FCM20110823
CITY OF MUSKEGO Approved 9/13/2011
FINANCE COMMITTEE MINUTES
Tuesday, August 23, 2011
Muskego City Hall
Mayor Chiaverotti called the meeting to order at 5:31 p.m. Committee Members Ald.
Schaumberg, Fiedler and Werner were present as well as Finance and Administration
Director Mueller and Deputy Clerk Blenski. Also present: Ald. Snead, Harenda and
Borgman, City Engineer Simpson and City Accountant Mustapich. Those present
recited the Pledge of Allegiance. The Deputy Clerk noted that the meeting was noticed
in accordance with the Open Meeting Law.
APPROVAL OF MINUTES
Ald. Schaumberg moved for approval of the minutes of July 12, July 26 and
August 9, 2011. Ald. Werner seconded; motion carried.
LICENSE APPROVALS
Operators
Ald. Fiedler moved to recommend approval of an Operator’s License for Laura
Brzostowicz, Kallie Hunt, David Karpinski, Sandina Oxford, Christine Vance and
Nicole Wyss subject to the licensing requirements being completed prior to
issuance. Ald. Werner seconded; motion carried.
PRESENTATION OF THE ANNUAL AUDIT REPORT BY VICKI HELLENBRAND
AND IRINA MYASKOVSKY OF BAKER TILLY VIRCHOW KRAUSE, LLP
Ms. Vicki Hellenbrand and Ms. Irina Myaskovsky of Baker, Tilly, Virchow, Krause were
present to review the highlights of the City’s 2010 financial statements. Ms.
Hellenbrand stated the audit went very well; the audit team received full the cooperation
of staff. The City’s financial condition is very good. Ms. Hellenbrand stated that the City
is in a good position with the amount of unreserved general fund balance. It gives the
City the ability to handle contingencies if needed. In these economic times, the auditors
recommend being more conservative and do not encourage municipalities to spend
fund balance. The City’s Finance and Administration Director prepared the 2010
financial statements for the Water and Sewer Utilities, as she has done in the past. In
2010, she also prepared the City’s financial statements with some assistance from
Baker Tilly Virchow Krause. The auditors praised the exceptional work done by Ms.
Mueller, and acknowledged that she continues to take on more responsibility for the
preparation of the financial statements.
Ms. Hellenbrand did comment on the financial status of the City Water Utility. The last
time rates were increased was in 2008. Increases are governed by the PSC. There are
two concerns that Ms. Hellenbrand stated. One is the rate of return and the other is
sufficient cash flow to make sure that money does not have to be borrowed from
another fund. She recommends at least a 3% rate increase. Ms. Mueller stated she
has applied for a simplified rate case with the PSC. She is not certain when the
increase will be able to be implemented as she is waiting for approval from the PSC,
which is backlogged. The City Sewer Utility is very financially healthy at this time.
Mayor Chiaverotti thanked Ms. Hellenbrand and Ms. Myaskovksy for their attendance.
Finance Committee Meeting Page 2
August 23, 2011
NEW BUSINESS
Recommendation Regarding Acceptance of DNR Grant for the Durham Drive Boat
Launch Overflow Parking Area
City Engineer Simpson stated that Parks and Recreation Director Anderson applied for
a grant to provide financial assistance for paving the overflow parking area at the
Durham Drive Boat Launch. He stated the project was proposed because of the
Durham Drive reconstruction project. The City was recently notified that it was awarded
a grant in the amount of 41.5% ($35,000) of the project cost. The Common Council
previously discussed this and requested that the issue be brought back once it was
determined if the City was awarded the grant. The City has to accept the grant by
September 10. Ald. Werner moved to recommend acceptance. Ald. Fiedler
seconded; motion carried.
Recommendation to Accept Improvements Done as Part of Well #5, Well #9 and
Well #13 Project
Mr. Simpson stated work was done regarding Well #5, Well #9 and Well #13 as one
project that was part of the American Recovery and Reinvestment Act. The project is
now complete. Mr. Simpson is in the process of finalizing the paperwork and the
improvements must be accepted. Ald. Fiedler moved to accept the improvements
done as part of the Well #5, Well #9 and Well #13 project. Ald. Schaumberg
seconded; motion carried.
Recommend Approval to Convey Easements and Permanent Right-of-Way for
Janesville Road Reconstruction Project (City Engineer)
Mr. Simpson stated the County has requested that the City convey either temporary
limited easements (TLE) or permanent right-of-way for the Janesville Road
Reconstruction Project. The affected properties are:
Library Property 0.05 Acres of TLE
Well #4 Property (on Bay Lane) 153 Square Feet of TLE
Retention Pond (Martin & Janesville) 0.12 Acres of TLE, 0.02 PLE and
0.09 Acres of Acqusition
Ald. Fiedler moved to recommend approval. Ald. Werner seconded; motion
carried.
The Mayor asked if any of the aldermen present wanted the City Engineer to stay for
the Common Council meeting. Those present responded no and the City Engineer was
dismissed.
VOUCHER APPROVAL
Ald. Schaumberg moved to recommend approval of Utility Vouchers in the
amount $8,951.00. Ald. Fiedler seconded; motion carried.
Ald. Schaumberg moved to recommend approval of General Vouchers in the
amount $107,097.63. Ald. Fiedler seconded; motion carried.
Finance Committee Meeting Page 3
August 23, 2011
FINANCE DIRECTOR’S REPORT
Ms. Mueller stated that staff has been working on a revised purchasing policy and she
and the Mayor are working on the grievance procedure required by the State budget
changes. Both will come forward at a future meeting.
ADJOURNMENT
Ald. Fiedler moved to adjourn the meeting at 6:00 p.m. Ald. Schaumberg
seconded; motion carried.
Minutes taken and transcribed by Jill Blenski, Deputy Clerk.