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COMMITTEE OF THE WHOLE - MINUTES - 6/10/2008 Approved 8/12/2008 COMMITTEE OF THE WHOLE – CITY OF MUSKEGO MINUTES OF MEETING HELD TUESDAY, JUNE 10th, 2008 Mayor Johnson called the meeting to order at 7:15 p.m. and led those present in the Pledge of Allegiance. ROLL CALL Mayor Johnson, Ald. Pavelko, Ald. Werner, Ald. Schaefer, Ald. Fiedler, Ald. Snead, Ald. Schneider, Ald. Borgman, City Administrator Jennifer Sheiffer, Finance Director Sharon Mueller, Clerk/Treasurer Janice Moyer and Deputy Clerk Jill Blenski. STATEMENT OF PUBLIC NOTICE Deputy Clerk Blenski noted that the meeting had been noticed in accordance with the Open Meeting Law. APPROVAL OF AGENDA Mayor Johnson advised that there were no issues with the agenda. APPROVAL OF MINUTES th Ald. Borgman moved, Ald. Snead seconded a motion, to approve the minutes of the May 27, 2008 meeting. Upon a voice vote, the motion carried unanimously. NEW BUSINESS Item 1. Review and discussion of Proposal from Public Sector Personnel Consultants for review and update of the non-represented position salary ranges. City Administrator Jennifer Sheiffer recapped what the service would provide to the City of Muskego. She further indicated that this service would create more work for Finance Director Sharon Mueller. The recommendations that the Public Sector Personnel Consultants would make, then need to be accomplished by the Finance Department. Mayor Johnson wants to maintain the integrity of the payroll system with an updated data comparison range and a sense of fairness to the City employees. The consensus was to move forward and accept the proposal for $9,500.00. Aldermen Werner, Borgman, Fiedler and Schaefer stated their support. Alderman Pavelko stated he had a problem with the expenditure. This will proceed to the Finance Committee and the Common Council. Item 2. Review, Discussion of Proposal from Public Sector Personnel Consultants for Review and and Report on City Pay for Performance System for Non-represented compared to other comparable municipalities considering philosophy, methodology & cost. Mayor Johnson did not recommend acceptance of the proposal due to the cost. Consensus was that the work could be accomplished in-house and that a comparison of other communities should be done sometime in the future. Item 3. Presentation, discussion and direction for pre-planning work for the upcoming 2009 budget. Finance Director Sharon Mueller reviewed the 2009 Projection sheet (attached). Some of the issues with the 2009 budget include only a 2% levy increase, with the majority of the impact being the wage increases and employee benefits, vehicle replacement for the Police Department and the D.P.W. (took items out last year) increased cost of fuel, and the poor weather conditions are all factors that have increased our costs for the City. Mayor Johnson expressed his concerns regarding the budget, reviewed past history and gave his recommendations. The Mayor stated that unless there is an objection, he will proceed to move forward with two goals, which are; An early retirement incentive program for certain employee groups and the partial or total contracting out for the services provided by certain City departments. There was no objection. ADJOURNMENT Ald. Snead moved to adjourn at 7:45 p.m. Seconded by Ald. Fiedler, motion carried unanimously. Claire Lederhaus Transcribing Secretary 1 Atch: 2009 Projection Changes Impacting 2009 Budget June 6, 2008 Increase in Levy: 2008 General Fund Levy $ 9,082,707 2% Levy Limit Increase $ 181,654 Estimated Expenditure Increase/(Decrease): Represented Wage Increases - 3% $ 115,463 Non-Represented Wage Increases - 5% $ 145,832 Benefits - FICA/Pension $ 54,036 Increase in Health Insurance -> 5% $ 55,599 Wages - 8 Hours (2008=2096/2009=2088) $ (26,000) Utilities $ 10,000 Police Vehicle Replacement $ 25,000 DPW Vehicle Replacement $ 120,000 Fuel $ 90,000 Radio Operation Costs Waukesha County $ 10,000 City Insurance - 2% $ 6,000 DPW Sand/Salt/Overtime $ 50,000 Personnel Changes (Bldg Inspector-$92k/Engineer-$72k vs $90k) $ (113,300) Contingency $ (74,750) Major Road Program $ (124,000) Contracted Services (attorney, inspector . . . ) $ 20,000 Departmental Requests (supplies, training . . . ) $ 50,000 Volunteer Fire Departments (current status unknown) $ - Total Expenditures Increase $ 413,880 Estimated Revenue Increase/(Decrease): State Shared Revenue (no change expected) $ - Transportation Aids $ (124,000) Building/Engineering Fees (no change expected) $ - Interest Income $ (200,000) Total Revenues Decrease $ (324,000) Funds Needed to Balance Budget $ (556,226) Other Financing Sources Increase/(Decrease): Cable Fund $ (105,854) General Fund Balance from Prior Year (50%) $ 53,489 Net Estimated Funds Needed to Balance Budget $ (608,591)