HomeMy WebLinkAboutSpec Mtg. Minutes 7/18/19891.50
MINUTES of a Special Meeting - 7/18/89
Minutes of a Special Meeting of the Board of Trustees of the Village of Cayuga
Heights held July 18, 1989 at 7:00 p.m. in the Sutton Conference Room.
PRESENT: Mayor Anderson; Trustees Camp, Pimentel, Searle, Wheeler; Treasurer
Silber; Supt. of Public Works Rogers.
ABSENT: Trustees Fleming, Weiss.
OTHERS: John Little, John Roscoe, John Majeroni, John Dennis.
Ground rules for this modified case study financial analysis were 129 lots, $225,000
average price, and budget line items that vary will be considered to vary directly
with population increase caused by Savage Farm development. The time period is from
present to 1999. There was discussion that some of the costs varywith the increase
in road mileage, but that this increase (approximately 10 %) would be more than
covered if equated to the projected population increase (14 %). It was further stated
that the costs for road maintenance in the first 10 years would be negligible.
The main purpose of the meeting was to specify whether a budget line item would
vary or remain fixed under the circumstances that the Savage Farm be developed
with 129 lots. This was done for each and every revenue and expense line for the
general budget. There was generally discussion about each item. Specifically, the
following line items received particular attention:
sales tax (thought would become flat in the near future),
interest (has been growing, but anticipated capital costs will consume
potential surpluses),
per capita (anticipate state reductions to offset increase in population),
transportation will remain fixed because the roads will be new,
undistributed pertaining to personnel will vary because the police and
public works departments will each add 1 man,
contingency was'notz.increased: because it would reflect a percentage of
the total budget increase (less than the population increase) and
could be controlled by Board discretion.
Preliminary results showed 50% of the revenue and 56% of the expense as varying
with the population. Of the revenues that are not derived from real property
taxes, only 13% varied with population.
There was further discussion about the assessed values of the houses versus
time and in connection with the equalization rate. A rising assessment with
time and a constant equalization rate was thought by the Board to possibly
overstate the anticipated revenue, and it was decided that the more conserva-
tive approach should be used whereby the assessed value and equalization are
kept constatnt with time. This was considered to more accurately reflect what
has occurred and what would continue to occur.
Equalization rates were discussed at length. An apparent discrepancy of 56%
from the State for 1986 and 40% from Don Franklin of the Tompkins County Assess-
ment Office for the present was thought to reflect the recent rise in housing
values. Therefore, since the ground rules for this analysis used a current
price (225,000 average price per house) we should use the 40% equalization rate.
There was discussion about the estimates of present population and population
growth due to development of the Savage Farm. Points discussed were: the dif-
ferences between State's assumptions of occupancy and actuals for Village of
Cayuga Hieghts, average occupancy for the apartments, average number of bed-
rooms per house, last census results, and inputs from Frank Liguori and Harry
Missirian. Decided that Mayor and Trustee Wheeler assemble facts and summarize
a position for the Board.
Submitted by- Trustee Camp
G
151
MINUTES of Special Meeting - 7/18/89
Motion by Trustee Camp, seconded by Trustee Pimentel:
RESOLUTION 4069 - APROVE BILL SUBMITTED BY JOHN LITTLE
VOTED to approve the payment to John Little of $4,000 for first progress
billing on Savage Farm Fiscal Impact Study. Unanimously passed.
Trustees Camp, Pimentel, Searle and Wheeler voting yes.
I
Next meeting - Wednesday, July 26, 1989 - 7:00 p.m. - Board Room.
Meeting adjourned 8:30 p.m. / 1
Anne Kroht�
MINUTES of Special Meeting - 7/26/89
Minutes of a Special Meeting of the Board of Trustees of the Village of Cayuga
Heights held July 26, 1989 at 7:00 p.m. in the Marcham Room of the Village Hall.
PRESENT: Mayor Anderson; Trustees Camp, Fleming, Pimentel, Searle, Weiss,
Wheeler; Treasurer Silber; Attorney Oesterle.
ABSENT: Clerk Krohto
OTHERS: John Little, John Roscoe, John Majeroni, Mr. Donner.
John Little submitted a "Representation Letter" to be signed by the Mayor and
Trustees. It was passed on to Attorney Oesterle for review. Mr. Little explained
that it is a certification by the Board that the facts presented to him are accurate,
and must be received by him before he can submit a final version of the Fiscal
Impact Study.
A draft copy of the Fiscal Impact Study was distributed to the Mayor,
Trustees, Treasurer, and Attorney. The Board and Mr. Little then proceeded with
a review, and changes, additions and comments were made at that time. These
are recorded herein, under the various alternatives.
Alternative 1 - Purchase of all the land. It was pointed out by Mr. Little
that he had used an amortization period of twenty years:based:on -:the assumption
that the land would qualify as a park and not be considered raw land. It was noted
that the exact use of the land had not been discussed, but Attorney Oesterle stated
later in the meeting that any form of recreational use would qualify for park
designation. Mr. Little was instructed to list the analysis for all three costs of
the land assumed by the Voard; that is, $1.6, $2,5, and $3,5 million. This was
modified later in the meeting, and only the
$1.6 and $3.5 million costs were to be included. Treasurer Silber is to supply
a list and amounts of operation costs for the purchased land, to be included in the
analysis. Treasurer Silber also pointed out that the lsot tax revenue needs to be
' added to the analysis. He will supply that amount.
Alternative 2 - Purchase of 35% of the land and development with'65% of 129 lots
of the baseline assumptions. Again, the two purchase cost alternatives ($1.6 and
$3.5 million) were to be added from line "W" onwards. The loss of real tax revenue
for the purchased part of the land was to be added to the impact on revenue. For
the 65% of land to be developed, the real tax revenue will be based on the reassessed