Oakland County Executive L. Brooks Patterson may lower property taxes for county operations to 4.00 mills in 2020 when it is projected that the Headlee rollback calculation will dip below the county’s current rate of 4.04 mills. This is one of several factors that shaped Patterson’s three-year, balanced budget recommendation with a five-year outlook which he delivered to the Oakland County Board of Commissioners last Thursday.
“If I had to identify the primary factor responsible for our financial management successes, it would be our committed adherence to long range planning and budgeting practices,” Patterson said. “It is forward planning coupled with action that separates Oakland County from other governments around the country, which is why we are recognized by Moody’s Investors Service and Standard & Poor’s as the very best at maintaining fiscal stability.”
One item that continues to create future uncertainty for Oakland County’s budget is indigent defense mandated by the State of Michigan which requires local governments to share the financial burden. On June 12, the Michigan Legislature approved House Bill 5985 which increases the ongoing share cost calculation imposed on local government. The bill mandates that the local share amount for indigent defense will increase every year by the rate of inflation or 3%, whichever is less, and requires local governments to give Michigan 20% of collections from “partially” indigent defendants. Redefining local share is a violation of unfunded mandate limitations in the Headlee Amendment of the Michigan Constitution.
If Oakland County is ultimately required to establish and staff a public defender office, preliminary estimates are that the operating expenses for Oakland County taxpayers could top $20 million a year. In addition, there would be one-time construction and start-up costs for taxpayers that may exceed $30 million.
Patterson’s balanced budget proposes a general salary increase of 2.0% for fiscal 2019 for the county to remain competitive in the labor market. His recommended budget also will continue to invest in government campus infrastructure improvements which include technology enhancements, security upgrades, and building renovations all of which are aimed at furthering efficiency and customer service.
The general fund budgets for fiscal years 2019, 2020 and 2021 are $465,547,120; $466,384,797; and $475,390,212, respectively. The total budgets are $893,309,673; $893,577,615; and $901,486,710, respectively.
To preview Patterson’s budget recommendation, go to OakGov.com, scroll to the bottom of the page to select the “County Budget” button, then click on the “FY2019-FY2021 County Executive Recommended Budget Book” link.
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