Here's the text of the prepared remarks of Oakland County Executive L. Brooks Patterson, who was scheduled to give his 19th State of the County address at 7 p.m. Thursday at Detroit Country Day in Beverly Hills, Mich.:
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2013 State of the County Address February 7, 2013
II. Turning the Corner
III. Emerging Sectors Reaches $2 Billion!
V. Automation Alley
educated workforce in order to compete and attract the high-paying jobs upon which you can build a unique quality of life. We’ve done a pretty good job up to now, but we still have a long way to go.
courses under a program I announced in 2007. Changchun, China’s Motor City, established its auto base in Oakland County to connect with American car companies and suppliers; and the American Chinese School of Greater Detroit is located in Birmingham. I think you can see we are consciously developing a working relationship.
roughly $48.5 million annually for 20 years versus the pre-COPs annual contribution of $60.2 million over 30 years. That reduced payment schedule has already saved the taxpayers more than $100 million.
IX. Expanding the Cloud
X. Other Departments/Divisions
XI. Awards
• Julie Secontine, Manager of Risk Management, was recognized by the Michigan Association of Fire Chiefs for her contributions in bringing the Mutual Aid Box Alarm System (MABAS) to Michigan.
• Chief Probate Judge Linda S. Hallmark, Circuit Court Judge Cheryl A. Matthews, Referee Martin Alvin, and Referee Scott Hamilton received the Arthur Eugene Moore Champions of Children Award.
• The Circuit Court Family Division received the Hon. Robert E. Weiss award for Excellence in Creative Solutions from the Supreme Court.
• Traci Rink in Friend of the Court was Elected Chair of the Family Law Section by the State Bar of Michigan.
• The Adams-Pratt Oakland County Law Library in, partnership with the Oakland County Clerk’s Office, was designated as a Michigan Legal Help Self-Help Center by the Statewide Solutions on Legal Self- Help Taskforce.
• L. Brooks Patterson, Oakland County Executive, was named Outstanding Local Elected Official by the Michigan Recreation and Park Association.
• Regina Ellis in Parks & Recreation received the Outstanding Volunteer award from:
o Michigan Recreation and Park Association o National Association of County Parks and Recreation Officials
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• Parks & Recreation received the Commission Lifeguards Gold Medal by Ellis and Associates, International Aquatic Safety & Risk Management Consultants.
• Brittany Bird, Planner in Parks & Recreation received the 2012 Park Resources Leadership Award from the Michigan Recreation and Park Association.
• Fiscal Services received all three awards from the Government Finance Officers Association of the United States and Canada (GFOA):
o Outstanding Budget Presentation o Excellence in Financial Reporting o Popular Annual Financial Report
• Economic Development & Community Affairs received the Pinnacle Award for the One Stop Business Center from the Rochester Regional Chamber of Commerce.
• Economic Development & Community Affairs received the Project of the Year for Business Development award from CBOR.
• Economic Development & Community Affairs received the Best Website award for “AdvantageOakland.com” from MEDA’s Marketing.
• Economic Development & Community Affairs received the Best e-newsletter award for “Oakland CountyProsper.com” from MEDA’s Marketing.
• Economic Development & Community Affairs received the 2012 Achievement Award for Medical Main Street from NACo.
• Economic Development & Community Affairs’ "Oakland County in the Civil War” map received two awards from 2012 IMAGIN (Improving Michigan’s Access to Geographic Information Networks):
o Best Cartographic Design o People's Choice
• John Almstadt, Manager in Workforce Development, received two awards:
o Pontiac Regional Chamber Award o Literacy Champion Award from the Detroit Rotary Literacy Initiative
• Dave VanderVeen was Elected Chairman of the Michigan Aeronautics Commission.
• Oakland County International Airport received the Gold LEED Certification.
• Judith K. Cunningham, Corporation Counsel, was Elected President of the Oakland County Bar Association. Ms. Cunningham was also selected as a 2013 Top Corporation Counsel by DBusiness Magazine.
• Human Resources Department’s Retirement Unit received the Leadership Recognition Award on its Project “Mission Possible” from NAGDCA.
• Health Division was awarded a 4 X 4 Grant from the Department of Community Health.
• Health Division received the Building Healthy Communities Grant.
• Health Division received a 100% on Emergency Operations Plan.
• Health Division received a 98% on Strategic National Stockpile (SNS) Plan.
• Health Division’s Community Nursing achieved a 100% compliance with Oakland Schools “Early On Oakland” program.
• Health Division received the Immunization Services for Women, Infants, and Children Award by NACo.
• Pat White, Coordinator in the Health Division, received the AIM Achievement and Advocacy Award from NACo.
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• Bob Haralabakos in the Health Division received the Award of Appreciation from the Michigan Mobile Food Vendors Association.
• Health Division received the Great Start Collaborative Oakland Children’s Champion Award Spring 2012.
• Phil Bertolini, Deputy County Executive:
o Finalist, Detroit CIO of the Year – Crain’s o Champions of Change – The White House
• Information Technology received the Web 2.0 Award for Excellence by The Public Technology Institute.
• Information Technology was ranked second in the nation from the 2012 Digital Counties Survey by the Center for Digital Government.
• Automation Alley received the Soft Landings International Incubator Designation by the National Business Incubation Association.
• Automation Alley received a $5 million grant for the Technical Talent Development Program by the U.S. Department of Labor, Employment and Training Administration.
• Automation Alley received the Gold Award 12th Annual Awards Gala for their Marketing Materials by MarCom.
• Automation Alley received the Platinum Award for their 2011 Annual Report by MarCom.
• Automation Alley received the Platinum Award for their Defense brochure by MarCom.
• Automation Alley Senior Director Thomas Anderson, Ph.D., was elected to serve on the board of directors for TechTown and was appointed to the board of directors for Beaumont Health System. He was also appointed chair of Beaumont’s Education, Innovation and Research Committee.
• Automation Alley Director of International Business Services Noel Nevshehir was appointed to the board of directors of the Greater Detroit Foreign Trade Zone (GDFTZ) by Detroit Mayor Dave Bing.
• Automation Alley led trade missions to the Association of the United States Army’s (AUSA) Winter Symposium and Exposition in Fort Lauderdale, Florida; Sao Paolo and Rio de Janeiro, Brazil; the AUSA Annual Meeting and Exposition in Washington, D.C.; and Qatar and United Arab Emirates.
• Charles DeVries, formerly Automation Alley’s Senior Director, was invited to represent Automation Alley at a Detroit Business Leaders’ Briefing by the White House Business Council and Business Forward.
XII. Quality of Life
are. We were recognized again this year by the Center for Digital Government as the Most Digitally Advanced County in America.
XIII. A Word About the Aug. 10 Crash
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2013 State of the County Address February 7, 2013
L.
Brooks Patterson Oakland County Executive
_________________________________________________________________________________________
I. Introduction – Elite 40 Under 40
Ladies
and gentlemen, thank you so much for that standing round of
applause...yep, standing...all 550 people...standing. That’s all right,
please feel free to STAND anytime you want. Personally, I think standing
is overrated.
I’ll
have more to say about all of that later, but let me open tonight’s
remarks with thanking all of you sincerely for the very warm reception.
It’s nice to see you all again this year.
I
also want to thank Erica Coulston for her generous introduction of me.
Erica is this year’s winner of our Elite 40 Under 40 contest. What a
remarkable young lady.
As
you may recall from last year, we sought nominations of young adults
who represent the very best of Oakland County: they are creative
entrepreneurs today and will be the leaders of our communities tomorrow.
And from what I can see, having read through more than one hundred
resumes, the future of Oakland County, and for that matter, the future
of our region and our country is indeed secure, full of hope and
promise.
Miyan
Media, which coordinated the contest, received more than 350
nominations. The competitive list of talented individuals was eventually
honed down to the elite 40 winners, and many of them are with us
tonight. I’d like to ask them to stand now and be recognized.
Ladies
and gentlemen, this year’s class of the “Elite 40 Under 40.” Before I
get too far down the road tonight in my remarks, I want to take time to
recognize a few of our area leaders who are far too old to participate
in the “40 Under 40” contest, but have in their own right contributed
significantly to the quality of public service in southeast Michigan.
Joining
us tonight are my colleagues – whom the media has dubbed the “Big
Four.” I’d like to introduce the Mayor of Detroit Dave Bing...Wayne
County Executive Bob Ficano...and Macomb County Executive Mark Hackel.
As
you know, Mark is the first county executive from the County of Macomb.
Look around you, Mark, all these bright lights...that’s called
electricity and Macomb should have it soon.
I
saw in the paper where you got engaged to the beautiful Tracy
Damschroder. Congratulations are in order, Mark. And Tracy, let me
inform you that my Health Department does closed-head injury screenings
every Friday afternoon.
I’d
also like to welcome and introduce to all of you our new Clerk/Register
of Deeds Lisa Brown and the Water Resource Commissioner Jim Nash.
II. Turning the Corner
Throughout
my speech tonight you will hear me refer frequently to two words that
have really become the stock and trade of Oakland County: innovation and
diversification. As I embark upon another four years as your County
Executive, my administration is committed to continuing to innovate in
the areas that attract diverse, high-paying jobs that support an
economic rebound.
Let’s
begin with a look at some signs that Oakland County’s economy is in
fact rebounding. According to the State’s Bureau of Economic Analysis,
Oakland County’s 2011 per capita income – the latest year for which
there is data available – remains the highest in Michigan at more than
$53,000 per. Oakland County’s per capita income increased 8.5 percent
from 2010 to 2011, or more than $4,100.
Some
more good news that shows the corner is being turned: After six years
of decline in residential property values, the average homeowner in
Oakland County can expect to see a modest one percent increase in their
property value in 2013. While not significant – one percent – I believe
Oakland County homeowners will welcome a shift into positive territory.
And
the good news continues. The businessmen and businesswomen – those
entrepreneurs who are the backbone of our economy – are really stepping
up their game this year. The Oakland County Business Finance
Corporation, or BFC, saw a substantial increase in the amount of loans
approved and the number of business projects funded in the first quarter
of fiscal year 2013. The BFC, whose mission is to stimulate business
growth and expansion in Oakland County and the region, approved $18.9
million in loans for 13 business projects in just the first quarter of
fiscal 2013.
By
comparison, last year, it approved $8.9 million in loans for 10
projects in the same timeframe. The BFC is on pace to close 40 loans by
the end of the year.
Finally,
let’s talk about jobs. Back in 2011, esteemed University of Michigan
economists (that’s an oxymoron) George Fulton and Donald Grimes
forecasted that Oakland County would see an additional 10,908 jobs in
2011.
Well,
we embarrassed our good friends and prognosticators from U of M that
year by producing 23,426 jobs – more than double their prediction.
Understand folks, these guys rank among the best in the country when it
comes to predicting job growth.
Moving
ahead to last year, Fulton and Grimes predicted Oakland County would
create 11,000 jobs in 2012. While the final numbers are not in, it looks
like we will eclipse that job prediction by more than double, in the
range of 25,000 new jobs.
I wonder what Fulton and Grimes would say about global warming?III. Emerging Sectors Reaches $2 Billion!
By
now, most of you are familiar with my Emerging Sectors initiative.
That’s the name of our program assigned to my Economic Development and
Community Affairs team - led by my very-capable Deputy Matt Gibb,
Director Irene Spanos, and Deputy Director Dan Hunter. It is their job,
and that of their team, to attract innovative, sustainable, high-paying
jobs that make up the core of our knowledge-based economy in Oakland
County. Jobs in sectors such as health care, advanced electronics,
advanced materials, and information technology.
In
calendar year 2012, 37 Emerging Sectors companies invested more than
$156 million in Oakland County thereby creating over 1,700 new jobs and
retaining more than 3,400 existing jobs. The lion’s share of that job
creation was in the Information Technology and Advanced Electronics
sectors.
From
the inception of Emerging Sectors in 2004, 230 companies have invested
more than $2 billion in Oakland County creating more than 27,000 jobs
and retaining 12,700.
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Two
billion of new investment in nine years is a milestone. It represents a
lot of hard work by my Economic Development team. Get the lead, follow
up with the client, gather the information pursuant to their due
diligence responsibility, make sure the funding is available, and on and
on it goes. And please keep in mind, this $2 billion of investment and
these 27,000 jobs have all been created during the deepest and longest
recession in our history since the Great Depression!
Matt
and Irene’s team is already planning a big celebration at the Palace of
Auburn Hills so we can rejoice and share our success with all of our
partners and investors. When details are finalized, invitations will be
going out so you can celebrate with us. This event will be underwritten
by sponsors.
IV. Medical Main Street’s INNO-VENTION
After
we launched Emerging Sectors, it didn’t take us long to realize that
health care and life sciences were the largest components of Oakland
County’s economy, and expanding rapidly. According to updated figures by
the Anderson Economic Group in Lansing, over 100,000 individuals are
currently employed in health care, life science research, and medical
device manufacturing right here in Oakland County.
To
put that in perspective, that’s more health-related jobs than the
Cleveland Clinic and Mayo Clinic combined. Since I launched Emerging
Sectors, 32 health care and life science companies have invested more
than $850 million in Oakland County creating 4,800 jobs and retaining
more than 1,400.
You
only have to look at Crain’s Detroit Business 2013 “Book of Lists” to
see what I’m talking about. Of Oakland County’s 25 largest employers,
one quarter are hospitals. Number one is Beaumont Health Care System,
with 11,600 fulltime employees in Oakland County; number four is Trinity
Health Care with 5,900 employees; there’s St. John Providence at number
five with nearly 4,500 jobs; Henry Ford at number six with 3,400;
Botsford’s number nine and Crittenton is number 15. Of course, with the
merger of Beaumont and Henry Ford, we can expect them to remain our
largest employer for the foreseeable future, overtaking General Motors.
It is clear from these numbers that Oakland County has become a
destination for world-class health care.
That’s
exactly what my Medical Main Street initiative is all about – letting
the nation and the world know that Oakland County can lay claim to the
best-of-class when it comes to professionals in the medical field,
leading-edge life science researchers, and top-notch medical device
manufacturers.
This
past autumn, Medical Main Street strutted its stuff before an
international audience with Oakland County’s first INNO-VENTION
conference held at the Royal Park Hotel in Rochester.
The
conference was sold out! Sometimes the simple ideas are the most
innovative ones. Our INNO- VENTION conference brought engineers and
designers from medical device manufacturers together for the first time
in the same room with medical doctors. As the physicians spoke, the
engineers took copious notes about the speakers’ insights on improving
current medical devices. From the INNO-VENTION conference, we developed
six business leads that we are currently pursuing.
We
are already planning our next INNO-VENTION conference which will focus
on the utilization of IT in the medical field. It is scheduled for
November 6-8 at the Troy Marriott. Buy your tickets now before this one
sells out.
3 | PageV. Automation Alley
There
is a thread of technology running through the programs that I’ve talked
about already tonight, especially Emerging Sectors and Medical Main
Street. The same can be said for Automation Alley which focuses on
high-tech companies. It now markets an eight-county region of southeast
Michigan as a hub of innovation in engineering, advanced manufacturing,
and research.
And,
if you have any doubts about whether we can run with the big dogs when
it comes to technology, I encourage you to read the 2012 Technology
Industry Report just released by the Alley. It indicates that the
Automation Alley region has more than 200,000 technology workers. And of
the 15 technology hubs analyzed, our region ranks first in the number
of engineering and engineering technology degrees completed at colleges
and universities in our area – that all adds up to 7,000 new scientists
and engineers graduating from our colleges and universities each year!
Since
its launch in 1999, Automation Alley – with my Deputy Ken Rogers at the
helm – has grown to a 1,000 member organization, making it the largest
high-tech business consortium in the Midwest. It has been honored by
both Presidents George W. Bush and Barack Obama for its significant role
in creating jobs within the export arena.
Two
years ago, I announced that Automation Alley would be creating the
International Business Center – a place where foreign companies can have
a “soft landing” in the United States while establishing a permanent
presence in our region. Thirty companies have had a “soft landing” in
the Alley’s International Business Center since 2011.
Sponsoring
trade missions, both domestic and abroad, are among Automation Alley’s
benefits for its members. And our members are determined to land big
contracts with companies outside of our region. That in turn produces
jobs here.
Last
May, the Alley sponsored a trade mission to Brazil, one of the fastest
growing economies in the world, and certainly among the largest
economies in the Western Hemisphere. The trade mission focused on
meeting with Brazilian businesspeople in fuel technology, information
technology, and environmental technology industries. One local company
signed a $50 million agreement as a result of that Brazilian trade
mission.
Last
year, Automation Alley attracted eight high-tech companies to our
region resulting in 365 more jobs in the knowledge-based economy. They
were Sunlogics and Van Rob, Incorporated, from Canada; Inphodrive US and
Elbit Systems of America from Israel; E-Xstream Engineering from
Luxembourg; Heck + Becker Corporation from Germany; Stola NA and Reply
from Italy.
This
is a mere snapshot of what Automation Alley has accomplished recently.
Since its inception, the Alley has conducted 17 trade missions,
garnering $220 million in contracts which created more than 1,000 jobs;
on its own it has invested $8 million in 35 companies and projects that
have resulted in 600 jobs; those 35 companies and projects seeded by the
Alley have been awarded $69 million in additional investments.
VI. Meeting the Demand for a Well-Trained Work Force
It
is clear that Oakland County is succeeding at attracting companies from
emerging sectors around the country, and in some instances, from around
the globe. I believe Oakland County is building a strong foundation of
diversification within the knowledge-based economy.
I
know I’ve pointed this out in past State of the County addresses, but
the importance of this fact bares repetition here. The future for
Oakland County, and for that matter, America, will be our level of
active participation in the knowledge-based economy. It will require a
highly-trained, highly-motived, and a highly-
4 | Pageeducated workforce in order to compete and attract the high-paying jobs upon which you can build a unique quality of life. We’ve done a pretty good job up to now, but we still have a long way to go.
Recently
I was a guest on a talk show and I opined that Oakland County learned
its lesson in 2008 and 2009: we had an overabundance of our jobs located
within one sector: the automotive sector. And when that sector went
south in 2009, it took 60,000 high-paying Oakland County jobs with it,
and we’re still trying to recover from that disastrous year. There’s a
lesson to be learned: you have to spread your employment risks over a
number of diversified sectors. There’s that word again.
Obviously,
we will enthusiastically embrace automotive jobs, but we also will
attract, embrace, and nurture other sectors for our future, like
information technology, like health care, like advanced materials, like
aerospace. As I said earlier, one of the key words of my administration
when it comes to economic development over the next four years is
diversification.
The
challenge that lies ahead for Oakland County, and for that matter, any
community moving into the quickly evolving 21st Century, is to create
and maintain a skilled and educated workforce that will attract and help
keep companies here. If you don’t have a skilled workforce, companies
that need those skilled workers will simply take their jobs elsewhere.
A
word of caution: as much as I stress the knowledge based economy as the
new reality, we should not overlook the opportunity for high-paying
jobs within the skilled trades. We’re talking machinists, carpenters,
millwrights, and even airplane mechanics, among others. As our children
consider their future plans, many of them will look to engineering,
medical school, legal and scientific careers. Unfortunately, skilled
trades are often overlooked as a career option. The result is that we
are starting to feel the pinch in meeting the demand for filling these
very well-paid positions. Foreign labor markets are more than willing to
fill the void. The American Society of Employers annual salary surveys
represent the largest, most comprehensive compensation surveys in the
state of Michigan. According to their 2011 data, skilled tradespeople on
average earn a solid middle class wage. For instance, a machinist can
make over $28 per hour; a journeyman electrician can make more than $22
per hour; and an experienced tool and die maker - $24 per hour; a six
term County Executive makes about $14.50 per hour...but that was before
they took my car away.
To
foster interest in the skilled trades, I am pleased to announce tonight
that my Department of Economic Development and Community Affairs has
created a website to connect those looking to apply for training in the
skilled trades with trade schools in our region. The website is called
“MI Trade School” dot org. That’s “my” as in MI. The website will also
have a portal for parents in order to answer their questions about why
skilled trades are a viable career path for their children.
VII. China
While
we are on all things jobs, I’d like to turn your attention for a moment
across the Pacific to China. It is estimated that China will overtake
the U.S. as the world’s largest economy by 2016. 2016!...that’s the day
after tomorrow. I’ve thought about this frequently and I think we can
boil our response down to two options.
First,
we could adopt the Granholm approach and simply ignore the 1.4 billion
people, who by themselves make up nearly a fourth of the world’s
population, or (2) carefully examine the opportunities for economic
growth and job creation by this economic juggernaut called China and
what role we’ll play.
Oakland
County has an impressive case to make for increased Chinese investment.
More than 25 percent of the 44,500 Chinese residents in Michigan live
in Oakland County; there are over 33 Chinese firms operating in Oakland
County; and our 28 public school districts all offer Mandarin language
and/or culture
5 | Pagecourses under a program I announced in 2007. Changchun, China’s Motor City, established its auto base in Oakland County to connect with American car companies and suppliers; and the American Chinese School of Greater Detroit is located in Birmingham. I think you can see we are consciously developing a working relationship.
Representatives
from my Economic Development team took two trips to China this past
fall which yielded great opportunities for our Emerging Sectors
initiative. My Deputy Matt Gibb spent 10 days in China with Governor
Rick Snyder in September and met with more than 20 life science and
automotive companies in four cities including Shanghai and Changchun,
and three provinces. Three Chinese delegations scheduled meetings here
with Oakland County officials as a result of Matt's trip, including just
a few weeks ago with 30 representatives from the City of Huai’an in
Jiangsu Province in China. We have signed a memorandum of understanding
with officials in Huai’an and we will work together on projects for
economic growth. Huai’an is experiencing a vast industrial expansion in
areas which mirror our economic sectors such as bio-technology, advanced
materials and chemicals.
Then
in October, our Senior Business Development Representative Alan Weber,
joined a delegation from the Detroit Regional Chamber, Automation Alley,
and the Miller Canfield law firm for another week-long trip to China.
Alan attended the 2012 Automotive Industry Action Group Leadership and
Suppliers forum - a gathering of 500 auto suppliers from China and
around the world – where he distributed the county’s key economic
development marketing materials which we have had translated into
Chinese, German, Italian, Japanese, and Korean. Weber also conducted
follow-up meetings with many of the companies Matt first encountered.
One
of our China-related success stories is on the very northern reaches of
Oakland County. Oxford Community Schools embraced my call for Mandarin
language and culture instruction back in 2007 and they’ve taken it to
the next level. Oxford Schools Superintendent Bill Skilling says that
the Oxford Community Schools now have 11 sister schools in China;
operates one international high school in Fushun, China; and will be
opening a second school in Chongqing, China this coming fall. Oxford
Schools also is exporting education to China virtually as well.
Oxford
Schools currently have more students learning Mandarin Chinese language
and culture in a fluency based program than the rest of the school
districts in Michigan combined. Its Fifth Core Mandarin Chinese World
Language Program was recognized by Hanban and the Asia Society as one of
the 100 model programs in America. That kind of success deserves a
round of applause. And Bill Skilling is in the audience tonight. Thank
you, Bill.
VIII. Saving taxpayers $100 million +
There
is a palpable sense around town that these are exciting times to be
part of the knowledge-based economy growing in Oakland County. In
Oakland County government we are committed to “walk the walk.”
What
if I told you the experience and innovation of my management and budget
team is directly responsible for Oakland County taxpayers’ savings over
$100 million cash this year. (That’s on top of the $100 million savings
we generated in 2007 when we became the first county in America to
fully fund the retirement health care debt.)
Back
in 2007, Oakland County issued nearly $557 million in “Certificates of
Participations,” or COPs, to fully fund traditional retiree health care
benefits and at the same time shifting newly-hired employees to a
defined contribution plan for retiree health care. Under this initiative
we fully funded traditional retiree health care benefits and the county
achieved huge savings. The retiree health care debt service dropped to
6 | Pageroughly $48.5 million annually for 20 years versus the pre-COPs annual contribution of $60.2 million over 30 years. That reduced payment schedule has already saved the taxpayers more than $100 million.
Now
we are poised to save a second $100 million. (Isn’t it nice to hear
somebody in government talk about saving $100 million instead of
spending $100 million?) At the end of November, the Board of
Commissioners approved my administration’s request to refinance the COPs
using low-interest general obligation or GO bonds. County taxpayers –
you – will save more than $100 million from the refinancing of the COPs
because interest rates have dropped. Since 2007 interest rates have
fallen from 6.2 percent to 2.9 percent. Folks, that’s $100 million that
we will deposit in our accounts this year. This is not a paper savings.
That’s $100 million cash. In addition, because of the growth in the
investment value of the county's two retiree health care trust funds,
the county will be able to pay down the principal on the outstanding
COPs balance by at least $75 million. This will leave the two combined
trust funds 110 percent funded.
We
didn’t reach such huge savings by accident. It is because of the skill,
knowledge, and talent of my much-heralded management and budget team –
headed by my Deputy Bob Daddow; and the very talented Director of
Management and Budget Laurie VanPelt. Backing her up are her experienced
managers, Tim Soave, Dave Hieber, and Pam Weipert. Bob and Laurie, and
their solid staff, have made Oakland County the poster child for
budgeting in tough times.
They
work hand-in-hand with my Budget Task Force – a high level group of my
deputies, along with Laurie and Human Resource Director Nancy Scarlet –
to achieve multi-year balanced budgets while maintaining the lowest
effective operating millage in the state of Michigan. Multi-year
balanced budget means, in Oakland County’s case, a three-year rolling
budget in balance for 36 months.
From
Carmel, New York to Carmel, California; from Birmingham, Michigan to
Birmingham, Alabama; governments across the United States study Oakland
County’s budget practices which have earned us a solid AAA bond rating,
which Moody’s Investors Service reaffirmed just yesterday. These
communities study our much heralded and often copied three year rolling
budget – a budget process that forces us to look out into the future to
address storm clouds now before they become a “Budgetary Katrina.”
So
then you must have deduced by now that if I have implemented a three
year budget, then Oakland County must be in balance for 2013, 2014, and
2015. We are – and we’re now tinkering with 2016.
Communities
across the United States are still studying how we paid off our “legacy
costs” when it came to health care promises and still ended up putting
$100 million in our pocket as I mentioned before.
Achieving
these budget milestones did not happen in a vacuum. It happened because
we had incredible cooperation from other elected officials here in
Oakland County. We had the unflinching and resolute support of Sheriff
Mike Bouchard, Clerk Lisa Brown, Treasurer Andy Meisner, Prosecutor
Jessica Cooper, Water Resources Commissioner Jim Nash, and, of course,
the Oakland County Board of Commissioners, chaired by Mike Gingell.
In
a lot of communities, and in a lot of counties, the Courts sometimes
consider themselves to be outside of the normal county government
mainstream. But not in Oakland County. Here in Oakland County we have a
very distinguished and cooperative judiciary in the circuit, probate,
and district courts, and they have cut their budgets along with the rest
of us these past few years. And they did so without complaint or
minimizing any services. I want to thank all of you publicly tonight for
your continued support of our budget goals.
7 | PageIX. Expanding the Cloud
You
only have to read the latest headlines to know that many local and
state units of government, along with the federal government as well,
still agonize over reduced tax revenue and in some cases, huge budget
deficits.
Oakland
County, as I just explained, has positioned itself through long-range
planning to avoid those pitfalls. We have been able to do so because we
perfected a multi-year budgeting approach, coupled with a five-year
outlook.
But
it is not only that this was made possible by my fiscal dream team.
There is another element of innovation in Oakland County that is
improving the delivery of county services, reducing costs, and in some
cases producing a revenue stream: it is called cloud computing.
Two
years ago, I introduced the idea of embracing “cloud computing” where,
for a reasonable fee, Oakland County could make available to other units
of government some of our leading edge software programs. Known as “G2G
Cloud Solutions,” it saves the local governments money because they do
not have to pay hefty licensing fees or buy sophisticated hardware in
order to utilize some of the best-in-government software technology.
Last year, I explained how the county’s Information Technology
Department - under the leadership of my Deputy and Chief Information
Officer Phil Bertolini, Director Ed Poisson, and Chief Technology
Officer Jim Taylor – could share services with other governments through
cloud computing. The IT Department received recognition for its efforts
from the National Association of Counties which partnered with us to
create a software library for counties to use around the nation.
Well,
we are expanding the cloud even more in the year ahead because it has
proven to be a successful delivery mechanism for shared services among
governments. We have put out an RFQ – or a request for qualification –
inviting private sector companies to provide us information on how they
would interact with Oakland County in a public-private partnership that
would enable small governments with limited resources to consume
technologies that were not affordable to them before. We would host the
IT infrastructure of some private-sector companies in our county
facilities in exchange for county access to their IT technology. For
instance, a company called Kronos has revolutionized scheduling
personnel in Oakland County’s Children’s Village. This innovation has
streamlined staffing procedures and enabled Children’s Village manager
Jody Overall and Director George Miller to ensure that they remain
compliant with required staffing levels and state reporting
requirements. Kronos wants to make their technology available on the
cloud managed by G2G Cloud Solutions now to other local governments
which require accuracy in their staffing levels and reporting.
Innovations
like these are garnering some heavyweight attention. This past
September, Phil Bertolini traveled to the White House to represent
Oakland County as the only county among 13 government recipients across
the nation to receive the president’s “Champions of Change” award.
The White House said the Champions of Change "showcase the amazing movement of innovation in government across America.”
Oakland
County, as I said, was the only county government to receive this
recognition – the rest were cities. I have no problem taking Oakland
County head-to-head with cities across the country. It is an increased
level of competition, but we’re up to it.
8 | PageX. Other Departments/Divisions
Now,
because of time constraints, it is impossible each year to highlight
every department in county government and single out the good work they
do. But I’d like to take a moment to give some recognition to a few that
are rarely in the spotlight.
Among
those who perform outstanding work but infrequently receive public
accolades is the office of Corporation Counsel. Headed by Judy
Cunningham and Deputy Corporation Counsel Keith Lerminiaux, they truly
had a banner year. With a mere 13 attorneys on staff, they handle 95
percent of the county’s legal workload internally, only using outside
counsel when there is a conflict of interest or we are involved in a
case that requires a legal expertise that we do not have in house.
When
I said that Corporation Counsel staff had a banner year, let me
highlight one of their cases to make that point: Corporation Counsel,
through its own research, discovered that Fannie Mae and Freddie Mac –
I’m sure you recognize those Washington based firms that were involved
in the mortgage scandal – had failed to pay Oakland County millions of
dollars in real estate transfer taxes. When properties are transferred
there is a transfer fee that’s assessed and Freddie and Fannie felt it
didn’t apply to them. With the help of County Treasurer Andy Meisner,
Oakland County sued Fannie and Freddie in federal court to collect those
delinquent transfer fees that we felt we were entitled to. We won the
first round in federal court, but the case is now pending on appeal.
But, if – or should I say when – we ultimately prevail, Oakland County
will recover millions of dollars on behalf of you, the taxpayer.
There’s
news in our Animal Control Division, overseen by my Director of Public
Services Mike Zehnder. Manager Larry Obrecht has retired after nine
years of service in that capacity. Under Larry’s leadership, the Oakland
Pet Adoption Center has become the standard against which large public
shelters in Michigan measure themselves. He has been succeeded by Bob
Gatt, who was promoted from chief of field operations in our Community
Corrections Division. If Bob’s name sounds familiar to you, it may be
because he is the mayor of Novi. Bob will pick up (if you pardon the
pun) where Larry left off and continue the record of excellence at the
Pet Adoption Center.
There’s
some news in the Medical Examiner’s facility tonight: I’d like to
welcome to Oakland County our new forensic pathologist Dr. Cheryl Loewe.
This will make Mark Hackel and Bob Ficano, who are here in the audience
tonight, wince because she used to work for both of them at different
times. Sorry, gentlemen, but we couldn’t pass up this level of talent.
Dr. Loewe is a board certified medical examiner and has had years of
valuable forensic experience that she now brings to Oakland County.
Welcome aboard, Cheryl.
Mark and Bob, to soothe your pain, I will give you my secretary Kelly Sleva and a future draft choice.XI. Awards
Once
again, Oakland County and many of our employees have received
recognition both large and small. If you turn your attention to the
screen behind me, you will see the complete list of awardees. And as
that list cycles through, I’d like to recognize some of them for their
steadfast support of Oakland County and the quality of their job
performance.
Dave
VanderVeen – he has spent most of his career as an airport executive,
overseeing Oakland County International Airport and the other two
airports which the county owns and operates. He does so in his capacity
as director of central services. He turned Oakland County International
Airport into a nationally- recognized private/business aviation
destination. It is the gateway to Oakland County from the air and it
shouts out that our region embraces technology and a quality of life
that is second to none. Nearly every Fortune 500 company lands at
Oakland International each year, creating a $175 million impact.
9 | Page
His
leadership in aviation caught the attention of Governor Rick Snyder. In
2011, the Governor appointed Dave to the Michigan Aeronautics
Commission. In 2012, the Governor promoted him to chairman of that
commission.
Well
done, David. The aeronautics industry has a true advocate and leader in
you. After the speech tonight when we have the reception across the
hall, make sure to catch up with Dave. He will regale you with personal
anecdotes about Kitty Hawk.
Earlier
I mentioned the legal finesse of Corporation Counsel Judy Cunningham.
Last July, her peers in the legal community recognized her leadership by
electing her president of the Oakland County Bar Association. This was a
milestone. Judy is the first public official, and just the seventh
woman, to serve at the helm of the OCBA. It came as no surprise when I
found out this week that Judy was named by DBusiness Magazine as one of
2013’s Top Corporate Counsel.
Judy,
as a fellow lawyer I can say, without fear of contradiction, that the
legal profession is well represented by a person of your experience and
ethics.
Our
Department of Human Resources is headed by the very lovely Nancy
Scarlet – Nancy, is it politically correct to call the human resources
director “lovely?” Maybe I should have said the “well-stacked” director
of human resources?
Deputy
Director of Human Resources Tom Eaton, and managers Karen Jones and
Jennifer Hain have all done yeoman service in that busy department. HR
has received kudos on a national scale in years previous, especially for
the OakFit employee wellness program, which is helping to keep our
health care costs down with resulting savings to the taxpayers.
But
one of HR’s greatest challenges lies ahead – 30 percent of our
workforce will be eligible for retirement within five years. So, in
recognition of that possibility, Nancy’s team developed weekly
educational opportunities for employees that encourage our workforce to
save and invest for retirement. The program, called “Mission Possible,”
received an award from the National Association of Government Defined
Contribution Administrators. Congratulations on the novel program,
Nancy, and congratulations on a job well done.
Other awards received by Oakland County and its employees:• Julie Secontine, Manager of Risk Management, was recognized by the Michigan Association of Fire Chiefs for her contributions in bringing the Mutual Aid Box Alarm System (MABAS) to Michigan.
• Chief Probate Judge Linda S. Hallmark, Circuit Court Judge Cheryl A. Matthews, Referee Martin Alvin, and Referee Scott Hamilton received the Arthur Eugene Moore Champions of Children Award.
• The Circuit Court Family Division received the Hon. Robert E. Weiss award for Excellence in Creative Solutions from the Supreme Court.
• Traci Rink in Friend of the Court was Elected Chair of the Family Law Section by the State Bar of Michigan.
• The Adams-Pratt Oakland County Law Library in, partnership with the Oakland County Clerk’s Office, was designated as a Michigan Legal Help Self-Help Center by the Statewide Solutions on Legal Self- Help Taskforce.
• L. Brooks Patterson, Oakland County Executive, was named Outstanding Local Elected Official by the Michigan Recreation and Park Association.
• Regina Ellis in Parks & Recreation received the Outstanding Volunteer award from:
o Michigan Recreation and Park Association o National Association of County Parks and Recreation Officials
10 | Page
• Parks & Recreation received the Commission Lifeguards Gold Medal by Ellis and Associates, International Aquatic Safety & Risk Management Consultants.
• Brittany Bird, Planner in Parks & Recreation received the 2012 Park Resources Leadership Award from the Michigan Recreation and Park Association.
• Fiscal Services received all three awards from the Government Finance Officers Association of the United States and Canada (GFOA):
o Outstanding Budget Presentation o Excellence in Financial Reporting o Popular Annual Financial Report
• Economic Development & Community Affairs received the Pinnacle Award for the One Stop Business Center from the Rochester Regional Chamber of Commerce.
• Economic Development & Community Affairs received the Project of the Year for Business Development award from CBOR.
• Economic Development & Community Affairs received the Best Website award for “AdvantageOakland.com” from MEDA’s Marketing.
• Economic Development & Community Affairs received the Best e-newsletter award for “Oakland CountyProsper.com” from MEDA’s Marketing.
• Economic Development & Community Affairs received the 2012 Achievement Award for Medical Main Street from NACo.
• Economic Development & Community Affairs’ "Oakland County in the Civil War” map received two awards from 2012 IMAGIN (Improving Michigan’s Access to Geographic Information Networks):
o Best Cartographic Design o People's Choice
• John Almstadt, Manager in Workforce Development, received two awards:
o Pontiac Regional Chamber Award o Literacy Champion Award from the Detroit Rotary Literacy Initiative
• Dave VanderVeen was Elected Chairman of the Michigan Aeronautics Commission.
• Oakland County International Airport received the Gold LEED Certification.
• Judith K. Cunningham, Corporation Counsel, was Elected President of the Oakland County Bar Association. Ms. Cunningham was also selected as a 2013 Top Corporation Counsel by DBusiness Magazine.
• Human Resources Department’s Retirement Unit received the Leadership Recognition Award on its Project “Mission Possible” from NAGDCA.
• Health Division was awarded a 4 X 4 Grant from the Department of Community Health.
• Health Division received the Building Healthy Communities Grant.
• Health Division received a 100% on Emergency Operations Plan.
• Health Division received a 98% on Strategic National Stockpile (SNS) Plan.
• Health Division’s Community Nursing achieved a 100% compliance with Oakland Schools “Early On Oakland” program.
• Health Division received the Immunization Services for Women, Infants, and Children Award by NACo.
• Pat White, Coordinator in the Health Division, received the AIM Achievement and Advocacy Award from NACo.
11 | Page
• Bob Haralabakos in the Health Division received the Award of Appreciation from the Michigan Mobile Food Vendors Association.
• Health Division received the Great Start Collaborative Oakland Children’s Champion Award Spring 2012.
•
Water Resource Commission’s Walled Lake-Novi and Commerce Township
Wastewater Treatment plants received the Platinum Peak Performance Award
by the National Association of Clean Water Agencies.
•
Information Technology’s G2G Cloud Solutions & Property Gateway
earned the Achievement Award by the Center for Digital Government.• Phil Bertolini, Deputy County Executive:
o Finalist, Detroit CIO of the Year – Crain’s o Champions of Change – The White House
• Information Technology received the Web 2.0 Award for Excellence by The Public Technology Institute.
• Information Technology was ranked second in the nation from the 2012 Digital Counties Survey by the Center for Digital Government.
• Automation Alley received the Soft Landings International Incubator Designation by the National Business Incubation Association.
• Automation Alley received a $5 million grant for the Technical Talent Development Program by the U.S. Department of Labor, Employment and Training Administration.
• Automation Alley received the Gold Award 12th Annual Awards Gala for their Marketing Materials by MarCom.
• Automation Alley received the Platinum Award for their 2011 Annual Report by MarCom.
• Automation Alley received the Platinum Award for their Defense brochure by MarCom.
• Automation Alley Senior Director Thomas Anderson, Ph.D., was elected to serve on the board of directors for TechTown and was appointed to the board of directors for Beaumont Health System. He was also appointed chair of Beaumont’s Education, Innovation and Research Committee.
• Automation Alley Director of International Business Services Noel Nevshehir was appointed to the board of directors of the Greater Detroit Foreign Trade Zone (GDFTZ) by Detroit Mayor Dave Bing.
• Automation Alley led trade missions to the Association of the United States Army’s (AUSA) Winter Symposium and Exposition in Fort Lauderdale, Florida; Sao Paolo and Rio de Janeiro, Brazil; the AUSA Annual Meeting and Exposition in Washington, D.C.; and Qatar and United Arab Emirates.
• Charles DeVries, formerly Automation Alley’s Senior Director, was invited to represent Automation Alley at a Detroit Business Leaders’ Briefing by the White House Business Council and Business Forward.
XII. Quality of Life
I
can’t let the night get away without commenting on the quality of life
we have here in Oakland County. My goal early on was to streamline
Oakland County government making it more cost effective, more efficient,
and more pro-business.
We
built an economic development team – I would say the best in the state –
to attract new business while holding on to existing businesses. We
focused on IT, looking to become the best in the nation – and we
12 | Pageare. We were recognized again this year by the Center for Digital Government as the Most Digitally Advanced County in America.
An
expansion of technology in the Health Division was undertaken to place
us ahead of the curve on potential pandemics and other health challenges
that could threaten the health and well-being of our county.
It
goes without saying that the Department of Management and Budget
continues to set the standard when it comes to government accounting.
Numerous budget awards and consistent AAA bond ratings for Oakland
County are the result.
Given
all the attention to the regular demands of the job – like the ones I
just mentioned – I still had time to create and launch what I call
“quality of life events.”
Let’s
start with “Arts, Beats & Eats,” now one of the most recognized
festivals in America, attracting close to 400,000 people to Royal Oak
over Labor Day weekend. I think you would call that an unqualified
success.
“The
Dream Cruise,” not started by Oakland County but certainly supported by
us, is a unique event that brings car buffs in literally from around
the world.
“Quake
on the Lake” which is one of our co-sponsored events. Hydroplane races
on Pontiac Lake where speed records are set every year.
“Fire
and Ice,” a winter festival in Rochester. Something to do on those
cold, snowy January days. Go for a dogsled ride; toboggan down Third
Street; check out the ice sculptures.
A
year ago we created “The Elite 40 Under 40” program where young
entrepreneurs could be identified, nominated, and ultimately recognized
as among the top 40 up-and-coming leaders within our community. It’s
been a phenomenal success and we’re now in year number two. The
committee has already honed 350 applications down to the “Top 40,” and
eventually Erica Coulston, who introduced me here tonight, was selected
by popular vote as the winner among the three finalists.
Again,
we know that our future is going to be shaped by these young
entrepreneurs so we want to find them now and support the development of
their talents.
“MI
Great Artist,” started last year and I’m going to continue it this
year. Artists are encouraged to send in their artwork and there is a
juried contest where the winning artists are recognized and their work
is framed and put on display at the Park West Gallery.
Finally,
“The Brooksie Way.” In the aftermath of my son’s death, the committee
named the half marathon and 10k Race after Brooksie to celebrate his
life. This coming September 29th will be the sixth year for “The
Brooksie Way” which has become a very popular race, receiving national
attention in running magazines. What you might not know about is what we
do with the net proceeds.
A
couple of years ago we set up a “minigrant program” to help communities
across Oakland County that are attempting to sponsor events which
support healthy lifestyles. These communities can apply for a grant to
offset some their expenses. We have supported 5k races at schools and
churches; swim classes for challenged children; dance lessons for senior
citizens, etc.
To
date, “The Brooksie Way Minigrant Program” has redistributed $95,000 of
net proceeds back to the communities in support of their local health
programs in memory of my son. This year’s race looks like it’s going to
be bigger and better.
13 | PageXIII. A Word About the Aug. 10 Crash
Finally
tonight, I want to update you on a more personal matter – how I am
doing since the August 10th crash. But before I do, I would like to take
a moment to thank my team – especially my Chief Deputy Executive Jerry
Poisson. In my absence, Jerry took the helm of Oakland County government
and steered a steady course as I recovered. He held my deputies,
directors, and county employees together through one of the most
difficult times in our careers. Some newspaper editorials said it was a
credit to my leadership that I put in place the right team that enabled
county operations to continue without interruption. But truly, it is a
credit to Jerry’s leadership, and the leadership of my other deputies
and directors that Oakland County government operations continued
seamlessly.
Jerry
is not able to be here tonight to listen to me say that I owe him a
debt of gratitude. He is on his way to China to visit his daughter who
lives and works there. You see, it came down to this with Jerry: Go see
my daughter who lives thousands of miles away or go hear my boss give
another State of the County Address. And Jerry clearly made the right
decision; a decision that I now more fully understand having been
through such a dangerous time in my life: the love for your family
trumps everything else.
My
injuries were many; no need to detail them here tonight. How serious
were they? Just let me say that given all the screws and bolts that I
saw when I reviewed my x-rays...if want to know when it’s going to rain,
just give me a call.
The
road to recovery has been a challenge. Frankly, I had hoped to be a
little farther down that road than I am at present. (Hey, did you see me
walk in?) I am in physical therapy three times a week and water therapy
on Saturdays, so it’s a busy schedule of rehab. I also have resumed a
full work schedule, as well.
But
I will make you this pledge tonight: at next year’s State of the County
address, I will walk in here and stand at the podium.
At
a meeting recently, the doctor told me something very important, and I
think about it all the time. I went to the meeting to thank the surgeons
and nursing staff for their skill in putting me back together and
sending me back to my family. And he said in response: “Brooks, with all
of our experience and skill we could only get you to the five yard
line. Prayer got you the rest of the way.”
So
obviously tonight I want to thank all of you for your prayers; thank
all of you for your friendship and support; and thank you for having the
confidence to give me another four years in which to lead the greatest
county in America.
One
last footnote. When I’m talking about prayers, let’s not forget my
driver, a very close friend of many of us in this room, Jim Cram. Jimmy
has been with me for almost nine years, a retired State Police Officer,
one of the nicest guys you’re ever going to meet. Instantaneously
popular, not only at the Executive Office, but throughout the campus and
around the county.
That
afternoon on August 10th, he was broadsided along with me. While I had
significant injuries that have confined me to a wheelchair even to this
day, Jimmy is confined to a bed perhaps for the rest of his life. His
options are few, if any. If the power of prayer got me over the goal
line, then the power of prayer can move Jimmy to a wheelchair.
His
name is Jim Cram, seen here walking The Brooksie Way. So the next time
you’re talking to God, you might let Him know that there’s a good guy
down here who needs His help.
With
that said, I’d like to thank the Board of Trustees, administration and
staff of Detroit Country Day for being our gracious hosts this evening. I
now invite you to join me in the lobby for refreshments and light hors
d’oeuvres.
Thank you so much, ladies and gentlemen.14 | Page
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