CCM2021.11.09CITY OF MUSKEGO APPROVED
COMMON COUNCIL MINUTES
November 9, 2021 k
V* Cq W
:°° PM il ' h
USKEGO
Muskego City Hall, W182 S8200 Racine Avenue
CALL TO ORDER
Mayor Petfalski called the meeting to order at 6 pm.
ROLL CALL
Present: Alderpersons Madden, Kubacki, Engelhardt, Kapusta, Terrence, Hammel and Wolfe.
Also Present: Attorney Warchol, Public Works and Development Director Kroeger, Lead Planner
Trzebiatowski, Finance and Administration Director Mueller, Assistant Finance and Administration
Director Mustapich, Captain Simuncak, Parks and Recreation Director Dunn, Library Director
Larson, IT Director Louden, and Assistant Deputy Clerk Roller.
STATEMENT OF PUBLIC NOTICE
Assistant Deputy Clerk Roller stated the meeting was noticed in accordance with the open meeting
law.
PUBLIC COMMENT
Mr. Jake Schwer, W172S7463 Center Drive spoke in favor of Ordinance #1466 stating it will be
easier for property owners to make improvements.
COMMUNICATIONS FROM THE MAYOR'S OFFICE
None.
PUBLIC HEARING
Mayor Petfalski opened the Public Hearing. There were no speakers.
Assistant Finance and Administration Director Mustapich provided the following
information:
Budget Overview
• The Public Hearing this evening will provide a Budget Overview for the City's operations,
which include the General, Debt Service, Special Revenue and Capital Project funds. The
budget process began several months ago with setting Budget Goals to aid in the budget
document preparation. Despite the challenges to balance the budget, the combined efforts of
staff, the Mayor and Committee made for a fairly smooth process. The final COW budget
meeting concluded on October 12'h whereby the Committee recommended the Operating
Budget as presented move forward to the public hearing and Council adoption.
Financial Summary
• This next chart provides a Financial Summary of the City funds as outlined in the budget
overview and include 2020 Actual, 2021 Projected and 2022 Budgeted Revenues,
Expenditures, Fund Balance, and Tax data. As noted, the 2021 Net Fund Balance reduction
resulted from dedicating existing funds to the Hillendale Road project, TCVFD fire gear and
aerial ladder fire truck, Park Arthur field renovations and participation in the Muskego Norway
School District field lighting project. The downward trend continues on into 2022 due to the
closures of TID #8 & #9 and significant net scheduled debt payments.
• The 2022 Levy adjustment includes an additional $300,000 for various General Operation
expenditure increases listed in the chart below including two public safety positions, lake patrol,
COMMON COUNCIL 2 1 P a g e
November 9, 2021
a part-time court clerk and volunteer fire contracted services. The funds will also aid in offsetting
the anticipated reduction in interest earnings. Please note that increased public safety fines;
along with vacancies being filled with lower wage new hires will offset the recommended
employee wage and benefit adjustments.
City Tax Levy/Rate
• As for the City Tax Levy, the State mandate restriction to net new growth amounted to $328,877
or 2.47%, of which the entire increase will be utilized to offset the items noted earlier, as well as
future operating budget increases.
• Besides the levy, the assessment revaluation also impacted the tax rate resulting in an average
City-wide value increase of 22%. Additionally, the termination of Tax Increment Districts #8 &
#9 added 0.60% or $80,000 to the allowable levy funding. As a result, the estimated City tax
rate is anticipated to decrease by $0.74 cents to $3.81/$1,000 of assessed value.
• So, unless improvements were made to your home, the City portion of your tax bill this year should
have a minimal increase of which an owner of a $300, 000 home will pay an estimated $8 more
for City services
• Of the total $14 million tax levy, approximately $11.4 million will fund expenditures for basic
operations in the General Fund, $2.2 million will be dedicated for Principle & Interest
payments and $410,000 will be applied towards the active Tax District Increments.
• In comparison to other surrounding municipalities, Muskego's tax rate continues to
remain substantially less.
Revenue & Expenditure Categories
• The following slides summarize the General Fund Revenue and Expenditure categories
reflecting a balanced increase of $154, 010 or 0.94%. The monthly cost of proposed operating
expenditures amounts to approximately $54 per capita using the latest population estimate of
25,704 and remains status quo as compared to the prior year.
• Of total revenues, approximately 82% are generated from Taxes and Intergovernmental Aids.
The reductions shown in the Miscellaneous and Other Sources categories are a result of
declining investment earnings.
• As in prior years, the largest City expenditures category continues to remain within the
Public Safety divisions equating to 46% of total General Fund operating costs; and include
Police, Dispatcher, Volunteer Fire and Building Inspection services.
Debt Service Fund
• The next fund included in this Public Hearing is the Debt Service Fund, and is used to account for
the principal & interest payments on all General Obligation debt. Funding sources include property
taxes, tax increment financing, conservation fund reimbursement and interest earnings.
• For the current year, the City's total principal balance outstanding is $34 million, leaving a debt
capacity limit of $138 million or 79.40%. This amounts to a $4 million debt reduction over the
prior year and is contributed to the final payment of the 2013 GO Refunding Bonds and prior
year refunding of a TID related GO Bond.
• Future borrowing plans, refinancing and debt levy projections continue to indicate
minimal increases.
Special Revenue Funds
• Summarized in this following chart are the Special Revenue Funds, otherwise known as
Specific Purpose Programs.
• The expenditure activities for 2022 resulted in a projected grand total for all funds combined
of approximately $2.6 million and include Tax Increment related debt payments, various
Park improvements, and increased refuse and recycling hauling fees due to inclusion of the
State tipping fees.
Capital Projects
• The Final Budget for review at this public hearing is the 2022 Capital Projects, and amounts to
a net total of approximately $2.2 million, down from the prior year due to the completion of the
Hillendale Road project.
COMMON COUNCIL
November 9, 2021
3 1 P a g e
• Financing for the majority of items will be funded by Landfill Host Fees and consist of various
technology related and equipment requests from the Finance, Information Technology, Public
Safety and Public Works departments.
Conclusion
• This concludes the 2022 Budget Public Hearing Presentation. All proposed balanced
budgets; including the tax levy, will be considered for approval by the Common Council this
evening.
Mayor Petfalski closed the Public Hearing at 6:10 pm.
CONSENT AGENDA
Alderperson Kubacki moved to approve the following items under Consent Agenda.
Alderperson Hammel seconded; motion carried.
• Approval of Common Council Minutes: October 12, 2021, October 26, 2021, & October 27,
2021
• Resolution #100-2021 - Approval of Parks & Recreation Athletic Field Usage Policies
and Procedures
• Resolution #101-2021 - Re -Approval of Certified Survey Map and Condominium Plat - The
Glen at Muskego Lakes Development
• Resolution #102-2021 - Approval of a Preliminary Plat for the Apple Hills Subdivision
NEW BUSINESS
Resolution #103-2021 - Approval of 2022 General Fund Operating Budget and Tax Levy
Alderperson Engelhardt moved to approve. Alderperson Madden seconded; motion
carried.
Resolution #104-2021 - Approval of 2022 Capital Budget
Alderperson Wolfe moved to approve. Alderperson Kubacki seconded; motion carried.
Resolution #105-2021 - Resolution Authorizing Special Quarterly Charges for Garbage and
Refuse Disposal and Recycling Service
Alderperson Madden moved to approve. Alderperson Hammel seconded; motion carried.
Resolution #106-2021 - Approval of 2022 Sewer Utility Budget and Rates
Alderperson Madden moved to approve. Alderperson Terrence seconded; motion
carried.
Resolution #107-2021 - Approval of 2022 Water Utility Budget and Rates
Alderperson Hammel moved to approve. Alderperson Engelhardt seconded; motion
carried.
UNFINISHED BUSINESS
Ordinance #1464 - An Ordinance to Establish Aldermanic District Boundaries in the
City of Muskego. Second Reading.
Alderperson Kubacki moved to approve. Alderperson Madden seconded. Motion passed
6 to 1 with Alderperson Engelhardt voting no.
Ordinance #1465 - An Ordinance to Amend Chapter 30, Sections 30-1 & 30-2.A. (Polling
Places & Election Officials). Second Reading.
Alderperson Madden moved to approve. Alderperson Kubacki seconded; motion carried.
Ordinance #1466 - An Ordinance to Amend Various Sections of Chapter 400 of the Municipal
Code of the City of Muskego. Second Reading.
Alderperson Engelhardt moved to approve. Alderperson Madden seconded; motion
carried.
COMMON COUNCIL 4 1 P a g e
November 9, 2021
REVIEW OF COMMITTEE REPORTS
• Finance Committee Minutes - October 12, 2021
• Plan Committee Minutes - October 5, 2021
LICENSE APPROVAL
Approval of Change of Agent (Alicia H. Alexander) for the "Class B" held by Parkland Lodge
LLC (Lucky's at the Lodge.)
Alderperson Hammel moved to approve
carried.
VOUCHER APPROVAL
Alderperson Terrence seconded; motion
Utility Vouchers - $45,767.40
Alderman Kubacki moved to approve of Utility Vouchers in the amount of $45,767.40.
Alderperson Engelhardt seconded; motion carried.
General Fund Vouchers - $912,282.69
Alderman Kubacki moved to approve of General Fund Vouchers in the
amount of $912,282.69. Alderperson Terrence seconded; motion carried.
Wire Transfers for Payroll/Invoice Transmittals - $355,448.63
Alderman Kubacki moved to approve of Wire Transfers for Payroll/Invoice
Transmittals in the amount of $355,448.63. Alderperson Hammel seconded; motion
carried.
CITY OFFICIALS' REPORTS
None.
COMMUNICATIONS AND MISCELLANEOUS BUSINESS AS AUTHORIZED BY LAW
Little Muskego Lake District - Alderperson Engelhardt reported they held their monthly meeting
Ryan Wachholz is now chairperson, Patrick Moore continues as Treasurer and Jared Stawicki is
the Secretary.
The Mayor stated December Committee of the Whole items to be addressed will be confirming
Lake District contribution fees for Lake Denoon versus Little Muskego, sewer expansions and
ARPA funds.
FUTURE AGENDA ITEMS
Alderman Kubacki requested an HR Audit Update. Finance and Administration Director
provided information the audit should be starting in the next two weeks. The audit should be
completed by the end of the year.
ADJOURNMENT
Alderperson Madden moved to adjourn at 6:30 pm. Alderperson Wolfe seconded; motion
carried.
Minutes taken and transcribed by Assistant Deputy Clerk Roller.