THANK YOU. THANK YOU ROTARIANS AND GUESTS FOR ALLOWING ME TO SPEAK WITH YOU TODAY.

I WANT TO ESPECIALLY THANK THE OTHER 16 MEMBERS OF THE KALAMAZOO COUNTY BOARD OF COMMISSIONERS FOR ALLOWING ME TO REPRESENT THEM AS THEIR CHAIRMAN.

LET ME FIRST TAKE A MOMENT TO RECOGNIZE SOME ELECTED AND APPOINTED OFFICIALS WHO ARE HERE TODAY.

AND LASTLY I WANT TO RECOGNIZE, THANK AND INTRODUCE MY WIFE TONI TO THOSE OF YOU WHO DON'T ALREADY KNOW HER.

I AM HERE TODAY TO REPORT ON THE STATE OF THE COUNTY. I WILL BE BRIEF AND TO THE POINT, AS I USUALLY AM.

LADIES AND GENTLEMEN, THE STATE OF THE COUNTY OF KALAMAZOO IS GOOD, BUT IT IS VERY, VERY CHALLENGED. LOCAL GOVERNMENTS THROUGHOUT MICHIGAN ARE UNDER TREMEDOUS FINANCIAL PRESSURE GIVEN OUR STATES FISCAL CRISIS AND THE ECONOMIC RECESSION THAT HAS PLAGUED MICHIGAN SINCE 2001. THESE ARE INDEED HARD TIMES FOR MICHIGAN BUSINESSES, STATE AND LOCAL GOVERNMENTS, AND FOR ALL OF OUR CITIZENS AND NEIGHBORS.

MANY JOBS HAVE LEFT KALAMAZOO COUNTY OVER THE LAST FEW YEARS, GOING ALL THE WAY BACK TO THE CLOSING OF THE GENERAL MOTORS STAMPING PLANT. BUT KALAMAZOO COUNTY IS VERY RESOURCEFUL AND RESILIENT. MID-LINK IS A GOOD EXAMPLE OF WHAT WE CAN DO IF WE PUT OUR EFFORTS TOGETHER. WE ARE SURVIVING IN THE NEW WORLD, BUT WE MUST CONTINUALLY LOOK FOR NEW RESOURCES AND AREAS OF JOB DEVELOPMENT TO SURVIVE.

IN THIS NEW ENVIRONMENT, OUR COUNTY GOVERNMENT IS EVOLVING TO MEET THE CHALLENGE OF PROVIDING ESSENTIAL PUBLIC SERVICES WITH SHRINKING REVENUES.

AND WE ARE UP FOR THAT CHALLENGE!

KALAMAZOO COUNTY GOVERNMENT IS WORKING HARD TO LIVE WITHIN ITS MEANS. COUNTY GOVERNMENT AS A WHOLE HAS HAD TO CUT OVER 60 JOBS AND 10 MILLION DOLLARS FROM OUR OPERATING BUDGET OVER THE LAST 4 YEARS. THIS JUST DIDN'T HAPPEN BECAUSE THE BOARD OF COMMISSIONERS WISHED IT. ALL DEPARTMENTS, AND OTHER ELECTED OFFICIALS WORKED HARD TOGETHER TO COME TO AGREEMENT ON WHAT WAS BEST FOR OUR COMMUNITY AS A WHOLE. WE WILL CONTINUE EXERCISING STRICT BUDGET DICIPLINE. WE ARE IN THE SECOND YEAR OF A FIVE-YEAR PLAN TO FURTHER REDUCE OPERATING EXPENDITURES. WE WILL ACCOMPLISH THIS THROUGH A COMPETE STRATEGIC REVIEW OF ALL COUNTY GOVERNMENT PROGRAMS AND SERVICES, AND THROUGH THE USE OF OUTCOME BASED BUDGETING.

WITH ALL THAT SAID, COUNTY GOVERNMENT HAS STILL BEEN WORKING WITH OTHER LOCAL UNITS OF GOVERNMENT AND TAKEN THE LEAD ON SEVERAL VERY IMPORTANT ISSUES FOR OUR COMMUNITY.

IN JANUARY OF 2006 WE APPOINTED THE KALAMAZOO COUNTY TRANSPORTATION AUTHORITY. THEY WENT RIGHT TO THE WORK, ASKED FOR AND GOT APPROVAL FOR A MODEST .45 MILLAGE TO SUPPORT NOT ONLY CARE-A-VAN AND DOOR-TO-DOOR SERVICE FOR OUR SENIORS, BUT ALSO FOR THE OVERALL LINE HAUL SYSTEM OF METRO TRANSIT. TOGETHER WITH THE CITY OF KALAMAZOO THE AUTHORITY IS WORKING TO COMPLETE THE TRANSITION OF A BY THE END OF 2008.

LADIES AND GENTLEMEN, THAT IS TRUE ITERGOVERNMENTAL COOPERATION AND PERHAPS ONE OF THE SINGLE GREATEST ACCOMPLISHMENTS OF GOVERNMENTS WORKING TOGETHER IN THE HISTORY OF KALAMAZOO COUNTY.

THE CITY AND COUNTY OF KALAMAZOO HAVE BEEN WORKING CLOSELY TOGETHER ON THE LOW INCOME HOUSING ISSUE. TOGETHER, WITH THE COUNTY'S PUBLIC HOUSING AUTHORITY AND THE STATE OF MICHIGAN, THEY CREATED A FUND OF $1,000,000.00 THAT IS COMMITTED TO LOW INCOME HOUSING ASSISTANCE. JUST LAST WEEK THE COUNTY BOARD APPROVED THE TWO CONTRACTS NEEDED TO PROCEED AND THE HOUSING AUTHORITY IS ON TRACK TO IMPLEMENT THIS PLAN VERY, VERY SOON.

WE ARE CONTINUALLY WORKING WITH AND TALKING TO OTHER UNITS OF GOVERNMENT FOR OPPORTUNITIES TO COOPERATE WHERE IT MAKES SENSE, WITHOUT REMOVING LOCAL IDENTITY. LOCAL GOVERNMENTS IN KALAMAZOO COUNTY ARE COOPERATING BETTER THAN EVER. THE RELATIONSHIP BETWEEN THE CITY OF PORTAGE, KALAMAZOO AND KALAMAZOO COUNTY IS AT AN HISTORIC HIGH POINT. KUDO'S GO TO MAYOR'S MCKINNEY AND STRAZDAS FOR THEIR CONTINING EFFORTS AND LEADERSHIP IN THE AREA OF CO-OPERATION AND SHARED SERVICES.

THE COUNTY PLAYS A LARGE, BUT OFTEN SILENT ROLE IN ECONOMIC DEVELOPMENT. WE ARE A PRIMARY PARTNER OF SOUTHWEST MICHIGAN FIRST, AND SUPPORT THEM WITH AN ANNUAL APPROPRIATION TO HELP IN THEIR EFFORTS. ONE ECONOMIC DELVELPMENT TOOL WE DO HAVE AT THE COUNTY IS OUR AIRPORT. IN OCOBER THE COUNTY BOARD, AFTER OVER 20 YEARS OF OPERATING THE AIRPORT, ESTABLISHED THE NEW AERONAUTICS BOARD TO OVERSEE THE KALAMAZOO/BATTLECREEK INTERNATIONAL AIRPORT.

THE MEMBERS OF THE NEW AERONAUTICS BOARD ARE BUSINESS AND AERONAUTIC PEOPLE WHO BRING THEIR COMMITMENT, EXPERTISE, AND A FRESH NEW LOOK TO THE AIRPORT. THE BOARD IS CURRENTLY IN THE PROCESS OF GETTING A FRESH LOOK AT WHAT ANY FUTURE EXPANSION AT THE AIRPORT WOULD LOOK LIKE, TAKING INTO CONSIDERATION FUTURE CONDITIONS AND WHAT WE HAVE TO SPEND OVER THE NEXT FEW YEARS. MARKET DEVELOPMENT IS A KEY IN PLANNING, AND ALSO A KEY IN SECURING ANY NEW FUTURE DESTINATIONS AND AIRLINES FOR OUR AIRPORT.

WE LOOK FORWARD TO THIS NEW APPROACH IN MAKING THE AIRPORT THE BEST ECONOMIC ENGINE OUR COMMUNITY CAN EMAGINE.

WE ARE CURRENTLY LOOKING FOR ONE NEW MEMBER FOR THIS BOARD AS WE HAD A RESIGNATION DUE TO A CONFLICT LAST WEEK.

I AM SURE YOU ARE ALL AWARE OF OUR EFFORTS TO REPLACE OUR AGING JUVENILE HOME. WITH A VOTER APPROVED BOND REQUEST WE ARE WELL ON THE WAY TO GETTING THAT DONE. WE HAVE HIRED A LOCAL CONSTRUCTION MANAGER, CSM GROUP, TO GUIDE US THROUGH THIS PROCESS. CURRENTLY THE DESIGN TEAM OF INDIANAPOLIS BASED RQAW AND KALAMAZOO BASED BYCE AND ASSOCIATES, ARE WORKING ON THE FIRST STAGES OF THE DESIGN PROCESS, AND PROVIDING THAT THE SCHEDUAL HOLDS, WE WILL BE IN THE NEW JUVENILE HOME BY LATE 2008, WITH THE OLD HOME BEING DEMOLISHED EARLY 2009.

IN CONJUNCTION WITH THIS IN JANUARY I APPOINTED A NEW TASK FORCE, THE JUSTICE ISSUES TASK FORCE, TO BRING TO THE TABLE ALL PARTIES NEEDED TO DEAL WITH ALL JUSTICE ISSUES WHOLEISTACLLY. WE NEED TO WORK TOGETHER AS A COMMUNITY TO SOLVE OUR JUSTICE PROBLEMS, AND I WILL BE ASKING MANY INDIVIDLUALS TO PARTICIPATE AT ONE TIME OR ANOTHER TO HELP US ACCOMPLISH FAIR AND EQUAL JUSTICE IN KALAMAZOO COUNTY.

AMONG MANY ISSUES ONE OF THE FIRST CHARGES IS TO DEAL WITH THE EVER PRESENT PROBLEM WE HAVE WITH OUR OVERCROWDED AND UNSAFE JAIL. I LOOK FOR A SET OF RECOMMENDATIONS FROM THE TASK FORCE LATER THIS YEAR.

AS I MENTIONED EARLIER, WE HAVE CUT OUR ANNUAL OPERATING EXPENSES OVER THE LAST SEVERAL YEARS, AND WE HOPE TO CONTINUE ON THAT PATH. AS WE DO THIS WE HAVE BEEN INCREASING OUR CAPITOL SAVINGS BUDGET. WE ARE SETTING ASIDE MONEY FOR THE FUTURE, IN ORDER TO HELP SOLVE OUR JAIL PROBLEM. WE HAVE PLACED THIS MONEY IN A SPECIAL FUND, THE JUSTICE FACILITIES IMPROVEMENT FUND, IN ORDER TO HAVE SOME MONEY SAVED TO HELP WITH THE SOLUTION. BY 2010 WE SHOULD HAVE ABOUT 18 MILLION DOLLARS SAVED FOR THAT PURPOSE, IF ALL GOES WELL.

I BELIEVE THAT THIS SHOWS THE COMMUNITY THAT COUNTY GOVERNMENT HAS BEEN GOOD STEWARDS OF THE TAX DOLLAR BY SAVING THIS MUCH TOWARDS THE SOLUTION AT THE JAIL. THIS WILL IN TURN REDUCE ANY BOND ISSUE WE MIGHT NEED TO GO TO THE PUBLIC FOR IN THE FUTURE.

LOOKING AHEAD, COUNTY GOVERNMENT WE WILL CONTINUE TO WORK TOGETHER WITH OTHER UNITS OF GOVERNMENT AND CITIZENS OF OUR COMMUNITY TO PROVIDE ESSENTIAL SERVICES AND HELP IMPROVE OUR LOCAL ECONOMY AND WORK PICTURE.

I BELIEVE WE DO HAVE SOME DIFFICULT TIMES AHEAD, BUT WORKING TOGETHER WE WILL MAKE KALAMAZOO COUNTY A PLACE WHERE OUR CHILDREN AND GRANDCHILDREN WILL BE PROUD TO CALL HOME.

I TRULY BELIEVE THAT OUR FUTURE IS AS BRIGHT AS IT HAS EVER BEEN.

THANK YOU FOR YOUR ATTENTION TODAY AND HAVE A GREAT AFTERNOON.