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HomeMy WebLinkAboutMN-B&A-1989-11-02 - Budget Meeting BUDGET AND ADMINISTRATION COMMITTEE BUDGET MEETING 7: 00 P.M. NOVEMBER 2, 1989 PRESENT: Committee Members: Schlather, Hoffman, Killeen, Cummings Committee Member Excused: Romanowski Other Alderperson Present: Lytel, Johnson, Peterson, Booth, Nichols (late) Others present: City Controller - Cafferillo Deputy City Controller - Thayer City Chamberlain - Parsons City Attorney - Nash Personnel Administrator - Walker Fire Chief - Olmstead City Engineer. - Gray A member of the media 1 . Budget Overview Chairperson Schlather opened the meeting allowing for any public input. No one from the Public attended the meeting. Chairperson Schlather explained to the Committee that the 1990 Budget is very tight and there is not much room for movement or addition of expenditures. Chairperson Schlather asked the Alder- persons present if they had any other major concern areas to add to the sheet that listed the budget concerns to be discussed at some point throughout the budget discussions. The items listed below are the original major concern items: 1 . Consolidation of Finance, Purchasing and Personnel 2. Full-time City Attorney 3. Consolidation of DPW (General) and Water & Sewer 4. Consolidation of Bus Operations with Tom-Tran 5. Use of vans for bus service on lesser-used routes 6. DPW equipment funding, including computerization 7. County takeover of recycling 8. Garbage disposal fees 9. Additional fire fighters 10. Capital reserves funding 11 . INHS funding and Eddygate proceeds 12. Planning Department contractual services 13. Building Department - additional personnel 14. Self-Insurance (liability and property) 15. Deletion of City Historian 16. Increased revenues: parking meters, garages and fines; other user fees; sales tax 17. Capital Projects - 1990 (GIAC, City Court, bikeway, etc.) The Committee members added the following concerns to discuss during the seven Budget meetings: 18. Permanent Funding - Homeless Shelter (Booth) 19. Youth Bureau Revenue (Booth) 20. Establish Unappropriated Reserve (Booth) 21 . Long Term Reduction in DPW Personnel (Booth) B 6 A COMMITTEE - BUDGET MEETING - Page 2 NOVEMBER 2, 1989 22. Housing Planner (Killeen) 23. Other Revenue Sources for each Department (Cummings) 24. Grant Funding (Cummings) 25. Parking Structure Rates (Cummings) 26. Capital Items (Cummings) 27. Six Mile Creek Protection Measures (Hoffman) 28. Housing Trust Fund (Hoffman) 2. Consolidation of Personnel and Finance Departments City Controller Cafferillo presented information regarding the consolidation plan for the Personnel and Finance Departments. Cafferillo gave some reasons why this plan is needed: 1. Better utilize current personnel 2. Cut back in the number of staff needed 3. Improve the efficiency of the two departments 4. Save some money for the City 5. Give a model for other Departments to follow 6. The timing is right because of new and vacant positions within these departments. The reclassifications that would take place if the consolidation were to be approved would be the following: ' 1. Current Purchasing Steno would be reclassified to City Buyer 2. City Clerk's Office - Connie Holcomb's position to be reviewed and reclassified 3. City and Deputy Controller would take on added responsibilites involved with the major purchases of the City - while the City Buyer would handle day to day purchasing operations 4. Personnel Administrator and Personnel Associate would take on added responsibilities in the employee benefits and insurance areas The consolidation of the two departments has the support of the Committee Members but some concerns still exist. The concerns of the Committee were as follows: 1. Is there a system of checks and balances 2. Will future goals of the two departments be retained - would there be conflicts in the future if certain positions changed in personnel 3. Civil Service or Independence problems with the consolidation 4. Concerns over hiring in the future The concerns were addressed by the City Controller, City Chamberlain and the Personnel Administrator. After some lengthy discussions on the consolidation issue and the budgets of the Finance, Personnel, Traffic Violations, Purchasing and City Historian, the following motions were made: B & A COMMITTEE - BUDGET MEETING - Page 3 NOVEMBER 2, 1989 Approving the consolidation of the Finance and Personnel Departments and approving the Finance, Traffic Violations, Purchasing and Personnel Budgets as modified at $646,577 spread over the 100, 200 and 400 lines by the City Controller as proposed. Motion approved 9-0. Effective date January 1, 1990. Amendments were as follows: Approving the elimination of the City Historian position and Budget of $200, Account A7510. Amendment approved 8-0. Approving the deletion of $2,600 from the 435 line, Contractual Services, from the Personnel Budget. Amendment approved 8-0. Alderperson Booth wanted to make the record clear that individual department budgets are not final until the entire 1990 budget is approved in December. Departmental Budget adjustments can be made even after the Committee has reviewed and accepted the department's budget. All Council members agreed on this procedure. 3. City Attorney Budget City Attorney Nash answered questions regarding the Committee's request to have a full time City Attorney with the City. Attorney Nash felt that the transtition from the current status of the City Attorney to a full time position might be difficult. The right person would have to be found, someone with 3 - 5 years experience and without an established private practice. Lengthy discussions followed on the possibility of part time and full time City Attorneys and the current attorney salaries in the Ithaca area. Also discussed were the possibility of eliminating the City Prosecutor and transferring some of that budget to the City Attorney's budget to assist in funding a full time staff attorney and a part time City Attorney. After the discussions it was the consensus of the Committee that conceptually the possibility of abolishing the City Prosecutor position in the interest of pro- viding funding for a full time staff attorney could be an appropriate solution to the City Attorney problem. The following motions were made: The establishment of a full time staff attorney at an annual salary of $32,000. Motion passes 10-0. A motion to reduce the City Attorney position to 15 hours at a annual contract amount of $24,000. Motion split 5-5. The overall motion that was the general consensus of the Committee for the conceptual possibility of abolishing the City Prosecutor position in the interest of providing for a full time staff attorney for the City was approved 10-0. B & A COMMITTEE - BUDGET MEETING - Page 4 NOVEMBER 2, 1989 It was noted the above amendments were only a consideration by the Committee and that a final determination on the City Prosecutor and City Attorney positions was tabled until the November 20, 1989 budget meeting. At that time further input by the City Prosecutor and City Attorney will be requested and a final decision will be made. The City Prosecutor and the City Attorney will be invited to attend the November 20, 1989 budget meeting. 4. Mayor's Budget The Mayor's Department budget was presented by City Controller Cafferillo. Discussion followed on the future staff change in Mayor and how that might effect the Mayor's secretary. Apparently, the change in Mayor should not have an effect on the Mayor's secretary. Concerns were raised by Committee members over the Staff Development and Travel lines. It was felt that the $250 budgeted for line 440 and the $250 budgeted for line 445 were not enough for an activist Mayor. The City Con- troller stated that the current budget of $250 for each line 440 and 445 had already been overspent by approximately $700. Because of this the consensus of the Council was to increase the Mayor's Department budget line 440 and 445 by $350 each. A motion to approve the Mayor's Department budget with an addition to account 440 of $350 and account 445 of $350 for a total addition of $700. Motion was approved 10-0. 5. Election Budget The election budget was presented and after a brief discussion was approved as is. A motion to approve the Election Budget of $17,935 as is. Approved 10-0. 6. Special Items City Controller Cafferillo presented the special items area of the 1990 Budget for all funds. He explained that these items, Insurance, Employee Benefits and Debt Service, etc., were non discretionary items that Council did not have much control over because they were established by State and Federal Agencies. The Controller explained why the State Retirement payment will decrease by $234,000 in 1990 because of a change in the billing procedure by the State. A discussion on undistributed Insurance, Hospital Insurance, Social Security, City Property Taxes and the City's Contingency Account followed. The Council made no formal vote on the special items portion of the budget. 7. Report from Executive Session The Committee went into executive session and discussed Insurance and City's Unrestricted and Restricted Contingency accounts. No formal action was taken. After the Committee came out of executive session the meeting adjourned at 10:25 P.M. B 8 A COMMITTEE - BUDGET MEETING - Page 5 NOVEMBER 2, 1989 Following is a Summary of Budget Adjustments: Mayor's Recomm. : $20,889,696 ( 80,236 Reduction resulting from Reorganization $20,809,460 15,783 Net increases in Finance, Personnel, Purchasing $20,825,243 ( 2,600 Decrease in Personnel relating to Arbitration $20,822,643 ( 200 ) Delete City .Historian position $20,822,443 700 Increased Staff Development and Travel S Mileage in Mayor's Office budget $20,823,143 As of Conclusion of November 2, 1989 B 8 A/ Committee as a whole meeting ($ 66,553) Net Reduction in Mayor's Budget