"Missing Revenue" in the PROPOSED 2014-15 Township Budget

Hi All,
Please read this article by Lisa Brody,  from Downtown Publications  concerning the Special Study Session that was held at 8 AM  on February 24, 2014..... concerning 4 expired millages. 

THEN....... from me....
"Missing Revenue"  in the PROPOSED 2014-15 budget... Because 4 millages EXPIRED in Dec. 2013
Here are some other facts not mentioned in this article...and some of my opinions....  on the proposed 4 millages.... THAT EXPIRED in DEC. 2013..... and I guess the township is ASSUMING in the proposed budget for 2014-15  ....that ALL the money will be there in Dec. 2014.  I'm not so sure.  I'm voting NO in August 2014.... for many reasons.   November elections is the time to put these millages on the ballot.

1.  The township is proposing a "balanced budget" for 2014-15 beginning April 1, 2014... except... the township is  WITHOUT the revenue stated for the FOUR  expired millages at this time.  How can they propose/approve a budget that does not have the revenue stated?  How can they do that?  Savoie said that if the millages failed in Aug. 2014, the township has enough money in reserves to meet the proposed budget.   How much money does the township have in reserves?  Perhaps it's time to use some.

2.  The township has over the years... not spent all the safety path millage money collected....even though the budget suggests that it was spent. Instead, the township has banked $2.6 MILLION dollars in a special safety path fund.  Had the township used the money when collected, perhaps the safety path master plan would be already finished.  I think we should vote NO on a safety path millage.... let the trustees spend the existing $2.6 DEDICATED  MONEY  for the remaining safety path construction and maintenance.

3.  IF the township decides to plow the safety paths in the winter... the cost will be substantial... over $200,000 at least and much higher if another winter like this year.  ALSO, the liability to the township is much greater...as it was stated that if the township does not plow... then the township does not have certain liabilities.  Insurance costs will definitely increase.  How well could safety paths be kept clean of snow and ice?  Think especially at the driveways and those paths close enough to the road to get road snow thrown over the paths?   The talk was that the township would bid this job to a private contractor.  Can't imagine the risk and cost.
This is another reason to VOTE NO on a safety path ballot issue.  The trustees don't seem to know how they want to spend the money.  They are not sure of the liability and costs.  They need to hold Town Hall type public meetings  BEFORE  assuming anything and asking for money.

 4.  The talk of including ROAD REPAIR into the safety path millage is ridiculous, in my opinion.  We currently have a  just under $4 MILLION dollar road department budget per year. You have been paying a special road millage for the past decades ...collecting recently over $2.3 Million of your tax dollars annually and the Trustees have been taking almost another $1 million out of the general fund for the road department... and Oakland County gives the township $600,000 of YOUR gas taxes that would have been used by them for our township roads.  Bloomfield Township is the only township in Michigan that has its own Road Department and agreement with the county.  So after decades of this expensive road department... how are the township roads?   It was said at the Special meeting that the road department spent $400,000 on road repair this past year.  WHAT?  That's it?  Out of a $4 Million budget?  see the township budget.      The suggestion was that the proposed Safety Path/ROAD millage would be able to give $500,000 each year to the road department. WHY?  Would this millage also give the $2.6 million  BANKED reserves of the safety path past millages for road repair?    The township is currently making major efforts to get every subdivision to repave all their roads.  Some costs are as high as $17,000 per household.  Not everyone is happy about this. Why give the Township more money for roads?  How many different ways will the township try to get YOUR money for roads?  ANY SAFETY PATH millage that also has the word ROADS  in the heading or anywhere in the ballot should be voted NO.  Don't mix the two different "wants"... my opinion.  This millage is not needed.

5.  The senior services millage was first approved in August 2004 for 10 years.  The MAJOR PROBLEM was that the township NEVER officially notified the public that it was on the ballot.  That 2004 ballot issue was to give a PRIVATE organization the millage money to do senior services.  The money went to the Greater Bloomfield Seniors operating out of the Bloomfield Hills Schools.  Two Township trustees sat on that organization's board to recommend the ballot language  and then sat on the township board to approve the ballot language. Such a conflict of interest!
Talk about a STEALTH ballot issue.  I didn't know that a municipality could ask for millage money from the taxpayers for a PRIVATE organization.  But Bloomfield Township did just that.   Then Senior Services expanded from there.  The organization eventually became a department of the township.... costs went from a self sustaining $300,000/ year group.... to, at one time,  an almost $2 MILLION dollar/ year budget.  Add in the bond costs for a completely new building and we are talking major taxpayer money. 
I DID NOT HEAR SAVOIE SAY IF THE MILLAGE FAILS THAT THE SENIOR CENTER WOULD SHUT DOWN.  But that does sound like scare tactics.  I could go on and on about how the township could reduce the budget...in other ways. Senior Services has other funding beside millage dollars.    Meals on Wheels/ has outside funding.  We pay a SMART millage for transportation .  We have grants for home improvements. Friendship Club charges a daily fee.  Does it cover the costs for service?    More.... other ways seniors get funding.....paying for the trips and classes offered.  Plus, we have terrific volunteers...   Check out the budget.... how much is collected in taxes and how much goes to wages/health benefits/pensions.

6.The Public Safety millages... more seemingly scare tactics.  The statement in this article that quoted that the money would NOT be used for vehicles... can not be true, unless that is written in the ballot language.   Did you know that the trustees just voted to BUY a ladder fire  truck for over $600,000.... and there is NO MONEY in the budget approved for that purchase?  That truck will arrive in one year after being specially built for the township.  Approving a purchase without funds did not phase the trustees one bit.... unanimous approval.  So again I ask... how much money does the township have in reserves.... that they don't blink for a $600,000 plus purchase not in the budget?

7.  The public safety  fund got an almost $4 MILLION dollar  annual boost in 2010 February GENERAL OBLIGATION ballot issue for 1.3 mills for 10 years.  So, as taxpayers... we have that tax obligation PLUS 4 more public safety millages.... each time seemingly scaring all of you that your house will burn down or you will be violated in your own home by criminals.   Will we go to Oakland County Sheriff department for protection?  GOOD GUYS... but not needed. What is so scary about getting a private ambulance with experienced paramedics?  The township uses them when they are busy on other runs.  The township keeps needing more and more money NOT for services... but to continually try to pay for the unsustainable costs negotiated/granted for the employees wages/ health benefits and pensions.

8.  What the township NEVER seems to talk about is making these proposed millages just a general obligation millage.    Did you know that when a millage is approved for A CERTAIN PURPOSE.... the money collected may ONLY be spent for that purpose?   If it is a general obligation millage... the trustees can decide WHERE IN THE BUDGET  the money collected is most needed.  If the township needs to downsize certain departments and if the MONEY collected was in a GENERAL OBLIGATION millage that money may go for ANY obligations...such as bond payments or other bills.

9.  All the employees got a 2% raise in April 2013.  The six year contract may be reopened for wages in 2015.  Many employees still have a township paid vehicle...that is never bought/approved at a township public meeting nor shown in the budget as to who uses the vehicle.  The township (legally) "opts out" of a state law that would require employees to pay more for their health insurance.  The township recent BOND sale/ investment for underfunded pensions... has issues... that remain, in my opinion, something that needs more investigating and transparency.
    
10.  Just remember.... Supervisor Savoie said at the Special Meeting... that the township has enough money in RESERVES to meet the proposed budget, even if the millages FAIL.   OK.   I will vote NO on any millage that is specified for any particular project/department.   IF MY TOWNSHIP needs operating funds.... put the millage on the ballot as GENERAL OBLIGATION millage.... and then make the trustees make the hard the decisions on what services are really NEEDED and pay those bills.   
My opinion.
Marcia Robovitsky

THURSDAY -9 AM Meeting for Fiduciary Review @ Township Hall 2/9/12

Hi All,
This 2/9/12 fiduciary review meeting at 9 AM Thursday is a Study Session by the Township Board.  It is open to the public.

The archived minutes for the Board of Trustees  regular meetings and study session minutes are found in the same place.  There are usually six study sessions or more per year. The way to identify on the website which meeting minutes are a "study session" is to look for the asterisk  (*) after the date.   Fiduciary review should happen quarterly at a study session meeting.  However, not all study sessions are about finances.  The minutes usually are not very long...but revealing.  Try reading the (*) minutes for 2011, 2010 and 2009 before you attend the 9 AM morning meeting.  START with 2009 Study Session minutes*....read the progression of thoughts and actions taken by the township to date.
What will the reports show?  Be there to find out.

Remember this:  in late 2009 the township board of trustees determined that a new 1.3 millage general obligation tax was absolutely necessary to maintain the current level of services. 
The trustees put the "general obligation" type millage issue on a February 2010 ballot.  The millage narrowly passed, thus saving a large reduction/lay-off  of public safety/other personnel according to published literature and township comments.  By December 2010, that new 1.3 mills --- $4.4 million tax was collected along with the previous passed township millages.   Approx. 90% of that new 2010 tax is directly deposited from the general fund to the public safety fund each year since first collected.  So....even though it was collected as general obligation tax...it is a form of a new public safety millage.

(below is 2008 data from a "financial data" pdf in the township Strategic Plan....note: 2010 new tax NOT shown).    





Where is Updated Data?
Not only do the township taxpayers have the above obligations, more bonds have been added since 2008 and the 1.3 mills 10 year tax.  How many other obligations have been added? Where is updated data from the township? Some bond rates have risen as the property values have fallen.  Which ones?  How much?

More Taxes Collected From YOUR Checkbook,  But Not Deposited to Township Accounts
There are also Oakland County taxes such as:  state education tax, an Oakland Co. tax, Oakland Intermediate School District tax, Oakland Community College tax, Oakland County Parks and Recreation tax, Huron Clinton Metro Authority tax, Zoo Authority tax, and SMART bus tax.  It has been suggested that perhaps there should be a future tax to support the ARTS in Detroit. Look carefully at your tax bill generated from the township.  It should include itemized details of all taxes collected not only for other purposes, but taxes that are deposited in the different township accounts.  Do you see all these taxes itemized on your tax bill?  

Too Often You Are Told Before A Millage About It Being Just A Small Amount of Dollars Added to Your Tax Burden.  The Real Question:  What Does It All Add Up To?
FYI:   If you are living in a house VALUED near/above  $300,000 your yearly tax bill is most likely over $6000.  I hate to tell you, in today's economy, that house may sell for as much as 20-50% less.

From Desperate For New Millage in 2010 to AAA Rating in 2011?  How?
Now for the surprising announcement out of the township leadership in April 2011.  The township is rated AAA.  From the mentioned AAA article:  "....Bloomfield Township Supervisor Dave Payne said, "The AAA bond rating is the direct result of a great team effort put forth by the Board, administration and employees...." 
 
Notice the TAXPAYERS did not get any credit for getting the township to AAA rating in the above quote for giving more and more $$$$ money for each millage vote the Township continually asks for.

Read the "team effort" by the township Board, administration and employees  below:

• In late summer, early fall of 2009:  the township reaches contract agreements with employee unions EARLY, before the April 2010 contract expiration date.  Contract not posted on web.
• Township establishes "Strategic Plan".
• The fall 2009 Township Board of Trustees pay for a "survey" for a possible 1.3 millage increase.
•  A late 2009 decision by twp. board for 1.3 mills x ten years for a ballot question approved with the vote to be Feb. 2010.  Hired survey company later provides services to S.O.S. for  fees.
• A political PAC was formed  in late 2009 and registered at the County...the proposed Feb. 2010 millage was highly promoted for a yes vote by: "S.O.S."  (Save Our Services)  which collected more than $85,000 from contributors to S.O.S.  with approx. 90% of those contributors being vendors and employees of the township.  Glossy mailers highlighted scared citizens not being helped because of reduced public safety service IF the millage didn't pass.  The co-chairs of the  2009/2010 SOS campaign were and still are active in township politics and have been appointed to board positions. 
• Weeks after the narrow "win" in Feb. 2010 by the YES votes, the township thanks 2 rookie firefighters for their "help" (among many) in getting out the yes vote, then proceeded to award/hire them and give them their firefighter badge and helmet as a regular employee....instead of giving them  a "pink slip" should the millage had failed. More people have been hired since.
• Four months after collecting the $4.4 million dollars from the 2010 1.3 mills from the taxpayers via the summer and winter taxes collection.....the Township announces its AAA rating in April 2011.
• Dave Payne and the Board of Trustees, in June/July 2011, renegotiates employee contracts....EARLY.... and extends them for six years.  The contracts also provide for step increases each year....sort of a bonus for each year worked.  Contract not on web.
• The Dec. 2011 Board of Trustees EXEMPTED the township from the provisions of Public Act 152 which was passed in Sept. 2011  which was to help reduce the costs to public employers  (us).  A FOIA request revealed that the township did not calculate what the potential savings to the township MIGHT have been had the board voted not to exempt.  The township can exempt out for another 5 years since the contract was approved before Sept. 2011 signing of Act 152.

The announcement that the township is rated AAA came months after the township collected the first year of that $4.4 million dollar tax.   Question:   If the new 2010  millage was ...to maintain the status quo.....why weren't we AAA rated before the Feb. 2010 millage?  Why did we need that  millage?  Hello....

WARNING:  A 2.5 mills public safety millage expires in 2012.  I wonder what the fiduciary review at 9 AM will reveal?  Supervisor Savoie already (before board approval) announced that there will be a public safety renewal vote in August 2012.  If this 2012 millage results in a NO, he stated the 80 public safety personnel will need to be cut.  Do you believe that?   Are there other options?

If you can't attend the THURSDAY morning @ 9 AM study session on fiduciary review, look for my blog review and archived blogs.   FYI:  the township minutes won't be on the web until AFTER they are approved at a regularly schedule Board of Trustee meeting.

Future Meeting
Tuesday, February 21 @ 4 pm is now scheduled to be a full board meeting rather than a study session. 
Since this will be a Board of Trustee meeting, it means that decisions can be made, motions made and votes taken.  The stated purpose of the meeting is to focus on the preliminary budget review.  There should be an agenda posted before the meeting.  This meeting should also be video recorded and archived.  You will be permitted 3 minutes to speak to each agenda item if you wish.

Public Safety 2.5 Mills Renewal Vote To Be August 7, 2012

Hi All,
At the United Homeowners (UHOA) Annual meeting Jan. 18, 2012, Township Supervisor Savoie told the attendees that the township will put a Public Safety millage renewal on the August 7, 2012 ballot.

Savoie indicated that the amount will be 2.5 mills which represents between 8-9 million dollars. He indicated that should the proposal fail, the township would need to reduce the public safety department by about 80 people.


Questions about the above surprise announcement:

1. I have not seen or read about any public meeting of the Bloomfield Township Board of Trustees that discussed publicly the above decision.  Question:  Has Mr. Savoie made this decision on his own, or have there been official township meetings to discuss this public safety millage that excluded the public?
2. How did Savoie and/or others determine the number of employees that would need to be eliminated?
3. Are there other items in the budget that could be cut to save employee jobs in the event the public says NO?
4. How does the 2012 expiring public safety millage affect the preliminary 2012-2013 budget at this time, especially during the time frame:  Jan. 2013- March 31, 2013?
5. What action has any employee of the township taken to date concerning the public safety millage expiration/renewal?
6. As a taxpayer, do you know how many DEDICATED millages  there are currently for public safety?  Answer,  4 , representing more than  7.5 mills.  Plus..see #7 and #8...
   
7. Do you know that 90% or so of the 1.3 mills GENERAL millage from Feb. 2010 ($4.4 million) is also going directly to public safety?
8. That TOTAL money to public safety is almost 9 mills...  A whopping $24,000,000 give or take for public safety expenditures for 16,466 households/ 41,070 residents ( 2010 Census).
9. What other millages do you pay? This 2008 financial data chart does NOT include the Feb. 2010 1.3 mills and NOT the recent costs for bonds issued for water/sewer.  Current figures should be provided. Other existing bond rates have already increased because of the declining property values.
10. For those Township residents living in the Bloomfield Hills School District, will there be another school bond added to your personal tax burden this year? 
11. The below list is only for our township, there are other taxes owed for schools, SMART, community colleges, etc.  More information on millage rate click here.