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HomeMy WebLinkAbout08-16-93 Personnel & Finance QCommittu Z ort of tfx Vtroonn i an Irina= Commiat= The August 16, 1993 meeting of the Personnel and Finance Committee was called to order by its Chairperson, Councilmember Ann Puzzello at 3:05 p.m. in the Council Informal meeting room. Persons in attendance included Councilmembers: Coleman, Luecke, Puzzello, Ladewski, and Zakrewski; Mayor Joseph E. Kernan, Kevin Horton, Jeff Rinard, Joseph Kuhariak, William Eagan, Fire Chief Luther Taylor, Police Chief Ron Marciniak, Asst. Chief Rick Switalski, Asst. Chief Joel Wolvos, Don Pinkert, James Mooreland, Ed Talley, Don Porter and Kathleen Cekanski-Farrand. Councilmember Puzzello welcomed everyone in attendance and noted that over the next two weeks there will be tedious hours of daily meetings and numerous documents as the Personnel and Finance Committee and the Utilities Committee jointly review the proposed 1994 budgets for the Civil City budget as well as the enterprise funds. Mayor Kernan than presented the Budget Overview. He stressed the need for a firm and strong financial foundation for the City, and noted that the estimates regarding revenue and proposed expenditures are conservative. He acknowledged that there has been alot of sacrifice by employees which has resulted in better equipment. He also noted that sacrifice has positively resulted in saving over one-half million dollars through a bond refinancing and having the City's bond rating upgraded from a conditional "A"rating to an "A" rating. The Mayor noted that this is the first combined budget ever presented to the Council, and will also include the Economic Development budget. The Building Department will also be considered as an enterprise fund. Equipment Services will be an internal service fund with costs divided between each department reflecting their proportionate share. He noted that more and more general fund monies are being used for roads and streets in light of fewer federal and state dollars being allocated. Travel and training will be addressed in each department beginning next year. The most significant increase will be the Health Insurance Reserve which will require adding 1.2 million dollars to fully fund it properly. The budget also fully funds city-wide drug testing and continues funding for the Personnel and Finance Committee August 16, 1993 Page 2 Neighborhood Partnership Centers. The net reduction overall to City personnel will be 15 positions however 3 positions in both the Police and Fire Departments will be added (Fire through civilianization). The City is requesting the full 5% increase in the levy. The Mayor stressed that is a balance budget and a responsible budget, with limited capital improvements proposed similar to the current budget. Significant progress has occurred over the past 5 1/2 years with the assistance of the Common Council and the City Administration. The General Fund increase is 1.2% annualized change with funds inside the levy proposed at a 2.1% annualized change. The Mayor thanked the Committees for the opportunity to review the budgets and looks forward to the meetings and questions. Mr. Kevin Horton then briefly reviewed material in the Comprehensive Annual Financial Report. He stated that the City is attempting to reverse the trends created by the huge loss of federal funds. With intergovernmental agreements such as the one addressing the Building Department dividend rights have been created. He stated that he would be willing to initiate an ordinance which called for year-end revenue reviews to take place the second week of February each year. He also noted the need to review all fees on a yearly basis. There would be a reduction in expenses if the health, liability and workers compensation increases were backed out. Mr. Horton noted that the following departments lost money: Parks, Liability Insurance, Parking Garages, Waterworks, and Solid Waste. Councilmembers Puzzello and Zakrewski suggested that the Solid Waste budget not be heard until there have been a series of meetings on the City Administration's overall proposal including a review of the new rate ordinance and its rules and procedures which will affect the citizens. Both of the citizen members of the Personnel and Finance Committee, namely Mr. Kuhariak and Mr. Eagan joined in this suggestion. Upon a motion being made by Councilmember Zakrewski and seconded by Councilmember Ladewski, the Committee unanimously agreed to delay the Solid Waste Budget hearing until a series of meetings were held on the overall recommendations and the new rate and procedure ordinance. Mr. Horton and Mr. Rinard then reviewed the handout (attached). They noted that there is a 32 million dollar payroll for the City's more than 1200 Personnel and Finance Committee August 16, 1993 Page 3 employees. Less than 1% of the overall budget is spent on instruction. Mr. Horton noted that they are recommending a looseleaf notebook system this year for the preliminary budgets and welcomed further suggestions. At approximately 4:45 p.m. the Committees began reviewing the Fire Department budget, EMS and the Fire Pension budget. This was followed by a review of the Police Department budget and the Police Pension Budget. The Committee meeting adjourned at approximately 6:45 p.m. Respectfully submitted, Ann Puzzello, Chairperson Personnel and Finance Committee Attachments