Bill seeks to transfer twp. duties to county

A bill designed to strip the basic functions of tax collection, elections and assessing from ‘rural? townships and transfer them to county government after Dec. 31, 2008 is being met with strong opposition in Oxford and Addison.
‘Being a good, staunch Republican, I like any idea that might actually save money, but this isn’t going to save money,? explained Addison Supervisor Bob Koski. ‘It’s going to shift the work-load to somebody else and probably end up costing more. You know as well as I do the county pays a lot more for their people than the township (does).?
‘If all those duties are taken over by Oakland County, you’re just going to be one of 62 other (municipalities),? said Oxford Treasurer Joe Ferrari. ‘I think you’ll lose a lot of the personalized touch. I think you’ll lose a lot of the accountability.?
The bill and its effect
Spearheaded by Speaker of the state House Andy Dillon (D-Redford Township) and introduced by state Reps. Paul Condino (D-Southfield) and Virgil Smith (D-Detroit), the Township Services Consolidation Act (or House Bills 4780-88) is being touted as a cost-saving measure.
The legislation would affect rural townships with populations of less than 10,000. With its estimated 6,488 residents, Addison would not retain the above functions should this bill, introduced May 17, become law.
Oxford Township isn’t off the hook either.
The bill also affects townships that have populations between 10,000 and 20,000, do not offer 24-hour police and fire service, and do not provide water and sewer to 50 percent or more of their residents.
Although Oxford has an estimated population of 19,573 (including the village) and does provide 24-hour police and fire services, it does not provide water to 50 percent or more of its citizens, according to Ferrari.
‘We know water’s nowhere close (to 50 percent),? the treasurer said. ‘That’s where we lose. Not everybody on sewer is on water.?
As it stands right now, if this bill were approved in its present form, clerks in both townships would no longer conduct any elections. That duty would be transferred to the Oakland County clerk.
Township treasurers would no longer be responsible for collecting property taxes. The county treasurer would take over that function.
Supervisors would no longer be in charge of assessing property in their townships. The county equalization department would be assigned that task.
Cost savings or increase?
HBs 4780-88 specifically require townships to pay the county an agreed upon amount for each new service it acquires from the local units.
‘They’re not going to assume these functions for free,? Ferrari said.
Local officials believe it will actually cost more for the county to perform these functions.
‘It certainly wouldn’t be a savings,? Koski said. ‘I don’t think they can compete price-wise.?
The supervisor noted that as of March 31, 2007, Addison had paid $40,914 to have its assessing done locally, which includes everything from board of review to having the assessor appear at the state Tax Tribunal.
Using the county, which would charge approximately $13.25 per parcel, it would cost Addison about $43,659 for assessing, not including personal property, according to Koski.
Election costs would also increase if removed from local control and turned over to county, according to Addison Clerk Pauline Bennett
‘Just based on my instincts, I would think that it will cost taxpayers more money,? she said.
Bennett cited information from county Clerk Ruth Johnson, who opposes HBs 4780-88, to support her opinion.
‘Election costs could triple,? Johnson wrote in a May 22 letter to a House representative. ‘Local township clerks make, for example, an estimated $25 per hour. Our cost to hire certified clerks on a free-lance basis is about $75 an hour ? for exactly the same service.?
Ferrari said transferring tax collection from the township to the county treasurer could lead to layoffs at the local level, but not savings.
‘We’d have to look at staffing reductions,? he said. ‘You couldn’t justify having three full-time employees (in the treasurer’s office).?
But any savings produced by cutting local office staff would be offset by having to pay the county for tax collection.
Ferrari noted the county would probably have to hire additional staff to handle the new duties and county employees generally cost more because they receive a higher level of benefits. ‘They’re not going to be able to do it as cheaply as we can,? he said.
As it stands right now, between what the township charges the school district for collection of summer taxes and the interest earned on tax money collected and deposited in the bank, Ferrari said the township treasurer’s department is ‘very close to covering our costs.?
‘Not 100 percent, but it’s pretty close,? he said.
Unanswered questions
Bennett’s big problem with the bill is that it raises plenty of questions, but offers no answers.
‘There’s just too many questions,? she said. ‘They give these one-liners and then you have to guess where everything’s going.?
The Addison clerk wants to know things like who would handle things locally on election day? Who will administer the oath of office? Would candidates file nominating petitions with the township or county clerk? Who would be responsible for the voting equipment and issuing the ballots? Who will hire election inspectors?
‘How would these things be delegated?? Bennett asked. ‘If that power or job is taken, does everything that goes with that description leave? When the title goes, does everything go? Or does the county kind of just oversee things??
‘It would be difficult for the county to be everywhere? on election day, Bennett noted.
Although Oxford already contracts with the county to do its assessing, Ferrari wondered if there would still be a township board of review consisting of local citizens or would there be ‘one big county board of review.?
The treasurer fears that given Oxford is a ‘small player? in the county, especially when compared to larger communities like Waterford, Pontiac and Southfield, the township could be overlooked.
‘I’m afraid we’d be a little fish in a big pond,? he said.
The local touch
Local officials believe it’s easier for residents to have their concerns addressed and questions answered at the township office rather than forcing them to either call or drive to the county seat in Pontiac.
‘When people call up to check on a (tax) bill, we can check into it much faster than the county can,? Koski said.
‘You need tax questions answered, you need election questions answered, you can come in here and get those questions answered,? Ferrari said.
Koski fears that losing local control over assessing would ‘most likely? lead to higher property assessments in Addison. ‘They’re all big city people down there? in Pontiac and as such, they don’t see things from the ‘rural point of view,? the supervisor explained.
As a result, Koski said county assessors would say ‘to heck with the farm? and determine a parcel’s worth based on its potential for development.
Unlike county assessors in Pontiac, Koski said the local assessor is ‘always around? and ‘in (the office) every week,? so he knows what’s going on and how to make the ‘proper adjustments.?
Addison Treasurer Dan Alberty noted the local assessor ‘takes into account some individual situations? such as hardship cases and senior citizens.
‘They’re people that are 80 or 90 years old and been in their house for umpteen years,? he said. The county is ‘not going to be as friendly to the seniors.?
No confidence in county
Based on personal experience, Alberty is not in favor of transferring township functions to the county. ‘I’m a perfect example of what happens when you have the county take over,? he said.
Back in 1988, when the county was doing Addison’s assessing, Alberty said they ‘screwed things up so bad? when it came to his home’s assessment.
A county assessor miscalculated the size of his house saying it was about 3,400-square-feet, when it was actually 2,500 square feet.
‘They gave me too much house,? Alberty said.
The problem was the county assessor squared off his L-shaped ranch to include a good chunk of his yard.
‘They were actually charging me for my front yard,? Alberty said. ‘I was paying taxes on my grass.?
And when he tried to correct the problem, ‘I didn’t know who to get a hold of (at the county).?
‘There was nobody to talk to locally,? Alberty added.
This isn’t your father’s township
Ferrari said HBs 4780-88 are ‘based on how it was in 1952,? when townships were largely agrarian and offered limited services.
‘This is 2007. We’re in the year of the full service township,? he explained. ‘Townships can provide the same level of service as any city or any village can.?
Besides, Oxford is not a rural township anymore.
‘We’re becoming more and more urbanized,? said Ferrari, citing increased development and population shifts to the north as proof.
If the state wants to look at ‘stripping? local governments as a way to help balance its budget, Ferrari said it should be looking at cities and villages too.
‘Everybody should be in that equation,? he said. ‘Segregating who gets taken over and who doesn’t isn’t good public policy.?

Comments are closed.