FCM20090825
CITY OF MUSKEGO Approved
FINANCE COMMITTEE MINUTES Audio Recording Available
Tuesday, August 25, 2009
Muskego City Hall, Aldermen’s Room
Mayor Johnson called the meeting to order at 7:00 p.m. Present: Committee Members
Ald. Fiedler, Werner and Snead, Finance Director Mueller, City Engineer Simpson and
Deputy Clerk Blenski. Ald. Harenda, Borgman, Schneider and Schaumberg were also
present. Those present recited the Pledge of Allegiance. The Deputy Clerk stated that
the meeting was noticed in accordance with the open meeting law.
APPROVAL OF MINUTES
Ald. Snead moved for approval of the August 11, 2009 minutes. Ald. Fiedler
seconded; motion carried.
LICENSE APPROVALS
Ald. Werner moved to recommend approval of a regular Operator’s License for
John Hoeppner, Christopher Huber, Joel Ivalis, Tracey Polzin and Wendy Taylor
subject to the licensing requirements being completed prior to issuance. Ald.
Snead seconded; motion carried.
Ald. Fiedler moved to approve a Taxi Driver’s License for Nancy Kangas for the
Muskego Senior Taxi Service. Ald. Snead seconded; motion carried.
NEW BUSINESS
Review and Recommendation Regarding Adjustment to Nonrepresented
Employee Salary/Benefit Plan for 2009 and 2010
Mayor Johnson stated that the Common Council has historically granted the same cost
of living adjustments to its nonrepresented employees as what was negotiated with the
labor unions. Approval of the Police Association agreement and the adjustment for the
nonrepresented employees is on tonight’s Common Council agenda. The Police
Association has agreed to a two-year contract as follows:
Wages:
January 1, 2009 2.5%
January 1, 2010 1.0%
July 1, 2010 1.0%
Health Insurance: Employees pay 8% of monthly premium as follows:
2009 Cap 2010 Cap
Family - $90/mo. Family - $110
Limited Family - $68/mo. Limited Family - $78/mo.
Single - $45/mo. Single - $50/mo.
Payment in Lieu of Insurance
$400 in lieu of Family Coverage
$305 in lieu of Limited Family Coverage
$280 in lieu of Family and Elect Single Coverage
$160 in lieu of Limited Family and Elect Single Coverage
$150 in lieu of Single Coverage
Finance Committee Meeting Page 2
August 25, 2009
$95 in lieu of Family and Elect Limited Family
The Mayor anticipates that the other bargaining units will accept the same terms once
the Council approves the Police Association agreement. He stated that he feels
strongly that it is only fair that the nonrepresented employees receive the same benefits
as those that are represented.
Ald. Borgman stated many employees in the public and private sector are not being
given raises in addition to experiencing reduced hours. The Council will be faced with
making some difficult budget decisions; additional cuts may have to be made. It seems
out of character to give raises and then have to cut positions. The money is just not
there this year. He encouraged the Finance Committee to base its decision on where
the City is now, not what was done in the past.
Mayor Johnson responded that the issue is fairness. The nonrepresented employees
are at a disadvantage. He does not believe the City should take advantage of that. Ald.
Fiedler stated his support because the increase is 4% over two years. He prefers slow,
steady increases as opposed to huge peaks and valleys; this accomplishes that. A zero
percent increase would have a larger financial impact in the future. The Mayor stated
the surrounding communities have the same deficits and are giving their employees
similar increases.
Ald. Borgman stated that there should be a zero percent increase. Mayor Johnson
stated that then wages start to fall behind. Ald. Werner stated there needs to be equity
regarding the increases between union vs. nonrepresented. The 2009 increase was
budgeted. Mayor Johnson noted that the union contracts provide for automatic step
increases; the nonrepresented employees depend on the cost of living increases to
keep their salary ranges current with the market. The merit increase, which has been
reduced, is the only way that the nonrepresented can move through their salary ranges.
The Mayor stated if the City supported a zero increase, it should have taken that stand
with the unions. Since it did not, then it needs to be consistent with the way
nonrepresented personnel are treated. Inequities could force some of the employees to
unionize. You do not want to send a message to employees that this is not a good
place to work, especially if you are not in the union. Employers should not treat people
differently, just because they can. Ald. Fiedler moved to recommend approval. Ald.
Snead seconded; motion carried.
Review and Recommendation Regarding Eligibility for Exemption from the
County Library Tax Levy for 2010
If the resolution on the Council agenda is approved tonight, the City will pledge to
appropriate the expenditure of no less than $595,362 in 2010. The 2009 adopted
Library Budget was $1,158,623; Finance Director Mueller has confirmed that the 2010
budget will equal or exceed the 2009 amount. This allows an exemption from the
County Library Tax. The City must submit a Notice of Exemption, which must be
supported by a resolution of the governing body. Ald. Snead moved to recommend
approval. Ald. Werner seconded; motion carried.
Finance Committee Meeting Page 3
August 25, 2009
Review and Recommendation Regarding Award of Bid for Well 5 Pumping Station
Demolition, Well 9 Pumping Station, and Well 13 Pumping Station Improvements
and Water Main
The City advertised for bids for the above-named project. The following bids were
received:
Ray Stadler Construction $654,900
J. P. Cullen & Sons $649,569
Burkhart $663,850
Absolute Construction Enterprises, Inc. $727,000
The Mayor stated because of time constraints, review of the bids did not go to the
Public Utilities Committee. Ald. Fiedler moved to recommend acceptance of the low
bid submitted by J. P. Cullen & Sons in the amount of $649,569. Ald. Snead
seconded; motion carried.
VOUCHER APPROVAL
Ald. Fiedler moved to recommend approval of Utility Vouchers in the amount of
$51,738.01. Ald. Snead seconded; motion carried.
Ald. Fiedler moved to recommend approval of Tax Checks in the amount of $20.
Ald. Snead seconded; motion carried.
Ald. Fiedler moved to recommend approval of General Vouchers in the amount of
$522,406.43. Ald. Snead seconded; motion carried.
Ald. Fiedler moved to recommend approval of Wire Transfers for Debt Service in
the amount of $68,535. Ald. Snead seconded; motion carried.
ADJOURNMENT
Ald. Snead moved to adjourn the meeting at 7:20 p.m. Seconded by Ald. Fiedler;
motion carried.
Jill Blenski, CMC
Deputy Clerk