FM100897
Note: Accepted by Common Council on 10/14/97 with Item 3 under unfinished business
removed and referred to Finance Committee for further review.)
FINANCE COMMITTEE - CITY OF MUSKEGO
MINUTES OF MEETING HELD WEDNEDSAY, OCTOBER 8, 1997
The meeting was called to order at 7:25 p.m. by Mayor De Angelis. Also present were
Committee members Salentine and Sanders. Ald. D’Acquisto was absent. Dawn
Gunderson, Finance Director, Ald. Slocomb, Police Chief John Johnson, Utilities Supt.
Scott Kloskowski and Dave Anderson, Ehlers & Associates. Additional guests per
attached sheet.
The Mayor noted the meeting was noticed in accordance with the open meeting law.
REVIEW OF LICENSE APPLICATIONS
Ald. Sanders moved to approve Operator’s License for the following applicants,
subject to receipt of fees, favorable police report and verification of schooling.
Rick Blattner Riki Peroushy Joseph Lang Nichole La Shell Chris Ghert
Seconded by Ald. Salentine. Vote 2-0, carried by all.
Operators License applicant Franz Jones Jr., advised to return in two weeks to be
interviewed again after individual has had time to review materials.
Ald. Salentine moved to approve the Operators License for Lauren CoBabe after
review of police record under the condition of 3, 6 and 9 month reviews.
Seconded by Ald. Sanders. Vote 2-0, carried by all. A Provisional License has been
approved for the applicant until a permanent license can be issued.
Mr. Jeff Favre requested a Special Event license for November 23, 1997. This event
hopes to raise $30,000 for Cystic Fibrosis. The Mayor discussed the parking concerns
voiced by the Planning Commission. Mr. Favre indicated that the field used in the past
will only be used for special events with the appropriate license and approval. Motion:
Ald. Sanders moved to approve a Special Event license permit for November 23,
1997 from 8:00 a.m. to 8:00 p.m., with a live band and off-site parking provided by
the Guhr family. Seconded by Ald. Salentine. Vote 2-0, carried by all.
Finance Director Dawn Gunderson discussed an October 22, 1997 event that the City
will be doing on behalf of United Way. Due to the philanthropic nature of this event, she
is requesting a waiver of the $5.00 soda water fee. Ald. Sanders moved to waive the
fee. Ald. Salentine seconded. Vote 2-0, carried by all.
PERSONAL APPEARANCE
Mr. Dave Anderson of Ehlers & Associates discussed the proposed borrowing issue. He
is still waiting for some numbers and will have those for the Tuesday meeting. The
General Obligation Bonds for the Police Department expansion (1.7 million) must be
published in the paper with a 30-day waiting period after publication. On November 11,
1997, Mr. Anderson will make a recommendation use the funds that come in from
Finance Committee Meeting - October 8, 1997
Page 2
TIF to reduce the sewerage debt in order to improve the City’s credit rating. Mr.
Anderson gave the difference between a General Obligation Note (repaid within 10
years) and General Obligation Bond (repaid in 20 years). Currently the Library and
Police Station are considered acceptable for a General Obligation Bond issuance. The
Community Center however is not and would have to be funded by a Note. Estimating
expenditures of 2.6 million for Library, 1.6 million for Police expansion (increasing to 1.7
million) and 1.5 million for the Community Center. The Mayor will not have firm numbers
for the Community Center and Library until Monday. Increases in the final amount may
occur due to anticipated borrowing needs for sewer and water which were not included
in original estimates.
UNFINISHED BUSINESS
1. Further review of Muskego Volunteer Fire Company and Tess Corners Volunteer Fire
Department contracts for 1998. The Mayor requested to have this item deferred. The
Mayor advised that he was meeting with the department Monday 6:00 p.m. A fax has
been received with some minor verbiage adjustments related to the Open Meeting,
Open Record and Wage & Hourly laws. Ald. Salentine moved to defer. Ald. Sanders
seconded. Vote 2-0, carried by all.
2. Further discussion on funding for Moorland Road-South had Ald. Sanders moved to
defer. Seconded by Ald. Salentine. Vote 2-0, carried by all.
Note: Item 3. Below removed from minutes by Common Council on 10/14/97 and
referred back to Finance Committee for further review.
3. Further review of sewer claims - Freedom Acres Subdivision. Claims made from
June 20/21, 1997 event were discussed at length. Insurer advised City to disallow the
claims. The City forwarded this decree to the City Attorney for further exploration and
the Attorney concurs with the insurance company decision and advised this Committee
to uphold the ruling. Scott Kloskowski, Utilities Supt., provided additional clarification of
what exactly occurred. Ald. Slocomb prepared a letter (attached) voicing his concerns
regarding the insurance carriers position. The Mayor discussed the importance of the
precedent this matter sets, with regard to subsequent claims in the future. Residents
presented their concerns and voiced their opinions on what had occurred. Due to one of
the three pumps out for repair at the time of the incident, the residents wondered if the
City could be found at fault? Mr. Kloskowski stated that the insurance carrier was made
aware of the non-active pump when they made their decision. Ald. Slocomb discussed
what was outlined in his October 8, 1997 correspondence and the four points he
requests the Finance Committee to institute. According to the insurer, the City of
Muskego was not found delinquent in their handling of the situation. Mr. Kloskowski
discussed the bolting down of five manhole covers to help control future large rainfalls.
Additional pumps are not an option due to load limits imposed by MMSD. A permanent
bypass is unavailable as well due to DNR regulations. The Mayor discussed the next
steps that the individuals could follow to obtain reimbursement. Ald. Slocomb discussed
his conversation with the previous Mayor and the payment of claims. According to the
previous Mayor, no money was directly paid to any claimant directly from the City. All
monies distributed came from the insurer. Mr. Kloskowski suggested that the residents
in the affected areas install back flow preventers which could help with future back-ups.
The residents total estimated compensation would be $40,000. Motion by Ald.
Sanders to disallow the claims relating to this event. Seconded by Ald. Salentine.
Vote 2-0, carried by all.
Finance Committee Meeting - October 8, 1997
Page 3
Police Chief John Johnson arrived at 9:17 p.m.
Additionally, since this event is above and beyond the City’s liability Ald. Sanders
moved to disallow compensation to those residents. Seconded by Ald. Salentine.
Vote 2-0, carried by all.
Discussion continued with Ald. Slocomb concerned about having Freedom Acres
constantly being flooded based on the “event” size and the size of the pipes used.
Action Item for Ald. Sanders to place this project on the agenda as a separate item for
the Utilities Committee Projects for next year.
NEW BUSINESS
1. Donation of sick leave was discussed with Officer Molinari present requesting sick
time donations. Officer Molinari is aware that all of her available time must be exhausted
prior to utilizing sick leave donated. Mayor De Angelis gave some history on the
practice. Ald. Sanders voiced his concerns over this type of situation and would like to
see a “vacation only” donation policy. Ald. Salentine disagreed, stating that there are a
lot of hours that will never be used by many individuals due to the ability of employees to
carryover 2,000 sick hours. The Mayor would like changes made to the current policy, if
necessary in subsequent requests, not this current case. Chief Johnson agrees that
limits can be established to prevent potential abuse on a large time disbursement from
another employee. Currently, the Police Department is developing a draft on this issue.
Ald. Salentine moved to approve the request for donation of sick time, not to
exceed a total of 12 weeks between accumulated and donated. Seconded by Ald.
Sanders. Vote 2-0, carried by all. Ald. Sanders approved this motion with the
expectation that the matter will be revisited for possible revision at a future date.
2. Establish Elected Officials Salaries - Finance (Aldermen and Municipal Judge). Ald.
Salentine moved to approve the figures as stated (Municipal Judge $10,000,
Council President $5,456 and Aldermen $5,056). Ald. Sanders Seconded. Vote 2-
0, carried by all.
3. Review Health Insurance, Dental Insurance, General Liability, etc..., for 1998.
Finance Director Gunderson provided quotes received for increasing the Public Officials
Liability from one million dollars to three million dollars. The premium would increase
from $16,384 to $22,445. The effect on the umbrella policy would be minimal ($13,867
down to $12,415). Increasing the Police Professional liability would increase from
$21,807 to $31,470. Discussion regarding value-added for the additional cost of
coverage. Ald. Sanders moved to leave Public Officials Liability coverage at
current level of one million dollars. Ald. Salentine seconded. Vote 2-0, carried by
all.
The Medical and Life plans were reviewed from the proposals received. The cost to the
City is between $33,000-$36,000 per month. The pros and cons of the plans were
discussed. One expanded plan from Humana was just received and a through review
has not been completed. Ald. Sanders moved to defer to Tuesday’s meeting. Ald.
Salentine seconded. Vote 2-0, carried by all.
4. Auction of Tax Delinquent Property (Tax Key #2174.167.001). The Mayor
recommends that the City not purchase the land in question. Ald. Sanders moved to
Finance Committee Meeting - October 8, 1997
Page 4
not exercise the option to purchase the delinquent real estate. Ald. Salentine
seconded. Vote 2-0, carried by all.
5. Review of additional life insurance. The Mayor explained that this would allow
employees to purchase additional insurance effective February 1, 1998 at a discounted
rate. Ald. Salentine moved to allow purchase of three units of additional
insurance. Ald. Sanders seconded. Vote 2-0, carried by all.
6. Discuss proposed Police Department expansion. Item already covered.
7. Review of bids for Industrial Park Street Lighting. Ald. Sanders moved to defer to
October 22, 1997 meeting. Ald. Salentine seconded. Vote 2-0, carried by all.
8. Request to purchase equipment and transfer funds. Gordon Jacobson requested a
scanner costing $511.99. The Mayor recommend that this purchase not be approved.
There are computer memory concerns and this piece of equipment may create a
potential problem for an already taxed computer system. Ald. Salentine moved to
deny purchase. Ald. Sanders seconded. Vote 2-0, carried by all.
9. Review request of waiver of Certified Survey Map re-submittal fee. In the materials
Mr. Baranowski had for his reference there was no mention of the 30-day time limit. Ald.
Salentine moved to waive the $90.00 fee. Ald. Sanders seconded. Vote 2-0,
carried by all. Corrections have been made and this time limit is now spelled out in
materials.
FINANCIAL DIRECTORS REPORT
Dawn reported that $66,000 over the budgeted funding estimate to Muskego is coming
from the DOT in 1998.
COMMUNICATIONS AND ANY OTHER BUSINESS AS AUTHORIZED BY LAW
The Mayor has requested that Joe Sommers prepare an estimate for additional funds for
a possible increase in the amount budgeted for Consultant Fees in order to continue
progress in the upgrade of the P.C.’s.
ADJOURNMENT
Being no further business to discuss Ald. Salentine moved to adjourn at 11:20 p.m.
Ald. Sanders seconded. Vote 2-0, carried by all.
Respectfully submitted,
Linda Gulgowski
Recording Secretary