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COMMITTEE OF THE WHOLE Packet - 6/23/2015 CITY OF MUSKEGO COMMITTEE OF THE WHOLE AGENDA June 23, 2015 6:00 PM City Hall, W182 S8200 Racine Avenue CALL TO ORDER PLEDGE OF ALLEGIANCE ROLL CALL STATEMENT OF PUBLIC NOTICE APPROVAL OF AGENDA APPROVAL OF MINUTES - June 9, 2015 NEW BUSINESS 1. 2016 Budget Goals Discussion COMMUNICATIONS AND MISCELLANEOUS BUSINESS AS AUTHORIZED BY LAW ADJOURNMENT Possible reconvening of the Committee of the Whole immediately following Common Council Meeting of the same date to continue work on agenda items NOTICE IT IS POSSIBLE THAT MEMBERS OF AND POSSIBLY A QUORUM OF MEMBERS OF OTHER GOVERNMENTAL BODIES OF THE MUNICIPALITY MAY BE IN ATTENDANCE AT THE ABOVE-STATED MEETING TO GATHER INFORMATION; NO ACTION WILL BE TAKEN BY ANY GOVERNMENTAL BODY AT THE ABOVE-STATED MEETING OTHER THAN THE GOVERNMENTAL BODY SPECIFICALLY REFERRED TO ABOVE IN THIS NOTICE. ALSO, UPON REASONABLE NOTICE, EFFORTS WILL BE MADE TO ACCOMMODATE THE NEEDS OF DISABLED INDIVIDUALS THROUGH APPROPRIATE AIDS AND SERVICES. FOR ADDITIONAL INFORMATION OR TO REQUEST THIS SERVICE, MUSKEGO CITY HALL, (262) 679-4100. Unapproved CITY OF MUSKEGO COMMITTEE OF THE WHOLE MINUTES June 9, 2015 5:45 PM City Hall, W182 S8200 Racine Avenue CALL TO ORDER Mayor Chiaverotti called the meeting to order at 5:48 pm. PLEDGE OF ALLEGIANCE Those present recited the Pledge of Allegiance. ROLL CALL Present: Aldermen Wolfe, Borgman, Kapusta, Kubacki and Madden. Aldermen Hammel and Engelhardt arrived at 5:57 pm. Also present: City Attorney Eric Larson and Deputy Clerk Blenski. STATEMENT OF PUBLIC NOTICE Ms. Blenski stated the meeting was properly noticed. APPROVAL OF MINUTES Alderman Borgman made a motion to approve the May 26, 2015 minutes. Alderman Kubacki seconded. Motion Passed 7 in favor. NEW BUSINESS 1. Discussion and possible action to prevent future difficulties with Councils Rights to reconsider Votes/Actions, including resolution of current issues regarding Ordinance #1396 Mayor clarified Municipal code 2.16 that was referenced in Ald. Borgman’s email to all of the Aldermen yesterday. Mayor also clarified the process for an Alderman to place an item on the Council agenda that was determined by the Council at the recommendation of the City Attorney just a couple of years ago whereby “future agenda items” was added to the Council agenda. This item has been discussed every few years since 2005. Alderman Wolfe requested clarification of amended agenda vs. an alderman adding something to the agenda. Attorney Larson provided clarification noting that agenda items are set by the Mayor but come from committee or staff. Staff is knowledgeable of the laws applicable. Alderman Wolfe inquired if staff could more readily respond to residents that submit a petition as to whether it meets requirements. Attorney Larson stated that staff should not respond on the spot and cannot provide legal advice. Petitions should have proper review, consult with the City Attorney and then communicate sufficiency or deficiency to the Common Council. The petitions are submitted to the Council and the City Attorney and staff report to the Council. Attorney Larson clarified how a reconsideration can be addressed which involves an Alderman making a motion under Future Agenda Items at the same meeting the item was adopted. A second and majority vote would need to follow to be placed on the next agenda. Alderman Kubacki offered the reconsideration process in private sector as compared to public sector and suggested the question be asked of the Council under Future Agenda Items if there is any reconsideration. Alderman Madden asked Alderman Borgman why he changed his mind on ordinance #1396 when he so passionately voted for it just two weeks earlier. Alderman Borgman stated that after the vote he received a phone call from the developer, Mr. & Mrs. Jewel. Alderman Borgman inquired of them if they had submitted a road access request to the County yet. The Mayor clarified that this and many other items are included in the BSO with the approval being contingent on the BSO and is consistent with best practices for developments. Alderman Madden reminded the Council that the City has worked very hard for many years to have the good reputation we currently have for working with business and developers and added restrictions would take back us backward. Alderman Borgman called attention to the recent ordinance #1396 approval stated “contingent on the Building Site and Operation Plan approval.” It is his opinion the ordinance and rezoning has not taken effect. Attorney Larson’s legal opinion is that it has taken effect upon publishing of the ordinance after approval. Alderman Borgman suggested the boiler plate be changed and that all approvals including easements, accesses, full plans, etc. be submitted and approved before an ordinance for rezoning can take place. The Mayor noted the City’s process is consistent with best practices for planning and development and in line with other municipalities. The Mayor acknowledged that the Council can determine its own rules in this matter but this action would significantly impact development in the City and could bring it to a halt. No more discussion took place. 2. Presentation by City Attorney Eric Larsen regarding Open Meeting and Public Records Laws Attorney Larson did a brief overview of the Open Meeting Law, Public Records and Ethics for Municipal Officials. A copy of the presentation is available at the City of Muskego Clerk's office. ADJOURNMENT Alderman Kubacki made a motion to adjourn at 7:04 pm. Alderman Madden seconded. Motion Passed 7 in favor. OVERVIEW The budget for the City of Muskego serves a number of functions and is an extremely important work product of the municipality. At a basic level, the budget is a balanced financial plan which gives city officials authority to incur obligations and pay expenses through the convergence of public policy, financial oversight and operational accountability. It allocates resources among departments, reflecting the legislative body's priorities and policies through long-term goals. The budget also conveys to the citizens the municipality's elected body's vision for the future and assists in their communication to constituents why they have allocated the resources in the manner that they did. Following is a listing of proposed broad goals which promotes the preservation of the community's fiscal health: ●Apply Net New Growth as Allowed per State Levy Limit to Maintain and Enhance Services for a Growing Community ●Maintain High Bond Rating ●Limit One-Time Funding Sources ●Avoid Depletion of Special Revenue Funds & Utilize for the Purpose Created ●Support Economic Drivers to Ensure Long-term Viability, Including TID Creations and Incentives ●Strengthen Efficiencies / Implement Shared Services ●Recognize and Respect the Expertise of Incumbent Employees / Set Rate Increases with COW Recommendation Based on Supporting Data ●Abide by General Operating Fund Balance Policy ●Improve Transparency through Budget Goal Setting as a Collaboration Between COW, Mayor & Staff FUND BALANCE The City's fund balance policy addresses the ideal level of fund balance to be maintained in the General Fund which is the primary operating fund of the City, as well as Committed Special Revenues. In general, as recommended by the City Auditors and GAAP, the policy objectives are to provide for the following: - working capital to meet cash flow needs during the year (2 to 4 months of budgeted expenditures from the subsequent year) - preserving the City's credit rating for borrowing monies at favorable interest rates and minimizing fees - a comfortable margin of safety to address unanticipated expenditures / emergencies and unexpected declines in revenue due to economic downturns, natural disasters, etc. - a resource to stabilize fluctuations from year to year in the property taxes paid by the City of Muskego taxpayers - unfunded portion of accrued compensated absences liability BUDGET CATEGORIES As defined per State Statute, the City's budgets are presented using budget categories which include various departments & accounts. The following chart provides brief comprehensive objectives for budget development of each category. BUDGET CATEGORY DEPARTMENT / ACCOUNT GOALS / DESCRIPTION General Government:Continue, Strengthen or Seek Additional Efficiencies (see attached supporting COLA documents) Mayor/Council Request COW Direction for Wage Adjustments Finance & Administration Assessor Law Propose In-House Attorney (overwhelming staff support for this proposal) Non-Departmental Municipal Court Building Maintenance Information Technology Potential '911' Coorperative Agreement Growth in collaboration with the Police Department Public Safety:Maintain a Volunteer Fire Service for Tax Payer Benefit/Enhance Drug Awareness Police Patrol Training & Equipment for Motor Carrier Enforcement Officer (ex. refuse hauling enforcement) Civilian Patrol Volunteer Fire Non-Departmental CDD-Building Inspection Health & Human Services: Animal Warden Public Safety Supplies CITY OF MUSKEGO 2016 SUMMARY BUDGET GUIDE BUDGET CATEGORY DEPARTMENT / ACCOUNT GOALS / DESCRIPTION Public Works:Continue Safe & Well Maintained Infrastructure, Parks & Regional Drainage Issues Engineering PW Administrative PW Maintenance PW Street Signs PW Storm Water PW Snow Removal PW Street Lights PW Machines & Equipment PW Garage Bridges & Dams Weed Cutting Culture, Recreation & Education:Maintain or Improve and Prioritize Master Plans Parade & LML Contribution Library Recreation Enhance Program Quality and Efficiency of Services Provided / Shared Services Cooperative Agreements / Continue Non-Compete Policy with Local Businesses Conservation & Development:Efficiencies/Support Economic Drivers to Ensure Long-term Viability Planning Division CDA Economic Development Maintain TIF Residual Funds for Future General Economic Development Utilization (Loans vs. Grants) Conservation Allocate 25% of Conservation Coordinator/Forester Wages & Benefits (over a 4-year period) to Operating Budget from Conservation Fund (Funding from Tax Levy vs. Landfill Funds) Capital Outlay:(General Operating Budget) Continue General Accepted Accounting Principles Computer Replacements Includes: Mobile Devices Annual Equipment Replacements Police Estimated Useful Life over 1 Year Public Works Cost in Excess of $5,000 (General) & $10,000 (Infrastructure) Contingency: Non-Departmental 0.5% Minimum of Operating Expense for Unforeseen Events. Debt Service:Limiting Borrowing to Long-Term Projects, Not to be Financed From Current Revenues General Final Maturity of Bonds/Notes Should Not Exceed Expected Useful Life of Project (over 10 years) CDA Lease Keeping within the Statutory Limit of 5% of the Equalized Valuation of Taxable Property Fees & Service Charges Providing a Cap on Total Annual Debt Service for General Obligation Debt (30% of Revenues) Maintain Communications with Bond Rating Agencies & Provide for Full Continuing Disclosure Special Revenue: Park Dedication 10% Contribution from Landfill Tipping Fees Per Agreement for Parks Projects Park Improvement Fund Tracks Subdivider Fees Against Relative Projects - Earmarked for District 7 Park Refuse & Recycling Maintain User Rates for Waste Removal Service Fees Revolving Loan State Funding Loaned to Local Businesses at a Discounted Rate EPI & Future Parkland Administrative & Committee Fees to Monitor Landfill Operations Under Terms of Contract & Standing Committees Engineering Fees Incurred for Oversight of Former Briggs & Stratton Landfill. Cable TV General Fund Designation for SIRE (Document Management) Annual Maintenance Expense Landfill Maintain minimum $1,000,000 Fund Balance Under Terms of Contract Well Testing Reserve 10% Contribution from Landfill Tipping Fees Per Agreement for Private Well Tests Land & Open Space Conservation 10% Contribution from Landfill Tipping Fees Per Agreement for Respective Projects Storm Water Priority Funding Per Landfill Agreement for Respective Projects Residual TIF/Capital Improvement Designated for Local Business Loan & Grant Program (Resolution #105-2009) TID #8 - Freedom Square TID #9 - CDA TID #10 - Moorland Gateway Community Development Authority Operating Expenses Incurred by Authority for Redevelopment of Identified Areas Compensated Absences Fund Maintain Full Funding in Reserve/Fund Balance - Utilized for Employee Payouts *Assessment Fund Allocate $25K in Annual Operating Budget for Contracted Property Revaluation Expense * Equipment Fund Allocate $25K in Annual Operating Budget for Various Equipment Needs, including VFD *Facilities Needs Fund Dedicate up to 10% to Facilities Needs as Funds Become Available Note: * Proposed New Account or Designated Fund Capital Borrowing/Expenditures (funded by Landfill Host Fees): Recreation Participate in Cost Sharing Program with School District Facility Needs Campus Location for Police Department & City Hall / Public Works Expansion / Recreation Dedicate Tax Increments for Relative Principal & Interest Payments