COMMITTEE OF THE WHOLE Minutes - 5/14/2019
Approved
CITY OF MUSKEGO
COMMITTEE OF THE WHOLE MINUTES
May 14, 2019
5:30 PM
City Hall, W182 S8200 Racine Avenue
CALL TO ORDER
Mayor Chiaverotti called the meeting to order at 5:42 p.m.
ROLL CALL
Present: Alderpersons Wolfe, Hammel, Borgman, Kapusta, Engelhardt, Kubacki and Madden.
Also present: City Attorney Warchol, Finance and Administration Director Mueller, Assistant
Finance and Administration Director Mustapich, Public Works and Development Director
Kroeger, Utility Supervisor Kloskowski and Deputy Clerk Blenski.
STATEMENT OF PUBLIC NOTICE
The Deputy Clerk stated the meeting was noticed in accordance with the open meeting law.
NEW BUSINESS
Health Insurance Renewal Update
Director Mueller stated the WPS health insurance renewal rate reflects an increase of 2%. The
increase equates to an additional $30,121 cost to the City. She also noted that the 2018 Health
Reimbursement Account (HRA) utilization decreased by 3.18% (31.81% to 28.63%). In an
effort to offset the increase the following options were presented:
An Increase in Employee Premium Contributions
Copay Alternate Plans
HSA/HDHP Options (with and without City funding)
Summary and detailed information for options were distributed to potentially offset the increase.
Director Mueller reviewed the material with the Committee.
The Committee members discussed the various options. Alderperson Wolfe supports Copay
Alternate Plan Option 1. Alderperson Kubacki suggested an increase in employee premium
contributions be considered. Alderperson Kapusta does not want to change anything right now.
Director Mueller summarized the options that were discussed:
1. Option 1 –
Provides the City with a cost savings of $37,614.00.
Monthly employee premiums would be slightly less; however, copay amounts
would increase.
2. Status Quo
Go with the health insurance renewal as presented. A 5% increase is in the 2019
budget. With a 2% increase effective as of July 1, 2019, there will be a cost savings.
Look at increasing employee premium contributions in the future. The unanimous
consensus of the Committee was to stay status quo. Director Mueller and Assistant
Director Mustapich were dismissed.
2
May 14, 2019
Reserve Capacity Assessment (RCA) Explained
The City’s Municipal Code defines the methodology of charges for sanitary sewer service. The
charges are broken into several components, which are a Consumption Charge, a Connection
Charge and a Reserve Capacity Assessment. Staff provided information in advance to provide
an explanation for the RCA. The information provides a basis for the reasoning of the original
implementation of the RCA charge. It also provides the basis for the difference between the
Consumption Charge, Connection Charge and RCA. There were no questions from Committee
Members.
MSP Heritage and Pinnacle Peak RCA Challenge and Process
Mayor Chiaverotti stated both developers filed a complaint with the Public Service Commission
(PSC) of Wisconsin against the City of Muskego Sewer Utility regarding the (RCA) fees. In both
cases, the PSC found that the RCA fees were reasonable. Director Kroeger noted that the
facility developed by MSP Heritage is unique. City Attorney Warchol stated the City worked with
MSP Heritage on several occasions to review the RCA charges. The City was extremely fair
and reasonable; the initial RCA fee was significantly reduced. In the end, MSP Heritage agreed
to the final RCA amount. Director Kroeger also noted that plans change during the course of
development. Attorney Warchol stated the City’s current Ordinance requires a calculation of
RCA fees at the time the building permit is issued. Because of plan changes that can occur as
Director Kroeger noted, it is very difficult to provide an accurate calculation at that time. The
City proposes to amend the Municipal Code to address that issue. First reading of the
Ordinance is on tonight’s Common Council agenda.
ADJOURNMENT
Alderperson Madden made a motion to adjourn at 6:25 p.m. Alderperson Kubacki
seconded; motion carried.
Minutes taken and transcribed by Jill Blenski, Deputy Clerk.