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CCM.2023.10.10 ApprCITY OF MUSKEGO COMMON COUNCIL MINUTES October 10, 2023 6:00 PM Muskego City Hall, W182 S8200 Racine Avenue CALL TO ORDER Mayor Petfalski called the meeting to order at 6:00 pm. ROLL CALL �VIMA C4 USAPPROVED KEGO Present: Alderperson Wolfe, Alderperson Hammel, Alderperson Kapusta, Alderperson Schroeder, Alderperson Kubacki, Alderperson Madden Absent: Alderperson Terrence Also present: City Attorney Warchol, Public Works and Development Director Kroeger, Finance & Administrative Director Mueller, Assistant Finance & Administrative Director Mustapich, Library Director Larson, Chief Westphal, and Assistant Deputy Clerk -Treasurer Crisp. STATEMENT OF PUBLIC NOTICE Assistant Deputy Clerk -Treasurer Crisp stated that the meeting was noticed in accordance with the open meeting law. PUBLIC COMMENT None. COMMUNICATIONS FROM THE MAYOR'S OFFICE Update — HR Director Croteau is working through the salary study. She is going to be meeting with the individual department heads to look at their individual staff to see how they fall into it. Once it is fine- tuned, it will be brought forward to Council members for their input. PUBLIC HEARING To hear any citizen on the Proposed 2024 City Budget Mayor Petfalski declared the hearing open and turned the presentation over to the Assistant Finance & Administration Director, Jenny Mustapich. Ms. Mustapich presented the proposed 2024 budget and provided an overview for the City's operations which include the General Debt Service, Special Revenue, and Capital Project Funds. The State Legislature passed Act 12 and through the passage of this new legislation, the City of Muskego will receive an additional $552, 000 of State shared revenue in 2024. Although this revenue will assist in offsetting rising costs and producing balanced budgets for the next few years, other options will be necessary for long term solutions to fund ongoing costs of inflation. Financial Summary The 2023-2024 net fund balance reductions are contributed to Idle Isle and Boxhorn boat ramp replacements, various recreation field maintenance, a land purchased in conjunction with the DNR, and several other public safety and public works equipment purchases. Wage and benefit increases are proposed to be funded with additional interest earnings and the supplemental State Shared Revenue. City State Tax Levy/Rate Due to State mandates, the City Tax Levy continues to be restricted. The allowable increase in the proposed budget amounts to $222, 927 and was based off of 1.61 % of net new growth and will be used to offset upcoming 2024 election expenses as well as rising costs associated with fuel, utilities, building maintenance, and public safety vehicle replacements. As a result of the levy increase, the estimated City tax rate would be slightly increased from $3.81 to $3.82 per $1, 000 of assessed value. Of the total $14.4 million tax levy, approximately $11.8 million will fund expenditures for basic operations in the general fund, $2.2 million for principal and interest Common Council Meeting Minutes — October 10, 2023 Page 12 payments, and $389,000 will be applied toward the active tax district increments. Muskego's tax rate has continued to remain substantially less for over two decades. General Fund Revenue and Expenditures The charts in the Presentation (link below) reflect a balanced increase of $928, 837 or 5.46%. The monthly cost of proposed operating expenditures amounts to approximately $58.60 per capita using the latest population estimate of 25,496 and is $2.70 higher than the prior year. Of total revenues, approximately 82% are generated from taxes and state aids. Debt Service Fund This fund is used to account for the principal and interest payments on all general obligation debt. Funding sources include property taxes, tax increment financing, conservation fund reimbursement, and interest earnings. The City's total principal balance outstanding is $30 million leaving a debt capacity limit of $208 million or 86. 72% which amounts to a 3.25% increase over the prior year. The $3 million debt reduction over the prior year is contributed to net scheduled payments and the City's strong financial position requiring no new debt issuance to finance capital projects. Future borrowing plans and debt levy projections continue to indicate minimum increases. Special Revenue Funds These are specific purpose programs. The expenditure activities for 2024 results in a projected grand total for all funds combined of approximately $4.4 million which is equivalent to the prior year and include tax increment debt related payments, various park improvements, and increased refuse and recycling hauling fees due to inclusion of the state tipping fees and residential growth within the community. Summary The final budget for review is the 2024 Capital Projects and amounts to a net total of approximately $2.5 million which is slightly higher than the prior year. Financing for the majority of items will be funded by landfill host fees. It consists of various infrastructure related items and equipment requests from the Information Technology, Public Safety, and Public Works departments as well as $1 million dedicated to the Hillendale Road project improvements which will be funded by ARPA funds. An additional item discussed but not included in the public hearing publication is $160,000 for the gun range renovation and is essential for patrol officer training. All proposed balanced budgets including the tax levy will be approved by the Common Council this evening. No one came forward to speak. The Mayor declared the Public Hearing closed at 6:10 pm. 2024 Public Hearing Presentation. pdf CONSENT AGENDA Approval of Common Council Meeting Minutes - September 19, 2023 CCM.2023.09.19 draft.docx Voucher Approval Vouchers - Total Sheet.pdf Payment Approval. Board report.pdf Resolution #061-2023 - Approval of Financial Participation in a Conservation Land Acquisition (Northeast of Big Muskego Lake State Wildlife Area) CCR2023.061-Fin Part in Cons Land Acquisition.docx M- Request to financially assist DNR land purchase.doc Resolution #062-2023 - Approval of a One -Lot Certified Survey Map (Jackley-WDNR) CCR2023.062-CSM-Jackley-DNR (1-LOT).docx PC 054-2023 SUPPLEMENT.pdf PC 054-2023 MAP. pdf PC 054-2023 RESOLUTION.pdf PC 054-2023 SUBMITTAL.pdf Common Council Meeting Minutes — October 10, 2023 Page 13 Resolution #063-2023 - Dedication of Public Improvements for Jilly's Car Wash CCR2023.063-Dedication of Pub Impr-Jillys Car Wash.pdf Finance Memo - Jilly's LLC Dedication.docx Resolution #064-2023 - Dedication of Public Improvements for Stair Crest CCR2023.064-Dedication of Pub Impr-Stair Crest.pdf Finance Memo - PHW Muskego, Inc Dedication.docx Resolution #065-2023 - Approval of Letter of Credit Reduction for Jilly's LLC CCR2023.065-LOC-Jilly's LLC.docx Finance Memo - Jilly's LLC LOC Reduction.docx LOC1-JilllysMNP.pdf Resolution #070-2023 - Approval of Reduction of Cash Deposit (Baseler) CCR2023.070-Cash Dep Red-Baseler.docx Common Council - Baseler Court cash reduction.docx LOC3-BaselerMNP.pdf Moved by Alderperson Kubacki; seconded by Alderperson Wolfe to Approve all of the items under Consent. Motion Passed: 6 - 0 Voting For: Alderperson Wolfe, Alderperson Hammel, Alderperson Kapusta, Alderperson Schroeder, Alderperson Kubacki, Alderperson Madden Voting Against: None NEW BUSINESS Resolution #066-2023 - Approval of 2024 General Fund Operating Budget and Tax Levy CCR2023.066-2024 City Budget.docx CCR2023.066-Special Rev Budget Attachment.pdf Moved by Alderperson Kubacki; seconded by Alderperson Madden to Approve. Motion Passed: 6 - 0 Voting For: Alderperson Wolfe, Alderperson Hammel, Alderperson Kapusta, Alderperson Schroeder, Alderperson Kubacki, Alderperson Madden Voting Against: None Resolution #067-2023 - Approval of 2024 Capital Budget CCR2023.067-Capital Budget.docx Moved by Alderperson Hammel; seconded by Alderperson Kapusta to Approve. Motion Passed: 6 - 0 Voting For: Alderperson Wolfe, Alderperson Hammel, Alderperson Kapusta, Alderperson Schroeder, Alderperson Kubacki, Alderperson Madden Voting Against: None Resolution #068-2023 - Approval of 2024 Sewer Utility Budget CCR2023.068-Sewer Budget.docx Moved by Alderperson Madden; seconded by Alderperson Schroeder to Approve. Motion Passed: 6 - 0 Voting For: Alderperson Wolfe, Alderperson Hammel, Alderperson Kapusta, Alderperson Schroeder, Alderperson Kubacki, Alderperson Madden Voting Against: None Common Council Meeting Minutes — October 10, 2023 Page 14 Resolution #069-2023 - Approval of 2024 Water Utility Budget and Rates CCR2023.069-Water Budget.docx Moved by Alderperson Kapusta; seconded by Alderperson Schroeder to Approve. Motion Passed: 6 - 0 Voting For: Alderperson Wolfe, Alderperson Hammel, Alderperson Kapusta, Alderperson Schroeder, Alderperson Kubacki, Alderperson Madden Voting Against: None REVIEW OF COMMITTEE REPORTS - None/No action taken. Committee of the Whole Meeting Minutes - September 5, 2023 COWM.2023.09.05 (Appr- BUDGET MTG_2).pdf Plan Commission Meeting Minutes - September 12, 2023 Plan Commission Minutes 09122023 Approved.pdf LICENSE APPROVAL Approval to Amend Outside Dance Permit for Tail Spin LLC (d/b/a Tail Spin Bar & Grill), S64 W18295 Martin Drive, as follows: Fall Fest will be Saturday October 14, 2023 from 1:00 pm to 10:00 pm instead of Saturday, October 21, 2023 - 12:00 pm - 10:00 pm. Moved by Alderperson Kubacki; seconded by Alderperson Schroeder to Approve. Motion Passed: 6 - 0 Voting For: Alderperson Wolfe, Alderperson Hammel, Alderperson Kapusta, Alderperson Schroeder, Alderperson Kubacki, Alderperson Madden Voting Against: None Approval for Outside Dance Permit for Muskego Senior Taxi Service as follows: Muskego Police Department Fundraiser to be held at Making the Cut Tree Services, LLC, S74W16894 Janesville Rd, on Saturday, October 14, 2023 from 11:00 am to 10:00 pm. Making the Cut Tree Services has been postponed the event. As such, the Agenda item was not acted on. CITY OFFICIALS' REPORTS None/No action taken. COMMUNICATIONS AND MISCELLANEOUS BUSINESS AS AUTHORIZED BY LAW Updates from Aldermanic Liaisons None/No action taken. FUTURE AGENDA ITEMS Mayor Petfalski stated that at a future Committee of the Whole meeting he would like to have another discussion concerning the future of the old Police Department building. ADJOURNMENT Moved by Alderperson Madden; seconded by Alderperson Schroeder to Adjourn at 6:13 pm. Motion Passed: 6 - 0 Voting For: Alderperson Wolfe, Alderperson Hammel, Alderperson Kapusta, Alderperson Schroeder, Alderperson Kubacki, Alderperson Madden Voting Against: None Minutes taken and transcribed by Assistant Deputy Clerk -Treasurer