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HomeMy WebLinkAbout1989-01-30 104 MINUTES OF THE MEETING OF THE CITY COMMISSION BOZEMAN, MONT ANA January 30, 1989 ************************ The Commission of the City of Bozeman met in regular session in the Commission Room, Municipal Bui Iding, January 30, 1989, at 2:00 p.m. Present were Mayor Stiff, Commissioner Hawks, Commissioner Vant Hull, Commissioner Goehrung, City Manager Wysocki and Clerk of the I Commission Sull ivan. Commissioner Martel was absent in compliance with Section 7-3-4322(2), M.C.A. The meeting was opened with the Pledge of Allegiance and a moment of silence. None of the Commissioners requested that any of the Consent Items be removed for dis- cussion. Minutes It was moved by Commissioner Hawks, seconded by Commissioner Vant Hull, that the min- utes of the regular meeting of January 23, 1989 be approved as amended. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Hawks, Commissioner Vant Hull, Commissioner Goehrung and Mayor Stiff; those voting No, none. It was moved by Commissioner Vant Hull, seconded by Commissioner Goehrung, that the minutes of the joint meeting held on January 23, 1989 be approved as submitted. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Vant Hull, Commissioner Goehrung, Commissioner Hawks and Mayor Stiff; those voting No, none. Pledged Securities as of December 31, 1988 I n compliance with the provisions of Sections 7-6-201 to 7-6-212, M.C.A. , Commissioner Goehrung and Commissioner Vant Hull have examined the receipts of Depository Bonds and Pledged Securities held by the Director of Finance as security for City funds deposited in Boze- I man banks. The inventory of the Depository Bonds and Pledged Securities was found to be in order. It was moved by Commissioner Goehrung, seconded by Commissioner Hawks, that the Commission approve the inventory of the Depository Bonds and Pledged Securities as of December 31, 1988, and a list of these be set forth as follows: DEPOSITORY BONDS AND SECURITIES DECEMBER 31, 1988 RATE MATURITY RECEIPT NO. TOTAL AMOUNT FIRST SECURITY BANK - Bozeman Federal Deposit I nsurance Corporation $ 100,000.00 Trusteed with United Bank of Denver: North Slope Borough Alaska GO 9.5 06/30/90 312086 105,000.00 North Slope Borough Alaska GO 9.5 06/30/90 314724 45,000.00 Minn. Hgs. Fin. Ag. 9.10 02/01/93 144337 100,000.00 Blaine Minn. GO Tax I ncr. 8.10 02/01/97 478054 100,000.00 Saint Cloud, Minn. GO RFDG 8.25 02/01/97 478625 100,000.00 State of Hawai i 11.5 8/01/90 181125 200,000.00 So. Dakota Health Ed Rev 6.70 9/01/90 069431 100,000.00 I U.S. Treasury Notes 7.3 2/15/91 688641 1,000,000.00 SUB TOTAL - First Security Bank - Bozeman $1,750,000.00 Pledging Amendment to Repurchase Agreement: U.S. Treasury Note 8.125 5/15/91 715953 1,000,000.00 Western Wy CCD GO 11. 25 7/01/91 226882 150,000.00 01-30-89 105 Sherburne Elk River Law Fac. 6.5 2/01/92 526060 200,000.00 Sherburne Elk River Law Fac. 6.25 2/01/91 526061 200,000.00 Montana St Bd Hsg SFM 6.1 6/01/97 161429 100,000.00 Total to Repurchase Agreement $1,650,000.00 TOTAL - First Security Bank - Bozeman $3,400,000.00 I MONT ANA BAN K - Bozeman Federal Deposit Insurance Corporation $ 100,000.00 Trusteed with Federal Reserve Bank of Minneapolis: Grade Sch. Bldg. Dist #11 of Powell Co. (Ovando), MT, Sch. Bldg. Bd. 6.00 6/04/89 H 1127 1 ,000.00 City of Polson, MT GO Bd. of 1970 6.00 1/15/90 H29829 1,875.00 Trout Creek, MT Sch. Dist. #6 of Sanders Co., School Bldg. Bd. 5.25 12/31/93 H30310 19,000.00 5.30 12/31/94 H30311 19,000.00 5.35 12/31/95 H30312 19,000.00 Flathead Co. SD #44 (Whitefish) 5.20 1/01/96 H943 120,000.00 TOTAL - Montana Bank of Bozeman, Montana $ 179,875.00 FIRST CITIZENS BANK OF BOZEMAN - Bozeman Federal Deposit Insurance Corporation $ 100,000.00 Trusteed with First National Bank of Minneapolis: U. S. Treasury Notes 6.75 9/30/90 9893 200,000.00 I TOT AL ~ First Citizens Bank of Bozeman - Bozeman $ 200,000.00 FIRST BANK BOZEMAN Federal Deposit Insurance Corporation $ 100,000.00 Trusteed with First Bank National Association Bay County Mich. 7.50 5/01/93 000919 300,000.00 TOT AL - First Bank Bozeman $ 300,000.00 This is to certify that we, the Commission of the City of Bozeman, in compliance with the pro- visions of Section 7-6-207, M. C. A., have this day certified the receipts of the Federal Reserve Bank of Minneapolis, the First Bank of Minneapolis, the United Bank of Denver and the First Bank National Association for the Depository Bonds held by the Director of Finance as security, for the deposit for the City of Bozeman funds as of December 31, 1988, by the several banks of Bozeman and approve and accept the same. ALFRED M. STIFF, Mayor WAL TER MARTEL, Commissioner I JAMES L. GOEHRUNG, Commissioner MARY B. VANT HULL, Commissioner R. L. HAWKS, Commissioner The motion carried by the following Aye and No vote: those voting Aye being Commissioner Goehrung, Commissioner Hawks, Commissioner Vant Hull and Mayor Stiff; those voting No, none. 01-30-89 106 Discussion - fund reserve olic for enter rise funds iscussion - review of rates water, sewer and garbage City Manager Wysocki suggested that these two discussions be held concurrently, since the two issues are so intertwined. He then submitted to the Commission a memo from Adminis- trative Services Director Miral Gamradt, noting that both the reserve policy and the rate structures for the various enterprise funds are addressed in that document. The City Manager also submitted to the Commission a memo from himself stating his views on the fund reserve I policy as well as potential rate increases in the three enterprise funds. Mayor Stiff thanked Administrative Services Director Gamradt and Controller Peg Biekert for their efforts in preparing this proposed policy and review of the rate structures. Administrative Services Director Gamradt reviewed his memo. He noted that the subject of fund reserves is very complex and suggested that the Commission discuss this issue on a phil- osophical basis at this time. He stated this proposed policy has been prepared in response to a recommendation from the auditors that the City establish a reserve policy and establish long- range goals for the City, evaluating the City's financial condition in relationship to those goals. He indicated that he was unable to find any literature on establishing a reserve policy; and no other City in Montana has this type of policy. He stated that after several discussions with Gil Crain, professor in governmental accounting at MSU, he has prepared the proposed pol icy for Commission consideration. The Administrative Services Director stated there are five basic elements in the reserve policy. He noted that four of those elements are simple and straight forward; however, one of the elements may require some discussion. He then set forth those elements as follows: 1. The City will comply with Governmental Accounting and Financial Reporting Standards (GAFR). 2. The City wi II maintain adequate cash flow. 3. Employees' accrued sick and annual leave represents a liability of the City. The City will maintain funds equal to this liability. 4. The City should be in a position to replace equipment and donated assets I (e.g., SID water and sewer lines and grant-funded assets) with cash rather than being required to issue debt for the purchases. 5. The City will maintain a conservative level of contingency funds to guard against temporary revenue shortfalls or unexpected expenditure demands. The Administrative Services Director stated that the City currently complies with the Gov- ernmental Accounting and Financial Reporting Standards, noting that is why the City has been able to receive the GFOA Certificate of Conformance for the past four years. He then indicated that the City does currently maintain an adequate cash flow; and the sick and annual leave lia- bil ity is funded through a designated reserve. He then indicated the fourth item is the one which may require discussion, noting that the Commissioners had previously determined that small capital items, such as replacement of vehicles, shou Id be fu lIy funded; however, funding the replacement of donated assets versus debt financing of the costs of that replacement is the issue which should be addressed at this time. The Administrative Services Director then stated that the City currently maintains a conservative level of reserves to cover revenue shortfalls or unexpected expenditures. Administrative Services Director Gamradt then briefly reviewed the character of the water, sewer and garbage funds. He noted that the water fund revenues are very volatile, de- pending on supply and demand. He stated that this past summer provided good revenues for the fund, since the demand was high and there was an adequate supply to meet that demand. He then addressed the sewer fund, noting that revenues are very consistent month after month. He stated that the revenues in the sewer fund are approximately one-half of those in the water I fund. The Administrative Services Director stated that garbage fund revenues are generally very static as well, reminding the Commission that those costs are billed on an annual basis. Administrative Services Director Gamradt then addressed the issue of rates for the vari- ous enterprise funds. He noted that three major projects are upcoming in the water fund, Hyalite Dam, Lyman Creek and the presedimentation basin; and retirement of the debt must be addressed. He then stated there are no major projects pending in the sewer fund; however, long term issues, such as replacement of sewer collection lines and expansion of the treatment plant are items to consider. The Administrative Services Director then indicated that a simj lar 01-30-89 107 situation exists in the garbage fund. He reminded the Commission that purchase of additional land for landfill operations or an alternative to that process will be necessary in the upcoming years, although no major items are needed at this time. Administrative Services Director Miral Gamradt then reviewed the cash flow positions of the three enterprise funds. He noted that at the present time, there is a positive cash flow in each of the funds, although the sewer fund's cash flow will reach a deficit position shortly if no I rate increase is implemented. He stated that the cash flow in the water fund is low at the pres- ent time, although it should improve until Fiscal Year 1991, when debt service on the three proj- ects is estimated to begin; and then it begins to decline toward a negative cash flow. He then noted that the cash flow position in the garbage fund is very good at the present time; how- ever, in Fiscal Year 1992 it is estimated to begin decreasing because of future capital needs in that area. The Administrative Services Director then reminded the Commission that this is the cash position of the funds only, not providing for setting aside of monies to cover future capital needs. He then indicated that the bar graphs reflect the cash position that would occur if rate increases of 12 percent in the water and sewer funds and 2 percent in the garbage fund were enacted each year as well as the ideal cash position for each. He noted that the ideal cash position would provide funding for operations as well as cash to cover costs of replacing vehicles and donated assets. He noted that in the water fund, the cash position is currently $3.8 million below ideal, the sewer fund is $6 million below ideal, and the garbage fund is $200,000 above ideal. Administrative Services Director Gamradt stated that the material just reviewed reveals that each of the three enterprise funds is in a different position and suggested that the Com- mission may wish to consider different reserve policies for each until they become more uniform. He then cautioned that, although the garbage fund is currently above the ideal level, by Fiscal Year 1993 it is projected to be at the ideal level because of upcoming capital needs. Commissioner Vant Hull asked if it would be possible to adjust the garbage rates if re- I cycling were implemented to decrease the rates for small garbage users and increase the rates for larger garbage users to encourage recycling. City Manager Wysocki cautioned that to adjust the rates will result in a change in overall revenues, which wi II affect the graph- that has been submitted. He then suggested that the City should have $200,000 to $300,000 in the garbage fund to make a downpayment on whatever land- fill replacement is decided upon. He further noted that debt service on the financing will be necessary after that time; therefore, the rates will require upward adjustment, even if they re- main or slight increases are made over the next few years. Administrative Services Director Gamradt recommended that the Commission establish a re- serve policy to address the present circumstances in the enterprise funds, either as presented or in modified form. He then reminded the Commission that a long-range approach to rate set- ting should be established; however, he cautioned that future Commissions may change that pol- icy. City Manager Wysocki reminded the Commission that it has taken almost fifty years for the water and sewer funds to reach their poor cash positions; and he does not feel that 12-percent increases over the next five years should be imposed to put them into a near ideal position. He suggested that improvement of the cash positions should be done over a more extended period of time, indicating it may take up to twenty years to put them into an ideal position. He further noted that in the water system, major projects can be anticipated every five years; therefore, debt retirement will always be incurred. The City Manager then distributed graphs for the th ree enterprise funds, reflecting the cash positions that would be attained if lower rate in- I creases were implemented each year for the next five years. He also distributed a memo from Director of Public Service Phill Forbes listing upcoming capital improvement projects for the three enterprise funds as well as a sheet reflecting how the proposed ideal increases would af- fect the current average residential bill for each of the three activities. City Manager Wysocki suggested that the Commission establish a reserve policy which would fund replacement of equipment and provide a down payment for large capital items, in- cluding replacement of donated assets. He indicated that would be a practical and more realistic position, noting the ideal position is not really practical. 01-30-89 108 Mayor Stiff stated support for implementing a 12-percent increase in the water fund as soon as possible, suggesting that another increase may not be necessary then unti I the City be- gins retirement of debt on the three major projects which are anticipated in the near future. He noted that the public would be willing to support an increase at that time, when they can tie the increased rates to an actual tangible asset. He noted that the sewer fund may require more than one 12-percent increase to generate a good cash flow. The Mayor then noted that with un- certainty in fu tu re capital expenditures in the garbage fund, it behooves the Commission to I watch the cash flow in that fund very closely, since it could become very volati Ie. Mayor Stiff noted that the information sheet just submitted reveals that a 12-percent in- crease in sewer would result in an increase of 72 cents per month for the typical residence; and to put it in those terms could make the increase more palatable. City Manager Wysocki stated he does not support 12-percent increases, but feels that smal- ler increases, more often if necessary, would be more acceptable to the public. He cautioned that in the water fund, the last increase resulted in some residents drilling their own wells; and many exercised conservation measures which caused enough less usage to decrease revenues. The City Manager expressed concern that a nothe r 12-percent increase could cause even less usage and another decrease in revenues. He also expressed concern that to increase the water rates too drastically could force development outside the city limits. Commissioner Goehrung noted that those who use the system should pay for it; and debt service is one way to ensure that. He indicated that in the sewer fund, where there is no debt servicing at this time, the monies could be utilized to help fund replacement items. The Commis- sioner then suggested that increases in water and sewer rate's could be alternated, with emphasis on repairs shifting with those increases. Administrative Services Director Gamradt reminded the Commission that the purpose of this discussion is to establish a fund reserve policy for the enterprise funds. He then sug- gested that to fund the replacement of equipment and downpayment on donated assets or replace- ment of large capital items is much more practical than full funding of major capital items. He noted that if the Commission establishes the policy with that revision, the City will generally be I in compliance with its policy. Mayor Stiff stated that Gil Crain, professor of governmental accounting at MSU, indi- ca ted, during a recent conversation on this issue, that the ideal situation is to finance equip- ment or an improvement through borrowed monies, with repayment of that financing to be over a period of time equal to the useful I ife of the equipment or improvement. He noted that allows those who receive the beneficial enjoyment of the facility to pay for it. The Mayor then stated that he discussed the establishment of a fund reserve policy with representatives of D. A. Davidson in Great Falls. He noted they had no answers, but indicated that establishment of a policy wi II make the City look better to discriminating statement readers. City Manager Wysocki noted the concept of having those using the improvement paying for the improvement is good; however, the past fifty years must also be addressed. He reminded the Commission that the City is playing catch-up; and that must also be addressed in this pol- icy. Mayor Stiff once again indicated he feels an increase is needed in the water fund at this time, with another increase being needed when debt service on Hyalite, Lyman Creek and the presedimentation basin begins. He stated that the Commission must be honest with the commu- nity; and he feels residents will be willing to accept the increases if honesty is maintained. Mayor Stiff then asked if maintaining a reserve will preclude the City from receiving grants or taking advantage of low-interest borrowing. The City Manager responded he does not anticipate it would have a negative impact on those financing options. Mayor Stiff suggested that further discussion on this proposed policy be deferred until I next week's meeting and that Gi I Crain be invited to participate in that discussion. Break - 3:40 to 3:45 p.m. Mayor Stiff declared a break from 3:40 p.m. to 3:45 p.m., in accordance with Commission policy established at thei r regular meeting of March 14, 1983. 01-30-89 109 Discussion - capital improvement program for the period October 1, 1988 through September 30, 1989 - City Manager Wysocki submitted to the Commission a listing of capital improvement proj- ects for Fiscal Years 1989, 1990, 1 991 , 1992, 1993 and beyond, by division, along with a sum- mary of the projects requested for funding during Fiscal Year 1989. He noted that some of the projects requested for funding in this fiscal year had been undertaken and, therefore, should be I funded in the appropriation ordinance. He briefly reviewed those items for the Commissioners, including: ( 1 ) snowplow for parks and cemetery, since it is now needed; (2) Phase I of the third interchange, for which the Commission has already approved the engineering contract; (3 ) carpet for the basement of the Senior Center, for which the senior citizens are paying; and (4) the sign for the Senior Center, for which the seniors are also paying. The City Manager noted that the last two items are being processed through the capital improvement program only to pro- vide an accounting mechanism for those items. The City Manager stated that the listing of projects requested for funding during Fiscal Year 1989 cannot be accommodated because there are not adequate monies available, and listed the first and second priorities for each division, as requested by the division or department head. The Commissioners then reviewed the items listed on the summary of projects for Fiscal Year 1989. Commissioner Vant Hull questioned what type of vestibule is proposed for the Police Build- ing. The City Manager responded that the vestibule is to be constructed so there is no straight line of visibility to the dispatch area, since there are times that only the female dispatcher is in the station. He stated that a divider will be constructed along the open space in the dispatch area, so the public cannot readi Iy gain access to that area when visiting officers. He noted this will create more safety for the employees in the station. City Manager Wysocki stated that the well for Lindley Park and the well for the cemetery may be combined, with only one well being dri lied. He noted that one exploratory well has been I drilled at the cemetery; and the Commission has directed the staff to drill another exploratory well. He noted the consulting engineer has suggested that the second well be drilled closer to the creek in Lindley Park, noting that water could then be pumped to the cemetery. The City Manager noted that if that proposal is successful, it would take two large parcels off the City water system, eliminating those per-acre irrigation cos ts ; and a well could also provide more irrigation water for the cemetery, where many complaints have been received about the appear- ance of the lawn area. Commissioner Vant Hull asked if electricity costs have been projected for pumping water to the higher portion of Lindley Park and the cemetery. She expressed concern that those costs could be as high or higher than paying the per-acre irrigation charges. Commissioner Hawks stated support for Commissioner Vant Hull's concern, in d i ca tin g he feels the electricity costs may be too expensive to make this project viable. The City Manager noted that to take these two parcels off the City's water system could delay the need to expand the water treatment plant; and those costs may need to be balanced against the electricity costs which would be incurred. Commissioner Hawks asked what type of replacement restrooms are anticipated in Cooper Park. He expressed concern about the type and location of bui Idings which have been construct- ed in the parks, particularly recently, and suggested that the Commission should be allowed to review and approve proposals of this type before construction begins. He also noted that the Recreation Advisory Board should possibly be involved in the review process also. Commissioner Vant Hull questioned the need for a new pool blanket at the Swim Center. I The City Manager stated that a pool blanket has an estimated life of five years; and the existing one is older than that. Commissioner Hawks asked if the hot tub at the Swim Center is there on a trial basis, questioning whether it is appropriate to have hot tubs listed in the capital improvement program before that trial period is over. The City Manager responded that he feels it is appropriate to include the purchase of hot tubs in the program. He noted that if the staff determines between now and October that they are a beneficial part of the program, the monies would be available for that purchase. 01-30-89 110 Commissioner Hawks expressed concern about the project and requested that this item be submitted to the Commission for approval before any purchase of hot tubs is made. Comm is s ioner Vant Hull asked about the proposed setting aside of $100,000 in gas tax monies for projects to be determined during the fiscal year. The City Manager stated that those monies would be available for major maintenance or for projects such as extension of Kagy Boule- vard or South 11 th A venue if the opportunity arose during the fiscal year to do so. Commissioner Hawks asked about the construction of a sidewalk along the east side of I South Third Avenue, especially since engineering and design is to be completed in Phase I. He also asked if the design is to include the entire street rather than just the sidewalk. City Manager Wysocki reminded the Commission that the property along the east side of the street, except for one sma II parcel, is within the city limits; however, there is a much lar- ger parcel of unannexed property along the west side of the street. He stated that sidewalks will eventually be installed along both sides of the street. He then noted that the design phase will include the entire public right-of-way, with the sidewalk to be installed over the storm drainage system and at the proper elevation to conform with improvement of the roadway. Commissioner Vant Hull expressed an interest in proceeding with the preliminary work necessary to create maintenance districts and asked if the other Commissioners are interested in doing so. The City Manager indicated he would like one week in which to respond to that ques- tion. Commissioner Vant Hull asked if the City shou Id consider purchase of another street grader to clean the streets in the winter, since we currently own two. The City Manager stated that at the present time, only three people in the Street Division can operate the graders. He noted that the division is preparing to train others to operate the equipment; and after that is done, two or three shifts can be run to keep the street better maintained. He then cautioned that the costs of purchasing a street grader are high; and the alternative to use the existing ones more hours each day is better. Commissioner Vant Hull stated there are several items which have been carried year after year in the capital improvement program that have not been addressed by the Commission be- I cause they have not surfaced in the immediate funding year; and she feels the Commission should review those items and delete them if they do not support purchase of those items. She cited the polygraph for the Police Division, removal of the railroad crossing on South Church Avenue, and the incinerator at the landfill as examples. Following a brief discussion, the Commissioners concurred those items should remain in the program and be addressed as they surface in the immediate funding year. Commissioner Hawks noted it appears that vehicles seemed to surface as top priority in many of the divisions, questioning if that is really where the priority should lie. City Manager Wysocki stated that replacement of vehicles has been neglected for many years; and it is now time to address the issue. He noted that two fire trucks will be purchased within two years; however, there should be no need for another truck for seven to eight years unless something drastic happens to one of the existing trucks. The City Manager noted that equipment and projects are now being separated in the capi- tal improvement program, with priorities being set in each category. He stated that replacement of existing equipment must be addressed, noting that those items should possibly be addressed through a separate program, leaving the capital improvement program to address more long-term issues. Mayor Stiff asked if the City has a better maintenance program for its pol ice cars, noting that no new cars are being requested for this fiscal year. The City Manager reminded the Com- mission that replacement of police cars has been placed on a rotating schedule; and that schedule has now eliminated all of the old vehicles. He stated that the maintenance program has also im- I proved, with the cars being rotated out at approximately 140,000 miles. He indicated that those old police cars are transferred to other departments within the City that need sedans; and they are used in that capacity for several years before being traded out or auctioned. City Manager Wysocki then distributed to the Commissioners a listing of the projects funded from last year's prog ram, and the monies which were expended. He noted that even though some of the projects exceeded the projected costs, the overall expenditures were less than the amount budgeted. He then stated that the projects which must be rebudgeted in next fiscal year are minimal, briefly reviewing those items. 01-30-89 111 Commissioner Hawks asked if the capital improvement program reflects adjustment in the method of snow removal on city streets. The City Manager stated that at the present time, ad- justments in equipment needs are being discussed; however, no changes have been made in the listing of capital items needed. He noted that it may be possible to contract for equipment at a cost which is more advantageous to the City than purchase of new equipment. City Manager Wysocki noted that included in the packet of information was a sheet listing I the revenue sources and revenues which would be necessary to fund all of the requests as sub- mitted. He noted that there are not adequate monies to fund all of the requests; therefore, some items must be deleted. The City Manager further reminded the Commission that last year, they made the conscious decision to appropriate one-half of the unexpended revenues from the previous fiscal year, up to a maximum of $50,000 into the capital improvement program. He then requested that the Commission increase that transfer to $100,000 for this fiscal year, cautioning that a new revenue source must be found so this drain on the undesignated reserve can be eliminated. Mayor Stiff expressed concern about the proposed transfer from the undesignated re- se rve , noting the City does not yet have a reserve policy establ ished. He then suggested that it may be possible to designate the interest earnings from the undesignated reserve to the capi- tal improvement program; however, he does not support the transfer of undesignated reserve monies to the program. City Manager Wysocki indicated he will research the questions which have been raised and submit answers at next week's meeting. He also stated that a tentative appropriation ordinance will be prepared for Commission consideration at next week's meeting. Discussion - proposed policy for "requests for proposals" City Manager Wysocki suggested that this discussion be deferred for a period of one week, due to the late hour. The Commission concurred; and the Mayor requested this item be placed on next week's I agenda. Discussion - prongs of goal-setting process Mayor Stiff stated that he and Commissioner Hawks met on this issue last week; and they have both contacted Dave Sharpe about serving as facilitator in this process. He then sug- gested that the dates for setting of goals be changed to April 5 and April 15, allowing more time between the sessions to consider the various goals proposed. He noted there are several differ- ent ways to approach this process and suggested that this item be placed on next week's agenda for discussion, with Mr. Sharpe present to participate. Commi ssi oner Hawks distributed to the Commission a memo listing various sub-categories he wou Id propose. He also suggested that the Commission send letters to specific targeted or- ganizations and groups seeking their input. City Manager Wysocki requested that each division in the City be covered in the listing, particularly police, fire and library, even if no goals are listed below them. He noted that causes the Commission to consciously consider them. Mayor Stiff stated he had suggested to Commissioner Hawks that the departments of the City be used as categories, with other categories being added as needed. Commissioner Hawks stated that he does not feel it is the Commission's objective to set goals for each department, but to set goals for the community. Following discussion, the Commission concurred that the sub-categories listed by Commis- sioner Hawks and expanded by City Manager Wysocki, be used. I The Commissioners briefly discussed the two upcoming meetings and what is anticipated for each meeting. They concurred that the initial meeting shou Id be a time for brainstorming, with the Commissioners listing their goals. They further concurred that department heads shou Id be present at the second meeting to give staff views on the priorities in the various areas. Commissioner Hawks indicated an interest in having the Commissioners submit their list- ings of goals to the Clerk of the Commission prior to the first meeting so that they can be re- viewed and the Commissioners better prepared for the meeting. , 01-30-89 112 City Manager Wysocki cautioned the Commission that they have tried to hurry this process in past years rather than following all of the steps; and that has caused frustration before the process has been completed. Commissioner Vant Hull asked if the Commission is interested in seeking public input prior to the setting of goals. Following discussion, the Commission concurred that the Clerk of the Commission should publish the same three questions that have been published in the past, with public input to be I received not later than March 10. That information can then be compiled and distributed to the Commission by March 20, for their consideration during listing of their goals on an individual ba s is. The Commission further concurred that specific groups and organizations should be tar- geted, including all of the City's advisory boards, with the three questions being sent to them for response. Commissioner Hawks stated there is a video on economic development in Montana available. He asked if the Commission should try to obtain a copy of that and review it during this goal- setting process. The Commissioners concurred it may be a good video but decided to keep it separate from this process. Commissioner Hawks requested a copy of the goals from the meetings on the Master Plan update be included in the packets for next week's meeting. City Manager Wysocki reminded the Commission that they had requested updates from each of the division heads during the February meetings. He cautioned the Commission that all of the discussions from this meeting are being continued at next week's meeting and suggested that those updates be confined to the last three meetings in February. The Commission concurred. Mayor Stiff requested that further discussion of the process for goal setting be placed on next week's agenda, noting that Mr. Sharpe will be present around 3:00 p.m. to participate in the discussion. Discussion - FY I Items I City Manager Wysocki presented to the Commission the following "For Your Information" items. ( 1 ) Announcement of upcoming meetings of the Chamber of Commerce Governmental Affairs Committee. (2) The City Manager stated that the public hearing on the local option bill, being backed by the League of Cities and Towns, is scheduled for 9:00 a.m. on Thursday before the House Taxation Committee. He indicated that he plans to attend and invited any interested Com- missioners to attend and testify as well. Mayor Stiff indicated a willingness to attend the hearing. (3) Commissioner Vant Hull distributed to the Commissioners a listing of bills which have been introduced during the past week which may affect local governments. She briefly high- lighted those bills, suggesting that the Commissioners may wish to research the various issues which could impact Bozeman. City Manager Wysocki stated that Senator Dorothy Eck called late last week; and she filed the bill concerning annexation on Thursday. He noted that Representative Norm Wallin is to carry legislation concerning water bills being the landlord's responsibility. Commissioner Vant Hull then briefly reviewed other bills which have been proposed, gener- ally concerning the payment of assessments. (4) Mayor Stiff submitted to the Commission copies of a notice of a meeting of the Per- forming Arts Center Steering Committee, to be held on Thursday, February 2, at noon at the Elks Club. He noted that an anonymous donor has indicated a willingness to match the highest I donation. He then indicated that a professional has submitted a proposa I to do a preliminary feasibility study and, depending on those results, agree to raise funds to construct the project. Commissioner Goehrung indicated he could probably attend that meeting. Consent Items City Manager Wysocki presented to the Commission the following Consent Items. Approval of notice for public hearing for proposed target area for CDBG monies 01-30-89 113 Application for renewal of Kennel License - Warren and Samanta Jones, 2302 West Main Street - Calendar Year 1989 Application for Gaming License - FOE #326, 316 East Main Street - one video draw poker machine and one electronic keno machine - through June 30, 1989 Application for Gaming License - The Filling Station, 2005 North Rouse Avenue - one electronic keno machine - through June 30, 1989 Application for Gaming License - Haufbrau, I nc., 22 South 8th Avenue - one video draw poker machine ~ through June 30, 1989 I Application for Gaming License - Village Inn Pizza, 806 North 7th Avenue - one video draw poker machine and one electronic keno machine - through June 30, 1989 Application for Gaming License - The Crystal Bar, 123 East Main Street - one electronic keno machine - through June 30, 1989 It was moved by Commissioner Hawks, seconded by Commissioner Vant Hull, that the Commission approve the consent items as listed above, and authorize and direct the appropriate persons to complete the necessary actions. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Hawks, Commissioner Vant Hull, Commissioner Goehrung and Mayor Stiff; those voting No, none. Adjournment - 6:17 p.m. There being no further business to come before the Commission at this time, it was moved by Commissioner Vant Hull, seconded by Commissioner Goehrung, that the meeting be adjourned. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Vant Hull, Commissioner Goehrung, Commissioner Hawks and Mayor Stiff; those voting No, none. ALFRED M. STIFF, Mayor ATTEST: I ROBIN L. SULLIVAN Clerk of the Commission I 01-30-89