HomeMy WebLinkAbout08-31-95 Personnel & Finance ti
COMMITTEE REPORT:
PERSONNEL AND FINANCE COMMITTEE
TO THE COMMON COUNCIL OF THE CITY OF SOUTH BEND:
The August 31, 1995, meeting of the Personnel and Finance
Committee was called to order by its Chairperson, Council Member
Steve Luecke at 4:10 p.m. in the Council informal meeting room.
Persons in attendance included Council Members Steve Luecke,
Roland Kelly, Ann Puzzello, Tom Zakrzewski, and Sean Coleman. Also
present were Mayor Joseph E. Kernan, City Controller Kevin Horton,
Deputy City Controller Jeff Rinard and citizen member Cathy Roemer.
Chairperson Luecke turned the meeting over to Mayor Kernan who
advised that the budget review process will be the same as in the
past but the substance will be different in that the City will be
utilizing a performance based budget format. Mayor Kernan stated
that there will be yardsticks in the budget that we have not had in
the past. These yardsticks will measure performance as well as
quality. He noted that this is the City' s first attempt at this
format and the additional information will help make better
decisions.
Mayor Kernan noted that as in the past, the budget emphasis
this year will be on public safety. There will be more revenue
than expenditures and there will be significant capital
projections. It is the administrations goal to spend money that
they know they have as opposed to spending money on projections.
He noted that they would rather be conservative than running the
risk of spending money they may not have. Mayor Kernan also stated
that it is hoped that the City will be able to put money back into
the neighborhoods.
The Mayor further informed the Committee that the yardsticks
that will be utilized need further refinement. Comparisons with
other cities of similar sizes will be utilized. The Mayor asked
that the Council begin digesting some of the information that will
be provided to them and asked for their advise and counsel.
Mayor Kernan advised that the City's financial report has, in
the past, been recognized for its excellence and it is hoped that
it will again be recognized for the fifth year in a row.
City Controller Kevin Horton informed the Committee that the
1996 budget will be the worst budget in this new format. The
budget will contain performance indicators that may not be used
next year. The benchmark will be next year's budget, it will be a
benchmark against ourselves and a benchmark against other
communities. Mr. Horton indicated that the City may want to look
at putting together a benchmarking team.
Mr. Horton distributed a booklet entitled "SOSP Leadership
Group Meeting. " He mentioned that the SOSP Technical Advisory
Committee came up with eighty-eight (88) growth objectives and ten
(10) growth objectives are contained in the booklet. He noted that
they may change as the committee has not finished its work. The
goals include the following: the community's economy, the
community's public safety and civility, the community's quality of
life, trust in City government, the City's responsiveness,
efficiency, and effectiveness, the City' s infrastructure, the
City' s financial condition and the City's workforce. Mr. Horton
noted that the budget will contain the department's individual
growth objectives. Next year they will be more definable.
Mr. Horton stated that the budget will include financial
policies. Departments will be expected to maintain minimum
balances in all funds, each department will submit a surplus budget
and the City will not spend last years reserve for capital
expenditures. The budget submitted will not contain capital
expenditures. In January the Council will be presented with a
Capital Improvements Plan that the City would adopt. The
administration will look at resources and appropriate capital
dollars. In January/February there will be a second appropriation.
Reserves from 1995 for expenditures in 1996 will include computer
equipment. The City will have to budget reserves. It is hoped to
build some discipline into the process. Mr. Horton noted that the
policy information is not yet ready and they will ask the Council
to review and provide feedback to what is being handed out today.
Mr. Jeff Kinard, Deputy City Controller distributed a handout
entitled "Section II - Executive Summary Chart" which contains
eighty (80) objectives. The priority ranking for these objectives
is number one (1) being the highest and three (3) being the
lowest.
Mr. Rinard also handed out a document entitled "City of South
Bend Strategic Plan - A Recognized Model City by the year 2000! -
A framework of goals, growth objectives and strategies (draft) . "
Mr. Horton noted that these notes are from a brainstorming session
that was conducted.
Mr. Rinard handed out a "Budget Comparison-Expenditure
1995/1996. " He noted that the budget to be submitted is
substantially correct. Capital for cash purchases in the coming
year will not be included. Mr. Rinard briefly went over any line
item that council members had questions regarding. He noted that
there was an increase in the Controller' s budget due to the
proposed request for a long range plan or study to be conducted
concerning the addition of a MIS Bureau. Mr. Rinard also noted
that Project Future has been eliminated from the budget as they
will receive funding from the new CEDIT tax. Also, part of the
City's dollars to Economic Development will come from CEDIT funds.
Mayor Kernan noted that the dollars in the general fund that
the EDIT dollars are replacing will be used for capital
improvements and the City therefore has gained more latitude with
those dollars. It was noted that the City expects to receive
approximately $1.4 million dollars in CEDIT revenue.
Distributed to members was a tentative agenda for Council
budget review. It was noted that there are a number of smaller
budgets that are not included in the timeframe. It was agreed that
the inclusion of these departments will be discussed on September
5, 1995. It was also noted that because the TACT conference begins
on September 17th, that will have to be taken into consideration
when it comes to scheduling more budget meetings.
There being no further business to come before the Committee,
Mr. Luecke announced that the Committee will reconvene at 4:00 p.m.
September 5, 1995. The meeting adjourned at 5:20 p.m.
Respectfully submitted,
Council Member Steve Luecke
Chairperson, Personnel and Finance Committee
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