HomeMy WebLinkAbout09-17-12 Personnel & Finance PERSONNEL & FINANCE SEPTEMBER 17,2012
5:00 P.M.
Committee Members Present: Karen White, Gavin Ferlic,Dr. David Varner
Henry Davis, Jr.
Other Council Members Present: Tim Scott, Oliver Davis,Derek Dieter
Others Present: John Leszczynski, Bill Spraul,Kathy Cekanski-Farrand,
Chris Kubaszak, Mark Neal, John Murphy, Rahman Johnson
Agenda: Bill No. 49-12—2013 Transpo Budget& Capital Budget
Karen White, Personnel &Finance Chairperson opened the meeting with full committee
attending. Karen briefly described the format for budget review for the three Transpo
Representatives present. They were John Leszczynski, Transpo Board President, Bill
Spraul, Interim Transpo General Manager, and Chris Kubaszak, Transpo Controller.
Karen then turned to Council Attorney Kathy Cekanski-Farrand who referred to the back
page of the agenda she provided which cited the state statute requiring Council review as
well as the limits of the review, and penalties for failure to comply with state law.
City Controller Mark Neal began the presentation reviewing Bill No. 49-12 Deadlines
and pointing out the Transpo budget revenues are from various state and federal sources
with only 15% of the revenue coming from ridership fees.
John Leszczynski briefly took over introducing the General Manager and Controller
Chris Kubaszak who used a power point and handouts. On the federal level actual
revenue for year 2013 will not be available until October,but no surprises are anticipated.
State funding previously a%of sales tax is now a regular line item in the state budget
subject to the regular state budget process.
Council questions began with Dave Varner asking where Transpo's 20% share of an
80/20 federal match came from to support the purchase of new buses? The answer was
budgeted operating revenue. Derek Dieter asked the number of employees? Answer
123-125. He also asked about employee health insurance and whether a wellness plan
existed. The response was Anthem Blue Cross/Blue Shield with a wellness program
offered without incentives and not very well utilized by employees. Oliver Davis,the
Council's appointment to the Transpo Board of Directors asked for an explanation of bus
replacement needs. The response was that a bus was expected to last 12 years. Up to 12
would qualify for replacement in 2013 using the 80/20 federal match program. Tim Scott
wondered if alternative fuel buses were being considered. The answer was yes as the
economy of operation is most important. For example buses currently use biodiesel at
just over$3.00 a gallon locked in for the next seven months. Varner asked if Transpo
was a 501 C3 not for profit, or if not what were they. The Transpo folks said they would
provide that info before the Council vote on September 24, 2012 for Bill No. 42-12.
Karen White asked if a fare increase was anticipated and the answer was no. She was
also told Transpo's new 3 year wage agreement was 0 in the first year, 1%; but a net 0 in
year 2 due to a reduction in benefits and a 1 1/2 %increase in year 3.
Karen recognized a motion to send Bill NO. 49-12 to Council favorably from Gavin
Ferlic, Dr. David Varner seconded and all supported.
There being no further business to come before the Council at this time, Chairperson
White adjourned the meeting at 5:30 p.m.
Respectfully Submitted,
Karen L. White, Chairperson
Personnel&Finance Committee