HomeMy WebLinkAboutMN-B&A-1993-01-20 BUDGET AND ADMINISTRATION COMMITTEE
Regular Meeting 7:30 P.M. January 20, 1993
MINUTES
Present•
Committee Members: Booth, Berg, Daley, Johnson,
Romanowski
Others Present•
Mayor - Nichols
City Controller - Cafferillo
Deputy Controller - Thayer
Superintendent of Public Works - Gray
City Chamberlain - Parsons
Youth Bureau Director - Cohen
Building Commissioner - Eckstrom
Deputy Fire Chief - Dorman
CSEA Admin. Unit President - Baker
Assistant City Attorney - Kennedy
BPW Commissioner - Gerard
CDLM CPA'S Representative - Jones
Members of the media
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1 . Opening Comments
Chairperson Booth made the following changes to the Agenda:
A. Additional item from the Mayor regarding the future County
Sales Tax distribution.
B. Additional item from the Mayor regarding County Election
Expenses.
C. Additional item dealing with the current Fire Fighters'
Association Contract discussions.
D. Additional DPW Personnel item, hiring above Step 1 .
E. Additional City Chamberlain item regarding a change in the
tax roll .
Members of the public were asked to speak; no members spoke.
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BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 20, 1993
2 . Mayor
A. Request to Reject County Election Expenses
Mayor Nichols presented a request to reject the current
County invoice to the City of Ithaca relating to County
Election Expenses for 1992 . The Mayor explained that the
County began charging the City for election expenses in
1991 . He stated the 1991 amount was $41,000, and the City
had $52,000 budgeted for 1992 . He explained that the
current bill for 1992 is $77,965.
Mayor Nichols explained that a recent opinion by the State
Comptroller's Office determined that most of the election
expenses incurred by the County must be paid for by the
County, not the other municipalities. He reported that
local government efforts are occuring statewide to reject
county government assessment of election expenses to those
localities. Only expenses specifically incurred in the
City's annual elections can be charged by the County to the
City.
Mayor Nichols stated that the City pays for its own election
expenses incurred during local elections . He explained that
the County is charging local municipalities for of the
County government's election expenses.
Mayor Nichols requested that the committee approve a
resolution rejecting the current bill from the County and
requesting that the 1991 and 1992 bills be amended to
reflect only appropriate election charges per the
Comptroller's opinion. The committee agreed with the Mayor,
and the following motion was made:
WHEREAS, a recent opinion of the State Comptroller (Opin. 92-26) ,
determined that all expense incurred by the Tompkins County Board
of Elections under the Election Law, must be raised as a County
charge, and that only those expenses which are specifically
chargeable to individual jurisdictions within the County may
subsequently be charged back to those jurisdictions; now,
therefore, be it
RESOLVED, That the Common Council strongly objects to the
County's attempt to charge back to the City the entire cost of
the Board of Elections for 1991 and 1992 , on the grounds that
certain of these charge-backs are not permitted under Section
361-a of the County Law and Sections 4-136 and 4-138 of the
Election Law, and be it further
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BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 20, 1993
RESOLVED, That the Common Council hereby requests that the County
of Tompkins issue an amended billing for 1992, and reimburse the
City for any charges for 1991 which are not specifically
attributable to the City's election process for 1991 .
The motion passed 5-0 .
B. Request Approval For Future Sales Tax Revenue Distribution
Mayor Nichols presented a request to the committee asking
for a resolution directed to the County Board to amend the
future Sales Tax revenue distribution.
Mayor Nichols explained that because the State Legislature
only approved the eight percent sales tax for one year, the
existing sales tax increase ends at the end of November,
1993. He stated that because of this sunset clause, the
County is requesting the State to continue the eight percent
sales tax beyond the November deadline.
Mayor Nichols explained that currently the City receives
only one-quarter of the amount raised by the additional one
percent sales tax from sales within the City. He stated
that he believed the City should be receiving one-half of
the sales tax revenue raised within the City from this extra
one percent sales tax. He stated that 47% of all sales tax
revenue raised in the County is derived from within the City
limits . He stated that the City of Cortland receives a one-
half portion on their County's extra one percent sales tax.
Mayor Nichols explained that when the County sales tax was
seven percent, the City received the one-half portion of the
sales tax revenue raised within the City. He asked the
committee to approve a resolution supporting State
legislation that would allow the City to collect its
normally entitled share of the extra percent of sales tax
revenue for future years, beginning in 1994 .
After a brief discussion on this issue, the committee agreed
and the following motion was made:
WHEREAS, The State has authorized the County of Tompkins to
increase the rate of sales and compensating use tax by one
percent beginning December 1, 1992 and ending November 30, 1993,
and
WHEREAS, The Tompkins County Board of Representatives is
requesting that the State approve a continuation of the
additional one percent sales tax, and
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BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 20, 1993
WHEREAS, Approximately 47 percent of all the sales tax revenue in
the County is raised by sales within the City of Ithaca, and
WHEREAS, The City builds and maintains roads, bridges, and
parking garages at a large cost to its taxpayers (without any
support from the County) in order to provide the access for those
sales, and
WHEREAS, The City, at great expense, provides police and fire
protection to its citizens and to the many thousands of County
residents who work and do business within the City, and receives
no support from the County for such protection, and
WHEREAS, The City provides and supports many human service
programs as well as park and recreational facilities, and
WHEREAS, In recognition of the special costs to the City, the
State permits the City to impose a sales tax of one-half of the
3 percent County sales tax for sales within the City of Ithaca,
and
WHEREAS, in Cortland County, as in other counties, the City of
Cortland receives the same one-half portion of the additional
revenues from the one-percent increase as it does for the other
three-percent sales tax; now, therefore, be it
RESOLVED, That the City of Ithaca urges the County Board of
Representatives to revise its request to the State so as to
permit the City to impose a sales tax of one-half of the 4
percent County sales tax, and be it further
RESOLVED, That the Mayor is directed to urge our representatives
in the State Assembly and State Senate, as well as the Chairs of
the appropriate Assembly and Senate Committees, not to put
forward any proposal from Tompkins
County for a continuation of the additional one percent sales tax
unless such a proposal includes the ability of the City of Ithaca
to receive one-half of that additional tax from sales within the
City of Ithaca.
The motion passed 5-0 .
3 . Open Grievance Hearing
Chairperson Booth initiated discussion of the Grievance
Hearing brought forth by two unions regarding the City' s
Vacation Accrual Policy. The committee voted, 5-0, to open
the grievance hearing.
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BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 20, 1993
Chairperson Booth stated that the Union's representative
could not attend this meeting and would like a mutually-
agreed-upon meeting in the near future. The committee
agreed to meet with the representative on January 26th at
7 : 30 P.M. to continue the grievance hearing.
The committee voted, 5-0, to continue the grievance hearing
until January 26th, 1993. No other action was taken.
4. Finance Department
A. Approval of 1991 City of Ithaca Single Audit Report
Dennis Jones, member of the independent audit firm of
Ciaschi, Dietershagen, Little, and Mickelson, CPA's
presented the City's 1991 Single Audit Report.
Mr. Jones stated that the audit report was clean with three
minor exceptions. The three exceptions were as follows :
1 . A few Accounts Payable amounts at the end of the
year were classified as encumbrances .
2 . Six of 35 expenditures tested were found to have
a purchase amount above the original purchase
order.
3 . The Community Development Fund expended funds by
use of a drawdown on the Community Development
Block Grant prior to use of program income.
Mr. Jones explained that all of the above items were minor
in nature, and that overall the City is in good shape
regarding its financial records and its financial management
strategies .
Mr. Jones also noted that the City's Fund Balance for 1991
was about ten percent of the City's budget. He stated that
the ten percent fund balance was a sign of good financial
management during these hard economic conditions .
After a brief discussion, the following motion was made:
RESOLVED, That the Single Audit Report for the period of January
1, 1991 through December 31, 1991 prepared by the accounting firm
of Ciaschi, Dietershagen, Little, and Mickelson C.P.A. 's, be
accepted to comply with all of the City's applicable Federal
Single Audit and Related Audit requirements .
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BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 20, 1993
The motion passed 5-0 .
B. Chamberlain - Request Redemption for Tax Sale Properties
City Chamberlain Parsons presented a request for redemption
of tax sale properties . She stated that the City has
acquired three properties that were not redeemed from the
1989 City Tax Sale. She explained that the three properties
in question, and the related costs that an owner would have
to pay to redeem any of these properties, are as follows :
1 . 814 South Meadow Street $5,283 . 96 + costs
2 . 214 Second Street $5,941 .49 + costs
3 . 432 North Titus Avenue $5, 927 . 71 + costs
Chamberlain Parsons stated that she has received
communications from two of the property owners requesting
that they be allowed to redeem the properties . The
committee discussed the possibility of allowing redemptions
for the stated properties . The committee agreed that the
property owners should be allowed to redeem the properties .
The committee agreed to allow the property owners to redeem
these properties up to May 15, 1993. The following motion
was made:
RESOLVED, That the existing owners be permitted to redeem the
properties at 432 Titus Avenue, 814 South Meadow Street, and 214
Second Street, up to May 15, 1993, for the total lien amount
outstanding, plus additional interest penalty and related costs
through the date of the redemption.
The motion passed 5-0.
C. Chamberlain - Request To Correct Tax Roll
City Chamberlain Parsons presented a request to correct the
1993 City tax roll . She stated that an investigation
revealed that a tax exempt parcel located on North Meadow
Street, and owned by the Ithaca Urban Renewal Agency, was
listed in the taxable portion of the tax roll. She
explained that the property was assessed for $214,500.
After a brief discussion regarding the property, the
following motion was made:
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BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 20, 1993
WHEREAS, an investigation of an error in essential fact, pursuant
to Section 554, subsection 4A of the Real Property Tax Law
revealed that a tax exempt parcel at North Meadow Street, owned
by Ithaca Urban Renewal was listed in the taxable portion of the
tax roll; now, therefore, be it
RESOLVED, That the 1993 Tax Roll for the City of Ithaca be
amended to reduce the taxable assessment on Tax Map Number 43-2-
13 to 0 and be it further
RESOLVED, That the City Chamberlain is authorized and directed to
make the appropriate changes on the tax roll.
The motion passed 5-0 .
5 . Committee Proceeds Into Executive Session
Chairperson Booth stated that the committee should move into
executive session to discuss several personnel items. Prior
to the committee's vote on proceeding into executive
session, CSEA Union President Bill Baker stated that the
Union was not notified until today regarding the Building
Department's proposal to hire above Step 1. Building
Commissioner Eckstrom stated a decision was not made until
today on the hiring issue. The committee voted, 5-0, to
move into executive session.
6 . Report From Executive Session
After the Committee voted, 5-0, to move back into regular
session, Chairperson Booth reported that the following actions
were taken during the executive session:
A. Building Department - Request To Hire Above Step
1
Chairperson Booth reported that the committee
discussed the possibility of hiring above Step 1
for a Building Department position. He stated
that the committee did not take a vote on the
position. The hiring request will be reviewed by
the Building Commissioner and brought to the next
Common Council COW meeting.
B. Request To Approve Employee Incentive Award
WHEREAS, the Youth Bureau Director has recommended Youth Worker
Sylvia Beneway for an employee incentive award pursuant to the
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BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 20, 1993
terms of the C.S.E.A. Administrative Contract, and
WHEREAS, the Youth Bureau Director's recommendation complies with
procedures and guidelines outlined in the C.S.E.A. Administrative
Unit Contract; now, therefore, be it
RESOLVED, That Sylvia Beneway' s salary be increased by four (4%)
percent to an annual salary of $21, 094. , effective November 30,
1992, and be it further
RESOLVED, That the funding for such increase shall be derived
from the Unrestricted Contingency Account.
The motion passed 4-1 . Alderperson Johnson voted against the
resolution.
C. Future Merit Awards - Discussion
The committee discussed the future of City
employee merit increases . The committee took an
informal vote on the issue and sent a possible
resolution to the next Common Council COW meeting
relating to the continuation of City employee
merit increases.
D. Approval of Ithaca Paid Fire Fighters Association
Contract
RESOLVED, That the Agreement between the City of Ithaca and the
Ithaca Paid Fire Fighters Association for a new two-year contract
retroactive to January 1, 1993 and expiring on December 31, 1994,
be approved as recommended by the Assistant City Attorney, and
that the Mayor and City Clerk be authorized and directed to sign
and execute the contract on behalf of the City under its
corporate seal.
The motion passed 4-1 . Alderperson Johnson voted against the
motion.
E. Appointment of City Forester
WHEREAS, The Board of Public Works has recommended the
appointment of John Friedeborn to the position of City Forester;
now, therefore, be it
RESOLVED, That John Friedeborn be appointed to the position of
City Forester at Grade 2 at an annual salary of $37, 862,
effective February 8, 1993, and be it further
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BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 20, 1993
RESOLVED, That funding for said appointment shall be derived from
existing funds within the DPW budgeted appropriations .
The motion passed 5-0 .
7 . Youth Bureau - Cass Park Fees and Rates
Youth Bureau Director Cohen presented a request to approve
various fees at Cass Park Pool and Rink. He stated that the
Youth Bureau would like to recommend a lower seasonal rate
to City residents for Cass Park Pool and Rink usage. He
explained that the lower recommended pool and rink rates
should bring more people out to use the facilities.
A discussion on the proposed seasonal rates and revenue
projections followed. It was stated that these new Cass
Park rates were not included in the 1993 budgeted revenue
projections. The committee suggested that the Youth Bureau
and Controller's Office review how the 1993 budgeted revenue
would be impacted by the rate changes . The issue was tabled
and will be discussed at next month's B&A meeting.
8. Fire DeRartment Request To Amend 1993 Equipment List
Deputy Fire Chief Dorman presented a request to amend the
1993 Fire Department approved equipment list by substituting
eight carrier assemblies with harnesses for the approved two
SCBA MSA Ultralite Air Packs. He explained that both items
have the same cost of $3, 150, and no new funds would be
needed.
After a brief discussion, the following motion was made:
RESOLVED, That the 1993 Authorized Equipment List for the Fire
Department be amended by the following:
A. Delete (2 ) SCBA MSA Ultralite Air Packs $3, 150
B. Add (8) Complete Carrier Assemblies with
harnesses $3, 150
and be it further
RESOLVED, That no increases in funding are needed.
The motion passed 4-0 . Alderperson Daley was excused for the
remainder of the meeting.
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BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 20, 1993
9 . DPW - Request Funding For Traffic Control Equipment
Superintendent of Public Works Gray presented a request to
fund the purchase of two flashing yellow beacons at a cost
of $6,000. He also explained that the annual operating cost
would be approximately $1, 600 for the beacons.
Superintendent Gray stated that the traffic beacons will be
placed at the Beverly J. Martin School to help deal with
current traffic problems.
The committee agreed that the traffic beacons should be
purchased, and that funds for such purchase should be
derived from the 1993 existing Capital Project, #269, for
DPW Equipment. The committee also suggested that the
operating costs should be derived from the current DPW
Traffic Control operating budget.
The committee recommended to the Superintendent that the
Board of Public Works incorporate in future budgets similar
traffic control equipment purchases and operating funds .
The following motion was made:
WHEREAS, The Board of Public Works has recommended that two
flashing yellow beacons be installed mid block on Buffalo Street
to resolve problems with traffic at the Beverly J. Martin School,
and
WHEREAS, The total estimated cost for installation of said
beacons is $6,000 with an annual estimated operating cost of
$1, 600; now, therefore, be it
RESOLVED, That the 1993 approved Capital Project #269 DPW
Equipment - Traffic Control Signals be increased by an amount not
to exceed $6, 000 for the purchase of two flashing yellow beacons,
and be it further
RESOLVED, That the funding for the installation of said traffic
control lights be transferred from the C.H. I .P. S. Account and the
$1, 600 in operating costs will be derived from existing DPW
budgeted appropriations, and be it further
RESOLVED, That the BPW incorporate, in future budgets, funds for
the purchase, installation and operation of traffic control
equipment.
The motion passed 4-0 .
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BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 20, 1993
10 . Finance Department - Controller
A. Request to Transfer Funds to Water Fund Capital Reserve.
City Controller Cafferillo presented a request to transfer
$1, 000, 000 from the fund balance of the 1992 Water Fund to
Capital Reserve #16 Water Sources Development. He explained
that approximately $100,000 to $200,000 have been placed
annually in the Water Fund for capital project water
improvements over the past five years . He stated that these
projects have not been done, and the fund balance of the
Water Fund has been increasing as a result.
Controller Cafferillo stated that the State Auditors have
also recommended the transfer to reduce the fund balance.
After a brief discussion, the following motion was made:
RESOLVED, That $1, 000,000 be transferred from the 1992 Water Fund
balance to Capital Reserve #16 Water Sources Development to fund
future water development, including physical improvements .
The motion passed 4-0 .
B. Request for Charter Change - Internal Audit
City Controller Cafferillo explained that the City's
internal audit procedure needs to be changed to reflect the
current actual procedure. He explained that the City's
Charter states the Common Council, the Board of Fire
Commissioners and the Board of Public Works are responsible
for performing the monthly audits of bills for the City.
However, the current actual procedure is that the City
Controller' s Office is performing all the audits, and the
Council and boards are signing off on the audits .
He stated that the Charter should be changed to make the
Controller's Office responsible for the audits of bills. He
explained that the list of audited bills will still go to
the Common Council, the Board of Fire Commissioners, and the
Board of Public Works to be examined for future
recommendations .
Controller Cafferillo stated that a proposed Charter change
will be sent to the Charter and Ordinance Committee for
approval. The B&A Committee concurred with the proposed
change, but no formal vote was taken. The various Boards
will all be notified.
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BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 20, 1993
C. Request For Charter Change - Consolidation of Departments
City Controller Cafferillo explained that the Common Council
approved the consolidation of the Finance, Personnel, and
Purchasing Departments back in 1990 . He stated that the
departments have been operating in that manner since the
consolidation was approved. However, the Charter was never
changed to reflect the consolidation.
After a brief discussion, the committee concurred with the
proposed Charter change and stated that it should be
referred to the Charter and Ordinance Committee for
approval. No formal motion was made.
D. City EAP Contract
City Controller Cafferillo stated that the B&A Committee
needs to approve the Employee Assistance Contract (EAP) for
1993 . The 1993 contract amount for this purpose is $9,754
and $10,238 for 1994 . The EAP Contract allows for
counselling of City employees regarding personal issues .
Controller Cafferillo stated this is an ongoing program, but
in previous years the Personnel Administrator signed the
contract. He explained that the funds for this contract are
in the fees line of the Personnel budget. After a brief
discussion, the following motion was made:
RESOLVED, That the Mayor be authorized to sign the 1993 and 1994
Employee Assistance Program Contract (EAP) in the amounts not to
exceed $9,754 for 1993 and $10, 238 for 1994.
The motion passed 4-0 .
E. State Budget Review - Report
City Controller Cafferillo reported that the proposed 1993-
1994 State Budget has been released, and that it appears
that the City's 1993 State Aid amount will not change from
1992 . He also stated that the C.H. I .P. S. Program will
remain at $230, 000 for 1993 .
F. Short Term Borrowing Report
City Controller Cafferillo reported that the Common Council
had given the Controller authority to borrow $7, 600, 000 at
long- or short-term rates . He explained that, based on his
review of the rates, the City will stay short-term at this
time at a 2 .58% effective interest rate.
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BUDGET & ADMINISTRATION COMMITTEE MEETING JANUARY 20, 1993
Controller Cafferillo explained that the long-term rate was
5 .21% . He also reported that the savings in the first year
of going short-term is almost as much as the savings would
have been realized over fourteen years with a long-term
rate.
The next B&A meeting has been scheduled for February 17, 1993 at
7 :30 P.M.
The meeting adjourned at 10:45 P.M.
NOTE: In many cases the actual texts of the resolutions presented
in these minutes were prepared following the Committee's
deliberations and decisions on the matters involved. The
resolutions presented here are in complete accord with
decisions made by the Committee.
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