HomeMy WebLinkAboutMinutes - 2005.07.14 - 36015CHUCK MOSS
Chairperson
MIKE ROGERS
Vice Chairperson
TIM MELTON
Minority Vice Chairperson
July 14, 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, Tim Melton, Charles Palmer, Hugh Crawf ord, Eric Wilson, Greg
Jamian, Christine Long, David Coulter, Helaine Zack, Dave Woodward
COMMITTEE MEMBERS ABSENT: None.
OTHERS PRESENT :
EXECUTIVE OFFICE Phil Bertolini, Deputy Executive
CORPORATION COUNSEL Judy Cunningham, Corporation Counsel
DRAIN COMMISSIONER Jim Wineka, Supervisor
EMERGENCY RESPONSE Michael Sturm, Administrator
EQUALIZATION Dave Hieber, Manager
FACILITIES MANAGEMENT Mike Hughson, Property Specialist
FISCAL SERVICES Nancy Fournier, Chief
LaVerne Smith, Supervisor
Joe Matkosky, Supervisor
Linda Pearson, Analyst
Joe Rozell, Analyst
Leo Lease, Accountant
Nancy Falardeau, Analyst
HUMAN RESOURCES Nancy Scarlet, Director
INFORMATION TECHNOLOGY Ed Poisson, Director
MANAGEMENT & BUDGET Laurie Van Pelt, Director
Art Holdsworth, Deputy Director
PARKS & RECREATION Ralph Richard, CEO
PURCHASING Joe Hylla, Manager
RESOURCE MANAGEMENT Tom Law, Manager
SHERIFF Dale Cunningham, Business Manager
Ann Russell, Corrections Administrator
BOARD OF COMMISSIONERS Larry Doyle, Administrative Director
Harvey Wedell, Sr. Analyst
Sheryl Mitchell, Sr. Analyst
Helen Hanger, Sr. Committee Coordinator
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
July 14, 2005
MINUTES
Palmer moved approval of the previous minutes of June 23, 2005, as printed. Supported by
Crawford.
Motion carried on a voice vote.
PUBLIC COMMENT
None.
AGENDA
Crawford moved the agenda with the addition of Item #11 for the Department of Facilities
Management. Supported by Palmer.
Motion carried on a voice vote.
5. CONTINGENCY REPORT
The FY 2005 Contingency Fund Balance of $300,731 will increase to $303,543 due to additional revenue
resulting from the adoption of MR #05101.
Commissioner Palmer inquired as to several of the Designated Fund Balanc es, including the Tax Tribunal
Appeals designation.
Mr. Hieber explained that the tax issue regarding the utilities has not yet been resolved.
Mr. Soave explained that the Operational Enhancements Fund was created after the County won a lawsuit
years ago regarding the secondary road patrol and requires a six -year payback on projects approved from
this Fund. The Systems Enhancement Fund is a reserve to support new systems for the County. The
Administration is currently studying replacement of Reimbursem ents computer system. The Drain
Operations and Maintenance System Consolidation designation is a specific program in its second year of
implementation. The Succession Planning Fund was created following the 2003 early retirement program
when a large number of position changes occurred and there was concern regarding the loss of
experienced personnel. Human Resources is considering a comprehensive study of its Classification and
Salary structure.
Palmer moved to receive and file the FY 2005 Contingency Report dated July 7, 2005. Supported
by Crawford.
Motion carried on a voice vote.
REGULAR AGENDA
6. SHERIFF'S DEPARTMENT AND HEALTH & HUMAN SERVICES DEPARTMENT/HEALTH
DIVISION - FY 2005 JAIL ALLIANCE WITH SUPPORT FOR INMATES WITH CO -OCCURRING
DISORDERS GRANT AMENDMENT #1
The Sheriff and the Department of Health and Human Services are requesting authorization to accept an
amendment to the FY 2005 Jail Alliance with Support for Inmates with Co -Occurring Disorders Grant, as
approved by MR #04329. The Mic higan Department of Community Health has authorized an amendment
to the initial grant budget to utilize the psychiatric contractual services allocation of $98,000 for additional
program support positions. One Special Revenue 1,000 hour/year part -time non-eligible Inmate
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July 14, 2005
Caseworker will be created in the Sheriff's Corrective Services Division/Inmate Program Services Unit and
one Special Revenue full -time eligible Substance Abuse Program Analyst position will be created in the
Health & Human Services Department/Health Division/Substance Abuse Unit. A budget amendment will be
made to the FY 2005 Special Revenue Budget.
Ms. Russell reported that the Sheriff is applying for another grant to continue this program and that
Community Mental Health has pledged $10 0,000 toward the program.
Palmer moved approval of the attached suggested Fiscal Note. Supported by Wilson.
Motion carried unanimously on a roll call vote.
7. DRAIN COMMISSIONER - ROUND VI - OAKLAND COUNTY UPPER ROUGE RIVER STREAM
BANK EROSION INVE NTORY PROJECT: $18,150 GRANT APPLICATION ACCEPTANCE AND
AGREEMENT APPROVAL
The Drain Commissioner is requesting authorization to accept $18,150 of Federal grant reimbursement
from the County of Wayne, under the Rouge River National Wet Weather Demonstrati on Project. Total
project funding includes a $18,150 County match, which will be charged to the respective drain
maintenance funds and partially reimbursed by local municipalities. Funds will be used for the Upper
Rouge River Stream Bank Erosion Inventor y Project through interlocal agreements with participating
communities. No budget amendment is required.
Coulter moved to recommend approval of the attached suggested Fiscal Note. Supported by
Jamian.
Motion carried unanimously on a roll call vote.
8. COUNTY EXECUTIVE - EMERGENCY RESPONSE AND PREPAREDNESS - PERFORMANCE
GRANT AGREEMENT FOR FISCAL YEAR 2005 APPLICATION/ACCEPTANCE
Emergency Response and Preparedness (ERP) is requesting authorization to accept an award from the
State of Michigan of $48,974 for development of comprehensive disaster preparedness and assistance
plans, programs, capabilities and organizations by the State and local governments. The award funds
approximately 38.27% of the ERP Administrator's salary and fringe benefits and up to 2.5% of the award
may be used for reimbursement of related management and administrative costs under Section V of the
contract. This is the 33 rd year of the contract. Revenue from the agreement is included in the FY 2005
Adopted Budget.
Zack moved approval of the attached suggested Fiscal Note. Supported by Crawford.
Motion carried unanimously on a roll call vote.
9. DEPARTMENT OF MANAGEMENT AND BUDGET / EQUALIZATION DIVISION - APPROVAL OF
CONTACT FOR OAKLAND COUNTY EQUALIZATION DIVISION A SSISTANCE SERVICES WITH THE
CHARTER TOWNSHIP OF HIGHLAND
Equalization is requesting authorization to contract with the Charter Township of Highland to provide
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July 14, 2005
services for the 2006 - 2008 tax years as outlined in Section 2.2.1 of the contract. Revenues a nd
expenditures associated with the contract are included in the FY 2005 budget.
Long moved to recommend approval of the attached suggested Resolution. Supported by
Crawford.
Motion carried unanimously on a roll call vote.
10. DEPARTMENT OF MANAGEMENT AND BUDGET / EQUALIZATION DIVISION - APPROVAL OF
CONTRACTS FOR OAKLAND COUNTY EQUALIZATION DIVISION ASSISTANCE SERVICES WITH
THE CITY OF SOUTH LYON AND THE CHARTER TOWNSHIP OF BLOOMFIELD
Equalization is requesting authorization to contract with the City o f South Lyon and the Charter Township of
Bloomfield to provide annual services for the 2006 - 2008 tax years as outlined in Section 2.2.1 of the
contracts. Revenues and expenditures associated with the contract are included in the FY 2005 budget.
Jamian moved to recommend approval of the attached suggested Resolution. Supported by Moss.
Motion carried unanimously on a roll call vote.
Chairman Moss asked that Mr. McMaster be allowed to speak. There were no objections.
Mr. McMaster spoke on the issues of DARTA and the creation of other authorities, the property tax pull
ahead and state revenue. A copy of the Taxpayers United Michigan Foundation newsletter dated July 12,
2005, was distributed.
11. DEPARTMENT OF FACILITIES MANAGEMENT - APPROVAL AND ACCE PTANCE OF
PURCHASE AGREEMENT FOR THE ACQUISITION OF 346.48 ACRES, PARCEL NOS. 05-34-300-004,
05-34-400-002 AND 05-35-301-001 FOR EXPANSION OF ADDITION OAKS COUNTY PARK
Facilities Management is requesting authorization to proceed with the purchase of 346.4 8 acres of property
to expand Addison Oaks County Park. The Parks and Recreation Fund will provide the purchase amount
of $3,436,400 which includes the purchase price of $3,430,000, $2,000 for Phase I Environmental
Assessment, $4,000 for Phase II Environm ental Assessment and $400 for closing costs. No budget
amendment is necessary.
Mr. Richard explained that the property owners had declined a larger offer from developers because they
wished the property to be kept as green space.
Mr. Hughson indicated that the property owners had requested a guarantee that the property was
maintained as parkland but he explained to them that the Parks Commission occasionally sells off land and
could not provide this guarantee.
At the request of Commissioner Palmer, Mr. Richard provided an update on several pieces of pending state
legislation, including a proposed sales tax on items purchased for golf courses and facilities that, if enacted,
would increase Parks' expenditures an estimated $120,000 and another proposal that would require
municipal golf courses to pay the state so much money per acre. There is also pending legislation for
Wayne County would require 50% of its millage collection for parks go back to the local communities for
recreational purposes based o n population. This could impact Oakland County at a later date.
Crawford moved approval of the attached suggested Fiscal Note. Supported by Palmer.
Motion carried unanimously on a roll call vote.
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July 14, 2005
COMMUNICATIONS
A. Department of Management and Budget / Purchasing Division - Contract Exception Report for the
Month of June, 2005
Mr. Bertolini explained that Mr. Rauch of WWJ was doing a technology tour of Michigan and that the
County Executive wanted to take advantage of this opportunity to promote Wire less Oakland and to
explain that the County would not own the technology or compete.
Committee members discussed the Contract Exception Report, agreed that this policy should be
reviewed further and asked that this issue be placed on the next Finance Agen da.
B. Department of Economic Development & Community Affairs - Waste Resource Management -
Brownfields Assessments - Hazardous Material/Petroleum Grant Application
Palmer moved to receive and file the communications. Supported by Melton.
Motion carried on a voice vote.
THE COMMITTEE RECESSED FROM 10:56 A.M. TO 11:08 A.M.
OTHER BUSINESS/ADJOURNMENT
FY 2006 / FY 2007 COUNTY EXECUTIVE RECOMMENDED BUDGET OVERVIEW
Chairman Moss explained that committee members who wished to make any changes to the budget should
also indicate how the money would be provided. Committee members were informed that they could
request hearings of individual departments.
Ms. Van Pelt explained that budget tasks were based on how much a department's operating line items
increased from last year's adopted budget. She asked that if a commissioner wished to increase a
program, they should identify another program to be reduced rather than increase the overall budget task.
Commissioner Zack asked if program aspects of the budget ha ve been reviewed to address structural
problems.
Ms. Van Pelt explained that a program budget document is printed each year and that the Administration is
looking at various tools, such as the data warehouse to evaluate this information.
The following departments and elected officials were requested to come before the Finance Committee: the
Health Division and the West Nile program, Probate Court, MSU Extension, Arts, Culture and Film, the
Historical Commission and the Sheriff.
Commissioner Long asked if the Medical Care Facility was a mandated function and how lawsuits resulting
from this facility were funded.
Mr. Soave explained that the General Fund does not support the Medical Care Facility. The Facility pays
liability insurance through Risk Manag ement from the Internal Services Fund.
Commissioner Palmer reported that on July 12 the Planning and Building Committee was presented with a
Capital Improvement Plan (CIP) recommending $5.3 million for Building projects. He noted that the
Executive's Budget Message indicates $3 million being recommended for the CIP and that the Planning &
Building Committee should reconsider this information.
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July 14, 2005
Mr. Soave explained that the Administration is proposing to establish a new fund, called the Capital
Cooperative Initiative Reimbursement Fund (CCIRF), to cover current and future costs of one -time County
capital improvement projects and cooperative capital projects between the County and its local units. The
CCIRF would be funded by the State -enacted tax shift. For FY 2005-2007 one-third of the tax levy, by law,
must be placed in a Revenue Sharing Reserve Fund. The fund will then total $231 million. Starting in
2006, the County can annually withdraw $21 million plus an inflation factor from that fund. For FY 200 6 the
Administration is proposing to use $14 million for current general fund operations and $7 million to establish
the CCIRF. The following General Fund projects are proposed to be shifted to the CCIRF: Capital
Improvement for $2.7 million, Technology Support to Locals (OakNet) for $3 million, the West Nile Program
for $0.5 million, Marine Safety Capital Replacement $0.3 million, Help American Vote Act (HAVA) Election
Enhancements for $0.3 million, Cooperative Efforts for $0.2 million and the Main Stree t Program for $0.15
million. The County will continue to wean its General Fund operations from Revenue Sharing by reducing
the use of Reserve Funds by $1.5 million annually for the next ten years.
Members of the Committee asked for a copy of the CCIRF's operational rules.
Mr. Daddow indicated that this information has not been completed.
Commissioner Palmer asked if it were correct to say that if the rules were not in place and reviewed by the
Board of Commissioners by October 1 there would be no CCI RF.
Mr. Daddow indicated that this was a correct statement. He reported that the Leadership Academy is
working to identify all the projects the County does for its local units (Phase I) and how much it costs. He
will hear a report on Phase 1 tomorrow an d expects the project to be completed this summer.
Mr. Soave reported that the budget also includes a 4.19 millage levy and a 2% salary increase.
There being no other business to come before the committee, the meeting was adjourned at 11:52 a.m.
________________________ _______________________________
Helen A. Hanger Lawrence M. Doyle
Senior Committee Coordinator Administrative Director
NOTE: The foregoing minutes are subject to Committee approval.