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HomeMy WebLinkAboutMinutes - 2011.12.08 - 36592TOM MIDDLETON Chairperson SHELLEY TAUB Vice Chairperson DAVID WOODWARD Minority Vice Chairperson December 8, 2011 Chairperson Middleton called the meeting of the Finance Committee to order at 9:07 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 WITH NOTICE: OTHERS PRESENT CIRCUIT COURT -FAMILY DIVISION Lisa Langton, Deputy Administrator FRIEND OF THE COURT Suzanne Hollyer, Friend of the Court ANIMAL CONTROL Larry Obrecht, Manager Joanie Toole, EXECUTIVE Bob Daddow, Deputy Phil Bertolini, Deputy/CIO Matt Gibb, Deputy Executive FACLITIES MANAGEMENT Art Holdsworth, Director Mike Hughson, Property Specialist MANAGEMENT & BUDGET Laurie Van Pelt, Director FISCAL SERVICES Tim Soave, Manager Nancy Fournier, Chief Lynn Sonkiss, Chief LaVerne Smith, Supervisor Shelia Cox, Supervisor Linda Pearson, Analyst Prentiss Malone, Analyst Nancy Falardeau, Analyst Anthony Pisacreta, Analyst Monica Tinsley, Analyst PURCHASING Jack Smith, Manager HUMAN RESOURCES Karen Jones, Manager Jordie Kramer, Analyst Connie S rogi, Analyst INFORMATION TECHNOLOGY Ed Poisson, Director Janette McKenna, Chief PARKS AND RECREATION COMMISSION Phil Castonia, Business Development Rep. PLANNING & ECONMIC DEVELOPMENT Steve Huber, Marketing and Communications Officer 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 FINANCE COMMITTEE Page 2 December 8, 2011 PROSECUTING ATTORNEY Terri Meiers, Administrative Supervisor SHERIFF Michael McCabe, Undersheriff Dale Cunningham, Business Manager BOARD OF COMMISSIONERS Jim Ver Ploeg, Administrative Director Harvey Wedell, Sr. Analyst Julia Ruffin, Liaison Helen Hanger, Sr. Committee Coordinator PLEDGE OF ALLEGIANCE Chairperson Middleton led the Pledge of Allegiance. APPROVAL OF THE PREVIOUS MINUTES Quarles moved approval of the previous minutes o f November 10, 2011 as printed. Supported by Taub. Motion carried on a voice vote. AGENDA The Chairperson stated that items 17 and 20 would be moved up on the agenda so that Mr. Quisenberry and Mr. Hess could leave for other meetings. Item 23 was removed. There were no objections. PUBLIC COMMENT None. FY 2012 CONTINGENCY REPORT The Fiscal Year 2012 Contingency Fund balance of $300,000 increased $19,745 with adoption of MR #11235 and will further increase by $296,561 to $596,561 with adoption of item 25 on today’s agenda. Taub moved to receive and file the FY 2011 Contingency Report dated December 6 , 2011. Supported by Zack. Motion carried on a voice vote. REGULAR AGENDA 20. DEPARTMENT OF INFORMATION TECHNOLOGY/CLEMIS DIVISION – ACCEPTANCE OF CONTRIBUTION OF UASI FUNDS FROM THE COUNTY OF WASHT ENAW Information Technology is requesting authorization to accept a contribution of Urban Area Security Initiative funds of $100,000 from the County of Washtenaw to support development of the CLEMIS Law Enforcement Records Management System, an approved expense under the Homeland Security Grant Program. These funds will be specifically used to reimburse the CLEMIS Fund for purchase of Oracle Software used in development of the CLEMIS Law Enforcement Records Management System. The budget will be amended to recognize the contribution as a capital asset contribution . Taub moved to recommend approval of the attached suggested Resolution. Supported by Potts. Motion carried unanimously on a roll call vote with Greimel absent . FINANCE COMMITTEE Page 3 December 8, 2011 17. DEPARTMENT OF HEALTH AND H UMAN SERVICES – OUTDOOR WARNING SYSTEM EXPANSION – ROSE TOWNSHIP Homeland Security is requesting authorization to enter into an Interlocal agreement with Rose Township to add four sirens to the County’s Outdoor Warning System. The Township will pay seven ty-five percent of the total estimated cost of the sirens and the County will pay the remaining twenty -five percent, retain ownership and be responsible for maintenance and electrical costs. There are a sufficient number of sirens available in inventory allowing for installation at Rose Township. No budget amendment is necessary. Mr. Quisenberry explained that the sire ns are used only for several weather alerts , not Homeland Security situations because the public would not be able to know the difference. Alerts from Homeland Security are done through the media – radio and television . Long moved to recommend approval of the attached suggested Fiscal Note. Supported by Taub. Motion carried unanimously on a roll call vote with Greimel absent . 1. DEPARTMENT OF MANAGEMENT AND BUDGET – 2011 APPORTIONMENT OF LOCAL TAX RATES Management and Budget is requesting that the Board of Commissioners adopt the 2011 apportionment of local tax rate certificates, with revisions made for elections up to and including December 7, 2011 for schools and, if adopted, up to and including November 8, 2011 for taxing jurisdictions, with the recommendations herein contained as part of the permanent record of the Board and authorizes the Equalization Director to sign the seve ral tax certificates on which tax rate tabulations were based, thereby authorizing and directing the various assessing officers to spread the rates against the taxable valuation set forth for 2011. The report will be revised to adjust the tax rates for those taxing authorities who passed additional millages on November 8, 2011, including the Township of West Bloomfield, the Almont School District Operating and the Birmingham School District Supplemental. Copies of the revised 2011 Apportionment of Local Tax Rates document will be distributed to commissioners and placed on file. Quarles moved approval of the attached suggested Resolution. Supported by Crawford. Motion carried unanimously on a roll call vote with Greimel absent. 2. DEPARTMENT OF MANAGEMENT AND MANAGEMENT / EQUALIZATION DIVISION – APPROVAL OF CONTRACT FOR OAKLAND COUNTY EQUALIZATION DIVISION ASSISTANCE SERVICES WITH THE CITY OF NOVI Equalization is requesting authorization to contract with the City of Novi to provide services incl uding original assessments, reappraisals and file maintenance on a short-term basis for the express purpose of file maintenance of open permits for real property for the period of November 14, 2011 through January 31, 2012. The City shall pay the County $30.00 for each real property parcel file reviewed for a contract amount of $7,260. Quarles moved approval of the attached suggested Resolution. Supported by Crawford. Motion carried unanimously on a roll call vote with Greimel absent. 3. MR #11301 - SHERIFF’S OFFICE – STANDARD LAW ENFORCEMENT S ERVICES AGREEMENT WITH THE CHART ER TOWNSHIP OF LYON, JANUARY 1, 2012 – DECEMBER 31, 2012 FINANCE COMMITTEE Page 4 December 8, 2011 The Sheriff is requesting authorization to enter into a law enforcement services agreement with the Charter Township of Lyon for calendar year 2012 at rates previously established per MR #11241. The Township is requesting deletion of two Deputy II (no fill) positions from the Sheriff’s Contracted Patrol Unit , reducing the total number of contracted positions to 12. Contract revenues and expenditures were budgeted for and will be reviewed yearly pending renewal of the contract. The budget will be amended as outlined in the Fiscal Note. Dwyer moved approval of the attached suggested Fiscal Note. Supported by Long. Motion carried unanimously on a roll call vote with Greimel absent. 4. MR #11300 - SHERIFF’S OFFICE – STANDARD LAW ENFORCEMENT SERVICES AGREEMENT WITH THE CHARTER TOWNSHIP OF HIGHLAND, JANUARY 1, 2012 – DECEMBER 31, 2012 The Sheriff is requesting authorization to enter into a law enforcement services agreement with the Charter Township of Highland for calendar year 2012 at rates previously established per MR #11241. The Township is requesting deletion of one Lieutenant position and one Deputy II (no fill) position from the Sheriff’s Contracted Patrol Unit, reducing the total number of contracted positions to 1 5. Contract revenues and expenditures were budgeted for and will be reviewed yearly pending renewal of the contract. The budget will be amended as outlined in the Fiscal Note. Long moved approval of the attached suggested Fiscal Note. Supported by Crawford. Motion carried unanimously on a roll call vote with Greimel absent. 5. SHERIFF’S OFFICE – GRANT YEAR 2011 STATE CRIMINAL ALIEN ASSISTANCE PROGRAM (SCAAP) REIMBURSEMENT GRANT ACCEPTANCE The Sheriff is requesting authorization to accept a U.S. Department of Justice, Bureau of Justice Assistance, State Criminal Alien Assistance Program reimbursement grant of $55,258 for the period of July 1, 2009 through June 30, 2010. This is a 16.5% reduction from the previous year . No budget amendment is necessary. Dwyer moved approval of the attached suggested Fiscal Note. Supported by Runestad. Motion carried unanimously on a roll call vote wi th Greimel absent. 6. MR #11292 – HUMAN RESOURCES DEPARTMENT – FISCAL YEAR 2012 – FISCAL YEAR 2013 COLLECTIVE BARGAINING AGREEMENT EXTENSION FOR EMPLOYEES REPRESENTED BY AMERCIAN FEDERATION OF STATE, COUNTY AND MUNICIPAL EMPLOYE ES (AFSCME) COUNCIL 25 LOCAL 2437 (CIRCUIT CORUT/FAMILY COURT EMPLOYEES) Human Resources is requesting authorization to enter into an extension of the current collective bargaining agreement with the American Federal of State, County and Municipal Employees (A FSCME) representing 85 Circuit Court/Family Division Court employees for FY 2012. Current wages will remain unchanged for FY 2012 with a wage and benefit re -opener for FY 2013. The statutorily-required Emergency Manager language has been incorporated into the agreement. No budget amendment is necessary. Zack moved approval of the attached suggested Fiscal Note. Supported by Quarles . Motion carried unanimously on a roll call vote with Greimel absent. FINANCE COMMITTEE Page 5 December 8, 2011 7. MR #11295 – HUMAN RESOURCES DEPARTMENT – FISCAL YEAR 2012 – FISCAL YEAR 2013 COLLECTIVE BARGAINING AGREEMENT EXTENSION FOR EMPLOYEES REPRESENTED BY THE OAKLAND COUNTY PROSECUTOR’S INVESTIGATORS ASSOCIATION Human Resources is requesting authorization to enter into an extension of the current collective bargaining agreement with the Oakland County Prosecutor Investigators Association representing 6 Prosecutor’s Investigators for FY 2012. Current wages will remain unchanged for FY 2012 with a wage and benefit re- opener for FY 2013. No budget amendment is necessary. Crawford moved approval of the attached suggested Fiscal Note. Supported by Dwyer. Motion carried unanimously on a roll call vote with Greimel absent. 8. MR #11296 – HUMAN RESOURCES DEPARTMENT – FISCAL YEAR 2012 – FISCAL YEAR 2013 COLLECTIVE BARGAINING AGREEMENT EXTENSION FOR EMPLOYEES REPRESENTED BY TEAMSTERS LOCAL 214 (OAKLAND COUNTY SHERIFF’S OFFICE – CORRECTIONAL HEALTH NURSES) Human Resources is requesting authorization to enter into an extension of the current collective bargaining agreement with Teamsters Local 214 represen ting 18 Sheriff’s Office – Correctional Health Nurses for Fiscal Years 2012 and 2013. Current wages and fringe benefits will remain unchanged for FY 2012 with a benefit re-opener for FY 13. Contractual modifications include addition of the statutorily-required Emergency Manager language and non-contractual changes include modifications to the County’s Indemnification Policy. No budget amendment is necessary. Quarles moved approval of the attached suggested Fiscal Note. Supp orted by Taub. Motion carried unanimously on a roll call vote with Greimel absent. 9. MR #11294 – HUMAN RESOURCES DEPARTMENT – FISCAL YEAR 2012 – FISCAL YEAR 2013 COLLECTIVE BARGAINING AGREEMENT EXTENSION FOR EMPLOYEES REPRESENTED BY THE OAKLAND COUNT Y EMPLOYEES UNION (OCEU) Human Resources is requesting authorization to enter into an extension of the current collective bargaining agreement with the Oakland County Employees Union representing 306 employees for FY 2012 and 2013. Current wages will remain unchanged for FY 2012 with a wage reopener for FY 2013. The statutorily- required Emergency Manager language has been incorporated into the agreement. No budget amendment is necessary. Taub moved approval of the attached suggested Fiscal Note. Supp orted by Quarles. Motion carried unanimously on a roll call vote with Greimel absent. 10. MR #11293 – HUMAN RESOURCES DEPARTMENT – FISCAL YEAR 2012 COLLECTIVE BARGAINING AGREEMENT WAGE AND BENEFIT RE-OPENER FOR EMPLOYES REPRESENTED BY THE GOVERNMENT EMPLOYEES LABOR COUNCIL Human Resources is requestin g authorization to enter into a collective bargaining agreement with the Government Employees Labor Council representing 129 Children’s Village Employees for FY 2012 and 2013. Current wages will remain u nchanged for FY 2012 with a wage and benefit reopener for FY 2013. Non-contractual changes include modifications to the County’s Indemnification Policy. No budget amendment is necessary. FINANCE COMMITTEE Page 6 December 8, 2011 Quarles moved approval of the attached suggested Fiscal Note. Su pported by Potts. Motion carried unanimously on a roll call vote with Greimel absent. 11. HUMAN RESOURCES DEPARTMENT – FISCAL YEAR 2012 – FISCAL YEAR 2013 COLLECTIVE BARGAINING AGREEMENT EXTENSION FOR EMPLOYEES REPRESENTED BY MICHIGAN NURSES ASSOCIATION Human Resources is requesting authorization to enter into extension of the collective bargaining agreement with the Michigan Nurses Association representing 92 Public Health Nurses for FY 2012 and 2013. Current wages will remain unchanged for FY 2012 with a wage and benefit reopener for FY 2013. Contractual modifications include addition of the statutorily -required Emergency Manager language and non-contractual changes include modifications to the County’s Indemnification Policy. No budget amendment is necessary. Long moved approval of the attached suggested Fiscal Note. Supported by Quarles. Motion carried unanimously on a roll call vote with Greimel absent. 12. DEPARTMENT OF HEALTH AND HUMAN SERVICES – COMPREHENSIVE PLANNING, BUDGETING AND CONTRACTING AGREEMENT ACCEPTANCE The Health Division is requesting authorization to accept a FY 11 -12 Michigan Department of Community Health Comprehensive Planning, Budgeting and Contracting Agreement of $9,243,517 to provide categorical grant funding and partial reimbursement for services in accordance with the Public Health Code. The award is a $1,233,306 reduction from the previous year. Additional funding is expected in future contract amendments this fiscal year. Grant acceptance is contingent upon approval of the Agreement with Addendum A as attached to the resolution. Projects allocated funding through December 31, 2011 with anticipated future funding amendments are Adolescent STD Screening, Sexually Transmitted Disease Control and HIV Prevention. New funding was provided for the Nurse -Family Partnership and the Advisory Group Project SNAP-ED. Funding was discontinued for Healthy Communities – Planning, Immunization Reaching More Children & Adults and Early Warning Infectious Disease Surveillan ce. Budget amendments will be made as outlined in the Fiscal Note. Ms. Forzley explained that the Health Division submits the detail budget for each program but it is the State that allocates program funding as a whole. Zack moved to recommend approval of the attached suggested Fiscal Note. Supported by Long. Motion carried unanimously on a roll call vote with Greimel absent . 13. DEPARTMENT OF HEALTH AND HUMAN SERVICES/HEALTH DIVISION – AMENDMENT #2 TO THE INTERLOCAL AGREEMENT BETWEEN THE COUNTY OF OAKLAND AND THE OAKLAND COUNTY COMMUNITY MENTAL HEALTH AUTHORITY The Health Division is requesting authorization to enter into renewal of the intergovernmental agreement, as amendment #2, with the Oakland County Community Mental Health Authority (OCCMHA) to provide substance abuse services to its Medicaid patients pursuant to MR #10236 as amended by MR #11114. The OCCMHA will pay an annual not to exceed amount of $2,200,000 annually or $183,333 per month to the Health Division for Fiscal Year 2012 to perf orm Specialty Substance Abuse Medicaid services. The OCCMHA will also pay Oakland County a total of $574,000 for Fiscal Year 2012 for Substance Abuse Adult Benefit Waiver services. Budget amendments will be amended as outlined in the Fiscal Note. FINANCE COMMITTEE Page 7 December 8, 2011 Zack moved to recommend approval of the attached suggested Fiscal Note. Supported by Taub. Motion carried unanimously on a roll call vote with Greimel absent . 14. DEPARTMENT OF HEALTH AND HUMAN SERVICES / HEALTH DIVISION – 2011/2012 SUBSTANCE USE DISORDER GRANT ACCEPTANCE The Health Division is requesting authorization to accept a Michigan Department of Community Health Substance Use Disorder Grant of $4,403,645 for Fiscal Year 2011 -2012. This is an increase of $110,322 from the previous award year. The re quired 10% cash match of $656,060 is based on the total program budget for these services. These funds will be used to subcontract with agencies to prevent and reduce the incident of drug and alcohol abuse and dependency, to support staffing which include s screening and coordinating treatment services for Oakland County residents and to monitor subcontractors. Contracts are awarded through the County’s competitive bidding process. Oakland County has no waiting line for services. Budget amendments will be made as outlined in the Fiscal Note. Dwyer moved to recommend approval of the attached suggested Fiscal Note. Supported by Zack. Motion carried unanimously on a roll call vote with Greimel absent . 15. DEPARTMENT OF HEALTH AND HUMAN SERVICES / HEALTH DIVISION – ADJUSTMENT TO HEALTH DIVISION FEE SCHEDULE The Health Division is requesting authorization to add six new fees to its existing schedule. Service Oakland County Current Cost to County Oakland County Proposed Tuberculin Test for Job Clearance 0.00 2.68 3.00 T-Spot Tests for TB Clearance 0.00 45.00 45.00 MCV4 (Meningococcal Meningitis) 0.00 106.00 106.00 Clinic Visit 0.00 5.00 5.00 Partial Chemical Water Analysis 0.00 4.98 5.00 Bacteriological Water Analysis (drinking, surface) 0.00 6.13 6.00 The Fee Schedule has not been adjusted since 2008. Pricing information included comparisons between Oakland and the counties of Macomb, Kent and Wayne . The cost for bottles and re-agents was rounded to the nearest whole number because the Heal th Division’s cost fluctuates slightly depending on the supplier. The TB Test for Job Clearance fee is proposed in an effort to get those who have the test to come back for the results. Revenues to be generated from this fee modification are included in t he Adopted Budget. Mr. Miller explained that overhead costs including personnel are not included in the fees. Michigan is part of a multi-state program to purchase vaccines so costs fluctuate. Any Michigan resident can receive vaccines by showing proo f of residency. Oakland County has the most doctors, with 350 pediatricians, to look after to make sure that vaccination information is put into the data system to achieve the accreditation FINANCE COMMITTEE Page 8 December 8, 2011 requirement. If a person receives the first of a vaccine series, they usually c ome back for the remainder of the course. Taub moved to recommend approval of the attached suggested Fiscal Note. Supported by Crawford. Motion carried unanimously on a roll call vote with Greimel absent . 16. DEPARTMENT OF HEALTH AND HU MAN SERVICES/HEALTH DIVISION – INTER- GOVERNMENTAL AGREEMENT BETWEEN THE COUNTY OF OAKLAND AND THE CITY OF DETROIT The Health Division is requesting authorization to enter into an intergovernmental agreement with the City of Detroit, required under the Rya n White HIV/AIDS Treatment Extension Act of 2009, to lay out a framework between Oakland County and the City of Detroit in reporting and providing HIV -related services. The agreement is required between political subdivisions which have not less than 10 percent of the areas reported AIDS cases and provided HIV -related services. Oakland County possesses 11% of HIV/AIDS cases in the Eligible Metropolitan Area Counties. Funds of $1,739,864 have been allocated to community agencies within Oakland County fo r FY 2010/11. There is no fiscal impact on the County. Zack moved to recommend approval of the attached suggested Fiscal Note. Supported by Taub. Motion carried unanimously on a roll call vote with Greimel absent . 18. MR #11298 – FACILITIES MANAGEMENT/PARKS AND RECREATION COMMISSION – HIGHLAND OAKS -PODINA LEASE Facilities Management, on behalf of Oakland County Parks and Recreation Commission, is requesting authorization to enter into a lease agreement with John and Carolyn Podina to lease a 927 -square foot house at 6555 North Milford Road , located on the grounds of Highland Oaks County Park, for the period March 1, 2012 through February 28, 2017. Rent and any late fees will be paid as outlined in the resolution. The Podinas will also be responsible for all utility costs and shall have additional duties to secure and protect park property and its facilities during “Park Closed” hours as outlined in the Lease. Revenue for this rental is already included in the adopted budget. Zack moved to recommend approval of the attached suggested Fiscal Note. Supported by Taub. Motion carried unanimously on a roll call vote with Greimel absent . 19. MR #11299 – DEPARTMENT OF FACILITIES MANAGEMENT – REQUEST FOR APPROVAL OF PARCEL EXCHANGE WITH THE CITY OF WALLED LAKE, MICHIGAN FOR OAKNET FIBER HUB RELOCATION Facilities Management (FM) is requesting authorization to enter into a parcel exchange with the City of Walled Lake for relocation of the County’s Fiber Hub that previously served the West Oakland Office Building at 1010 East West Maple. The Hub is a critical component of the County’s Law Enforcement Management Information System (CLEMIS) that serves Walled Lake and the surrounding communities . The County would exchange parcel number 17-26-307-035 to the City for part of parcel number 17-26-307- 025 located on Pontiac Trail and already includes an a ccess driveway with access to electric and natural gas utilities. Mechanical and Building Permits have been submitted to the City, along with a letter to City Council, Quit Claim Deeds and a site plan. The adopted FM Administration budget is sufficient to record the property exchange. FINANCE COMMITTEE Page 9 December 8, 2011 Long moved to report to recommend that the resolution be amended to strike the last WHEREAS and insert the following. “WHEREAS the Mechanical and Building Permits are to be submitted to the City of Walled Lake along with Quit Claim Deeds and a site plan that describe the ownership transfer; the matter is conditional upon official approval by Walled Lake City Council.” Supported by Crawford. Motion carried unanimously on a roll call vote with Greimel absent . Long moved to recommend approval of the attached suggested Fiscal Note . Supported by Dwyer. Motion carried unanimously on a roll call vote with Greimel absent . 21. DEPARTMENT OF INFORMATION TECHNOLOGY – INFORMATION TECHNOLOGY POSITION CHANGES The Department of Information Technology has reviewed its organizational needs and i s requesting authorization to make several position changes to improve efficiencies in meeting critical needs. Those changes will include creation of two new classifications titled Chief Technology Office r and Enterprise Architect, retitling of Chief Management Technical Architect to new full -time eligible PR Chief Technology Officer in the Technical Systems and Networking Unit, deleti on of the classification Chief Manager Technical Architect, upward reclassification of one full -time eligible PR Data Base Administrator position, downward reclassification of one full -time eligible PR Network System s analyst II position to Customer Services Technician II. Budget amendments will be made as outlined in the Resolution. Commissioner Potts reiterated his previous statement to let the commissioners know if it becomes necessary to adjust these IT salaries to become more competitive. Taub moved to recommend approval of the attached suggested Resolution. Supported by Crawford. Motion carried unanimously on a roll call vote with Greimel absent . 22. FRIEND OF THE COURT – FY 2012 ACCESS AND VISITATION GRANT AGREEMENT The Friend of the Court is requesting authorization to accept a Federal Access and Visitation Grant through the State Court Administrative Office of $24,000 for Fiscal Year 2012. Funds will be used for contracted services to be performed in conjunction with agencies that facilitate parenting time (visitation) for certain cases as determined by the Court. The contracted facilitator is selected through the County’s bid process. No county in-kind or matching funds are required. The budget will be amended as outlined the Fiscal Note. Commissioner Runestad asked that each person participating in a visitation be required to fill out a survey form or sign a waiver that they chose not to. Ms. Hollyer explained that last year at Commissioner Runestad’s request the vendor began sending out surveys for participants to complete but completion of the survey is voluntary and not a requirement of the grant or participation in the program. Taub moved to recommend approval of the attached suggested Resolution . Supported by Long. FINANCE COMMITTEE Page 10 December 8, 2011 Motion carried on a roll call vote with Runestad voting no and Greimel absent . 24. MR #11297 – HUMAN RESOURCES DEPARTMENT – SALARY ADMINISTRATION PLAN 4TH QUARTERLY REPORT FOR FY 2011 Human Resources has completed its review of one classification/one position under the Salary Administration Plan and is recommending that the classification be reduced from a Grade 14 to a Grade 11. Taub moved to recommend approval of the attached suggested Fiscal Note. Supported by Long. Motion carried unanimously on a roll call vote with Zack and Greimel absent. 25. DEPARTMENT OF MANAGEMENT AND BUDGET – FISCAL YEAR 2011 YEAR -END REPORT AND BUDGET AMENDMENTS Management and Budget is requesting authorization for FY 2011 Year -End Report and Budget amendments as detailed in the resolution and accompanying Schedules. The November 14, 2011 Letter of Transmittal reports with a year-end overall favorability of $30,918,170 for General Fund/General Purpose operations. This forecast is a result of receiving $917,853 less revenue than anticipated and projected favorability in expenditures of $31,836,023. Mr. Soave summarized the detail. The year-end fund balance of $201 million is higher than planned but was impacted by a previous resolution resulting from new accounting standards that re-defined Special Revenue Funds and required closing several of those funds and moving them to the General Fund. This adjustment did not change the use of those funds. Expenditures are under budget as there remains an on-going hiring and capital freeze and requests for these expenditures must be approved by the Budget Task Force. Funds of $12 million were set aside for unfavorable Tax Tribunal activity . Favorability in this area has allowed $4.8 million to be moved back to the General Fund. New categories of fund balance include Restricted (required to be held for a specific purpose), Committed (Unrestricted - currently there are none); Assigned (previously known as Designated: marked for a use but requires Board resolution) and Unassigned (previously Un-Designated). Taub moved to recommend approval of the attached suggested Resolution. Supported by Potts. Motion carried unanimously on a roll call vote. 26. DEPARTMENT OF MANAGEMENT AND BUDGET – APPROVAL OF FY 2011 DEFICIT ELIMINATION PLAN Pursuant to Public Acts 140 of 1971 and 34 of 2001 (revised Municipal Finance Act) Management and Budget is requesting authorization to submit its FY 2011 Deficit Elimination Plan to the State of Michigan for four governmental funds experiencing negative unreserved fund balance. Mr. Soave explained that the issue with all four of these funds is a matter of timing in receiving loan money, court judgment for approval of special assessment, reimbursement, etc. and these funds are not in deficit. Mr. Soave indicated that he is a member of a State Department of the Treasury Committee that has been working to change the requirement for a deficit plan in these types of situations. Runestad moved approval of the attached suggested resolution. Supported by Crawford. Motion carried unanimously on a roll call vote. FINANCE COMMITTEE Page 11 December 8, 2011 COMMUNICATIONS A. County Executive – Framework: Summary of Future Operating Issues and Shortfalls and Related Resolution = FY 2012 Through FY 2015 B. Department of Management and Budget / Purchasing Division – Contract Exception Report for the Month of November, 2011 C. Department of Management and Budget – Grant Resolution Wording D. OakFit Wellness Review – December 2011 E. Sheriff’s Office – CY 2012 Marine Safety Program Grant Application F. Clerk/Register of Deeds – 2012 Survey and Remonumentation Grant Application G. Multi-Departmental – Prosecuting Attorney, Circuit Court – Family Division, Children’s V illage – – Program Year (PY) 2012 Juvenile Accountability Block Grant (JABG) Application H. Economic Development and Community Affairs – Waste Resource Management - FY 2012 Oakland County Brown field Consortium Assessment Grant Application I. Notice of Hearing RE: City of Wixom – Revocatio n of Real and/or Personal Property Component(s) of Industrial Facilities Exemption Certificate Number 2008 -449 for Nxtgen Emissions Controls, Inc. J. Notice of Hearing RE: City of South Lyon - Issuance of Industrial Facilities Exemption Certificate for Michigan Seamless Tube – 400 McMunn Street and South Lyon City and School Administration Building – 335 S. Warren Dwyer moved to receive and file the communications. Supported by Crawford. Ms. Van Pelt and Mr. Poisson reviewed the Fiscal Years 2012 -2015 budget project ions framework document indicating that there is no immediate need to develop a new budget task and identifying projected operating shortfalls, business issues facing the County and pro posed means to resolve those issues. The Summary Schedule framework begins with the FY 2012 adopted General Fund Budget with equity of $201 million, utilizing $116 million of equity over four years through the proposed 2015 budget and ending with an equity target of $85 million or 20% of projected FY 2015 expenditures and an excess of only $3.1 million. The Administration will never recommend a target below 20%. Assumptions used in the Summary Schedule are detailed in the document. Some of those assumptions include that departments will honor their budget reductions through 2014 , continued enforcement of the Gosling amendment for grants, Property Value assumptions of a declining 3%, 1% and 0% for 2012, 2013 and 2014 and 1% increase for 2015 . Unknowns include implications of the federal health care laws - the additional requirements for preventative care , State Public Act 152’s 80/20 cap (employees pay 20% of their health care costs), how these two laws will intercept and the resulting policy decisions. The County will need to be in compliance with Act 1 52 for 2015 to start receiving state revenu e sharing again. The County’s current health plans include a high preventative component and the County has funded its liability through increased deductibles, co-pays and pay cuts and i s going to the insurance industry to consider various and best approaches. Right now the County Executive’s directive is to continue providing health care options to employees to maintain a healthy workforce. The Capital Improvement Plan has been reduced over the last eight years but the County is striking a balance to preserve and keep its facilities sound. Information Technology rates will be increased to account for depreciation in order to replace equipment as necessary. Fringe Benefit rates will be adjusted to account for le ss full-time staff. An Annual Retirement Contribution to the Defined Benefit Plan will be necessary in 2013 primaril y due to the international impact on assets. The Budget is built with illustrative rates from Blue Cross/Blue Shield slightly higher than actual costs. Other Michigan Counties have a lower operating millage than Oakland County only because they don’t include unfunded liability. Additional assumptions are based on current economic trends in the private sector and at the local, state and fede ral level as further addressed in the framework document. Commissioner Greimel asked to be provided with illustrative rates by plan by year. FINANCE COMMITTEE Page 12 December 8, 2011 Motion carried on a voice vote. OTHER BUSINESS/ADJOURNMENT There being no other business to come before the c ommittee, the meeting was adjourned at 11:18 a.m. ________________________ _______________________________ Helen A. Hanger Jim Ver Ploeg Senior Committee Coordinator Administrator Director NOTE: The foregoing minutes are subject to Committee approval.