HomeMy WebLinkAbout1989-07-31
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MINUTES OF THE MEETING OF THE CITY COMMISSION
BOZEMAN, MONT ANA
July 31, 1989
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The Commission of the City of Bozeman met in regular session in the Commission
Room, Municipal Building, July 31, 1989, at 1 :00 p.m. Present were Mayor Stiff, Commis-
sioner Hawks, Commissioner Vant Hull, Commissioner Martel. Commissioner Goehrung, City
Manager Wysocki and Clerk of the Commission Sullivan.
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
discussion.
Minutes
It was moved by Commissioner Hawks, seconded by Commissioner Vant Hull, that
the minutes of the regular meeting of July 24, 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 Martel, Commissioner Goehrung and Mayor Stiff;
those voting No, none.
Ordinance No. 1280 - salary ordinance for Fiscal Year 1989-90
City Manager Wysocki presented Ordinance No. 1280, as reviewed by the City At-
torney, entitled:
ORDINANCE NO. 1280
ORDINANCE OF THE CITY OF BOZEMAN, MONTANA, FIXING THE MONTHLY
SALARY AND OFFICIAL BOND OF THE HEADS OF DEPARTMENTS, CITY
JUDGE AND THE EMPLOYEES OF THE CITY COMMISSION OF THE CITY OF
BOZEMAN AS REQU I RED BY LAW.
The City Manager reminded the Commission that this ordinance was provisionally
adopted on July 17. He then recommended that it be finally adopted at this time.
It was moved by Commissioner Vant Hull, seconded by Commissioner Martel, that
the Commission finally adopt Ordinance No. 1280, the salary ordinance for Fiscal Year
1989-90. The motion carried by the following Aye and No vote: those voting Aye being
Commissioner Vant Hull, Commissioner Martel, Commissioner Goehrung, Commissioner Hawks
a nd Mayor Sti ff; those voti ng No, none.
Discussion - tax increment financing
City Manager Wysocki reminded the Commissioners they had requested this item be
placed on the agenda for discussion. He then distributed copies of the State statute con-
cerning tax increment financing, expressing concern that Section 7-15-4292 could be read
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as a sunsetting provision which would become effective on January 1, 1990. He noted if
that is the case, the process for implementing such a program would be extremely acceler-
ated. He indicated the City Attorney has called Dorsey and Whitney about this issue,
since that firm prepared the bill for consideration; however, he has not yet received a re-
sponse.
The City Manager indicated he has begun to review the urban renewal plan which
was prepared by an outside consultant in 1981. He noted the basic information will re-
quire some updating; and the boundaries should be adjusted. He then asked the Commis-
sioners if they are interested in pursuing this program, noting that nobody from the pri-
vate sector has indicated any interest in doing so.
City Manager Wysocki noted that if an urban renewal district is formed, this alter-
native may not be used, or used only on a limited basis; however, it could provide the
incentive for someone to upgrade or construct. He suggested that the infrastructure in
the area could be upgraded through this type of financing mechanism; and the developers
would not be required to bear the entire cost.
The City Manager stated that a review of the opposition to the 1981 plan revealed
that the main issues were the terms used in the plan and the boundaries of the district.
He noted that an area must be deteriorating to qualify for this program; and, if presented
properly, the property owners will more readily accept the terms which must be used in
implementing this program. He further suggested that the boundaries should be drawn in
a manner to minimize the amount of residential properties affected by the program.
City Manager Wysocki then indicated that, if necessary, under the existing State
statute, the City could implement the program and float bonds by the end of the calendar
year. He suggested that if there is no sunset provision, a more practical timeframe could
be followed for implementation of the program; and bonds would not necessarily be floated
until there has been sufficient utilization to warrant it.
Commissioner Goehrung asked if the central business area would be within the dis-
trict, or if it could be extended to include properties along North 7th Avenue, possibly to
include Milams, as well.
The City Manager responded that the intent of this program is to encourage reno-
vation of areas which are becoming less viable than they were. He then briefly reviewed
the program, noting a base year is established; and the taxable values at that time are
determined. For a period of ten years. taxes paid to the governmental entities remain
based on that value; and any taxes resulting from increased valuation of the property
inure to the district. After the ten-year period expires, the taxes are distributed to the
governing bodies through the normal procedures.
Commissioner Goehrung suggested that gaining business support early could help to
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ensure success in implementing the program.
Commissioner Vant Hull noted that she has approached several businessmen about
this issue. She noted many of them have expressed support for tax increment financing;
however, they have also indicated no interest in initiating the proposal a second time.
Mayor Stiff indicated he has discussed the possibility of an urban renewal district
with some people who were violently opposed in 1982; and they seem more willing to accept
such a proposal at this time. He then stated it is imperative to gain support from the
business community for this program to be successful.
City Manager Wysocki noted that when the urban renewal district is formed, it
should be done with the ability to annex to that district, provided the area is contiguous.
He noted this provision allows a site to be annexed into the district if it is to be devel-
oped and if being in a district would be beneficial. He also suggested that a provision be
included to stipulate that a specified percentage of any future sales taxes would inure to
the City, with the remainder going to the district. He noted that the stipulation should
not specifically refer to a sales tax, since there is currently no statutory provision for
such a tax.
Commissioner Martel suggested that to establish the urban renewal district bound-
aries along existing zoning boundaries could eliminate some of that type of opposition. He
noted otherwise they may be considered arbitrary.
City Manager Wysocki asked if the Commission wishes the staff to pursue steps for
development of an urban renewal plan. The Commissioners concurred the staff should pro-
ceed with this effort.
Ratify City Manager's notice re use of Bozeman Sanitary Landfill
City Manager Wysocki distributed copies of a notice to all users of the Bozeman
Sanitary Landfill, which he has signed. He indicated this notice states that, until further
notice, no trash or garbage collected from outside Gallatin County will be accepted. It
further stipulates that, until further notice, no asbestos or hazardous material that re-
quires special handling, and accompanying charges, will be accepted. He indicated the
City's landfill is beginning to receive these types of materials from various points around
the United States and, since the City's ordinance does not prohibit such or establish spe-
cial handling fees, this will allow the Commission to address the issue without receiving
more of these items. He then reminded the Commission that the City is attempting to in-
crease the life of the landfill; and this type of activity shortens its life.
The City Manager then reminded the Commission that the scales have been used the
past few months in an attempt to determine the amount of garbage which is being dumped
in the landfill, as well as the types of loads being brought in. He noted this information
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will assist in establishing equitable landfill fees in the future, suggesting that special
handling fees could be implemented under this new schedule.
City Manager Wysocki then requested that the Commission ratify his action.
It was moved by Commissioner Martel, seconded by Commissioner Goehrung, that
the Commission ratify the City Manager's notice to landfill users, and instruct staff to pre-
pare an amended ordinance to address disposal of certain materials and accompanying
charges. The motion carried by the following Aye and No vote: those voting Aye being
Commissioner Martel. Commissioner Goehrung, Commissioner Hawks, Commissioner Vant Hull
and Mayor Stiff; those voting No, none.
Discussion - adoption of resolution to provide for tax benefit per State statute
City Manager Wysocki reminded .the Commission that Mayor Stiff had requested this
item be placed on the agenda. He then distributed copies of Section 15-24-1501, MCA,
which provides for this tax benefit program. He noted that under this section, the Com-
mission may adopt a resolution providing that "remodeling, reconstruction, or expansion of
existing buildings or structures, which Increases their taxable valuation by at least 2t% as
determined by the department of revenue or its agents. may receive tax benefits during
the construction periods and for the following 5 years ..." per the schedule set forth.
This tax benefit applies only to the increase in taxable value caused by the remodeling,
reconstruction, or expansion. Only those taxes levied for the school district and local
governing bodies are impacted by this program.
Mayor Stiff noted that under the table in the statute, no taxes would be levied
during the construction year, increasing by 20 percent each year thereafter until 1 00 per-
cent is paid the fifth year following construction. He then stated that when the City of
Billings Council adopted this tax benefit program, they established a base figure of
$100,000 in improvements. He suggested that the Commission may wish to consider a simi-
lar action, thus eliminating the need to keep track of many small projects. He noted the
program may not be used extensively; however, adoption of this program would reflect the
City's attitude about economic development.
City Manager Wysocki reminded the Commission that under Section 15-24-1402, MCA,
the program which has been adopted by the City, a new or expanding industry may re-
ceive tax relief; however, $250,000 in expansion or $500,000 in new industry must be in-
volved. He noted that a 2i% change in taxable valuation requires substantially less cost in
remodel i ng, reconstruction, or expansion. He also indicated it could possibly apply to
residential activity.
Commissioner Goehrung noted he has witnessed people not acquiring building per-
mits for remodeling projects. He suggested that this tax relief program could assist in the
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enforcement of codes, particularly if a building permit were required. He then suggested
that a $100,000 base could be established for commercial activity, with a lesser amount for
residential activity.
Commissioner Vant Hull suggested that the Historic Preservation Advisory Commis-
sion be consulted in this matter, noting this Is a program in which they had indicated in-
terest.
Commissioner Hawks asked if the new legislation, which was just passed in the reg-
ular session, is identical to this section.
City Attorney Becker responded that HB567 amended this section of the State stat-
utes. He then indicated he must review that bill to determine how it impacts the program.
The Commission then discussed the possibility of implementing base figures for the
program, but reached no decision.
Mayor Stiff requested this item be placed on an agenda for discussion as soon as
the staff has had an opportunity to review the new legislation and prepare a draft resolu-
tion for Commission consideration.
Discussion - FYI Items
City Manager Wysocki presented to the Commission the following "For Your Informa-
tion" items.
(1) Notice of the special meeting to be held at 8:30 a.m. on Wednesday, August
2, to continue review of the budget for Fiscal Year 1989-90.
(2) A revised calendar of events as it relates to review and adoption of the bud-
get for Fiscal Year 1989-90.
(3) A letter of thanks and appreciation from the Adult Novice Hockey League,
along with a donation for lights at the northside rink.
(4) A summary of the special session legislation, as prepared by the Montana
League of Cities and Towns, with copies of HB23 and Section 90-5-112, MCA attached.
The City Manager suggested this item be placed on next week's agenda for dis-
cussion and possible action.
(5) Notice of the Governmental Affairs Committee meeting to be held on Thurs-
day, August 3, at the GranTree Inn.
(6) A copy of the Recreation Advisory Board's policy for naming of parks and
recreation areas.
(7) A letter from the Montana Society of Medical Assistants expressing concern
about street vending outside Lindley Park during Sweet Pea.
The City Manager stated that his office issues revocable permits for those activities
which are conducted on public rights-of-way, after written permission is obtained from the
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owner of the establishment in front of which the operation Is locating. He noted that many
of the vendors are locating on private property, therefore, they do not need revocable
permits.
In response to a question from Commissioner Vant Hull, the City Manager indicated
most of those locating on private property are doing so under the business license of that
establ ishment. He indicated that if the business has a retail business license. it is diffi-
cult to monitor the operation and determine that a violation has occurred.
The City Manager stated that, since Sweet Pea leases Lindley Park for this event,
they have the authority to control the activities within the park; however, he indicated it
is extremely difficult to control those outside the park in that immediate area.
(8) City Attorney Becker stated he has just received a call from Mr. Joe
Gonnella, Dorsey and Whitney, indicating there is no sunset provision in the law for tax
increment financing.
(9) A copy of a letter from Mr. Sherman Janke to Director of Public Service
Forbes regarding the weed cutting program.
The City Manager noted the ordinance which is being enforced requires that weeds
are to be cut to not more than six inches in height.
(10) The City Manager submitted his report as follows. (1) Water consumption
during this past week has run from 7 to 9.5 million gallons per day. (2) Six new build-
ings are under construction in the Valley Unit Subdivision, all of them being on lots which
were sold at the two auctions. (3) The Lyman Creek project is progressing, with com-
pletion anticipated by mid-September. (4) The planning consultants are continuing their
work in Denver; and they plan to be back in Bozeman the first part of September. (5)
Staff will rewrite the specifications for the landfill compactor, after which it will be rebid.
The City Manager noted specific issues such as parts availability, response time and war-
ranties will be included. Commissioner Vant Hull expressed concern about rebidding, sug-
gesting the full Commission should vote on award of the bid. A majority of the Commission
indicated a preference for rebidding of the equipment. (6) A brief listing of the street
improvement projects which are included in this afternoon's bid opening. (7) Staff is be-
ginning follow-up on the letters sent concerning cutting of weeds. (8) Staff is beginning
to work on the Capital Improvement Program budget for next fiscal year. The document
should be ready for distribution to the Commission in late September.
(11) Commissioner Goehrung stated he has talked with Bill Pratt, Montana Arts
Council, about the Commission's concerns about combining the Arts Advisory Committee and
the Beautification Committee to form a Cultural Affairs Advisory Committee. He stated the
Counci I has no problem with this change in the committee structure; however, Mr. Pratt
has requested the modifications be submitted In writing. He further noted Mr. Pratt has
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indicated an interest in meeting with the committee in mid-August.
The Commissioner then indicated he has received some additional information from
the Montana Arts Council, which he will forward to the Clerk of the Commission for filing.
(12 ) Commissioner Goehrung reminded the Commission he will leave Thursday
morning for Colorado, to attend the Center for the Improvement of Public Management.
(13 ) Mayor Stiff requested that the position of citizen member on the Technical
Advisory Committee be advertised as soon as possible. He noted the current citizen
member has not been active on the committee for the past two years; and he feels a new
one should be appointed.
(14 ) Commissioner Vant Hull suggested that the low-income member for the Com-
munity Development Block Grant Loan Review Committee should be advertised as soon as
possible, also.
(15 ) Mayor Stiff stated Mrs. Shirley Sedivy has indicated an interest in having a
disabled person serve on the Parking Commission; however, at the present time, member-
ship is limited to a person owning property or operating a business in the downtown busi-
ness district. He suggested this composition should possibly be reviewed and changed,
and requested that City Attorney Becker review the matter.
(16 ) Mayor Stiff indicated he has received a report from Mr. Walter Mayer con-
cerning the Sister City program, after his return from the convention held in Portland,
along with a substantial amount of back-up material. He noted that methods of handling
this situation are varied, and suggested that the Commission discuss this item with Mr.
Mayer at an upcoming meeting. He then distributed to the Commission copies of the report
which Mr. Mayer prepared.
(17) Mayor Stiff stated he attended the awards ceremony for the Hyalite Challenge
project. He noted many volunteer hours, as well as funds, were donated to make this a
reality. He reminded the Commission that the National Organization for the Disabled
donated $2,500 for the project. He acknowledged all of those who took part in making this
become a reality.
(18 ) City Attorney Becker stated that he and one of the members of the County
Attorney's office attended a DUI prosecution school in Chicago last week as representatives
of the State's DU I Task Force. He indicated it was educational and well worth attending.
(19 ) Commissioner Vant Hull asked about the lawsuit which was filed by First Se-
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curity Bank.
City Attorney Becker briefly reviewed the issue, noting the hearing is to be held
at 1 :00 p.m. tomorrow. He noted that this Is a Board of Adjustment decision, which can
only be appealed to the District Court. He noted the Court must consider whether the de-
cision was arbitrary and capricious. He indicated that following tomorrow's hearing, the
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Judge will probably provide a time period for filing of briefs, after which a decision will
be made.
The City Attorney stated that First Security Bank is not disputing the facts in this
case, but is taking issue with the fact that the Board of Adjustment approved the request
for variance in May 1982 and denied a similar application in July 1989.
In response to a question from Commissioner Martel, the City Attorney indicated
that First Security Bank is not seeking reimbursement for attorney's fees and costs, which
is the only form of compensation which may be sought in this type of action.
(20) Commissioner Goehrung stated he has requested additional financial informa-
tion from the Beautification Committee, and requested an agenda item after he receives that
information.
Open bids - 1989 Street I mprovements Projects
This was the time and place set for opening of bids for the 1989 Street Improve-
ments Projects. The City Manager briefly reviewed the four schedules contained in the
document, as follows: Schedule I, Seal Coat Street Improvements; Schedule II, Hot Mix
Overlay; Schedule III, Cold Milling and Hot Mix Overlay; and Schedule IV, furnishing Bi-
tuminous Plant Mix Material.
The affidavit of publication of the Call for Bids was presented.
It was moved by Commissioner Goehrung, seconded by Commissioner Hawks, that
the bids be opened and read aloud. The motion carried by the following Aye and No vote:
those voting Aye being Commissioner Goehrung, Commissioner Hawks, Commissioner Vant
Hull, Commissioner Martel and Mayor Stiff; those voting No, none.
The following bids were opened and read:
Schedule I Schedule II Schedule III Schedule IV Total
Big Sky Paving Co., Inc.
Bozeman, Montana
License No. 4384A $46,905.00 $49',097.00 $65,445.90 $ 7,280.00 $168,727.90
Pioneer Ready Mix
Bozeman, Montana
License No. 6503A $44,010.00 $57,067.00 $75,243.50 $ 7,700.00 $184,020.50
It was moved by Commissioner Hawks, seconded by Commissioner Vant Hull, that
the bids be referred to staff for review and a recommendation to be submitted at next
week's meeting. The motion carried by the following Aye and No vote: those voting Aye
being Commissioner Hawks, Commissioner Vant Hull, Commissioner Martel, Commissioner
Goehrun9 and Mayor Stiff; those voting No, none.
of Zonin Com-
City Manager Wysocki reminded the Commission that Commissioner Hawks had re-
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quested this item be placed on the agenda.
Commissioner Hawks stated he was not present at the ad hoc implementation commit-
tee's meeting on Wednesday, noting Planning Director Epple could respond to questions
concerning that meeting. He then indicated the County Commissioner on the ad hoc imple-
mentation committee has suggested that two additional City representatives be appointed to
the combined board, with powers to vote only on zoning matters. He expressed concern
about that proposal, suggesting an alternative method might be to have the County appoint
one representative from within city limits and the City appoint one representative from the
jurisdictional area, with all members voting on all items.
Planning Director Andy Epple stated that attached to the memo from the ad hoc
implementation committee, as prepared by Roger Craft, is a copy of the Planning staffls
memo to the committee suggesting five alternatives for composition of the board. He then
expressed concern about the County Commissioner's suggestion, noting he feels the two
members should vote on planning matters within the city limits as well as all zoning issues.
Commissioner Hawks stated he had hoped the committee could provide a recommenda-
tion to the governing bodies for composition of the combined board; however, political is-
sues became a part of the discussion. He noted the memo only provides ideas and a sug-
gestion that the City Commission and County Commission meet as soon as possible to ad-
dress six questions which are listed on the second page.
Planning Director Epple suggested the ad hoc implementation committee is prepared
to meet again and develop a formal recommendation for composition of the combined board If
requested to do so. He noted that, since no City Commissioner was present and two
County Commissioners were at the meeting on Wednesday, he suggested the committee not
submit a formal recommendation at this time.
In response to a question from Commissioner Vant Hull, the Planning Director in-
dicated that whether a City Commissioner or County Commissioner should have voting
rights on the Planning Board continues to be a point of discussion. He noted one of the
alternatives includes a City Commissioner and a County Commissioner as ex officio mem-
bers, with no voting rights.
Commissioner Vant Hull asked if a recommendation from the planning consultant
might be helpful.
Commissioner Hawks noted the consultant would prefer that the governing bodies
make this decision. He indicated, however, they may be willing to respond to specific
questions.
Commissioner Vant Hull asked if the combined board could be implemented before
the revision process is complete.
Planning Director Epple stated he feels combining of the boards could be separated
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from the rest of the actions. He noted that the greater issues, such as adjusting the ju-
risdictional boundaries, could be addressed after the combined board has been established.
Commissioner Martel stated he does not support the suggestion of appointing cross-
over members on the board, noting he feels that conveys an idea of distrust. He then sug-
gested an alternative may be to establish the board with the four County members required
by statute and a proportionate number of City members, based on population.
The Planning Director stated the committee considered that alternative. He noted,
however, there are 30,000 to 31,000 residents in the jurisdiction; and only 6,000 reside
outside city limits. He noted that basing the representation on population would require a
24-member board, which is unworkable.
Commissioner Goehrung asked how the recent Attorney General's opinion impacts
this process.
Commissioner Hawks responded it may be necessary for the City and the County to
enter into an interlocal agreement to address those issues.
In response to a question from Commissioner Goehrung, Planning Director Epple in-
dicated the committee feels 11 members should be the maximum. He noted that two ex
officio Commission members could be selected in addition if so desired.
The Planning Director then reminded the Commission that the action required will
not be actually combining the City-County Planning Board and the Zoning Commission, but
rather expanding the Planning Board's membership and its duties to include zoning items.
He noted that under the State statutes, there must be four County representatives, four
City representatives and one Soil Conservation District representative. He noted the mem-
bership could be expanded to include two more City representatives to achieve a more re-
alistic balance on the board.
Commissioner Goehrung suggested that some of the Zoning Commission members
should be appointed to the City-County Planning Board, since they have expertise in zon-
ing issues.
Planning Director Epple indicated that, if directed by the Commission, he will sub-
mit this issue back to the ad hoc implementation committee, with the request for a firm
recommendation which allows all members to vote on all zoning and planning related issues,
and further requesting that the combining of boards be kept separate for jurisdictional
boundary issues.
The Commission concurred in the Planning Director's statement.
Consent Items
City Manager Wysocki presented to the Commission the following Consent Items.
Authorize City participation in improvements to Griffin Drive from North 7th
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Avenue to North Rouse Avenue (to be funded through FY90 CIP bud-
get)
Claims
It was moved by Commissioner Vant Hull, seconded by Commissioner Martel, that
the Consent Items be approved as listed above, and that the appropriate persons be auth-
orized and directed to complete the necessary actions. The motion carried by the following
Aye and No vote: those voting Aye being Commissioner Vant Hull, Commissioner Martel,
Commissioner Goehrung, Commissioner Hawks and Mayor Stiff; those voting No, none.
Discussion - sidewalk liability
City Manager Wysocki suggested that, due to the late hour, this discussion be de-
ferred.
The Commission concurred, and requested this item be placed on the agenda in two
weeks, when a full Commission is present.
Break - 2:50 to 3:00 p.m.
Mayor Stiff declared a break from 2:50 p.m. to 3:00 p.m., in accordance with Com-
mission policy established at their regular meeting of March 14, 1983.
Work session - budget for Fiscal Year 1989-90
City Manager Wysocki began review of his budget recommendations for Fiscal Year
1989-90, through a page-by-page discussion of the document, as follows.
The letter of transmittal reflects three areas where revenues for the General Fund
are projected to increase: interest Income, revenues from the swim center and recreation
programs, and receipts from the video draw poker and electronic keno machines. Increas-
es in revenues are also projected in the Water Fund and the Sewer Fund due to the rate
increases which were effective May 1, 1989. There are no such increases projected in the
Garbage Fund, since no rate increase has yet been implemented for this fiscal year.
Commissioner Martel asked if the projection of break-even status for the swim cen-
ter includes debt service on the building. The City Manager responded this addresses
operating costs only.
An overall 4-percent wage increase has been negotiated for the four bargaining
groups. The City Manager noted that the agreements have been signed by all four of the
bargaining units and are currently on his desk.
Commissioner Vant Hull noted there Is a movement In the federal legislature which
would require employers to provide health Insurance for part-time employees and asked
how this would impact the City. The City Manager responded that the City currently pro-
vides a pro-rata portion of the health insurance premium for all part-time employees work-
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ing 20 or more hours each week.
Staffing levels have been changed in the various departments, resulting in an over-
all increase of 6.77 full-time equivalent positions. The City Manager noted a majority of
these increases is in direct response to the City Commission's goals for the upcoming fiscal
year. He also noted that two new maintenance persons will be added in the Water Depart-
ment, to provide the manpower to begin maintenance of the distribution system, since the
monies are available through the recent bond refinanCing.
Commissioner Hawks asked if the increased manpower in the parks and cemetery will
allow the City to use its cherry picker more. The City Manager responded there are four
full-time employees in the parks operation. He noted that part-time persons should not be
placed on this type of equipment; however, if there is time. one full-time employee could
be placed in the bucket while a part-time employee could be placed on the ground.
Commissioner Vant Hull asked if the limbs and trees could be made available to the
public for firewood rather than buried in the landfill. The City Manager responded the
wood could be cut in lengthS to fit In the truck and taken to a remote location for the pub-
lic to pick up. He noted this will eliminate placing extra material in the landfill.
City Manager Wysocki stated he has proposed that one substitute be added in the
Garbage Division. He noted there is usually one man missing in that operation, which re-
quires calling in a substitute or using one from the Street Division. He suggested that
the individual could be cross-trained and possibly used in the Street Division or another
operation if he is not needed on the Garbage Division.
The City Manager then stated that the value of the mill, for purposes of preparing
this document, was based on last year's value,which was $23,586. He noted that the City
has since received official notification of the mill value, which Is slightly higher than
projected.
City Manager Wysocki noted the proposed budget for Fiscal Year 1990 totals
$9,430,768, which is 6 percent higher than last year's. He stated this includes a proposed
$100,000 transfer to the Capital Improvement Program, which was projected to require use
of $65,000 in reserves si nee there were not adequate revenues. He suggested the increas-
ed valuation of the mill, from $23,586 to $24,228, will almost cover that deficit.
City Manager Wysocki then turned to the various summary pages at the beginning
of the document.
Page 6 provides a summary of appropriations and estimated revenues for Fiscal Year
1989-90. The City Manager noted this summary reflects deficits in several of the funds.
He noted, however, that the negative figures listed under the enterprise funds include de-
preciation, even though each of those funds Is currently in a positive cash flow position.
He indicated that the cash balances in most of the special revenue accounts are being de-
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creased this year; and there are adequate balances to do so. He noted it was necessary
to drop the mill levies for each of these funds to allow for funding of the special fire
truck levy while remaining within the parameters established by 1-105.
The City Manager then reviewed the next two summary pages, which list the appropri-
ations by fund and by object. He noted the amounts budgeted under capital cover items
costing between $250 and $1,000. He then turned to Page 9, which provides the summary
of mill levies for the past five fiscal years as well as the current fiscal year. He noted
the value of the mill has increased, as noted above; however, the mills to be levied will
not change. He noted the mills to be levied are slightly lower than last year. He then
reminded the Commission that the dollars levied for FY87 are the 1-105 cap for dollars gen-
erated through the levy; however, increased valuation and new annexations may be added
as well. He stated that the dollars generated from the mill levy for the General Fund may
not be more than 105 percent of the previous year's p~operty tax revenues, under State
statute.
City Manager Wysocki then. r~tlewed the General Fund estimated revenues for Fiscal
Year 1989-90, as shown on Page 10. He noted that some of the revenues, such as the mo-
tor vehicle fees and gaming machine r~venues ~ere beir'lg reported in a slightly different
manner; however, the totals are only slightly different. He noted there is an anticipated
increase in interest income, due to higher Interest rates.
The City Manager briefly highlighted the special revenue fund estimated revenues.
Commissioner Hawks questioned the $20.000 County contribution anticipated for the
City-County Planning Fund. The City Manager indicated a portion of that is to cover the
consultant fees.
The City Manager then reviewed the debt service fund revenue estimates, internal
service fund revenue estimates and enterprise fund revenue estimates, as well as the sum-
mary of all funds.
B rea k - 4: 27 to 4: 30 p. m .
Mayor Stiff declared a break from 4:27 p.m. to 4:30 p.m., in accordance with Com-
mission policy established at their regular meeting of March 14, 1983.
Work session (continued) - budget for Fiscal Year 1989-90
The City Manager briefly reviewed the General Fund summary, then began review-
Ing the individual budget units, as follows.
City Commission. The City Manager noted the Commission had prepared this budget
unit.
Clerk of the Commission. The amount budgeted for salaries has increased slightly,
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to cover the costs of a half-time assistant for the entire year. Also, the amount budgeted
for repair and maintenance of equipment is slightly higher to accommodate the cost of the
maintenance agreement for the Displaywrlter.
Elections. The amount budgeted covers two elections. The City Manager noted the
General Election is to be held in November; and there are monies to cover an election in
the spring, if necessary. He reminded the Commission these monies are appropriated for a
very specific use and may be used for other purposes only through a budget amendment.
He noted If the monies are not spent, they wi II revert to the reserves at the end of the
fiscal year.
City Manager. The amount budgeted under Contracted Services includes monies for
the Employee Assistance Program. He indicated that fifteen to twenty employees are util-
izing the program, noting that confidentiality is very important in making this a success.
Director of Public Works. The City Manager noted there is little change in this bud-
get unit; and no one asked any questions.
City Attorney. The City Manager indicated that the amounts budgeted for Opera-
ting Supplies and Subscriptions and Dues have been adjusted slightly, so that all materials
received through subscriptions are paid through the appropriate line item. He then indi-
cated the monies under Contracted Services are for a part-time City Prosecutor and any
outside counsel needed. The City Manager indicated he feels it is in the City's best in-
terests to retain outside counsel for one or two items each year.
Commissioner Goehrung asked for a breakdown of City Attorney Becker's time, ques-
tioning how much of his time is spent on City Court issues.
The next work session on the budget is to be held at 8: 30 a. m. on Wednesday,
August 2, 1989, in the Conference Room at City Hall.
Adjournment - 5:05 p.m.
There being no further business to come before the Commission at this time it was
moved by Commissioner Martel, seconded by Commissioner Goehrung, that the meeting be
adjourned. The motion carried by the following Aye and No vote: those voting Aye being
Commissioner Martel, Commissioner Goehrung. Commissioner Hawks, Commissioner Vant Hull
and Mayor Stiff; those voting No, none.
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