Mr.

Chair, you have a quorum.

Thank you, Madam Clerk.

And let us make sure media services are queued back up as well.

Thank you.

I want to uh first thank member vice chair for getting us started here this afternoon.

Really appreciate that, sir.

Uh we'll move to approval of the minutes.

Members have provided members have been provided the minutes from last meeting.

Is there a motion to do so?

Motion.

Hearing no objections, that action shall be taken.

We will try to move swiftly into our agenda first going into our public hearing, noting that this is our last budget finance and audit standing committee for this council session.

And so before I I get to the end, I would like to thank everybody from LPD, Mr.

Corley, Miss Barcliff, Ms.

Short, all of council staff, my team, uh the clerks, as well as the parliamentarian, uh, for all the amazing work that you have done over these past four years.

Uh it goes without saying.

I think this is the finest committee on council.

Uh, I may be a little bit biased, but uh what I will say is uh we have I believe provided transparency to the community, uh tried to educate them when possible about the budget process uh and ensure that we are passing uh funding uh as well as contracts and other legislation that ensures that our city stays fiscally stable for years to come.

So uh thank you all for your service and all you have done.

And don't want to leave out Mr.

Anderson as well uh from the law department.

Um so uh we have already taken care of public comment.

We will now call back to order our 110 p.m.

public hearing regarding the amendment of chapter 17 of the 2019 Detroit City Code Finance Article 2 budget division one allocation by adding section 17-2-30 reservation of budget allocation for elected office holders and certain years to ensure half of the fiscal year budget allocation be reserved for incoming elected office holders.

Uh here to help us discuss a little bit more about this, obviously is LPD uh who has uh helped put this ordinance together as well.

Law department is here uh as well.

This is something that we have discussed uh in length, uh but we are now at the public hearing stage, whereas if this is passed today, it goes in front of council, so the ordinance has the opportunity to be approved.

So if we can just do a brief overview and review uh of this ordinance, we'll take public comment as well.

So if you wish to participate in public comment regarding our 110 p.m.

public hearing, uh please indicate so now uh by raising your hand via the zoom feature.

Public comment going once, public comment going twice, public comment going three times.

Public comment is now closed for our 110 p.m.

public hearing.

Uh I will defer to you, Mr.

Corley, uh, to give a brief overview and then if Mr.

Anderson or Ms.

Barcliff would like to add on after that, uh they are more than welcome.

Floor is yours, sir.

Thank you, Mr.

Chair.

Good afternoon.

Uh City Council.

I just want to say, Mr.

Chair, it's been a wonderful pleasure working for you this last four years.

Uh you're you're wonderful.

Your staff is great, it's been great, and uh it's been an honor working with you, and I appreciate it.

And I look to work with you in some capacity in the future.

Honestly, sir.

So this is an ordinance to amend chapter 17 of the 2019 Detroit City Code.

Finance Article 2, budget division one.

Allocation by adding section 17-2-30.

Reservation of public, I'm sorry, of budget allocation for elected office holders in certain years to ensure half of the fiscal year budget allocation be reserved for incoming elected office holders.

Um every fiscal year in which there is a regular city general election, the total annual adopted general fund budget allocation for the elected office holders shall be divided into two separate budget allocations.

Each elected office holder shall receive 50% of the unencumbered budget allocation for the first six months of the fiscal year, being July 1 through December 31st.

The remaining 50% of the unencumbent budget allocation shall be reserved for the incoming elected office holder as determined by the regular city general election.

And I think it's is worth worth noting that Councilmember Letitia Johnson basically spearheaded this this um notion, this uh concept of ensuring that there's enough funds budgetarily for outgoing council members as well as incoming council members.

Um and so uh we appreciate her vision on that.

And so without further ado, that that should do it for now.

Thank you.

Uh any chime in from the law department through the Chair Graham Anderson Law Department.

No, I think uh Mr.

Quarley highlighted everything well.

Uh this is something that uh councilmember Johnson had problems with and is identified, and we hope that this uh ordinance shall resolve any issues.

I'd also like to mention that we're joined by uh Donnie Johnson as well.

Uh I I'm not sure if Mr.

Johnson has anything that he would like to include.

Yes, sir, Mr.

Johnson.

Sorry for leaving you up, Mr.

Johnson.

Through the chair while we wait for Mr.

Johnson, just a few definitions that I think are worth highlighting for the public.

In this case, we define budget to mean a plan of financial operations for a given period of time, including an estimate of all proposed expenditures from the funds of a local unit and the proposed means of financing the expenditures.

Budget does not include any of the following a fund for which a local unit acts as a trustee or agent, an internal service fund, an enterprise fund, a capital project fund, a debt or a debt service fund.

We define budget allocation period as the first six months of the fiscal year or the last six months of the fiscal year as determined by its relationship to an incoming or outgoing elected office holder.

Elected as the office holder means the mayor's office or means the mayor, each member of city council and the city clerk, and regular city general election means the primary and general elections to nominate a candidate and fill the elected offices of the city held in 2013 in every fourth year thereafter.

And uh with that, uh I see Mr.

Johnson has joined us.

Mr.

Johnson, please state your name for the record, sir, and proceed.

Thank you, Mr.

Chair.

Uh Donnie Johnson, I am the acting deputy chief financial officer and budget director for the city.

Um this ordinance really is essentially what we have already done with the resolution that this body approved a few months ago.

This ordinance essentially codifies into the city code the essentially the same provisions as the ordinance.

Um it provides uh clear definitions of budget and other things like that, but I see no issues administering this.

This is very straightforward, and it'll also allow for there to be um predictability so that folks know that it's coming, it's part of just the ordinary course of events moving forward, um, and folks won't be taken by surprise um when we do have the next general election and things like that.

So, from my perspective, this will make my life a little bit easier because it will again make this pro cyclical and predictable.

Thank you.

Uh and before I go to questions, I first just want to state uh a big shout out to Member Johnson uh for introducing the the resolution as well as the ordinance.

Uh member Johnson and I came in together prior to the council session because we both took seats which were vacated.

Uh and uh I had a surplus in my butt where I had funds available in my budget that were remaining, and she did not, uh, which uh highlighted an issue uh in the process itself.

So I think this is very great legislation uh to ensure uh a level of fairness for the incoming office holder uh that they can operate, they can serve their constituents, they can hire staff and do all the things necessary that they need to do to have their offices uh up and running.

So uh very great piece of legislation.

I do have one question uh regarding this.

Um let's say the 50 percent uh has already been encumbered, and the outgoing council person has a surplus, they have not expended their entire budget.

What happens to those remainder remaining funds?

Do they roll over to the next council member uh or not?

Uh yes, Mr.

Chair, those would roll over to the next council member unless the outgoing council member designates a use for them before they leave office.

So, you know, any sort of last minute expenses.

Um there's a also it's important for council members to remember that if they are leaving office um that the term is ending, that some of their staff may have vacation payouts and things like that.

So just being cognizant of that that surpluses may end up being used for bank payouts for folks who are separating from the city.

But uh, but if it's not used, it would just roll over into the into the next council members budget.

Thank you.

I'm sure the council member that's replaced me is gonna be happy to hear that.

Uh and any further questions from members.

Okay, seeing none, we will go now into public comment.

I do see we have someone here in the committee as a whole.

Mr.

Smith, do you wish to participate in this public comment?

But it's only regarding this 110 p.m.

public hearing, it's not general public comment.

And each member of the public will have two minutes for public comment regarding our 110 p.m.

public hearing.

Uh Mr.

Smith, I ask that you state your name for the record uh and proceed.

Uh Jadante Smith for the record.

I didn't have much time to study this uh because of uh the impromptu of the council members on this on this uh committee.

Um I just want to say it seems like we have a lot of uh you some some members may be lame ducks.

Um that's not a nice term, but um promptness to the residents who duly elected you guys uh into these positions is very, very important.

Um the budget, so the half-year budget allocation uh reserve for income and elected office holders, uh I think is is very wise for you guys to study this before you vote on anything when it comes to this because I've seen a lot of a lot of situations where there are things specifically to be voted on where a lot of members on different subcommittees and committee, the committee of the whole are very unaware of what's going on.

So I think um, especially for people who are leaving office.

I think for the people who come after you is very, very um responsible of you to make sure that you are informed before you make a decision on something regarding the budget and finance of them and their staff because it's gonna be very important that they have enough money allocated for their staff and the things they want to do across their district because a lot of districts are very much in need, uh especially district three, uh we'll say district one, uh, especially with the amount of um blight we have in those districts.

So the budget is very, very important.

Um and it seems like we have districts that are um very, very underserved, and so finances and budget is going to be very important when it comes to that.

Um we have not gonna say we haven't seen that so far, but um the future is just as important as today is, so we need to make sure we're making the best decisions for tomorrow as well.

Um also um I need to do more research on this myself, uh chapter 17 of the uh the city code and do some research on it myself.

But uh that's I I'll see my time because I didn't really do any research on this specific topic, but thank you.

Thank you, Mr.

Smith.

All right, good afternoon, Mr.

Payne.

How many callers do we have for our 110 p.m.

public hearing?

Mr.

Two, we have five callers for public hearing.

Okay, who is our first caller?

Our first caller is owner Papa.

Owner Papa, you have two minutes for public comment regarding our 110 p.m.

public hearing.

Please state your name for the record and proceed.

Good afternoon, Carolyn Hughes, and I don't know what record you're referencing.

Um the um the hearing that you're having today should have been held for the other amendment that you made to take or reallocate uh surplus funds.

Just as this needed a hearing, so did that.

Um you can't just uh reallocate surplus funds as you as you will.

You have to bring it to the people because um an amendment had to be made for that to happen.

And so you do you're doing a disservice to the people by um circumventing um basically law.

Um I'd like to ask Mr.

Graham, um, please explain some of the funds he mentioned that the city council member may hold.

He'd offered, he offered up projects and some other some something about bonds.

But I need him to spit give me the definition of uh what he says is budget again.

And to correct um Mr.

Johnson.

No, the funds would not remain in that office.

They would be unencumbered funds and they would go back to the general fund.

Uh it would be very unfair for council members to have Justice Ms.

Johnson started with less than the other council members.

It was unfair to her.

And that would be unfair if you and and and they don't belong to them anyway.

They, I mean, I don't I don't know uh the mindset of this council, but this money doesn't belong to you.

It belongs to the citizens.

So no, she would not that person would not be able to keep those funds.

Those funds, if unencumbered or unspent, I don't care what budget area they came from, would go back to the city and the general fund.

This is not your play-doh money.

Uh you get to do what you want to do.

This is not monopoly.

This is um a city of Detroit, a municipality, and we have rules that govern finances and how we handle finances.

That might be foreign to you, uh, Mr.

Durrell.

Thank you.

Thank you.

Now, for very aware.

Uh, if you read this ordinance and you understand the budget process, uh, we run from July into the end of June.

Uh so when an outgoing council member leaves office, the fiscal year, and which funds have been allocated for the city of Detroit is still ongoing.

Uh, and I believe you are correct.

No one states that uh that funding belongs to the council member, but the district and the office uh itself in their allocations or allotment, uh, if you will.

I'll allow Mr.

Anderson to tune in, just remember what she said.

I want to get through the rest of these uh because there may be a couple other questions.

Uh, but I would uh encourage you to read the ordinance and finally uh the first in which we passed was a resolution.

Uh and this is an ordinance codifying that into the city co as mentioned previously.

Next caller, please.

Our next caller is stop violating charter section six two zero five.

Caller, you have two minutes for public comment.

Please state your name for the record and proceed.

Can you hear me?

I I can, ma'am.

Okay, great.

So this looks very problematic.

Um, if there's money budgeted and they they don't use it, put it back into the general fund and like pay the retirees.

There's so many things that need to be funded.

Like, how about the health department that was never funded the introperly funded the entire time you were here?

Uh anybody here sitting in that table since it's never been properly funded since I moved back to Detroit in 2014.

Um, if people didn't spend their budget, they didn't spend their budget.

And then they shouldn't be able to just like go blow it on something because oh, they got it.

But you know what?

Because if if you're saying the other people need it, well then what are you talking about?

They're not properly budgeted for it.

They should already be budgeted for it.

So instead of keep thinking about you, put the money back in the general fund, unless you're telling me that the future uh office people uh incoming uh people elected officials and staff are that there's not not a budget for them.

So just put it back.

No, don't do this.

There's so many other things that need to be addressed.

You don't need to be giving extra money to council people, especially when they like so frequently don't even pay attention to residents, like the frequent fires and you know, the disrespect the people who bring repeatedly bring issues that don't get addressed yet and stuff like that.

So for that reason, I absolutely uh would not for forward this uh just put it back into the general fund, like you know, like if I call and ask and have you recognize and address the violations of Charter 6-205 repeatedly, or I ask that the master plan update process be truly inclusive and let people go to the master plan advisory committee meetings and then you just ignore me.

No more money.

You don't have a right to interrupt my public comment because it was all and you don't have the right.

I've got the right, ma'am.

That's the discretion of the chair.

Uh next caller, please.

Our next our next caller is phone number ending in one two four.

Phone number ending in one two four.

You have two minutes for public comment regarding our one ten p.m.

public hearing only.

Please state your name for the record and proceed.

Caller, are you there?

You violated my right to speak again, Mr.

Durr.

Thank you.

You've had your time.

Appreciate that, Ms.

Work.

Got your last three seconds.

Next caller, please.

Phone or next caller's phone number ending in 482.

Phone number ending in 482.

You have two minutes for public comment regarding our 110 p.m.

public hearing.

Please state your name for the record and proceed.

Yeah, this is directly related to the uh hearing.

Um, so I hope you don't use your discretion to uh in my public comment before my allotted time is uh expired.

Now that you have Detroit municipality within the state of Michigan is uh under the government of municipal, the 2001 municipal finance act.

In contrary to the opinion of the Office of Inspector General, the 2001 revised municipal act does apply, does apply to the city of Detroit, and we are not no longer ruled by the 1909 home rule um part of Home Rule Act.

So what uh was said by Miss Hughes is very prevalent in this discussion in this uh particular matter.

Um the money should not be uh how should we say rolled over uh into um whatever kind of fund you're talking about, it should go back to the general fund, but it can be reallocated for purposes.

Now, and contrary to what the Don K Smith said, um they these are not duly elected officials, and when we're talking about finances, the 2001 Michigan 2001 revised municipal finance act supersedes and um overvised and overrules any other act that was in place before that was enacted.

Now, uh Mr.

Durhoff.

And I'll take it to you specifically.

Um your tenure on the Detroit City Council and voting on municipal matters.

We're talking about millions, hundreds of millions.

Man, um, but in regards to the ordinance, uh, again, for folks to understand uh for what has been suggested from public comment, and we'll go over it again after public comment.

You are suggesting that uh the next council member and or elected office member comes in with absolutely no funding.

Uh, and what we are stating is we're earmarking 50 percent of what has already been allocated in that current fiscal year for the incoming office holder.

What be will what would be rolled over uh was re or is remaining funds from something that has already been allocated already in that same cost center call uh and allowing maybe more funding for that council office, but just due to the previous budget uh that existed or how the previous council members spent their dollars uh and their allotment for district purposes and I'm sure other purposes that Mr.

Anderson is going to clarify momentarily.

Next caller, please.

Our last caller is Karen Winston.

Ms.

Karen Winston, you have two minutes for public comment.

Please state your name for the record and proceed.

Yes, huh?

Yes, ma'am.

Okay, great.

Um yeah, uh it's it's all clear as mud uh to me as well, because I would think that if the if funds were left over, then they would be unencumbered and they should uh return to the the general budget, general fund budget.

But um we we need we need that the citizenship citizenry needs more time to you know you guys have these documents right in front of you, and just like you stated, you tried to make correction and just only made it clear as much to me, uh trying to clarify, and it did not clarify.

If there was money left over, it wasn't spent, it's just like any other uh fund uh budget fund, it just it's just left over, it doesn't go in and then you encumber another half.

So I'm gonna understand what you said right, and then you're gonna get 50% off the jump for that district, and everything just needs to be citywide.

When you start getting in the districts, it starts drawing lines.

I don't like the lines being drawn.

Thank you, uh, for my time.

Thank you, Miss Winston.

Uh, so if we can dive deeper into this, it is not as complicated uh as folks um may understand it to be.

Um, I will go to Ms.

Barcliff first to clarify, then I'll go to you, Mr.

Anderson.

Ms.

Barcliff.

Good afternoon.

I think just for clarity for the public, what is happening is at the beginning of a fiscal year, typically a um an office receives a city council office receives 100% of their budget.

And with what is happening during a um an election year, is that at the beginning of the fiscal year, 50% of the budget is released.

So that the money is not going to into any other funds, it is staying within that office.

The purpose of this to is is to ensure that the incoming council member, whether incumbent or new a newly elected council member has at least 50 percent of their budget beginning the term, beginning at the at the half point in the term.

There is no different funds that this money is being diverted to, and I hope that provides some clarification.

I I think you said it plain and clear, uh, and I appreciate you, Ms.

Barcliff.

Uh, I hope it is understood as well.

Um, again, the money does not go, and this is I think where the understanding is not happening.

It is not for the person that is elected, it is for the office that exists.

And the office that exists, whether districts one through seven or two at-large offices or the mayor's office or the clerk's office, are allocated a budget each fiscal year.

What we are saying is to Miss Barcliff's point to ensure that fairness occurs, particularly in the instance that a new or a new another elected official or new elected official comes in to that office, that they have the opportunity to have at least 50 percent of their budget to operate.

Uh again, this is not any uh unencumbered funds per se.

Uh these are funds that are still ongoing because the fiscal year does not end until the end of June.

So I hope that provides even more clarity.

Mr.

Anderson through the chair to add on to that, uh thank you, Sister Council for explaining that.

In addition, I want to highlight the the definition of budget again here, because it it states budget means, and this really a plan of financial operations.

We are talking about how each office operates.

That's the funding that we're talking about in this case.

So a budget means a plan of financial operation for a given period of time, which we just went over, including an estimate of all proposed expenditures from the funds of a local unit and the proposed means of financing and expenditures.

Now I think there was some confusion on this.

The budget does not does not include any of the following.

Not included, a fund which the local unit acts as a trustee or an agent, an internal service fund, an enterprise fund, a capital project fund, or a debt service fund.

I hope that provided additional clarity.

Thank you, Mr.

Anderson.

Mr.

Johnson, any need to weigh in or no?

Thank you, sir.

Okay, that being stated, uh again, I hope that's clear that we've went over this before again with the resolution.

This is the ordinance to codify the resolution.

Uh, with that, member young, is there a motion to send line item five or one ten p.m.

public hearing informal with the recommendation to approve?

Motion.

Hearing no objections, that action shall be taken.

Thank you very much, Mr.

Johnson.

Uh chair recognizes you, member vice chair.

I just want to say, do we need to uh make a motion to approve the minutes?

Uh we have already.

We did already okay.

Thank you, Member Vice Chair.

Uh I'm finished business.

There is none.

We are going to move over to new business under the Office of Contracting and Procurement Line Item 7.1 submitting a resolution of authorization for contract number 6007 148, 100% city funding to provide a mobile field app to enhance the efficiency of property assessments during appraisal work.

Contractor pivot point partners, total contract amount, five hundred and ninety-seven thousand seven hundred and sixty-two dollars and fifty cents, and this is for the office of the chief financial officer.

Motion to discuss line item 7.1.

Motion.

Hearing no objections, that action shall be taken.

Join and joining us, I think we have our assessor, Mr.

Alvin Horn, as well as Latrice Yelder.

If they could raise their hands, I don't think we see them online.

Uh Mr.

Johnson.

I'm assuming he's gonna pop back up, or we have Mr.

Washington.

I I I assume Mr.

Johnson was gonna pop back up.

Uh we have Mr.

Washington, whoever would like to proceed.

Good afternoon through the chair.

Um I believe this is Mr.

Horns item.

If you could bring it back to the end, I'll reach back out to him.

Okay.

Is there a motion to bring back line item 7.1 to the end of our agenda?

Discussion.

With discussion.

Chair recognizes member vice chair.

If I asked the questions about this item that's more uh technologically based, more involving uh I I I guess it calls cybersecurity or hacking.

Um would would the people would the people here be the people to ask, or should we ask somebody from do it?

Through the chair, um that would be for do it.

Okay.

So is there is there a way which you can find if somebody from do it is available for this question for these questions during that time, or should I just ask it on Tuesday?

Through the chair.

No, no, go ahead.

Uh yes, through the chair.

Um, I can reach out to Director Thompson and see if he or someone from this team can join us.

Yeah, I appreciate that.

Thank you.

Thank you, Member Vice Chair.

All right, so we'll move to line item 7.2 submitting a resolution about authorization for contract number six zero zero seven five one three, one hundred percent city funding to provide facility management services for DPSH.

Contractor Jones Lang LaSalle America's total contract amount two million forty thousand dollars, and this again is for the office of the chief financial officer.

Motion to discuss line item seven point two.

We should have Mr.

Tyrone Clifton and Arnida Clark joining us for line item seven point two.

Through the chair, I do see Roger Short has joined us.

Okay.

We can promote Mr.

Short, please.

Mr.

Chair, Mr.

Chair, uh that's Renee Short online.

Oh, is it that's not I don't know.

I think we're talking about Roger Short, Mr.

Short.

Roger Short is not online, Mr.

Chair.

Mr.

Washington.

You have the treasurer.

I gotta go to the bathroom.

So uh while we wait on Mr.

Short, we'll take a short recess at the call of the chair.

Right.