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PUBLISHED: Wednesday, July 30, 2008
Audit: County in good financial shape



County Commissioners received some good news from their auditor last week.

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Michael Gaffney, of Abraham & Gaffney, CPS, Rochester Hills, reported the general fund balance stood at $1.42 million as of Dec. 31, the close of the fiscal year, of which $1.29 was undesignated and available for use.

The balance, up approximately $455,000 from the previous December, was "definitely a positive situation in these economic times," Gaffney told the county board.

He said the ending balance reflected 12.15 percent of the budget, exceeding the recommended range of 8 to 12 percent.

"Everyone did a good job holding the line," said Commissioner Norton Schramm, referring to county departments.

"It was a unified effort to get to this point," said Commission Chairman John Merriman. "It's going to take a unified effort to stay here."

"In 2003 the fund balance was something like two or three percent which was not healthy," said Administrator John Males after the meeting. "And the delinquent tax fund, which is the county's savings account was below a million dollars. We went to work on a financial recovery plan that included all departments and all county entities. We did a 26.49 percent budget cut - on top of a two percent budget cut."

The county put a hiring freeze into effect, and implemented changes in the health care plan that saved $549,000 and "was reflected in the 12 percent fund balance," Males said.

"We're trying to maintain that healthy fund balance in the general fund, and to build the delinquent tax revolving fund... We tried to maintain services to the public, all areas of mandated and non-mandated For a while we thought we were going to have to do significant reductions."

Males added, "I credit a lot of people working together for our financial recovery."

In other business last week, commissioners:

  • Listened to concerns about the county's recent property purchase in Forestville. Norman Sache, chairman of the Forestville Planning Commission, said the eight lots on M-25 are zoned commercial and he'd heard the county might develop the land for a park.

    "This is going to hurt Forestville tremendously," said Sache. "This is prime land" for commercial development.

    "I don't think that was ever any interest in putting that into a park," responded Commissioner Judy Vincent, a member of the county parks board that requested the county buy the tax-foreclosed property.

    County Treasurer Kathy Dorman explained the county purchased the tax-foreclosed property with the intention of moving the six buildings on the land to nearby Delaware Park. She said the county could turn around and sell the property to a private buyer, as long as it didn't make a profit on the sale.

    Commissioner Merriman said he was confident the county would "work with you folks" on the future use of the property.

  • Awarded the contract for courthouse roof repairs to Port Huron Roofing and Sheet Mental, Port Huron, in the amount of $38,596. The company submitted the lowest of four bids that included $48,000 from Zimmer Roofing, Port Huron, $89,717 from Beyer Roofing, Saginaw, and $103,733 for Marlette Roofing & Sheet Metal, Marlette.

  • On a split vote, adopted a resolution opposing House Bill 6112, which would establish the Corrections Officers Compulsory Arbitration Act and permit binding arbitration to settle labor disputes with corrections officers, the same procedure provided to police and fire fighters. Commissioners Jim Ruby, Judy Vincent, Donald Hunt and Merriman voted yes. Commissioners William Walters and Schramm dissented. Gary Russell was absent.




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