HomeMy WebLinkAboutMinutes - 2005.05.19 - 35999CHUCK MOSS
Chairperson
MIKE ROGERS
Vice Chairperson
TIM MELTON
Minority Vice Chairperson
May 19, 2005
Chairperson Moss called the meeting of the Finance Committee to order
at 9:00 a.m., in the Board of Commissioners' Committee Room A, Commissioners' Wing, County
Service Center, Pontiac, Michigan.
COMMITTEE MEMBERS PRESENT :
Chuck Moss, Mike Rogers, Charles Palmer, Eric Wilson, Greg Jamian , Christine Long, Helaine
Zack, David Coulter
COMMITTEE MEMBERS ABSENT WITH NOTICE:
Hugh Crawford, Tim Melton, Dave Woodward
OTHERS PRESENT :
CORPORATION COUNSEL John Ross, Assistant Counsel
DRAIN COMMISSIONER Joe Colaianne, Insurance Administrator
EXECUTIVE OFFICE Phil Bertolini, Deputy Executive
FACILITIES MANAGEMENT Mike Hughson, Property Manager
FISCAL SERVICES LaVerne Smith, Chief
Leo Lease, Analyst
Prentiss Malone, Analyst
Joe Rozell, Analyst
INFORMATION TECHNOLOGY Janette McKenna, Chief
MANAGEMENT & BUDGET Laurie Van Pelt, Director
PURCHASING Jack Sato Smith, Chief
SHERIFF Mike McCabe, Undersheriff
Dale Cunningham, Business Manager
BOARD OF COMMISSIONERS Sheryl Mitchell, Sr. Analyst
Harvey Wedell, Sr. Analyst
Helen Hanger, Sr. Committee Coordinator
MINUTES
Long moved approval of the previous minutes of May 5, 2005, as printed. Supported by Palmer.
Motion carried on a voice vote.
PUBLIC COMMENT
None.
BUDGET
OAKLAND COUNTY BOARD OF COMMISSIONERS
1200 N. TELEGRAPH ROAD, PONTIAC, MI 48341-0470
Telephone (248) 858 -0100 FAX (248) 858-1572
FINANCE COMMITTEE
Charles Palmer
Hugh D. Crawford
Eric Wilson
Greg Jamian
Christine Long
David Coulter
Helaine Zack
David Woodward
FINANCE COMMITTEE Page 2
May 19, 2005
Mr. Soave reported on the development of the FY 2006 County Executive Recommended Budget.
Departments have submitted their budget requests. These requests total $12 million in expenditures above
estimated revenue, including $2 million for additional positions, $3 million in incr eased expenditures for
county wards, which is an ongoing problem, and an additional $7 million for various other items. Also, the
actuary's report regarding employee retirement health care contributions requires a contribution of $6
million more than anticipated. The Administration will be looking at how the County does business and will
discuss what product lines the County may no longer offer. The County Executive is asking its departments
and other elected officials to prioritize their operations. Fis cal Services staff will then work with the
departments to balance the FY 2006 budget.
5. CONTINGENCY REPORT
The Contingency Fund Balance of $366,192 will be decreased by $65,461 to $300,731 with adoption of
Item #9 - Lease Agreement with Newberry Propert ies for 52-1 District Court. Royal Oak Township is
current on its Law Enforcement Contract payments.
West Nile Virus Fund Distribution Balance Sheet for FY 2004 was distributed showing a remaining balance
of $102,249.32 as of December 6, 2004.
Palmer moved to receive and file the FY 2005 Contingency Report dated May 12, 2005. Supported
by Rogers.
Motion carried on a voice vote.
REGULAR AGENDA
6. MR #05097 - SHERIFF'S OFFICE - CAMP DEARBORN CONTRACT FOR LAW ENFORCEMENT
SERVICES IN THE 2005/2006/2007 SEASONS
The Sheriff is requesting authorization to contract with the City of Dearborn to provide law enforcement
services at Camp Dearborn for the 2005/2006//2007 season. The Sheriff will provide one Deputy II, three
Deputy I's and ten part-time, non -eligible Park Deputies. Rates are detailed in Attachment B of the
contract. Sufficient revenue and expenditures are included in the FY 2005 budget and will be included in
the FY 2006/FY 2007 Executive Recommended Budget. Mr. Cunningham indicated that an est imated
$24,000 in overtime was expended in the previous year.
Palmer moved approval of the attached suggested Fiscal Note. Supported by Long.
Motion carried unanimously on a roll call vote with Melton, Crawford and Woodward absent.
7. MR #05098 - SHERIFF'S OFFICE - SOUTHFIELD DETENTION FACILITY OPERATING
AGREEMENT FOR 2005/2006/2007/2008
The Sheriff is requesting authorization to contract with the City of Southfield to operate Southfield's
Detention Facility in the City's public safety building. T he contract is for the period February 1, 2005 - June
30, 2008. Since the previous agreement expired June 30, 2002, operations have been on a month to
month basis. The City will make payments of $37,641.83 per month through June 30, 2005; $465,251 for
the period of July 1, 2005, through June 30, 2006; $479, 211 for the period July 1, 2006, through June 30,
2007; and $493,587 for the period July 1, 2007, through June 30, 2008. The new rates will result in a
revenue reduction of $39,411 for FY 2005. Favor ability within the Satellite Division will absorb this
reduction. The Executive's Recommended Budget will include the proposed rates for FY 2006/FY 2007.
This facility provides 68 beds for the County to house its inmates, as well as provides a detention fa cility for
Southfield. The County has operated this facility since 1979.
FINANCE COMMITTEE Page 3
May 19, 2005
Zack moved to recommend approval of the attached suggested Fiscal Note. Supported by Coulter.
Motion carried unanimously on a roll call vote with Melton, Crawford and Woodward a bsent.
8. MR #05095 - DRAIN COMMISSIONER - OAKLAND COUNTY WATER SUPPLY AND SEWAGE
DISPOSAL SYSTEMS FOR ROCHESTER HILLS - EXTENSION NO. 5A PROJECT - APPROVAL OF
CONTRACT
The Drain Commissioner is requesting authorization to contract with the City of Roche ster Hills to extend
the current water and sewer supply system by acquisition and construction of water supply and sewage
disposal facilities. The estimated cost of the project is $5,913,000 with a 40 year and upward useful life.
The City of Rochester Hil ls shall pay the entire cost of the project and issuance of Bonds with Oakland
County's full faith and credit will be requested through a forthcoming resolution.
Palmer moved approval of the attached suggested Fiscal Note. Supported by Long.
Motion carried on a roll call vote with Melton, Crawford and Woodward absent.
9. MR #05096 - DEPARTMENT OF FACILITIES MANAGEMENT - APPROVAL AND ACCEPTANCE
OF LEASE AGREEMENT WITH NEWBERRY PROPERTIES, LLC FOR USE OF PROPERTY AT 48150
GRAND RIVER AVENUE, NOVI, MICHIGAN
Facilities Management is requesting approval of a five -year lease agreement extension with Newberry
Properties, LLC, for property located at 48150 Grand River Avenue in the City of Novi, for operation of the
52-1 Novi District Court, for the period March 4, 2005, through March 3, 2010. The lease includes an option
to extend for an additional five years. Rent will be $17.68 per square foot or $456,747 annually and
property taxes are estimated to increase to $53,135 per year. An amendment for FY 2005 will be made to
the 52 -1 Novi District Court budget to cover the increased rent and property tax budget. Increases for rent
and property tax will be included in the FY 2006 / FY 2007 Executive Recommended budget.
Palmer moved to recommend approval of th e attached suggested Fiscal Note. Supported by Long.
Motion carried unanimously on a roll call vote with Melton, Crawford and Woodward absent.
10. DEPARTMENT OF FACILITIES MANAGEMENT/FACILITIES ENGINEERING - AWARD OF
CONTRACT FOR THE SERVICE CENTER SIDE WALK PROGRAM - PHASE I
Facilities Management is requesting authorization to award a contract in the amount of $141,850 to
AWE, Inc. of Hadley, Michigan, for the Service Center Sidewalk Program - Phase I. Total project
costs include the $141,850 contract award, FM&O Grounds costs of $8,500, Road Commission
permit costs of $7,000 and contingency of $23,650, for a total of $181,000. This project was included
in the FY 2005 Capital Improvement Program. Funds will be transferred from the Capital
Improvement Program Building Fund to the Project Work Order Fund. Construction includes a
sidewalk from the
south side of the Law Enforcement Complex to the southern border of the Service Center, a
connective sidewalk from the Commissioners' Auditorium along Court T ower Boulevard to the
parking lot north of the Courthouse, and a sidewalk adjacent to Administrative Annex II.
Wilson moved to recommend approval of the attached suggested Resolution. Supported by
Palmer.
FINANCE COMMITTEE Page 4
May 19, 2005
Motion carried unanimously on a roll call vote with Melton, Crawford and Woodward absent.
11. MR #05094 - DEPARTMENT OF INFORMATION TECHNOLOGY - SECOND QUARTER 2005
DEVELOPMENT APPROPRIATION TRANSFER
The Department of Information Technology is requesting authorization to appropriate second quarter 20 05
development costs to benefiting departments, including $964,063.17 for data processing development,
$37,451.19 for imaging development for General Fund/General Purpose departments and $283,258.39 in
direct charges to Special Revenue and Proprietary Fund departments.
Jamian moved to recommend approval of the attached suggested Fiscal Note. Supported by
Rogers.
Motion carried unanimously on a roll call vote with Melton, Crawford and Woodward absent.
12. DEPARTMENT OF MANAGEMENT AND BUDGET - E-FINANCIAL SYSTEM IMPLEMENTATION
PROJECT STATUS UPDATE
Presentation material was provided to each commissioner. Commissioner Palmer asked how long the
system would be utilized and whether implementation would result in a decrease in staff.
Ms. Van Pelt explained that the previous system (HRFIS) only had about 40 major users, was not properly
supported after Peat Marwick LLP sold it and is becoming obsolete. The new E -Financial System has a
much larger user base.
Mr. Smith explained that the system should resu lt in more business process efficiencies but whether or not
this will affect staffing is unknown. Ms. Van Pelt explained that a Return on Investment was done
previously for Phase 1 indicating that the system should pay for itself in five years. Whether o r not there
are results in personnel savings depends on how operations are restructured. Some staff are now being
trained with additional training anticipated in the fall.
13. DEPARTMENT OF MANAGEMENT AND BUDGET - FISCAL YEAR 2005 SECOND QUARTER
FINANCIAL FORECAST AND BUDGET AMENDMENTS
This item was distributed to the committee and will be carried forward to the next meeting. Mr. Soave
summarized page 3 of the FY 2005 Second Quarter Forecast, explaining that year -end favorability is
anticipated to be $3.2 million. This is $2.6 million less than the previous year. The County is spending 99%
of its revenue. Favorability is due to position turnover. The Child Care Fund is well in excess of what was
planned. The Clerk's revenue continues slightly abov e budget but this is not expected to continue.
COMMUNICATIONS
A. Department of Management and Budget / Purchasing Division - Contract Exception Report for the
Months of April and May
B. Circuit Court / General Jurisdiction - FY 2006 Michigan Drug Court Continuation (SCAO) Adult Drug
Court Grant Application
C. Circuit Court / Family Division - FY 2006 Michigan Drug Court Continuation (SCAO) Juvenile Drug
Court Grant Application
D. 52-2 Clarktson District Court, FY 2006 SCAO Grant - Drug Court Grant Applicatio n
FINANCE COMMITTEE Page 5
May 19, 2005
E. 52-4 Troy District Court, FY 2006 SCAO Grant - Drug Court Grant Application
F. Department of Management and Budget / Reimbursement Division - Annual Report for Fiscal Year
2004
Long moved to receive and file the communications. Supported by Palmer.
Motion carried on a voice vote.
OTHER BUSINESS/ADJOURNMENT
There being no other business to come before the committee, the meeting was adjourned at 9:37 a.m.
________________________ _______________________________
Helen A. Hanger Nancy Wenzel
Senior Committee Coordinator Committee Coordinator
NOTE: The foregoing minutes are subject to Committee approval.