by law for community mental health authorities or programs are
included herein by reference.
BE IT FURTHER RESOLVED that Oakland County is not liable for
any intentional, negligent or grossly negligent act or omission,
for any financial affairs, or for any obligation of the AUTHORITY,
its board, officers, employees, contractors, subcontractors,
representatives, or agents.
BE IT FURTHER RESOLVED that if any portion of this resolution
is found by a court to conflict with the Mental Health Code, 1974
PA 258, as amended, the Code supersedes the conflicting provision.
If any portion of this resolution or the application thereof to any
person or circumstances shall be found to be invalid by a court,
such invalidity shall not affect the remaining portions or
applications of the resolution which can be given effect without
the invalid portion or application, provided such remaining
portions are not determined by the court to be inoperable, and to
this end resolutions are declared to be severable.
BE IT FURTHER RESOLVED that this resolution is not effective
until the receipt and acceptance of a transition plan by the
Oakland County Board of Commissioners, the resolution is filed with
the Secretary of State and Oakland County Clerk, and until receipt
of Certification from the Michigan Department of Community Health.
The existing Oakland County Community Mental Health Agency Program
is dissolved upon effective date of establishment of the AUTHORITY.
BE IT FURTHER RESOLVED that the Oakland County Clerk is
directed to maintain a copy of this resolution in the Clerk's files
and is to immediately file a copy of this resolution with the
Secretary of State.
Chairperson we move the adoption of the foregoing resolution.
Ruth John/son
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Resolution #96260 November 7, 1996
The Chairperson referred the resolution to the Public Services Committee,
General Government Committee and the Finance and Personnel Committee. There were
no objections.
Resolution #96260 December 12, 1996
Moved by Taub supported by Crake the Finance and Personnel Committee Report
be accepted.
A sufficient majority having voted therefor, the report was accepted.
Moved by Taub supported by Crake the Public Services Committee Report be
accepted.
A sufficient majority having voted therefor, the report was accepted.
Moved by Taub supported by Crake the General Government Committee Report
be accepted.
A sufficient majority having voted therefor, the report was accepted.
Moved by Taub supported by Crake the resolution be adopted.
Moved by Taub supported by Crake the resolution be amended to coincide with
the recommendation in the Public Services Committee Report.
A sufficient majority having voted therefor, the amendment carried.
Discussion followed.
Moved by Moffitt supported by Powers the resolution be amended to add an
additional BE IT FURTHER RESOLVED paragraph before the last BE IT FURTHER
RESOLVED paragraph to read as follows:
BE IT FURTHER RESOLVED that upon the effective date of this
resolution as referenced in the immediately preceding paragraph the
Community Mental Health Agency shall cease to exist, and the Board of
Commissioners shall appoint a Board of Directors of the Community Mental
Health Authority as provided by law.
Resolution #96260 continued December 12, 1996
Vote on amendment:
A sufficient majority having voted therefor, the amendment carried.
Discussion followed.
Vote on resolution, as amended:
AYES: Dingeldey, Douglas, Garfield, Huntoon, Jensen, Johnson, McCulloch,
Obrecht, Palmer, Powers, Schmid, Taub, Wolf, Amos, Crake. (15)
NAYS: Devine, Holbert, Jacobs, Kaczmar, Kingzett, Law, McPherson, Moffitt,
Pernick, Quarles. (10)
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 December 12, 1996 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
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County of Oakland at Pontiac, Michigan this 12th day of Decemb 996.
...,...___„.....
LynA"D. Allen, County Clerk