HomeMy WebLinkAbout03-02-81 Personnel & Finance Oi itmndfn anion
gII tip ontin un QIotuu 1 of thr ettg Df Duufl s,nd: Personnel and Finance Committee
The March 2, 1981 meeting of the Personnel and Finance Committee was
called to order at 5:25 p.m. by its Chariman, Councilman Crone in the
Council meeting room.
Persons in attendance included: Councilmen Serge, Szymkowiak,
Kopczynski, Dombrowski, Crone, Beck and McGann; City Controller Joseph
Kernan, Fire Chief Tim Brassell, Marchmont Kovas of the Tribune, and
Kathleen Cekanski-Farrand, Council Attorney. ,
The purpose of the meeting was to discuss Bill No. 16-81 which the
• Common Council sent to Committee for review and recommendation.
Councilman Crone then passed out a revised version which she had the
Council Attorney prepare. Councilman Crone reviewed the purposes of the
dedicated fund. She stressed that since no funds have been set aside to
begin a systematic replacement of fire department vehicles and needed
building repairs, that now may be the best time to do so.
Councilman McGann then reviewed the proposed user fee schedule. He
calcaulated that at 3500 billable runs per year, at a 65% collection rate,
would result in $144, 000 per year in the fund. He believed that the fees
proposed would reflect approximately 20% of the direct cost.
Councilman McGann emphasized the need to reduce the "down time" , and
believed that by establishing a dedicated fund the Council would be
'!forcing the issue" to establish a standardized vehicle replacement program
in the Fire Department.
Councilman McGann noted that itemized rates rather than a flat rate
were recommended since Medicare and Medicaid standards require itemized rates
in the approved categories. He speculated that the average bill would
total $68. 75 representing: .$55. 00 base fee; 3 miles at $1. 25 for a total
of $3. 75; and $10. 00 emergency fee. Presently Medicare/Medicaid will pay
$50. 00 on the base fee; $1. 00 per mile; $10. 00 for the emergency fee; and
$10. 00 for the oxygen fee. These amounts will be adjusted in July of 1981.
Councilman McGann noted that the private ambulance companies were between
10 to 14% higher in their fees.
Councilman Kopczynski questioned whether the subscription method
had been considered. • Councilman McGann responded by stating that such a
method was primarily used in smaller estern cities; but that the costs
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would outweigh the gains in a city the size of South Bend.
City Controller Joseph Kernan stated that he was in agreement with
the concept of a dedicated fund, however in light of the property tax
freeze he desired more flexibility as to the use of such moves. He noted
that $50, 000 had been included in this year' s budget as miscellaneous
revenue. Therefore he preferred that if a dedicated fund would be created
that it begin on January 1, 1981, in light of the budgeted miscellaneous
revenue.
Councilman Crone stated that her Committee was already reviewing the
user fees and license fees, and noted that many have not been adjusted
since 1962. Some of the loss could be gained by these rates being adjusted.
Councilman McGann suggested that the dedicated fund be started on
September 1, 1981, thereby giving the Administration the fees collected
from April 1st through August 31st at the higher rates. Councilman
McGann reinterated that the Council sees an "urgent need" to replace
$600, 000 worth of fire equipment, therfore the importance of creating
such a dedicated fund to address such a need cannot be underestimated.
Councilman McGann noted that he saw the creation of a dedicated fund
in the Fire Department as Phase I in the area of Fiscal responsibility.He
saw:. Phase II as being the realistic adjustment of other City user fees
and licenses.
Council Szymkowiak summarized that the Council was putting "half
a loaf where it belongs. "
Councilman McGann made a motion to recommend favorably the substitute
bill as amended to the Council. Councilman Szymkowiak seconded the motion.
The motion passed unaminously.
Councilman Crone requested the Council Attorney to prepare the necessary
amendments so that she and the City Controller could review them later in
the week.
Councilman McGann made a motion to adjourn the meeting, seconded by
Councilman Szymkowiak. The meeting was adjourned at 6 :20 p.m.
Respectfully submitted,
Beverly D. Crone
Chairman