Board approves Paycom compensation and evaluation tool after debate over recurring cost

The Lapeer County Board of Commissioners approved a countywide purchase of Paycom's compensation, performance-evaluation and budgeting tool at an approximate annual cost of $14,690, after an extended exchange about recurring cost and budget impacts.

County staff described the purchase as a combined performance review and budgeting module that would centralize employee files and allow the county to document performance reviews and training. A staff presenter said the tool would replace a manual process and help with accountability and record-keeping.

Commissioners voiced concerns about the annual cost and whether the fee should be paid from contingency. One commissioner said he was "not happy with the price tag" and warned that once adopted the county could face ongoing costs in future years. Another commissioner said developing an in-house solution would likely cost more in staff time and that a centralized tool could pay for itself in improved staffing decisions and accountability.

Finance staff reported a remaining contingency balance "of $2,296,000 as of today," and commissioners discussed using contingency if necessary. After discussion and questions about alternatives and integration with Paycom, the motion to purchase the Paycom module was moved, supported and approved by voice vote. The finance department was authorized to prepare and process the appropriate budget amendment.

Why it matters: the tool creates a recurring software-as-a-service budget item and centralizes personnel records and evaluations; commissioners highlighted potential long-term benefits for managing staff performance and defending staffing decisions, while also flagging the ongoing cost.

The board voted to proceed; administration will prepare budget amendments and monitor the line-item impact in future budgets.