10-27-08 Common Council Minutes - Laserfiche WebLink

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REGULAR MEETING OCTOBER 27, 2008 and 2009 assessed valuations to finalize actual dollars to be but in 2009. Planning Sessions over next 4-6 months to identify critical city services and to review draft spending reduction plans presented by departments during summer of 2008. Prioritize spending over 2009. Realize that some differences can be made by moving expenditures to other funds such as current income tax fund or foregoing capital expenditure dollars but long-term solutions must be identified. Work on prioritizing long-term spending stnd plans and goals as more information becomes available during 1 and 2 quarter of 2009. Ms. Fanello stated that this will take a team effort between administration, Council and departments. She noted that she would like to spend two whole days with Council reviewing. This being the time heretofore set for the Public Hearing on the above bill, proponents and opponents were given an opportunity to be heard. Councilmember Puzzello stated that she is aware of some departments that have already laid-off personnel and consolidated jobs. She questioned what the cost savings is to date. Ms. Fanello stated that she only knows of her department that has made cuts and will take effect January 1, 2009. She stated that not a lot has been done. She noted that the departments have held off hiring full time personnel. She stated that she will ask the departments to make a list of their priorities and submit them to the Council. Mayor Luecke asked Councilmember Puzzello from what base line in terms of the savings from. He stated that there have been a lot of savings generated over the past several years. Obviously they are facing additional savings that need to be done. He questioned whether she was looking at savings from 2008 looking at 2009 budget or 2007 as a baseline year. Councilmember Puzzello stated that she is interested in looking at 2009. Mayor Luecke stated that there are some that are in the 2009 budget already and can quantify that, some of the other spending plan proposals that were referenced have not been implemented yet. So there is not a cost savings to those strategies. Ms. Fanello stated that they will have the information regarding cell phones and take home cars, but as far as some of the big stuff, they still need to finalize the big stuff. Councilmember Varner stated regarding the capital budget and there not being a capital budget. That they were talking about the general fund and that there is a capital budget along with a number of other funds. Ms. Fanello stated that there was not a lot of large capital items done this year, however the sewer department is obviously operating under a bond. Councilmember Varner stated that when they talk about possible solutions, that they look at pilots or payments in lieu of taxes from not-for-profits who occupy a large portion within the corporate limits of the City of South Bend. They provide county-wide employment but they don’t provide a lot of dollars that support general government for police and fire. He stated that the Hotel-Motel Tax needs to be increased. He stated that when he travels around and sees how much more other areas are charging 15 to 18%. In South Bend we are only charging 6%. Each percent if $500,000 under the current billing. He also stated that on the sales of tickets, such as the University of Notre Dame Football Games, which is a transaction, it is not taxing the University; it is taxes the persons involved in the transaction. It could generate several million dollars. He stated that he knows that the State needs to help the local municipalities by including them in some of the profits from the sales tax. Also there needs to be some creative use of TIF assessments. There are numerous dollars growing in TIF Districts and they should be used where they need to use them. Not necessarily for of the proposals that have come forward as he has seen. He stated that help needs to come from the State Legislature, they put the cities and towns in this situation and they can certainly help get them out. He stated that he doesn’t think that it is unreasonable to make those requests. 20