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Regular City Council Minutes — 2/24/03 <br />DRAFT Minutes - Page 8 <br />and staff hirings. <br />Mayor Kysylyczyn sought clarification from City <br />Attorney Scott Anderson regarding the Council's <br />legislative abilities in revising the terms of the contract, <br />thus sending management back to the negotiating table <br />with union representatives. <br />City Attorney Anderson confirmed that Councilmembers <br />had that ability through their vote for the motion currently <br />on the table. <br />Councilmember Klausing, while supportive and <br />sympathetic to city employees, their contributions in <br />keeping the service level expected by residents, and the <br />suggested salary increases, expressed concern in <br />approving the recommended percentage increases given <br />the state's, and ultimately the City's, revenue situation. <br />Councilmember Klausing sought City Manager Bets' <br />impression of Council concerns and the potential need for <br />renegotiation. <br />City Manager Beets recognized and concurred with <br />Council concerns regarding the dynamic and changing <br />budget environment while seeking approval of a two -year <br />binding legal contract, which created risks for both parties, <br />but offered a competitive environment for the City to <br />retain employees. Mr. Beets advised that the net fiscal <br />effect to the City for thirty (30) employees was <br />approximately $30,000. <br />CounciImember Schroeder clarified that the Stanton <br />Survey is based on 2002 data; and the 2003 update is <br />basically 2003 early information and doesn't reflect current <br />turmoil faced by cities. Councilmember Schroeder <br />advised that other cities are facing numerous challenges to <br />reduce operating expenses by cutting wages and hours in <br />an effort to not reduce employees. Councilmember ' <br />Schroeder staffed that while a three percent (3 %) increase <br />is applicable for 2003, approving a four percent (4 %) <br />increase for 2004 sets parity for other employee <br />