HomeMy WebLinkAboutMinutes - 2009.07.09 - 36364TOM MIDDLETON
Chairperson
MIKE GINGELL
Vice Chairperson
TIM GREIMEL
Minority Vice Chairperson
July 9, 2009
Chairperson Middleton called the meeting of the Finance Committee to order at 9:02 a.m., in the Board
of Commissioners' Committee Room A, Commissioners' Wing, County Service Center, Pontiac,
Michigan.
COMMITTEE MEMBERS PRESENT
Tom Middleton , Tim Greimel, Sue Ann Douglas , Christine Long , Jeff Potter, David Potts,
Shelley Taub, Helaine Zack, David Coulter, David Woodward
COMMITTEE MEMBERS ABSENT WITHOUT NOTICE :
Mike Gingell
OTHERS PRESENT
AUDITING Pam Weipert, Manager
CIRCUIT COURT -FAMILY DIVISION John Cooperrider, Deputy Court A dministrator
Pamela Davis, Manager
John Cooperrider,
COMMUNITY CORRECTIONS Barb Hankey, Manager
EQUALIZATION Dave Hieber, Manager
EXECUTIVE OFFICE Robert Daddow, Deputy Executive
FACILITIES MANAGEMENT Art Holdsworth, Director
FISCAL SERVICES Tim Soave, Manager
LaVerne Smith, Supervisor
Nancy Fournier, Chief
Nancy Falardeau, Analyst
Bob Riegal, Analyst
HUMAN RESOURCES Nancy Scarlet, Director
Cathy Shallal, Manager
Frank Russell, Analyst
COMMUNITY DEVELOPMENT &
COMMUNITY AFFAIRS Maureen Krauss, Director
PURCHASING Jack Smith, Manager
SHERIFF Mike McCabe, Undersheriff
Dale Cunningham, Business Manager
TREASURER Jim VanLeuven, Chief Deputy
MICHIGAN ASSOC. OF COUNTIES Tom Hickson, Director of Legislative Affairs
BOARD OF COMMISSIONERS Lawrence Doyle, Administrative Director
Harvey Wedell, BOC Sr. Analyst
Helen Hanger, Sr. Committee Coordinator
OAKLAND COUNTY BOARD OF COMMISSIONERS
1200 N. TELEGRAPH ROAD, PONTIAC, MI 48341-0475
Telephone (248) 858 -0100 FAX (248) 858-1572
FINANCE COMMITTEE
Sue Ann Douglas
Christine Long
Jeff Potter
David Potts
Shelley Taub
Helaine Zack
David Coulter
David Woodward
FINANCE COMMITTEE Page 2
July 9, 2009
3. PLEDGE OF ALLEGIANCE
4. APPROVAL OF THE PREVIOUS MINUTES
Coulter moved approval of the minutes of June 4, 2009 and June 11, 2009 as printed.
Supported by Potts.
Motion carried on a voice vote.
5. AGENDA
Item 18 was removed from the agenda due to it being postponed by the General Government
Committee. There were no objections.
Commissioner Coulter asked that any members of the Finance Committee who have questions
regarding Item 18 (MR #09129) contact him. He also requested that Communication Item G be
placed on the regular agenda. There were no objections.
6. PUBLIC COMMENT
None.
7. FISCAL YEAR (FY) 2009 CONTINGENCY REPORT
The FY 2009 Contingency Fund balance of $183,752 will be increased to $185,252 with approval of Item
12. Revised information on the Capital and Cooperative Initiatives Revolving Fun d was distributed.
Chairperson Middleton pointed out that an amendment included in Item 15 would impact the Marine Safety
Capital budget by $12,000.
Mr. Soave explained that the various Transition dollar designations had resulted from the elected official s
having accelerated their budget cuts sooner and in larger amounts than required and that the resulting
balance was available to credit towards future years.
Long moved to receive and file the Contingency Report dated July 1, 2009. Supported by Potts.
Motion carried on a voice vote.
REGULAR AGENDA
8. TREASURER’S OFFICE – POSITION DELETION TO REDUCE COSTS
The Treasurer is requesting authorization to delete one vacant General Fund/General Purpose Summer
Business Assistant position as part of his FY 2010 – 2012 budget task. These duties will be redistributed to
other division employees. The remaining portion of the Treasurer’s B udget Task is included in the
Executive’s Recommended FY 2010 – 2012 Budget. Amendments will be made as outlined in the Fiscal
Note.
Taub moved approval of the attached suggested Fiscal Note. Supported by Coulter.
Motion carried unanimously on a roll call vote with Gingell absent.
FINANCE COMMITTEE Page 3
July 9, 2009
9. CIRCUIT COURT / FAMILY DIVISION – REQUEST FOR APPROVAL OF CONTRACT WITH A
FORMER COUNTY EMPLOYEE
The Circuit Court/Family Division is requesting authorization to enter into two separate Professional
Services Contracts with former Oakland County employee James Windell to coordinate and conduct court -
mandated adolescent anger reduction treatment groups for youths and to coord inate and conduct joint
parenting groups for high conflict, post divorce couples within the CC/FD Psychological Clinic. The Court is
running 6-8 groups a week. Both contracts will begin July 17, 2009 and expire July 16, 2010. A Request
for Proposal was performed to provide these services. Mr. Windell is retired from the Court after having
been their Clinical Psychologist for 20 years. Funding is available within the Court’s budget. No budget
amendment is required.
Ms. Davis explained that as part of the Court’s budget task, 12 positions were deleted, including those
within the Psychological Clinic. Mr. Windell was performing this service as a part-time, non-eligible but his
hours have expired and the Court conti nues to have a need for this function. There is a savings to the
Court to contract with Mr. Windell to provide this service rather than to pay the charges of a private practice
psychologist. Four bids were received based on the requested services and the amount the Court was
willing to pay. Funding for this contract is available within the Court’s budget.
Commissioner Douglas asked that in the future, information on the cost savings be included with these
types of proposals.
Taub moved approval of the attached suggested Fiscal Note. Supported by Zack.
Motion carried unanimously on a roll call vote with Gingell absent.
10. COUNTY EXECUTIVE/AUDITING DIVISION – REVISED IMPREST PETTY CASH PROCEDURES
Auditing is requesting authorization to amend the Imprest Petty Cash Procedures to transfer the
responsibility for approving imprest petty cash fund requests to the Treasurer’s office and approval of petty
cash purchases over the $50.00 limit to Fiscal Services. These changes will allow the Audit Divisi on to
avoid violating the overarching independence principles necessary to conduct an audit of these funds. The
Auditing Subcommittee reviewed these amendments to the procedures on June 11, 2009 and supports
these changes.
Mr. Soave reported that the number of petty cash purchases over $50.00 has decreased substantially due
to the implementation of the P -Card program.
Coulter moved approval of the attached suggested Fiscal Note. Supported by Taub.
Motion carried unanimously on a roll call vot e with Gingell absent.
11. DEPARTMENT OF PUBLIC SERVICES/COMMUNITY CORRECTIONS – MICHIGAN
DEPARTMENT OF CORRECTIONS, OFFICE OF COMMUNITY CORRECTIONS, COMMUNITY
CORRECTIONS COMPREHENSIVE PLAN AND APPLICATION FOR FY 2010
Community Corrections is requesting aut horization to apply for funding from the Michigan Department of
Corrections, Office of Community Corrections , in the amount of $3,806,197, with no required County match.
If awarded, funding will support specific positions as indicated in the Fiscal Note. Application to the grantor
agency requires a resolution from the Board of Commissioners for submission.
Zack moved approval of the attached suggested Fiscal Note. Supported by Potter.
FINANCE COMMITTEE Page 4
July 9, 2009
Motion carried unanimously on a roll call vote with Gingell absent.
12. DEPARTMENT OF MANAGEMENT AND BUDGET / EQUALIZATION DIVISION – APPROVAL
OF CONTRACT FOR OAKLAND COUNTY EQUALIZATION DIVISION ASSISTANCE SERVICES WITH
THE MICHIGAN STATE TAX COMMISSION
Equalization is requesting authorization to enter into a contract with the State Tax Commission to
reappraise parcel #88-20-28-302-031 in the City of Troy for the sum of $1,500. Public Act 610 of 2002
allows for appraisals of real property of telephone and telegraph companies within Michigan. The State Tax
Commission has requested that the County appraise this parcel based on those issues outlined in its letter
of January 12, 2009 to Mr. Hieber. A budget amendment will be made as outlined in the Fiscal Note.
Mr. Hieber indicated that any appeal of this appraisal w ould be handled by the Attorney General.
Taub moved approval of the attached suggested Resolution. Supported by Coulter.
Motion carried unanimously on a roll call vote with Gingell absent.
13. DEPARTMENT OF MANAGEMENT AND BUDGET / EQUALIZATION DIVISI ON – APPROVAL
OF CONTRACT FOR OAKLAND COUNTY EQUALIZATION DIVISION ASSISTANCE SERVICES WITH
THE TOWNSHIPS OF COMMERCE, GROVELAND, HIGHLAND, MILFORD, OXFORD, ROYAL OAK,
SOUTHFIELD AND WEST BLOOMFIELD AND THE CITIES OF BERKLEY, CLARKSTON,
FARMINGTON, HAZEL PARK, HUNTINGTON WOODS, KEEGO HARBOR, NOVI, ORCHARD LAKE
VILLAGE, PLEASANT RIDGE, SOUTH LYON, SYLVAN LAKE, WALLED LAKE AND WIXOM
Equalization is requesting authorization to contract with the above -noted communities to provide
equalization services, including original assessments, reappraisals and file maintenance for the term of July
1, 2009 through June 30, 2011. Previously established rates will remain unchanged for these contracts.
Revenues and expenditures for these contracts are included in the FY 20 10-2012 County Executive
Recommended Budget.
Long moved approval of the attached suggested Resolution. Supported by Potter.
Motion carried unanimously on a roll call vote with Gingell absent.
14. PAYMENT OF 2009 MAC DUES
MR #04298 requires a yearly evaluation by the Finance Committee of its Michigan Association of Counties
(MAC) dues prior to payment. Mac dues of $72,811.73 will cover the period of July 1, 2009 – June 30,
2010. This amount is the same as it was for the previous year.
There was discussion regarding Oakland County acquiring a permanent seat on the MAC Board based on
it being the largest payer of dues, the formulary for the dues and MAC’s lobbying activities and its budget.
Mr. Hickson explained that MAC has implemented several cost savings efforts, including a reduction in
travel and converting to an electronic newspaper. The dues formula for counties is based on assessed
property value and population, with the he avier portion being based on property values.
Commissioner Douglas asked to be provided with a detailed line item budget for MAC which includes
revenues sources and expenditures.
Commissioner Potter asked to be provided with information on when was the last time the dues were re -
balanced with the formula and the actual current property value scenario.
FINANCE COMMITTEE Page 5
July 9, 2009
Commissioner Potts stated that he believes there is value in the County’s association with MAC when they
are in agreement but stated that Oakland County should have a permanent seat on the MAC Board.
Mr. Hickson indicated that he would provide the information committee members requested and that he
would work with Oakland County to obtain a permanent MAC seat if they so desired. He noted that this
particular process would require certain geographic boundaries to be c hanged through the MAC resolution
process.
Taub moved to recommend the release of funds to pay the MAC invoice of $72,811.73 for
the period July 1, 2009 – June 30, 2010. Supported by Woodward.
Motion carried on a roll call vote with Douglas and Long v oting no and Gingell absent.
15. DEPARTMENT OF MANAGEMENT AND BUDGET – FISCAL YEAR 2009 SECOND QUARTER
FINANCIAL FORECAST AND FY 2009 BUDGET AMENDMENTS
Management and Budget is requesting authorization to amend the FY 2009 Budget in accordance with th e
Uniform Budgeting and Accoun ting Act for Local Units of Government and the County’s General
Appropriations Act as detailed in the resolution and accept ance of the FY 2009 Second Quarter Financial
Report.
Mr. Soave reported that charges for services ha ve fallen off in most areas, including the Clerk’s Office,
Circuit Court, District Courts, etc., as a result of decreased activities. Investment income and receipt of
grant funds has also dropped. Property taxes and indirect cost recovery for grants is f avorable due to less
reductions than previously anticipated. He reported that the Revenue S haring Reserve Fund will be
depleted in about 2.5 years and at that point the County may need to issue short -term tax anticipation notes
to cover its cash needs until taxes are collected in July-August.
Ms. Van Pelt indicated that they would be talking to the Treasurer’s Office i f it becomes necessary to issue
short-term tax anticipation notes in several years. The County would budget $1 million for interest expense
towards these notes.
Taub moved to recommend approval of the attached suggested Resolution. Supported by
Woodward.
Motion carried unanimously on a roll call vote with Gingell absent.
16. MR #09052 – BOARD OF COMMISSIONERS – FREEZING COUNTY MILLAGE RATE
The resolution was introduced by Commissioner Schwartz and indicates that the County Commission
intends to freeze its millage rate at 4.19 mills through fiscal year 2011 -2012.
Ms. Van Pelt indicated that the FY 2010 – 2012 recommended budget as sumes a millage rate of 4.19 but
setting the millage rate must be done formally on an annual basis.
Greimel moved to report to recommend approval of the attached suggested Resolution. Supported
by Potts.
Commissioner Schwartz indicated that he had no objection with taking language from the Substitute for MR
#09057 distributed by Commissioner Douglas (Item 17 – MR #09057 was introduced by Commissioner
Douglas) and combining it with Item !6 if Commissioner Douglas was in agreement. Her name would also
be added as a sponsor to MR #09052.
FINANCE COMMITTEE Page 6
July 9, 2009
Commissioner Douglas indicated that she was in agreement with these changes.
Greimel moved to report to amend MR #09052 by inserting the following language from MR
#09057.
- add to the By line: Commissioner Sue Ann Douglas, District 12;
- take the second – sixth WHEREAS paragraphs from MR #09057 and insert them after the second
WHEREAS in MR #09052;
- insert the NOW THEREFORE BE IT RESOLVED paragraph from MR #09057;
- take the BE IT FURTHER RESOLVED paragraph from MR #09057 and insert it as the second BE
IT FURTHER RESOLVED paragraph in MR #09052;
- change the NOW THEREFORE BE IT RESOLVED paragraph in MR #09052 to be the first BE IT
FURTHER RESOLVED paragraph and insert the words “and is committed to lowering property
taxes when economic conditions permit” at the end of the paragraph.
Supported by Taub. (See changes in bold below.)
MISCELLANEOUS RESOLUTION #09052
BY: Commissioner Steven H. Schwartz District #14 ; Sue Ann Douglas, District #12
IN RE: BOARD OF COMMISSIONERS – FREEZING COUNTY MILLAGE RATE
To the Oakland County Board of Commissioners
Chairperson, Ladies and Gentlemen:
WHEREAS the Board of Commissioners has the responsibility of setting the millage rate for Oakland
County; and
WHEREAS establishing a mil lage rate will allow the County’s financial administrators to better plan for the
future; and
WHEREAS the Oakland County Commissioners have reduced the Oakland County millage rate
three (3) times since 1996; and
WHEREAS the first millage reduction lowered the Oakland County millage rate from 4.4805 mills on
October 17, 1996 to 4.3023 mills; and
WHEREAS the last millage reduction on September 24, 1998 by t he Oakland County Board of
Commissioners lowered the millage rate to 4.19 mills ; and
WHEREAS the Oakland County Board of Commissioners has maintained a 4.19 millage rate since
September 24, 1998 despite the difficult economic times in Michigan, keeping Oakland County one
of the lowest taxing counties in Michigan; and
WHEREAS the Oakland County Board o f Commissioners has demonstrated fiscal restraint
throughout the years and has consistently balanced the Oakland County budget.
WHEREAS Oakland County currently has a millage rate of 4.19 mills, for fiscal year 2009 -2010; and
WHEREAS freezing the County millage rate at 4.19 mills for fiscal years 2010 -2011 and 2011 -2012 will
encourage businesses in Oakland County to expand their workforces and physical plants ; and
WHEREAS freezing the County millage rate for two years will send a signal to the internatio nal business
community that Oakland County is a good place to invest and grow a business ; and
WHEREAS freezing the County millage rate for two years will provide homeowners some tax relief during
FINANCE COMMITTEE Page 7
July 9, 2009
difficult economic times.
NOW THEREFORE BE IT RESOLVED tha t the Oakland County Board of Commissioners is
committed to the principle that low taxes promote business growth.
NOW THEREFORE BE IT FURTHER RESOLVED that the Oakland County Commission intends to freeze
its millage rate at 4.19 mills through fiscal year 2011-2012, and is committed to lowering property taxes
when economic conditions permit .
BE IT FURTHER RESOLVED that the Oakland County Board of Commissioners is committed to
reducing the County millage rate in the future when economic conditions permit su ch action.
Chairperson, I move the foregoing resolution.
Motion to report to amend carried on a roll call vote with Potter voting no and Gingell absent.
Main motion, as amended, carried on a roll call vote with Potter voting no.
G. Facilities Management Department – 2009 Recovery Act – Energy Efficiency and Conservation
Block Grant Application
Commissioner Coulter asked why the committee was seeing the grant application after the
submission date of June 25, 2009 and if any of these funds could be used for intergovernmental
collaboration projects with local units. There is an effort underway to create a regional energy
agency office and counties and local units are being asked to contribute a small portion of this
grant, if awarded, to help fund this office. Without that information included in the grant proposal, he
would not support it. He indicated that he felt it was a policy decision on where the spending would
occur that should have involved the commissioners.
Commissioner Woodward expressed his concerns about the airport being proposed to receive 60%
of these funds and asked that it be confirmed that the grant application could not be amended.
Mr. Holdsworth stated that he did not believe they could amend the submitted application but if the
U.S. Department of Energy has questions, they will contact the County . He suggested that if they
do receive funding they could perhaps look at setting up a revolving fund for the local units.
Ms. Van Pelt indicated that there was a tight turnaround on this application and that it will be difficult
going forward to audit these projects as each will have a different set of rules depending on what
department is involved. The Administration also sees the new airport terminal as an economic
development tool going forward that can be utilized by all the local units. It must be LEED certified
green as much as possible . These projects will help the County avoid future costs. The projects do
not have to be shovel -ready but were required to be design ready to begin quickly. It was her
understanding that the airport would have moved forward to seek these funds regardless of this
application.
Commissioner Potts indicated that these were Recovery Act dollars and asked committee members
to consider that if these were General Fund dollars would they choose these projects as priorities.
Many communities are not taking these dollars.
Ms. Van Pelt advised that there were two rounds of competitive grants. The first round was for large
cities and counties and the second round would be through the State of Michigan for smaller
communities.
FINANCE COMMITTEE Page 8
July 9, 2009
Coulter moved to receive and file Communication Item G. Supported by Taub.
Roll Call:
Ayes: Douglas, Long, Potter, Taub, Greimel, Middleton
Nays: Potts, Zack, Coulter, Woodward
Absent: Gingell
Motion carried.
COMMUNICATIONS
A. Department of Management and Budget / Purchasing Division – Contract Exception Report for the
Month of June, 2009
B. Oakland County Retiree’s Health Care Trust 24 th Annual Actuarial Valuation Report as of 9/30/08
and Oakland County Employee’s Retirement System 64 th Annual Actuarial Valuation Report as of
9/30/08
C. Circuit Court – Friend of the Court – FY 2010 Cooperative Reimbursement Program (CRP) Grant
Application
D. Sheriff’s Office, Prosecuting Atto rney, Circuit Court – 2009 Edward Byrne Memorial Justice
Assistance Grant (JAG) Program – Grant Application
E. Sheriff’s Office – 2009 Bulletproof Vest Partnership (BVP) Program
F. Department of Health and Human Services / Children’s Village – 2009 – 2010 ARRA Equipment
Assistance Grant Application
G. Facilities Management – 2009 Recovery Act – Energy Efficiency and Conservation Block Grants –
Grant Application
H. Economic Development & Community Affairs Department – Community & Home Improvement
Division – Application for Neighborhood Stabilization Program 2 (HSPS)
I. Economic Development & Community Affairs Department – Community and Home Improvement
division – FY 2009 Housing Counseling Grant Application
J. 1. Independence Township Corridor Improveme nt Authority (CIA) 2008 Annual Report
2. Charter Township of Lyon Downtown Development Authority 2008 Annual Report
3. Highland Downtown Development Authority (DDA) 2008 Annual Report
4. Wixom Downtown Development Authority Project Cost Summary (Through June 30, 2008)
5. Village of Holly Downtown Development Authority’s Annual Report for FY 2007 -2008
K. Termination Notice for Real and Personal Property Component(s) of Industrial Facility Exemption
Certificate 2004-592 as Revoked Effective December 30, 2009 for Goertz & Schiele Corp., Located
at 1750 Summit Dr., Auburn Hills, MI 48323
L. Interim Report of the Legislative Commission on Statutory Mandates
M. Sheriff’s Office – 2009 COPS Hiring Recovery Program (CHRP) Grant Application
FINANCE COMMITTEE Page 9
July 9, 2009
N. Sheriff’s Office / CLEMIS – FY 2009 CLEMIS LRMS Application Services Technology
Enhancements Grant Application
O. Sheriffs’ Office, Auto Theft Prevention Authority Grant (ATPA) – FY 2010 Grant Application
P. Economic Development & Community Affairs Department – Community & Home Improvement
Division – 2008 Community Development Block Grant (CDBG) Annual Action Plan – Application for
Substantial Amendment for 2008 Community Development Block Grant – Recovery (CDBG-R)
Gingell moved to receive and file the Communications. Supported by Potts.
Motion carried on a voice vote.
OTHER BUSINESS / ADJOURNMENT
There being no other business to come before the committe e, the meeting was adjourned at 11:25 a.m.
________________________ _______________________________
Helen A. Hanger Lawrence M. Doyle
Senior Committee Coordinator Administrative Director
NOTE: The foregoing minutes are subject to Committee approval.