The Chippewa County Board of Commissioners met in regular session (immediately following the FY2012 Budget Public Hearing) on Monday, December 12, 2011 at 6:05 p.m. in the Courtroom of the Chippewa County Courthouse.

Present: Commissioners Ted Postula, Don Cooper, Jesse Knoll, George Kinsella, Don McLean, Jim Moore and Chairman Scott Shackleton.

Also Present: Debbie Sirk, Jim and Michelle Traynor, Scott Brand, Evening News, Administrator Jim German, County Treasurer, Marjorie Hank,, Deputy Administrator Kelly Church, John Willis, Bud Willis, Deputy Sheriff Jack Horka, Undersheriff Michael Bitnar, Dave Martin, Assistant Prosecutor Elizabeth Chambers, Derek Myerscough, Jan Sweet and Cathy Maleport, Clerk.

Additions/Deletions to Agenda

It was moved by Commissioner Cooper, supported by Commissioner Moore, to add the GASB 54 Resolution, 11-23 under New Business letter (e). On a voice vote, the motion carried.

It was moved by Commissioner Moore, supported by Commissioner Cooper, to add the Special Board meeting minutes of 12-08-2011 to be included into the Board minutes to be approved as well as eliminate the Department of Human Services appointment as that position was appointed in October. On a voice vote, the motion carried.

It was moved by Commissioner Moore, supported by Commissioner Knoll, to accept the agenda as amended. On a voice vote, the motion carried.

Correspondence received in the Clerk’s Office

It was moved by Commissioner Postula, supported by Commissioner Cooper that they acknowledge the correspondence received in the clerk’s office and if necessary, forward to the appropriate committee. On a voice vote, the motion carried.

Approval of County Board Minutes

It was moved by Commissioner Moore supported by Commissioner McLean, to approve the regular County Board minutes of 11-14-2011; Budget Workshop of 11-21-2011; Budget Workshop of 11-22-2011; and Special Board meeting to finalize the budget of 12-08-2011.

Commissioner Knoll noted that he saw quite a few items that needed to be changed referencing the following:

  • Page 5, the word “Logan” should be slogan; page 10, in the second paragraph, the word “census” should be consensus; page 10, under Purpose the letter (d) between the words implied and warranties should be removed; page 12, Under Fees, number 6, the letter (d) should be added to the word an, as “Any an all” should read “Any and all”; page 13, E7 the word lime should be limit; page 16, in Commissioner Knoll’s statement concerning NACo, the word little should be other; page 22, the name Chuck Leonardt should read Chuck Leonhardt and Brian Bartlet should read, Brian Bartlett; page 23 regarding Mr. Cooper’s suggestions, the word were should read we’re (x2) as well as the word minimum should read minimal; page 25 Brian Bartlet should read Brian Bartlett; page 26 census should read consensus; page 29 census should read consensus.

On a voice vote, the motion carried together with the above referenced corrections.

Public Comments

None

Old Business

A. Chippewa County NACo Membership (National Association of Counties)

It was moved by Commissioner Knoll, supported by Commissioner McLean that this item be taken off the table for consideration as it was tabled at a previous meeting. On a voice vote, the motion carried.

It was moved by Commissioner Knoll, supported by Commissioner McLean, that they pay their membership dues to NACo for the coming New Year 2012. Discussion ensued.

On a voice vote, the motion failed.

Yeas: Commissioner Jesse Knoll, Don McLean, James Moore

Nays: Commissioners Don Cooper, George Kinsella, Scott Shackleton, and Ted Postula

B. District Library Motion and Appointment

Chairman Shackleton explained that the entire Commission had heard at least once Mr. Miller’s presentation regarding the Bayliss Library’s direction that they are trying to take to become a District Library.

It was moved by Commissioner Knoll, supported by Commissioner Kinsella, that they’re in support of the Bayliss Library becoming a District Library and to create a District Library formation committee.

It was moved by Commissioner McLean, supported by Commissioner Kinsella to appoint Commissioner Cooper and Judge Church to serve on the formation committee for the District Library.

On a voice vote, the motion carried.

C. Appointments to various Boards/Agencies/Committees

Chippewa County Building Authority 3 appointments – expires 12-31-2012

Candidates: Margie Hank, Ronald Meister, James Traynor

It was moved by Commissioner Knoll, supported by Commissioner Moore, that the three shall be appointed to filling those positions.

On a voice vote, the motion carried unanimously.

Economic Development Corporation – Chairman’s appointment

Chairman Shackleton thanked Aaron Hopper for his many years of service and appointed Commissioner McLean to take the open appointment to the Economic Development Corporation.

Department of Human Services

It was noted that this appointment was removed from the agenda because it was already addressed at the October 10, 2011 County Board meeting.

Hiawatha Behavioral Health – Chairman’s appointment

Chairman Shackleton reappointed both Commissioner Kinsella and Commissioner Moore to the Hiawatha Behavioral Health Board, and thanked them for their good work.

It was noted by Chairman Shackleton that “We make the appointments to outside boards and agencies, they determine the length of those appointments that need to be filled, not us.”

Discussion ensued.

Eastern Upper Peninsula Transportation Authority – 1 appointment – expires 12-31-2015

Candidates: John Kibble, Jesse Knoll, James Traynor

On a roll call vote: Commissioner Kinsella – John Kibble

Commissioner McLean – Jesse Knoll

Commissioner Cooper – Jesse Knoll

Commissioner Postula – John Kibble

Commissioner Moore – John Kibble

Commissioner Knoll – Jesse Knoll

Chairman Shackleton – John Kibble

John Kibble was appointed to the Eastern Upper Peninsula Transportation Authority for a term to expire 12-31-2015.

War Memorial Hospital – 1 appointment – expires 12-31-2016

Candidates: Jeffrey Holt, Jesse Knoll, W.W. LaJoie, James Traynor

On a roll call vote:

Commissioner Kinsella – W.W. LaJoie

Commissioner McLean – Jesse Knoll

Commissioner Cooper – Jesse Knoll

Commissioner Postula – W.W. LaJoie

Commissioner Moore – W.W. LaJoie Chairman

Shackleton – W.W. LaJoie

Commissioner Knoll – Jesse Knoll

Willard LaJoie was reappointed to the War Memorial Hospital Board for a term to expire 12-31-2016.

Administrator’s Report – For informational purposes only.

Standing Committee Reports:

Personnel – Commissioner Jim Moore – 11-28-2011

Administrator German presented a letter from the Sheriff outlying a Deputy who had resigned after irregularities were found in his application for employment. A new Deputy had been selected to replace the departed employee.

It was moved by Commissioner Moore, supported by Commissioner Postula, to accept Officer Jeff Kietzman as a new Road Patrol Deputy.

On a voice vote, the motion carried.

Review of Short Term Disability

Administrator German noted that a change may be needed in the Short Term Disability policy to allow employees to use sick leave to substitute lost pay due to illness or injury. The cost to the County would be approximately three thousand dollars.

It was moved by Commissioner Moore, supported by Commissioner Postula, to increase the Short Term Disability Policy premium by three thousand dollars to allow employees to use sick leave to make up the difference between the STD payment and their regular check.

On a voice vote, the motion carried.

Administrator Evaluation

The administrator’s evaluation was reviewed.

It was moved by Commissioner Moore, supported by Commissioner Kinsella, to distribute the evaluation to the Full Board and have them returned to Deputy Church or Commissioner Moore by the end of January.

On a voice vote, the motion carried.

911 Personnel Changes

Administrator German and the Committee discussed personnel changes at 911 for the upcoming budget year.

It was moved by Commissioner Moore, supported by Commissioner Knoll, to adjust personnel at 911 for the 2012 budget year for extra revenue, this would include eliminating Senior Dispatcher positions.

On a voice vote, the motion carried.

It was moved by Commissioner Moore, supported by Commissioner Kinsella, that the minutes of the Personnel committee held on November 28, 2011 be accepted as presented.

On a voice vote, the motion carried.

Equalization & Apportionment – Commissioner Kinsella – No meeting

Health & Social Services - Commissioner Postula – No meeting

Building, Grounds & Jail – Commissioner McLean – 11-28-2011 County Building

Jon Zander of Gundlach Champion and the Committee discussed various options for the County Building. Options included everything from minor renovations to a full remodeling project as originally discussed but being scaled back in certain areas. The Committee decided to move ahead with the original plan except for moving Information Systems and the FOC to the current City Police space and the old City Clerks Office.

It was moved by Commissioner McLean, supported by Commissioner Moore, to move ahead with the full project with additional planning to move the Information Systems and FOC to the City Police space and Clerk’s Office. Also to have the bids broke out so that after the second floor was completed the Commission would have a better idea of the entire cost of the project. Bids for the project would take place in February. Discussion ensued.

Commissioner Cooper stated that he reviewed the past three years of the Building and Grounds minutes adding, “We have discussed that no less than 18 times over the last three years.” In summary adding, “This is a huge expense that we don’t need to incur at this point.”

Commissioner Moore stated that he is all in favor of doing the second floor and getting the second floor out of the way, adding “If we do nothing on the bottom floor but paint and wait for the city police to leave, it will cost less than two million dollars. Discussion continued.

Commissioner McLean stated that the original price tag of $3.1 million for renovation has been trimmed. “We’ve got it down to the point where I think it will come in around $2 million.” Furthermore stating, he is looking at a return on the investment that they would recoup the money they spent to do a first class job on that building in ten years. By his calculations, the county will recover the money spent on the project through other savings. He is looking at the renovation as an investment that the county will get a return on.

Chairman Shackleton stated that his position had not changed, “We have new space, we should use it wisely, we should use it to serve the public better, but I don’t think we need to spend $2 million dollars of the taxpayers’ money on it.”

On a voice vote, the motion carried.

Yeas: Commissioners Don McLean, Jim Moore, Jess Knoll, Ted Postula

Nays: Commissioners Don Cooper, Scott Shackleton, George Kinsella

It was moved by Commissioner McLean, supported by Commissioner Knoll that the meeting minutes of the Building Grounds and Jail committee be accepted as presented.

It was moved by Commissioner Knoll, to remove the word “just” before painting, under public comments. The following was also noted, under Courthouse Windows the word “on” between window and concentrate, should be “and”.

On a voice vote, the motion carried.

Computer Committee – Commissioner Knoll- No meeting

Finance, Claims & Accounts – Commissioner Cooper – 12-08-2011

Lease with the City of Sault Ste. Marie Police Department

The Committee reviewed a proposed lease with the City of the Sault for space in the County Building for the police department. Discussion ensued.

It was moved by Commissioner Cooper, supported by Commissioner Moore, to approve the lease with the police department in the amount of $28,584 plus a percentage of utilities for one year (June 18th 2011-June 18th 2012) to occupy space in the county building.

On a voice vote, the motion carried.

Snow Plowing Bids

The Committee received and reviewed bids that were sought for snow plowing and snow removal for the Chippewa County Courthouse parking lot; City/County parking lot and entrance; the Animal Control Shelter and Central Dispatch. The bidding process results were changed from last year to time and material basis; instead of seasonal. Discussion ensued. The Committee asked that the Administrator’s Office contact the two prospective bidders and to get a seasonal rate for clarification. The seasonal rates will be forwarded to the Regular Board meeting on Monday night for the Courthouse parking lot, the City/County parking and the Animal Shelter.

It was moved by Commissioner Cooper, supported by Commissioner Moore, to approve the bid for snow plowing and removal at Central Dispatch from RJK Enterprises; at the bid price of $3,790.

On a voice vote, the motion carried.

It was moved by Commissioner Cooper, supported by Commission Moore, to go with the lowest bids for snow plowing and snow removal which were received from Molitor & Son Excavating as follows:

Animal Shelter Parking Lot                            $1,300
City County Building Parking Lot                  $2,100
Courthouse Parking Lot                                  $3,150

Discussion ensued.

It was suggested that paying per occasion would be more cost effective.

On a voice vote, the motion carried with Chairman Shackleton voting no.

Deferred Comp Plan Sponsor and Updates/Authorization

It was moved by Commissioner Cooper, supported by Commissioner Moore, to approve the Plan Sponsor Authorization Agreement as presented at no cost to the County.

On a voice vote, the motion carried.

The Committee also received an amendment from Security Benefit Retirement regarding Congress and the IRS having issued new regulations that impact the plant, which needs to be approved for the Employees that use Security Benefit Retirement with no cost to the County.

It was moved by Commissioner Cooper, supported by Commissioner Postula, to approve the Amendment from Security Benefits Retirement as presented. On a voice vote, the motion carried.

Pre-disaster Mitigation Grant Service Agreement

911 Director Tim McKee asked the Committee to use Regional Planning for services related to the Pre-Disaster Mitigation Grant and waive the bidding process.

It was moved by Commissioner Cooper, supported by Commissioner Moore, to wave the bidding process for services related to the Pre-Disaster Mitigation Grant and approve the service agreement with Regional Planning.

On a voice vote, the motion carried.

MMRMA Renewal

The MMRMA renewal was presented. It was noted that there was an increase in cost of $5,000 due to the county having full ownership of the County building. It was also noted that Administrator German had also talked to MMRMA about the coverage of the Courthouse which was at 3.5 million dollars. MMEMA increased that coverage to 8.5 million at no additional charge.

It was moved by Commissioner Moore, supported by Commissioner Knoll, to approve the MMRMA contract renewal. Discussion continued.

On a voice vote, the motion carried.

Finance

Claims and Accounts

It was moved by Commissioner Cooper, supported by Commissioner Moore, to recommend the approval of general fund claims totaling $224,268.07; other fund claims of $351,571.08; payroll of $436,371.96; and health department claims of $478,857.95; total claims of $1,511,069.06; and vouchers H-1 through H-252.

On a voice vote, the motion carried.

Budget Adjustments

It was moved by Commissioner Cooper, supported by Commissioner Moore, to accept the budget adjustments as presented. On a voice vote, the motion carried.

Per Chuck Leonhardt, budget adjustments to be attached.

It was moved by Commissioner Cooper, supported by Commissioner Knoll, to accept the Finance Claims and Accounts minutes as presented. On a voice vote, the motion carried

It was noted by Commissioner Kinsella that the minutes reflected him supporting a motion concerning the deferred comp plan, adding that he probably supported it, but he had no vote on that committee, so it had to be someone else that supported it. Chairman Shackleton added that he believed he did make the motion but no-one caught it. Commissioner Kinsella supported it in theory, but it was Commissioner McLean that made that motion.

On a voice vote, the motion carried.

New Business

A. Resolution 11-19 – Resurface Lakeshore Drive

Minutes of a regular meeting of the Chippewa County Board of Commissioners, held at the Chippewa County Courthouse, 319 Court St., Sault Ste. Marie, Michigan on the 12th day of December, 2011 at 6:00 p.m.

PRESENT: Scott Shackleton, Jim Moore, Don Cooper, Ted Postula, Don McLean, Jesse Knoll and George Kinsella

ABSENT: None

The following preamble and resolution was offered by Commissioner Moore and seconded by Commissioner Kinsella. Discussion ensued.

RESOLUTION NO. 11-19

Resolution supporting funding to resurface Lakeshore Drive (FH42) in Bay Mills and Whitefish Townships, Chippewa County Michigan.

Whereas, Lakeshore Drive, also known as Forest Highway 42, in both Bay Mills and Whitefish Townships has deteriorated to the point that it is in need of resurfacing from Salt Point Road proceeding westerly approximately 11 miles to M-123 and,

Whereas, this segment of roadway is vitally important to this county’s tourism, recreation, logging, tribal commercial fishing, and tribal Gaming industries and,

Whereas, this segment of roadway is also vitally important as the only viable detour route for emergency, fire control, residential and commercial traffic between the Sault Ste. Marie area and Whitefish Point area in the event of a closure of M-28 and,

Whereas, this segment of roadway is almost entirely within the boundaries of the Hiawatha National Forest and also serves as the western entrance to the Bay Mills Indian Community and,

Whereas, the Chippewa County Board of Road Commissioners is desirous of completing the necessary improvements and is making application to the Federal Highway Administration, Public Lands Highways Discretionary Grant program for the funding to complete the necessary work and,

Whereas, resurfacing of this segment of roadway would result in improved safety for the motoring public as well as benefiting the local economy and providing improved access to Lake Superior shoreline recreation areas and surrounding federal forest lands so,

Therefore Be It Resolved, that the Chippewa County Board of Commissioners fully supports the application made by the Chippewa County Board of Road Commissioners to the FHWA, Public Lands Discretionary Grants program, and hereby requests and encourages the Federal Highway Administration to look favorably upon said application and provide funding for the necessary work.

A VOTE WAS TAKEN AS FOLLOWS

AYES: Scott Shackleton, Jim Moore, Don Cooper, Ted Postula, Don McLean, Jesse Knoll and George Kinsella

NAYS: None

RESOLUTION DECLARED ADOPTED. ____________________________________________________________ Scott Shackleton, Chairman, Chippewa County Board of Commissioners ____________________________________________________________                                                 Catherine C. Maleport, County Clerk

STATE OF MICHIGAN ) ) ss.

COUNTY OF CHIPPEWA )

I hereby certify that the foregoing is a true and complete copy of the resolution adopted by the County Board of Commissioners of Chippewa County at a regular meeting held on the date first stated above, and I further certify that public notice of such meeting was given as provided by law.

____________________________________________________________                                                 Catherine C. Maleport, County Clerk

THE RESOLUTION WAS DECLARED ADOPTED.

B. Resolution 11-20– 2012 Borrowing Resolution

A Regular meeting of the Board of Commissioners of the County of Chippewa, Michigan (the "County"), was held in Sault Ste. Marie, Michigan, on December 12 , 2011 .

The following Commissioners were PRESENT: Scott Shackleton, Jim Moore, Don Cooper, Ted Postula, Don McLean, Jesse Knoll and George Kinsella

ABSENT: None

The preambles and resolution set forth below were offered by Commissioner Moore and were seconded by Commissioner Postula

2012 BORROWING RESOLUTION

(2011 DELINQUENT TAXES)

WHEREAS, ad valorem real property taxes are imposed by the County and the local taxing units within the County on July 1 and/or December 1 of each year; and

WHEREAS, a certain portion of these taxes remain unpaid and uncollected on March 1 of the year following assessment, at which time they are returned delinquent to the County's treasurer (the "Treasurer"); and

WHEREAS, the Treasurer is bound to collect all delinquent taxes, interest and property tax administration fees which would otherwise be payable to the local taxing units within the County; and

WHEREAS, the statutes of the State of Michigan authorize the County to establish a fund, in whole or in part from borrowed proceeds, to pay local taxing units within the County their respective shares of delinquent ad valorem real property taxes in anticipation of the collection of those taxes by the Treasurer; and

WHEREAS, the County Board of Commissioners (the "Board") has adopted a resolution authorizing the County's Delinquent Tax Revolving Fund (the "Revolving Fund Program"), pursuant to Section 87b of Act No. 206, Michigan Public Acts of 1893, as amended ("Act 206"); and

WHEREAS, such fund has been established to provide a source of monies from which the Treasurer may pay any or all delinquent ad valorem real property taxes which are due the County, and any city, township, school district, intermediate school district, community college district, special assessment district, drainage district, or other political unit within the geographical boundaries of the County participating in the County's Revolving Fund Program pursuant to Act 206 ("local units"); and

WHEREAS, the Treasurer is authorized under Act 206, and has been directed by the Board, to make such payments with respect to delinquent ad valorem real property taxes (including the property tax administration fees assessed under subsection (6) of Section 44 of Act 206) owed in 2011 to the County and the local units (collectively, the "taxing units") which will have remained unpaid on March 1, 2012 and the Treasurer is authorized to pledge these amounts in addition to any amounts not already pledged for repayment of prior series of notes (or after such prior series of notes are retired as a secondary pledge) all as the Treasurer shall specify in an order when the notes authorized hereunder are issued (the "Delinquent Taxes"); and

WHEREAS, the Board has determined that in order to raise sufficient monies to adequately fund the Revolving Fund, the County must issue its General Obligation Limited Tax Notes, Series 2012 in one or more series, in accordance with Sections 87c, 87d, 87g and 89 of Act 206 and on the terms and conditions set forth below.

NOW, THEREFORE, IT IS RESOLVED BY THE BOARD AS FOLLOWS:

I. GENERAL PROVISIONS

101. Establishment of 2012 Revolving Fund.

In order to implement the continuation of the Revolving Fund Program and in accordance with Act 206, the County hereby establishes a 2012 Delinquent Tax Revolving Fund (the "Revolving Fund") as a separate and segregated fund within the existing Delinquent Tax Revolving Fund of the County previously established by the Board pursuant to Section 87b of Act 206.

102. Issuance of Notes.

The County shall issue its General Obligation Limited Tax Notes, Series 2012 in one or more series (the "Notes"), in accordance with this Resolution and Sections 87c, 87d, 87g and 89 of Act 206, payable in whole or in part from the Delinquent Taxes and/or from the other sources specified below.

103. Aggregate Amount of Notes.

(a) The Notes shall be issued in an aggregate amount to be determined in accordance with this Section by the Treasurer. (b) The aggregate amount of the Notes shall not be less than the amount by which the actual or estimated Delinquent Taxes exceeds (i) the County's participating share of Delinquent Taxes, and (ii) any sums otherwise available to fund the Tax Payment Account established under Section 702 (including any monies held in respect of Section 704(c)). (c) The aggregate amount of the Notes shall not be greater than the sum of (i) the actual amount of the Delinquent Taxes pledged to the payment of debt service on the Notes, plus (ii) the amount determined by the Treasurer to be allocated to a reserve fund. Original proceeds of the Notes devoted to a reserve fund shall not exceed the lesser of (A) the amount reasonably required for those of the Notes secured by the reserve fund, (B) 10% of the proceeds of such Notes, (C) the maximum amount of annual debt service on such Notes, or (D) 125% of average annual debt service on such Notes. (d) The aggregate amount of the Notes shall be designated by the Treasurer by written order after (i) the amount of the Delinquent Taxes, or the amount of Delinquent Taxes to be funded by the issuance of the Notes, has been estimated or determined, and (ii) the amount of the reasonably required reserve fund has been calculated. Delinquent Taxes shall be estimated based on delinquencies experienced during the past three fiscal years and on demographic and economic data relevant to the current tax year, and shall be determined based on certification from each of the taxing units. The amount of the reasonably required reserve fund shall be calculated pursuant to such analyses and certificates as the Treasurer may request.

104. Proceeds.

If the Notes are issued and sold before the Treasurer has received certification from the taxing units of the amount of the Delinquent Taxes and if such certification is not reasonably anticipated to occur to allow distribution of the proceeds of the Notes within 20 days after the date of issue, the proceeds of the Notes shall be deposited in the County's 2012 Delinquent Tax Project Account and thereafter used to fund the whole or a part of the County's 2012 Tax Payment Account, 2012 Note Reserve Account and/or 2012 Note Payment Account, subject to and in accordance with Article VII. If the Notes are issued and sold on or after such time, the proceeds of the Notes shall be deposited directly into the County's 2012 Tax Payment Account, 2012 Note Reserve Account and/or 2012 Note Payment Account, as provided in Article VII.

105. Treasurer's Order Authorizing Notes and Establishing Delinquent Taxes.

At or prior to the time any Notes are issued pursuant to this resolution, the Treasurer, as authorized by Act 206, may issue a written order specifying the amount and character of the Delinquent Taxes, the Article or Articles under which the Notes are being issued and any other matters subject to the Treasurers control under either this resolution or Act 206. II.

FIXED MATURITY NOTES

201. Authority.

At the option of the Treasurer, exercisable by written order, the Notes may be issued in accordance with this Article II. All reference to "Notes" in Article II refers only to Notes issued pursuant to Article II, unless otherwise specified.

202. Date.

The Notes shall be dated as of the date of issue or as of such earlier date specified by written order of the Treasurer.

203. Maturity and Amounts.

Notes issued pursuant to this Article II shall be structured in accordance with subsections (a) or (b) below as determined by the Treasurer pursuant to written order. (a) The first maturity of the Notes or of a series of the Notes shall be determined by the Treasurer pursuant to written order, but shall not be later than four years after the date of issue. Later maturities of the Notes shall be on the first anniversary of the preceding maturity or on such earlier date as the Treasurer may specify by written order. The Notes shall be structured with the number of maturities determined by the Treasurer to be necessary or appropriate, and the last maturity shall be scheduled for no later than the sixth anniversary of the date of issue. The amount of each maturity or of any mandatory or optional call date shall be set by the Treasurer when the amount of Delinquent Taxes is determined by the Treasurer or when a reliable estimate of the Delinquent Taxes is available to the Treasurer. In determining the exact amount of each maturity or of any mandatory or optional call date the Treasurer shall consider the schedule of delinquent tax collections prepared for the tax years ending December 31, 2011, or after any other years and the corollary schedule setting forth the anticipated rate of collection of those Delinquent Taxes which are pledged to the repayment of the Notes. The amount of each maturity and the scheduled maturity dates of the Notes shall be established to take into account the dates on which the Treasurer reasonably anticipates the collection of such Delinquent Taxes and shall allow for no more than a 15% variance between the debt service payable on each maturity date, the Notes, and the anticipated amount of pledged monies available on such maturity date to make payment of such debt service. (b) Alternatively, the Notes or a series of the Notes may be structured with a single stated maturity falling not later than the fourth anniversary of the date of issue. Notes issued under this subsection (b) shall be subject to redemption on such terms consistent with the applicable parts of subsection (a) of this section and with Section 209 as shall be ordered by the Treasurer, but in no event shall such Notes be subject to redemption less frequently than annually.

204. Interest Rate and Date of Record.

(a) Except as otherwise provided in this paragraph, Notes issued pursuant to subsection (a) of Section 203 shall bear interest payable semi-annually, with the first interest payment to be payable (i) on the first date, after issuance, corresponding to the day and month on which the maturity of such Notes falls, or (ii) if the Treasurer so orders, six months before such date. In the event (i) any maturity of the Notes arises either less than six months before the succeeding maturity date or less than six months after the preceding maturity date and (ii) the Treasurer so orders in writing, interest on the Notes shall be payable on such succeeding or preceding maturity date. Subject to the following sentence, Notes issued pursuant to subsection (b) of Section 203 shall, pursuant to written order of the Treasurer, bear interest monthly, quarterly, or semiannually, as provided by written order of the Treasurer. If Notes issued under this Article II are sold with a variable rate feature as provided in Article IV, such Notes may, pursuant to written order of the Treasurer, bear interest weekly, monthly, quarterly or on any put date, or any combination of the foregoing, as provided by written order of the Treasurer. (b) Interest shall not exceed the maximum rate permitted by law. (c) Interest shall be mailed by first class mail to the registered owner of each Note as of the applicable date of record, provided, however, that the Treasurer may agree with the Registrar (as defined below) on a different method of payment. (d) Subject to Section 403 in the case of variable rate Notes, the date of record shall be not fewer than 14 nor more than 31 days before the date of payment, as designated by the Treasurer prior to the sale of the Notes.

205. Note Form.

The form of Note shall be consistent with the prescriptions of this Resolution and shall reflect all material terms of the Notes. Unless the Treasurer shall by written order specify the contrary, the Notes shall be issued in fully registered form both as to principal and interest, registrable upon the books of a note registrar (the "Registrar") to be named by the Treasurer. If the Notes are issued in bearer form the Treasurer shall appoint a paying agent (the "Paying Agent"). (The Registrar or Paying Agent so named may be any bank or trust company or other entity, including the County, offering the necessary services pertaining to the registration and transfer of negotiable securities.)

206. Denominations and Numbers.

The Notes shall be issued in one or more denomination or denominations of $1,000 each or any integral multiple of $1,000 in excess of $1,000, as determined by the Treasurer. Notwithstanding the foregoing, however, in the event the Notes are deposited under a book entry depository trust arrangement pursuant to Section 208, the Notes may, if required by the depository trustee, be issued in denominations of $5,000 each or any integral multiple of $5,000. The Notes shall be numbered from one upwards, regardless of maturity, in such order as the Registrar shall determine.

207. Transfer or Exchange of Notes.

(a) Notes issued in registered form shall be transferable on a note register maintained with respect to the Notes upon surrender of the transferred Note, together with an assignment executed by the registered owner or his or her duly authorized attorney-in-fact in form satisfactory to the Registrar. Upon receipt of a properly assigned Note, the Registrar shall authenticate and deliver a new Note or Notes in equal aggregate principal amount and like interest rate and maturity to the designated transferee or transferees. (b) Notes may likewise be exchanged for one or more other Notes with the same interest rate and maturity in authorized denominations aggregating the same principal amount as the Note or Notes being exchanged, upon surrender of the Note or Notes and the submission of written instructions to the Registrar or, in the case of bearer Notes, to the Paying Agent. Upon receipt of a Note with proper written instructions the Registrar or Paying Agent shall authenticate and deliver a new Note or Notes to the owner thereof or to the owner's attorney-in-fact. (c) Any service charge made by the Registrar or Paying Agent for any such registration, transfer or exchange shall be paid for by the County as an expense of borrowing, unless otherwise agreed by the Treasurer and the Registrar or Paying Agent. The Registrar or Paying Agent may, however, require payment by a noteholder of a sum sufficient to cover any tax or other governmental charge payable in connection with any such registration, transfer or exchange.

208. Book Entry Depository Trust.

At the option of the Treasurer, and notwithstanding any contrary provision of Section 212, the Notes may be deposited, in whole or in part, with a depository trustee designated by the Treasurer who shall transfer ownership of interests in the Notes by book entry and who shall issue depository trust receipts or acknowledgments to owners of interests in the Notes. Such book entry depository trust arrangement, and the form of depository trust receipts or acknowledgments, shall be as determined by the Treasurer after consultation with the depository trustee. The Treasurer is authorized to enter into any depository trust agreement on behalf of the County upon such terms and conditions as the Treasurer shall deem appropriate and not otherwise prohibited by the terms of this Resolution. The depository trustee may be the same as the Registrar otherwise named by the Treasurer, and the Notes may be transferred in part by depository trust and in part by transfer of physical certificates as the Treasurer may determine.

209. Redemption.

(a) Subject to the authority granted the Treasurer pursuant to subsection (c) of this Section (in the case of fixed rate Notes) and to the authority granted the Treasurer pursuant to Section 404 (in the case of variable rate Notes), the Notes or any maturity or maturities of the Notes shall be subject to redemption prior to maturity on the terms set forth in subsection (b) below. (b) Notes scheduled to mature after the first date on which any Notes of the series are scheduled to mature shall be subject to redemption, in inverse order of maturity, on each interest payment date arising after the date of issue. (c) If the Treasurer shall determine such action necessary to enhance the marketability of the Notes or to reduce the interest rate to be offered by prospective purchasers on any maturity of the Notes, the Treasurer may, by written order prior to the issuance of such Notes, (i) designate some or all of the Notes as non-callable, regardless of their maturity date, and/or (ii) delay the first date on which the redemption of callable Notes would otherwise be authorized under subsection (b) above. (d) Notes of any maturity subject to redemption may be redeemed before their scheduled maturity date, in whole or in part, on any permitted redemption date or dates, subject to the written order of the Treasurer. Notes called for redemption shall be redeemed at par, plus accrued interest to the redemption date, plus, if the Treasurer so orders, a premium of not more than 1%. Redemption may be made by lot or pro rata, as shall be determined by the Treasurer. (e) With respect to partial redemptions, any portion of a Note outstanding in a denomination larger than the minimum authorized denomination may be redeemed, provided such portion as well as the amount not being redeemed constitute authorized denominations. In the event less than the entire principal amount of a Note is called for redemption, the Registrar or Paying Agent shall, upon surrender of the Note by the owner thereof, authenticate and deliver to the owner a new Note in the principal amount of the principal portion not redeemed. (f) Notice of redemption shall be by first class mail 30 days prior to the date fixed for redemption, or such shorter time prior to the date fixed for redemption as may be consented to by the holders of all outstanding Notes to be called for redemption. Such notice shall fix the date of record with respect to the redemption if different than otherwise provided in this Resolution. Any defect in any notice shall not affect the validity of the redemption proceedings. Notes so called for redemption shall not bear interest after the date fixed for redemption, provided funds are on hand with a paying agent to redeem the same.

210. Discount.

At the option of the Treasurer, the Notes may be offered for sale at a discount not to exceed 2%.

211. Public or Private Sale.

The Treasurer may, at the Treasurer's option, conduct a public sale of the Notes after which sale the Treasurer shall either award the Notes to the lowest bidder or reject all bids. The conditions of sale shall be as specified in a published Notice of Sale prepared by the Treasurer announcing the principal terms of the Notes and the offering. Alternatively, the Treasurer may, at the Treasurer's option, negotiate a private sale of the Notes as provided in Act 206. If required by law, or if otherwise determined by the Treasurer to be in the best interest of the County, (a) the Notes shall be rated by a national rating agency selected by the Treasurer, (b) a good faith deposit shall be required of the winning bidder, and/or (c) CUSIP numbers shall be assigned to the Notes. If a public sale is conducted or if otherwise required by law or the purchaser of the Notes, the Treasurer shall prepare or cause to be prepared and disseminated an offering memorandum or official statement containing all material terms of the offer and sale of the Notes. Pursuant to any sale of the Notes, the County shall make such filings, shall solicit such information and shall obtain such governmental approvals as shall be required pursuant to any state or federal law respecting back-up income tax withholding, securities regulation, original issue discount or other regulated matter.

212. Execution and Delivery.

The Treasurer is authorized and directed to execute the Notes on behalf of the County by manual or facsimile signature, provided that if the facsimile signature is used the Notes shall be authenticated by the Registrar or any tender agent as may be appointed pursuant to Section 801(c). The Notes shall be sealed with the County seal or imprinted with a facsimile of such seal. The Treasurer is authorized and directed to then deliver the Notes to the purchaser thereof upon receipt of the purchase price. The Notes shall be delivered at the expense of the County in such city or cities as may be designated by the Treasurer.

213. Renewal, Refunding or Advance Refunding Notes.

If at any time it appears to be in the best interests of the County, the Treasurer, by written order, may authorize the issuance of renewal, refunding or advance refunding Notes. The terms of such Notes, and the procedures incidental to their issuance, shall be set subject to Section 309 and, in appropriate cases, Article X.

III. SHORT-TERM NOTES

301. Authority.

At the option of the Treasurer, exercisable by written order, Notes may be issued in accordance with this Article III. All references to "Notes" in Article III refer only to Notes issued pursuant to Article III, unless otherwise specified.

302. Date and Maturity.

The Notes shall be dated as of their date of issuance or any prior date selected by the Treasurer and shall mature on such date not exceeding three years from the date of their issuance as may be specified by written order of the Treasurer.

303. Interest and Date of Record.

The Notes shall bear interest payable monthly, quarterly, or semi-annually and at maturity at such rate or rates as may be determined by the Treasurer not exceeding the maximum rate of interest permitted by law on the date the Notes are issued. The date of record shall be not fewer than two nor more than 31 days before the date of payment, as designated by the Treasurer prior to the sale of the Notes.

304. Note Form.

The form of Note shall be consistent with the prescriptions of this Resolution and shall reflect all material terms of the Notes. The Notes shall, in the discretion of the Treasurer and consistent with Section 205, either be payable to bearer or be issued in registered form. If issued in registered form, the Notes may be constituted as book-entry securities consistent with Section 208, notwithstanding any contrary provision of Section 308.

305. Denomination and Numbers.

The Notes shall be issued in one or more denomination or denominations, as determined by the Treasurer. The Notes shall be numbered from one upwards in such order as the Treasurer determines.

306. Redemption.

The authority and obligations of the Treasurer set forth in subsections (b) and (c) of Section 209 (in the case of fixed rate Notes), or Section 404 (in the case of variable rates Notes) , as the case may be, shall apply also to Notes issued under Article III.

307. Sale of Notes.

The authority and obligations of the Treasurer set forth in Sections 210 and 211 respecting Fixed Maturity Notes shall apply also to Notes issued under Article III.

308. Execution and Delivery.

The authority and obligations of the Treasurer set forth in Section 212 respecting Fixed Maturity Notes shall also apply to Notes issued under Article III.

309. Renewal or Refunding Notes.

(a) The Treasurer may by written order authorize the issuance of renewal or refunding Notes (collectively the "Renewal Notes") . Renewal Notes shall be sold on the maturity date of, and the proceeds applied to the payment of debt service on, the Notes to be renewed. The maturities and repayment terms of the Renewal Notes shall be set by written order of the Treasurer. (b) In the order authorizing Renewal Notes, the Treasurer shall specify whether the Notes shall be issued in accordance with this Article III, in which event the provisions of Article III shall govern the issuance of the Notes, or whether the Notes shall be issued in accordance with Article II, in which event the provisions of Article II shall govern the issuance of the Notes. The order shall also provide for and shall also govern with respect to: (i) the aggregate amount of the Renewal Notes; (ii) the date of the Renewal Notes; (iii) the denominations of the Renewal Notes; (iv) the interest payment dates of the Renewal Notes; v) the maturity or maturities of the Renewal Notes; (vi) the terms of sale of the Renewal Notes; (vii) whether any Renewal Notes issued in accordance with Article II shall be subject to redemption and, if so, the terms thereof; and (viii) any other terms of the Renewal Notes consistent with, but not specified in, Article II or Article III. (c) Regardless of whether Renewal Notes need be approved by prior order of the Department of Treasury, the Treasurer, pursuant to Section 89(5)(d) of Act 206, shall promptly report to the Department of Treasury the issuance of any Renewal Notes.

VARIABLE INTEREST RATE

401. Variable Rate Option.

At the option of the Treasurer, exercisable by written order, the Notes, whether issued pursuant to Article II or Article III, may be issued with a variable interest rate, provided that the rate shall not exceed the maximum rate of interest permitted by law.

402. Determination of Rate.

The order of the Treasurer shall provide how often the variable interest rate shall be subject to recalculation, the formula or procedure for determining the variable interest rate, whether and on what terms the rate shall be determined by a remarketing agent in the case of demand obligations consistent with Section 801(d), and whether and on what terms a fixed rate of interest may be converted to or from a variable rate of interest. Such formula or procedure shall be as determined by the Treasurer, but shall track or float within a specified percentage band around the rates generated by any one or more of the following indices: (i) Publicly reported prices or yields of obligations of the United States of America; (ii) An index of municipal obligations periodically reported by a nationally recognized source; (iii) The prime lending rate from time to time set by any bank or trust company in the United States with unimpaired capital and surplus exceeding $40,000,000; (iv) Any other rate or index that may be designated by order of the Treasurer provided such rate or index is set or reported by a source which is independent of and not controlled by the Treasurer or the County. The procedure for determining the variable rate may involve one or more of the above indices as alternatives or may involve the setting of the rate by a municipal bond specialist provided such rate shall be within a stated percentage range of one or more of the indices set forth above.

403. Date of Record.

The Date of Record shall be not fewer than one nor more than 31 days before the date of payment, as designated by written order of the Treasurer.

404. Redemption.

Notwithstanding any contrary provision of subsections (b) and (c) of Section 209, but subject to the last sentence of this Section 404, Notes bearing interest at a variable rate may be subject to redemption by the County and/or put by the holder at any time or times and in any order, as may be determined pursuant to written order of the Treasurer. Notes shall not be subject to redemption more frequently than monthly.

11

405. Remarketing, Repurchase and Resale.

(a) In the event Notes issued under this Article IV are constituted as demand obligations, the interest rate on the Notes shall be governed by, and shall be subject to, remarketing by a remarketing agent appointed in accordance with Section 801(c), under the terms of a put agreement employed in accordance with Section 801(d). (b) The County shall be authorized, consistent with Act 206 and pursuant to order of the Treasurer, to participate in the repurchase and resale of Notes in order to reduce the cost of, or increase the revenue, attendant to the establishment of the Revolving Fund and the issuance and discharge of the Notes. Any purchase of Notes pursuant to this subsection (b) shall be made with unpledged monies drawn from revolving funds established by the County in connection with retired general obligation limited tax notes.

V. MULTIPLE SERIES

501. Issuance of Multiple Series.

At the option of the Treasurer, exercisable by written order, the Notes issued under Article II, Article III or Article X may be issued in two or more individually designated series. Each series shall bear its own rate of interest, which may be fixed or variable in accordance with Article IV. Various series need not be issued at the same time and may be issued from time to time in the discretion of the Treasurer exercisable by written order. In determining the dates of issuance of the respective series, the Treasurer shall consider, among other pertinent factors, the impact the dates selected may have on the marketability, rating and/or qualification for credit support or liquidity support for, or insurance of, the Notes. The Notes of each such series shall be issued according to this Resolution in all respects (and the term "Notes" shall be deemed to include each series of Notes throughout this Resolution), provided that: (a) The aggregate principal amount of the Notes of all series shall not exceed the maximum aggregate amount permitted under Section 103; (b) Each series shall be issued pursuant to Article II or Article III, and different series may be issued pursuant to different Articles; (c) Each series shall be issued pursuant to Section 502 or Section 503, and different series may be issued pursuant to different Sections; (d) A series may be issued under Article II for one or more of the annual maturities set forth in Article II with the 12 balance of the annual maturities being issued under Article II or under Article III in one or more other series, provided that the minimum annual maturities set forth in Section 203 shall be reduced and applied pro rata to all Notes so issued; and (e) The Notes of all series issued pursuant to Article II above shall not, in aggregate, mature in amounts or on dates exceeding the maximum authorized maturities set forth in Section 203.

502. Series Secured Pari Passu.

If the Notes are issued in multiple series pursuant to this Article V, each series of Notes may, by written order of the Treasurer, be secured pari passu with the other by the security described in and the amounts pledged by Article VII below. Moreover, such security may, pursuant to further written order of the Treasurer, be segregated in accordance with the following provisions. (a) The Treasurer may by written order establish separate sub-accounts in the County's 2012 Note Reserve Account for each series of Notes, into which shall be deposited the amount borrowed for the Note Reserve Account for each such series. (b) The Treasurer may by written order establish separate sub-accounts in the County's 2012 Note Payment Account for each series of Notes, and all amounts deposited in the Note Payment Account shall be allocated to the sub-accounts. (c)(i) In the event separate sub-accounts are established pursuant to subsection (b) above, and subject to Paragraph (ii) below, the percentage of deposits to the County's 2012 Note Payment Account allocated to each sub-account may be set equal to the percentage that Notes issued in the corresponding series bears to all Notes issued under this Resolution or to any other percentage designated by the Treasurer pursuant to written order; provided that if the various series are issued at different times or if the various series are structured with different maturity dates, (I) sums deposited in the Note Payment Account prior to the issuance of one or more series may upon the issuance of each such series be reallocated among the various sub-accounts established under Subsection (b) above to achieve a balance among the sub-accounts proportionate to the designated percentage allocation, and/or (II) deposits to the Note Payment Account may be allocated among the sub-accounts according to the total amount of debt service that will actually be paid from the respective sub-accounts. (ii) Alternatively, the Treasurer may, by written order, rank the sub-accounts established under Subsection (b) above in order of priority, and specify that each such sub account shall receive deposits only after all sub-accounts having a higher priority have received deposits sufficient to discharge 13 all (or any specified percentage of) Notes whose series corresponds to any of the sub-accounts having priority. (d) In the absence of a written order of the Treasurer to the contrary, the amounts in each sub-account established pursuant to this Section 502 shall secure only the Notes issued in the series for which such sub-account was established, until such Notes and interest on such Notes are paid in full, after which the amounts in such sub-account may, pursuant to written order of the Treasurer, be added pro rata to the amounts in the other sub-accounts and thereafter used as part of such other sub accounts to secure all Notes and interest on such Notes for which such other sub-accounts were created, until paid in full. Alternatively, amounts held in two or more sub-accounts within either the Note Reserve Account or the Note Payment Account may be commingled, and if commingled shall be held pari passu for the benefit of the holders of each series of Notes pertaining to the relevant sub-accounts.

503. Series Independently Secured.

If the Notes are issued in multiple series pursuant to this Article V, each series of Notes may, by written order of the Treasurer, be independently secured in accordance with this Section 503. (a) Each series of Notes shall pertain to one or more taxing units, as designated by the Treasurer pursuant to written order, and no two series of Notes shall pertain to the same taxing unit. A school district, intermediate school district, or community college district extending beyond the boundaries of a city in which it is located may, pursuant to written order of the Treasurer, be subdivided along the boundaries of one or more cities and each such subdivision shall be deemed a taxing unit for purposes of this Section 503. (b) Separate sub-accounts shall be established in the County's 2012 Tax Payment Account. Each sub-account shall receive the proceeds of one and only one series of Notes, and amounts shall be disbursed from the sub-account to only those taxing units designated as being in that series. (c) In the event Notes are issued for deposit into the Project Account established under Section 701, separate sub accounts shall be established in the Project Account. Each sub account shall receive the proceeds of one and only one series of Notes, and amounts shall be disbursed from the sub-account only to accounts, sub-accounts and/or taxing units designated as being in the series corresponding to the sub-account from which disbursement is being made. (d) A separate sub-account shall be established in the County's 2012 Note Reserve Account for each series of Notes, into which shall be deposited the amount determined by the Treasurer under Section 103 or Section 703 with respect to the series. Each sub-account shall secure one and only one series. 14 (e) A separate sub-account shall be established in the County's 2012 Note Payment Account for each series of Notes. Each sub-account shall be allocated only those amounts described in Section 704 which pertain to the taxing units included in the series corresponding to the sub-account. Chargebacks received from a taxing unit pursuant to Section 905 shall be deposited in the sub-account corresponding to the series in which the taxing unit is included. Amounts held in each sub-account shall secure the debt represented by only those Notes included in the series corresponding to the sub-account, and disbursements from each sub-account may be applied toward the payment of only those Notes included in the series corresponding to the sub-account. (f) The amounts in each sub-account established pursuant to this Section 503 shall secure only the Notes issued in the series for which such sub-account was established until such Notes and interest on such Notes are paid in full, after which any amounts remaining in such sub-account shall accrue to the County and shall no longer be pledged toward payment of the Notes.

VI. TAXABILITY OF INTEREST

601. Federal Tax.

The County acknowledges that the current state of Federal law mandates that the Notes be structured as taxable obligations. Consequently, the Notes shall, subject to Article X, be issued as obligations the interest on which is not excluded from gross income for purposes of Federal income tax.

602. State of Michigan Tax.

Consistent with the treatment accorded all obligations issued pursuant to Act 206, interest on the Notes shall be exempt from the imposition of the State of Michigan income tax and the State of Michigan single business tax, and the Notes shall not be subject to the State of Michigan intangibles tax.

603. Change in Federal Tax Status.

In the event there is a change in the Federal tax law or regulations, a ruling by the U.S. Department of Treasury or Internal Revenue Service establishes that the Notes may be issued as exempt from Federal income taxes or a change in Michigan law causes the Notes in the opinion of counsel to be exempt from federal income taxes, the Notes may be so issued.

VII. FUNDS AND SECURITY

701.Delinquent Tax Project Account.

If the Notes are issued and sold before the Treasurer has received certification from the taxing units of the amount of the Delinquent Taxes and 15 if such certification is not reasonably anticipated in time to allow distribution of the proceeds of the Notes within 20 days after the date of issue, a 2012 Delinquent Tax Project Account (the "Project Account") shall be established by the Treasurer as a separate and distinct fund of the County within its general fund. The Project Account shall receive all proceeds from the sale of the Notes, including any premium or accrued interest received at the time of sale. The Project Account shall be held in trust by an escrow agent until the monies therein are disbursed in accordance with this Article VII. The escrow agent shall be a commercial bank, shall be located in Michigan, shall have authority to exercise trust powers, and shall have a net worth in excess of $25,000,000. The form and content of the agreement between the County and the escrow agent shall be approved by the Treasurer. Subject to the following sentence, monies deposited in the Project Account shall be expended only (i) for the purpose of funding the Tax Payment Account established under Section 702 and (ii) to the extent permitted by Act 206, for the purpose of paying the expenses of the offering of the Notes. In the event the Treasurer by written order so directs, additional funding of the Project Account may be undertaken, and any surplus proceeds remaining in the Project Account after the Treasurer has completed the funding of the Tax Payment Account may be transferred to either the 2012 Note Reserve Account created under Section 703 or the 2012 Note Payment Account created under Section 704. Monies in the Project Account may be disbursed by the escrow agent to the County's 2012 Tax Payment Account at any time and from time to time, upon receipt of a written requisition signed by the Treasurer.

702. 2012 Tax Payment Account.

The County's 2012 Tax Payment Account (the "Tax Payment Account") is hereby established as a distinct account within the Revolving Fund. The Treasurer shall designate all or a portion of the proceeds of the Notes, not to exceed the amount of Delinquent Taxes, for deposit in the Tax Payment Account. If, however, the proceeds of the Notes are initially deposited in the Project Account pursuant to Section 701, the Treasurer is instead authorized and directed to transfer monies included in the Project Account in accordance with the procedures set forth in Section 701. The County shall apply the monies in the Tax Payment Account to the payment of the Delinquent Taxes or expenses of the borrowing in accordance with Act 206. The allocation of monies from the Tax Payment Account may be made pursuant to a single, comprehensive disbursement or may instead be made from time to time, within the time constraints of Act 206, to particular taxing units as monies are paid into the Tax Payment Account, such that the source of the monies (whether from the County's own funds, from the proceeds of a tax exempt borrowing or from the proceeds of a taxable borrowing) may be traced to the particular taxing unit receiving the funds. Moreover, and regardless of whether multiple series of Notes are issued, the Tax Payment Account may be divided into separate sub-accounts in order to allow the Treasurer to 16 designate which taxing units shall receive borrowed funds and which shall receive funds otherwise contributed by the County.

703. 2012 Note Reserve Account.

In the event funding is provided as described in this Section 703, the Treasurer shall establish a 2012 Note Reserve Account (the "Note Reserve Account") as a distinct account within the Revolving Fund. After depositing all of the monies to fund the Tax Payment Account pursuant to Section 702, the Treasurer shall next transfer to the Note Reserve Account, either from the Project Account or directly from the proceeds of Notes, any proceeds remaining from the initial issuance of the Notes. In addition, the Treasurer may transfer unpledged monies from other County sources to the Note Reserve Account in an amount which, when added to any other amounts to be deposited in the Note Reserve Account, does not exceed the amount reasonably required for the Notes secured by the Reserve Account or, if less, 20% of the total amount of the Notes secured by the Reserve Account. Except as provided below, all monies in the Note Reserve Account shall be used solely for payment of principal of, premium, if any, and interest on the Notes to the extent that monies required for such payment are not available in the County's 2012 Note Payment Account. Monies in the Note Reserve Account shall be withdrawn first for payment of principal of, premium, if any, and interest on the Notes before County general funds are used to make the payments. All income or interest earned by, or increment to, the Note Reserve Account due to its investment or reinvestment shall be deposited in the Note Reserve Account. When the Note Reserve Account is sufficient to retire the Notes and accrued interest thereon, the Treasurer may order that the Note Reserve Account be used to purchase the Notes on the market, or, if the Notes are not available, to retire the Notes when due. If so ordered by the Treasurer, all or any specified portion of the Note Reserve Account may be applied toward the redemption of any Notes designated for redemption in accordance with Section 209.

704. 2012 Note Payment Account.

(a) The County's 2012 Note Payment Account is hereby established as a distinct account within the Revolving Fund. (The County's 2012 Note Payment Account, as supplemented by monies held in any interim account that are designated for transfer to the 2012 Note Payment Account, is herein referred to as the "Note Payment Account".) The Treasurer is directed to deposit into the Note Payment Account, promptly on receipt, those amounts described below in Paragraphs (i) , (ii), (iv), and (v) that are not excluded pursuant to Subsection (c) below. Furthermore, the Treasurer may, by written order, deposit into the Note Payment Account all or any portion of the amounts described below in Paragraph (iii). (i) All Delinquent Taxes. 17 (ii) All statutory interest on the Delinquent Taxes. (iii) All property tax administration fees on the Delinquent Taxes, net of any amounts applied toward the expenses of this borrowing. (iv) Any amounts which are received by the Treasurer from the taxing units within the County because of the uncollectability of the Delinquent Taxes. (v) Any amounts remaining in the Project Account after the transfers to the Tax Payment Account and Note Reserve Account have been made as specified in Sections 702 and 703. (b) Monies in the Note Payment Account shall be used by the County to pay principal of, premium, if any, and interest on the Notes as the same become due and payable. (c) (i) The Treasurer may by written order provide that only a portion of the sums described above in Subsection (a) shall be deposited into the Note Payment Account and applied toward the payment of debt service on the Notes, in which event those sums which are withheld from the Note Payment Account shall be deposited into the Tax Payment Account or, pursuant to further order of the Treasurer, applied toward any other purpose consistent with Act 206. The portion of any sums described in Subsection (a) which are withheld from the Note Payment Account pursuant to this Subsection shall be determined in accordance with the following Paragraph. (ii) Prior to the issuance of the Notes, the Treasurer may by written order specify a cut-off date not earlier than March 1, 2012, and only those sums payable to the Note Payment Account and received by the County after the cut-off date shall be applied to the Note Payment Account. (d) The Treasurer may by written order provide that at such time as sufficient funds shall have been deposited into the Note Payment Account to pay all remaining amounts owed under the Notes the pledge on any additional monies otherwise payable to the Note Payment Account shall be discharged and such monies shall not be deposited into the Note Payment Account or otherwise pledged toward payment of the Notes. (e) The Treasurer may by written order provide that in the event Notes are issued pursuant to Article III, amounts which would otherwise be included in the Note Payment Account or the Note Reserve Account (or any sub-account therein for a particular series of Notes) shall not include any amounts received by the County prior to the latest maturity date of any series of Notes previously issued under Article II and/or Article III. 18

705. Limited Tax General Obligation and Pledge.

(a) The Notes shall be the general obligation of the County, backed by the County's full faith and credit, the County's tax obligation (within applicable constitutional and statutory limits) and the County's general funds. The County budget shall provide that if the pledged monies are not collected in sufficient amounts to meet the payments of the principal and interest due on the Notes, the County, before paying any other budgeted amounts, shall promptly advance from its general funds sufficient monies to pay such principal and interest. (b) In addition, the monies listed below are pledged to the repayment of the Notes and, subject to Section 901, shall be used solely for repayment of the Notes until the principal of, premium, if any, and interest on the Notes are paid in full: (i) All amounts deposited or earned in any Project Account, until disbursed in accordance with Section 701; (ii) All net proceeds from the sale of the Notes deposited or earned in the Tax Payment Account, until disbursed in accordance with Section 702; (iii) All amounts deposited in the Note Payment Account pursuant to Section 704(a); (iv) All amounts deposited in the Note Reserve Account; (v) All amounts earned from the investment of monies held in the Note Payment Account or the Note Reserve Account; and (vi) Any monies placed in the Note Payment Account and drawn in the discretion of the Treasurer from unpledged sums on the revolving funds, which pledge shall be subject to such limitations or exceptions as shall be set forth in the written order of the Treasurer. (c) If the Notes shall be issued in various series pursuant to Article V, this pledge shall in the case of any independently secured series extend only to monies in accounts or sub-accounts pertaining to the particular series. (d) If the amounts so pledged are not sufficient to pay the principal and interest when due, the County shall pay the same from its general funds or other available sources. Pursuant to written order of the Treasurer, the County may later reimburse itself for such payments from the Delinquent Taxes collected.

706. Security for Renewal, Refunding or Advance Refunding Notes.

Renewal, refunding, or advance refunding Notes shall be secured by all or any portion of the same security securing the 19 Notes being renewed, refunded or advance refunded. The monies pledged in Section 705 for the repayment of the Notes are also pledged for the repayment of the principal of, premium, if any, and interest on any renewal, refunding, or advance refunding Notes issued pursuant to this Resolution, and any such renewal, refunding, or advance refunding Notes shall be the general obligation of the County, backed by its full faith and credit, which shall include the tax obligation of the County, within applicable constitutional and statutory limits.

707. Use of Funds after Full Payment or Provisions for Payment.

After all principal of, premium, if any, and interest on the Notes have been paid in full or provision made therefor by investments of pledged amounts in direct noncallable obligations of the United States of America in amounts and with maturities sufficient to pay all such principal, premium, if any, and interest when due, any further collection of Delinquent Taxes and all excess monies in any fund or account of the Revolving Fund, and any interest or income on any such amounts, may, pursuant to written order of the Treasurer and subject to Article V, be used for any proper purpose within the Revolving Fund including the securing of subsequent issues of notes.

VIII. SUPPLEMENTAL AGREEMENTS

801. Supplemental Agreements and Documents.

The Treasurer, on behalf of the County, is authorized to enter into any or all of the following agreements or commitments as may, in the Treasurer's discretion, be necessary, desirable or beneficial in connection with the issuance of the Notes, upon such terms and conditions as the Treasurer may determine appropriate: (a) A letter of credit, line of credit, repurchase agreement, note insurance, or similar instrument, providing backup liquidity and/or credit support for the Notes; (b) A reimbursement agreement, revolving credit agreement, revolving credit note, or similar instrument, setting forth repayments of and security for amounts drawn under the letter of credit, line of credit, repurchase agreement or similar instrument; (c) A marketing, remarketing, placement, authenticating, paying or tender agent agreement or dealer agreement designating a marketing, remarketing, authenticating, paying, tender or placement agent or dealer and prescribing the duties of such person or persons with respect to the Notes; and (d) A put agreement or provision allowing the purchaser of the Notes to require the County to repurchase the Notes upon demand at such times as may be provided in such put agreement or provision. 20 (e) An agreement to use amounts formerly pledged to other years borrowings as security for the Notes when no longer so pledged.

802. Revolving Credit Notes.

If the Treasurer enters into a revolving credit agreement (the "Agreement") pursuant to Section 801 above, the Agreement may call for the issuance of one or more revolving credit notes (the "Revolving Credit Notes") for the purpose of renewing all or part of maturing Notes or Notes that have been put pursuant to a put agreement or provision. Such Revolving Credit Notes shall be issued pursuant to Article II or III, as appropriate, and in accordance with the following provisions: (a) Interest on the Revolving Credit Notes may be payable on maturity, on prior redemption, monthly, bimonthly, quarterly, or as otherwise provided in the Agreement. (b) The Revolving Credit Notes may mature on one or more date or dates not later than the final maturity date of the Notes, as provided in the Agreement. (c) The Treasurer may, at the time of the original issuance of the Notes, execute and deliver one Revolving Credit Note in a maximum principal amount not exceeding the lending commitment under the Agreement from time to time in force (and may substitute one such Note in a lesser principal amount for another in the event the lending commitment is reduced), provided that a schedule shall be attached to such Note on which loans and repayments of principal and interest are evidenced and further provided that the making of a loan and the evidencing of such loan on the schedule of any such Note shall constitute the issuance of a renewal Note for the purposes of this Resolution.

IX. MISCELLANEOUS PROVISIONS

901. Expenses.

Expenses incurred in connection with the Notes shall be paid from the property tax administration fees collected on the Delinquent Taxes and, if so ordered by the Treasurer, from any earnings on the proceeds of the offering or from other monies available to the County.

902. Bond Counsel.

The Notes (and any renewal, refunding or advance refunding Notes) shall be delivered with the unqualified opinion of Axe & Ecklund, P.C., attorneys of Grosse Pointe Farms, Michigan, bond counsel chosen by the Treasurer, which selection may, at the option of the Treasurer, be for one or more years. 21

903. Financial Consultants.

Municipal Financial Consultants Incorporated, Grosse Pointe Farms, Michigan, is hereby retained to act as financial consultant and advisor to the County in connection with the sale and delivery of the Notes.

904. Complete Records.

The Treasurer shall keep full and complete records of all deposits to and withdrawals from each of the funds and accounts in the Revolving Fund and any account or sub-account created pursuant to this Resolution and of all other transactions relating to such funds, accounts and sub-accounts, including investments of money in, and gain derived from, such funds and accounts.

905. Chargebacks.

If, by the date which is three months prior to the final maturity date of the Notes, sufficient monies are not on deposit in the Note Payment Account and the Note Reserve Account to pay all principal of and interest on the Notes when due, Delinquent Taxes not then paid or recovered at or prior to the latest tax sale transacted two or more months before the final maturity of the Notes shall, if necessary to ensure full and timely payment on the date of final maturity, be charged back to the local units in such fashion as the Treasurer may determine, and, subject to Article V, the proceeds of such chargebacks shall be deposited into the County's 2012 Note Payment Account no later than five weeks prior to the final maturity of the Notes. This Section 905 shall not be construed to limit the authority of the Treasurer under State law to charge back under other circumstances or at other times.

906. Investments.

The Treasurer is authorized to invest all monies in the Project Account, in the Revolving Fund or in any account or sub-account therein which is established pursuant to this Resolution in any one or more of the investments authorized as lawful investments for counties under Act No. 20, Public Acts of 1943, as amended. The Treasurer is further authorized to enter into a contract on behalf of the County under the Surplus Funds Investment Pool Act, Act No. 367, Michigan Public Acts of 1982, as amended, and to invest in any investment pool created thereby monies held in the Project Account, in the Revolving Fund, or in any account or sub-account therein which is established pursuant to this Resolution.

907. Mutilated, Lost, Stolen or Destroyed Notes.

In the event any Note is mutilated, lost, stolen, or destroyed, the Treasurer may, on behalf of the County, execute and deliver, or order the Registrar or Paying Agent to authenticate and deliver, a new Note having a number not then outstanding, of like date, maturity and denomination as that mutilated, lost, stolen, or destroyed. In the case of a mutilated Note, a replacement Note shall not be delivered unless and until such mutilated Note is surrendered to the Treasurer or the Registrar or Paying Agent. In the case of a lost, stolen or destroyed Note, a replacement Note shall not be delivered unless and until the Treasurer and the Registrar or Paying Agent shall have received such proof of 22 ownership and loss and indemnity as they determine to be sufficient.

ARTICLE X.

TAX-EXEMPT NOTES OR REFUNDING

1001.Refunding of Taxable Debt or Issuance of Tax-Exempt Debt.

The County acknowledges that the current state of Federal law precludes the issuance of the Notes as obligations the interest on which is exempt from Federal income tax. However, the County presently contemplates that anticipated amendments to the Internal Revenue Code of 1986 (the "Code") and/or the Treasury Regulations issued thereunder (the "Regulations") or a change in Michigan law changing the character of the Notes may in the future permit the issuance of general obligation limited tax notes on a tax-exempt basis, and, in view of this expectation, the County, through the offices of the Treasurer, shall issue tax-exempt notes or issue obligations to refund any or all outstanding Notes issued as taxable obligations, at the time, on the terms, and to the extent set forth in this Article X.

1002. Timing of Refunding.

The aforementioned refunding obligations (the "Refunding Notes") shall be issued after the effective date of any change in the Code, Regulations, Internal Revenue Service pronouncements or judicial rulings which, as confirmed by the written opinion of bond counsel, permit the refunding of all or some of the outstanding Notes with proceeds from obligations the interest on which is excluded from gross income for purposes of Federal income tax.

1003. Extent of Refunding.

Subject to the other provisions of this Section 1003, the Refunding Notes shall refund all Notes outstanding at or after the effective date of any change in the law described in Section 1002. This Section 1003 shall not, however, be construed to require the refunding of any Note prior to the time such Note may be refunded on a tax-exempt basis, nor shall this Section 1003 be construed to require the refunding of any Note, if that refunding would result in greater cost to the County (including interest expense, professional fees and administrative outlays) than would arise if the Note were to remain outstanding.

1004. Confirmatory Action.

Subsequent to any change in the law described in Section 1002, the Board shall convene to consider any terms of the Refunding Notes requiring specific ratification by the Board.

1005. Arbitrage Covenant and Tax Law Compliance.

In the event tax-exempt Notes or Refunding Notes are issued pursuant to this Article X, the following covenants shall be observed by the County: 23 (i) the County will make no use of the proceeds of the Notes or Refunding Notes and will undertake no other intentional act with respect to the Notes or Refunding Notes which, if such use or act had been reasonably expected on the date of issuance of the Notes or Refunding Notes or if such use or act were intentionally made or undertaken after the date of issuance of the Notes or Refunding Notes, would cause the Notes or Refunding Notes to be "arbitrage bonds," as defined in Section 148 of the Internal Revenue Code of 1986, as amended (the "Code"), in the Regulations promulgated under Sections 103 and 148 of the Code or in any successor or supplementary provision of law hereinafter promulgated, (ii) the County will undertake all actions as shall be necessary to maintain the Notes or Refunding Notes as obligations the interest on which qualifies for the tax exemption provided by Section 103(a) of the Code, including, where appropriate and without limitation, filing informational returns with the Secretary of Treasury, keeping accurate account of all monies earned in any fund, account or sub-account authorized by this Resolution or any resolution adopted in accordance with Section 1004 above, certifying cumulative cash flow deficits of the County and the local units, and investing any required portion of the gross proceeds of the Notes or Refunding Notes, whether on behalf of the County or the local units, in tax-exempt obligations or State and Local Government Series obligations, and (iii) the County will make timely payment to the United States of any investment earnings, realized by the County on the gross proceeds of the Notes or Refunding Notes, as may be subject to rebate under Section 148(f) of the Code, and, to the extent required under applicable law or deemed by the Treasurer to be in the best interest of the County pursuant to written order, the County's obligation to make such payment to the United States shall also account for excess investment earnings realized by local units on all or a portion of the gross proceeds distributed to, and held by, the local units pursuant to Section 702. (iv) the Treasurer shall be directed to take such actions and to enter into such agreements and certifications, on behalf of the County, as the Treasurer shall deem necessary or appropriate to comply with the foregoing covenants.

1006. Undertaking to Provide Continuing Disclosure.

If necessary, this Board of Commissioners, for and on behalf of the County of Chippewa, hereby covenants and agrees, for the benefit of the beneficial owners of the Notes to be issued by the County, to enter into a written undertaking (the "Undertaking") required by Rule 15c2-12 promulgated by the Securities and Exchange Commission pursuant to the Securities and Exchange Act of 1934 (the "Rule") to provide continuing disclosure of certain financial information and operating data and timely notices of the occurrence of certain events in accordance with the Rule. 24 The Undertaking shall be substantially in the form as approved by the Underwriter of the Notes. The Undertaking shall be enforceable by the beneficial owners of Notes or by the Underwriter on behalf of such beneficial owners (provided that the Underwriter's right to enforce the provisions of the Undertaking shall be limited to a right to obtain specific enforcement of the County's obligations hereunder and under the Undertaking) , and any failure by the County to comply with the provisions of the Undertaking shall not be deemed a default with respect to the Notes. The County Treasurer or other officer of the County charged with the responsibility for issuing the Notes shall provide a Continuing Disclosure Certificate for inclusion in the transcript of proceedings, setting forth the terms of the County's Undertaking. elk.gr-chi2012.doc 25 After consideration of the borrowing resolution presented earlier this day with regard to Act 206 of the Public Acts of 1893, as amended ("Act 206"), and in respect of such borrowing resolution, the resolution set forth below was offered by Commissioner Moore and seconded by Commissioner Postula

RESOLUTION AUTHORIZING 2012 ADMINISTRATIVE FUND

IT IS RESOLVED BY THE CHIPPEWA COUNTY BOARD OF COMMISSIONERS AS FOLLOWS:

The County Treasurer, pursuant to Section 87c, Subsection (2), of Act 206, is designated as Agent for the County, and the County Treasurer and the Treasurer's office shall receive such sums as are provided in Section 87c, Subsection (3), for the services as Agent for the County and to cover administrative expenses.

Discussion followed.

A vote was thereupon taken on the foregoing resolution and the vote for each such resolution was as follows:

AYES: Scott Shackleton, Jim Moore, Jesse Knoll, Ted Postula, Don McLean and George Kinsella

NAYS: Don Cooper

A sufficient majority having voted therefor, the two resolutions appearing above were adopted.

STATE OF MICHIGAN

COUNTY OF CHIPPEWA

I certify that the foregoing is a true and accurate copy of the resolutions adopted by the Chippewa County Board of Commissioners, that such resolutions were duly adopted at a Regular meeting held on the 12th day of December, 2011, and that notice of such meeting was given-as required by law.

Catherine C. Maleport

Chippewa County Clerk

C. Resolution 11-21 Opting out of the Requirements of PA 152 of 2011

Minutes of a regular meeting of the Chippewa County Board of Commissioners, held at the Chippewa County Courthouse, 319 Court St., Sault Ste. Marie, Michigan on the 12th day of December, 2011 at 6:00 p.m.

PRESENT: Scott Shackleton, Jim Moore, Don Cooper, Ted Postula, Don McLean, Jesse Knoll and George Kinsella

ABSENT: None

The following preamble and resolution was offered by Commissioner Moore and seconded by Commissioner Cooper. Discussion ensued.

RESOLUTION NO. 11-21

Resolution Opting Out of the Requirements of PA 152 of 2011

Whereas, bargaining is strictly the responsibility of the county commission on behalf of the good citizens it serves; and

Whereas, PA 152 of 2011 erodes the responsibilities of duly elected local county commissioners and the trust held between those commissioners and their constituents; and

Whereas, PA 152 of 2011 constitutes an attempt by the legislature to dictate the terms on which counties bargain with their employees; and

Whereas, PA 152 of 2011 is a new foray by the state into dictating the terms of healthcare at the local level; and

NOW THEREFORE BE IT RESOLVED, that pursuant to the provisions of PA 152 of 2011, Section 8(1), Chippewa County exercises its right to opt out of the requirements of the Act for the plan year beginning January 1, 2012 by two-thirds majority vote of this Board in support of this resolution.

A VOTE WAS TAKEN AS FOLLOWS

AYES: Scott Shackleton, Jim Moore, Don Cooper, Ted Postula, Don McLean, Jesse Knoll and George Kinsella

NAYS: None

RESOLUTION DECLARED ADOPTED. ____________________________________________________________ Scott Shackleton, Chairman, Chippewa County Board of Commissioners ____________________________________________________________ Catherine C. Maleport, County Clerk

STATE OF MICHIGAN ) )

ss.

COUNTY OF CHIPPEWA )

I hereby certify that the foregoing is a true and complete copy of the resolution adopted by the County Board of Commissioners of Chippewa County at a regular meeting held on the date first stated above, and I further certify that public notice of such meeting was given as provided by law.

____________________________________________________________ Catherine C. Maleport, County Clerk

D. Resolution 11-22 FY 2012 Budget Resolution and General Appropriations Act

Minutes of a regular meeting of the Chippewa County Board of Commissioners, held at the Chippewa County Courthouse, 319 Court St., Sault Ste. Marie, Michigan, on the 12th day of December, 2011, at 6:00 pm.

PRESENT: Scott Shackleton, Jim Moore, Don Cooper, Ted Postula, Don McLean, Jesse Knoll and George Kinsella

ABSENT: None

The following preamble and resolution were offered by Commissioner Moore and supported by Commissioner Kinsella.

RESOLUTION NO. 11-22

FISCAL YEAR 2012 BUDGET RESOLUTION

AND GENERAL APPROPRIATIONS ACT

WHEREAS, the Chippewa County Board of Commissioners (“Board”) has examined the fiscal requests for 2012 of the various departments, agencies, courts, offices, and activities (“Activity Centers”) that it must legally finance or assist in financing; and

WHEREAS, the Board has taken into consideration the fact that there are required functions of county government or operations which must be budgeted at a serviceable level in order to provide statutory and constitutionally required services and programs; and

WHEREAS, the County Administrator, on behalf of the Board, has interviewed officials responsible for providing such mandated services to determined serviceable levels and the funds to sustain such levels; and

WHEREAS, the Board has determined the amount of money to be raised by taxation necessary for expenditures and liabilities for the 2012 fiscal year and has ordered that money to be raised by taxation within statutory and constitutional limitations; and

WHEREAS, the Uniform Budgeting and Accounting Act (Act 2, P.A. 1968, as amended, being MCL 141.421 through MCL 141.440a) requires that the Board enact a general appropriations act designed to meet county-funded expenditures.

NOW, THEREFORE, BE IT RESOLVED as follows:

1. That the 2012 Chippewa County Budget for the General Fund which is incorporated by reference herein, is hereby adopted on a basis consistent with the Chippewa County Annual Budget Development Policy, subject to all County policies regarding the expenditure of funds as well as the conditions set forth in this resolution.

2. That the County Treasurer is hereby directed to collect millage for the County’s operations as follows:

a. Allocated Operating Millage 6.1500 mills
b. Voted Operating Millage for Roads 0.9879 mills
c. Voted Operating Millage for Fire and Ambulance 0.4275 mills
d. Voted Operating Millage for Recycling 0.5000 mills
e. Voted Operating Millage for Jail Renovation and Maintenance 0.6000 mills
f. Voted Operating Millage for Senior Meal 0.4994 mills

3. That this budget reflects a reasonable allocation of available resources to the various County departments, boards, and agencies, and allows for all mandated services, programs, and activities, including the courts and the constitutional and statutory offices, to be performed at reasonable, necessary, and serviceable levels or at even more than adequate levels of performance.

4. That the amounts indicated in the following “Budgetary Detail” are hereby appropriated from the General Fund and other funds of Chippewa County according to the Activity Centers (Departments) contained in that detail which is incorporated herein by reference, and that such appropriations shall be restricted to the functioning of those Activity Centers (Departments) and by the provisions of this Act.

GENERAL FUND    
     
ACTIVITY CENTER REVENUE EXPENDITURE
GENERAL FUND REVENUE 11,950,614 ---
101 - COMMISSIONERS --- 133,883
131 - 50TH CIRCUIT COURT --- 401,515
132 - 50TH CIRCUIT COURT JUVENILE COURT --- 306,071
136 - DISTRICT COURT --- 659,905
141 - FRIEND OF THE COURT --- 366,504
147 - JURY BOARD --- 5,580
148 - PROBATE COURT --- 497,364
149 - BAILIFF --- 40,600
167 - PUBLIC DEFENDER --- 250,654
172 - COUNTY CONTROLLER --- 296,185
174 - INFORMATION SYSTEMS --- 309,114
191 - ELECTIONS --- 31,908
215 - COUNTY CLERK --- 299,140
225 - EQUALIZATION --- 208,510
229 - PROSECUTING ATTORNEY --- 589,890
230 - SUPPORT COORDINATOR --- 58,884
231 - CRIME VICTIM ADVOCATE --- 70,841
236 - REGISTER OF DEEDS --- 282,639
245 - REMONUMENTATION GRANT --- 108,000
253 - TREASURER --- 294,480
257 - MSU EXTENSION --- 106,716
265 - BUILDING AND GROUNDS --- 307,981
275 - DRAIN COMMISSIONER --- 1,125
280 - SOIL CONSERVATION DISTRICT --- 26,000
284 - COUNTY SURVEYOR --- 31,280
285 - PLAT BOOK --- 0
301 - SHERIFF DEPARTMENT --- 1,149,615
306 - CONCEALED WEAPONS BOARD --- 16,000
310 - S.A.N.E. --- 5,000
331 - MARINE --- 40,000
340 - S.A.N.E. GRANT --- 69,599
342 - SNOWMOBILE PATROL GRANT --- 39,500
343 - O.R.V. ENFORCEMENT GRANT --- 33,210
344 - A.T.V. EDUCATION GRANT --- 0
351 - CORRECTIONAL FACILITY --- 2,325,790
360 - ANIMAL CONTROL --- 180,389
400 - REGIONAL PLANNING COMMISSION --- 25,400
605 - CONTAGIOUS DISEASES --- 0
610 - HEALTH BOARD --- 0
611 - BUILDING AUTHORITY - HEALTH DEPARTMENT --- 0
631 - SUBSTANCE ABUSE --- 113,837
648 - MEDICAL EXAMINER --- 60,000
649 - HEALTH DEPARTMENT CIGARETTE TAX --- 0
681 - VETERAN'S AFFAIRS --- 82,050
748 - SENIOR CITIZENS NUTRITION PROGRAM --- 0
806 - U.P.T.R.A. --- 0
861 - RETIREES HOSPITALIZATION --- 384,000
865 - INSURANCE --- 210,000
869 - TERMINATION PAY --- 0
874 - PLAT BOARD --- 0
877 - RURAL BUS PROGRAM --- 30,000
878 - LEGAL SERVICES --- 15,000
879 - AUDIT --- 27,775
880 - CAPITAL OUTLAY --- 0
881 - TELEPHONE --- 7,000
882 - RECORD COPIER --- 7,500
883 - POSTAGE METER --- 2,600
884 - OTHER MISCELLANEOUS --- 0
885 - COMPUTER --- 116,960
886 - COST ALLOCATION PLAN --- 4,000
887 - OFFICE FURNITURE / EQUIPMENT --- 0
889 - RURAL ADDRESSING --- 0
890 - CONTINGENCIES --- 0
893 - CHIPPEWA COUNTY FAIR BOARD --- 0
966 - HEALTH DEPARTMENT FUND --- 150,000
969 - ECONOMIC DEVELOPMENT CORPORATION --- 50,000
970 - MENTAL HEALTH - CLINIC --- 171,334
972 - P.I.L.T. FUNDS - TOWNSHIPS --- 30,000
973 - CHILD CARE - PROBATE --- 466,944
974 - SOCIAL SERVICES FUND --- 20,110
975 - SOCIAL SERVICES - CHILD CARE --- 10,000
976 - LAW LIBRARY FUND --- 0
980 - ROAD PATROL --- 88,845
981 - VEHICLES --- 53,000
982 - CONSTRUCTION CODE FUND --- 82,370
983 - COMMUNITY CORRECTIONS --- 3,500
989 - COURTHOUSE ANNEX RENOVATION --- 0
990 - E -911 - FUND 212 TRANSFER --- 0
992 - HAZARDOUS WASTE FACILITY --- 0
993 - SAULT DRAIN DISTRICT --- 0
997 - HEALTH INSURANCE FUND (GASB) --- 150,000
998 - Snowmobile Trail Marker TRANSFER   0
TOTAL REVENUE AND EXPENDITURES 11,950,614 11,906,095
Beginning Year Delinquent Tax Fund 11,689,298 0
Ending Year Delinquent Tax Fund 0 11,689,298
Beginning Year Fund Balance 3,729,214 0
Ending Year Fund Balance 0 3,773,733
TOTAL BUDGET 27,369,126  

 

SPECIAL REVENUE FUNDS        
      PROJECTED PROJECTED
      BEG. YEAR END. YEAR
FUND   ACTIVITY FUND BAL. FUND BAL.
145 - 50TH CIRCUIT COURT PROBATION AND PAROLE REV. 10,000 0  
EXP. 10,000   0
147 - CONSTRUCTION CODE REVOLVING ACCOUNT REV. 162,370 0  
EXP. 162,370   0
152 - HUD MSC 02-731-HO GRANT REV. 75,000 10,207  
EXP. 75,000   10,207

154 - VICTIM'S COMPENSATION FUND

REV. 0 1,964  
EXP. 0   1,964
155 - CHIPPEWA COUNTY D.A.R.E. FUND REV. 0 25  
EXP. 0   25
166 - FAMILY COUNSELING SERVICES REV. 3,000 420  
EXP. 3,000   420
201 - COUNTY ROAD REV. 9,600,000 0  
EXP. 9,600,000   0
209 - OPERATION STONEGARDEN REV. 213,646 0  
EXP. 213,646   0
210 - COUNTY AMBULANCE ACCOUNT REV. 448,412 0  
EXP. 448,412   0
211 - OFFICE OF EMERGENCY SERVICES REV. 149,745 0  
EXP. 148,629   1,116
212 - ENHANCED 911 EMERGENCY TELEPHONE SYSTEM REV. 824,265 0  
EXP. 823,925   340
213 - BENCH WARRANT FUND REV. 0 7,096  
EXP. 0   7,096
214 - SAULT DRAIN PROJECT REV. 0 0  
EXP. 0   0
215 - F.O.C. RELATED CHILD SUPPORT COLLECTIONS REV. 13,490 48,118  
EXP. 13,490   48,118
216 - COMMUNITY SERVICE FUND REV. 32,948 7,095  
EXP. 29,500   10,543
221 - COUNTY HEALTH DEPARTMENT REV. 6,773,800 0  
EXP. 6,773,800   0
225 - CORRECTIONAL FACILITY MAINTENANCE FUND REV. 633,964 551,401  
EXP. 632,725   552,640
229 - SUPERIOR TWP 2000 IMPROVEMENTS MAINT REV. 12,655 3,077  
EXP. 0   15,732
230 - CHIPPEWA COUNTY RECYCLING REV. 524,432 343,611  
EXP. 642,785   225,258
232 - OFFICE OF COMMUNITY CORRECTIONS REV. 145,500 109,029  
EXP. 161,288   93,241
235 - COMMUNITY ACTION SENIOR MEALS REV. 506,000 260,403  
EXP. 766,403   0
255 - HOMESTEAD PROPERTY TAX EXEMPTION REV. 1,500 0  
EXP. 0   1,500
256 - REGISTER OF DEEDS AUTOMATION FUND REV. 40,000 14,197  
EXP. 54,100   97
258 - DRUG FORFEITURE FUND REV. 0 19,015  
EXP. 9,200   9,815
259 - CCSD SALVAGE VEHICLE REV. 3,500 8,472  
EXP. 2,500   9,472
262 - ROAD PATROL CONTRACT REV. 152,385 20,480  
EXP. 152,385   20,480
263 - SHERIFF LAW ENFORCEMENT CONS. FUND TRAINING REV. 3,000 5,538  
EXP. 3,000   5,538
264 - LOCAL CORRECTIONS OFFICER'S TRAINING REV. 13,000 13,803  
EXP. 13,000   13,803
266 - SHERIFF REVOLVING FUND - PARK PATROL REV. 4,200 13,843  
EXP. 4,200   13,843
267 - ROAD PATROL OVERTIME FUNDING REV. 80,000 44,699  
EXP. 68,500   56,199
268 - SHERIFF SPECIAL PROJECTS FUND REV. 1,000 16,385  
EXP. 1,000   16,385
269 - LAW LIBRARY REV. 3,500 6,247  
EXP. 3,000   6,747
270 - SNOWMOBILE TRAIL MARKER FUND REV. 500 6  
EXP. 500   6
271 - COUNTY LIBRARY BOARD REV. 0 0  
EXP. 0   0
272 - MARINE LIVERY INSPECTION FUND REV. 400 151  
EXP. 400   151
277 - HIGHWAY SAFETY FUND REV. 16,000 0  
EXP. 16,000   0
278 - YOUTH ALCOHOL FUND REV. 7,400 0  
EXP. 7,400   0
285 - ANIMAL SHELTER DONATIONS REV. 10,000 36,349  
EXP. 10,000   36,349
286 - YOUTH SUBSTANCE ABUSE ASSISTANCE GRANT REV. 0 1,234  
EXP. 0   1,234
287 - FIA APPROPRIATION REV. 20,110 1,158  
EXP. 20,110   1,158
291 - CHILD CARE FUND - SOCIAL SERVICES REV. 72,608 80,081  
EXP. 72,608   80,081
292 - CHILD CARE FUND - PROBATE REV. 488,944 0  
EXP. 488,944   0
294 - VETERAN'S TRUST REV. 10,140 1,057  
EXP. 10,140   1,057
295 - STATE MANDATE RESERVE FUND REV. 4,000 513,900  
EXP. 333,701   184,199
296 - HEALTH INSURANCE SET ASIDE FUND (GASB45) REV. 150,000 712,562  
EXP. 0   862,562
         

 

DEBT SERVICES FUND        
  REVENUE EXPENDITURE BEGINNING ENDING
363 - 2000 SUPERIOR TOWNSHIP RESERVE FUND 0 0 34,600 34,600
364 - 2000 SUPERIOR TOWNSHIP IMPROVEMENTS DEBT FUND 33,699 33,699 0 0
368 - AVERY SQUARE DEBT 163,500 165,750 214,616 212,366
373 - NEW JAIL EXPANSION DEBT 217,400 217,400 0 0
374 - 2010 BOND REFINANCING 531,075 531,075 0 0
375 - CITY OF SSM 2010 WATER/SEWER 675,638 675,638 0 0
376 - CITY OF SSM 2011 REFUNDING 611,250 611,250 0 0
470 - FRIENDS OF THE COURTHOUSE 0 0 1,779 1,779
471 - COURTHOUSE ANNEX RENOVATION FUND 0 0 957 957
472 - ROSS-HOKOLA DRAINAGE DISTRICT 0 0 7,503 7,503
473 - CHIPPEWA COUNTY BUILDING FUND 0 1,897,000 1,897,000 0

5. That the County Clerk is authorized to certify the following claims within such budgeted allocations and to process a warrant for payment and upon receipt of such warrant the County Treasurer is is authorized to pay the claims within such budgeted allocations:

ALLOCATION FREQUENCY DATE
General Payroll Bi-weekly  
Employee Fringe Benefits As due  
Insurances and Bonds As due  
Loan/Bond Payments As due  
Utilities As due  
District Health Monthly 1st of Month
Jail Medical Retainer Monthly 15th of Month
Medical Examiner Monthly 15th of Month
Copier Leases Monthly 1st of Month
Community Mental Health Quarterly January, April, July, October
Child Care Quarterly January, April, July, October
Law Library Quarterly January, April, July, October
Cigarette Tax Annually Following Receipt
Social Services Annually October
Soil Conservation Annually April

 

6. That funds be allocated as may be appropriated by budget action of the Board of Commissioners for the Public Improvements and Capital Fund for capital equipment and projects, and to include the amounts due for the payment of purchase agreements and bond payments as scheduled.

7. That funds be allocated as may be appropriated by budget action of the Board of Commissioners. The funds may be transferred by the County Treasurer and/or the County Administrator's Office in accordance with such budgets.

8. That the following regulations shall apply to these appropriations and Activity Centers (Departments). All Departments, budget administrators, and other agencies and organizations receiving County funds shall be deemed to have agreed to these restrictions and obligations by accepting funds pursuant to this Act or otherwise incurring expenditures in expectation of County funding.

a. All terms in the Act shall have the meaning assigned to them in the Uniform Budget and Accounting Act. The term “Activity Center” includes all courts receiving funds through this Act.

b. All Activity Centers (Departments) receiving funds herein shall abide by the Uniform Budget and Accounting Act, and that any modification, addition or deletion of such amounts hereby adopted shall be done in accordance with the policies and procedures established by the Board of Commissioners. Each administrative officer in charge of an Activity Center shall promptly provide the County Administrator with all information which the Administrator considers necessary and essential to the preparation of a County budget for the ensuing fiscal period.

c. All purchases and travel shall be in accordance with the Chippewa County Purchasing, Contracts and Sales Policy (Policy No. 320) and Travel and Business Expenses Policy (Policy No. 410).

d. The amounts appropriated herein shall be paid from the County Treasury at the time and in the manner provided by law and other applicable policies or resolutions of the Board, whether enacted to date or subsequently adopted.

e. Expenditures and revenues shall be recorded and reported in the manner provided by law. Fees and other money received by Activity Centers (Departments) shall be forwarded promptly to the County Treasurer and credited to the appropriate County fund, except as otherwise provided by this Act or by any other act of the Board.

f. Except as otherwise provided by law, each Activity Center (Department) shall limit expenditures within the appropriations authorized herein and shall not attempt to expend funds at a rate which will eventually result in a deficit in any Activity Center without the approval of the Board. Further, all expenditures of County funds and other funds under the control of any Activity Center, except as otherwise provided by law, shall be expended only for purposes attached to the line-items and within the various policies of the Board of Commissioners, including, but not limited to purchasing policy, applicable collective bargaining agreements and applicable personnel policies. The County of Chippewa shall only be responsible for the payment of purchases made as provided by law and/or policy.

g. In the event that State of Michigan fails to provide certain revenue transfer payments as required by state law and/or contractual agreements between the State and Chippewa County, the specific programs funded by such state revenue transfer payment shall bear the full impact of such revenue reduction. In the event the State defaults or otherwise fails to provide general, unrestricted revenue transfer payments, the Board, upon the recommendation of the Finance, Claims and Accounts Committee, shall allocate said revenue reduction in its legislative judgment.

THE CHIPPEWA COUNTY BOARD OF COMMISSIONERS CANNOT, AND WILL NOT, ABSORB THE PROGRAM COSTS CREATED BY REVENUE TRANSFER PAYMENT DEFAULTS BY THE STATE OF MICHIGAN.

h. If an Activity Center (Department) desires an additional appropriation, it shall forward a detailed request to the County Administrator's Office describing the proposed budgetary amendment or transfer and the reasons for the action. The matter will then be presented to the Board of Commissioners through its Finance, Claims and Accounts Committee. No funds may be transferred between Activity Centers (Departments) without prior Board approval.

i. Except as otherwise provided by law, the number of positions noted for certain Activity Centers (Departments) in the approved Employee Roster included with the budget shall be the maximum staffing level authorized to be drawn from such line-item. No Activity Center shall maintain more employees on the payroll than the maximum specified for the appropriate account. In addition, the job position titles, pay classifications, and full-time equated designations for each position are deemed to be the correct classifications, and any modification of employment classifications shall be done in conformance with established Board policy. Further, if an Activity Center employs at any time, fewer employees than the maximum specified for the appropriate line item in this Act, unexpended appropriation in the amount identified with the unfilled position(s) by payroll records shall immediately and automatically revert to the General Fund Contingency Activity Center (Department No. 890).

j. It is understood that revenues and expenditures may vary from those that are currently contemplated and may be changed from time to time by the Board of Commissioners during the 2012 fiscal year, as deemed necessary. Consequently, there may be a need to increase or decrease various portions of the budget and/or impose a hiring freeze and/or impose layoffs due to unforeseen financial changes; therefore, the Board of Commissioners reserves the right to change the approved Employee Roster and/or impose a hiring freeze at any time. The County Elected Officials and County Department Heads shall abide by whatever changes are made by the Board of Commissioners, if any, relative to the approved positions and the number of employees stated in the Employee Roster.

k. Positions on the Employee Roster that are supported by a grant, cost sharing, reimbursement, or other source of outside funding, are only approved contingent upon the County receiving the budgeted revenues. Upon notification that budgeted funding of a position will not be received, the Elected Official or Department Head shall immediately notify the County Controller and Finance, Claims and Accounts Committee, and that position shall be immediately removed from the Employee Roster if funding is exhausted.

l. The County Administrator's Office and\or County Treasurer shall be authorized to make year-end transfers of up to $100,000 between Departments or Funds or with such amounts that may be available in the General Fund, as may be necessary to insure that departments do not end the 2012 fiscal year in a deficit condition.

m. This Act shall become effective January 1, 2012, and may be amended by the Board at any time. Any appropriations made hereunder may be increased or decreased in the discretion of the Board.

n. This Act and attachments as incorporated by reference herein and all amendments hereto shall constitute the 2012 General Appropriations Act for Chippewa County for all purposes under the law; and approved at the highest level possible.

A VOTE WAS TAKEN AS FOLLOWS

AYES: Scott Shackleton, Jim Moore, Ted Postula and George Kinsella

NAYS: Don Cooper Don McLean and Jesse Knoll

RESOLUTION DECLARED ADOPTED.

Scott Shackleton, Chairman, County Board of Commissioners

Catherine C. Maleport, County Clerk

STATE OF MICHIGAN ) )

ss

COUNTY OF CHIPPEWA )

I hereby certify that the foregoing is a true and complete copy of the resolution adopted by the County Board of Commissioners of Chippewa County at a regular meeting held on the date first stated above, and I further certify that public notice of such meeting was given as provided by law.

Catherine C. Maleport, County Clerk

E. GASBE Resolution

Minutes of a regular meeting of the Chippewa County Board of Commissioners, held at the Chippewa County Courthouse, 319 Court St., Sault Ste. Marie, Michigan on the 12th day of December, 2011 at 6:00 p.m.

PRESENT: Scott Shackleton, Jim Moore, Don Cooper, Ted Postula, Don McLean, Jesse Knoll and George Kinsella

ABSENT: None The following preamble and resolution was offered by Commissioner Cooper and seconded by Commissioner McLean.

RESOLUTION NO. 11-23

Resolution Establishing Fund Balances Policies as Required by GASB 54

Chippewa County, State of Michigan

Whereas, the Governmental Accounting Standards Board (“GASB”) has adopted Statement 54 (“GASB”), a new standard for governmental fund balance reporting and governmental fund type definitions, and

Whereas, Chippewa County wishes to comply with GASB 54 as required beginning with the year ended December 31, 2011.

Therefore Be It Resolved, that Chippewa County hereby adopts the following policy:

FUND BALANCE POLICIES

Fund balance measures the net financial resources available to finance expenditures of future periods. Fund balance is the difference between assets and liabilities reported in a governmental fund. The County’s Unassigned General Fund Balance will be maintained to provide the County with sufficient working capital and a margin of safety to address local and regional emergencies without unnecessary borrowing. The Unassigned General Fund Balance may only be appropriated by Resolution of the Board of Commissioners. It is recognized that it will not always be possible to avoid borrowing to provide cash flow.

Fund Balance of the County may be committed for a specific source by formal action of the Board of Commissioners. Amendments or modifications to the Committed Fund Balance must also be approved by formal action of the Board. Committed Fund Balance does not lapse at year end.

Fund Balance of the County may be assigned for a specific purpose by the Finance Committee. Assigned Fund Balance does not lapse at year end.

Restricted Fund Balance are those amounts that can only be spent for the specific purposes stipulated by external resource providers.

Nonspendable Fund Balance includes amounts that are not in a spendable form. Examples include inventory.

For purposes of fund balance classification, expenditures are to be spent from Restricted Fund balance first (when appropriate), followed in order by Assigned Fund Balance, Committed Fund balance and lastly, Unassigned Fund Balance.

An annual reporting of fund balance as classified in accordance with GASB 54 shall be as reported in the annual Audited Financial Statements of Chippewa County.

A VOTE WAS TAKEN AS FOLLOWS

AYES: Scott Shackleton, Jim Moore, Don Cooper, Ted Postula, Don McLean, Jesse Knoll and George Kinsella

NAYS: None

RESOLUTION DECLARED ADOPTED. ____________________________________________________________ Scott Shackleton, Chairman, Chippewa County Board of Commissioners

____________________________________________________________ Catherine C. Maleport, County Clerk

STATE OF MICHIGAN ) )

ss.

COUNTY OF CHIPPEWA )

I hereby certify that the foregoing is a true and complete copy of the resolution adopted by the County Board of Commissioners of Chippewa County at a regular meeting held on the date first stated above, and I further certify that public notice of such meeting was given as provided by law.

____________________________________________________________ Catherine C. Maleport, County Clerk

Commissioners Comments

Chairman Shackleton stated that this is likely the last meeting for the year and wished the Commissioners, their families and everyone in Chippewa County a Merry Christmas.

Commissioner Moore questioned if they were going to set a meeting, to set the meeting dates for next year.

Chairman Shackleton stated that they will have a meeting on January 2, 2012 at noon; “At that meeting we will elect vice chair and set our meeting dates for 2012.” Adding, those will be our two items of business.

Commissioner Cooper thanked all the department heads with a special thank-you to Kelly Church and Chuck Leonhardt for all the extra work they did during the whole budget process. Furthermore stating, they did a wonderful job and he appreciated it.

It was also noted of a possible Special meeting towards the end of the month if a contract is approved and needs to be voted on.

It was moved by Commissioner Moore, supported by Commissioner Postula to adjourn.

On a voice vote, the motion carried and the Board did adjourn at 7:35 p.m.

Respectfully submitted,

Cathy C. Maleport, Clerk

Scott Shackleton, Chairman