HomeMy WebLinkAboutMN-CA-2012-03-01CITY ADMINISTRATION COMMITTEE
Regular Meeting
March 28, 2012
Members
Present: Alderperson Brock, Alderperson Fleming, Alderperson Kerslick, Alderperson Clairborne, Mayor
Myrick
Members
Excused: Alderperson Proulx
Council
Members
Present: Alderperson Dotson
Staff
Present: Andy Olmetti (Employee Health & Safety Coordinator), Ari Lavine (City Attorney), Debra
Parsons (City Chamberlain), Tom West (Assistant City Engineer), Steve Thayer (Controller),
Scott Andrew (Deputy Controller), Schelley Michell -Nunn (HR Director), Denise Malone (HR
Executive Assistant)
Others
Present: Nels Bohn (IURA Executive Director), Leslie Spurgin (Ciaschi, Dietershagen, Little and
Mickelson & Company), Members of the Public, Members of the Media
Chairperson Clairborne called the meeting to order at 6:05 p.m.
1. Chairperson Greeting & Opening Statement
Chairperson Clairborne welcomed everyone to the meeting and explained the evacuation procedures.
2. Announcements. None.
3. Agenda Review and Amendments
Chairperson Clairborne made the following changes to the agenda:
• Moved Item 15.1 — Controller's Office - Approval of 2010 Single Audit to Item 10.1
• Moved Item 13.1 — IURA /Planning and Development - Sale of Surplus Property to Item 13.1
4. Approval of Minutes
Alderperson Kerslick made a motion to approve the minutes, with corrections, from the February 29, 2012
meeting of the City Administration Committee. Seconded by Alderperson Fleming. Motion carried 4 -0.
5. Statements from the Public
Tom Hanna, of Ithaca and former Alderperson, thanked the Committee for their service. Mr. Hanna spoke
about the Golf Course, Redistricting, the City of Ithaca's Comprehensive Plan, the challenges to the City's
Budget and Charter changes.
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March 28, 2012
Page 2
6. Employee Comments. None.
7. Common Council Response
Alderperson Brock and Chairperson Clairborne thanked Mr. Hanna for his comments and commitment to the
City and its issues.
Chairperson Clairborne reported on the following topics:
Women's History Mini Museum: The 2nd Women's History Mini Museum will be held at GIAC on
Thursday— March 29, 2012, from 4:00 p.m. to 6:00 p.m. in the GIAC Gym. It is free and open to the
public.
Employee Forum: The next Employee Budget Forum will be at the Youth Bureau on Friday — March
30, 2012, from 11:00 a.m. to 12:30 p.m. Common Council members are encouraged to attend the forum
to hear the reports, meet the employees and hear their dedication.
TrMon Martin March: There was a march for Trayvon Martin at DeWitt Park on Tuesday — March 27,
2012. This was put together by Aidan SeTlock, who is a constituent of the 1sT Ward. This was a local
observance to what is happening in Florida.
8. Workforce Diversity Advisory Committee (WDAC) Update
The WDAC met and discussed the following topics:
• Climate Survey: The City had a climate survey completed 10 years ago. The WDAC suggested that
another climate survey be completed and that feedback be given to employees on what has happened
since the first survey;
• Cornell's Diversi . Efforts: Lynette Chappell - Williams updated the WRAC on Comell's new diversity
initiative;
• Redistricting: The Committee talked about the work being done around redistricting and encouraged the
members to attend these meetings and to bring their concerns around redistricting to Common Council
or to the Redistricting Sub - Committee;
• Diversity Report Card /Audit: The WDAC desires to have a diversity report card for the City. The HR
Department is working with Ithaca College students, who will research and gather information about
diversity report cards and diversity audits.
9. Safety Committee/Workplace Violence Prevention Report
Employee Health and Safety Coordinator Andy Olmetti distributed information about, and gave an overview of,
the Workplace Violence Prevention program.
10. Finance /Controller's Office
Approval of 2010 Single Audit
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March 28, 2012
Page 3
Moved by Alderperson Brock. Seconded by Alderperson Kerslick.
RESOLVED, That the Independent Auditor's Report for the period January 1, 2010, through
December 31, 2010, prepared by the accounting firm of Ciaschi, Dietershagen, Little and
Mickelson & Company, LLP be accepted to comply with all the City's applicable Governmental
Accounting Standards Board (GASB) Statement 34 and other related audit and single audit
requirements.
A vote on the resolution resulted as follows:
Passed unanimously.
11. Common Council
1. Overview of 2013 Budget
Last year, after being appointed as Chair of the City Administration Committee, Chairperson
Clairborne included this item on the agenda. The reason for adding this item to the agenda was
to ensure that the Committee was kept up to date regarding the budget. The report for this
agenda item will be set by priorities identified by the Mayor, the City Administration Committee
and the Controller. Agenda topics or budget questions can be forwarded to Chairperson
Clairborne.
Chairperson Clairborne asked Controller Thayer to give an update on the 2013 budget. Mr.
Thayer talked about the State budget and its impact on the City if passed. The City is in a
difficult financial position. The City's revenues are not keeping up with the expenses. As the
2013 activities are being estimated, the City is faced with, roughly, a $3,000,000 budget gap at
this point. This would be the worst case scenario. By the time more details are received about
the revenues and expenses in building the budget, this number could come down.
Controller Thayer stated that he gave an update on the 2013 budget as part of the Employee
Forum. The slides from his presentation were e- mailed to Common Council. Mr. Thayer
encouraged the Committee to look at the slides and to attend the upcoming Employee Forums.
Mr. Thayer gave an update on the following items:
Revenues:
CHIP (Consolidated Highway IMprovement Program): This is the funding for street and road
construction. The State funding will remain the same, which means $350,000 for the City.
Pension: The pension cost is a large expense for the City. With the creation of Tier 6 by the
State, municipalities will not see any savings from this change for a couple of years.
Youth Programs: The City is looking at some reductions in State Aid for the youth programs.
The City will not receive the details of this reduction until the New York State budget has been
approved.
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March 28, 2012
Page 4
Property Tax Cap: The 2% property tax cap, when adjusted, will be greater than 2 %. For 2013,
it will be important for the City to keep within the property tax cap.
Property: Even though over sixty percent (60 %) of the properties in the City are tax exempt,
property tax is a large revenue for the City. The City will receive its new tax assessment on July
1St. This will give the City more information to create a budget for 2013 tax rate.
Sales Tax Revenue: Sales tax is another large revenue for the City. The City will look for a 2%
or 2' /z% increase in sales tax for 2013.
Building Permit Revenue: Some projects from private developments are starting to be funded.
With these new developments, property tax, assessments and building permit revenue will
increase over time.
Expenses:
Pension: Pension cost will increase significantly in 2013. The City expects this cost to increase
beyond 2013, but not as much.
Health Insurance: Health insurance cost continues to increase. In 2013, it will increase about
5% to 10 %.
Debt Load: The debt load continues to be high. The market is good for interest rates, which is
keeping the City's interest cost lower.
Fuel Prices /Labor Cost: Fuel prices and labor cost continue to increase.
Employee Forums: There have been forums to communicate to employees where the City stands
financially. The City is asking cooperation/support from the unions and employees in trying to
find cost saving measures and revenue enhancements, wherever possible. After the employee
budget forums, the City will schedule public budget forums in the community.
Economic Development: The City is looking at selling City properties to bring a boost to the
revenue source.
12. Attorney's Office
Amendment to Personnel Roster
Moved by Alderperson Kerslick. Seconded by Alderperson Brock.
WHEREAS, the position of Assistant City Attorney had long been a full -time position until
January 2011, and
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March 28, 2012
Page 5
WHEREAS, at the request of a former Assistant City Attorney, the City reduced her position to
half -time in January 2011, and
WHEREAS, the workload of the City Attorney's Office is such that the City was thereafter
required to hire a temporary, half -time Associate City Attorney to supplement the half -time
Assistant City Attorney's work, and
WHEREAS, the same employee now serves both in the role of half -time Assistant City Attorney
and of half -time temporary Associate City Attorney, and
WHEREAS, the temporary position of half -time Associate City Attorney will expire on April 3,
2012, and
WHEREAS, the City Attorney's Office can best function if, upon the April 3 expiration of the
temporary, half -time Associate City Attorney position, the half -time Assistant City Attorney
position that does not serve as the City Prosecutor is increased to a full -time position, and
WHEREAS, this increase can be achieved for the remainder of 2012 within the existing 2012
authorized Attorney budget and prior year encumbrances; now, therefore, be it
RESOLVED, That the Personnel Roster of the City Attorney's Office be amended as follows:
Add: One (1) Full -time 40 hour Assistant City Attorney Position
Delete: One (1) Half -Time Associate City Attorney (Temporary)
and be it further
RESOLVED, That said roster amendment will be effective April 4, 2012, and be it further
RESOLVED, That the position of City Attorney, the existing full -time position of Assistant City
Attorney, and the existing half -time position of Assistant City Attorney that serves as City
Prosecutor shall remain unchanged, and be it further
RESOLVED, That funds necessary for this roster amendment shall be derived within the existing
2012 authorized Attorney budget and prior year encumbrances.
A vote on the resolution resulted as follows:
Passed unanimously.
13. Chamberlain's Office
Amendment to 2012 Tax Roll
Moved by Alderperson Brock. Seconded by Alderperson Kerslick.
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March 28, 2012
Page 6
WHEREAS, pursuant to Section 554 of the Real Property Tax Law, the Director of Assessment
has investigated an application for the correction of an error in essential fact filed by the owners
of 315 Elm Street, tax map number 77. -1 -9 and
WHEREAS, the investigation revealed that an error in reporting of certain income resulted in an
error in an aged exemption; now therefore, be it
RESOLVED, That the 2012 Tax Roll for the City of Ithaca be amended to reduce the 2012 City
of Ithaca taxes on the parcel identified as map number 77.4-9 by $56.89, and be it further
RESOLVED, That the City Chamberlain is authorized and directed to make the appropriate
refund and changes.
A vote on the resolution resulted as follows:
Passed unanimously.
14. IURA/Planning and Development
Sale of Surplus Property (Discussion)
City Attorney Ari Lavine, Assistant City Engineer Tom West and IURA Executive Director Nels
Bohn joined the Committee for this discussion.
Chairperson Clairborne stated that the agenda packet included information regarding the three
properties for sale (213 -215 W. Spencer Street - #93. -7 -3 & #93.- 3 -5.1; 321 Elmira Road -
#122. -2 -1; and Cherry Street Extension - #100.- 2 -1.2). In the packet was a letter from IURA
Executive Director Nels Bohn that outlines the issues and summarizes the Planning Committee's
recommendations. According to the letter, Common Council is being asked to "1) to determine
if the properties are appropriate for structuring a proposed disposition action; and 2) to identify
public policy objectives for disposition and the preferred method of disposition for each
property ". Once staff knows what Common Council's goals are for these properties, staff would
work with the Attorney's Office to structure what would be the best approach in going forward.
Committee members asked questions and expressed their thoughts about the sale of these
properties. Since he was absent from the meeting, Chairperson Clairborne read a statement from
Alderperson Proulx regarding his thoughts on the sale of these properties.
After discussion, Nels Bohn responded that they would draft a resolution that summarized what
was discussed and Chairperson Clairborne agreed to write a letter to the Planning and Economic
Development Committee that summarized what was discussed at this meeting.
15. Human Resources (HR) Department
Director's Report. HR Director Michell -Nunn reported on the following:
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March 28, 2012
Page 7
Employee Forums: There was an employee forum on Monday — March 26, 2012, in City Hall.
There will be a forum on Friday — March 30, 2012, at the Youth Bureau from 11:00 a.m. to
12:30 p.m. and on Monday — April 2, 2012, at the DPW (Water & Sewer) from 2:00 p.m. to 3:30
p.m. A reminder will be sent about upcoming forums. Common Council members are
encouraged to attend. The agenda included opening remarks from the Mayor, an overview of the
budget and the City's financial state by the Controller and an update on the Excellus BC /BS
changes by the HR Director. Employees provided feedback/input /suggestions around ideas that
management and Common Council should consider when looking at increasing revenues and
decreasing expenses (e.g. look into the City's vehicle usage or employees taking vehicles home;
look into increasing parking rates; look into 24 hour staffing of parking garages or electronic
ticketing; look into franchise fees as a potential revenue source; etc.) Employees expressed their
frustration on not seeing results or receiving any feedback or follow -up to previous submitted
suggestions.
Undoing Racism Workshops: The Undoing Racism Workshops will be held on the three
consecutive Mondays, Tuesdays and Wednesdays starting May 7, May 8 and May 9. David
Billings, from the People's Institute for Survival and Beyond, will conduct the workshops. This
is the City's third year participating in this workshop that focuses on understanding what racism
is, where it comes from, how it functions, why it persists and how to undo it. Last year, the City
had more than 30 employees participate. The feedback has been positive. This year the City has
30 slots. Common Council members are encouraged to attend this workshop.
Novak Report: When the Novak Report was first completed, the Senior Staff had an opportunity
to hear the presentation from the Novak Group. On Tuesday — March 27, 2012, Senior Staff
began an exercise looking at the Novak Report. At this meeting, Senior Staff looked at what
they liked about the recommendations, identified questions or clarifications that they needed
regarding other recommendations as well as they identified any concerns that they had related to
these recommendations. They did not complete all of the recommendations so they will continue
this exercise at their next meeting. The results from this exercise will be shared with the GPA
(Governance Accountability and Performance) Committee.
16. Finance /Controller's Office
Controller's Report. Controller Thayer reported on the following:
End of Year: Controller's Office has finished the 2010 audit activity, which was approved
tonight, and is trying to close up 2011 activity. 2012 activity is in full swing. The Controller's
Office is getting ready for 2013 budget season.
Fund Balance: The City has a $730,000 deficit for the 2011 Budget. This will change with
inventory adjustments.
State Budget: For 2012 activities that have State Aid, the City budgeted a slight decrease of 2%
or $51,000. Since the State Aid will remain the same, the City will have about $51,000.
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March 28, 2012
Page 8
Sales Tax: The City budgeted just under a 2% increase in sales tax for 2012. Sales tax
collections continue to come in slow. In comparing the same time period, the City has collected
1% less in sales tax for 2012 than in 2011.
Snow Removal: The City has spent less money on snow removal in salaries, snow and overtime.
For the same time period in 2012 and 2011, the City spent for salaries and overtime $27,000 this
year and $129,000 in 2011. In salt, the City has spent $34,000 this year compared to $72,000
last year. Since the City purchases salt from a state contract, there is a requirement that the City
has to buy a certain amount of salt on an annual basis. The City will have to purchase some salt
even though the inventories are up.
Overtime Cost: In 2012, the City budgeted $935,000 for overtime. To date, the City has spent
$197,000 in overtime. In 2011, the City spent $1,210,000 in overtime.
Building Permit: ermit: In 2012, the City budgeted $385,000 and has collected $73,000 to date.
Parking- Revenue: In 2012 to date, the City has collected $440,000 of the $2,000,000 budgeted
amount for parking revenue. Recommendations will be forthcoming from the Parking Sub -
Committee on the parking issues within the City.
City Credit Cards: The Controller's Office has received the City credit cards. Deputy Controller
Andrew is working on a credit card policy and will soon issue credit cards to some departments
so personal credit cards do not have to be used for City business.
E -mail S.. se: The Controller's Office has been working with the IT Department regarding the
e -mail system. The City has to get a new e-mail system by July 2013. This will cost the City.
The IT Department has projected cost over a 6 year period for various alternatives. The
Controller's preference is to put the cost of an e -mail system into the 2013 budget process
because it is a significant cost that the City does not currently have the funds for and it was not
budgeted for in the 2012 budget. The IT Department will look at and make recommendations for
replacement of the e -mail system.
17. Reports
Mayor's Report. None.
2. Sub - Committee Updates. None.
3. Council Members' Announcements
Meeting Days for City Administration Committee: Chairperson Clairborne announced that the
City Administration Committee meeting will move to the fourth Wednesday of the month (vs.
the last Wednesday) and thanked everyone for their input.
4. Next Month's Meeting: April 25, 2012.
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March 28, 2012
Page 9
18. Adjournment
With no further business and on a motion by Alderperson Kerslick, the meeting was adjourned at 9:00 p.m.