FM100301
CITY OF MUSKEGO
FINANCE COMMITTEE MINUTES Approved
Wednesday, October 3, 2001
7:00 PM Muskego City Hall, Aldermen’s Room
W182 S8200 Racine Ave.
Mayor De Angelis called the meeting to order at 7:09 PM. Also in attendance were Committee Members
Ald. Slocomb, Ald. Salentine, and Ald. Sanders, Finance Director Dawn Gunderson, Chief John Johnson,
and those per attached sheet.
The agenda was posted in accordance with the Open Meeting Law on September 28, 2001.
REVIEW OF MINUTES OF PREVIOUS MEETING
The minutes of the September 25, 2001 Finance Committee Meeting were reviewed. Ald. Slocomb
moved to approve the minutes. Seconded by Ald. Salentine. Carried by all.
LICENSE APPROVALS - None
PERIODIC LICENSE REVIEW
Denise L. Molkentin – A check with the Wisconsin Crime Information Bureau and the City of Muskego
Police Department reveal no new record of arrest.
Norman W. Krukowski – Ald. Salentine moved to request the presence of Krukowski at the Wednesday,
October 17, 2001, Finance Committee Meeting. Seconded by Ald. Sanders. Carried by all.
UNFINISHED BUSINESS
Review Proposal for Long Term Disability Insurance – Finance Director Dawn Gunderson has routed
a letter and survey to non-representative employees asking if there is interest or no interest in the Long
Term Disability Insurance. Gunderson is also working with Tim Packowitz of Benefits, Inc. to confirm
insurance quotes. Ald. Sanders moved to defer to the Wednesday, October 17, 2001, Finance
Committee Meeting. Seconded by Ald. Slocomb. Carried by all.
2001 - 2002 Fees for Planning/Zoning Services – Ald. Slocomb moved to defer to the Wednesday,
October 17, 2001, Finance Committee Meeting. Seconded by Ald. Sanders. Carried by all.
Review Renewal of Contract with Sprint Spectrum L.P. (Water Tower Lease) – Ald. Sanders moved
to defer to the Wednesday, October 17, 2001, Finance Committee Meeting. Seconded by Ald.
Salentine. Carried by all.
Request Carryover of Vacation (Sommers) – Removed
Review Debt Payment Schedule for Sewer Advance – Finance Director Dawn Gunderson presented
draft Resolution “A Resolution to Amend Debt Service Repayment Schedule to the Sewer Utility of the
City of Muskego” and Debt Service Schedule. It states in the draft resolution that the Finance Committee
has reviewed the new Debt Service Schedule and recommends approval subject to review of any
subsequent borrowings by the Sewer Utility to evaluate interest rates at that time. Ald. Sanders moved
to recommend approval of draft resolution. Seconded by Ald. Salentine. Carried by all.
NEW BUSINESS
Review Salaries of Elected Officials) - Survey was provided to Committee showing area Communities
pay schedule for Aldermen and Mayor. Discussion took place on previous action for Aldermen (2 year
terms). Starting January 1, 2002 for districts 2, 4, 6, and 7 the biweekly salary will be $293.79, Council
President receiving $23.08 more. Ald. Slocomb moved to recommend biweekly salary of $293.79 for
Aldermen in districts 1, 3, and 5, effective April 2002 with 2½ % increase effective January 1, 2003.
Seconded by Ald. Salentine. Carried by all.
After discussion and review of pay survey, Ald. Slocomb moved to recommend $4,000.00 per year
pay increase for Mayor (3 year term) for the next three years effective April 1, 2002, January 1,
2003 and 2004, salary to continue to end of term in 2005. Seconded by Ald. Salentine. Motion
carried 2 - 1. Ald. Sanders voting no.
Finance Committee Meeting
October 3, 2001 - Page 2
Conceptual Review of RLF Application - Gorenc CBF in Quietwood Creek - John Meland,
Southeastern Wisconsin Regional Planning Commission, and JoAnne Gorenc, applicant, were present to
explain and answer questions on the request for a Revolving Loan Fund loan. Gorenc seeks $90,000.00
from the RLF in order to construct an 8 bed Community Based Residential Facility (CBRF) on Lot 97 of
Quietwood Creek Subdivision. At this time the request is at a conceptual stage. Financing would be
$90,000.00, RLF; $214,000.00, Debt Financing; and $56,000.00, Equity Financing. Land has been
purchased. If City is interested in proceeding, Gorenc would be asked to submit a full application
including financial statements, financial projections on business plan, information on jobs that would be
created, and detail information on project including appraisals of building and office equipment, etc.
Discussion took place on employment target, penalty in not meeting employment requirement, guidelines
for interest rate, how need for loan is measured, and security for loan. When full application is submitted,
contingencies could be included as requirement of loan. Ald. Slocomb moved to recommend
continuation of processing RLF loan. Seconded by Ald Salentine. Carried by all.
Military Service Policy - Committee was provided copy of Municipal Obligations to Employees in Military
Service, memorandum from Finance Director Dawn Gunderson dated April 23, 1999 in regards to
continuation of benefits while on active Military Leave, article from September 22, 2001 paper headline,
Milwaukee County okays coverage for workers called to serve, and copy from 97-98 Wis. Stats - Veterans
section 45.51. Chief Johnson presented ideas on what he felt City should do. Chief stated the City
should try to do what it can within its’ means and legal rights.
1. City should grant a Military leave of absence for 1 year, renewable 4 years.
2. Pay differential. State statue section 45.51 states no salary or compensation of such employee
or officer shall be paid, nor claim therefor exist during such leave of absence. Also, under
Municipal Obligations to Employees in Military Service, it is noted that Section 45.51 expressly
prohibits municipalities from paying any compensation to reservist during their absence. Chief’s
recommendation is to pay the pay differential if it is determined that we are not restricted from
doing so.
3. Continuation of Health Insurance Allowance.
4. Pension, WRS requires City to pay pension while employee is gone.
5. Vacation, maintaining accrual of vacation for a year as if employee was here, right to carry over
existing balance, and maintain seniority for vacation.
6. Maintain life insurance, City portion.
7. Maintain all seniority rights.
8. Allow employee to continue making contributions to any deferred compensation program.
Ald. Salentine moved to approve the Chief’s recommendations, except #2 which is contingent on
legal opinion. Seconded by Ald. Sanders. Carried by all.
MAINTENANCE AGREEMENTS - None
RELEASE OF FUNDS
Boldt Development, $10,375.00 - Memorandum was received from Planning Director Brian Turk
explaining the developer’s agreement associated with the Aurora Clinic required the petitioner to provide
a $10,375.00 contribution to the City to be used towards the installation of traffic signals at Janesville
Road and Parkland Drive. The agreement stipulated that the developer would be relieved of this
obligation if the traffic lights were not installed within five years of the agreement. Waukesha County DOT
has refused to permit the installation of the signals. The five years expires November 7, 2001. Ald.
Sanders moved to approve the release of $10,375.00 cash deposit to Boldt Development with the
condition of release being November 7, 2001. Seconded by Ald. Slocomb. Carried by all.
REDUCTION IN LETTER OF CREDIT - None
VOUCHER APPROVAL - None
FINANCE DIRECTOR’S REPORT - Finance Director Dawn Gunderson stated the Committee of the
Whole Meeting on Thursday, October 4, 2001 should be the last meeting to discuss Operating and
Capital Budgets. Special Revenue will be discussed at the Committee of the Whole meeting on October
11, 2001. The last couple of weeks the Utility Budgets have been prepared. Don Vilione of Virchow
Krause has been reviewing the Utility Budgets.
Finance Committee Meeting
October 3, 2001 - Page 3
COMMUNICATIONS AND ANY OTHER BUSINESS AS AUTHORIZED BY LAW - None
ADJOURNMENT – Being no further business to discuss, Ald. Slocomb moved to adjourn the
meeting at 8:30 PM. Seconded by Ald. Sanders. Carried by all.
Respectfully Submitted,
Carolyn Warhanek,
Recording Secretary