HomeMy WebLinkAboutMinutes - 2006.12.04 - 36135CHRISTINE LONG
Chairperson
ERIC WILSON
Vice Chairperson
MATTIE MCKINNEY HATCHETT
Minority Vice Chairperson
December 4, 2006
Chairperson Long called the meeting of the General Government Committee to order at 2:01
p.m. in Committee Room A, Commissioners’ Wing, County Service Center, Pontiac, Michigan.
COMMITTEE MEMBERS PRESENT:
Christine Long, Mattie McKinney Hatchett, Hugh D. Crawford, Eric Wilson, Eileen Kowall,
Will Molnar, Bradford Jacobsen, Vincent Gregory, David Coulter and Tim Melton
COMMITTEE MEMBERS ABSENT WITH NOTICE:
None
OTHERS PRESENT
CORPORATION COUNSEL Judy Cunningham, Corporation Counsel
EXECUTIVE OFFICE Jerry Poisson, Deputy County Executive
Bob Daddow, Deputy County Executive
FISCAL SERVICES Tim Soave, Manager
GOLDEN OAKS Cindy Davis, Manager
HEALTH DIVISION George Miller, Manager/Health Officer
HEALTH AND HUMAN SERVICES Dr. Tom Gordon, Director
HUMAN RESOURCES Nancy Scarlet, Director
Karen Jones, Supervisor, Labor Relations
Heather Mason, Analyst
MANAGEMENT & BUDGET Laurie Van Pelt, Director
Art Holdsworth, Deputy Director
PURCHASING Scott Guzzy, Chief
CIENA HEALTHCARE David Stobb, General Counsel
CITIZENS FOR BETTER CARE Toni Wilson, Local Long-Term Care, Ombudsman
THE DETROIT NEWS Maureen Feighan, Reporter
TOUCHSTONE Jason Jarvosa, Associate
OLHSA Ron Borngesser, CEO
BOARD OF COMMISSIONERS Bill Bullard, Jr., Commissioner, District #2
Larry Doyle, Administrative Director
Harvey Wedell, Senior Analyst
Sheryl Mitchell, Senior Analyst
Julia Ruffin, Commissioner Liaison
Pamela Worthington, Committee Coordinator
PLEDGE OF ALLEGIANCE
OAKLAND COUNTY BOARD OF COMMISSIONERS
1200 N. TELEGRAPH ROAD, PONTIAC, MI 48341-0470
Telephone (248) 858-0100 FAX (248) 858 -1572
GENERAL GOVERNMENT COMMITTEE
Hugh D. Crawford
Eileen Kowall
Will Molnar
Bradford Jacobsen
Vincent Gregory
David Coulter
Tim Melton
GENERAL GOVERNMENT COMMITTEE Page 2
November 9, 2006
PUBLIC COMMENT
Ms. Wilson, Local Long-Term Care Ombudsman, Citizens for Better Care, expressed her
opposition to the sale of Oakland County’s Golden Oaks facility because she stated that County
facilities have a mission to help very low income people who can’t find placement anywhere else,
and people who have hard-to-place needs that can’t be placed anywhere else. She does not want
to see another County facility disappear. In regards to the potential sale of the facility, she asked
the committee members to look very carefully at the survey and complaint history of the company
that the County would sell Golden Oaks to and take it into consideration in the best interest of the
residents of the facility.
APPROVAL OF THE PREVIOUS MINUTES
Crawford moved approval of the minutes of November 9, 2006 and November 13, 2006,
as printed. Supported by Jacobsen.
Motion carried on a voice vote.
AGENDA ITEMS
1. DEPARTMENT OF HEALTH AND HUMAN SERVICES/HEALTH DIVISION – 2006/2007
SUBSTANCE ABUSE GRANT ACCEPTANCE
The Michigan Department of Community Health (MDCH) has awarded $4,664,245 in Substance
Abuse Grant Funds to the Oakland County Health Division for the period of October 1, 2006
through September 30, 2007. The funds would be used to subcontract with agencies to prevent
and reduce the incidence of drug and alcohol abuse and dependency. The resolution authorizes
the acceptance of the $4,664,245 grant award. Future level of service, including personnel, is
contingent upon continued funding for this program.
Wilson moved approval of the attached suggested resolution. Supported by Kowall.
Motion carried unanimously on a roll call vote.
2. COUNTY EXECUTIVE ADMINISTRATION – GOLDEN OAKS MEDICAL CARE FACILITY –
MANAGEMENT AGREEMENT
The Golden Oaks Medical Care Facility (MCF) has experienced significant operating losses
exceeding $3.6 million from FY 2003 through FY 2006. The Fiscal Services Division is anticipating
additional operating losses exceeding $12.5 million during the period from FY 2007 through FY
2010. Facilities Management estimates that the County would have to invest between $4.9 million
to $16.9 million to make critical facility upgrades that are necessary for the long-term continuance
of MCF operations. Over 80 organizations were invited to participate in a Request for Proposal
(RFP) process, with six providers attending a mandatory pre -bid meeting in April, 2006, which
resulted in three RFP responses being submitted by June 9, 2006. An evaluation committee
reviewed the responses, conducted site visits, ranked the respondents and recommended that a
public/private partnership agreement be entered into with Ciena Healthcare Management, Inc.
This company is currently operating about 2597 beds in 27 facilities in the State of Michigan. The
resolution authorizes the County Executive to negotiate and execute a final Management
Agreement with Ciena HealthCare Management, Inc., which would accomplish the following:
GENERAL GOVERNMENT COMMITTEE Page 3
November 9, 2006
1. Transfer operation and control of the MCF to Ciena effective on a mutually agreed date set
forth in the Agreement to continue for a period of up to three years.
2. Require Ciena, in exchange for a payment of $500,000 annually over a three -year term, to
fully assume and be responsible for any losses or profits of the facility, as well a s any and
all other liabilities of operations.
3. Require Ciena to be fully responsible for the day -to-day operations, compliance with state
and federal statutory and regulatory codes, cost reports, contracts, insurances, periodic
building maintenance, legal services, employment, recruitment, selection, training, and
retention of all staff and any and all other aspects of facility supervision, management and
operation.
4. Require Ciena to provide existing employees with the opportunity to continue employment
with Ciena or an affiliated employment entity.
5. Require Ciena, during the term of the Agreement, to seek land in the Pontiac area and
obtain a certificate of need (CON) to replace the Golden Oaks facility with a newly
constructed/remodeled facility. The County will cooperate in Ciena’s efforts to obtain a
CON for replacement facility.
6. Provide that upon completion of a new facility, the licensed beds and CON of Golden Oaks
will be transferred from the County to Ciena and the new facility for no additional
consideration.
7. Provide all residents of Golden Oaks the opportunity to transfer to the new facility.
8. Commit Ciena to maintaining/providing 120 fully-certified/licensed Medicaid/Medicare beds
in Oakland County.
9. Provide that, if for any reason Ciena is unable to s ecure land in the Pontiac area, or if a
CON cannot be obtained for the replacement facility, that Ciena will continue to operate the
MCF and execute a lease agreement with the County leasing the MCF at a fair market rent.
The resolution directs the Department of Human Resources to take all steps, consistent with the
Merit System Rules and any applicable collective bargaining agreements, that are necessary or
desirable to transfer, separate, assist or place MCF or other county employees , whose services
are no longer required as a result of creation of the County -Ciena partnership.
Commissioner Hatchett stated that the General Government Committee had created a study group
that was supposed to meet and talk with folks and look at alternative ways to keep Go lden Oaks a
County facility. That did not happen. She indicated that to her knowledge there was no effort put
into looking at either capital funds or whatever was needed to upgrade the MCF to get it to 100%
occupancy. This facility for years and years had a waiting list, and she believed that there was as
much interest at keeping Golden Oaks as there was to keep Little Oaks. She indicated that they
could have found a way to bring the MCF up to 100% occupancy so that the County wouldn’t be
operating at a loss. She questioned that if a private company was interested in buying the MCF,
there must be a potential to make a profit because businesses are only concerned about making a
profit. She indicated that the residents at the MCF are vulnerable people, and she is concerned
about their future being up in the air. She expressed her concern for the employees at Golden
Oaks as well. Maybe someone only has a few years to retire with the County, and now they would
have nothing. Ciena might take the employees , and they might not. She expressed her
disappointment that more wasn’t done to look into keeping Golden Oaks a County facility.
GENERAL GOVERNMENT COMMITTEE Page 4
November 9, 2006
Jerry Poisson indicated that County administration did prepare estimates for capital improvement
of the facility, but they found it more beneficial financially to have Ciena manage the facility.
Nancy Scarlet indicated that there are 57 full-time employees, and Human Resources would be
meeting with them individually to let them know what options they may have. Some of the
employees may have bumping rights in the Oakland County Health Department.
Kowall moved approval of the attached suggested resolution. Supported by Jacobsen.
ROLL CALL VOTE:
AYES: Wilson, Crawford, Kowall, Molnar, Jacobsen, Long (6)
NAYS: Hatchett, Gregory, Coulter, Melton (4)
Motion carried on a roll call vote.
COMMUNICATIONS
A. Clerk/Register of Deeds – Calendar Year 2007 Grant Assistance for Survey and
Remonumentation Application
B. Oakland County Senior Advisory Council – Meeting Minutes of October 16, 2006
Kowall moved to receive and file the Communications. Supported by Jacobsen.
Motion carried on a voice vote.
OTHER BUSINESS/ADJOURNMENT
There being no other business to come before the committee, the meeting was adjourned at 3:50
p.m.
________________________ _______________________________
Pamela L. Worthington Lawrence Doyle
Committee Coordinator Administrative Director
NOTE: The foregoing minutes are subject to Committee approval.