FM110701
CITY OF MUSKEGO
FINANCE COMMITTEE MINUTES Approved
Wednesday, November 7, 2001
7:00 PM Muskego City Hall, Aldermen’s Room
W182 S8200 Racine Ave.
Mayor De Angelis called the meeting to order at 7:14 PM. Also in attendance were Committee Members
Ald. Slocomb, Ald. Salentine and Ald. Sanders, Finance Director Dawn Gunderson, Engineering/Building
Director Sean McMullen, Lakes Projects Coordinator Tom Zagar, and those per attached sheet.
The agenda was posted in accordance with the Open Meeting Law on November 6, 2001.
REVIEW OF MINUTES OF PREVIOUS MEETING
The minutes of the October 23, 2001 Finance Committee Meeting were reviewed. Ald. Slocomb moved
to approve the minutes. Seconded by Ald. Salentine. Carried by all.
LICENSE APPROVALS
Ald. Sanders moved to recommend approval of Operator’s License for Robert Busalacchi, Patrick
Mahsem, Heidi Flemmer, and Alexandria Fergus subject to receipt of fees, favorable police reports
and verification of schooling. Also, Karen Ives subject to receipt of application, fees, favorable
police report and verification of schooling. Seconded by Ald. Salentine. Carried by all.
Stephanie Galkowski was interviewed separately for Operator’s License due to past incidents on police
report. After discussion, Ald. Slocomb moved to recommend approval of Operator’s License for
Stephanie Galkowski subject to receipt of fee and verification of schooling. Seconded by Ald.
Sanders. Carried by all.
Shelia Tucci was interviewed separately for Operator’s License due to past incidents on police report.
After discussion, Ald. Slocomb moved to recommend approval of Operator’s License for Shelia
Tucci subject to receipt of fees and verification of schooling. Seconded by Ald. Salentine.
Carried by all.
Justine Prening was interviewed separately for Operator’s License due to past incidents on police report.
After discussion, Ald. Salentine moved to recommend approval of Operator’s License for Justine
Prening subject to receipt of fees, verification of schooling, and 1, 2, 3, 6, 9, and 12 month reviews.
Seconded by Ald. Sanders. Carried by all.
PERIODIC LICENSE REVIEW - None
HEARING
To consider Revocation or Suspension of Operator’s License - Norman Krukowski - The
Committee called the Hearing to order to consider revocation or suspension of Operator’s License for
Norman Krukowski. Clerk-Treasurer Jean Marenda sent a letter to Norman Krukowski stating that in
accordance with City of Muskego Code Section 12.01(10)(c) 1., the Finance Committee will hold a
hearing on Wednesday, November 7, 2001 to consider the possible suspension or revocation of
Operator’s License because of a recent arrest and failure to respond to several requests to appear before
the Committee. Krukowski’s license was granted subject to periodic reviews. Krukowski was not present
at this meeting. The Committee discussed the Operator’s violations. Ald. Slocomb moved to
recommend revoking the Operator’s License of Norman Krukowski. Seconded by Ald. Salentine.
Carried by all.
UNFINISHED BUSINESS
Review Proposal for Long Term Disability Insurance – Finance Director Dawn Gunderson provided a
chart showing response of interest or no interest of represented and non-represented employees in the
Long Term Disability Insurance from Hartford Life. In order to receive coverage 50% of the full time
employees would have to participate. Gunderson did not receive a 50% response of interest in the
insurance. Discussion occurred on pursuing Long Term Disability from WPS requiring 25% participation
and what would happen if the City started with 25% participation and later dropped lower than that rate.
Ald. Sanders moved to deny proposal of Long Term Disability Insurance from Hartford Life.
Seconded by Ald. Salentine. Carried by all.
Finance Committee Meeting
November 7, 2001 - Page 2
2001 - 2002 Fees for Planning/Zoning Services – Planning Director Brian Turk previously submitted
memorandum stating the Planning Department established a procedure to review fees every two years,
with the charges to be based upon the actual cost of providing services. Provided was a table of current
fees, and the components used to derive actual cost of service provided. Discussion took place noting
this item would be handled separately from the establishment of Engineering Fees. Ald. Slocomb
moved to recommend approval of 2001 - 2002 Fees for Planning Zoning Services. Seconded by
Ald. Sanders. Carried by all.
Establishment of Engineering Fees – Engineering/Building Director Sean McMullen presented proposal
for charges for Engineering City Services completed in-house. The rates are derived from the average
rate of the City’s three consulting firms, Ruekert & Mielke, Welch Hansen, and R.A. Smith. Also
presented were charts showing project management and construction breakdown of hours and rates
charged for Reserve at Champions Village, Champions Village, Quietwood Creek, and Sarah Estates. A
resolution would be written to enable the City to charge these fees. McMullen will be working with
Finance Department to create a new time sheet to effectively be able to track time spent on each
development by specific Engineering task. McMullen would like fees to go into effect as soon as
approved and have review of these fees take place November 2002. Ald. Salentine moved to
recommend approval of the following fees for Engineering City Services completed in-house:
Director of Engineering $65.00 per hour
Engineer I $60.00 per hour
Engineering Tech II $40.00 per hour
Engineering Tech I $30.00 per hour
Seconded by Ald. Slocomb. Carried by all.
NEW BUSINESS
Renewal of Lease Agreement - Chamber of Commerce - The current lease agreement between the
City of Muskego and the Muskego Chamber of Commerce terminates on December 31, 2001. In addition
to the Chamber’s request to renew the current lease Chamber Director Chiaverotti has submitted a
request to allow her to process the Chamber’s daily mail through the City’s postage machine. Chiaverotti
would run the mail through, maintain a log of the postage used, and then reimburse the City on a monthly
basis. Ald. Salentine moved to recommend approval of renewal of current lease through
December 21. 2002 and allow the Chamber to process mail through the City’s postage machine
and then reimburse the City on a monthly basis. Seconded by Ald. Sanders. Carried by all.
Review Write Off of Rescue Service Charges - Two memorandums were received from Jan Hughes
requesting writing off rescue service bills. Ald. Salentine moved to recommend approval of writing
off 1999 rescue service bills listed with Waukesha County Collection Agency in the amount of
$9,918.60. Seconded by Ald Slocomb. Carried by all. Ald. Slocomb moved to recommend
approval of writing off uncollected Title 19 accounts for 2000 in the amount of $7,350.64.
Seconded by Ald. Sanders. Carried by all.
Review Agreement for Ambulance Services - Tess Corners - Mayor De Angelis presented new
Agreement for Ambulance Services to be provided by Tess Corners Volunteer Fire Department to the
entire City of Muskego. The contract shall be in full force and effect starting on January 1, 2002 and
ending on December 31, 2003. Mayor De Angelis had previously met with representatives of the Fire
Department. Mayor De Angelis explained the major differences between the new contract and the
current contract. Ald. Salentine moved to recommend approval of new Agreement for Ambulance
Services. Seconded by Ald. Slocomb. Carried by all.
Review Application for Urban Forestry Grant – Lakes Project Coordinator Tom Zagar presented 2002
Wisconsin Urban Forestry Grant Application Zagar explained the grant would be for public education;
staff training, including climbing training, arborist certification, conference and workshop; and Oak
Savanna to be created at two parks adjacent to the middle schools. The grant request is for $9,410.00 or
50% of the total project cost of $18,820.00. Ald. Sanders moved to recommend approval of the grant
application. Seconded by Ald. Slocomb. Carried by all.
Finance Committee Meeting
November 7, 2001 - Page 3
Review Employee Dental Insurance – Finance Director Dawn Gunderson presented memorandum on
employee dental insurance. The City currently has contracts with First Commonwealth and Compcare
Health Services Insurance Corporation (Dentacare) to provide group dental insurance to City employees
who subscribe and elect to participate totally at their expense. Gunderson recommended continuing
contracts with First Commonwealth and Compcare for proposed quotes of:
Single Family Increase
First Commonwealth
Intermediate Plan (Network) $20.17 $53.25 6.5%
PPO UCR3 (P106WI) (Out of Network) $23.10 $63.76 6.5%
Compcare
Dentacare 160 $18.11 $48.90 7.9%
Ald. Salentine moved to recommend approval of contracts with First Commonwealth and
Compcare Health Services Insurance Corporation (Dentacare), and their respective quotes, as the
City’s dental insurance providers for 2002. Seconded by Ald. Sanders. Carried by all.
Review Employee Assistance Program – Finance Director Dawn Gunderson presented memorandum
on employee assistance program. The City currently contracts with National Employee Assistance
Services, Inc. (NEAS). The City currently pays $19.92 per employee per year or $1.66 per employee per
month. NEAS is offering the same rate for a year contract and would lower the rate to $19.32 per year or
$1.61 per month per employee for two year contract. Currently the City has a two year contract.
Gunderson recommends continuing with NEAS for two year contract. The only exception to
recommendation would be if the City would change health insurance program to a company who provides
this service. Ald. Sanders moved to recommend approval of two year contract with NEAS provided
City does not have health insurance program that provides the same service. Seconded by Ald.
Salentine. Carried by all.
Review Audit Service Quotes – Finance Director Dawn Gunderson reviewed with Committee
correspondence from Virchow, Krause & Company, LLP which listed their estimated audit services and
annual report fees for 2001 as follows:
Audits and Bookkeeping, City and Utilities Fees
Quote Actual Estimated
2000 2000 2001
General and Other Funds $24,890 $23,388 $24,325
Water Utility $ 8,000 $ 8,000 $ 8,325
Sewer Utility $ 8,375 $ 8,144 $ 8,450
Annual Report DOR $ 3,500 $ 3,500 $ 3,650
Subtotal $44,765 $43,032 $44,750
TIF Funds (estimated) $30,481 $30,481 $30,250
Total $75,246 $73,513 $75,000
Position Hourly Rates
Partner $195
Tax Manager $155
Audit Manager $150
In-Charge Account $100
Associate Accountants $ 90
Discussion took place on obtaining new quotes in the future and how frequently this should take place,
every 3 to 5 years. Also suggested was the possibility of surveying other communities on hourly rates
charged for audits. Ald. Slocomb moved to approve audit service quotes from Virchow, Krause &
Company, LLP. Seconded by Ald. Sanders. Carried by all.
Review Contingency Transfer for Urban Forestry – Finance Director Gunderson and Lakes Project
Coordinator Zagar explained transfer of contingency funds. The Urban Forestry Fund was originally part
of the Operating Budget and matching funds of grants were met. When the Urban Forestry Fund was
moved from Operating to Special Revenue, grants were put into the Special Revenue Fund but the
matching funds were not moved. Monies were paid out from grants received. The proposed contingency
transfer would match funds for prior year occurred expenses along with other projects through this year
and 2002. Ald. Slocomb moved to approve contingency transfer for Urban Forestry in the amount
of $38,711.00. Seconded by Ald. Sanders. Carried by all.
Finance Committee Meeting
November 7, 2001 - Page 4
MAINTENANCE AGREEMENTS - None
RELEASE OF FUNDS - None
REDUCTION IN LETTER OF CREDIT
Sarah Estates, $143,009.25 – Engineering/Building Director Sean McMullen is recommending reduction
in letter of credit for storm sewer, roadway and grading work completed to date. Also, included are
reductions for engineering cost billed to date from Ruekert and Mielke. The title company will be issuing
a check to the City for the Engineering reduction amount. Ald. Sanders moved to approve reduction in
Letter of Credit for Sarah Estates L.O.C. in the amount of $143,009.25. Seconded by Ald.
Salentine. Carried by all.
VOUCHER APPROVAL - None
FINANCE DIRECTOR’S REPORT - Finance Director Dawn Gunderson reported that the Public Hearing
for the proposed 2002 budget is Monday, November 12, 2001. The Finance Department is in the process
of getting information for certification for tax purposes of all unpaid sewer, water, and refuse and recycling
accounts. Mayor De Angelis and Gunderson will be meeting with Compcare Insurance on November 8,
2001 to discuss health insurance. Ald. Slocomb requested status of GASB 34. Gunderson explained
other than gearing up with transition of financial system the next step will be meetings with Engineer,
staff, and CPA firm to determine where we need to go for the conversion of fixed assets.
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 9:15 PM. Seconded by Ald. Sanders. Carried by all.
Respectfully Submitted,
Carolyn Warhanek,
Recording Secretary