From left: Conan Smith (D-District 9) and Dan Smith (R-District 2) at the Washtenaw County board of commissioners meeting on March 20. Dan Smith cast the lone vote against new contracts with labor unions representing county employees, citing concerns over the length of the agreements. Most of the contracts run through Dec. 31, 2023. (Photos by the writer.)

About 85% of the nearly 1,300 county workers belong to a union. The board also approved similar wage and benefit changes for the county’s non-union employees.

The right-to-work law will make it illegal to require employees to support unions financially as a condition of their employment, but labor agreements in place prior to March 28 will not be affected until they expire. Most of the previous contracts with the county’s labor unions were set to expire on Dec. 31, 2013. All but one of the new deals will run for more than 10 years – through Dec. 31, 2023.

Dan Smith (R-District 2) cited the length of those contracts as a reason for casting his no vote – he was the only commissioner to vote against the union contracts, though he supported the agreement for non-union employees. The duration eliminates the flexibility to deal with different conditions that might face the county in the future, he said. There is no “re-opener” clause that would allow either side to renegotiate before 2023.

Despite his no vote, Smith praised the most significant changes that will impact employees hired after Jan. 1, 2014. Those employees will participate in a defined contribution retirement plan, instead of the current defined benefit plan – the Washtenaw County Employees’ Retirement System (WCERS). In defined benefit plans, retirees receive a set amount per month during their retirement. In defined contribution plans, employers pay a set amount into the retirement plan while a person is employed. The most common defined contribution plan is the 401(k). Similar changes in retiree healthcare plans will also affect new employees.

The shift in the county’s approach to retirement plans and retiree healthcare was a major concern for several other commissioners. While acknowledging the benefits of eliminating the county’s legacy costs, Conan Smith (D-District 9) cautioned that retirees could be put at risk without the predictable stability of a defined benefit plan. However, he also noted that the board can’t continue to put the institution at risk by “guaranteeing something that we don’t know we’re going to be able to afford in the long run.”

Those legacy costs were a factor alluded to during the March 20 discussion, linking to another major decision that is expected to come before the board: bonding to cover the county’s unfunded liabilities for employee pensions and retiree healthcare. The issue hasn’t been discussed directly at any of the board’s regular meetings, but commissioners have been informed that a proposal likely will be brought forward by administration.

Based on actuarial valuations at the end of 2011, the county had $101.27 million in unfunded liabilities for its defined benefit pension, and $148.46 million in unfunded liabilities for its retiree healthcare. Those amounts will be higher when the 2012 actuarial valuations are completed later this year. The new accounting standards of GASB 68 require that unfunded liabilities must be included in an organization’s financial statements for fiscal years beginning after June 15, 2014.

Commissioners also got a year-end 2012 financial update during the March 20 meeting – the final 2012 audit will be brought to the board in April. Total revenues exceeded total expenditures by $2.26 million. The county had planned for a surplus of $1.889 million to carry into 2013 – so the year ended with an excess of $327,607 above that targeted amount.

In other action items, the board voted to form a committee that will explore the feasibility of creating a land bank, and appointed three people to the committee: Commissioner Ronnie Peterson (D-District 6), county treasurer Catherine McClary, and Mary Jo Callan, director of the county’s office of community & economic development. The committee is directed to report back to the board by Aug. 7, 2013.

During communications from the board, Conan Smith reported that the southeast Michigan Regional Transit Authority board has now been fully appointed, and will convene on March 28 for an orientation meeting. He suggested that the two Washtenaw County representatives – Richard “Murph” Murphy and Liz Gerber – come talk to commissioners about what the county’s interests and priorities are. “The earlier we weigh in, the more systemic the impact of our comments are going to be,” he said. “If we don’t talk to them until they’ve already made decisions, then it’s going to be too late.”

Labor Agreements

The county administration and labor have been negotiating new contracts since February. At the board’s Feb. 20, 2013 meeting, commissioners had approved a resolution opposing the right-to-work legislation, with a clause that directed the county administration to renegotiate union contracts, as requested by union leaders. The resolution stated a “goal of reaching four (4) year agreements to protect and extend each bargaining unit’s union security provisions, as well as enter into a letter of understanding separate from the existing collective bargaining agreements for a period of ten (10) years.”

That was an approach taken by other institutions statewide, including the Ann Arbor Transportation Authority. [See Chronicle coverage: "AATA OKs Labor, Agency Fee Accords"] However, the county administration and union leaders ultimately felt that the strategy of a separate letter of understanding would be more vulnerable to legal challenges. They opted instead for longer-term labor agreements and no separate letter of understanding.

Since mid-February, the board has held four lengthy closed sessions to discuss labor negotiations – including a closed session near the beginning of the March 20 meeting that lasted over an hour. Labor negotiations are one of the few reasons under Michigan’s Open Meetings Act that public governing bodies are allowed to hold sessions out of public view.

Nancy Heine, president of AFSCME Local 3052, talks with Washtenaw County commissioner Rolland Sizemore Jr. Local 3052 – which represents 48 general supervisors and four supervisors in the juvenile division – agreed to a new five-year contract.

The vote to go into closed session was 8-1, with dissent by Rolland Sizemore Jr. (D-District 5), who did not state any reason for his no vote.

The administration and AFSCME Local 2733 had reached a tentative agreement on March 7, which union members ratified on March 13. Other union bargaining units subsequently ratified similar agreements. However, the ratified agreements differed slightly from the version that had been shown to commissioners at their most recent closed session on March 6, so another closed session was held on March 20 to go over those changes.

In broad strokes, the agreements provide for annual wage increases, a cap on employee healthcare contributions, and the elimination of “banked leave” days. Banked leave days have been used in recent years to help balance the budget by cutting labor costs. The days are unpaid, but don’t affect retirement calculations.

Some of the major changes relate to benefits for employees hired after Jan. 1, 2014. Those employees will participate in a defined contribution retirement plan, instead of the current defined benefit plan – the Washtenaw County Employees’ Retirement System (WCERS). In defined benefit plans, retirees receive a set amount per month during their retirement. In defined contribution plans, employers pay a set amount into the retirement plan while a person is employed. The most common defined contribution plan is the 401(k).

In some ways, the change reverts the county to its previous approach. Until about 2009, employees participated in the Money Purchase Pension Plan (MPPP), a defined contribution plan. Most county employees were shifted from the MPPP to WCERS, the county’s defined benefit plan. The MPPP was never eliminated, but is used primarily for county commissioners who choose to participate in it.

The county will also shift away from a defined benefit retiree healthcare plan for new employees, in favor of retiree health reimbursement accounts (RHRAs).

Most details in the contracts match the agreement reached with AFSCME 2733, the county’s largest bargaining unit, with 630 members. Highlights from the AFSCME 2733 agreement include:

• Restoring 3.85% to an employee’s annual salary in 2014 by eliminating banked leave days. In addition, employees will receive a 2% non-structural salary increase.
• In 2015, there will be a 1% salary increase if county property tax revenues do not rise. However, if tax revenues do increase, employees will receive a salary increase of either 2% (if revenues increase by up to 4%) or 3% (if revenues increase by 5% or more).
• Employees will receive 2% salary increases in 2016 and 2017. The 2016 increase will be structural; the increase in 2017 will be non-structural.
• The remaining years through 2023 alternate in this same three-year pattern of (1) formula increases tied to tax revenues, followed by (2) a 2% structural increase and (3) a 2% non-structural increase.
• Current employees will remain in the county’s defined benefit retirement plan, unless they choose to transfer into a defined contribution plan.
• Employees hired after Jan. 1, 2014 will participate in a defined contribution retirement plan, with each employee providing 6% pre-tax contributions that are matched by 6% from the county. Contributions will increase to 7% in 2016 and 2017, and to 7.5% in 2018 through 2023. Vesting for employer contributions will occur over several years, with workers becoming fully vested after 10 years of employment.
• For current employees, their contributions to the Washtenaw County Employees’ Retirement System (WCERS) – the defined benefit plan – will be capped at 10% in 2014 and 2015. That cap will be lowered to 9% in 2016 and 2017, 8.5% in 2018 and 2019, and 8% in 2020 through 2023.
• The county will adopt state-mandated “hard caps” on health care contributions by public employers. Current workers will pay $75 per month in medical premium-sharing.
• Workers hired after Jan. 1, 2014 will have negotiated health care benefits. Their retirement health care will be handled through retiree health reimbursement accounts (RHRAs), with staggered contributions by the county based on years of employment. The current retiree healthcare plan – the Voluntary Employees Beneficiary Association (VEBA) – is a defined benefit plan.

At the March 20 meeting when commissioners returned from their closed session, they took up the issue of the labor agreements. Dan Smith asked to pull out the non-union agreement for a separate vote. The other six contracts were handled as a group.

The bargaining units that struck new deals are:

• AFSCME (American Federation of State, County and Municipal Employees) Local 2733 Units A, B, C, Juvenile Division, and Juvenile Detention – a total of 630 employees. [.pdf of AFSCME 2733 contract summary]
• AFSCME Local 3052 General Supervisors and Juvenile Division Supervisors – a total of 52 employees. [.pdf of AFSCME 3052 contract summary]
• Assistant Prosecutors Association Units I & II – a total of 24 employees. [.pdf of APA contract summary]
• Public Defenders Association Units I & II – a total of 13 employees. [.pdf of PDA contract summary]
• Michigan Nurses Association Units I & II – a total of 13 employees. [.pdf of MNA contract summary]
• T-POAM (Technical, Professional and Officeworkers Association of Michigan) Units I & II, District Court – a total of 30 employees. [.pdf of T-POAM contract summary]

A similar agreement was on the table for the county’s roughly 225 non-union employees. [.pdf of non-union agreement]

The resolution for non-union workers also provides the same benefits to the county’s five statutory elected officials: Treasurer (Catherine McClary), clerk/register of deeds (Larry Kestenbaum), water resources commissioner (Evan Pratt), county prosecuting attorney (Brian Mackie) and sheriff (Jerry Clayton). It also “aligns” the salaries for the treasurer and clerk/register of deeds to the current salary of the water resources commissioner – $101,685, effective immediately. Previously, the treasurer and clerk/register of deeds earned $98,570 and $101,528, respectively. The sheriff and prosecuting attorney each earn a salary of $119,268.

All of the new contracts contain only one element that takes effect in 2013: An additional banked leave day will be added, and must be used sometime this year. The intent is to ensure that the new contract differs from the previous one during the rest of 2013, to guard against possible legal challenges. If there were no changes in 2013, it could be argued that there were no real contract differences until 2014 – well after the right-to-work law went into effect.

Two bargaining units did not negotiate new contracts – the Police Officers Association of Michigan (POAM), which represents 254 employees, and Command Officers Association of Michigan (COAM), with 33 members. Those public safety employees are exempt from the right-to-work law.

For background on the county’s unions, see Chronicle coverage: “County Board Briefed on Labor Issues.” Most of the current contracts were authorized in September of 2011.

Labor Agreements: Broader Context

These new agreements will be a factor in the budget that’s being developed for 2014, 2015 and beyond. The county administration is hoping that the board will approve moving from a two-year budget cycle to a four-year budget planning process.

Caryette Fenner, president of AFSCME Local 2733.

The administration has projected a $24.64 million general fund deficit over a four-year period from 2014 through 2017. A much smaller general fund deficit of $3.93 million is projected for 2014, but county administrator Verna McDaniel hopes to identify $6.88 million in structural changes for that year – a combination of new revenues and cuts in expenditures – in order to eliminate the cumulative deficit going forward. When McDaniel briefed commissioners on budget preparations at their Jan. 16, 2013 meeting, she indicated a desire to find $2.62 million in reductions to employee compensation and benefits.

The county also faces a challenge due to its unfunded liabilities related to employee pensions and retirement healthcare. New Governmental Accounting Standards Board (GASB) standards, enacted in 2012, require that public employee pension liabilities be reported on an organization’s balance sheet. Expenses related to pensions and retirement healthcare are projected to spike in the coming years.

Based on actuarial valuations at the end of 2011, the county had $101.27 million in unfunded liabilities for its defined benefit pension, and $148.46 million in unfunded liabilities for its retiree healthcare. Those amounts are expected to be higher when the 2012 actuarial valuations are completed later this year.

The administration plans to propose dealing with those unfunded liabilities by issuing bonds to cover those costs. Although the county would be taking on significantly more debt as a result – and incurring interest expense – the idea is to take advantage of low interest rates and create a “smoothing” of payments over a more extended period.

The board has not directly discussed this possibility at any of its public sessions. John Axe of Axe & Ecklund – a Grosse Pointe Farms firm that serves as the county’s bond counsel – has attended at least one closed session of the board this year, when labor negotiations were discussed.

In response to an email query from The Chronicle, Tina Gavalier – a financial analyst for the county – described how the new contracts and bonding could affect the upcoming budget:

The preliminary estimated cost savings from these deals in terms of the settled contracts and the anticipated bonding for retiree health care and defined benefit pension obligations is approximately $2.1M per year. The savings is likely to increase or compound over time. The estimated cost savings is preliminary because of the basis of calculations used the 2011 actuarial valuation reports. Savings estimates will be finalized after the 2012 actuarial valuation reports are published (anticipated to be in late May or early June).

If the authorization to bond is approved by the Board of Commissioners and bonding is successful, $2.1M of the $2.62M reduction target for employee compensation and benefits will have been met.

The $2.62M was based on the preliminary financial state of the county presented in January. The updated financial state of the county will be presented in May after the equalization report is issued in April. Therefore, reduction targets may be modified based on the updated financial state of the county presentation.

Labor Agreements: Board Discussion

Before the March 20 vote, Conan Smith (D-District 9) began the board discussion by saying the contracts represent “a very, very substantial change in the way the county does business.” He thought it was important for the public to know the details. In large part, the county is moving away from a defined benefit pension system and back into a defined contribution system, he noted. This introduces substantial volatility for county retirees, he said, and does not provide for predictable stability that a defined benefit plan would. He appreciated that county administration has been “keenly sensitive” to the impact of that change.

The fact is that in moving out of a defined benefit plan, C. Smith said, “we are able to eliminate substantive legacy costs for the organization, which will create an enormous opportunity for us to do alternative types of investing to the community’s benefit at large.” It comes at the cost of introducing risk into the retirement system for employees, but after weeks of heavy debate, he said, he felt the county had created the best defined contribution program that they could. “It’s not the thing that I want,” he added, saying he’d prefer that the county keep its pension plan.

County commissioners Conan Smith (D-District 9) and Alicia Ping (R-District 3).

C. Smith said the process of reaching this decision was “interesting, open and thorough.” For years, he said, the county’s approach to labor negotiations has been remarkable in this way. The county was one of the first local governments to institute an interest-based bargaining process, “which was revolutionary,” he said. Smith noted that when county administrator Verna McDaniel was HR director for the county, he had asked her to teach members of the Michigan Suburbs Alliance about this approach. [Smith serves as executive director for the alliance, which is based in Ferndale.] So despite the fact that he’s disappointed about moving out of the defined benefit system, Smith said he’s very supportive of the contracts because he respects the negotiating process that was used.

C. Smith said he hoped the board and administration would be attentive to retiree health care. These new contracts are moving way from a defined benefit approach to retiree healthcare, and using another kind of investment system instead. [Smith was referring to retiree health reimbursement accounts (RHRAs), for employees hired after Jan. 1, 2014.] This is probably the most important thing that the county can do financially, he noted, because they have no control over the volatility of health care costs, which have been skyrocketing. He hoped that national responses to rising health care costs will have an impact, “but we don’t know that.” So the board can’t continue to put the institution at risk by “guaranteeing something that we don’t know we’re going to be able to afford in the long run.”

The proposal to move out of guaranteed retiree health care is dramatic, C. Smith said, and will likely pose significant challenges to employees. Both administration and the board will need to be very attentive in the coming years to ensure that this new system will provide the right kind of security. He said it’s the right move fiscally for the county.

These are big changes, C. Smith concluded. He thanked other commissioners and the administration for “bearing with me through my panic modes.” He described the solution as decent. It’s “imperfect, in my opinion, but quite good – B+.”

Dan Smith (R-District 2) spoke next. As with all contracts and negotiations, you end up with things you like and things you don’t like, he said. In this case, there are some things that he liked a lot. “And then, as these things go, there are things you don’t like so much.” It’s important to look at the entire document as a whole, he said.

The thing that made D. Smith uncomfortable is that most of the contracts are long-term – more than 10 years. “That is very likely longer than the service of most of us sitting around this table,” he said. A 10-year contract “severely binds future boards and dramatically eliminates the flexibility that they have to respond to situations that may face them seven or eight years down the road.” There are some benefits to that as well, Smith noted, but he’s not able to find enough data or information that would make him comfortable with that length of time. It would be different with a two-year contract, which gives the county the chance to respond to changing conditions, he noted. With a 10-years contract and the unknowns surrounding the costs and benefits of the various provisions, “I’m just not comfortable moving forward with that at this time.”

D. Smith also cited concerns about legal questions “that continue to nip away at this.” He wished the legislature would just leave this issue alone, but instead they continue to pick at it “week after week after week.” He didn’t know how it will play out, but “I do know that if we did this contract in the traditional way … we wouldn’t have a bull’s-eye on our back for that.”

D. Smith said he wouldn’t be supporting the union contracts. He appreciated the time and effort that the administration had put in to reach these agreements so quickly. He was very pleased with some of the provisions, and looked forward to seeing how those played out. But 10 years is too long a time to risk taxpayer dollars, he said. He realized there were competing interests – taxpayers, employees, the services that the county provides to citizens – that all have different needs. He realized that the new contracts try to address those needs in various ways, but he wasn’t comfortable with it in its entirety. He concluded by thanking the administration, and saying he was sorry he couldn’t support the contracts.

Andy LaBarre (D-District 7) expressed support for the contracts. The final product included the “varied thinking on this board,” he said. Hearing some of the issues raised by Dan Smith had been “exceedingly helpful,” LaBarre said. The flip side of concerns related to the 10-year length is the stability that these contracts bring – or at least the certainty of knowing the costs and benefits, for both the county and its employees.

Commissioners Felicia Brabec (D-District 4) and Yousef Rabhi (D-District 8).

LaBarre said Conan Smith did a laudable job in acting as a “conscience” on the real-life impact of the county’s workforce. LaBarre also thanked commissioners Felicia Brabec (D-District 4) and Yousef Rabhi (D-District 8) for providing the framework to reach this final contract. [Rabhi serves as board chair; Brabec is chair of the board's ways & means committee.] “It’s an imperfect but very workable solution that I believe is in the long-term best interests of the county,” he concluded, “and most importantly, the long-term best interests of the citizens we serve.”

Rabhi also indicated strong support for the contracts. The process was an example of why unions have been an institution that has worked in this country, he said, and it’s an example of why Washtenaw County’s bargaining process is one to be modeled across the country. Labor and management had only a few weeks to make this happen, he said, and came together with the engagement of the board to work out these contracts. “It’s an amazing accomplishment, and one that we should all be proud of.” He agreed with Conan Smith that there were some features that “can make some of us uncomfortable.” Specifically, Rabhi cited the switch from defined benefit to defined contribution plans. But in the end, the contracts will have a significant impact on the county’s long-term fiscal stability.

The fact that it’s a 10-year contract sounds scary, Rabhi said. But it provides the stability that the county needs to move forward, and the tools to build a healthy and resilient workforce, he said. He applauded the process and all of those who were involved. It had been a challenge, and they all had stepped up to it. He agreed with Conan Smith about the need to be mindful of the long-term resiliency of county employees and fiscal strength in retirement. By helping to provide the tools that employees need to invest, the county can help employees make the right decisions about their retirement plan. That will be a priority for him moving forward.

Rabhi also highlighted the aspect of these contracts that builds in wage increases when property taxes increase. “So when the county is bringing in more money, we’re able to pay our employees more,” he said. It builds in an economic reality and stability, without ignoring the needs of employees to keep up with the cost of living. It will also allow the county to offer competitive salaries, so that they can hire and retain the most excellent staff in Michigan and the country. He concluded by again thanking everyone for their work.

Alicia Ping (R-District 3) noted that she agreed with Conan Smith that the contracts were imperfect, but “for different reasons.” Ultimately, for her it’s about the stability of the entire organization. Without that stability, no individual employee can be secure in their job. There was some give-and-take in the negotiations, and when no one is completely happy, it’s a sign that everybody truly wins, Ping said. The county can now do more structured planning, based on what they know their costs will be. And any employee who comes on board will know what their pay structure will be like, so they can do some planning, too.

The county is eliminating legacy costs by eliminating the defined benefit plan, Ping noted. For her, that’s huge – it’s one of the best things that could happen, along with the changes to retiree health care. “It also gives us options on what we can do with our unfunded liabilities,” she said.

This process got started “because Lansing is meddling again,” Ping said, and that leads to unintended consequences. The contract is lengthy, but she believed it will be an “awesome” benefit to the county. While there are certain aspects that she doesn’t agree with, overall it’s the best thing that could happen for the county and its planning efforts. She thanked both the administration and employees.

Commissioner Ronnie Peterson (D-District 6).

Rolland Sizemore Jr. (D-District 5) cautioned the board against using acronyms. [Some commissioners referred to defined benefit and defined contribution plans as DB and DC, for example.] Noting that the public is watching on TV, he said commissioners should use “real words” and be more down-to-earth so that people can understand what the board is saying.

Ronnie Peterson (D-District 6) told commissioners that he wouldn’t be voting on the contracts for AFSCME Local 2733 or Local 3052, citing a professional relationship he has with the union’s parent organization. [Peterson is the legislative/political director for the Michigan AFSCME area office.] He said he agreed with Conan Smith’s comments, and highlighted the “years of sacrifice” that employees have made. The new contracts are the best that the county has ever negotiated, he said. It’s a “sharing loss,” but employees again are giving up a lot to keep the organization afloat.

The employees do it because they trust the administration and board to do right by them in the years ahead, Peterson said. Employees need to get credit for their help in balancing the budget over the past few years, he said, citing furlough days, wage concessions and other “huge sacrifices.” While most employees in other organizations are now being forced to do that, Washtenaw County employees came to the table years ahead of that to keep the organization afloat and to keep jobs for their colleagues. He wanted to make sure everyone was mindful of their sacrifices, including sacrifices for future employees – some of the union membership will frown on that, he said.

The 10-year term is almost unheard of, he said. It’s not locking them into a commitment that’s too long, he added, but rather it’s locking the county into a road map for the future. If the county does well and tax revenues increase, it’s only right that the employees benefit from that, he said. “They are public service providers,” he said. “They are not public servants who serve for free. They’re entitled to their compensation.”

Kent Martinez-Kratz (D-District 1) spoke briefly, saying he supported the move to the defined contribution system. He noted that the Chelsea city council had made the same decision several years ago when he served as a councilmember. It was overdue, he said. The long-term contract will help stabilize the county, and will give the workers knowledge that their jobs will be stable. It’s a good contract, he said.

Brabec wrapped up the discussion by also expressing her support. It’s been an open and transparent process, she said, that was done with great care “under some trying and difficult circumstances.” It will allow the county to address long-term liabilities and fiscal stability, and allow for a stronger county organization and a stronger workforce to serve residents. She thanked administration and labor for their work. It’s not perfect, she concluded, “but it’s the best imperfect.”

Outcome: The vote on contracts for AFSCME Local 2733 and AFSCME Local 3052 was 7-1, with Dan Smith dissenting and Ronnie Peterson abstaining. Commissioners unanimously approved the agreement with non-union employees. The vote was 8-1 on all other union contracts, with Dan Smith casting the lone vote of dissent.

2012 Financial Update

County administrator Verna McDaniel introduced finance analyst Tina Gavalier to give commissioners a 2012 year-end report, saying “I think you’ll be pleased.” Most recently, the board had received a financial update at their Jan. 16, 2013 meeting, to lay a foundation for setting the 2013-2014 budget.

From left: Finance analyst Tina Gavalier and Washtenaw County administrator Verna McDaniel.

Gavalier reported that the 2012 audit is wrapping up, and will be presented to the board at its April 3 meeting. So she characterized her presentation as preliminary, with the possibility of final “tweakings” before the audit is completed.

She told commissioners that she’d start with the good news: The county saw a $540,000 surplus in property tax revenues compared to what had originally been projected in the 2012 budget. Of that, about $111,000 is due to the timing of property tax collections, including $104,000 from Ann Arbor Township’s 2011 Huron Clinton Metro Authority millage, which was collected in 2012.

Other revenue surpluses include $536,000 more than budgeted from the county clerk/register of deeds office, related to real estate transfer taxes and fees, as well as services from e-commerce. In the “transfers in” category, a surplus of $506,000 related to closing out some non-general funds, Gavalier said, and transferring those into the general fund. And a $167,000 surplus from state revenue-sharing was due to payments under the 2012 incentive program.

In total, general fund year-end revenue surpluses reached about $1.7 million.

Gavalier also noted some revenue shortfalls, including about $687,000 in the sheriff’s office mostly due to delayed implementation of the consolidated dispatch services with the city of Ann Arbor. The district court also recorded a revenue shortfall of $286,000 primarily due to lower-than-expected court fees and fines. New case filings have declined for five straight years, she noted.

Overall, general fund revenue shortfalls totaled about $973,000.

Factoring in both surpluses and shortfalls, 2012 ended with a total general fund revenue surplus of $797,970.

Shifting to the general fund expenditures, a surplus of $1.7 million in fund balance reserves was planned and will be carried forward to use in 2013. There was also a savings of $336,000 in personnel services because of attrition, job vacancies and planned reductions. An additional $309,000 in net operational savings came across all county departments. For example, the trial court exceeded its “lump sum” reduction by $101,000, not counting personnel reductions.

The category of appropriations/transfers out was $731,000 higher than budgeted. Gavalier cited an increase in infrastructure management, and capital investment in technology, building maintenance and renovations.

The total expenditure “surplus” was $1.464 million for 2012 – that is, expenditures were $1.464 million less than budgeted for the year.

Through the end of 2012, total projected revenues of $102.04 million exceed total projected expenditures of $99.78 million by $2.26 million. The county had planned for a total surplus of $1.889 million to carry into 2013 – so the year ended with a surplus of $327,607 above that targeted amount.

2012 Washtenaw County general fund budget variance.

Chart showing 2012 Washtenaw County general fund status.

In 2011, the year-end fund balance was about $14.5 million, compared to a year-end fund balance as of Dec. 31, 2012 of about $16.8 million – or 16.3% of general fund expenditures in the 2013 budget.

Gavalier also reviewed several of the non-general fund outcomes for 2012. There are surpluses in the child care, facilities operations and maintenance, Friend of the Court, public/environmental health, building inspection, and risk management funds. On budget are funds for the prosecuting attorney, veterans relief, and office of community & economic development. The fund supported by the county’s Act 88 millage – for economic development and agricultural programs – showed a shortfall. Gavalier said the shortfall was planned, and includes a planned use of $15,000 from the program’s fund balance.

Looking ahead, Gavalier reminded commissioners that they’ll get the 2013 equalization report in April, along with the 2012 audit. The first-quarter 2013 budget update will be delivered in May. Throughout this year, staff will be working on the 2014-2015 budget, which will be presented to the board in September.

2012 Financial Update: Board Discussion

Yousef Rabhi wanted to highlight the shortfall of $687,000 in the sheriff’s office, most of it related to the dispatch consolidation with the city of Ann Arbor. [Rabhi represents one of three Ann Arbor districts on the county board.] It’s an example of a collaborative effort, and in the future it will save taxpayers money, he said – about $500,000 annually for Ann Arbor.

From left: Commissioners Yousef Rabhi, Alicia Ping, Andy LaBarre, and Ronnie Peterson.

The county is working to make regional collaboration a reality, he said, “but it is costing us something.” He wanted people to realize that the county is stepping up to the plate and putting up resources to help that consolidation go forward, because they believe in this approach. He said he didn’t like the shortfall, but wanted to highlight the investment that’s being made for the sake of regionalism.

Rabhi also noted that the county has a fund balance surplus at year’s end, and that’s something to be proud and excited about. But this good news comes on the heels of federal sequestration, which will impact county operations, he said, including employees and services. The budget surplus won’t offset sequestration entirely, he said, but perhaps it helps the county delay that impact a little bit. If the board prioritizes its programs and focuses on outcomes, he added, there’s a way to mitigate the impact of a loss of federal funding.

Rolland Sizemore Jr. said he was glad the county was working with Ann Arbor on dispatch consolidation, “but maybe Ann Arbor can be a little nicer and not charge us rent.” He asked whether the county will charge Ann Arbor rent when the dispatch operation eventually moves to county facilities on Zeeb Road. [Currently, the combined dispatch unit is located in the downtown Ann Arbor fire station No. 1 across from city hall.] Greg Dill, the county’s infrastructure management director, replied that the answer was “to be determined.”

Sizemore also wondered why the county showed a deficit in Act 88 funds. Gavalier reiterated that the 2012 budget for Act 88 funds included a planned use of the Act 88 fund balance.

Conan Smith asked for more details about the appropriations/transfers out, which was $731,000 higher than budgeted. Gavalier replied that because of overall budget reductions, the county has held flat the appropriations for the “1/8th mill fund” – which is used for maintenance projects – and the technology plan. In 2012, there was some extra money available to allocate, so the administration decided to provide more funding for those areas, Gavalier said.

“How does that happen without the board voting on it?” Smith asked. Gavalier replied that it was an administrative decision. County administrator Verna McDaniel elaborated, saying those funds had been “cut short” over the past few years. The plan was to eventually restore funding, she said.

Smith noted that the board had budgeted $1.3 million for the 1/8th mill fund in 2012. So capital construction got a “solid chunk of money” in the budget process, he said. Was McDaniel saying that it was still underfunded?

Gavalier said the 1/8th mill fund and tech plan funding have been flat since 2008 and 2009. Normally, the allocations are based on property tax values, she said, but that hasn’t been the case in recent years. So administration determined that if it were possible to increase the allocation to those funds, “it would help soften that reduction,” she said.

Allowing that he might sound rude, Smith asked where the budgetary authority was to make that appropriation without the board’s approval.

Commissioner Kent Martinez-Kratz (D-District 1).

McDaniel replied that she knew her authority was for line items under $100,000. The decision was made to restore funding to those areas, she said, but the board can make changes if it wants. Smith clarified with McDaniel that the funds aren’t yet spent. Gavalier added that the money has simply been transferred into the fund for future capital needs, and there was no net impact on the budget.

Smith indicated that he understood – the county had more money than it anticipated, “so we had to put it in some fund.” He further clarified that Dill would be discussing how those funds would be used during a working session presentation on March 21. [Dill's recommendations, presented on March 21 as part of the county's "space plan," included demolishing the former juvenile center and redeveloping the vacant Platt Road site, as well as renovating and remodeling several other county facilities.]

Smith said he wanted to draw the board’s attention to the fact that the money in this line item hasn’t yet been spent. The board has discussed other priorities for the organization, he added, and they need to carefully weigh the appropriateness of making an investment in the county physical infrastructure against some of the programmatic cuts that have been made – such as support for nonprofits, or to offset the impact of sequestration.

Andy LaBarre, who chairs the board’s working sessions, noted that in addition to the space plan update, the March 21 working session would include a presentation by Mary Jo Callan, director of the county’s office of community & economic development, about the impact of sequestration. [.pdf of sequestration impact on county departments] [.pdf of sequestration impact on OCED programs]

Outcome: This was not a voting item.

County Land Bank

Commissioners were asked to form a committee that will explore the feasibility of creating a land bank. A resolution on the March 20 agenda also named three people to the committee: Commissioner Ronnie Peterson (D-District 6), county treasurer Catherine McClary, and Mary Jo Callan, director of the county’s office of community & economic development. The committee is directed to report back to the board by Aug. 7, 2013.

A land bank is a mechanism for the county to take temporary ownership of tax- or mortgage-foreclosed land while working to put it back into productive use. “Productive use” could mean several things – such as selling it to a nonprofit like Habitat for Humanity to rehab, or demolishing a blighted structure and turning the land into a community garden.

The board has made attempts in the past to start a land bank, and actually formed one in the summer of 2009. But after commissioners were unable to resolve issues related to governance and funding, they voted to dissolve the land bank in March of 2010. Only three current commissioners were on the board at that time: Ronnie Peterson, Rolland Sizemore Jr. and Conan Smith.

At its Sept. 1, 2010 meeting, the board voted to revive the land bank. However, the board never took the next step of funding it or getting approval from the state.

On March 20 it was current board chair Yousef Rabhi who brought forward the land bank resolution. At the board’s Feb. 20, 2013 meeting, Rabhi had announced his interest in this effort.

For additional background, see Chronicle coverage: “Banking on a Land Bank” (July 8, 2009 board meeting); and discussions during the county board meetings on March 17, 2010, July 7, 2010 and Aug. 4, 2010.

Outcome: Without discussion, commissioners voted to form the land bank exploratory committee.

New Jobs in Water Resources, IT

Two new jobs – in IT support and water resources – were on the March 20 agenda for initial approval.

A new water resource specialist will work in the county’s office of the water resources commissioner, Evan Pratt. The job is authorized at a salary range between $30,515 to $40,253. According to a staff memo, the position is needed due to heavy drain construction activity and an increase in soil erosion application inspections. The job is described as a revenue-generating position, bringing in an estimated additional $41,337 in each of the first three years, and a minimum of $15,000 annually after that. The staff memo indicates that the office has identified reductions within its budget to offset the increased cost of the position.

New Jobs in Water Resources, IT: Board Discussion

Commissioner Dan Smith (R-District 2) expressed hesitation to add to the county’s payroll, but said he understood the need in these cases.

Evan Pratt, Washtenaw County’s water resources commissioner.

Evan Pratt, the county’s water resources commissioner, attended the March 20 meeting and spoke briefly, beginning his remarks by joking: “Long-time listener, first-time caller.” [He was first elected to this position in November of 2012.] Pratt said the construction activity is primarily in the city of Ann Arbor, which is paying for the work and has made at least a three-year commitment. “Existing staff was doing the work, but getting pretty far behind,” he said. He added that he had challenged his staff to figure out a cost-effective way to handle this without hiring part-time staff. The strategy includes shifting some clerical and accounting work to existing front-office staff.

Yousef Rabhi (D-District 8) said he appreciated that Pratt would be hiring a full-time position, rather than using temporary or part-time workers.

Pratt said he wished he didn’t have to come before the board with this request while they were dealing with labor negotiations, and he didn’t want people in the public to think the county was sending a mixed message. Pratt indicated that he was sensitive to Dan Smith’s concerns, but thought this was the most cost-effective way to proceed, by shifting some responsibilities elsewhere within his office. “We see it as budget neutral,” Pratt said.

The IT system support technician was authorized at a salary range between $37,464 to $52,355. According to a staff memo, the new position is needed to provide back-up for the IT help desk and other staff support. It will be funded from IT contracts and a structural reduction of $32,647 in the tech plan appropriation.

Outcome: Both positions received unanimous approval from commissioners in an initial vote at the ways & means committee meeting. The items will be considered for a final vote on April 3.

Public Health Plan

The Washtenaw County public health plan – mandated by the state of Michigan – was on the agenda for a final vote. The board gave initial approval at its meeting on March 6, 2013. [.pdf plan of organization]

State law requires that the county submit a plan of organization every three years to the Michigan Dept. of Public Health. The 103-page document outlines the county health department’s legal responsibilities and authority; the department’s organization, vision, mission and values statement; community partnerships; services, locations and hours of operation; reporting and evaluation procedures; and procedures for approving the county’s health officer and medical director. In Washtenaw County, the health officer is Dick Fleece. Alice Penrose serves as medical director.

Approval of the health plan is part of the state’s accreditation process for public health departments, which was put in place in 2004.

There was no discussion on this item.

Outcome: Commissioners unanimously approved the county’s public health plan.

Water Quality Training Fee

A $75 fee for Washtenaw County’s training course to certify drinking water operators was on the agenda for final approval. The board had given initial approval at its meeting on March 6, 2013.

Entities with drinking water supplies or places that use certain water treatment processes – like factories or schools – are required by the state to have certified operators. Until the end of 2013, the Michigan Dept. of Environmental Quality (MDEQ) reimbursed local health departments that offered these training courses, paying $75 for each certified operator who attended. Those funds will no longer be provided. The Washtenaw County public health department plans to continue offering the courses, but now needs to charge for this service.

The new fee will take effect on April 1, 2013.

Outcome: With no discussion, commissioners gave final approval to set the training course fee at $75.

Communications & Commentary

During the evening there were multiple opportunities for communications from the administration and commissioners, as well as public commentary. Here are some highlights.

Communications & Commentary: Regional Transit Authority

Conan Smith (D-District 9) highlighted the fact that the southeast Michigan Regional Transit Authority board has now been fully appointed, and will convene on March 28 for an orientation meeting. He suggested that the two Washtenaw County representatives – Richard “Murph” Murphy and Liz Gerber – come talk to the board about what the county’s interests and priorities are. “The earlier we weigh in, the more systemic the impact of our comments are going to be,” he said. “If we don’t talk to them until they’ve already made decisions, then it’s going to be too late.”

The city of Detroit and counties of Wayne, Macomb, Oakland and Washtenaw are included in a regional transit authority created by state legislation passed on Dec. 6, 2012.

Rolland Sizemore Jr. (D-District 5) said he’s been getting emails from people in the community who are interested in opting out of the RTA. He wanted to have a working session soon to talk about the RTA, “before we get too far down the tubes, to find out what our options are.”

Smith responded, saying there are no opt-outs allowed for the RTA under state statute. He thought Sizemore might be talking about the countywide effort that “AATA and the locals were trying to put together.” As far as the RTA, legally no one can opt out, he said. Sizemore replied that he still wanted a working session on it.

By way of background, the RTA was created by the legislature in December of 2012 to coordinate regional transit in the city of Detroit and counties of Wayne, Macomb, Oakland and Washtenaw. Conan Smith has been a strong advocate for Washtenaw County’s participation in the RTA. He lobbied the legislature to include Washtenaw County in the RTA, and accelerated the appointment process so that he could make the county’s two appointments to the RTA board before his term as board chair expired at the end of 2012.

However, other local leaders are concerned about the impact of the RTA on the Ann Arbor Transportation Authority, which primarily serves Ann Arbor and Ypsilanti. At a special meeting on Dec. 10, 2012, the Ann Arbor city council unanimously passed a resolution objecting to the inclusion of Washtenaw County in the RTA. There was subsequent lobbying to urge legislators to amend the law so that Washtenaw County would be excluded from the RTA – but that hasn’t happened.

Separately, the AATA has been meeting with representatives of the county’s “urban core” communities to discuss possible expanded public transit within a limited area around Ann Arbor. This follows last year’s derailed effort to build a countywide transit system. The AATA is hosting a meeting on March 28 to go over details about where improvements or expansion might occur, and how much it might cost. [See Chronicle coverage: "Costs, Services Floated for Urban Core Transit."]

Communications & Commentary: Healthy County

Alicia Ping noted that Washtenaw County has been ranked among the healthiest counties in the state. She congratulated the staff for their work.

The annual rankings are published by the University of Wisconsin Population Health Institute and the Robert Wood Johnson Foundation, looking at counties across the U.S. Dick Fleece, Washtenaw County’s public health officer, told commissioners that there are two categories: (1) health outcomes, based on morbidity and mortality; and (2) health factors, including health behaviors (tobacco use, diet and exercise, alcohol use and sexual activity), access to care and quality of care, social and environmental factors, and physical environment.

Washtenaw County ranked first in Michigan for health factors, Fleece reported, and fifth for health outcomes.

Communications & Commentary: Thomas Partridge

Only one person spoke during public commentary at the meeting. Thomas Partridge told commissioners that it was nearly the eve of Good Friday and Easter, and he wondered what Jesus would advocate if he were here today. Partridge thought Jesus would want everyone to be treated in a kind, respectful manner – despite differences of opinion. Commissioners need to work toward affordable, accessible housing and transportation, among other issues to help the most vulnerable residents of Washtenaw County.

Present: Felicia Brabec, Andy LaBarre, Kent Martinez-Kratz, Ronnie Peterson, Alicia Ping, Yousef Rabhi, Rolland Sizemore Jr., Conan Smith, Dan Smith.

Next regular board meeting: Wednesday, April 3, 2013 at 6:30 p.m. at the county administration building, 220 N. Main St. in Ann Arbor. The ways & means committee meets first, followed immediately by the regular board meeting. [Check Chronicle event listings to confirm date.] (Though the agenda states that the regular board meeting begins at 6:45 p.m., it usually starts much later – times vary depending on what’s on the agenda.) Public commentary is held at the beginning of each meeting, and no advance sign-up is required.

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A land bank is a mechanism for the county to take temporary ownership of tax- or mortgage-foreclosed land while working to put it back into productive use. “Productive use” could mean several things – such as selling it to a nonprofit like Habitat for Humanity to rehab, or demolishing a blighted structure and turning the land into a community garden.

The board has made attempts in the past to start a land bank, and actually formed one in the summer of 2009. But after commissioners were unable to resolve issues related to governance and funding, they voted to dissolve the land bank in March of 2010. Only three current commissioners were on the board at that time: Ronnie Peterson, Rolland Sizemore Jr. and Conan Smith.

At its Sept. 1, 2010 meeting, the board voted to revive the land bank. However, the board never took the next step of funding it or getting approval from the state.

On March 20 it was current board chair Yousef Rabhi who brought forward the land bank resolution. At the board’s Feb. 20, 2013 meeting, Rabhi had announced his interest in this effort.

For additional background, see Chronicle coverage: “Banking on a Land Bank” (July 8, 2009 board meeting); and discussions during the county board meetings on March 17, 2010, July 7, 2010 and Aug. 4, 2010.

This brief was filed from the boardroom at the county administration building, 220 N. Main in Ann Arbor. A more detailed report will follow: [link]

Diane Heidt, the county’s human resources and labor relations director, talks with Greg Dill, director of infrastructure management. (Photos by the writer.)

The resolution taking a stance against the state law was approved on a 6-2 vote, with dissent from the board’s two Republican commissioners – Dan Smith (District 2) and Alicia Ping (District 3). Felicia Brabec (D-District 4) was absent. Though Smith had stated his objections on Feb. 6, when an initial vote had been taken, there was no discussion on the item at the Feb. 20 meeting.

The resolution directed the administration to negotiate new four-year contracts “to protect and extend each bargaining unit’s union security provisions.” Current contracts with most of the 17 unions representing county employees expire at the end of 2013. New contracts, if completed before the right-to-work law takes effect in March, would not be required to comply with the new law, which makes it illegal to require employees to support unions financially as a condition of their employment.

Negotiations with the unions began earlier this month.

In other action at the Feb. 20 meeting, the board appointed Dan Smith to the Washtenaw County parks & recreation commission – the third county commissioner to be appointed to that 10-member board. Ronnie Peterson (D-District 6) raised concerns about having too many commissioners serve on that entity, noting that Smith was filling a slot designated for the general public.

Yousef Rabhi, who as board chair made the nomination, responded to Peterson’s comments, saying that he and Smith had discussed this issue – because Smith had the same concerns as Peterson. Rabhi assured Peterson that the commission will continue to provide opportunities for citizens to serve, and that the slot filled by Smith would remain designated as one for the general public for future appointments. Five members of the general public currently serve on the parks & rec commission.

In communications to the board, Rabhi noted that he planned to form a task force to explore establishing a county land bank. A land bank is a mechanism for the county to take temporary ownership of tax- or mortgage-foreclosed land while working to put it back into productive use. The board had previously voted to establish a land bank at its Sept. 1, 2010 meeting, but never took the next step of funding it or getting approval from the state. Only three commissioners from that period – Ronnie Peterson, Rolland Sizemore Jr. and Conan Smith – still currently serve on the board.

Among the other items handled at the Feb. 20 meeting included: Resolutions of appreciation for two Chelsea organizations – Purple Rose Theatre and Chelsea Lanes; a final vote to authorize borrowing up to $40 million against the amount of delinquent property taxes in all Washtenaw County jurisdictions; and final approval to add the Detroit Region Aerotropolis board to the list of boards, committees and commissions that are eligible for commissioners to receive stipend payments.

The Feb. 20 meeting was attended by several students, including nursing students from the University of Michigan who were observing the proceedings as part of a psychiatric nursing course.

Right-To-Work Response

Commissioners were asked to give final approval to a resolution opposing Michigan’s new right-to-work legislation, with a clause that directs the county administration to renegotiate union contracts. Initial approval had been given on Feb. 6, with a 6-1 vote. The dissenting vote at that meeting cast by Dan Smith (R-District 2). Absent at that Feb. 6 meeting  were Ronnie Peterson (D-District 6) and Alicia Ping (R-District 3).

In addition to condemning the right-to-work law and urging the state legislature to pass SB 95 and SB 96 – bills that would repeal the law – the resolution also “directs the county administrator and the director of human resources to engage in expedited negotiations, as requested by the unions, with the goal of reaching four (4) year agreements to protect and extend each bargaining unit’s union security provisions, as well as enter into a letter of understanding separate from the existing collective bargaining agreements for a period of ten (10) years.”

This same approach was authorized by the Ann Arbor Transportation Authority’s board at its Jan. 17, 2013 meeting. [See Chronicle coverage: "AATA OKs Labor, Agency Fee Accords"]

The controversial right-to-work law was passed late last year by the Republican-controlled House and Senate, and signed by Republican Gov. Rick Snyder. The law, which takes effect in March, will make it illegal to require employees to support unions financially as a condition of their employment. It’s viewed by Democrats as a way to undercut support for labor organizations that have historically backed the Democratic Party. On the Washtenaw County board of commissioners, seven of the nine commissioners are Democrats.

Unions represent 85% of the 1,321 employees in Washtenaw County government, through 17 different bargaining units. The largest of those units is AFSCME Local 2733.

Several commissioners have been vocal advocates in opposition to the new law. Those views were aired on Jan. 3 with a lengthy discussion of the right-to-work issue. [Chronicle coverage: "County Board Weighs Right-to-Work Response"]

On Feb. 20, Dan Smith (R-District 2) asked that the resolution be pulled out of the consent agenda to be considered separately. There was no discussion on the item, but a separate roll-call vote was taken on it.

Outcome: On a 6-2 vote, the resolution related to right-to-work issues was passed. Dissenting were Dan Smith (R-District 2) and Alicia Ping (R-District 3). Felicia Brabec (D-District 4) was absent.

At its Feb. 6 meeting, when the resolution received initial approval, the board held a closed session that lasted nearly three hours, for the purpose of discussing labor negotiation strategy. On Feb. 20, at the end of their meeting commissioners again met with staff for a closed session on collective bargaining, which lasted about 90 minutes.

Appointments

Appointments to the Washtenaw County parks & recreation commission and the Area Agency on Aging 1B were on the Feb. 20 agenda.

From left: County commissioner Ronnie Peterson (D-District 6) and Bob Tetens, director of Washtenaw County parks & recreation.

Dan Smith, a Republican county commissioner representing District 2, was nominated to the county parks & recreation commission for the remainder of a three-year term, ending Dec. 31, 2014. He had previously served two years on that commission, through Dec. 31, 2012.

He had not been reappointed in the initial round of appointments to WCPARC that were made earlier this year. Other commissioners appointed to WCPARC at the county board’s Jan. 16, 2013 meeting were Conan Smith of Ann Arbor (D-District 9) and Rolland Sizemore Jr. (D-District 5).

In a separate resolution on Feb. 20, Thomas Miree was nominated to the Area Agency on Aging 1B for a two-year term ending Dec. 31, 2014. The resolution noted that Miree had been the only applicant for this position.

Miree had previously been appointed to the AAA 1B in December of 2011, for a two-year term. Pete Simms of the county clerk’s office, who handles the application process for the county board appointments, clarified for The Chronicle that the AAA 1B board had changed its bylaws last year so that terms for its citizen representatives – one from each county in the agency’s geographic region – would have terms ending at the same time, on Dec. 31, 2014. So the agency asked the Washtenaw County board to reappoint Miree for a new two-year term, Simms explained.

Simms said that the position had been reposted as a formality, but that Miree was the only applicant. According to the agency’s website, Miree serves as the AAA 1B board’s vice chair.

Chronicle readers might recognize Miree from previous reports about the city of Ann Arbor’s intent to put a dog park in West Park, across from the New Hope Baptist Church. Miree, a trustee with the church, had spoken during public commentary earlier this year at the city’s park advisory commission as well as at city council, advocating against putting a dog park in that location. The city ultimately decided to look for another spot for a dog park.

Appointments: Board Discussion

The opening on WCPARC was designated for the general public. That concerned commissioner Ronnie Peterson (D-District 6), who spoke at length about the importance of involving citizens on the parks & recreation commission. Peterson said his comments were not a criticism of Dan Smith – characterizing their relationship as a good one. While it’s important to have a liaison between the county board and WCPARC, Peterson cautioned against having too many county commissioners serve on WCPARC. He wanted to ensure that the position remained designated for the general public, even though it would be filled at this point by a county commissioner.

By way of background, this was the membership of the 10-member parks & recreation commission, prior to Dan Smith’s appointment:

• Bob Marans, president (general public)
• Patricia Scribner, vice president (general public)
• Nelson Meade, secretary (general public)
• Jan Anschuetz (general public)
• Janis Bobrin (general public)
• Rolland Sizemore, Jr. (county commissioner)
• Conan Smith (county commissioner)
• Evan Pratt (county water resources commissioner – mandated)
• Fred Veigel (county road commissioner – mandated)
• Vacant (general public)

At the Feb. 20 meeting, Yousef Rabhi, who as board chair made the nomination, responded to Peterson’s comments. Rabhi said that he and Dan Smith had discussed this issue – because Smith had the same concerns as Peterson. Rabhi assured Peterson that the commission will continue to provide opportunities for citizens to serve, and that the slot filled by Smith would remain designated as one for the general public.

Outcome: Commissioners unanimously approved appointing Dan Smith to WCPARC and Thomas Miree to the Area Agency on Aging 1B board.

Changes to Stipend List

At their Feb. 20 meeting, commissioners were asked to give final approval to change the board rules and regulations that they had adopted on Dec. 5, 2012. The amendment, initially approved on Feb. 6, 2013, was to change the list of boards, committees and commissions that are eligible for stipend payments, adding the Detroit Region Aerotropolis board to the list and removing the Southeast Michigan Regional Transit Authority (RTA). The stipend for service on the aerotropolis will be $100.

From left: Curtis Hedger, the county’s corporation counsel, and county board chair Yousef Rabhi (D-District 8).

Commissioner Rolland Sizemore Jr. (D-District 5) had been appointed to serve on the aerotropolis at the county board’s Jan. 16, 2013 meeting. Sizemore’s appointment on Jan. 16 came in the context of the annual county commissioner appointments made at the start of each year. [.pdf of 2013 appointments listing]

The original list of eligible boards, committees and commissions for which stipends are paid was approved at the county board’s Dec. 5 meeting, but the aerotropolis had not been included in that list.

At that Dec. 5 meeting, commissioners had voted to alter their compensation to receive stipend payments based on the number of meetings that a commissioner is likely to attend for a particular appointment. One or two meetings per year would pay $50, three or four meetings would pay $100, and the amounts increase based on the number of meetings. Each commissioner typically has several appointments.

In the past, commissioners had to request per diem payments for their work. Now, stipend payments will be made automatically, unless commissioners waive their stipends by giving written notice to the county clerk. According to the county clerk’s office, Dan Smith (R-District 2) is the only commissioner who has waived all of his stipends. Ronnie Peterson (D-District 6) does not receive any stipends because he was not appointed to any boards, committees or commissions.

Outcome: Without discussion, commissioners unanimously voted to approve the change in the stipend list.

Delinquent Tax Borrowing

On the agenda was a final vote to authorize borrowing up to $40 million against the amount of delinquent property taxes in all of the county’s 80 taxing jurisdictions. [.pdf of delinquent tax resolution] Commissioners gave initial approval on Feb. 6, 2013, when county treasurer Catherine McClary had been on hand to make a presentation and answer questions.

After March 1, taxing jurisdictions – including cities, townships, schools systems and libraries, among others – turn their delinquent taxes over to the county, and are reimbursed for that amount. The county treasurer then assumes responsibility for collecting these delinquent taxes. This is a standard procedure that’s conducted annually at this time of year. The borrowed funds are used for cash flow purposes, to fund operations for the first half of the year.

This year, the estimated amount of delinquent taxes is about $25 million. At the Feb. 6 board meeting, McClary told commissioners that she expects the actual amount to be lower than that. The exact amount won’t be determined until the middle or end of March. The notes will likely be issued in April or May, she said. McClary also pointed out that the resolution limits the amount that can be borrowed to $40 million, down from a limit of $45 million last year.

McClary did not attend the Feb. 20 meeting, and there was no discussion on this item.

Outcome: Commissioners unanimously approved the delinquent tax borrowing resolution.

Allen Creek Drain Project

Commissioners were asked to authorize backing bonds for a drain project along Miller Avenue in Ann Arbor – in the Allen Creek drainage district – with the county’s full faith and credit. The board had given initial approval on Feb. 6, 2013.

The backing is for up to $1.58 million in bonds for the project, which will be repaid through a special assessment against the city of Ann Arbor. The project is being handled by the office of the Washtenaw County water resources commissioner, led by Evan Pratt. It’s the first project brought forward by Pratt, who took office in January.

According to a staff memo, the funds will be used “to clean out, widen, deepen, straighten, tile, extend, or relocate along a highway, construct branches, relief drains, or connections to the Miller Avenue portion of the Allen Creek Drain to reduce downstream flooding and improve water quality to increase the public health benefit.”

Pratt had attended the Feb. 6 meeting, but was not on hand for the Feb. 20 session.

Outcome: The board unanimously approved the drain project, with no discussion.

Sewer Debt Refinancing

Final approval to refinance debt for a sewer system on the county’s west side was on the board’s Feb. 20 agenda. The refinancing, which is intended to save more than $280,000 in interest payments, got initial approval at the county board’s Feb. 6, 2013 meeting. [.pdf of Feb. 20 memo and resolution]

John Axe of Axe & Ecklund, a Grosse Pointe Farms firm, is the county’s bond counsel. He attended the Feb. 20 meeting but did not formally address the board during the public portion of its meeting.

The resolution authorizes the sale of refunding bonds that would be used to pay the remaining principal on existing bonds that were sold in 2004. That year, the county sold $5.115 million in bonds to help Lyndon and Sylvan townships pay for the sewer. Of that, $2.25 million remains to be paid.

However, the bond sale now is expected to be about $990,000 – an amount that’s lower than indicated in the original Feb. 6 resolution. According to a Feb. 20 memo from county water resources commissioner Evan Pratt and Daniel Myers, director of public works, Lyndon Township has decided to pay off all of its remaining debt and will therefore not participate in the new bond sale. In addition, Sylvan Township will pay $225,000 to reduce its part of the debt.

The resolution that commissioners considered on Feb. 20 for final approval had been changed from the Feb. 6 resolution, to reflect this updated information.

The project built sewers at Cavanaugh, Sugar Loaf, Cassidy, Crooked, and Cedar Lakes. It’s funded through special assessments on property around those lakes and payments by the Sugar Loaf Lake State Park and Cassidy Lake State Corrections Facility.

This sewer system is separate from a controversial water and wastewater treatment plant project in Sylvan Township. For more background on that project, see Chronicle coverage: “County Board OKs Sylvan Twp. Contract.”

John Axe of Axe & Ecklund, a Grosse Pointe Farms firm, is the county’s bond counsel and attended the Feb. 20 meeting. However, he did not formally address the board during the public portion of its meeting.

Outcome: The board unanimously approved the sale of refunding bonds.

Recognizing Purple Rose, Chelsea Lanes

Two Chelsea organizations – Purple Rose Theatre and Chelsea Lanes – were recognized for their support of the community at the Feb. 20 meeting. Resolutions of appreciation were brought forward by Kent Martinez-Kratz (D-District 1), whose district includes the city of Chelsea.

The Purple Rose Theatre – founded by the actor Jeff Daniels, who lives in the area – is a nonprofit professional theater located in downtown Chelsea. The resolution of appreciation cites several contributions, including the theater’s weekly Wednesday matinee held for the community, and its partnerships with local businesses and entities like the Chelsea District Library. [.pdf Purple Rose Theatre resolution]

Chelsea Lanes, a bowling alley owned by Eddie Greenleaf III and located at 1180 S. Main, was commended for its support of the SRSLY community coalition, and for hosting many community events and fundraisers. [.pdf of Chelsea Lanes resolution]

The resolutions noted that Chelsea Lanes received the Chelsea Area Chamber of Commerce’s 2012 Small Business Award, while Purple Rose Theatre received the chamber’s 2012 Large Business Leadership Award.

No one from either organization attended the Feb. 20 meeting, and there was no discussion on these items.

Outcome: The board unanimously approved the resolutions of appreciation.

3-Way Tech Agreement

Washtenaw County commissioners were asked to give final approval to amend a three-way agreement with the Ann Arbor Transportation Authority and the city of Ann Arbor.

Andy Brush, the county’s IT manager.

The three-way accord – an interagency agreement for collaborative technology and services (IACTS) – is meant to provide a way to procure and maintain common technology platforms and services centrally. Commissioners had given initial approval to the changes on Feb. 6, 2013.

The modification to the agreement allows for adding other entities into the agreement in a more streamlined way. It gives each founding member the ability to add new participants administratively, without modifying the agreement itself. The original IACTS was approved in May of 2011. [.pdf of IACTS amendment]

The Ann Arbor city council approved the amendment at its Feb. 4, 2013 meeting.

Washtenaw County already provides certain IT services to other local entities – like the city of Ypsilanti, Dexter’s fire department, and the 14B District Court – although they aren’t yet parties to the IACTS agreement. Another entity that might participate in the IACTS is the Washtenaw Intermediate School District.

Andy Brush, the county’s IT manager, attended the Feb. 20 meeting but did not formally address the board.

Outcome: Without discussion, the board unanimously approved amendments to the IACTS.

Grant Funding

Three items related to grants and programs administered by the county’s office of community & economic development (OCED) were on the Feb. 20 agenda for final approval.

The items are: (1) the Michigan Works! system plan for 2013 [.pdf of 2013 MWSP]; (2) $20,000 in federal funding (Community Services Block Grant discretionary funds) to conduct a needs assessment of the New West Willow Neighborhood Association, supplemented with $5,000 in county matching funds; and (3) $20,000 in federal funding (Community Services Block Grant discretionary funds) for tax preparation services to low-income customers, in partnership with Avalon Housing, Catholic Social Services of Washtenaw County, Housing Bureau for Seniors and Women’s Center of Southeastern Michigan.

These items had received the board’s initial approval at a meeting on Feb. 6, 2013.

Outcome: Without discussion, the board unanimously approved these OCED grant-related items.

Communications & Commentary

During the evening there were multiple opportunities for communications from the administration and commissioners, as well as public commentary.

Communications & Commentary: Land Bank

Yousef Rabhi (D-District 8) announced that he planned to put together a task force to “take a serious look” at establishing a county land bank. He said he wanted to make sure that commissioner Ronnie Peterson (D-District 6), who represents the Ypsilanti area, is involved in that effort, along with the county treasurer’s office and the office of community & economic development. He invited any other commissioner who wanted to participate to let him know. He said he hoped they could move quickly, because a land bank could have a potentially big impact on local communities, including on the eastern side of the county.

Conan Smith (D-District 9) expressed support, noting that the board and staff had worked on this issue a couple of years ago. Even though the economy is starting to recover nationally and across Michigan, he said, there are still struggles related to foreclosure – particularly on the county’s east side, in the Ypsilanti and Ypsilanti Township area. Those issues would be well addressed by a land bank. The challenges of structure and funding still exist, Smith said, adding that “we never were able to resolve that.” So it’s good to have a task force that could develop a strategy that meets the board’s interest as well as the interests of the county treasurer, he said.

After consulting with corporation counsel Curtis Hedger about the process for creating a task force, Rabhi indicated he would bring a formal recommendation to the board in the near future to form the land bank task force.

By way of background, a land bank is a mechanism for the county to take temporary ownership of tax- or mortgage-foreclosed land while working to put it back into productive use. “Productive use” could mean several things – like selling it to a nonprofit like Habitat for Humanity to rehab, or demolishing a blighted structure and turning the land into a community garden.

The board has made attempts in the past to start a land bank. The board actually formed a land bank in the summer of 2009. But after commissioners were unable to resolve issues related to governance and funding, they voted to dissolve the land bank in March of 2010. Only three current commissioners were on the board at that time: Ronnie Peterson, Rolland Sizemore Jr. and Conan Smith.

At its Sept. 1, 2010 meeting, the board voted to revive the land bank. However, the board never took the next step of funding it or getting approval from the state.

Commissioner Kent Martinez-Kratz (D-District 1) greets students from the University of Michigan School of Nursing who attended the county board’s Feb. 20 meeting.

For additional background, see Chronicle coverage: “Banking on a Land Bank” (July 8, 2009 board meeting); and discussions during the county board meetings on March 17, 2010, July 7, 2010 and Aug. 4, 2010.

Communications & Commentary: Students

Several students attended the Feb. 20 meeting, and were asked by commissioner Rolland Sizemore Jr. (D-District 5) to introduce themselves. They were students from Skyline High School fulfilling a class assignment, and nursing students from the University of Michigan who were observing the proceedings as part of a psychiatric nursing course. This detail drew laughs from commissioners, who appeared to appreciate the implication.

Communications & Commentary: Thomas Partridge

There was only one speaker during the two citizens participation slots at the Feb. 20 meeting – Thomas Partridge – who spoke during both opportunities for public commentary.

He raised concerns about the local impact of possible sequestration at the federal level. He called on the board to pass resolutions to recall elected officials who are neglecting their responsibilities to the most disadvantaged and vulnerable residents, and to labor unions. Among those who should be recalled, Partridge said, are Gov. Rick Snyder, Ann Arbor mayor John Hieftje, and certain members of the county board, whom he did not identify by name.

Partridge also urged the board to get serious about addressing job creation, affordable housing and affordable transportation needs.

Present: Andy LaBarre, Kent Martinez-Kratz, Ronnie Peterson, Alicia Ping, Yousef Rabhi, Rolland Sizemore Jr., Conan Smith, Dan Smith.

Absent: Felicia Brabec.

Next regular board meeting: Wednesday, March. 6, 2013 at 6:30 p.m. at the county administration building, 220 N. Main St. in Ann Arbor. The ways & means committee meets first, followed immediately by the regular board meeting. [Check Chronicle event listings to confirm date.] (Though the agenda states that the regular board meeting begins at 6:45 p.m., it usually starts much later – times vary depending on what’s on the agenda.) Public commentary is held at the beginning of each meeting, and no advance sign-up is required.

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Washtenaw County commissioners get their photo taken, with plaques given to them by the U.S. Census Bureau. In the foreground, with his back to the camera, is Toine Murphy, a partnership specialist from the U.S. Census Bureau’s Detroit office, who presented the plaques to commissioners. Bonus points to readers who can identify the woman on screen in the background, and what she's doing. (Photos by the writer)

Two millage-related issues were dispatched without discussion: making minor changes to ballot language for renewing the natural areas preservation program millage, and setting a Sept. 15 public hearing for renewal of an indigent veterans relief millage.

Commissioners gave initial approval, again without discussion, to transfer the use of $10 million in federal Recovery Zone Economic Development Bonds from the county to the Washtenaw Community College. WCC plans to use the bonds to fund construction of a parking structure.

Also getting initial approval was a resolution to authorize the county to issue dog license renewals year-round, and to add the option of a three-year license. Currently, one-year dog licenses can be bought starting Dec. 1 for the upcoming year.

An agreement with St. Joseph Mercy Health System was terminated, related to the operation of the Delonis Center – the county’s homeless shelter. The agreement, put in place when the shelter was conceived, called for St. Joe’s to step in and operate the center if the entity created to do that work – the Washtenaw Housing Alliance – couldn’t perform that task. The WHA subsequently subcontracted operations to the Shelter Association of Washtenaw County and Food Gatherers, which have been operating the shelter for eight years. St. Joe’s asked that they be released from the agreement, but will keep their representatives on the WHA board.

And after months of discussion and debate, the board approved two resolutions that revived the county’s land bank, which commissioners had voted to dissolve in March 2010. Leah Gunn dissented, and three commissioners – Ken Schwartz, Jessica Ping and Barbara Bergman – were absent. County treasurer Catherine McClary, Ypsilanti mayor Paul Schreiber and Sabra Briere, an Ann Arbor city councilmember, attended the meeting to support the land bank, a tool used to help the county deal with foreclosed and blighted properties, and after the vote they all thanked the board for its action.

Land Bank Revived

The land bank, first formed in the summer of 2009, was dissolved in March 2010 after commissioners failed to reach consensus on issues of governance and funding. For background, see Chronicle coverage: “Banking on a Land Bank” (July 8, 2009 board meeting); and discussions during the county board meetings on March 17, 2010, July 7, 2010 and Aug. 4, 2010.

Land Bank: Public Commentary

Just as he’d done at the board’s March 17, 2010 meeting, Ypsilanti mayor Paul Schreiber told commissioners he was in favor of the land bank, and asked them to save it. He described the land bank as a tool that can enhance the work of the Washtenaw Urban County, a consortium of Washtenaw County, Ann Arbor, Ypsilanti and nine townships, responsible for allocating federal funding for low-income housing and other community development projects. Schreiber serves on the Urban County’s executive committee, which is chaired by county commissioner Leah Gunn.

Paul Schreiber, mayor of Ypsilanti, worked on his laptop during a break in the Sept. 1 meeting of the Washtenaw County board of commissioners. Schreiber spoke during public commentary in support of the county land bank, which commissioners ultimately approved.

Schreiber noted that during his recent primary campaign for mayor, he’d noticed that there were some neighborhoods with more foreclosure signs than campaign signs. Washtenaw County isn’t as bad as Genesee County, he said, but they can stem the tide here if they empower the land bank and look for funding sources. [Genesee County, where Flint is located, formed the state's first land bank several years ago.] Schreiber said he understood some of the commissioners’ concerns about funding and governance issues, and he asked for their patience. The land bank, he concluded, “is very important for Ypsilanti city, Ypsilanti Township and I believe really the whole county.”

Land Bank: Commissioner Deliberations

Three resolutions were considered during the meeting: 1) a resolution proposed by Barbara Bergman to alter the composition of the land bank authority’s board in a substantive way, 2) a resolution that made changes to the original agreement forming the land bank, including some that related to the land bank authority board’s composition, and 3) a resolution to rescind the board’s previous vote to dissolve the land bank.

Commissioners first voted on Bergman’s resolution regarding the composition of the land bank’s governing body. Bergman, who was absent from Wednesday’s meeting, had introduced the resolution at the board’s Aug. 4 meeting, but it had been tabled. From The Chronicle’s report of that meeting:

The proposed intergovernmental agreement called for the board to consist of seven members: the county treasurer, two county commissioners, the mayor or councilmember from the city of Ann Arbor, the mayor or councilmember from the city of Ypsilanti, the supervisor of Ypsilanti Township, and a supervisor representing townships in the western part of the county. However, Bergman began the discussion by proposing an amendment to the intergovernmental agreement, to alter the composition of the land bank authority board. Her amendment would eliminate the requirement to have the Ypsilanti Township supervisor and a supervisor from western Washtenaw serve on the authority’s board.

In their place, Bergman proposed adding five other spots: 1) a representative from the banking industry, 2) a representative the local real estate industry, 3) a representative from local townships, recommended by the Michigan Townships Association, 4) an attorney recommended by the Washtenaw County Bar Association, and 5) a representative recommended by the Washtenaw County Home Builders Association. Her amendment required that all positions get final approval by the county board before being appointed.

There was no discussion regarding this resolution.

Outcome: Bergman’s resolution to change the composition of the land bank authority board failed. Casting dissenting votes were Kristin Judge, Ronnie Peterson, Wes Prater, Rolland Sizemore, and Conan Smith. Three commissioners – Bergman, Jessica Ping, and Ken Schwartz – were absent.

After the vote, Ronnie Peterson remarked that it seemed Mark Oiumet didn’t understand the resolution he had voted in favor of – Ouimet conceded that Peterson was correct, and that he had intended to vote no.

Peterson then asked corporation counsel Curtis Hedger to explain the resolutions they’d be voting on next. The board had given initial approval of these resolutions at their July 7 meeting, after a lengthy discussion that lasted more than an hour.

Hedger explained that second resolution would make four changes to the intergovernmental agreement that governs the land bank authority: 1) eliminating the position of sheriff from the authority’s board, 2) adding another county commissioner position, so that there would be two commissioners appointed to the authority’s board, 3) amending the agreement’s language so that votes would require a majority of the entire board, not just a majority of the quorum, and 4) strengthening the language so that the county board of commissioners would have the authority to terminate the land bank authority directly. [Previously, that power was held by the treasurer, though she had promised to abide by the county board's direction.]

The third resolution would rescind their March 17, 2010 decision to dissolve the land bank.

Before the vote, Sizemore asked county treasurer Catherine McClary whether the changes to the land bank would need state authorization as well – this had been required during the land bank’s first iteration. Yes, McClary said, the state Land Bank Fast Track Authority would need to approve the changes.

Sizemore then asked who would be responsible for seeking funds for the land bank. County administrator Verna McDaniel said it would be a collaborative effort, including her staff and the county/city of Ann Arbor Office of Community Development, which would explore possible federal funding.

Mark Ouimet noted that after their July meeting, when the board had discussed funding possibilities, he and McClary had met with officials of the Ann Arbor Area Community Foundation and Washtenaw United Way, to explore possible funding from those groups. In order for the land bank to work, he said, they’ll need to find funding beyond government sources.

Prater said they shouldn’t forget about financial institutions, many of which have affiliated nonprofit foundations that might be able to provide funding. It’s in the best interests of those institutions to maintain property values, which a land bank will help do, he said. Prater said he believed it was possible to fund the land bank with sources outside of the county’s general fund.

Sizemore thanked officials from Genesee County for meeting with him and others last month to give advice about the land bank, and he thanked Peterson and McClary for pushing it along. In turn, Kristin Judge thanked Sizemore as well as McClary, saying it had been a group effort to get to this point. It’s been difficult to do, she said, but it’s worth trying. And if it doesn’t work, they can disband it again, she said.

Outcome: The two resolutions related to reinstituting the land bank were approved, with dissent from Leah Gunn. Commissioners Barbara Bergman, Jessica Ping and Ken Schwartz were absent.

Land Bank: Public Commentary, Round II

During the time for public commentary at the end of the meeting, three people spoke to thank commissioners for reinstituting the land bank.

Catherine McClary, the county treasurer, said she and her staff would definitely work with the county administrator to seek funding sources for the land bank. She also informed commissioners of a series free foreclosure prevention housing counseling seminars, organized by the Foreclosure Prevention Collaborative and held in Ann Arbor, Ypsilanti and Manchester. The collaborative is a joint effort of the Washtenaw County treasurer’s office, the Michigan State University Extension, Legal Services of South Central Michigan, and Housing Bureau for Seniors.

Sabra Briere, who represents Ward 1 on the Ann Arbor city council, told commissioners that she served on the land bank authority board – or at least, she had been appointed to do so in its previous iteration, and hoped to continue to serve. She said she hopes they can find new ways to deal with foreclosure issues, which she described as heartbreaking. “The land bank’s just another tool, and I hope that we get to use it soon,” she said.

Paul Schreiber, Ypsilanti’s mayor, thanked commissioners and said he looked forward to working with them and with the county treasurer on the land bank.

Commissioner Response to Public Commentary

Ronnie Peterson thanked his colleagues, saying that the land bank was an effort to address problems on the east side of the county, which he represents, but also throughout the county. He noted that Leah Gunn, who had voted against the land bank, had been very responsive to needs of residents on the eastern side of Washtenaw County. He took it as a challenge to win her over, he said, and to find sufficient funding for the land bank. Gunn is an outstanding commissioner for all county residents, he concluded.

Indigent Veterans Relief Millage

The board gave initial approval to renew a 1/40 mill that would raise an estimated $362,415 for the care of indigent veterans who live in Washtenaw County. The tax was first levied two years ago and is administered by the Department of Veteran Affairs, led by director Mark R. Lindke.

Mark Lindke, director of Washtenaw County's Dept. of Veterans Affairs, talks with Patricia Denig, head of the county's Employment Training & Community Services (ETCS) department, prior to the start of the Sept. 1 board of commissioners meeting.

The board is expected to give final approval at its Sept. 15 meeting. On Wednesday, commissioners also set a public hearing to be held during the Sept. 15 meeting to get input on the millage.

The county estimates that property owners would pay $2.50 for every $100,000 of their property’s taxable value. Because of a general decrease in property values, the county estimates the millage will raise about $30,000 less in 2011 than it did this year.

Legislation for this millage was enacted prior to the Headlee Amendment, and therefore does not require voter approval.

The Department of Veteran Affairs offers services that help local veterans tap state and federal resources. The county expects demand for these services will increase because of the tough economy, ongoing war in Afghanistan and military presence in Iraq, and increased awareness of the county program.

Commissioner Kristin Judge said she’d received very positive feedback from her constituents about the millage. She said she appreciates the work of the department, and that this millage provides the discretionary funding they need.

Commissioner Wes Prater asked how support for veterans is being coordinated with the funds administered by the county/city of Ann Arbor Office of Community Development, which addresses human services needs like housing. OCD director Mary Jo Callan, who attended Wednesday’s meeting, came to the podium and told Prater that there’s a coordinating committee for groups that provide services for people who are homeless or who have housing crises. The staff of the veterans affairs department frequently attends those meetings, she said. Callan said they can do better in coordinating services, but they are doing it to some extent already.

Prater responded by saying he’s received two calls from veterans who’ve attempted to get assistance through the county, and who felt that they weren’t being helped. It’s difficult to find jobs, Prater said, and these returning veterans really need support.

Stimulus Bonds Transferred to WCC

At their March 2010 meeting, the Washtenaw County Economic Development Corp. discussed a quandary: the county had been allocated $33.066 million worth of federal tax-free bonds for private-sector projects, but no firms had stepped up to apply for them.

These Recovery Zone Facility Bonds were allocated as part of the American Recovery and Reinvestment Act, and expire at the end of 2010. In addition, another $22.044 million in federal Recovery Zone Economic Development Bonds had been allocated to the county for public projects – those, too, were unused.

On Wednesday, commissioners gave initial approval to transfer the use of $10 million of the Recovery Zone Economic Development Bonds from the county to Washtenaw Community College. In July, WCC officials had formally asked the county for use of the bonds to fund construction of a parking structure on its campus. The board is expected to vote on final approval of the transfer at its Sept. 15 meeting.

The Recovery Zone Economic Development bonds aren’t tax-free – interest generated by the bonds is taxable. However, the public body issuing the bonds – in this case, WCC – will get a tax credit equal to 45% of the interest on the bonds. By comparison, traditional tax-free government bonds typically save the governmental issuer approximately 35% of the interest cost on that bond.

There was no discussion of the bond transfer at Wednesday’s meeting. However, at an administrative briefing held on Aug. 25 to discuss the agenda, commissioner Wes Prater asked whether the bonds could be used for bridge construction – either for the East Stadium bridges in Ann Arbor, or for some of the bridges that the Washtenaw County Road Commission is responsible for.

Responding to a follow-up email from The Chronicle, Curtis Hedger, the county’s corporation counsel, said that those bonds could be used for public infrastructure projects such as bridges and roads, if the governmental entity responsible for such bridges and roads was willing to bond for those projects.

Separately, the city of Ann Arbor was allocated up to $11.511 million worth of Recovery Zone Economic Development bonds. At its Aug. 5, 2010 meeting, the city council designated the entire city as a “recovery zone” – a step necessary in order to issue the bonds. At this point, however, no projects using these bonds have been proposed for the city. In August, the city applied for TIGER II grants from the U.S. Dept. of Transportation to fund the East Stadium bridges replacement project, estimated to cost about $23 million.

St. Joe’s Agreement for the Delonis Center

Commissioners voted to terminate a joint operating and lease agreement with St. Joseph Mercy Health System for the Delonis Center, the county’s homeless shelter. The agreement had been signed at the shelter’s inception, when St. Joe’s agreed to take over the lease and operations of the center if the entity created to handle those responsibilities – the Washtenaw Housing Alliance – failed to do so. The agreement also gave WHA board members from St. Joe’s a greater level of responsibility in approving budgets and out-of-budget expenditures.

The WHA subsequently subcontracted operations to the Shelter Association of Washtenaw County and Food Gatherers, which have been operating the shelter for eight years.

There was no discussion of the resolution to terminate the agreement during Wednesday’s meeting. However, during an administrative briefing for commissioners held on Aug. 25, county administrator Verna McDaniel said that St. Joe’s has been discussing this possibility for several months. They felt it was time to take a step back from the operations, though they’ll retain seats on the WHA board of directors and remain a “quiet force,” McDaniel said. Kathleen Rhine, vice president of administrative services for St. Joseph Mercy Health System, serves as president of WHA’s board of directors, and Yvonne Gellise, the system’s senior advisor for governance, is a board member.

Also at the administrative briefing, commissioner Barbara Bergman expressed concern about whether the county/city of Ann Arbor Office of Community Development had sufficient staff to take on support for the Delonis Center. McDaniel said that OCD’s director, Mary Jo Callan, is careful to make sure her staff has adequate resources for the projects that they tackle. So far, McDaniel added, they haven’t had to ask for general fund support – they’ve been able to find grants and other funding sources to do the work.

Rolland Sizemore Jr. noted that OCD had taken on several additional responsibilities over the past year, as had Callan. “I just don’t want to burn her out,” he said.

Leah Gunn described St. Joe as having been a great partner in the Delonis Center. “We owe a great debt of gratitude to them,” she said. Bergman suggested finding some way to publicly acknowledge the role that St. Joe’s played.

Transfer of Travel Money Tabled

During the time for commissioners to propose items for current or future discussion, Kristin Judge made a motion to approve the transfer of no more than $1,300 from commissioner Ronnie Peterson’s flex account, to be moved into Judge’s account. The funding would be used for travel, Judge said. Peterson supported the motion.

By way of background, in 2009 commissioners approved the creation of flex accounts that pooled previous line items for per diem, travel, and convention/conference expenses. The budget calls for $3,550 per commissioner for these accounts. When the accounts were approved, three commissioners – Leah Gunn, Jeff Irwin and Barbara Bergman – voted against the change.

On Wednesday, noting that she had voted against flex accounts, Gunn said she didn’t feel that commissioners should spend more than they are allocated. Given the demand for county services, anything that’s left over should return to the general fund, she said.

Conan Smith moved to table the proposal until the Sept. 15 meeting – his motion passed, with dissent from Judge, Peterson and Prater.

Peterson asked that the board be provided with all policies related to the flex accounts prior to their Sept. 15 meeting. Judge explained that she exceeded her allocation because of her work on a cyber-citizen coalition, an initiative she’s spearheading to address Internet-related crime. The effort is being recognized by the National Initiative on Cybersecurity Education, based in Washington, D.C. Judge said she traveled to D.C. to participate in a NICE meeting, and she hopes to get grant funding for the Washtenaw effort. A kick-off event for that effort is set for Oct. 6 from 8-10 a.m. Internet crime is the No. 1 concern of constituents, Judge said, adding that Washtenaw County needs to stay at the forefront of efforts to address it.

Natural Areas Preservation Program Millage

At their Aug. 4, 2010 meeting, commissioners voted to put a millage renewal on the Nov. 2 ballot to fund the county’s natural areas preservation program. At the request of the county clerk’s office, which oversees elections, on Wednesday the board approved three minor revisions to ballot language for the NAPP millage. The changes include shortening the title of the ballot proposal to “Natural Areas Millage Renewal”; specifying that the ballot proposal is “Proposal A”; and capitalizing the proposal’s first word.

The 10-year millage was first approved by voters in 2000, and will have generated about $27.5 million by the time it expires. The 0.2409 mill tax is expected to raise roughly $3.5 million in annual revenues if approved by voters in November.

A section of the Sept. 1, 2010 Washtenaw County board of commissioners agenda that was passed out at the meeting. Observant readers will spot a more ambitious license renewal on the agenda – or more likely, a typo.

Changes to Dog Licensing

Commissioners gave initial approval to year-round dog license renewals, and added the option of a three-year dog license. Currently, only a one-year dog license is available for purchase starting Dec. 1 for the upcoming year. Under the existing system, dog owners have until March 1 to buy a one-year license before their previous license expires.

The board also approved a new fee schedule: Licenses will cost $1 a month for a maximum of 3 years for spayed or neutered dogs, or $2 a month for unaltered dogs. A final vote on the changes is expected at the board’s Sept. 15 meeting.

Census 2010 Coda

Toine Murphy, a partnership specialist from the U.S. Census Bureau’s Detroit office, returned to the board – he had spoken at the March 3, 2010 meeting to mark the Census 2010 kick-off – and gave a brief update and thanks for commissioners’ help in achieving a high participation rate.

Washtenaw County had a 79% participation rate, he said – higher than the state and national averages. He presented each commissioner with a plaque commemorating the count, and asked if it would be appropriate to take a group photo for the bureau’s newsletter. The board accommodated his request, taking a short recess to gather for some quick picture-taking.

Other Photo Ops – On CTN

During Wednesday’s meeting, board chair Rolland Sizemore Jr. asked the county’s new deputy administrator, Bill Reynolds, to introduce his two sons. When Reynolds noted that it appeared the boys had retreated to his office, Sizemore quipped, “We will get them and we will remind them that they are on TV.” [The meetings are broadcast live on Community Network Television (CTN).]

The boys – Cedric, 12, and 10-year-old Keenan – soon returned to the boardroom and approached the podium, as their father introduced them as two of the area’s newest residents. Reynolds noted that they’d been through this drill before, at his previous job. [Before being hired by Washtenaw County earlier this year, Reynolds led the county administration in Chippewa County, Wisc.] The boys received a round of applause, then Cedric waved to the camera and said, “Bye-bye, people!”

Prior to the start of the Sept. 2 county board working session, commissioners Conan Smith, left, and Wes Prater show Sylvia Irwin that they're all on camera, with their images projected onto a screen in the boardroom. Sylvia is the daughter of commissioner Jeff Irwin.

A similar scene was repeated the following night at the board’s Sept. 2 working session, when commissioner Jeff Irwin’s family dropped by prior to the meeting. Sizemore urged Irwin to bring his young daughter, Sylvia, to the podium for an introduction. Irwin obliged, introducing her as “one of our newer citizens in Washtenaw.”

At Irwin’s prompting, Sylvia said, “Hello, Washtenaw County!” Sizemore joked that “she already talks better than you, Jeff.”

Public Commentary

During the Sept. 1 board meeting, Thomas Partridge spoke three times during the evening. During one of his speaking turns, after berating the two Republican commissioners – Jessica Ping and Mark Ouimet, who represent Districts 3 and 1, respectively – Partridge declared himself a write-in Democratic candidate for District 3, which covers the southwest quadrant of the county. He said those districts had suffered neglect, and that Democrats must stand up for a progressive agenda. It was embarrassing, Partridge said, that Republican candidates boast about how much money they spend to get elected, specifically citing Ouimet and Ann Arbor businessman Rick Snyder, the GOP candidate for governor. They put businesses first, Partridge said, not employees, or the unemployed, or senior citizens, who make up a large percentage of voters.

Partridge also criticized commissioners for transferring the $10 million allocation of recovery bonds to Washtenaw Community College for a parking structure. Instead, that amount – at a minimum – should go toward basic human services, he said, such as affordable housing, health care, public transit and education.

During the time available for commissioners to respond to public commentary, Leah Gunn said that Partridge’s partisan attacks were offensive to her personally. [Gunn is a Democrat.] She said she’s worked with Ouimet and Ping during a very difficult year, when the board had to cut $30 million out of the budget. During that time, Gunn noted that Ouimet has served as vice chair of the board, and Ping is chair of the working session. All the commissioners worked as a team, she said, adding “I do not appreciate his [Partridge's] partisan attacks.”

Present: Leah Gunn, Kristin Judge, Jeff Irwin, Mark Ouimet, Ronnie Peterson, Wes Prater, Rolland Sizemore Jr., Conan Smith.

Absent: Barbara Levin Bergman, Jessica Ping, Ken Schwartz

Next board meeting: The next regular meeting is Wednesday, Sept. 15, 2010 at 6:30 p.m. at the County Administration Building, 220 N. Main St. The Ways & Means Committee meets first, followed immediately by the regular board meeting. (Though the agenda states that the regular board meeting begins at 6:45 p.m., it usually starts much later – times vary depending on what’s on the agenda.) Public comment sessions are held at the beginning and end of each meeting. [confirm date]

Donald Staebler, who'll turn 100 later this month, was honored at Wednesday's county board meeting. He has lived on Staebler Farm, which is now owned by the county, for 98 years.

One item, however, yielded lengthy debate: A resolution that would remove the “felony box” from county job applications, and eliminate background checks for all jobs except those deemed sensitive. Several commissioners were uneasy with even partial elimination of background checks. The resolution was ultimately amended to deal with only the felony box, which asks applicants if they’ve ever been convicted of a felony. Commissioners ended up unanimously approving the removal of that question from job applications.

The board also agreed to put a 10-year millage renewal on the November ballot for the county’s natural areas preservation program, and approved brownfield plans for the Near North housing project and an expansion of Zingerman’s Deli. Both of the brownfield projects are located in Ann Arbor – brownfield status enables them to seek Michigan business tax credits and, in the case of Zingerman’s, to use tax increment financing (TIF) to get reimbursed for project-related expenses.

Commissioners got a second-quarter budget update, which revealed few surprises. However, projections indicate that the budget surplus they need to carry over into 2011 will fall short of their goal by about $987,000. Next year will be a challenging one.

The board had been expected to act on re-establishing a land bank for the county, but ended up tabling resolutions related to that effort until next month, citing the need to gather additional information.

The meeting also included time to honor two people from the community: Joseph N. Cousin Sr., pastor of Bethel AME Church in Ann Arbor, and Donald Staebler, a local farmer whose land is being turned into a county park – and who’ll turn 100 later this month. Both men received standing ovations for their work.

Felony Box, Background Checks

A resolution that proposed altering some aspects of county job applications received the most discussion of any other item on Wednesday’s agenda.

Currently, applicants for jobs with the county government must indicate on their job applications whether they’ve been convicted of a felony. Commissioners considered a resolution to remove the so-called “felony box” from county job applications. The resolution also proposed that the county eliminate background checks for certain jobs. Currently a background check is conducted on anyone who receives a conditional offer of employment from the county.

[For background and one person's perspective on the issue, see a column written by Jason Smith and published by The Chronicle in January 2010: "Ban the Box, Hire Fairly."]

Felony Box: Public Commentary

Theresa Finney Dumais, development director for Habitat for Humanity of Huron Valley, spoke in favor of removing the box. She said that the Habitat has an excellent partnership with the Michigan Prisoner ReEntry Initiative (MPRI), which led to a paid day laborer program that’s been very successful. MPRI workers tend to have above-average skills and are very reliable. She also praised the MPRI staff, saying they were great to work with.

Terril Cotton also spoke in favor of banning the felony box, saying it would give ex-felons a fair chance of competing for jobs. Since June of 2007, Cotton said he submitted 170 applications and got nine interviews, but no one would hire him because of his felony conviction. Now, “I have a job,” he said, “but it was hard – very hard.”

A job is essential to surviving after you get out of prison, he said. You can go to school and get training, but it doesn’t matter because you still get the door shut in your face. Cotton said he understood that there were certain sensitive jobs which would require background checks. He said he knows that ex-felons must accept responsibility – they did something wrong, he said, but they paid their debt to society by serving their prison sentence.

Felony Box: Commissioner Comments and Questions

Jessica Ping clarified that the changes would apply to county government jobs only – not to businesses or organizations in the county. Rolland Sizemore Jr. said he’d support the resolution, and that it could serve as a model for businesses.

Barbara Bergman wanted to take an additional step in the future, at some point requiring businesses that do work for the county also to ban the box – at least for positions that result from their contracts with the county. She reasoned that contractors were being paid with county money, so the same rules should apply, and all citizens should have a chance at those jobs.

Wes Prater then raised some concerns. Saying he had no problem banning the felony box, he said he didn’t think the policy about eliminating background checks had been well thought out. Employees are paid with tax dollars, he said, and the organization needs to know whether there are former felons working there. In some cases, for more serious crimes, Prater said he didn’t think they should be employed by the county at all.

There was then some discussion – and confusion – about whether the new policy would continue to require background checks for all people offered jobs. Diane Heidt, the county’s human resources and labor relations director, clarified that her staff was working with department heads to come up with a list of positions that would require background checks after a conditional offer of employment was made. The list would include those jobs that require the handling of money, working in the sheriff’s department or with children, for example. For all other positions, there would be no background checks, if the new policy were to be adopted.

Ken Schwartz suggested tabling the resolution, adding that he was generally in favor of it. In Michigan, he noted, some crimes are felonies that in other states would only be misdemeanors.

Leah Gunn noted that they’d worked very closely with Mary King, community coordinator for the MPRI in Washtenaw County, to craft this resolution. It helped level the playing field for people who were having an especially tough time finding work in this economy.

Kristin Judge said her concern was not only for positions dealing with children and handling money, but also for the employees of Washtenaw County. She didn’t know why the county would do away with all background checks. What if they hired someone who had a history of violent criminal sexual assault – would other employees be safe?

Jeff Irwin asked whether the list of jobs that would require background checks was available. Heidt told him it was still being compiled, but she hoped to have it finished by September. He then suggested moving the resolution through their Ways & Means Committee that night, but not taking the final vote until their next regular board meeting on Sept. 1.

Irwin also asked how much it cost to do a background check. Heidt said it varied, depending on how extensive it was. Overall, the county spent about $28,000 in total last year on background checks, she said. That doesn’t include the sheriff’s department, which has its own procedures. Irwin noted that since the county wasn’t doing a lot of hiring, that’s probably on the low end of what it would cost, in any given year. So there’s a financial savings, albeit a small one, to eliminating some background checks, he said.

Barbara Bergman asked for examples of positions that might not require a background check. Heidt said that an administrative position for the water resources commissioner’s office wouldn’t likely require one. Bergman then asked if there was anyone who could speak to the legal distinctions among various types of criminal sexual conduct. There are nuances that are important to consider, she said.

Conan Smith noted that there was a judge in the room – 14th District Court judge Cedrid Simpson – as well as someone from the public defender’s office, Delphia Simpson. Judge Simpson, who with his sister Delphia Simpson was attending the meeting to honor the pastor of their church, agreed to come to the podium and respond to Bergman’s query. He said there was a distinction between different types of criminal sexual conduct, but he said he didn’t want to give any indication that those distinctions make some less serious than others. CSC 4 – criminal sexual conduct, 4th degree – is the lowest in terms of penalties, for example, but the trauma on the victim might be just as great as with other CSC levels, he said.

Bergman said that obviously she’s not in favor of sexual misconduct, but that it’s important to consider the circumstances – like when kids go on a date and act stupidly, and the parents get mad. It’s important not to paint felonies with a broad brush, she said.

Prater restated that he didn’t object to eliminating the felony box. But eliminating background checks is a problem. The county has 17 different bargaining units, he noted. What if someone is hired into a job that doesn’t require a background check, then joins a bargaining unit and becomes eligible for a transfer – how is that situation handled? In addition, he again stated that there are certain people that the county just shouldn’t hire, like people who’ve committed violent crimes or sexual assault on children.

Heidt said that the county’s policy is to conduct background checks as part of a transfer or promotion – that’s standard practice, she said. Prater asked whether it was written into the labor contracts. When told by Heidt that it isn’t, Prater said the county then had no way to compel a background check. The way the resolution is written, it’s bad policy, he said.

Schwartz pointed out that they disagreed on how to implement the policy, and that they needed more time to analyze it. He asked Curtis Hedger, the county’s corporation counsel, whether there had been any legal analysis done on the county’s liability, in the event that something happened and the county knew – or should have known – about an employee’s criminal history. Hedger said that no analysis had been done on that issue.

Saying he was happy with the end, Schwartz said they needed to clean up the means. He moved to table the resolution until the board’s Sept. 1 meeting.

Outcome: The motion to table the felony box resolution failed on a 5-5 vote, with dissent from Bergman, Irwin, Gunn, Sizemore and Smith. Ronnie Peterson was out of the room when the vote was taken.

As a point of order, Judge noted that board rules require that if a commissioner is present when attendance is taken, they are required to vote. [This is a rule that's not vigorously enforced, based on The Chronicle's observation during the past two years of board meetings.]

Peterson then returned to his seat – when told it was a 5-5 vote and he was needed to break the tie, he smiled ruefully and put his head in his hands. He then voted no, and the motion to table failed.

Discussion continued. Judge asked Heidt to explain the rationale behind the county’s current practice of doing background checks on all hires. Heidt said that it began in 2002, after a study of best practices within the state and at other organizations. Judge wondered whether the county would be liable if someone who didn’t get a background check committed workplace violence. Heidt pointed out that the county has a separate workplace violence policy, but she deferred to Hedger on the question of liability. Hedger said it was impossible to say, given that each case is fact-sensitive. There’s the potential for liability, he said, but it would depend on the situation.

Smith said that Prater’s point – making a distinction between the felony box and background checks – is valid. In the hopes of reaching consensus that evening, he suggested striking the portions of the resolution that would eliminate background checks. The resolution would simply remove the felony box from county job applications. He told Heidt that in this case, it would be incumbent on the HR staff to ensure that the process is fair, and to make clear that getting a background check – and uncovering a criminal history – would not necessarily exclude the applicant from consideration.

Heidt said that currently, results from a background check are considered, but they’re just one factor.

Peterson agreed with Smith, then noted that over the years, the county has hired ex-felons a number of times – he said he could think of 10, off the top of his head. They’ve been active and contributing members of the organization, he said. The board wasn’t planning to torpedo this initiative, he said – they needed to be a model for the community. Peterson also noted that the county has had issues with workplace violence by people who haven’t had a previous criminal history.

Gunn then proposed amending the resolution by deleting references that called for eliminating background checks. She said the resolution would just remove the felony box, but keep the rest of their employment practices the same.

At this point, Irwin observed that the board had done “a complete 180.” They’d taken a resolution that made meaningful change in the way the county operated, and turned it into something that “is more symbolic than substantive.” He was disappointed in that, and moved to reinstate the original resolution. The motion was not seconded, and died for lack of support.

Schwartz thanked Peterson for not voting to table the resolution, saying he thought they’d made progress. The board still needed to give the county’s HR staff some guidance about the policy, he said, at a later date.

Smith concluded the discussion, saying that the presence of the felony box makes the hiring process highly prejudicial. By removing it, people will be judged by the merits of their abilities. If a background check later uncovers something that gives the HR staff pause, he said, they have a process to see if that history warrants not hiring the applicant. By taking away the box, the board is putting a weight on HR to ensure that if they don’t hire an ex-felon, there’s a reason for it.

Outcome: The board unanimously approved the revised resolution, eliminating the felony box from county job applications. Background checks will continue to be made for all job applicants who receive a conditional job offer.

Brownfield Plans Approved: Near North, Zingerman’s

At Wednesday’s meeting, there were public hearings for two brownfield plans: The Near North housing project on North Main in Ann Arbor, and an expansion of Zingerman’s Deli in Ann Arbor’s Kerrytown district. No one spoke during the public hearing on Near North. The only speaker for the Zingerman’s public hearing was Grace Singleton, a managing partner at the deli, who said she and others working on the project were there to answer questions, if commissioners had any. She thanked them for considering the plan.

Commissioners did not discuss either of the plans before voting. At the June 28 administrative briefing – an informal meeting to review the upcoming agenda – commissioner Barbara Bergman had raised concerns about the plans in the context of an article written by Judy McGovern and published in the August Ann Arbor Observer. The article reported that Broadway Village, a proposed development in Ann Arbor’s Lower Town area, had received a large incentive package from the state, and that the state’s pension fund had made a $20 million equity investment in the project. Much of that investment will be lost, according to the report.

At the briefing, Bergman wondered whether Zingerman’s or Near North would be receiving any money in advance, as part of its brownfield plan. She was assured that they would not.

The brownfield plans enable the Near North project and Zingerman’s to seek Michigan business tax credits – $720,000 and $1.003 million, respectively. In addition, Zingerman’s will use tax increment financing (TIF) to be reimbursed for up to $817,265 in expenses related to its expansion.

Outcome: Brownfield plans for both Near North and Zingerman’s Deli were approved unanimously, without discussion.

Natural Areas Preservation Program

Ten years ago, voters approved a countywide 0.25-mill tax to form the natural areas preservation program, known as NAPP. Since then, the county has acquired over 1,800 acres of land and established 17 new nature preserves. The millage will have generated about $27.5 million by the time it expires.

The millage is administered by the county’s parks & recreation commission, which is seeking a 10-year renewal of the millage, beginning in December 2011. Because of Headlee rollbacks, the renewal rate will be slightly lower – 0.2409 mill – and is expected to raise roughly $3 million in annual revenues if it passes. The county board is required to authorize adding the millage renewal to the ballot.

NAPP: Public Commentary

Spaulding Clark, Scio Township supervisor, urged the board to put the NAPP millage renewal on the November ballot. He noted that Bruce Manny, chair of the board for the Scio Township Land Preservation Commission, was also in the audience, and supported the millage. The county has been a great partner in Scio’s own preservation efforts, Clark said, adding that township voters approved their own 10-year land preservation millage in 2004.

Clark cited several properties that have been protected in the township, including the Burns-Stokes Preserve, the Fox Science Preserve and the Scio Woods Preserve. Many efforts are done in partnership with the county and Ann Arbor’s greenbelt program. [.pdf map of protected property in Scio Township] The township continues to receive applications from landowners who are interested in protecting high-quality natural areas, Clark said. He hoped the commissioners would let voters decide in November to continue the program.

Suzanne Goodrich introduced herself by saying that in 2006 she sold about 10 acres to the county. It’s located in Ann Arbor Township, along Dixboro Road – other property has been added to it over the years, and it’s now called the Goodrich Preserve. She and her husband wanted to preserve the land in its natural state. You can go there and find wildflowers, deer, lots of birds and a nature walk, she said, and it’s all been supported by NAPP. Land preservation is important for the health of the environment and the education of our children, she said. Goodrich asked commissioners to put the NAPP millage renewal on the November ballot, to continue funding of this important program.

Susan Lackey, executive director of the Legacy Land Conservancy, attended Wednesday’s meeting but did not speak during public commentary. She had previously addressed the board at an April 2010 working session on issues related to moving ahead with the millage renewal. Barry Lonik, a conservation consultant who has advocated for NAPP, also attended the meeting, but did not formally address the board.

NAPP: Commissioner Comments

Ken Schwartz said that every day he drives past the Burns-Stokes Preserve, which stretches along the Huron River, off of Huron River Drive. There are often hundreds of tubists and canoers there, he said – people “with better bodies than me” having fun. He encouraged residents to visit the preserve.

Kristin Judge also praised NAPP, saying that she was proud of the program and that residents appreciated it. It was just a renewal, she noted, not a new tax. Preserving land helps keep everyone’s property values higher, Judge said, and she felt like the program had a lot of support in the community.

Conan Smith, one of the board’s representatives to the Washtenaw County parks & recreation commission, noted that the NAPP program has been nationally recognized and provides an extraordinary service to the community. It’s one of the few science-based programs in the country, he said, adding that he was excited about the opportunity to extend its funding for another 10 years.

Outcome: The board unanimously approved a resolution authorizing that the 10-year, 0.2409-mill NAPP millage renewal be added to the November ballot.

Land Bank Tabled Again

The board had formed a county land bank authority last year, but dissolved the entity in March 2010 after several commissioners questioned how it would be funded and governed. The county didn’t receive federal funding it had originally intended to use for the land bank.

Yousef Rabhi, left, is congratulated by commissioners Conan Smith and Barbara Bergman on his victory – by one vote – over Democratic rivals in the Aug. 3 primary election to represent District 11 on the county board. Ann Arbor city councilmember Sabra Briere, with her back to the camera, attended Wednesday's meeting because of the land bank agenda item. Before the land bank was dissolved, Briere had been Ann Arbor's representative on the land bank authority.

A land bank allows the county to acquire tax- or mortgage-foreclosed property and work to put it back into productive use. For several months, commissioner Ronnie Peterson has been urging his colleagues to re-establish the land bank, with increasing frustration. At last month’s meeting, commissioners took an initial vote to approve a revised intergovernmental agreement, which lays out how the land bank will be governed – Barbara Bergman and Leah Gunn cast dissenting votes.

On Wednesday, the board was expected to take a final vote on both that agreement as well as a resolution to rescind their previous dissolution of the land bank.

The proposed intergovernmental agreement called for the board to consist of seven members: the county treasurer, two county commissioners, the mayor or councilmember from the city of Ann Arbor, the mayor or councilmember from the city of Ypsilanti, the supervisor of Ypsilanti Township, and a supervisor representing townships in the western part of the county. However, Bergman began the discussion by proposing an amendment to the intergovernmental agreement, to alter the composition of the land bank authority board. Her amendment would eliminate the requirement to have the Ypsilanti Township supervisor and a supervisor from western Washtenaw serve on the authority’s board.

In their place, Bergman proposed adding five other spots: 1) a representative from the banking industry, 2) a representative the local real estate industry, 3) a representative from local townships, recommended by the Michigan Townships Association, 4) an attorney recommended by the Washtenaw County Bar Association, and 5) a representative recommended by the Washtenaw County Home Builders Association. Her amendment required that all positions get final approval by the county board before being appointed.

Kristin Judge expressed concern about Bergman’s amendment, saying it seemed a little off balance to give spots on the board to Ann Arbor and Ypsilanti, but not to individual townships or the city of Saline. [The townships of Ypsilanti and Pittsfield both have larger populations than Ypsilanti.]

Rolland Sizemore Jr. said he had talked with Pat Lockwood, a Genesee County commissioner. She would be willing to come to a future board meeting, he said, to discuss the land bank issue. [Genesee County, where Flint is located, was the first county in Michigan to establish a land bank. Dan Kildee, a former Genesee County treasurer who helped write the enabling legislation for these land bank entities, had attended the Washtenaw County board of commissioners July 2009 meeting to answer questions about setting up a land bank authority. The Genesee land bank has recently come under fire for not maintaining the properties it owns – a concern voiced by some Washtenaw County commissioners.]

Sizemore proposed tabling the land bank resolutions until Lockwood could speak to the board. Peterson asked that Sizemore confirm as early as possible that Lockwood could attend next month’s meeting. He noted that they’d talked about the land bank at several meetings, but hadn’t moved forward. Sizemore acknowledged that the process was moving slowly, but said they were getting the answers they needed.

Outcome: The land bank resolutions were tabled until the Sept. 1, 2010 board meeting.

Second Quarter Budget Update

Jennifer Watson, the county’s budget manager, gave an update on the 2010-11 budget. [She gave a first-quarter update at the board's May 5 meeting, looking at the first three months of the year.] Now that two quarters of the year have passed, they have more solid data with which to make projections for the rest of the year, she said.

The great news, she said, is that property tax revenues are projected to show a $1.77 million surplus compared to what was originally budgeted. But there are other areas that are seeing lower-than-projected revenues. The district court is now projecting a $465,000 revenue decline, due to reductions in local law enforcement and collections, she said. Court officials are trying to identify potential new revenue, but it’s unlikely that will occur in 2010. In addition, the decision by Ypsilanti Township to cut the number of sheriff’s deputies that it pays for to patrol the township resulted in a revenue loss to the county of $1.07 million this year. That’s been partially offset by about $700,000 in expense reductions, but there’s still a $370,000 shortfall, Watson said.

Washtenaw County second-quarter budget chart. (Links to larger image)

Interest income is also down, she said – there’s a roughly $540,000 shortfall from projections in 2010.

Overall, Watson is projecting a $392,000 general fund revenue surplus for the year.

On the expenditure side, there will be a delay in some of the hiring of the new jail staff, which could result in savings for 2010, Watson said. In general, the administration is working hard with all department heads and other elected officials to ensure that projected savings actually materialize, she added. In some areas, it won’t happen. The district court, for example, had agreed to a 10% lump sum reduction, but that now looks unlikely to occur this year. District court security costs are about $220,000 higher than budgeted, primarily because of increased use of part-time staff at the Saline court.

One fairly significant uncertainty is the impact of tax appeals that are being made, Watson said. Appeals continue to increase – the county has just over $4 million in potential liability from those appeals, but it’s unclear how much of that amount will actually be awarded, or when.

With expense cuts and a revenue surplus, they’re projecting a total net surplus of $4.3 million for the year. However, the budget called for carrying over a surplus of $5.289 million into 2011 – they’re still $986,664 short of that. That’s a higher shortfall than the $918,000 they’d projected earlier this year, Watson noted.

Watson also mentioned that from March through May, the number of youth cases handled by the county’s department of human services has increased dramatically. They’re trying to determine if this is just a spike, or whether it’s a longer trend that they’ll have to budget for accordingly. In the worst case scenario, it will result in about a $400,000 net cost to the county, she said.

Budget Update: Commissioner Comments and Questions

Jeff Irwin began by pointing to the implications of Ypsilanti Township’s decision to cut the number of contracted sheriff deputy patrols. [See Chronicle coverage: "County Board OKs Ypsi Twp. Deputy Cuts"] In addition to the direct revenue loss to the county, it also means that overhead costs associated with sheriff deputy patrols must now be spread among a smaller number of deputies – those overhead costs per deputy will now be higher.

Washtenaw County commissioners Mark Ouimet, left, and Jeff Irwin. Both won their primary races on Aug. 3 for state representative – Oumet as a Republican in District 52, and Irwin as a Democrat in District 53.

The financial issue comes in addition to the public safety threat of having fewer deputies on patrol, Irwin said. He hoped to see the county’s larger communities, like Ypsilanti Township, increase their investment in police services.

Mark Ouimet urged the administration to prepare for the fourth quarter, when the variance between actual and budgeted amounts are typically greatest, he said. County administrator Verna McDaniel said that in general, they are being very conservative in their projections.

Kristin Judge had several questions for Watson. Among them, she asked for clarification about the increase in youth services at the department of human services. Watson said there’s been an increase in the number of neglect and abuse cases handled by DHS.

House By the Side of the Road

On Wednesday’s agenda was a resolution to rescind all prior board resolutions that allowed the nonprofit called House By the Side of the Road to operate on county property at no cost. Since 1970, the nonprofit has been distributing clothes to the needy from the premises of the county service center, off of Washtenaw just east of US-23. It built a shed there, and in 1996 struck an agreement with the county, stating that if the county ever asked the nonprofit to leave, the county would reimburse the House for the cost of the shed.

As part of the jail expansion, located in the same area, the county is widening its Washtenaw Avenue entrance to the corrections campus, and has asked the House to leave. The resolution considered by commissioners on Wednesday authorized the county to reimburse the nonprofit.

Jeff Irwin asked what the cost would be. Verna McDaniel, the county administrator, said it wouldn’t be substantial – she estimated less than $7,000. She said the county was storing all the items from the shed until they learned where the nonprofit would be located next.

Finance Director Approved

The board unanimously approved the appointment of Kelly Belknap as finance director for the county, with a starting salary of $110,000. Belknap has worked for the county for nearly 23 years in several departments, most recently serving as health service finance administrator with Washtenaw County Health Services. She was one of six candidates interviewed for the job to replace Pete Ballios, who retired last year after roughly 38 years with the county.

Belknap thanked commissioners for their support, saying “I look forward to some challenging budget years, that’s for sure.” She clarified that the challenge stemmed from the economy, not from working with commissioners.

Recognitions and Honors

Two men were honored by the board at the start of Wednesday’s meeting.

Joseph Cousin Sr., pastor of Bethel AME Church in Ann Arbor, with his wife Carisalyn and daughter Miriam. Cousin was honored by the board of commissioners for his six years of service at Bethel AME.

Joseph N. Cousin Sr., pastor of Bethel AME Church in Ann Arbor, was recognized for his six years of service leading the oldest, largely African American congregation in this area. Many members of the church attended the meeting, and gave Cousin a standing ovation when he received a framed copy of the resolution from county administrator Verna McDaniel.

Standing at the podium with his wife Carisalyn and his young children, Miriam and Joe, Cousin said that he felt blessed to be part of this community and that he prays to be here for many years to come.

McDaniel then presented a resolution honoring Donald Staebler, a Superior Township farmer whose property was known as “Crick-in-th’-Back Farm.” Washtenaw County parks & recreation acquired the farm in 2001, and is investing more than $2 million to turn it into a park. Staebler still lives in the farmhouse there, under a life lease with the county. He has lived there since he was two – he turns 100 later this month.

Staebler received a standing ovation from people attending the meeting. He spoke briefly, saying his family has worked hard to keep the farm going, “and now the county is doing that. Thank you very much.”

Coda: Road Commission Expansion

At the board’s July 7 meeting, commissioners held a public hearing on the possibility of expanding the Washtenaw County Road Commission board from three members to five – the county board appoints those positions. After the hearing and some discussion, commissioner Wes Prater made a motion to terminate the process of expanding the road commission. The motion passed, with dissent from Conan Smith and Jeff Irwin, who argued that it wasn’t something the board could stop in that way.

At the July meeting, Irwin said he planned to bring a resolution on the expansion to the board’s Aug. 4 meeting. However, no such resolution was on the agenda, and the issue wasn’t discussed at Wednesday’s meeting.

In a follow-up phone interview this week with The Chronicle, Irwin said he still might bring a resolution about the expansion to a board meeting later this year. Prater’s resolution had been symbolic, he said. There’s a specific legal process for the expansion, which includes a vote on the issue. Politically, he said, based on the board’s discussion in July and the outcome of Prater’s resolution, it seems unlikely that a vote on the expansion would be successful. However, Irwin said plans to talk with his board colleagues about it in the coming weeks, to see if he can gain support.

Public Commentary: Misc.

Thomas Partridge congratulated the winners of the Aug. 3 primary. He called for commissioners to put the expansion of affordable housing front and center on every one of their meeting agendas. The expansion of affordable housing shouldn’t just be for Ann Arbor and Ypsilanti, he said, but for every quadrant of Washtenaw County. There is no more important item to put on the agenda.

Jim Mogensen spoke twice. A month or two ago, he said, he attended a program at the Ann Arbor District Library about how to navigate around the city if you’re disabled. During the program, construction workers closed off the sidewalk in front of the library, making access to the building difficult – they were preparing to install a new ADA ramp. Noting the temporary ADA ramp that the county had recently installed in the front of its building at 220 N. Main, he suggested that they have a plan for safe egress.

In a follow-up to his commentary, commissioner Barbara Bergman said that when she was walking up the wooden ramp that night to come to the meeting, she wondered what would happen if it caught fire – it was a little too high for her to jump off of it. “That ramp got me just a little on the queasy side,” she said.

Taking another turn during a time for public commentary later in the meeting, Mogensen raised concerns about accepting nearly $44,000 in federal funds under the Edward Byrne Memorial Justice Assistance Grant, administered through the U.S. Dept. of Justice. The funds will be used by the sheriff’s staff for community outreach. Mogensen said he worried that there could be strings attached. He could imagine scenarios in which the federal government might require any entity that had accepted grants like this to help enforce federal immigration laws. This could also result in the need for additional jail space. It was something to think about and prepare a response for, he said.

Present: Barbara Levin Bergman, Leah Gunn, Kristin Judge, Jeff Irwin, Mark Ouimet, Ronnie Peterson, Jessica Ping, Wes Prater, Ken Schwartz, Rolland Sizemore Jr., Conan Smith.

Next board meeting: The next regular meeting is Wednesday, Sept. 1, 2010 at 6:30 p.m. at the County Administration Building, 220 N. Main St. The Ways & Means Committee meets first, followed immediately by the regular board meeting. (Though the agenda states that the regular board meeting begins at 6:45 p.m., it usually starts much later – times vary depending on what’s on the agenda.) Public comment sessions are held at the beginning and end of each meeting. [confirm date]

Washtenaw County commissioner candidates for Districts 10 & 11, from left: Conan Smith, LuAnne Bullington, Mike Fried, Yousef Rabhi, Alice Ralph. Smith is the incumbent for District 10. His challenger, Danielle Mack, did not attend. The other candidates are vying for the District 11 seat held by Jeff Irwin, who is running for state representative. (Photos by the writer.)

There are 11 seats on the county board, divided by geographic region – including four districts representing Ann Arbor. Commissioners are elected to two-year terms. This year, Democratic incumbents in two of Ann Arbor’s districts – Leah Gunn of District 9 and Barbara Bergman of District 8 – are unopposed in the primary, though they will face Republican challengers in November.

Incumbent Conan Smith of District 10, which covers the west and northwest portions of Ann Arbor, faces Danielle Mack in the Democratic primary. She did not attend the forum, citing a scheduling conflict. The winner of that primary will be unopposed in November.

In District 11, incumbent Jeff Irwin – who’s been on the board for a decade – isn’t seeking re-election, but is instead running for state representative in District 53. [See Chronicle coverage: "Michigan Dems Primary: House 53rd District"] Four Democrats are competing in the primary to replace Irwin: LuAnne Bullington, Mike Fried, Yousef Rabhi and Alice Ralph. The winner of the Aug. 3 primary will face Republican Joe Baublis in November. District 11 covers parts of central and eastern Ann Arbor. [See the Washtenaw County election website for a complete list of county commissioner candidates.]

Questions posed by the moderator, Nancy Schewe, had been formulated by a LWV-AAA committee, with input solicited from the community. They covered a range of topics, from funding for the county jail and police services contracts to expansion of the road commission and the candidates’ views on mass transit. Candidates were each given one minute to respond. This summary of candidate responses is presented in the order in which they spoke at the hour-long forum.

Opening Statements

Candidates were given one minute each to make some introductory remarks. They drew numbers from a hat to determine the speaking order.

Conan Smith, incumbent candidate for District 10 Washtenaw County board of commissioners.

Conan Smith’s Opening Statement

Smith began by noting that he currently serves on the board, representing west and north Ann Arbor, and has been a commissioner since 2004. He comes out of a tradition of public service in his family, he said. Smith cited his work experience, as executive director for the nonprofit Michigan Suburbs Alliance and before that with the Michigan Environmental Council, which he described as an umbrella group for the state’s environmental organizations.

Smith said his family has been active in public service since he was very young and he always has enjoyed helping people in Ann Arbor and Washtenaw County. He spent the past year working on the county’s budget, he said, stabilizing the community and public services. He concluded by saying he hopes to have people’s vote.

LuAnne Bullington’s Opening Statement

Bullington thanked the league for hosting the forum, saying it was a very important community service.

LuAnne Bullington, candidate for District 11 Washtenaw County board of commissioners.

She said she moved to Ann Arbor in 1993 and moved to her current home in the city’s Ward 3 in 1993.

She has two grown children and is retired from a career in computer information services. She said her work has included jobs as a computer information services manager, a senior programmer, a senior project manager, and a web team leader for the University of Michigan’s computer information services department. Before that, Bullington said she taught for eight years in public schools. She holds a bachelor’s degree in education and in special education from Eastern Michigan University, and a bachelor’s degree in computer science.

Yousef Rabhi’s Opening Statement

Rabhi thanked the league and said he’d been watching these debates since he was a voter – it’s a great service to the community.

Yousef Rabhi, candidate for District 11 Washtenaw County board of commissioners.

“I’m running because I believe in us,” Rabhi said. He believes in the community and in its ability to overcome this tough economic period. Even with a budget that’s declining for the first time in 50 years, the county can still maintain an excellent level of human services, he said, services that the community depends on and cares about, like maintaining parks, health care, and mental health care.

We can accomplish these goals by reining in the government, he said. We need to create an efficient government that works for the people and provides the human services that everyone needs.

It’s important to work across all levels of government – cities, villages, townships, and the county – to reduce the duplication of services, Rabhi said. There needs to be more efficiency in reducing electrical use, water use and fuel use in the county’s buildings and fleet.

Mike Fried’s Opening Statement

We all know times are tough and money’s tight, Fried began. Even so, he said, the county can balance its budget while maintaining essential services, helping those in need, improving collaboration and planning for the future.

Mike Fried, candidate for District 11 Washtenaw County board of commissioners.

It’s not an easy job, Fried added, but he said he has the experience and skills to achieve these objectives. He served 26 years as chief of administration at the Wayne County prosecutor’s office. While there, he said he maintained quality services while controlling spending. This is also a priority for Washtenaw County, he said.

Since retiring, Fried said he has continued this commitment to community service. He’s a trained mediator and facilitator, and serves on the board of the Dispute Resolution Center. He’s also on the board and serves as treasurer of Jewish Family Services of Washtenaw County, and he’s a member of the county’s Criminal Justice Collaborative Council.

Fried said he cares about the county where he’s lived for 50 years, and knows that he can and should help by being a county commissioner.

Alice Ralph’s Opening Statement

This year, we celebrate 90 years of women’s constitutional right to vote, Ralph said.

Alice Ralph, candidate for District 11 Washtenaw County board of commissioners.

Celebrating the same anniversary, the League of Women Voters continues to encourage informed and active citizen participation in government, she noted. A leading suffragist and co-founding national treasurer of the league, Katharine Dexter McCormick, was born in Washtenaw County at Dexter’s Gordon Hall, she said.

This fact is personal inspiration, Ralph said, as she asks voters to mark their ballots for her. She said that during this forum, she expected to discuss urgent issues facing the county and city of Ann Arbor. As commissioner, she promised to confront scarcity and work toward an abundant future. She asked voters to visit her website to learn more about why they should vote for her.

Land Bank

Question: County commissioners recently voted to re-establish a county land bank authority, which could buy foreclosed properties to ward off blight and stabilize property values. Do you think this is a good idea? If so, how should it be funded? If not, what are your reasons for not supporting it?

Background: At their July 7, 2010 meeting, the Washtenaw County board of commissioners took a step toward re-establishing a county land bank that they had approved last year, but then dissolved in March of 2010. A land bank allows the government – through a separate land bank authority – to take temporary ownership of tax- or mortgage-foreclosed land while the county works to put it back into productive use. Though several commissioners expressed concerns over funding, at its Ways & Means Committee meeting on July 7, the board voted to approve a revised intergovernmental agreement that would govern the land bank authority, with dissent from commissioners Barbara Bergman and Leah Gunn. The expectation is that commissioners will take a final vote on both that agreement and a resolution to rescind its dissolution of the land bank at an upcoming board meeting, possibly on Aug. 4.

Conan Smith on the Land Bank

Smith said he’d been a long-term supporter of the land bank concept. When he worked at the Michigan Environmental Council in Lansing, he worked on land bank legislation with the man who helped author the legislation, Dan Kildee, who at the time was treasurer of Genesee County. A land bank can help in a variety of ways, Smith said – by keeping people in their homes who are on the verge of losing them, or to deal with blighted properties.

Funding doesn’t have to be a component of it, he said. There are lots of tools that the county can use through a land bank – such as holding title on property – that don’t require any dollars whatsoever, he said. If they do have to spend money to acquire or maintain properties or to provide certain kinds of service, one proposal Smith said he’s in favor of is to use a foreclosure interest capture, which could bring hundreds of thousands of dollars to bear on the problem.

LuAnne Bullington on the Land Bank

Bullington said she is also in favor of a land bank. At the last board of commissioners meeting, she noted, there had been an in-depth discussion of the land bank issue – she urged people to watch the meeting.

There’s a crisis in the county with tax and mortgage foreclosures, Bullington said. Normally, the county sees 11 tax foreclosures each year, she said, but two years ago, there were 102 foreclosures, with 45 going to auction. Last year, more than 103,000 properties were reported for forfeiture because of tax delinquencies – 16,607 of those faced foreclosure, and 555 will go to auction. “We need the land bank to deal with this,” she concluded.

Mike Fried on the Land Bank

Fried also strongly supports a land bank. He said there are over 2,100 properties in some state of foreclosure, according to RealtyTrac. He held up a publication that publishes legal notices, and said that one need only look at those pages to see how many foreclosures there are. The land bank is a way of helping preserve properties, and of helping avoid blight. It’s an important service.

There are several ways to provide funding, he said, one of which the treasurer has suggested. Once the authority is established, the board of commissioners can identify the best ways to fund it, he said.

Yousef Rabhi on the Land Bank

Rabhi echoed his opening statement, saying he believes in this community, having grown up here, and he believes in its strength. He is strongly in favor of a land bank. He said he attended the last board of commissioners meeting and was very happy to see the land bank pass. This is a matter of the community coming together to face off the foreclosure and economic struggle, he said, “and we can do it. And we can do it through a land bank.”

Rabhi noted that he works with the University of Michigan’s Matthaei Botanical Gardens and Nichols Arboretum. They’re working in a partnership with the Greening of Detroit project to renovate vacant lots for natural area habitat and water retention, among other things. In Washtenaw County, they can bring the community together through partnerships like this, he said. They can fund the land bank through partnerships and work to raise the economic value of our neighborhoods, to stave off more foreclosures from happening.

Alice Ralph on the Land Bank

Like the other candidates, Ralph characterized the land bank as a good idea. She noted that it had been dissolved by the commissioners, and said it’s a good thing that it’s being reestablished. A land bank is one of the tools to add to the county treasurer’s programs in foreclosure prevention, she said.

It’s also a tool to prepare the county for when it eventually surpasses these economic challenges, she said – adding that she has confidence that we’ll overcome them. And what the county ends up with after the economic pressures are resolved is something they can be proud of, she said. This is one tool they can use to transform the tragedy into something more optimistic.

Expanding the Road Commission

Are you in favor of increasing the Washtenaw County Road Commission from three to five commissioners? If so, why? How would you pay for the increased costs?

Background: Some commissioners have been advocating to increase the number of road commissioners, who are appointed by the county board of commissioners. There are currently three road commissioners: Doug Fuller, David Rutledge and Fred Veigel. At their July 7 meeting, the board held a public hearing on the issue, then ultimately passed a resolution to end the process of expansion, with commissioners Conan Smith and Jeff Irwin voting against it. Irwin said he’ll propose a resolution to expand the commission at the Aug. 4 meeting.

Mike Fried on Expanding the Road Commission

Fried said that so far, he’s heard no compelling argument to make the change. This discussion came up at the last board of commissioners meeting, he said, and speakers during public hearing at the meeting indicated they were satisfied with the road commission.

Several county commissioners also indicated that, especially recently, they have had very good service from the road commission, Fried said. So barring new information, he said, it’s one of those situations that “if it ain’t broke, don’t fix it.”

Yousef Rabhi on Expanding the Road Commission

Rabhi said he believes in democracy and that more members on the road commission would be a better service to the county. But given the current economy, he said, this isn’t the right time to make that switch. Perhaps in the future it could happen, when the economy improves.

A compelling argument for expansion is that it would provide greater democracy and representation from more areas of the county, Rabhi said, and that’s something he’s in favor of. But now, it’s not the right time.

Alice Ralph on Expanding the Road Commission

It’s true, Ralph said, that boards and commissions are one way the county can have active participation by citizens. The road commission, appointed by the county board of commissioners, is one of very few that pays a salary, she pointed out. That cost has prevented a full discussion of the issue about how to provide a really good and improved county road system, Ralph said.

She noted that at the recent board meeting, there were only three speakers that addressed the topic of the road commission during the public hearing. She said she doesn’t think that’s a fulsome discussion for citizens to judge whether expansion is a good idea or not. The cost would be rather small in the scope of the budget, she said, but she added that she understood the county doesn’t want to add costs. Ralph said she thinks there are other ways to improve the county road system.

LuAnne Bullington on Expanding the Road Commission

Asking whether to expand from three to five commissioners is the wrong question, Bullington said. And the board of commissioners has already voted to keep the number at three. She said that if the county had received the money that had been turned down by the Republican-controlled state senate – who refused to pay the 20% that the federal government required to get money for repairing bridges or roads – we wouldn’t be talking about the number of road commissioners, she said. [For road projects, the federal government pays for 80% and requires states to come up with the remaining 20% in matching funds. Michigan has been unable to come up with those matching dollars, which some legislators want to raise by increasing the gas tax.]

Bridges are closed and the county has turned 100 miles of local roads to gravel, Bullington said, because of a lack of funding to pave them. Increasing the number of road commissioners isn’t going to make that much of a difference. We need a way to look at funding to repair the county’s roads and bridges, she said.

Conan Smith on Expanding the Road Commission

Washtenaw County has always prided itself on the diversity of its transportation network, Smith said, whether that’s commuting to work by bike or walking, taking public transit, or driving in cars. The transportation network is naturally complex, he said and it requires diversity that can address multiple needs. The road commission is the primary funding entity for transportation in the county, with a budget of $40 million per year. The cost of expanding the number of commissioners could be as little as $21,000 – road commissioners earn $11,000 each – or even zero, if they captured that increase in members from the current salary structure, he said. [One proposal would be to take the existing total compensation for three members, and divide it among five.]

He said that more important to him is that the county diversify the representation on the road commission. There should be voices for land use and transit participating in the decision-making about the development of the county’s transportation network, he said. If Ann Arbor is going to survive as an urban community, it needs to stop “sprawling out into the hinterlands,” Smith said, and make sure that development happens in the city. “Transportation is a critical component to that issue,” he concluded.

Police Services

The county sheriff’s department provides police services to the townships, through deputy road patrols. How should this cost be shared between the county and the townships?

Background: The county provides police services to local municipalities that contract with the sheriff’s department for deputy patrols. The cost of those patrols has been a matter of dispute for several years, with county officials arguing that the amount charged doesn’t cover the true cost of that service, and some township officials saying that the cost is too high. Three townships – Augusta, Salem and Ypsilanti – sued the county over the issue in 2006. [Most recent Chronicle coverage: "County Settles Lawsuit with Salem Township"]

Conan Smith on Police Services

Smith said that protecting people is the foremost responsibility of the county – they have an obligation to ensure that everyone lives in a safe and stable neighborhood. Unfortunately, the cost for providing that service is ever increasing, he said, due to wages, the growing population in the townships, and inflation of health care costs. If we want to equitably distribute those costs, we need to think about communities “that are biting twice at the apple.” Ann Arbor is already supporting public safety in the city – should they also be supporting public safety throughout the county? It’s a balance, he said. If they lose safety in the townships, then it’s likely they’ll lose some quality of life in Ann Arbor too.

Striking a balance is tough, Smith said. What needs to sit at the forefront of their minds is that every resident, urban or rural, deserves a safe environment.

Yousef Rabhi on Police Services

At the end of the day, Rabhi said, safety is the biggest issue. They need to make sure that everyone has the police services they need. The issue is whether taxpayers in cities like Ann Arbor and Ypsilanti should be paying for their police department as well as the sheriff’s department, and whether the townships should be bearing some of the burden of that.

Ann Arbor taxpayers should only have to pay for the services they get, Rabhi said, adding that he still needed to do more research on the topic. He’s met with commissioners who represent Ann Arbor, as well as the sheriff, and he sees both sides of the issue. The sheriff has outlined very strongly that Ann Arbor taxpayers are still getting their money’s worth through the county jail, Rabhi said, since the county provides jail services to Ann Arbor police at no charge. However, if Ann Arbor taxpayers are paying double, he added, then that encourages suburbanization and it devalues the urban core.

Alice Ralph on Police Services

The sheriff’s department has been transforming itself since Jerry Clayton was elected, Ralph said. She’s very impressed with the way he approaches his responsibilities for keeping the county safe. He looks at the complexity of issues, and many of his efforts are coordinating with human service programs such as mental health and drug diversion programs.

That’s not to say that it doesn’t cost money, Ralph added. It’s similar to the state – Michigan’s prison system is the biggest expenditure in the state budget, she noted. The county also has a large expenditure for personnel in the sheriff’s department. Sheriff Clayton is addressing the idea of inequities, she said, and he’s coming up with a way of calculating the cost of police services to make it just.

LuAnne Bullington on Police Services

Bullington said she’s been following Jerry Clayton’s career and has tremendous respect for him. He’s taken a very contentious issue and “calmed it way down.” One problem they’ve had – and it’s not just in Ann Arbor – is that some communities are paying more for police services, and some are paying less, she said. Before Clayton took over the department, the last she’d heard was that some communities were paying 50% less than they should, while some were paying 50% more. Clayton has brought it into a better balance, she said.

Bullington said she’d like to see the sheriff keep working with municipalities on this issue. Maybe with this next contract [for police services with the townships], he can keep making changes until each jurisdiction is paying their own fair share.

Mike Fried on Police Services

Fried said he believes that the townships have an obligation to pay a reasonable cost for police services provided by the county. But what happens in the townships affects the cities, and vice versa, he said. It’s unfortunate that before Clayton took over, hundreds of thousands of dollars were spent in legal fees to try to argue this issue over cost. It’s unfortunate that this couldn’t be mediated. Fried said he thinks the sheriff’s approach has calmed down the situation and that the county and the townships can reach a reasonable, agreed-upon payment for these services.

County Jail Costs

Question: Now that the addition on the county jail is complete, how should its operation be funded for the long term?

Background: The county has built a 112-bed expansion to the jail, located off of Hogback Road near the intersection with Washtenaw. At a March 18, 2010 working session of the board, sheriff Jerry Clayton gave a detailed report on the expansion. Bob Guenzel, the county administrator at the time, told the board that the additional staff needed to operate the jail would increase the corrections budget by $1.478 million this year and $3.248 million in 2011. He told commissioners that there were sufficient funds to cover those costs, but that in 2012 and 2013, the administration was projecting a two-year shortfall for the corrections division of nearly $2 million.

Alice Ralph on County Jail Costs

Ralph pointed out that the county doesn’t have many choices for mandated services. They do have to find the funds to operate the jail. It’s a wonderful jail that will require some extra personnel, especially given the approach that the sheriff is taking, with integrated services for prevention and rehabilitation, and the goal of reducing the recidivism rate.

Ralph said she’s not going to second guess the current board of commissioners. They’ll have to find the funds within the budget they’ve approved, she said, because most of those jail employees will be hired before the end of this budget year.

LuAnne Bullington on County Jail Costs

Bullington said she’s had concerns with the jail and funding for it for quite some time. Her understanding is that the cost of staffing isn’t yet in the budget. The county administrator has said that this year’s budget is fine, Bullington said, but next year they’ll face a deficit, not including the jail costs.

Her issue is who are they putting in the jail – is it mainly housing homeless people? Bullington reported that Jeff Irwin has said publicly that when he toured the jail, he felt that 90% of the people shouldn’t have been there – they should have been in other programs. The county has the Delonis shelter, she said, which had 50 beds until that number was doubled to 100. There are 1,500 people in the city of Ann Arbor who are homeless, and 3,500 countywide, she said. Maybe they’re using the jail as an alternative to the shelter, she said, and there might be cheaper ways of housing the homeless, rather than putting them in jail.

Mike Fried on County Jail Costs

The jail is a county requirement, Fried said, and is primarily funded through the general fund. However, the sheriff has been active in seeking external funding through federal grants and other avenues, which may alleviate some of those issues, he said.

The sheriff has a vision for the county and for that [criminal justice] campus – the goal, of course, is that they don’t need so much jail space, Fried added – but now they need to fund it adequately. The worst thing would be to not properly staff it, since that would result in overtime or lawsuits, he said, and would be extremely costly to the county.

Yousef Rabhi on County Jail Costs

Rabhi said this is a very important issue for him. He said that as he’d stated in his opening remarks, he’s running because he thinks the money is there for the government to run. When it comes to the jail, the sheriff has been very proactive in promoting alternative programming, like the community work program. As an employee at the University of Michigan, Rabhi said, he’s had experience with people in the community work program coming to help them. These are non-violent offenders, he noted – people who might be in jail because of drug possession charges or drunk driving charges, and who don’t really belong behind bars. They do community service and add value to the community’s assets, he said. And they don’t cost the taxpayers as much as when they’re sitting in a jail cell.

The county can promote programs like this, Rabhi said. This is where they’re going to find funding to move the county into a sustainable and progressive future.

Conan Smith on County Jail Costs

The other candidates at the forum have said what will need to happen, Smith noted – it’s a mandated service, and it must be in the budget. The board and sheriff are focused on those alternative funding sources, he said, particularly grants and service dollars. They’re also looking very keenly at operations across the sheriff’s department, to see where there can be savings – in areas like reduced contracts, cross training, and perhaps the deputy road patrols.

They’ll find a way to fund the operation, Smith said. But more importantly, they need to be tuned in to how big the jail needs to be, in term of its operation. They’ve built the full infrastructure, but they don’t necessarily need to staff it at its full capacity, if that’s not necessary. So some of the solution is in cost containment, he said, while some is in alternative revenues. But at the end of the day, he said, it’s a mandate.

Meeting Basic Human Needs

Question: The continuing recession is hard on everyone, especially the unemployed and underemployed. Do you think the county is doing an adequate job of meeting the basic human needs of its citizens, in the areas of housing, health (mental and physical), food service and transportation? If not, what more should be done?

Background: The county provides funds to a range of human services programs and nonprofits, but last year the board decreased that funding as part of its overall efforts to address a projected $30 million, two-year budget deficit in 2010 and 2011. Several elected county officials have backed the idea of a millage dedicated to funding human services, but the board to date hasn’t acted on that proposal. [Chronicle coverage: "County Millage for Human Services?"]

Conan Smith on Meeting Basic Human Needs

No, Smith said. The bottom line is the county is not doing an adequate job, he said, because the economy has transformed in such a short time. Alongside that, there’s a structural revenue problem, due to the way the state finances local governments. The county doesn’t have the resources to address these complex problems, which are so painful to see on a day-to-day basis, he said.

The board needs to look carefully at how they prioritize funding in the next budget cycle, Smith said. He is proud that this year the board adopted a mission for the budget that he proposed, which put the stabilization of neighborhoods and families first and foremost. The second component of that budget was to make sure they looked at long-term prosperity, so that they’ll have funds coming in from those stable neighborhoods to continue to provide services. This is an ongoing problem, he concluded, and they haven’t met the needs of it yet.

LuAnne Bullington on Meeting Basic Human Needs

The state has cut back on funding for a lot of these services, Bullington said, and the need is great. In previous years, the county has seen foreclosures due to predatory loans and redlining. Now, people are losing their home because they’ve lost their jobs, she said – there’s an influx of middle class people needing the county’s help. But there isn’t the money or the will, it seems, to look at this issue and help, she said.

Bullington said this area offers three types of housing: Ozone House, which she said provides transitional housing [for youth]; SOS Community Services, which provides crisis housing, and the Delonis Center, which is a shelter. Delonis is taking care of single adults at night only for three months, she said, adding that then they can’t go back for a year. “This is a crisis and we need to think outside the box to solve it.”

Mike Fried on Meeting Basic Human Needs

Fried said the need is very great in all these areas. The county should take the lead in working with the nonprofit community to obtain additional resources, and to improve efficiency and collaboration among the nonprofits, to start meeting these needs.

Citizens of this county should feel an obligation to assist others, he said. Businesses, nonprofits, and the county board should rally the people of this county to see that these needs are met, he said, because they’re tremendously great.

Yousef Rabhi on Meeting Basic Human Needs

Rabhi said the county is not doing enough – there’s always more that could be done. Government is the place where people come together, he said, where we realize that our futures are common. As a commissioner, Rabhi said he would engage the citizens of this community in tackling this task to improve the economy, address homelessness and create jobs. It’s something that everyone can work on together.

Regional transportation is essential to address these issues, Rabhi said. The county health plan is another essential service. There’s a diversity of knowledge and backgrounds in this community that can be tapped for this effort. “The citizens are the greatest consultants that the government could ever hire,” he said. “The county needs to engage that.”

Alice Ralph on Meeting Basic Human Needs

“The question is almost as broad as saying, ‘Can we afford to govern?’” Ralph said. There are some things that the private sector is really good at, she said, and as a government, the county needs to make sure to provide the civic infrastructure that supports interaction between the public and private sectors.

One way to refocus is to reset priorities, Ralph said. The board of commissioners has seven priorities, which Ralph described as rather broad. They need to focus those priorities. They need to ask not just how much money to spend, but how effective those programs are and how much progress they’ll make toward solving problems that the government can take care of.

Commuter Rail

Question: What’s the status of plans for commuter rail to the north and east of Ann Arbor, and are you supportive of these plans?

Background: There are two major efforts to bring commuter rail through Ann Arbor: 1) an east/west line between Ann Arbor and Detroit, which is being coordinated by the Southeast Michigan Council of Governments (SEMCOG); and 2) the north/south Washtenaw and Livingston Line, known as WALLY. Neither effort has secured sufficient funding to ensure that the projects will move forward.

The east/west line would be served by the Fuller Road Station, a joint city of Ann Arbor/University of Michigan effort that’s initially designed as a parking structure and bus depot, with the hope by city officials that a train station is eventually built there as well. The project has been controversial because it’s proposed to be built on land that’s designated as parkland. [Chronicle coverage: "PAC Softens Stance on Fuller Road Station" and "Park Commission Asks for Transparency"]

Mike Fried on Commuter Rail

Fried said the community is not quite sure of the status. The east/west rail to Detroit is up in the air, pending federal funding. WALLY [the north/south rail between Ann Arbor and Howell] is a little more set, he said, but clearly, substantial funding is needed.

He’s strongly supportive of regional transportation and said that tremendous strides can be made, especially going east to the airport and the Detroit Region Aerotropolis by Willow Run Airport. The other area that’s important is transportation within the county, he said, which allows people of all means to get to work, shopping and recreation.

Yousef Rabhi on Commuter Rail

The status of the east/west rail is up in air, Yousef said, blocked at the federal level. They need to work with SEMCOG – the Southeast Michigan Council of Governments – to get funding for these regional mass transit programs, he said. Regional mass transit is an essential feature of this community’s future, and we need to be investing in the sustainability and the social equity of the county and the region, he said.

Noting that he has a background in urban and regional planning, Rabhi said that mass transit can’t just happen in Ann Arbor or Ypsilanti. It needs to happen on a regional level. There needs to be someone on the county board who’s dedicated to regional mass transit, he said. “I am definitely dedicated to regional mass transit.” There are big shoes to fill, he added, saying that Jeff Irwin is stepping down and Irwin was a champion for that. The county needs someone who works every day on this issue, he said, and who asks: “What can we do to improve the transportation corridors throughout our county and throughout our region?”

Alice Ralph on Commuter Rail

Ralph said she thinks Jeff Irwin is trying to step up as opposed to step down, but she agreed that he has been a staunch advocate for transit. She noted that Fried had mentioned the aerotropolis project, which she described as a larger version of what’s happening in Ann Arbor. This is mostly a city issue, she said – the county hasn’t been directly involved, as far as she knows.

One of the issues now is the Fuller Road Station, which Ralph described as “currently a garage planned to be built on city parkland.” It reminds her of the aerotropolis project – on the aerotropolis website, she said, they show pictures of farmland being converted to something else [commercial and industrial uses]. It’s almost a new version of sprawl, Ralph said. She thinks the community should look at this as a balanced transportation system, so that they don’t just use one approach to solve every problem.

LuAnne Bullington on Commuter Rail

Bullington said she’s been involved with transportation issues for decades. She’s served on the Ann Arbor Transportation Authority’s Local Advisory Council as both an executive member and a general member. She attends AATA meetings, and goes to Lansing to advocate for transportation. But there isn’t money to fund the trains, she said, and it breaks her heart. She doesn’t drive and said she’d use the trains, but there’s no dedicated funding for it.

The east/west train from Detroit to Chicago will be getting some funding for an express train. But for commuter rail, there isn’t any money for it – it needs $35 million a year just to operate, she said. Bullington said she attended a public meeting when a SEMCOG official came to Ann Arbor and asked the AATA if they had $35 million to pay for commuter rail. The north/south WALLY project is tied up because there are three towns where there need to be stations, she said, and the towns have repeatedly said they won’t fund the stations. In 2006, SEMCOG said there wasn’t enough ridership to support it, she noted, and since then, the region has lost population and revenues. She again stated that it breaks her heart, but there’s no funding for commuter rail.

Conan Smith on Commuter Rail

Smith said he looks at metropolitan Detroit as the future of not just Ann Arbor and Washtenaw County, but for Michigan as a whole. Nothing is more essential to long-term prosperity in this regard than ensuring that there’s a comprehensive mass transportation system that stretches from the core city of Detroit to the best university town in the nation.

If this region is going to grow economically, they need to connect the excellent jobs here to the excellent workers in metro Detroit, Smith said. If they’re going to protect the environment and water resources, they’ve got to get some cars off the road – and that means mass transit. And if they want to enhance social equity in the community, he said, they need to make sure that people have more dollars in their pockets to provide a better quality of life. We waste so much money putting dollars into our cars, he said. It’s crucial to figure out how to get these transit systems going, he added, especially along the east/west corridor. As far as he’s concerned, there’s no higher priority.

Protecting Water Resources

Question: Michigan’s Great Lakes, small lakes, rivers and wetlands are among our most treasured and envied assets. Do you foresee any problems in our water resources in Washtenaw County? If so, what should be done?

Conan Smith on Protecting Water Resources

Smith said the greatest threat to the environment is the transportation system. Without a doubt, the number of cars that are being put on the road, the way the transportation system drives sprawl out from the cities into natural areas and rural areas – those are tremendous threats to the region’s wetlands, rivers, and great natural features that protect the aquifers, he said. If these areas are developed, the region’s water quality will drop precipitously, he said. So they absolutely have to put a high priority on addressing the transportation network, to ensure that it’s taking care of the environment as well.

Smith said that the county has one of the best natural areas preservation programs in the nation. Last year it won a NACO (National Association of Counties) award for being the most innovative program, he said. The millage that funds the program is up for renewal, after 10 years, he noted – it’s expected to go before voters on the November ballot. He said he hopes everyone will put their dollars toward it, because it’s doing an outstanding job of protecting the county’s water resources.

Yousef Rabhi on Protecting Water Resources

Rabhi said that this is something that affects the community’s quality of life, its environment, and its sustainability. We need to be improving water quality in all their waterways, he said. We need to look at ways to reduce runoff in urban areas, because runoff carries a heavy load of water and heavy loads of toxins, which are very detrimental to waterways and the creatures who live there.

Again noting his background in urban and regional planning, Rabhi said that watershed issues are regional issues. We need to look at it on a countywide and regional basis. He said he also has four years of experience in natural areas restoration. He knows the on-the-ground details of natural areas management, water management and water retention. He also cited 13 years of working with the Burr Park Wet Meadow Project, which he said is devoted to making sure urban runoff is no longer an issue for the Mallets Creek watershed. Rabhi concluded by saying he has the experience to get the job done and to look to the future.

Alice Ralph on Protecting Water Resources

“Water and trouble know no boundaries,” Ralph said, “and I hope that solutions don’t either.” Transportation and energy use can have heavy impacts on our water systems. She said she’s been working for several years on a greenway in Ann Arbor, and they’ve had very little government support. She’s noticed that the county has several programs that help establish open space, greenways, and natural areas. It make a lot of sense to have a systematic approach to keeping our water clean and available, she said.

Water will probably be more important in the long run than oil, Ralph said. We can see the tough time we’re having eliminating oil dependency, she noted – we can’t do that with water, because we need it to live. We’ll have a better environment to live in if we address these water issues.

LuAnne Bullington on Protecting Water Resources

One of the roles of the county government is to oversee inspectors, Bullington said. The county sends inspectors to restaurants to make sure they’re safe. The county also inspects lakes and wells, she said. They’ve had an issue with the Pall plume, and she’d like to see more work done with that. People’s wells have been contaminated, she said – it’s an important issue. [Bullington was referring to an underground plume of dioxane generated from Pall Corp. manufacturing facilities in Scio Township. For more information, see the county's Coalition for Action on Remediation of Dioxane website.]

Bullington then looped back to the topic of transportation. Mass transportation is important, she said, but it has to be paid for. One possibility is to put a regional transportation millage on the ballot, but that means they’d be paying to bring people from Detroit to Ann Arbor, she said. Before we do that, we need to take care of mass transit in Ann Arbor, then expand to the county before talking about very expensive trains, which she said she loves.

Mike Fried on Protecting Water Resources

Fried said the tragedy of the BP well in the Gulf has brought attention to the importance of water and how critical the whole Great Lakes area is – it’s the largest area of fresh water in the world. The county needs to protect its waterways, he said, and we’re fortunate that both the county parks department and the water resources commissioner are doing outstanding jobs and are aware of these issues.

He said he agreed with everything that other candidates have said about the importance of eliminating runoff, and conserving and maintaining water resources.

Closing Statements

Each candidate had two minutes to make some closing remarks.

Alice Ralph’s Closing Statement

Ralph thanked the audience for listening and said she wanted to return to Katharine Dexter McCormick and her most remarkable achievement, which was included in Fred Kaplan’s book, “1959: The Year that Everything Changed.” After women got the right to vote, McCormick devoted herself to developing the birth control pill, which is 50 years old this year, Ralph noted. McCormick started with the belief that the vote was not enough. Her commitment yielded an otherwise undreamed-of self determination for women and families around the world, Ralph said. Who could top that these days?

Ralph said she doesn’t expect to change everything, but she has been working with other citizens to change a few things. In 2006, she ran for city council in a closely contested primary. [That was a Ward 3 contest featuring Jeff Meyers and  Stephen Kunselman in addition to Ralph, which was won by Kunselman.] Now, she said, District 11 voters have the chance to get the kind of imaginative and mature leadership that her earlier supporters said they saw in her. New territory is ahead. We are pressed to change ourselves and government in preparation for an abundant future like none foretold, Ralph said.

We don’t have the advantage of vast fortunes, like Mrs. McCormick had – so beyond raw efficiency, we need to focus on the most effective use of funds and other resources, Ralph said. Just voting is not enough – informed citizen participation will make all the difference. With resilient policy and attention to core responsibilities, Ralph said, we can work together for local change that is true to shared priorities. As a county commissioner, Ralph said she will confront scarcity and work toward an abundant future on the other side of crisis. She urged voters to visit her website and learn more about why they should vote for her.

Mike Fried’s Closing Statement

Fried began by thanking the League of Women Voters. He said he wants to be a county commissioner because he cares about residents and cares about the county. His goal is to make the county an even better place to live in. He said he has the skills and experience to help solve problems that the county is facing. He noted that he’s the only candidate who has real world experience working for a county.

Fried managed finance and budgets, personnel, workflow, computer systems, was a liaison to a county board, and has experience serving on a number of state councils and organizations. He said he was instrumental in bringing about initiatives and victim assistance in criminal justice computer systems and in mental health diversion. He now serves on a number of nonprofit boards for agencies that directly help citizens in the county.

Fried said he’s proudest of the times when he’s brought together different groups to work together for a common goal, and that he’ll do the same as county commissioner. He’ll work to bring stakeholders together to maintain quality, to keep the county fiscally sound, to help those in need and to plan for the future. But he said he needs voters’ support on Aug. 3 to make it happen. Together, he said, we can build a future of balanced budgets, good jobs, accessible parks, safe streets, efficient transportation and quality services. He asked voters to visit his website or just Google his name.

Yousef Rabhi’s Closing Statement

Rabhi also thanked viewers for listening, and thanked the league. He said he was born in Ypsilanti and grew up in Ann Arbor. He knows what it’s like to live in this community, to see the strength of the people and community bonds. He said he knows we can lift ourselves past this economic time, and knows they can balance the budget. Governmental efficiency is the way to go, he said. We can work across all levels of government, and can build partnerships. We can work for energy efficiency and water conservation and alternative programming for the jail to save money.

But beyond the current budget situation, we need to look to the future, he said. We need to look to a sustainable county. That doesn’t just mean environmental health. It means social equity and economic resilience. It means a county that invests in local businesses and values human rights. A county that takes environmental issues seriously and invests in renewable energy and runoff prevention. Rabhi urged viewers to vote for him on election day, because together, he said, we can make a difference in our county.

LuAnne Bullington’s Closing Statement

Bullington said she was asking for voters’ support because she believes in a deep commitment and service to Ann Arbor and Washtenaw County. As a prosperous community, she said, we have the strength and the responsibility to show empathy and compassion to at-risk populations and to people who are adversely affected by this economic crisis. She said she demonstrates this service by donating her time, efforts and skills to a wide range of groups that implement solutions to these problems. Churches can’t do it, and nonprofits can’t do it – government needs to step up and help too, she said. A lot of churches and nonprofits are overburdened trying to take on these things, she said.

Bullington said she was recognized by the Washtenaw Youth Mentoring Coalition as a 2009 Washtenaw “super mentor.” She has served or volunteered with dozens of different groups involving transportation, housing, and the environment. She has held several leadership roles with the Ann Arbor City Democrats, is a member of the Ann Arbor NAACP, and a volunteer with the Ann Arbor Center for Independent Living. She was elected the Ward 3 precinct delegate. She was a former executive member of the AATA’s Local Advisory Council and attends their meetings. She’s a committee member for the Religious Coalition for the Homeless, and an advocate for Camp Take Notice and other homeless populations. She said the community doesn’t have enough housing and needs to think outside the box. She concluded by thanking the audience and the league.

Conan Smith’s Closing Statement

Smith said he was grateful to have had the opportunity to serve on the county board for the past six years and he hopes he’s earned support for continued service. He said he’s always put equity and social justice at the forefront. Washtenaw County deserves to have communities where you don’t have to be rich to enjoy clean air or clean water, he said, and where you won’t have to be overburdened by the cost of housing or transportation. Where you don’t have to feel that you or your family are at risk every time a child gets a cold or an adult senior faces a need for medication.

In Washtenaw, he said, they’ve always taken those priorities very seriously and tried to design a government that reflects those values and prioritizes them through the budget process. On his first term on the board, he said he learned a lot. His second term, he had a single stellar accomplishment: Preventing discrimination of Muslims at county pools. This past term, he led the budget process and through that, they were able to design a system that allowed the county to present an equitable front for all citizens, Smith said.

The community has some very serious challenges ahead, Smith said. Transportation has been the most frustrating issue for him – he said he tried collaboration through the planning advisory board, and tried to expand the road commission, but it’s still a struggle. The county also needs a metropolitan police force to address the sheriff’s road patrol issue, Smith said. And they desperately need a human services millage to address those issues as well, he said. As he moves into the next term, Smith said he hopes he has voters’ support, adding that he’ll be driving forward on these issues.

Washtenaw County commissioners Jeff Irwin (District 11) and Leah Gunn (District 9) confer before the July 7 board meeting. (Photos by the writer.)

After more than an hour of discussion, a majority of commissioners approved a step toward bringing back the land bank, which they’d voted to dissolve in March. Several commissioners raised concerns over funding for the land bank and the expense of property maintenance and rehab, though most said they supported the entity in concept.

A land bank allows the government – through a separate land bank authority – to take temporary ownership of tax- or mortgage-foreclosed land while the county works to put it back into productive use. Commissioner Ronnie Peterson, whose district in Ypsilanti and parts of Ypsilanti Township has been hit hard by foreclosures, has been an advocate for the land bank for several months, and expressed his impatience and frustration during the meeting. A motion to rescind the dissolution of the land bank was not considered at the July 7 meeting, but might be brought forward next month.

The board also held a public hearing on expanding the road commission from three members to five – three residents spoke at the hearing, all opposing the expansion. An animated discussion with a somewhat unclear outcome followed the hearing – with Wes Prater moving to stop the process of expansion, and getting support from the majority of the board. Calling that move “symbolic,” Jeff Irwin said he plans to bring a resolution to the Aug. 4 board meeting that will officially propose the expansion.

Several other items related to financial matters. The board approved an initiative to put more government information online, especially regarding budget and finance. They discussed and authorized re-funding bonds requested by Dexter Township, and noted with some concern that Dexter Township isn’t alone in its struggle to meet bond payments. And county administrator Verna McDaniel signaled her intent to hire Kelly Belknap as the county’s new finance director, replacing Peter Ballios, a 38-year veteran of the county who retired at the end of 2009.

The board also approved a brownfield plan for a project in downtown Ypsilanti, and set public hearings for Aug. 4 regarding two additional brownfield plans – the Near North housing project and Zingerman’s Deli expansion, both in Ann Arbor. The board is also expected to vote on those plans at the Aug. 4 meeting.

Washtenaw Land Bank Inches Forward

Discussion of the land bank was an agenda item at the Ways & Means Committee meeting, which immediately precedes the regular board meeting. Before they began, commissioner Jeff Irwin asked whether the public hearings that were scheduled to be held during the board meeting could be moved ahead to Ways & Means, prior to the land bank discussion. That discussion was expected to be lengthy, and several people were in the audience waiting to speak at the public hearing on possible expansion of the Washtenaw County Road Commission.

Corporation counsel Curtis Hedger indicated that public hearings must be held at the regular board meeting. Conan Smith, who chairs Ways & Means, apologized to the public for the wait. [The discussion ultimately lasted more than an hour.]

Ronnie Peterson, who has been pushing to re-establish the land bank, began by saying he hadn’t known that the discussion would be on the agenda. Smith clarified that at the June 29 administrative briefing – which Peterson didn’t attend – the consensus among other commissioners was that it wasn’t the right time for a vote on the issue, but that a discussion was warranted.

Peterson also apologized to those who were in the audience waiting for the public hearings, but said he’d promised to bring a resolution to this meeting, and he kept his promises. He said he’d been asked to be a “good boy” and wait until the July meeting, and he’d done that. Though he’d had concerns about the land bank when it was initially proposed last year, those issues had been hashed out, he said. He’d since come to believe that it was an important tool for the county, and especially for the eastern side, which he represents.

He said that in politics, your word ought to mean something: “If you shake a hand, it closes the deal.” He said he’d been promised that there’d be a vote on the land bank at their July 7 meeting. He’d more recently been asked to delay the resolution he was bringing forward, but he wasn’t going to do that.

Peterson then asked the county treasurer, Catherine McClary, to come forward and speak about the scope of the land bank, its funding, and the general status of tax and mortgage forclosures in the county.

County Treasurer: Uses and Funding of a Land Bank

McClary began by thanking commissioners for the support they’ve provided over the years in dealing with tax and mortgage foreclosures. In 1999, knowing that changes in state law would force the county to foreclose on more properties, the board stepped in to fund a social worker for her office. Since then, over 16,000 properties have been forfeited to the treasurer’s office, and about 500 have actually been foreclosed. Those numbers have been skewed higher over the past couple of years. Previously, the county averaged only 11 tax foreclosures a year. This year, that number is nearly 400. “It’s simply a matter of the economy,” she said. In the past, people still had the resources to work out payment plans – that’s no longer the case.

She also thanked the board for funding her office’s mortgage foreclosure prevention program. Her office fielded over 1,500 calls last year, and the program was able to save about 50% of those home, she said. The nature of those homeowners is changing – previously, people got into trouble because of predatory lending, McClary said, and you could change the terms of the loan to address the problem. Now, they’re seeing more middle class homeowners who’ve lost their jobs and just can’t make payments. There are few alternatives, and because of that, she said she doesn’t think they’ll have as much success keeping people in their homes.

Regarding the land bank, McClary said she was not there to promote it – that was the board’s decision. Land banks typically deal with tax-foreclosed properties, though they can handle any type. A land bank would serve all areas of the county, not just specific neighborhoods. She contrasted this with federal funding available through the Neighborhood Stabilization Program, which can also be used to help deal with foreclosed properties but is limited to low-income census tracts.

How the county would use the land bank would depend on the policies and procedures they put in place, McClary said. Would it be for economic development? To help people move into homes? It can take a lot of different forms.

But no matter what they decide to do, the bottom line is that they need funding, McClary said. The first land bank in Michigan, in Genessee County, was generously supported by the Mott Foundation, she said – that’s not an option for Washtenaw. Sometimes there’s money available through the U.S. Department of Housing & Urban Development (HUD) or the Michigan State Housing Development Authority (MSHDA). Alternatively, some land banks seek traditional bank loans.

McClary was recommending that the land bank be funded by transferring a half percent of the interest that’s paid to the county on properties forfeited to the treasurer’s office.

She said there were two resolutions that the board was being asked to consider. One would rescind their March 2010 decision to dissolve the land bank. The other made modifications to the intergovernmental agreement that governs the land bank authority. [.pdf file of proposed IGA resolution] For that, McClary identified four main changes:

• Changing the composition of the land bank authority board. The resolution would remove a slot designated for the sheriff, and add two positions for commissioners, rather than one. There would be seven members: the county treasurer, two county commissioners, the mayor or councilmember from Ann Arbor, the mayor or councilmember from Ypsilanti, the supervisor from Ypsilanti Township, and a supervisor from one of the townships in the western part of the county.
• Eliminating the requirement that the county treasurer serve as chair of the land bank authority.
• Requiring that the authority can act only after a majority vote of the entire authority board, rather than a majority of the quorum present at a meeting. For a seven-member board, any action would require at least four votes.
• Strengthening the language of the agreement so that the board of commissioners could terminate the land bank by board resolution. Previously, that authority rested with the county treasurer. [Although the board had voted to dissolve the land bank, it was actually McClary who executed that request.]

Hedger clarified that the resolution to rescind the board’s vote on dissolving the land bank must take place at a regular board meeting. Changes to the intergovernmental agreement would go through both the Ways & Means Committee and a regular board meeting.

Land Bank: Commissioner Discussion

Mark Ouimet began the discussion by saying that he wondered if the county could create a pool of funding sources. They didn’t have access to a foundation like Mott, but they could look into other alternatives. He was also concerned about the issue of property maintenance. He said he’s seen lots of empty homes as he’s been out campaigning – Ouimet is running for the state representative seat in District 52 – and the second or third time he goes by those houses, it’s clear that their condition has deteriorated.

Kristin Judge said that McClary had been very patient with them. The reason the board had dissolved the land bank was purely political, she said. They hadn’t been able to reach consensus about who to appoint to the land bank authority board. She reminded her fellow commissioners that they’d all voted to establish it originally. [See Chronicle coverage: "Banking on a Land Bank"] Then “politics got in the way,” she said.

She clarified with McCleary that after the land bank authority is established, the board can then seek other sources of funding. She noted that Ypsilanti mayor Paul Schreiber was an advocate of the land bank. But it’s not just the eastern part of the county that’s being hit, she noted – her district of Pittsfield Township was also feeling the effects of the economy. It is time to put emotions aside, she said, and do what’s right for the people of Washtenaw County.

Board chair Rolland Sizemore Jr. spoke next, noting that he was the one that Peterson had alluded to – he had asked Peterson to hold off on proposing this resolution. A land bank is a good idea, Sizemore said, but they still need more information about how it would work, and especially on how it would be funded. It appears that both Ypsilanti and Superior townships would be willing to contribute funding, he said – he’d spoken to supervisors Karen Lovejoy Roe and Bill McFarlane about that. Maintenance is another concern, and it would cost money to mow the lawns and have the buildings boarded up. He vowed to continue working toward the goal of establishing a land bank, but he wasn’t prepared to support it that night.

Jessica Ping echoed Sizemore’s comments, saying she was concerned about funding sources and maintenance costs. With so many unanswered questions in this budget climate, she didn’t see how they could do it.

Barbara Bergman also said she couldn’t support it. She pointed out that the intergovernmental agreement established a source of funding – taking money away from the county that it used to service its debt.

Ken Schwartz asked McClary to clarify how the proposed funding would work. McClary explained that when a property enters forfeiture, the county collects a 4% administrative fee. There’s also 1% interest charged on each parcel when the property is turned over to the treasurer. That money goes into the county’s delinquent tax revolving fund. Money leftover from the revolving fund goes into the county’s capital improvements fund and is used to pay the debt service of other bonds committed by the board of commissioners. McClary is proposing that one half of that 1% be transferred from the revolving fund to the land bank.

Asked by Schwartz for a dollar amount, McClary said that in the highest year, a half percent would have brought in about $620,000. More realistically, she estimated it would be closer to $500,000 or lower annually.

Schwartz said it would help him to see a budget, laying out where the revenue would come from and what the operational expenses would be. Would they hire staff? How much would it cost to demolish a building or to rehab it?

McClary responded that the land bank did have a budget after it had been formed last year. They were looking to staff it with a part-time employee through the office of community development – a joint county/city of Ann Arbor department – as well as contracting for staff time from the county’s office of energy and economic development, which handles brownfield issues. The primary expenses would be for personnel, legal services and maintenance, she said.

In ballpark figures, McClary estimated that it costs about $10,000 to demolish a building, and $70,000 to rehab it. In one complex, there are 63 foreclosed townhouses – maintenance costs for that complex have exceeded $10,000 since April 1, she said.

Schwartz said a land bank would be really important to some communities, and that the county as a whole benefits whenever one of its communities is improved. But they need to see a budget and to determine how many properties they can reasonably help through a land bank. For him, the question is where the greatest benefit lies.

Leah Gunn weighed in next, saying she had provided commissioners with a list of all the projects that the Washtenaw Urban County has done, many of which are similar to what a land bank would do. She said the estimates that McClary provided are too low and don’t reflect the true cost of buying, rehabbing and finding a qualified buyer for these properties. Rather than creating a new bureaucracy, she said, communities that want to fund this type of project should work through the Urban County. [Gunn is chair of the Urban County executive committee.]

Gunn said she found some things peculiar. For example, the cover memo about the land bank states that there would be no impact on human resources, yet now they’re hearing that there’d be a part-time employee. At first they were told there’d be no impact on the budget, but there clearly would be, she said. The county doesn’t have $600,000 to put into a land bank, Gunn said. What would they cut instead? Would they defer maintenance on their own buildings? Default on bonds? They face a potential $1 million deficit next year, she said, so they need to look very closely at their funding decisions.

She also said she didn’t want to end up like Flint. The Genesee County land bank owns more than 1,000 abandoned properties which they don’t have the funding to maintain. “It’s a disaster,” Gunn said. “I don’t want that for my county.”

Wes Prater noted that they were only considering this resolution on the intergovernmental agreement at Ways & Means – they’d have to bring it back for final approval at a future board meeting. By then, he said they can clean up whatever issues remain, but they need to get it moving. He didn’t disagree with Gunn, but said a land bank offers different opportunities – there are things that it can do that the Urban County can’t. To him, it’s not so much about rehabbing properties as it is about stabilizing neighborhoods and getting rid of blight.

Since funding was a problem, Prater suggested removing mention of funding from the resolution.

Jeff Irwin spoke next, saying it was fair to characterize the original decision to form a land bank as a “bit of a rush job.” At the time, he said, he and others had concerns about the proposal. What was the strategy? What kinds of properties would they target – commercial, industrial or residential? So they went ahead and approved the land bank, and asked the people who were working on it to develop a plan. For whatever reason, he said, that strategy was never forthcoming. They didn’t get answers to fundamental questions, like how much it would cost, and who’d do the maintenance.

Irwin said that a land bank is a reasonable tool, and he commended Peterson for directing the board to look at the needs that a land bank is intended to address. But there are still unanswered questions, and now there’s the additional question of the funding stream that’s been added to the intergovernmental agreement. He asked for an analysis of the impact on transferring $600,000 to the land bank – what would that mean for the capital improvements fund, and the county’s debt repayment schedule? County administrator Verna McDaniel said she’d asked the finance department to provide that analysis.

Irwin turned back to the question of a strategy, and asked McClary whether there’d been any progress toward developing one.

McClary pointed out that the board had received a four-page memo last year broadly outlining land bank policies and procedures. Beyond that, they were hampered because the board never appointed its representative to the land bank authority board, she said. Irwin’s questions and concerns are valid, she said, as are Gunn’s. Before the land bank took action, the land bank authority board would need to develop the strategy – it’s not her role as treasurer to do that, she said.

Irwin then commented on Judge’s earlier request to put emotions aside – he said he didn’t know what that referred to. He said he respected Peterson’s efforts to push hard for the land bank, but there are serious issues to consider. Irwin said he wants to be proud of approving a land bank, one that actually has a chance of success.

Conan Smith thanked Peterson and McClary for their work. He noted that the funding source was only a recommendation. Last year they had started out with governance and political barriers, Smith said, which impeded the development of a strategic plan. If they rescind their resolution dissolving the land bank, they can then empower the land bank authority to move ahead with developing a strategy.

It’s not necessary that the land bank be funded, he noted. There are other benefits that a land bank brings – the property it holds, for example, gains brownfield status, making it eligible for state tax credits. His own preference is to move forward with governance issues, and determine a funding source later. The funding source that they’d been discussing was “highly volatile,” he said, and the fact that it’s dedicated to the capital improvements fund was “arbitrary.” He also reminded his colleagues that they’d “raided” the capital improvements fund twice during the last budget cycle, using those funds to help deal with the projected $30 million, two-year general fund deficit.

He summed up by saying there may be a community need that should be prioritized over the county’s institutional need – that’s the question they need to weigh.

Ronnie Peterson (District 6), left, talks with fellow commissioner Conan Smith (District 10) before the start of the July 7 Washtenaw County board of commissioners meeting. Peterson brought forward a resolution to bring back the county land bank, which the board had dissolved earlier this year.

Peterson responded to some of the criticisms of his fellow commissioners, saying that the board itself is to blame for not setting a budget or strategy for the land bank. He said he’d be willing to compromise and remove references to the funding source from the resolution. He reminded the board that they had asked McClary to recommend a funding source, and she had – it was a source that wasn’t a bond or a tax, but it’s not set in stone.

The board can make modifications as they move forward, but the process has to start at some point, he said – and it needs to start now.

Sizemore reiterated that he would support working on a land bank, no matter what happened with the vote.

Gunn again stated her concern that the funding source identified in the resolution would impact the county’s general fund. It violates the county’s first guiding principle, she said: Ensure long-term fiscal stability for the county.

Schwartz moved to strike the fifth resolved clause:

… that the Washtenaw County Board of Commissioners hereby establishes dedicated funding for the Land Bank by authorizing the transfer of the additional one half of one percent interest applied to properties that forfeit to the County Treasurer to the Land Bank Authority, such transfers to begin for those properties that were due to foreclose in 2010 (2007 and prior years taxes) …

Other references to the funding source were later also included in the motion to strike language from the resolution.

Judge pointed out that 76% of the county’s revenues are tied to property values, and that helping to preserve property values in struggling neighborhoods is fiscally responsible government. She said they set up the land bank to fail – they should take responsibility for that. They’ve had months to address these questions and concerns, she said, noting that Peterson had first raised this issue in May. [See Chronicle coverage: "Commissioner Vows to Re-establish Land Bank"]

They can set up the land bank without dedicated funding, she said, and appoint members to the land bank authority board. There are smart people who have already committed a lot of time on this project, she said, mentioning Ypsilanti mayor Paul Schreiber and Ann Arbor city councilmember Sabra Briere. Give them a chance, she said: “We stopped it before it could be successful.” Referencing Gunn’s remarks about the situation in Flint/Genesee County, Judge said she assumed the land bank authority board here wouldn’t allow Washtenaw County to become slum lords.

Ouimet came back to the point he’d made earlier about seeking alternative fund sources and creating a pool of funds for the land bank. He said it didn’t seem like that suggestion had resonated with anyone. He suggested pulling in the United Way, Ann Arbor Area Community Foundation, local banks and other groups to work together on building funds for the land bank. He also restated his concerns about maintenance costs and property management, saying he didn’t want to add another burden to the county’s employees.

McClary said she’d heard his concerns, and made a commitment to seek other funding sources.

Bergman and Gunn both restated their objections. Bergman called it a “shell organization,” and said it was dangerous to authorize a land bank without knowing how it would be funded. She responded to Judge’s criticisms by saying that “political is what we do here – this is a political body.” As politicians, they were there to represent the best interests of their constituents. Gunn repeated her concerns as they related to fiscal stability and capacity to manage the properties – properties that just sit there won’t help stabilize neighborhoods, she said.

Schwartz said he agreed with Ouimet about the need for additional funding sources, but before pursuing them, there needs to be a baseline government funding level first. He said that now the burden of addressing all these issues is on those commissioners who support reestablishing the land bank, and noted that the resolution they’d be voting on that night was just a step toward that.

Outcome: The board, at its Ways & Means Committee meeting, voted to approve the revised intergovernmental agreement, with dissent from Barbara Bergman and Leah Gunn. The expectation is that commissioners will vote on both that agreement and a resolution to rescind its dissolution of the land bank at an upcoming board meeting, possibly on Aug. 4.

Land Bank: Public Commentary

Karen Lovejoy Roe, supervisor for Ypsilanti Township and a former county commissioner, spoke during the final opportunity for public commentary at the Ways & Means Committee meeting. She thanked the board for their vote, and said the land bank was important to her community. She said she thought that the township could come to the table with funding.

Lovejoy Roe said the thing that hadn’t been discussed was the role of landlords. There are streets in the township with 20-30 homes, and now a third of them are rentals – landlords are able to buy up foreclosed properties quickly. She said that with a land bank, she was confident they could turn those back to home buyers. Some landlords have no interest in improving properties they buy – there are two landlords in particular that the township is going after in circuit court, because of the condition of their properties, she said.

The Urban County, she noted, was very bureaucratic, and takes a long time to move projects forward. [Lovejoy Roe serves on the Urban County's executive committee.]

Lovejoy Roe then criticized commissioner Barbara Bergman, saying that Bergman had told Lovejoy Roe that she wasn’t going to do anything to help Ypsilanti Township. Lovejoy Roe said she was very disappointed that Bergman was holding the police services lawsuit over their heads – Bergman, she said, had told Lovejoy Roe to bring a $500,000 check to the meeting. [Ypsilanti Township is one of three townships that sued the county over the amount that townships are charged for sheriff deputy patrols. The townships have lost all appeals on the case, and Salem Township has reached a settlement. For the most recent Chronicle coverage: "County Settles Lawsuit with Salem Township"]

Gunn responded to Lovejoy Roe’s comments, saying she was very disappointed in the ad hominem attacks on Bergman. “There is no place for that in this body,” she said. Gunn also said that the purpose of a land bank is not to be a landlord.

Road Commission Expansion Lacks Support

The county board of commissioners appoints the three members of the Washtenaw County Road Commission board. Over the years there have been concerns voiced about the road commission, ranging from a lack of responsiveness to a lack of representation for the western side of the county. At their May 19, 2010 meeting, the county board voted to set a hearing for July 7 that would be the first of many mandated steps in order to expand the number of road commissioners. On the May vote to set a hearing, four commissioners – Kristin Judge, Jessica Ping, Wes Prater and Rolland Sizemore Jr. – dissented, arguing against the need for expansion. [See Chronicle coverage: "Hearing Set on Road Commission Expansion"]

Road Commission: Public Commentary and Public Hearing

Ron Motsinger of Dexter spoke twice – during time allotted for general public commentary, and again at the public hearing. He said he’d been trying to find out why there was a need to expand from three to five road commissioners. If the idea is to get better representation, he said he’s had several experiences with the road commission and has found them to be responsive. He gave an anecdote of a family member in Milan who’d had flooding issues, and said they’d been helped by the commission. He said he always has his calls returned, even on evenings and weekends. Motsinger also wondered whether going from three to five commissioners would increase costs, which he didn’t think was a good idea. If the current compensation is spread among five members, he didn’t think that would be fair to the current road commissioners. He said if the commission isn’t broke, he doesn’t see the need to change things.

Ken Siler of Freedom Township identified himself as president of the Washtenaw County Farm Bureau, which he said had voted against expansion of the road commission when the issue had been raised several years ago. They’d primarily been concerned about the costs, he said. Speaking on a personal level, he said a one-man committee was the most efficient, and a three-person committee was close to that. Most organization he dealt with didn’t have more than that, he said, and he didn’t think they needed more on the road commission. Siler spoke during both the general public commentary and at the public hearing, making the same points.

Bill Stein spoke during the public hearing, saying he was a citizen now, although he’d previously addressed the board as a representative of the road commission’s retiree association. Adding more commissioners to the board won’t fill more potholes or build more roads, he said. He praised the county commissioners who’d recently served as liaisons to the road commission – Wes Prater, Mark Ouimet, Leah Gunn and Ken Schwartz – saying they’d asked the right questions. He also praised one of the current road commissioners in particular, Doug Fuller, saying that Fuller frequently attended government meetings in Saline and Manchester. If anything, Stein said, perhaps the county board should consider shortening the terms of road commissioners, from six to three years.

Commissioner Response to Public Commentary

Several commissioners responded to Motsinger and Siler after the general public commentary.

Jeff Irwin said that over the past several years, many complaints have come to the board about the road commission. Some have been addressed, and some haven’t, he said. Another issue is getting a diversity of opinions and experiences on the road commission, he said. With only three road commissioners, it’s difficult to represent all geographic areas of the county, he said – urban, suburban and rural. Western Washtenaw also has lacked representation, he said. [Of the three current road commissioners, Doug Fuller is from Scio Township, and the other two – David Rutledge and Fred Veigel – are from the Ypsilanti area, on the county's east side.]

Irwin said he felt they could expand the road commission without increasing costs.

Kristin Judge said that before she was elected as county commissioner, she had supported expanding the road commission, because she felt it lacked a diversity of thought and wasn’t responsive to community concerns. Since then – and since Wes Prater had become a liaison to the road commission – things have improved, she said, and responsiveness is no longer a concern. When she talks with constituents, the overwhelming response is to not spend more on paying commissioners, when that  money could go toward filling potholes or building roads – even if it’s only $10,000 or $15,000, she said.

Judge later suggested that electing road commissioners, rather than having them appointed by the county board, would be another option they should explore. That would help address any remaining accountability issues, she said.

Jessica Ping said she’d also previously been a supporter of expanding the road commission. One issue was that it’s difficult to meet the requirements of the Open Meetings Act when there are only three commissioners – any time that two commissioners get together, that’s a quorum. She was interested in taking politics out of the equation, and had suggested appointing road commissioners based on five geographic districts – just as the the county commissioners represent different areas of the county. But she was concerned about the cost of adding more road commissioners, and didn’t know if the current salaries could be split five ways. The county’s corporation counsel, Curtis Hedger, was looking into both of those issues, she said.

Leah Gunn noted that she’d spent a year being an alternate liaison to the road commission. At that time, Wes Prater had been one of the road commissioners, and he’d made a big difference in the organization, she said. He had helped transfer the road commission’s human resources department to the county’s HR department, and had instituted a program of preventative maintenance. The road commission, Gunn said, had received the message about customer service, and was doing better.

Mark Ouimet said he’d spoken with several township supervisors and other community leaders on the western side of Washtenaw County, which his district covers. There was a strong feeling among them that the road commission has improved and there’s no need for expansion. They’re doing a better job of communicating, he said, and of partnering with local communities. The road commission is on the right track, he concluded.

Rolland Sizemore Jr. said he wouldn’t be supporting expansion. He praised Prater as the liaison and Ouimet as the alternate liaison. Ken Schwartz then noted wryly that Ouimet does cast a long shadow, but that Schwartz had been appointed by Sizemore as alternate liaison, replacing Ouimet. Sizemore quipped that Schwartz should wear a T-shirt indicating he was the alternative liaison.

Road Commission: Resolution to End the Expansion Process

After the public hearing, Schwartz asked Curtis Hedger, the county’s corporation counsel, whether the board needed to act. They did not, Hedger said – there was no need for them to take any other steps, if they decided against expansion. No resolution had been proposed.

Prater then moved to terminate the process of expanding the road commission. As a point of order, Conan Smith noted that there was no process to terminate. Hedger said you could argue that by holding a public hearing, a process had been started.

[In previously lobbying to set a public hearing on the expansion, Smith had talked explicitly about a process. From The Chronicle's coverage of the board's May 19, 2010 meeting: "Smith countered that it’s best when public input is given up front, not at the end of a process when decisions have already been made. And there’s nothing stopping the board from holding an additional public hearing later as well, he said. But the process of expansion requires certain mandated steps, with mandated time periods between each step. If they wanted to do it this year, they needed to get started."]

Schwartz asked whether anything would happen automatically, if the board took no action. It would not, Hedger replied. State law requires that a public hearing be held before a vote on expansion can occur, and Schwartz asked whether this public hearing would “hold.” Hedger said he wasn’t sure, but that he didn’t think there was a time limit. In that case, Schwartz said he’d second Prater’s motion, so that the issue doesn’t linger.

Irwin stated that he intended to bring a resolution to the board proposing an expansion, regardless of whatever “symbolic” action was taken at the meeting. Everyone will have the opportunity to vote on it, he said. Smith said that Irwin’s action was the appropriate one.

Prater then moved to amend his motion, to state that the board would not expand the road commission. Smith pointed out that a motion to not take an action wasn’t a viable motion. Barbara Bergman then suggested a motion that they would retain the same number of road commissioners. Prater called a point of order, saying there was already a motion on the table.

Gunn said if Hedger ruled that there was a viable motion on the table – which he did – then she’d call the question, a parliamentary move that forces a vote.

Outcome: The board approved Prater’s motion to terminate the process of expanding the road commission, with dissent from Irwin and Smith.

Irwin then restated his intent to bring a resolution to the Aug. 4 meeting, so “we can have this fun all over again.”

Prater argued that the board had better things to do. It was Irwin’s right, he said, but he didn’t understand it.

Smith said that they didn’t have a very fulsome conversation about the issue. The road commission doesn’t have a strategy for addressing the fact that it is seriously underfunded, for example. To allow the board to maintain the status quo when there’s a crisis of enormous proportions is irresponsible, he said.

Prater said he respectfully disagreed. “There certainly is a strategy,” he said. The road commission is pursuing ISO 9000 certification, which aims at enhancing customer service. And a capital improvement plan has been laid out, he said – they just don’t have the funding to implement it.

At this point Ping made a motion to adjourn. When told that they hadn’t finished the agenda yet, she replied: “Can I make a motion to stop this conversation?”

It was a successful gambit.

Transparency Initiative Passes

Earlier in the meeting, Kristin Judge introduced a resolution creating “Open Book eWashtenaw.org,” which aims to provide online access to a greater range of county data, including more detailed budget and expenditure information.

Wes Prater (District 4) talks with Kristin Judge (District 7).

Judge thanked fellow commissioner Wes Prater and the county staff who have worked on this project over the past several months – she read out a list of their names. She said she expects the program to be well-received by the public, and told the board “I hope this will pass with flying colors.”

Prater said he believed it will serve the tax-paying public well, and that the county will likely see a decrease in the number of Freedom of Information Act requests that they receive, because the information will already by online.

Check registers will be first to go online, followed by credit card and P-card (purchasing card) information, as well as salaries.

Outcome: The resolution passed at both the Ways & Means Committee and the regular board meeting, without further discussion.

Bond Re-funding for Dexter Township

Dan Myers, the county’s director of public works, was on hand to answer questions about a bond re-funding that commissioners were being asked to approve on behalf of Dexter Township. The debt was originally incurred in 1994 to build the Multi-Lakes wastewater system, in partnership with Lyndon Township, and with Putnam Township in Livingston County. The system initially served portions of North Lake, Silver Lake, Half Moon Lake and Blind Lake. A later phase added service to Island Lake, Ellsworth Lake, and portions of Bruin Lake and Joslin Lake in Lyndon Township and Patterson Lake in Putnam and Unadilla townships, as well as the village of Gregory.

In 1999, Washtenaw County had issued refunding bonds of $6.53 million for Dexter Township’s portion of the debt. Of that, $3.05 million in debt remains. Restructuring it would entail reducing the township’s payments by extending the debt for another five years – the township expects to save $38,000 as a result.

Myers clarified that the township is concerned they won’t be able to make payments in a couple of years, at the current rate. They also want to take advantage of low interest rates, he said. The situation in Sylvan Township is more difficult, he said. [In March 2010, the board approved the sale of $10.4 million in refunding bonds to restructure debt from construction of that township’s water and wastewater systems.] Sylvan had expected to meet its bond payments from connection fees, but development has slowed and there are far fewer connections than anticipated. Rolland Sizermore Jr. said they’re in “bad trouble” in Sylvan.

Kristin Judge asked Myers whether there was any financial loss to the county because of the situations in Dexter and Sylvan townships. No, Myers said, the townships are responsible for payments of the bonds, though the bonds are backed by the county’s full faith and credit. What if the townships can’t meet the terms? Judge asked. If the county had to make payments, Myers replied, they would ensure that the townships did “whatever they needed to do” to repay the county. What happens if they default? Judge asked. Myers said the county wouldn’t let that happen.

Mark Ouimet – who represents District 1, which includes both Sylvan and Dexter townships – noted that if hookups don’t increase in Sylvan, the situation will be “much more challenging.” He said he felt better about Dexter Township. The re-bonding does at least give the townships some breathing room, he said.

As he’d discussed at the June 29 administrative briefing, Sizemore said he’d like to see a review of debt incurred by these and other townships, which have used the county’s full faith and credit.

Conan Smith noted that since the board had dissolved the planning commission, there was no review body to look at situations like this. He suggested that they might want to consider putting something else in place to serve that purpose. [The county's planning commission was dissolved in 2002. It was replaced by an advisory group – the Washtenaw County planning advisory board. That group was dissolved by the board of commissioners at their Feb. 3, 2010 meeting, as part of the restructuring of the planning and environment department, which is now the energy and economic development department.]

Head Start ESL Job Approved

Before the board was a resolution authorizing the hiring of a part-time worker for the county’s Head Start program, to work with families that don’t speak English as a native language. Enrollment of English-as-a-second-language (ESL) families – primarily Hispanic – has increased about 15% over the past three years, according to Head Start administrators.

The salary range for the position is in the $14,912 to $20,408 range. The request did not ask for funding from the county’s general fund.

At the board’s June 29 administrative briefing, when the staff and commissioners review the upcoming agenda, Conan Smith had questioned how Head Start could afford the position. He noted during last year’s budget process, the board was told that the Head Start budget couldn’t be cut because they didn’t have a dime to spare. “Now, they seem to have a lot of dimes,” he said.

At the July 7 meeting, Barbara Bergman asked where the money was coming from to pay for the position. County administrator Verna McDaniel told the board that the county had been overcharging Head Start for the retirement of debt related to construction of its facility. Those extra funds will cover the salary, which McDaniel characterized as low.

Kristin Judge praised Head Start, saying she supported the hire because it was important for the county to be a welcoming community, especially with what’s happening on the national scene – an apparent allusion to recent controversial legislation in Arizona directed at possible illegal immigrants.

Outcome: The board unanimously approved creating the part-time position, as part of its consent agenda.

Water Resources Commissioner Staff

The board was asked for approval to hire a senior environmental planner for the office of the water resources commissioner. Approval was required because the proposed salary – $77,400 – was above the midpoint level of $66,634 for a non-union position of that pay grade. A memo provided to commissioners noted that the proposed salary fell between the authorized range ($53,732 to $79,537) for that pay grade, and was $2,730 lower than the salary of the employee that this hire would replace.

Commissioner Rolland Sizemore Jr. asked the water resources commissioner, Janis Bobrin, whether the person she intended to hire – Meghan Bonfiglio – lived in Washtenaw County. Bobrin replied that she did not. Sizemore said he had a problem hiring someone who wasn’t a resident of the county, and that he’d be voting against the approval.

Outcome: The board approved the hire at the proposed salary level as part of its consent agenda, with dissent from Sizemore.

Mellencamp Brownfield Plan Approved

The board’s agenda included a public hearing and vote on approval of the Mellencamp Building brownfield plan. [.pdf file of Mellencamp brownfield plan] The developer is buying and rehabbing three vacant buildings in downtown Ypsilanti at 120, 122 and 124 W. Michigan Ave., between Huron and Washington, and converting them to residential and commercial space. The $2.2 million project is seeking brownfield status as a “functionally obsolete” property, which will make it eligible for Michigan Business Tax credits. The project is expected to bring 30 new residents and 25 new jobs to Ypsilanti.

No one spoke at the public hearing. Commissioner Kristin Judge clarified that the county wouldn’t be losing any tax revenue as a result of approving the brownfield plan.

Before the vote, commissioner Ronnie Peterson – who represents District 6, which includes the city of Ypsilanti – thanked his colleagues for their support of the project, calling it a good example of the government and a private entity working together. He described it as a major effort and an example of what’s needed to revitalize the downtown area.

Outcome: The plan passed unanimously at both the Ways & Means Committee and the regular board meeting, as part of the consent agenda.

Public Hearings Set for August Meeting

The board set three public hearings for its Aug. 4 meeting – two of them related to brownfield plans:

• A public hearing to get input on the brownfield plan proposed by Zingerman’s Deli, which is expanding its business and seeking to recoup some of its costs through tax increment financing, which brownfield status allows. [See Chronicle coverage: "Zingerman's Project Seeks Brownfield Status"]
• A public hearing for input on the Near North apartment project’s brownfield plan.

The board also set a public hearing for the use of $43,954 from the U.S. Justice Department’s Edward Byrne Memorial Justice Assistance grant. The county sheriff’s department has applied for the grant – the justice department requires a public hearing as part of the application process. Last year, the grant was used to provide community outreach services.

Report from the Administrator

County administrator Verna McDaniel told commissioners that she plans to bring a request to the Aug. 4 meeting for approval of hiring Kelly Belknap as the county’s new finance director. Belknap currently serves as finance manager for the county’s public health department. In her new role, she’ll oversee budget and finance operations, which had previously been in separate departments.

McDaniel thanked interim finance director Pete Collinson for “holding down the fort.” Former finance director Pete Ballios retired at the end of 2009 after 38 years with the county.

Thomas Partridge reviews his notes before speaking during public commentary at the July 7 meeting of the Washtenaw County board of commissioners.

Public Commentary

In addition to the public commentary reported above, Thomas Partridge also spoke during the first opportunity for public commentary. He called for the board to develop an agenda that’s worthy of the 21st century and this prominent county. The county should work toward providing food, housing, healthcare, transportation, education and jobs for its residents, he said, especially its most vulnerable citizens.

He urged commissioners to eliminate funding for the county’s lobbyist, saying it was a job that should be performed by state legislators who represent Washtenaw County. [The county currently has a two-year, $108,288 contract with Government Consultation Services Inc. (GCSI), a lobbying firm run by former state representative Kirk Profit.]

Though Partridge typically takes advantage of multiple opportunities to speak during the board meetings, he left immediately after his first commentary to attend a candidate forum held later that evening at the studios of Community Television Network. Partridge is a candidate in the Democratic primary for state senate, District 18. The other two candidates are current state representatives: District 52 Rep. Pam Byrnes, and District 53 Rep. Rebekah Warren, who is married to county commissioner Conan Smith. The Chronicle covered a July 10 candidate forum for that race: “Michigan Dems Primary: Senate 18th District”

Present: Barbara Levin Bergman, Leah Gunn, Kristin Judge, Jeff Irwin, Mark Ouimet, Ronnie Peterson, Jessica Ping, Wes Prater, Ken Schwartz, Rolland Sizemore Jr., Conan Smith.

Next board meeting: The next regular meeting is Wednesday, Aug. 4, 2010 at 6:30 p.m. at the County Administration Building, 220 N. Main St. The Ways & Means Committee meets first, followed immediately by the regular board meeting. (Though the agenda states that the regular board meeting begins at 6:45 p.m., it usually starts much later – times vary depending on what’s on the agenda.) Public comment sessions are held at the beginning and end of each meeting.

The board dissolved the land bank – a tool used to help the county deal with foreclosed and blighted properties – at their March 2010 meeting, but commissioner Ronnie Peterson has pushed to bring it back. He initially proposed putting a resolution on the June meeting agenda, but later agreed to a request by board chair Rolland Sizemore Jr. to hold off until July. But at the June 29 briefing, Sizemore and Conan Smith, who chairs the board’s Ways & Means Committee, said they were not putting a resolution on the July 7 agenda either, though discussion on the topic is scheduled for the meeting. Peterson did not attend the briefing.

A range of other items are on the agenda, including a public hearing on possible expansion of the county road commission, and a resolution regarding a transparency initiative that’s been in the works for several months. Led by commissioner Kristin Judge, the effort aims to put more of the county’s public documents, especially financial information, online.

Commissioners expressed some concern over one agenda item: Restructuring the debt for a Dexter Township wastewater system, with the goal of lowering payments – payments the township might otherwise have trouble making. The item led some commissioners to ask for a report on debt held by local townships that’s backed by the county’s credit.

Land Bank: Unresolved Issues

The board of commissioners authorized the Washtenaw County Land Bank Authority a year ago, at their July 8, 2009 meeting. In general, land banks can be used to take temporary ownership of tax- or mortgage-foreclosed land while the county works to put the property back into productive use. “Productive use” might mean selling it to a nonprofit like Habitat for Humanity to rehab, or demolishing a blighted structure and turning the land into a community garden.

The idea is to provide some options to deal with blighted properties. In the case of a tax foreclosure, for example, the county treasurer must auction off the parcel to the highest bidder – often, that’s an out-of-state buyer who’s looking for cheap rental property, sight unseen. That scenario often results in a high likelihood that the cycle of foreclosure will repeat itself.

Before it was formed last year, several commissioners voiced concerns about establishing a land bank, citing issues of governance, control and liability for the county. Ronnie Peterson was among the more vocal in his doubts, saying the board wouldn’t have sufficient control over the land bank authority, other than appointing some representatives. He was also worried about maintenance of the properties acquired by the county, and who would manage and pay for that. Ultimately, though, the resolution to form a land bank passed unanimously.

The land bank authority was chaired by county treasurer Catherine McClary, who had championed the proposal. But commissioners never came to agreement about who to appoint to the authority’s board, and didn’t receive the amount of federal support they’d anticipated would help fund the effort.

Citing these concerns, commissioners voted to dissolve the land bank at their March 17, 2010 meeting. Peterson was the lone vote against that decision at the March board meeting. He asked instead that McClary and others involved in the effort be given more time to address these issues. However, Peterson was not able to persuade other commissioners to table the resolution that dissolved the entity.

Then, at the board’s May 19, 2010 meeting, Peterson told his colleagues that he wanted to reestablish the land bank, and intended to bring a resolution to that effect in June. “I’m going to get this passed,” Peterson said at the time. “I’m going to get this passed at all costs to me.” Peterson represents a district that covers Ypsilanti and parts of Ypsilanti Township, which have a high number of foreclosures.

But by June, board chair Rolland Sizemore Jr. had convinced Peterson to wait another month. From Chronicle coverage of the June 2, 2010 meeting:

Peterson told commissioners he’d subsequently had a breakfast meeting with the board chair, Rolland Sizemore Jr., who had asked him to wait until July 7 before proposing a land bank resolution.

Peterson said that he’d be respectful of that request, but that on July 7 “I’ll be aggressive.” Jessica Ping, who chairs the board’s working sessions, pointed out that the topic of a land bank was on the agenda for the July 8 working session. Peterson said he didn’t have a problem with that – they can discuss the resolution that they’ll pass on July 7. He said he had delayed it until July 7, but would not push it back until August. [In the summer, the board meets only once a month.]

Sizemore said the land bank is a good idea, but there are still some glitches to work out. He encouraged commissioners to attend a seminar on land banks being held next week in Lansing.

Ping proposed shifting the discussion from the July 8 working session to the July 7 meeting of the Ways & Means Committee, which is held immediately prior to the regular board meeting. That way, they could talk through the issues they needed to discuss, then vote on the resolution that same evening. Conan Smith, who chairs Ways & Means, agreed.

Administrative Briefing: Questions about Land Bank Remain

At the June 29 administrative briefing, when commissioners got an advance look at the July 7 agenda, Conan Smith explained why a land bank resolution wasn’t on it. He described the land bank as a surgical tool, not something to use broadly. Commissioners hadn’t yet agreed about exactly how the land bank would be used, and that has caused a lot of consternation among the group, he said. It’s worth talking about what unique functions of a land bank should be applied in Washtenaw County, he added, so that they can fine tune it before moving forward.

Rolland Sizemore Jr. told his colleagues that a lot of questions still needed to be answered. He knew that McClary had been working on it, he said – she also attended the briefing. Foremost among the unanswered questions, he said, were 1) Where will the funding for a land bank come from? and 2) What should it be used for? He wanted to see it be more of a countywide tool, not just something used for properties in Ypsilanti, Ypsilanti Township, Ann Arbor and Superior Township – all areas where there are higher concentrations of foreclosures.

Wes Prater said they shouldn’t forget that the land bank can also be used to deal with abandoned property that’s bringing down the value of surrounding property. The big value, he said, is in keeping other properties from losing their taxable value.

Barbara Bergman said she’d like to see a grid that compares the uses of a land bank to those that are provided by the Washtenaw Urban County, a consortium of local governments that receive federal funding for low-income neighborhoods. Smith noted that the main interest for Peterson – who did not attend the briefing – is in keeping people in their homes. There are a lot of other programs that have the same goals, Smith said, including some operated by the treasurer’s office aimed at preventing mortgage foreclosure and tax foreclosure. The joint county/city of Ann Arbor Office of Community Development also has programs providing assistance to low-income homeowners, he said.

McClary told the board that she was not promoting the land bank – she was just hoping to provide answers to the questions that commissioners had. She said she had pushed for the land bank last year, after seeing the number of tax foreclosures in the county climb – from 11 two years ago, to 100 last year, to nearly 400 this year. That’s why she had originally approached the board about starting a land bank, because she thought they could make a go of it and deal with some of those properties. But at this point, she said, it didn’t matter whether they considered it at their July meeting, or pushed it back to the meeting in August.

She clarified that the land bank authority would be an independent entity from the county. That meant that the county wouldn’t be responsible for the authority’s debt or other obligations, she said. McClary explained that some communities funded their land banks from a portion of the interest payments on forfeited properties – the board of commissioners could choose to do that as well, she said.

[In response to a follow-up email from The Chronicle, McClary explained that the state's General Property Tax Act allows the county to collect 1% interest per month from delinquent taxpayers. That interest is credited to the county's delinquent tax revolving fund to pay delinquent tax notes. Taxpayers also pay a one-time administrative fee of 4%, which also goes to the delinquent tax revolving fund. After delinquent tax notes are matured and paid off, any leftover funds are transferred to the county’s Capital Improvements Fund (CIF) and used to pay the debt service of other bonds committed by the board of commissioners. McClary wrote that for a small sub-set of properties that enter forfeiture – the first step in foreclosure – an additional ½% interest is added to the parcel and goes to the delinquent tax revolving fund.]

Bergman pointed out that the land bank authority wouldn’t really be independent, if the county were providing a revenue source.

Sizemore wrapped up the land bank discussion by saying that he thought the land bank was a good idea, but they still needed to work through some of these issues. He said if someone wants to fight about it at the July 7 meeting, he wouldn’t be supporting it at this point.

Though there’s no resolution on the agenda, Peterson – or any commissioner – has the option of bringing a resolution from the floor during the meeting.

McClary thanked the commissioners, saying that this had been the most productive discussion they’d had on the land bank issue so far.

Transparency Initiative

At the June 29 briefing, commissioner Kristin Judge passed out a draft copy of a resolution she intends to bring forward at the July 7 Ways & Means Committee meeting – a committee of the whole board that meets immediately prior to the regular board meeting. The resolution would establish “Open Book eWashtenaw.org,” providing online access to county data, including more detailed budget and expenditure information.

Judge said a team of people – including commissioner Wes Prater, the county’s knowledge manager Andy Brush, and Pete Collinson, interim finance director – had been working with department heads and others on this project. Brush and Collinson attended the briefing.

Rolland Sizemore Jr. asked Judge why she feels they need to do this. Judge replied that it’s the right thing to do, giving the taxpayers access to information about how their money is being spent. It’s also a directive of the Obama administration, she noted. Though the county already does a good job at this, they can do more, she said.

Check registers will be first to go online. Next will be credit card and P-card (purchasing card) information, as well as salaries.

Barbara Bergman expressed some concern about privacy issues. Judge pointed to one of the Whereas clauses, which states:

” [...] the presumption of openness does not preclude the legitimate protection of information whose release is exempted by the Michigan Freedom of Information Act, or in any other way protected by any applicable federal law, would threaten security, invade personal privacy, breach confidentiality, or in any way damage other genuinely compelling interests.” [.pdf file of full resolution]

Conan Smith suggested that they monitor the amount of staff time it takes to put this information online, and how many hits it gets. Tracking the number of Freedom of Information Act requests before and after the data goes online is another way to monitor its effectiveness, he said.

Judge agreed that it was good to monitor those things, but reiterated that the public owns the information, and government should make it as accessible as possible.

The board will consider the resolution at the July 7 Ways & Means Committee meeting. If approved, it will come before the board for final approval at their Aug. 4 board meeting.

Other Items on the July 7 Agenda

The board will consider and vote on several other items at its July 7 meeting, including the following:

Public Hearings: Road Commission, Brownfield Plan

The board will hold two public hearings on July 7, seeking input on: 1) possible expansion of the Washteanw County Road Commission from three to five members; and 2) a brownfield plan for the Mellencamp Building in downtown Ypsilanti.

No additional action is expected regarding the road commission on July 7.

In addition to the public hearing, the board is scheduled to vote on approval of the Mellencamp Building brownfield plan. [.pdf file of Mellencamp brownfield plan] The developer is buying and rehabbing three vacant buildings at 120, 122 and 124 W. Michigan Ave., between Huron and Washington, and converting them to residential and commercial space. The $2.2 million project is seeking brownfield status as a “functionally obsolete” property, which will make it eligible for Michigan Business Tax credits. [For more details on how the brownfield process works, see Chronicle coverage: "Zingerman's Project Seeks Brownfield Status"]

Portage Lake Dam Repairs

The board is being asked by the office of the water resources commissioner to authorize maintenance and repair costs for Portage Lake Dam. The estimated cost is $184,690 over a three-year period, from 2010 through 2012. In addition to monitoring several potential problems – including a crack in the right downstream retaining wall and a downstream retaining wall on the left embankment that’s leaning towards the river – the project includes updating the electrical control system and adding “No trespassing” signs, among other changes. [.pdf file of suggested maintenance and repairs]

At the June 29 administrative briefing, the item prompted Rolland Sizemore Jr., the board’s chair, to ask county administrator Verna McDaniel for an update on the dams along the Huron River in Washtenaw County. He suggested a working session with the Huron River Watershed Council and the county’s water resources commissioner, Janis Bobrin.

The request prompted Conan Smith to quip: “Let the record show that Rolland wants another dam meeting.” The comment was met with a certain number of good-natured groans from his colleagues.

Bond Refunding for Dexter Township

The board will vote to authorize the sale of refunding bonds for Dexter Township – debt that was originally incurred in 1994 to build the Multi-Lakes wastewater system, in partnership with Lyndon Township, and with Putnam Township in Livingston County. The system initially served portions of North Lake, Silver Lake, Half Moon Lake and Blind Lake. A later phase added service to Island Lake, Ellsworth Lake, and portions of Bruin Lake and Joslin Lake in Lyndon Township and Patterson Lake in Putnam and Unadilla townships, as well as the village of Gregory.

In 1999, Washtenaw County had issued refunding bonds of $6.53 million for Dexter Township’s portion of the debt. Now, $3.05 million in debt remains – restructuring it would entail reducing the township’s payments by extending the debt for another five years, a move that’s expected to save the township $38,000.

Commissioners were told that without the restructuring, the township would potentially not have sufficient funds to make its debt payments.

Rolland Sizemore Jr. pointed out that the board took similar action for Sylvan Township earlier this year. In March 2010, the board approved the sale of $10.4 million in refunding bonds to restructure debt from construction of that township’s water and wastewater systems. From the cover memo of the Sylvan Township resolution:

On July 18, 2001, the Washtenaw County Board of Commissioners approved a Resolution (Resolution #01-0138) to sell $12.5 million in bonds to assist Sylvan Township in the construction of a water and wastewater system. Although the bonds were issued by the County, the Township contractually agreed to be responsible for making the required bond payments. In recent years, the economic difficulties that have beset Michigan have also affected the ability of the Township to generate cash flow for debt service through new connections to the system. However, those same economic conditions have reduced interest rates and provided an opportunity to restructure the original debt to provide cost savings for the Township and additional time for economic recovery.

Sizemore asked McDaniel that the board be given a review of debt incurred by these and other townships, which have used the county’s full faith and credit. Barbara Bergman agreed, wondering how many similar projects there are. It was scary, she said, to think what the county’s responsibility would be if a township defaulted.

At right: David Trent, Salem Township clerk, attended Wednesday's meeting and thanked commissioners for approving a settlement over the police services lawsuit between the county and township. (Photos by the writer.)

Under terms of the settlement, Salem Township will pay the county nearly $48,000 to cover the costs of sheriff deputy patrols provided by the county in 2006. The townships of Salem, Augusta and Ypsilanti sued the county that year, disputing the amount that was charged for police services. The county and the other two townships are awaiting a judgment to resolve the issue – the county is asking for $2.1 million from Ypsilanti Township and nearly $96,000 from Augusta Township.

David Trent, Salem Township clerk, attended Wednesday’s board meeting and spoke during public commentary, thanking the board for the settlement and saying he was coming forward on behalf of the township board in hopes of starting the healing process between the township and the county. Several commissioners thanked township officials for ending the dispute.

In other agenda items, only one person spoke at a public hearing on the county millage rate, which was set later in the meeting. Commissioners also approved $1.35 million in additional funding to complete the expanded jail and new 14A-1 District Court, with some discussion about issues related to parking and a new Washtenaw Avenue entrance.

And although last month commissioner Ronnie Peterson had vowed to bring a resolution to the June 2 meeting that would reestablish a county land bank, on Wednesday he told commissioners he’d been asked by board chair Rolland Sizemore Jr. to defer that action until their July 7 meeting. Saying he was respectful of that request, Peterson added, “On July 7th, I’ll be aggressive.”

The upcoming elections were mentioned, too. Commissioner Barbara Bergman chastised the Washtenaw County Road Commission for charging Scio Township $2,000 to locate a polling station for the August primary and November general election in the road commission’s Zeeb Road facility. Scio officials say they’ll find another venue, calling the road commission’s decision “disappointing at best.”

Police Services Lawsuit: Salem Settles

The resolution unanimously passed by commissioners on Wednesday effectively ends the smallest portion of the police services lawsuit brought by the townships of Ypsilanti, Augusta and Salem. The suit is winding down – earlier this year, the state Supreme Court refused to reconsider a motion made by the townships to hear the case, and sent it back to 38th Circuit Court Chief Judge Joseph Costello to rule on a judgment request. A hearing on the request took place on Wednesday morning in Monroe County Circuit Court.

The court has held that the townships are liable to the county for additional amounts to cover police services that the county provided to them between Jan. 1 and Dec. 5, 2006 – at $24 an hour more than the townships had paid under a previous contract.

At Wednesday’s hearing, Costello told the county that it needs to provide evidence documenting the specific number of hours of police services provided to the three townships during that time period. According to Jill Wheaton – a Dykema attorney who’s working on the case – after the county produces the backup documentation, it will then ask the court to enter a judgment for $24 per hour, plus interest and costs previously awarded by the court to the county. The amount totals $2,103,822 for Ypsilanti Township, which used 44 deputies, and $95,932 for Augusta Township, which used two deputies.

During Wednesday’s hearing, Ypsilanti and Augusta townships asked for a trial on the issue of whether they were liable for additional payments at all, but the court denied that request.

Salem Township has agreed to pay the additional $24 per hour for the police services provided to it during that time period – and Wednesday night’s approval by commissioners of the settlement agreement with Salem Township will allow that township to be dropped from the lawsuit. During the board meeting, commissioner Ken Schwartz – whose district includes Salem Township – clarified that the county would be entering an order to dismiss. Corporation counsel Curtis Hedger said that Costello had been informed of the likely settlement with Salem Township, and that the judge had simply indicated that the proper paperwork would need to be filed. Because the amounts requested by the county are calculated based on the number of hours of deputy patrols provided to each township during the period in dispute, it’s easy to separate out Salem from the other townships, Hedger said.

Rolland Sizemore Jr. asked a point of clarification: If the documentation produced by the county reveals a different number of hours charged to Salem Township, can the settlement be changed? No, Hedger said, they’ll be bound by the settlement agreement. But the county is confident that the numbers are right, he added.

During public commentary, David Trent – Salem Township’s clerk – spoke to the board, saying he thanked the commissioners on behalf of the township board, and was coming forward in the spirit of starting the healing process between the two groups. They looked forward to working with the county board in the future, he said.

Sizemore thanked Schwartz and the Salem Township board for working out the settlement. Conan Smith thanked Trent and other Salem Township officials as well, noting that it’s his home township and it’s been hard to have the division between the county and township. [Smith, who now lives in Ann Arbor, grew up in Salem Township where his mother, state Rep. Alma Wheeler Smith, still lives.] He said he appreciated the township’s generosity in bringing this chapter to a close.

Extra Funding for Jail Expansion, Court

County administrator Verna McDaniel had given a presentation to the board at their May 20, 2010 working session, outlining her plans to request an additional $1.35 million related to the jail expansion and new court facility off of Hogback Road. There were two parts to the request: 1) $495,958 for additional costs related to the original project proposal, and 2) $861,000 in costs considered to be outside the scope of the originally approved project.

At the working session, commissioner Barbara Bergman had objected to a fence that was built around part of the parking lot. She also criticized plans to secure the gate with a lock. She raised those same issues on Wednesday, saying that it creates a privileged group of employees – namely, staff of the court who are provided with more secure parking – and results in a shortage of parking spaces for others, including the public. It’s been a policy of the county not to fence things in, she said – otherwise, where does it stop?

Bergman said she had planned to bring a resolution opposing the fenced-in, locked parking area, but she knew it would be defeated. She also had talked to McDaniel, who Bergman said had promised to take a comprehensive look at the parking situation there.

Wes Prater commended Bergman for raising the issue, and said he agreed that they should revisit the decision to enclose parking for court staff.

Kristin Judge asked about bids for the Washtenaw Avenue entrance to the corrections complex. At the May 20 working session, she had questioned why bids for that piece of the project were more than a year old. On Wednesday, Dave Shirley, the county’s operations and maintenance manager, reported that they now had three estimates on construction, ranging from $215,000 to $250,000. There would be additional costs as well, he said, including engineering, permits, landscaping and signs. And there are unknowns that might be uncovered underground as they start the project, he said. McDaniel requested a total of $600,000 to reconfigure that entrance.

Speaking about the overall funding request, Jeff Irwin said he supported it. What hurt the most was less-than-expected interest earnings, he noted – $218,855 less than originally estimated from the bond that funded the project. They also had hoped to pay for the entrance out of savings gained during the project, he said, but those savings didn’t materialize. Nonetheless, it’s an important entrance and will make the facility more accessible, he said.

Ken Schwartz added that it would be hard to fathom a corrections facility having only one entrance, especially if there were an emergency.

Commissioners unanimously approved the request at both the Ways & Means Committee and regular board meeting. McDaniel has indicated that she’ll likely return with additional funding requests related to the project, to be included in the 2012 and 2013 budgets.

Land Bank: Revived in July?

At the board’s May 19, 2010 meeting, commissioner Ronnie Peterson had promised to bring a resolution to the June 2 meeting that would reinstate the county’s land bank, which commissioners had dissolved in March. On Wednesday, Peterson told commissioners he’d subsequently had a breakfast meeting with the board chair, Rolland Sizemore Jr., who had asked him to wait until July 7 before proposing a land bank resolution.

Peterson said that he’d be respectful of that request, but that on July 7 “I’ll be aggressive.” Jessica Ping, who chairs the board’s working sessions, pointed out that the topic of a land bank was on the agenda for the July 8 working session. Peterson said he didn’t have a problem with that – they can discuss the resolution that they’ll pass on July 7. He said he had delayed it until July 7, but would not push it back until August. [In the summer, the board meets only once a month.]

Sizemore said the land bank is a good idea, but there are still some glitches to work out. He encouraged commissioners to attend a seminar on land banks being held next week in Lansing.

Ping proposed shifting the discussion from the July 8 working session to the July 7 meeting of the Ways & Means Committee, which is held immediately prior to the regular board meeting. That way, they could talk through the issues they needed to discuss, then vote on the resolution that same evening. Conan Smith, who chairs Ways & Means, agreed.

Other Actions: Deputy Administrator, Millage, WCHO

The board approved several other items with during Wednesday’s meeting. Those action include:

• Giving final approval to hire Bill Reynolds as deputy county administrator, effective June 21, 2010. There was no discussion on this item.
• Authorizing the renewal of an agreement with the University of Michigan to continue the Washtenaw Community Health Organization (WCHO).
• Setting the county millage rate at 5.6767 mills. Only one person – Thomas Partridge – spoke during a public hearing on the millage. He said commissioners should have encouraged their constituents to come to the hearing, and that the millage lacked equity, as all flat-rate millages do. It’s time for tax reform, he said. Several commissioners responded to his comments. Kristin Judge pointed out that there was no increase, and Ken Schwartz noted that the county is bound by the state constitution and by voter-approved millages. “We have to live with that,” he said. Wes Prater said that because property values have declined, most taxpayers will see a decrease in their tax bills – and the county will have less tax revenue.

MSU Extension Program: New Leadership

At a March 4, 2010 working session of the county board, Nancy Thelen – the long-time director of the Washtenaw County Michigan State University Extension – briefed commissioners on restructuring of the statewide program. [Chronicle coverage: "MSU Extension Changes in the Works"] One major change affected her directly, as county director positions are being eliminated, to be replaced by district coordinators that have responsibility for several counties. On Wednesday, Thelen was on hand to introduce the man who’ll be the new district coordinator for the area that covers Washtenaw County: Matt Shane.

Shane, currently extension director for Lenawee County, told commissioners that he actually lives in Washtenaw County, in Manchester. He’ll start his new job in July, with responsibilities for six counties: Washtenaw, Livingston, Jackson, Hillsdale, Lenawee and Monroe. During a transition period, Thelen – who has led the MSU Extension in Washtenaw since 1989 – will continue to act as a liaison to the board, he said.

During comments after Shane’s remarks, several commissioners welcomed him and expressed support for the local MSU Extension. Kristin Judge said they were very proud of the work that the extension did, and Mark Ouimet said he’d been impressed by Thelen’s leadership and her ability to do a lot with limited resources.

Ken Schwartz asked Shane whether there would be substantial programming changes, as part of the restructuring. Shane told him there’d be no major shifts.

Jeff Irwin suggested that Shane watch a video of the March 4 working session, to get an idea about some of the concerns that commissioners had regarding the changes. He said it would be good for Shane to return in the fall and give commissioners an update during one of their working sessions.

Wes Prater wrapped things up by telling Shane that “we’re a friendly group – and we like to see results.”

Other Communications

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Scio Township Elections

Commissioner Barbara Bergman highlighted a copy of communications the board had received between the Washtenaw County Road Commission and Scio Township officials. Scio clerk Nancy Hedberg had written to request that the township use space at the road commission’s administration building on Zeeb Road as a polling station for the August primary and November general election. The building is located in Scio Township.

A letter to Hedberg from Steve Puuri, the road commission’s managing director, states that the commission would grant Scio’s request, if the township covers the cost of using the building outside of normal business hours. He estimated the expense would be $2,000.

Responding to his letter, Hedberg wrote that the township had used the road commission’s facilities for several years and was surprised by an “apparent change of heart, whereby one government entity will no longer extend the courtesy of allowing their public building to be used for a civic purpose without charging a cost.” She continued:

A Church can do it; WISD can do it. To function as a polling place, we simply need access to the Lobby and Board Room at 6 a.m. and until polls close when elections inspectors have processed all the data for the day. Frankly, Scio Township continuously lends its meeting rooms for public purposes, including road related purposes, and we even trust the users by giving them a key with the expectation that they will clean up after themselves. And they always do.

Scio Township has never paid for a space to house a polling station and, from a civic point of view, there seem to be plenty of other civic-minded entities that are willing to serve the public that we don’t need to start down that path with the Road Commission, whose attitude is disappointing at best. [.pdf of correspondence]

Bergman said she was on Scio Township’s side, and that elections are civic happenings. The road commission should be ashamed of itself, she said.

Mental Health Awareness

Bergman passed out copies of a DVD produced by the Washtenaw County Community Support & Treatment Services (CSTS), aimed at raising awareness and getting support for young people with mental illness. It’s part of a broader statewide mental illness prevention campaign dubbed MP3 – Michigan Prevents Prodromal Progression. Early intervention has a tremendous effect on people’s lives, said Bergman, who’s also a board member of the Washtenaw Community Health Organization. She also distributed a booklet titled “Recognizing and Helping Young People at Risk for Psychosis: A Professional’s Guide,” as well as bookmarks and posters – Bergman encouraged commissioners to distribute the items throughout their districts.

Transparency, Internet Safety

Commissioner Kristin Judge noted that she and commissioner Wes Prater have been working on a transparency team, and plan to bring a resolution to the board in July. She said she met with the county’s department heads earlier that day to go over what they’d be required to do to make their department’s check registers accessible online. [She has also written about this issue on her blog, "All Politics Is Local."]

Judge also noted that the Internet safety task force she and sheriff Jerry Clayton have organized now has roughly 40 people involved at the local, state and federal levels, and is far exceeding her expectations. The group is planning a formal kick-off in early October, which also marks National Cybersecurity Awareness Month. Judge said she’ll be bringing a resolution about the initiative to the board in the future.

Public Commentary

Thomas Partridge spoke during three of the four opportunities for public commentary, plus the public hearing on the millage. He noted that he is a Democratic candidate in the race for the 18th District state senate seat, and urged commissioners to address the vital needs of the community, including affordable housing, countywide transportation, lifetime education and access to health care. He advocated for better cooperation with neighboring counties. Saying that this year’s elections were vital, Partridge said the state legislature and county commission need forward-looking Democrats in those positions, not “can’t-do Republicans.” He said the state constitution is being interpreted in a right-wing manner, and if it needs to be revised, now’s the time to do it.

Present: Barbara Levin Bergman, Leah Gunn, Kristin Judge, Jeff Irwin, Mark Ouimet, Ronnie Peterson, Jessica Ping, Wes Prater, Ken Schwartz, Rolland Sizemore Jr., Conan Smith (absent during the Ways & Means Committee meeting, but present during the regular board meeting)

Next board meeting: The next regular meeting is Wednesday, July 7, 2010 at 6:30 p.m. at the County Administration Building, 220 N. Main St. The Ways & Means Committee meets first, followed immediately by the regular board meeting. [confirm date] (Though the agenda states that the regular board meeting begins at 6:45 p.m., it usually starts much later – times vary depending on what’s on the agenda.) Public comment sessions are held at the beginning and end of each meeting.

Commissioner Jessica Ping's son, Sullivan, attended Wednesday's board meeting. He did not cast any votes.

Verna McDaniel took office last week as the new Washtenaw County administrator. (Photo by the writer.)

Several other measures were approved with little discussion, including setting the county’s millage rate and making changes to the Natural Areas Preservation Program ordinance. A vote on minor changes to the county’s retiree health care trust agreement led one commissioner to express concern that the program is underfunded – the topic is likely to come up at a working session later in the year.

And though the board dissolved the county land bank earlier this year, commissioner Ronnie Peterson vowed on Wednesday to reestablish the entity, saying it was a critical tool to help stabilize home ownership in eastern Washtenaw, which he represents. “I’m going to get this passed at all costs to me.”

The board met in executive session to be briefed on the status of a years-long lawsuit that the townships of Ypsilanti, Salem and August brought against the county regarding the cost of police services contracts. There was no discussion of the case during the public portion of the meeting.

There was another notable issue that was not discussed during Wednesday’s meeting, though it was addressed during public commentary by county clerk Larry Kestenbaum: The possible renaming of a county building in honor of recently retired county administrator Bob Guenzel.

And during her first meeting as the new county administrator, Verna McDaniel received praise from board chair Rolland Sizemore Jr., who said that though she had big shoes to fill, he knew she’d do an excellent job.

Naming County Buildings

The first speaker during public commentary on Wednesday was Larry Kestenbaum, who is the Washtenaw County clerk, though he did not address the board in that official capacity.

Kestenbaum told the board that he’d heard there might be a resolution brought forward related to naming a county building. He was referring to a proposal to rename the building at 200 N. Main the Robert E. Guenzel Government Center. [See Chronicle coverage: "County Building to Be Named for Guenzel?"]

Kestenbaum said he’d given the issue of naming a lot of thought – suggesting, for example, that the names of Fourth and Fifth avenues be changed, since they were easily confused with Fourth and Fifth streets. He also acknowledged that the names of county buildings – 200 N. Main, the Annex, the county administration building – were generic.

At the same time, he said, there’s an uneasiness for naming a building after a person. There are also other buildings that could be named as well. Kestenbaum suggested a public process that would involve others in evaluating what buildings to name, and who to recognize. He urged commissioners to not make a hasty decision.

During the time for commissioners to respond to public commentary, Kristin Judge said it took a lot of courage for Kestenbaum to come forward with his opinion. She agreed that the board should take more time and develop a policy about naming county buildings, and said that helping the public become involved was a good idea.

Though a resolution to rename the 200 N. Main building after Guenzel had been on the draft agenda and was discussed at the May 12 administrative briefing, it was not on the final agenda for Wednesday’s meeting. No resolution was brought forward from the floor, and there was no further discussion on the issue.

Road Commission Expansion: Public Hearing Set

A resolution to set a public hearing on the possible expansion of the Washtenaw County Road Commission received some discussion at Wednesday’s meeting. At the board’s April 21 meeting, Conan Smith had proposed setting a hearing for May 19, but his motion had been tabled.

On Wednesday, the resolution brought up again, this time to set the hearing for July 7. There are currently three road commissioners, who are appointed by the county board. An expansion would increase that number to five.

Wes Prater began the discussion by saying that the timing wasn’t right. Jeff Irwin responded that the timing was perfect – the board could hear from the public during the summer, but wouldn’t have to vote on the expansion until after the upcoming elections. If they didn’t conduct the hearing now, they wouldn’t be set up to make a decision in the fall, he said.

Kristin Judge weighed in, saying the board needed to do more due diligence on the issue. They need to be able to tell the public details about a proposed expansion, so that the public can then say what they like or don’t like about the proposal. Among those details would be the cost of expanding the commission, she said.

Smith countered that it’s best when public input is given up front, not at the end of a process when decisions have already been made. And there’s nothing stopping the board from holding an additional public hearing later as well, he said. But the process of expansion requires certain mandated steps, with mandated time periods between each step. If they wanted to do it this year, they needed to get started.

Jessica Ping agreed that it was important to get feedback, but also said the board should get its ducks in a row. She asked if corporation counsel had looked at whether the salaries of the three current road commissioners could be redistributed among five commissioners,  and whether road commissioners could be appointed by geographic region – currently, there are no such requirements. Those are some of the issues that need to be resolved before a public hearing, she said.

Barbara Bergman and Mark Ouimet both expressed support for a July 7 public hearing, saying it was simply a way to gather more information.

Judge stated that she’s against backroom politics – she wasn’t arguing in favor of making decisions without public input. However, she noted that at most public hearings, attendance is zero. And by holding a hearing on the Wednesday after the July 4 weekend, attendance will be less than zero, she said, because it’s likely that not all commissioners were be there either. Further, the average person doesn’t know what the road commission does, she said – they need to be given sufficient information before being asked for input. For example, what’s the rationale for increasing the number of road commissioners from three to five?

Leah Gunn observed that the process has to start somewhere – and there’s always a reason not to start. She also said that everyone she knows has an opinion about the road commission, even if they live in a district that doesn’t require road commission services, like Ann Arbor. Bergman agreed, saying she got calls about the road commission frequently.

Gunn also recalled that the first time she’d met Judge was before Judge had been elected – when she’d come to speak to Gunn and the board about the road commission.

Ronnie Peterson said he’d support the public hearing, adding that his vote doesn’t mean he’ll support expanding the road commission. He indicated that he hasn’t decided at this time whether expansion is necessary.

Prater made a case against holding the hearing, saying the board needs to gather more information. He expressed grave concern about the road commission’s revenues. If something isn’t done about declining revenues, he said, “we’re going to watch our roads disintegrate in front of our eyes.” As the road commission finishes up work in Scio Township along the Jackson corridor, paid for primarily by the township’s downtown development authority, then it will focus simply on maintenance and preservation, he said. There won’t be money for capital improvements.

Gunn said that constituents are well aware of the conditions of local roads. Perhaps a public hearing would call attention to the lack of funding, she said, and raise awareness in Lansing. [The road commission is funded in large part by the Michigan Transportation Fund.]

Ken Schwartz asked the county’s corporation counsel, Curtis Hedger, whether there were mandated timelines to follow as they go through the process of possible expansion. Hedger said he’d research that question in further detail, but that they did need at least 28 days from the date that they set the hearing until the date it is held.

Schwartz said his concern was that the process seemed to be top down – that is, he wasn’t hearing his constituents clamoring for an expansion, though he has heard a lot of concerns about road conditions. Smith replied that he hadn’t heard direct requests for expansion, but people did raise issues about the road commission’s transparency and diversity. Those were issues that an expansion could potentially address, he said.

Rolland Sizemore Jr. said he wouldn’t support the motion. He felt as though there were already, in effect, five commissioners – the three appointed by the board, plus the two board commissioners – Prater and Ouimet – who served as liaisons to the road commission.

The motion to set a public hearing on July 7 passed, with dissent from Judge, Ping, Prater and Sizemore.

Millage Rate Set

On Wednesday’s agenda was a resolution to set the county operating millage. From The Chronicle’s report of the May 12 administrative briefing:

At the May 19 meeting of the Ways & Means Committee, on which all commissioners serve, they’ll vote on a resolution to set the 2010 Washtenaw County operating millage. It will be levied in property owners’ July tax bills and is unchanged from last year, at 4.5493 mills. Commissioners will take a final vote on the millage at their June 2 board meeting.

When other millages are factored in, the total county millage is 5.6768 mills. In addition to the operating millage, these other taxes are levied in July:

County Parks (expires 2016):    0.2353
County Parks (expires 2019):    0.2367
Natural Areas (expires 2011):   0.2409
Enhanced Emergency Communications System
  800 MHZ (expires 2015):       0.2000
Huron-Clinton Metro Authority:  0.2146

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Later this year, the board will also be asked to approve a veterans relief millage and Act 88 millage (for economic development purposes), which will both be levied in December.

On Wednesday, commissioner Ken Schwartz reminded residents that commissioners weren’t adding a new millage – it was simply a formality required by law to officially set the rate. [The board doesn't have the authority to increase the millage rate above what's set by state law, but it does have the authority to lower it – an action that locally only the Ann Arbor District Library board has done.] The rate was unanimously passed without further discussion.

The board also set a public hearing on the millage rate for its June 2 meeting. Commissioners will take a final vote on the millage at that meeting.

Land Bank Redux

During the time set aside for items for current or future discussion, Ronnie Peterson told the board that he planned to bring back a resolution to reestablish the county’s land bank, which the board had voted to dissolve in March. From Chronicle coverage of the March 17, 2010 meeting:

Despite an appeal from Ypsilanti mayor Paul Schreiber to keep the county’s land bank, commissioners on Wednesday voted to dissolve the entity, which the board created less than a year ago. That decision led commissioner Ronnie Peterson to make a long, impassioned plea for help to aid communities with high foreclosure rates, especially on the county’s east side. Peterson represents District 6, which covers the city of Ypsilanti and part of Ypsilanti Township.

The land bank was championed by county treasurer Catherine McClary, who chaired the authority’s board. It was designed as a way for the county to take possession of tax-foreclosed properties, rather than auction them off to the highest bidder – often an out-of-state company. The intent was to rehab the properties and resell them to qualified buyers, or demolish the houses and use the land for other purposes.

Citing internal disputes and a lack of sufficient funding, some commissioners said they didn’t believe the land bank was an appropriate mechanism for the county at this time. They had discussed their intent to eliminate the land bank last week at a March 10 administrative briefing. [See Chronicle coverage: "County Board to Vote on Folding Land Bank"]

Peterson plans to bring a resolution on the land bank to the board’s June 2 meeting. He said it was an important tool to stabilize the tax base and home ownership, especially for the eastern part of the county. He hoped that the board could hold some work group meetings on the issue somewhere on that side of the county, and he planned to lobby commissioners hard to support it.

Ken Schwartz told Peterson that before bringing it back to the board, it was important to address some of the issues that had caused the board to dissolve the land bank earlier this year. He did not specify what those issues might be. He pointed out that other districts, including his, could also benefit from a land bank. [Schwartz represents District 2, which covers northeast Washtenaw, including the townships of Superior, Salem and Northfield.

Peterson noted that four commissioners represent the east part of the county, and that he hoped they would help him take responsibility for reestablishing the land bank. [In addition to Peterson and Schwartz, Rolland Sizemore Jr. and Wes Prater have districts covering parts of eastern Washtenaw.] “I’m going to get this passed,” Peterson said. “I’m going to get this passed at all costs to me.”

Other Resolutions Approved

The board passed several other resolutions during Wednesday’s meeting.

Voluntary Employees Beneficiary Association (VEBA)

A resolution to make changes in the board structure of the county’s VEBA trust agreement was approved. The resolution prompted a more general discussion about VEBA, which funds retiree health care. Wes Prater said he had no problem with the changes addressed in the resolution, but he was concerned because VEBA benefits are only 25% funded. It’s an unfunded liability, he said, and if it’s not addressed, some day the county will have a huge payment to make. He described the pension system as “not bad,” but said he was very concerned about VEBA, and called for a future working session on the issue.

County administrator Verna McDaniel said she planned to focus on shoring up VEBA. In response to a question from Barbara Bergman about the impact of recent federal health care reform on retiree medical benefits, McDaniel said she and other staff had recently been briefed on that topic by the county’s benefits consultant. They plan to get additional information to gauge its impact better, she said.

Mark Ouimet said it was important to get the lay of the land on both VEBA and the Washtenaw Employees Retirement System (WERS). The board needed to have a full understanding of where they stood and where they needed to be, as well as how to reach their goals in a safe, fiduciary responsible way.

Natural Areas Preservation Program Ordinance

Without discussion, the board unanimously approved changes to the ordinance governing the county’s Natural Areas Preservation Program (NAPP), which had been discussed in detail at the board’s April 22, 2010 working session. The changes, which would help the county protect more land that’s being used for farming, are being made in preparation for possibly placing a renewal of the NAPP millage on the November 2010 ballot.

Resolutions Related to Finance, Treasurer’s Office

Three items on Wednesday’s agenda were related to financial issues and the treasurer’s office. The board unanimously approved a resolution to create a bond counsel and financial advisor pool. The vendor pools allow county officials to pick from among three firms in each category. For bond counsel, the firms in the vendor pool are Dickinson, Wright; Axe & Ecklund; and Miller, Canfield, Paddock & Stone. The financial advisor pool consists of Public Financial Management; Municipal Financial Consultants, Inc.; and Leonard Capital Markets. Kristin Judge remarked that creating the pools was a good move, but otherwise there was no discussion on the issue.

The board also unanimously approved a resolution creating a part-time position in the treasurer’s office, to be paid for out of the county’s accommodations tax that’s levied on hotel and motel rooms. The position will be focused on collection of that tax.

Also related to the treasurer’s office, Kristin Judge commended county treasurer Catherine McClary for recently receiving the Liberty Bell Award, given each year by the Washtenaw County Bar Association. From a press release announcing the award:

The award recognizes outstanding service performed by a non-lawyer citizen who has given of his or her time and energy to strengthen the effectiveness of the American system of freedom under law.

This year, the award is being presented to Catherine McClary, Washtenaw County Treasurer, in recognition of her history of community service and her passion for making government more open and accessible to the public. McClary was first elected Treasurer in 1996. A County Treasurer is a constitutional officer with the duty to safeguard public funds and manage the County’s investments. By State law, she is mandated to collect delinquent property taxes, including foreclosing on property with unpaid taxes.

McClary provided early leadership to preserve homeownership in Washtenaw County by preventing tax and mortgage foreclosure; her programs are modeled throughout Michigan. McClary credits the success of Washtenaw County’s foreclosure prevention efforts to the “strong partnerships among County, City, University, and private non-profits such as Legal Services of South Central Michigan.”

Jean King, local attorney who supported McClary’s nomination for the Liberty Bell award, said, “Catherine works as hard as she can to reduce foreclosures in this County and to educate other Treasurers throughout our state.”

McClary, who attended Wednesday’s board meeting, received a round of applause from commissioners and staff.

Appointments

Commissioners who attended the May 12 appointments caucus had discussed candidates and arrived at a tentative list. Officially, the board chair makes nominations, which are then confirmed by a vote of the board. At the May 19 board meeting, the nominations had changed slightly from those discussed at caucus. They were approved without further discussion. The names indicated in bold are additions made since the May 12 caucus.

• Accommodations Ordinance Commission: Shary Brown, Shari Faulhaber
• Agricultural Lands Preservation Advisory Committee: Charlie Koenn
• Brownfield Development Authority: Teresa Gillotti, Mark Heusel
• Emergency Medical Services Commission: Ashley Cieslinski, Eric Copeland, William Wagner
• Historic District Commission: Chuck Gray, Jean King, Elmer White, Ron Woods
• Local Emergency Planning Committee: Samantha Brandfon, Ashley Cieslinski, Bryan Schultz
• Natural Areas Technical Advisory Committee: Rane Curl, David Lutton
• Public Works Board: Ruth Ann Jamnick George Schutte
• Workforce Development Board: Sean Duval

Other Public Commentary

Thomas Partridge spoke three out of the four times available for public commentary on Wednesday. He introduced himself as a Democratic candidate for the 18th state senate seat, which covers much of Washtenaw County. [The seat is held by Liz Brater, who is term-limited. Other candidates include current state Reps. Pam Byrnes and Rebekah Warren, who is married to county commissioner Conan Smith.] Partridge called on the board to pursue more collaboration between the county, the city of Ann Arbor and other jurisdictions in the 18th district. He urged the county to support job growth and economic development by building a permanent, prestigious entertainment center, convention center, senior center and center for disabled persons, strategically located within the 18th district. He asked the board to pass a resolution calling on the governor to form a task force with other states that would work toward improving the economy and the advancement of seniors, the disabled and the jobless.

Executive Session: Pending Litigation

At the end of their meeting, commissioners spent roughly an hour in closed executive session to discuss pending litigation. They received an update on the years-long lawsuit between the county and the townships of Augusta, Salem and Ypsilanti related to the cost of police services. The county is awaiting a judgment on its request for the townships to cover the cost of patrols provided by the county for most of 2006 – potentially around $2 million. Commissioners emerged from the executive session and immediately adjourned the meeting without discussing the lawsuit.

Present: Barbara Levin Bergman, Leah Gunn, Kristin Judge, Jeff Irwin, Mark Ouimet, Ronnie Peterson, Jessica Ping, Wes Prater, Ken Schwartz, Rolland Sizemore Jr., Conan Smith

Next board meeting: The next regular meeting is Wednesday, June 2, 2010 at 6:30 p.m. at the County Administration Building, 220 N. Main St. The Ways & Means Committee meets first, followed immediately by the regular board meeting. [confirm date] (Though the agenda states that the regular board meeting begins at 6:45 p.m., it usually starts much later – times vary depending on what’s on the agenda.) Public comment sessions are held at the beginning and end of each meeting.