HomeMy WebLinkAboutMinutes - 2011.04.28 - 36529TOM MIDDLETON
Chairperson
SHELLEY TAUB
Vice Chairperson
DAVID WOODWARD
Minority Vice Chairperson
April 28, 2011
Chairperson Middleton called the meeting of the Finance Committee to order at 9:04 a.m. in the Board
of Commissioners' Committee Room A of the Commissioners' Auditorium Wing, County Service Center
in Pontiac, Michigan.
COMMITTEE MEMBERS PRESENT
Tom Middleton, Shelley Taub, David Woodward, Christine Long, David Potts, Jim Runestad,
Kathy Crawford, Bill Dwyer, Helaine Zack, Tim Greimel, Nancy Quarles
COMMITTEE MEMBERS ABSENT :
None.
OTHERS PRESENT
CLERK/REGISTER OF DEEDS Larry Doyle, Deputy
ELECTIONS Joe Rozell, Director
EXECUTIVE Bob Daddow, Deputy Executive
FISCAL SERVICES Tim Soave, Manager
Nancy Fournier, Chief
Penny Cremer, Chief
LaVerne Smith, Supervisor
Leo Lease, Analyst
Prentiss Malone, Analyst
Nancy Falardeau , Analyst
HUMAN RESOURCES Dana Cosby, Analyst
INFORMATION TECHNOLOGY Tammi Shepherd, Supervisor
SHERIFF Michael McCabe, Undersheriff
Dale Cunningham, Business Manager
WATER RESOURCES COMMISSIONER John McCulloch, Water Resources Commissioner
Kevin Larsen, Chief Deputy
PLANTE & MORAN, PLLC Les Pulver, Partner
William Brickey, Senior Manager
Tim St. Andrew, Field Supervisor
Joe Heffernan, Audit Partner
BOARD OF COMMISSIONERS Jim Ver Ploeg, Administrative Director
Harvey Wedell, Sr. Analy st
Julia Ruffin, BOC Liaison
Helen Hanger, Sr. Committee Coordinator
PLEDGE OF ALLEGIANCE
Chairperson Middleton led the Pledge of Allegiance.
OAKLAND COUNTY BOARD OF COMMISSIONERS
1200 N. TELEGRAPH ROAD, PONTIAC, MI 48341-0475
Telephone (248) 858 -0100 FAX (248) 858-1572
FINANCE COMMITTEE
Christine Long
David Potts
Jim Runestad
Kathy Crawford
Bill Dwyer
Helaine Zack
Tim Greimel
Nancy Quarles
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April 28, 2011
APPROVAL OF THE PREVIOUS MINUTES
Dwyer moved approval of the previous minutes o f April 14, 2011 as printed. Supported by
Potts.
Motion carried on a voice vote.
AGENDA
No changes.
PUBLIC COMMENT
None.
FY 2011 - FY 2013 CONTINGENCY REPORT
The FY 11 Contingency Fund balance of $301,917 will be reduced by $77,309 to $224,608 with adoption of
item 3. The Grant Match fund of $1,984,471 will remain unchanged by today’s agenda.
Zack moved to receive and file the FY 2011 Contingency Report dated April 20, 2011. Supported by
Crawford.
Motion carried on a voice vote.
CONSENT AGENDA
1a. MR #11082 – BOARD OF COMMISSIONERS – TRI-PARTY IMPROVEMENT PROGRAM
FISCAL YEAR 2011 APPROPRIATION – CHARTER TOWNSHIP OF ORION – PROJECT NO. 50811
Introduced by Commissioner Gingell, the resolution approves the project submitted by the Charter
Township of Orion as eligible for Tri-Party Road Improvement Program funding and authorizes the release
of the County’s one-third share of funding from the General Fund Designated Fund Balance. The program
consists of the construction of a right -turn lane on Scripps Road at M-24. A copy of the Cost Participation
Agreement between the Road Commission for Oakland County and the Township is included. A budget
amendment of $29,167 will be made as outlined in the Fiscal Note.
1b. MR #11080 – BOARD OF COMMISSIONERS – TRI-PARTY IMP ROVEMENT PROGRAM
FISCAL YEAR 2011 APPROPRIATION – CITY OF ROYAL OAK – PROJECT NO. 580831
Introduced by Commissioners Woodward and Covey , the resolution approves the project submitted by the
City of Royal Oak as eligible for Tri-Party Road Improvement Program funding and authorizes the release
of the County’s one-third share of funding from the General Fund Designated Fund Balance. The program
consists of new concrete pavement, curb and gutter, drainage improvements and ADA upgrades . A copy
of the Cost Pa rticipation Agreement between the Road Commission for Oakland County and the City is
included. A budget amendment of $150,667 will be made as outlined in the Fiscal Note.
Taub moved approval of the attached suggested Fiscal Notes for Consent Agenda Items 1a –
1b. Supported by Runestad.
Motion carried unanimously on a roll call vote with Woodward, Greimel and Quarles absent.
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April 28, 2011
2. FY 2010 AUDIT PRESENTATION BY PLANTE & MORAN
Messrs. Pulver, Brickey, St. Andrew and Heffernan presented the letter of audit communications and power
point material summarizing the Report to the Finance Committee, which was included in the agenda
mailing, for the audit of Fiscal Year 2010, ending September 30, 2010. An explanation of the requ irement
for the letter, contents of the letter and the audit process were summarized. Mr. Pulver explained that the
letter is a requirement to communicate findings with those in charge of governance. The County
Comprehensive Annual Financial Report (CAFR) is audited in accordance with general accounting
standards and an opinion is expressed on the fairness of the county’s financial statements. The letter
indicates the following: n o new significant accou nting policies were put in place and no existing policies
were changed; no transactions occurred for which there was no authoritative guid ance or consensus; n o
significant transactions occurred in a different period and accounting estimates for significant receivables
and liabilities are reported as reasonable. Disclosures that are particularly sensitive to the financial
statements were reported as neutral, consistent and clear. These in clude deposits and investments, the
Defined Benefit and Defined Contribution Plans and Postemployment Benefits. There were no
disagreements with manageme nt and no consultation with other accountants by management that the
auditors are aware of. The only issue wa s a delay in receiving the Schedule of Expenditures of Federal
awards for the single compliance audit of grants which is in process and should be issued by June 30,
2011. The County has received an unqualified opinion which is the highest opinion you can receive from
your auditors.
Commissioner Potts asked why no opinion is provided on internal controls.
Mr. St. Andrew explained that the auditor’s letter contains a legal disclaimer regarding the consideration of
internal controls solely for the purpose of determining audit procedures of the financial statements and does
not provide assurance concerning such controls. A typical financial statemen t audit does not include such
a review. If requested, there is a different procedure that could be done to review internal controls but it is
more for service agencies relying on those controls and is not really appropriate for Oakland County.
Mr. Brickey reviewed the various presentation graphics which include the sources of general fund b alance,
taxable property value, expenditures, total General Fund balance, the Revenue Sharing Reserve Fund,
Change in Net Assets/Fund Balance (Employees Retirement/VE BA and Interim Retiree Medical Benefits
Trust) the Delinquent Tax Revolving Fund Net Assets and fund deficits, for which the County has filed the
required deficit elimination plans with the State. Discussion followed.
Mr. Pulver indicated that if commiss ioners had questions, they could contact him, he could provide answers
through Board staff or he would be happy to visit again at no cost. Mr. Soave also indicated that Mr. Pulver
would be happy to go over the CAFR with any commissioner who wished to do s o.
Long moved to receive and file the audit presentation material submitted by Plante & Moran
for FY 2010 . Supported by Woodward.
Motion carried on a voice vote.
3. MR #11076 – OAKLAND COUNTY APPORTIONMENT APPROPRIATION
The Oakland County Apportion ment Commission is requesting an appropriation of $77,309 to comply with
the provisions of Public Act 261 of 1966 to apportion the County Commissioner Districts following the 2010
Federal Census. To accomplish this task, it is estimated that $32,230 will be utilized for software
acquisition and $45,069 for Information Technology support to prod uce an approved map and plan.
Funding will come from the Non -Departmental Contingency Fund. A budget amendment will be made as
FINANCE COMMITTEE Page 4
April 28, 2011
outlined in the Fiscal Note.
Commissioner Woodward asked if the software had already been paid for before final authorization from
the Board of Commissioners and when the process had begun. Several other members of the committee
indicated that they would have liked to have been apprised o f this effort sooner.
Mr. Rozell reported that the invoice has not yet been received but they have begun to use the product due
to the timeline of events. Discussion began sometime in December/January with the Information
Technology Department on how to proceed. The State had decided to move forward with their contract so
a decision to utilize their contract would need to be made quickly. The Apportionment Commission was not
able to coordinate their schedules and convene until March 2, at which time t he alternatives, including a
request for proposal process, were presented. They requested additional information. On March 9 the
Commission adopted a motion to purchase the State’s software and to ask Elections to proceed with this
request through the Board of Commissioners. The apportionment process must be complete by May 22.
After that time, the software can be utilized to develop legal descriptions for commissioner districts and to
allow local clerks to redraw precinct lines in the event there are precinct splits. The County Clerk monitors
precinct numbers throughout the year based on voter count.
Discussion followed.
Dwyer moved approval of the attached suggested Fiscal Note. Supported by Taub.
Motion carried on a roll call vote with Woodward and Greimel voting no and Quarles absent.
4. MR #11078 – WATER RESOURCES COMMISSIONER – FY 2011 – 2014 BUDGET TASK
The Water Resources Commissioner is requesting authorization to make structural staffing changes to
address his Fiscal Year 2011 – 2014 Budget Task. These actions will include the deletion of one Special
Revenue (SR) full-time eligible (FTE) Drainage District Legal Counsel position and one vacant general
fund-general purpose FTE Account Clerk I position and to create a new classification and SR position of
Paralegal – WRC, all actions to become effective on June 4, 2011. Budget amendments and details
regarding offset of these actions by changes in Revenue Reimbursement are outlined in the Fiscal Note.
Crawford moved approval of the attached suggested Fiscal Note . Supported by Zack.
Motion carried unanimously on a roll call vote with Quarles absent .
COMMUNICATIONS
A. Notice of Hearing on April 18, 2011 Re: Proposed Commercial Rehabilitation District for Facility
Located at 300 N. Opdyke, Au burn Hills, MI 48326
Runestad moved to receive and file the communication s. Supported by Potts.
Motion carried on a voice vote.
OTHER BUSINESS / ADJOURNMENT
There being no other business to come before the committee, the meeting was adjourned at 10:14 a.m.
________________________ _______________________________
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April 28, 2011
Helen A. Hanger Jim Ver Ploeg
Senior Committee Coordinator Administrator Director
NOTE: The foregoing minutes are subject to Committee approval.