CC_Minutes_2013_0819 - Laserfiche WebLink

Home

Regular City Council Meeting Monday,August 19,2013 Page 11 In reviewing the proposed timetable, Mr. Trudgeon advised that it was staff s hope that the August 26, 2013, City Council meeting would allow for more time to review and move toward implementation of the proposed Administration De- partment reorganization as more details came forward. Mr. Trudgeon noted that this budget proposal included three (3) new positions: a Park Maintenance Operator (Levy supported) repurposing of an existing position as a new position as Communications Manager (Communications Fund), and a new position of Environmental Specialist (funded through the City's Recycling and Stormwater Funds). Mr. Trudgeon advised that this would be a net of two (2) • new FTE's,with only one of those positions needing levy support. Mr. Trudgeon reviewed proposed 2014 Revenue Sources, including increased building license and'permit fees, increased court fines, but noted that those in- creased revenues would be offset by a decline in interest earnings. Mr. Trudgeon further noted that the Parks & Recreation Fund was expected to experience an ap- proximate $41,000 in increased fee revenue, but would also be negated to offset higher operating costs. Mr. Trudgeon that the City anticipated receipt of one-time $225,000 in Local Government Aid (LGA) from the State of MN that the City Council had previous- ly directed towards the City's Capital Improvement Program (CIP)budget and not available for operating costs. Of the City's estimated $400,000 in reserves previously designated for funding the 2014 property-tax supported budget, Mr. Trudgeon strongly urged that the use of reserves be eliminated in the 2015 and 2016 budgets. With concurrence by Finance Director Miller, Mayor Roe clarified that some changes to the CIP appeared greater than initially identified in the CIP Task Force memorandum and its recommendations, but during that seven (7) year vestment, the City's debt service was being reduced and applied to and increasing the CIP accordingly. At the request of Councilmember McGehee, Mr. Miller advised that even by re- purposing the debt service dollars into the CIP, it didn't make it entirely sustaina- ble, without further policy discussions and determinations by the City Council re- lated to the Pavement Management Program (PMP) and building replacement schedule; and whether to adjust those two programs over the long-term with spe- cific funding set aside or to rely on bond financing for those two major items. Mr. Miller noted that the City Council had determined in May of 2013 to not yet devi- ate from its existing plan for these two programs, continuing the existing plan as adopted in 2012 and 2013. Even though requested by Councilmember McGehee, Mr. Miller advised that he was unable to respond to her question of how much