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COMMITTEE OF THE WHOLE - MINUTES - 10/10/2002 COMMITTEE OF THE WHOLE – CITY OF MUSKEGO (Approved) MINUTES OF MEETING HELD October 10, 2002 Mayor Slocomb called the meeting to order at 7:05 PM. Also present were Ald. Salentine, Le Doux, Damaske, and Patterson, Finance Director Dawn Gunderson, and those per the attached list. Ald. Sanders, Madden and Petfalski were excused. All in attendance recited the Pledge of Allegiance. Mayor Slocomb noted the meeting was noticed in accordance with the Open Meeting Law. Minutes of the August 22, September 5, September 12, September 19, September 26, and October 3, 2002 Committee of the Whole meetings were not available for approval. Unfinished Business 1. Continue discussion of 2003 Capital Budget – Finance Director Gunderson presented spreadsheets on the 2003 Capital Budget items and how they are financed and also the 5-year Capital Plan. The spreadsheets reflect the requested committee changes. Idle Isle remodeling was moved from 2003 to 2004. The vast majority of Durham South construction was moved from 2003 to 2005, some of the engineering expense was moved from 2003 to 2004 and land acquisition was moved to 2003, 2004, and 2005. For Stormwater Management project - Tess Corners Ponds the full amount was put in 2003 with funding from half of the grant being applied and some funding from the County. Borrowing will have to be done for a portion of it. Ewald-Engel property is included with $200,000.00 from Conservation Fund and also the Martin property is included for $400,000.00. $500,000.00 is included in 2003 for burying utility lines in the Tess Corners area. Added for 2003 is an increased amount for the Freedom Square Ponds. Capital borrowing for 2003 projects will probably take place in November 2002 due to the low interest rates. Dave Anderson of Ehlers & Associates provided debt schedules for the borrowings for 2003 capital of $5.7 million to be broken down into two borrowings: a $4.1 million GO Bond borrowing for land purchases, stormwater projects and road projects with a longer-term borrowing and a 1.4 million GO Note borrowing for the other capital items with a shorter borrowing schedule. A $2.1 million borrowing is projected in 2004 and a $6 million borrowing in 2005. The Committee discussed the fact that there may be an impact on the 2003 Capital Budget if the City committed financial support to the School Athletic Fields. The Mayor advised that Ald. Petfalski and Ald. Patterson had volunteered to sit on a committee with the school to determine the costs associated with the project and the City’s commitment to that project. Ald. Salentine moved to send the 2003 Capital Budget to public hearing allowing for the incorporation of support to the High School Athletic fields. Ald. Patterson seconded and the motion carried unanimously. 2. Continue discussion of 2003 Operating Budget - Finance Director Gunderson distributed a new summary of the operating budget along with a modified tax calculation. The change reflected in the recap was a $53,000 reduction in the health insurance costs. The budget was originally prepared with a 30% increase in health care costs, but the renewal came in at just under 23%. The City is now looking at a $6.30 tax rate, which is an increase of $.67. With the state computer tax credit incorporated, the rate would drop another one cent to $6.29. Director Gunderson Committee of the Whole Page 2 Minutes of Meeting Held 10/10/02 explained that the final renewal rates for liability and worker’s comp insurance were not in at this time because of a change in the insurance provider for the League and alternatives were being reviewed. The tax rate may drop more with the final quoted insurances premiums. Ald. Salentine moved to send the 2003 Operating Budget, as presented, to public hearing. Ald. Damaske seconded and the motion carried unanimously. 3. Continue discussion of 2003 Special Revenue – Finance Director Gunderson explained that the only difference between the budgets that were reviewed the week before was the utilization of $200,000 from the Conservation Fund for property purchase and a few minor changes with the RCA and TIF revenue funds as recommended by the City’s Accounting Firm. With no additional discussion on the Special Revenue funds, Ald. Le Doux moved to send the 2003 Special Revenue Fund budgets, as presented, to public hearing. Ald. Damaske seconded and the motion carried unanimously. New Business 1. Review samples of customer service survey – Sample customer service surveys for various departments were distributed to the Committee and Mayor Slocomb reviewed them. The Committee requested that two additional questions be added to the surveys. “How could we have served you better?” and “Do you wish to be contacted?” It was explained that with the Police Department surveys, a rating of fair or poor get follow-up phone calls. The Committee asked that this come back to the Committee of the Whole one more time. 2. Review proposal for High School Athletic Field Development and Creation of Sub- Committee – Mayor Mark Slocomb advised that Ald. Patterson and Ald. Petfalski and one additional member from Park Board with be representing the City of a Sub- Committee to review the proposal for the High School Athletic Field Development. At least two meetings will be held. Communications and Miscellaneous Business as Authorized by Law – The Committee discussed the successful grand opening of the Kohl’s Department store. Adjournment Ald. Damaske moved to adjourn at 8:38 PM. Ald. Le Doux seconded; motion carried. Respectfully submitted, Dawn R. Gunderson, CPFO Finance Director