HomeMy WebLinkAbout08-23-00 Personnel & Finance ouniYttttt * O t:
rsonniz1 anti f inat ut +Committ e
The August 23, 2000 meeting of the Personnel and Finance Committee was called to order
by its Chairperson, Council Member James Aranowski at 3:00 p.m. in the Council Informal
Meeting room.
Persons in attendance included Council Members Aranowski, Kelly, Varner and King;
Mayor Stephen J. Luecke, M. Catherine Roemer, City Controller; Tom Skarbek, Director of
Budgeting & Financial Reporting; Gary A. Gilot, Director of the Department of Public Works;
Citizen Member Isabele Gonzalez and Kathleen Cekanski-Farrand, Council Attorney.
Council Member Aranowski noted that today's budget review would initially focus on
miscellaneous funds within the General Fund. He noted that the Gibson Insurance Group has
agreed to give their presentation at 3:00 p.m. on September 6th.
Mayor Luecke provided a copy of a draft of the Memorandum of Understanding with the
NW. He noted that the Hall of Fame budget would not be presented in light of the ongoing
discussions, however the Administration would be back to the Council if no formal agreement is
reached. Mayor Luecke noted that the agreement would be for five (5) years. The Mayor also
noted that Tom Kromkowski has been contacted with regard to revising the hotel/motel provisions.
Dr. Varner inquired about Mishawaka's requested uses of hotel/motel revenues. Mayor
Luecke stated that they have made requests in the past and currently receive$ 40,000. Dr. Varner
then inquired about the lease agreement of $ 1.00 per year. The Mayor noted that an operating
agreement as opposed to a lease agreement is being proposed at the request of bond counsel.
Dr. Varner asked about sponsorships and endowment funds noting that originally that such
monies were to pay down debt service. He voiced concern that the City is still getting "short-
changed". Mayor Luecke stated that he believes that the sponsorships should be clarified.
Council Member King suggested a change to paragraph#4 regarding the current law in the
draft NFF memorandum. Council Member King then inquired of the Mayor as to
when a signed NFF Memorandum would be available. Mayor Luecke stated that it
would be available soon and that it would be provided to the Council.
MAYOR'S DEPARTMENT (GENERAL FUND # 101-01011
2000 Projected Expenditures: $ 510,000 2001 Projected Expenditures: $ 595,641
Increase of 3.7% _ $21,032
Tom Skarbek,Director of Budgeting &Financial Reporting, reviewed the proposed budget
for the Mayor's Office. He noted that Community Affairs & the Mayor's offices were
consolidated in 1999.
Dr. Varner voiced concern about the line-item entitled"Millennium Planning"proposed at
$ 5,000. Mr. Skarbek stated that this line-item under 101-0101-413.33-03
Promotional should be listed as "various miscellaneous expenses" and that it
would be corrected. He noted that the Mayor's car is purchased and not leased.
Council Member King inquired about the "After School Program" monies, and was
•
Personnel and Finance Committee
August 23,2000
Page 2
advised by Cathy Roemer that they are funding by COIT dollars.
DOARD OF PUBLIC SAFETY_ GGENERAL FUND # 101-0103)
2000 Projected Expenditures: $ 10,200 2001 Projected Expenditures: $10,200
Mr. Skarbek noted that the monies represent the total salaries paid to the three(3) Board of
Public Safety members.
CONTROLLER'N„ DEPARTMENT ,GENERAL FUND # 101-0401)
2000 Projected Expenditures: $ 4,590,062 2001 Projected Expenditures: $ 1,428,152
Cathy Roemer and Tom Skarbek then reviewed the Controller's proposed budget. The City
Controller directed the Committee to the organizational chart which shows the following major
divisions: Benefits Management; City Finance/Budgeting & Reporting which includes payroll,
licensing and accounts payable; Information Technology and Human Resources which includes
Human Rights & Safety & Risk Management. They noted that they are restructuring the
Information and Technology which has a staff of six (6). The City Controller noted that attracting
and maintaining personnel has been an ongoing problem in light of the competitiveness of the
private sector. She noted that they work also on an on-call basis.
Council Member King noted that the personnel of Information&Technology are very good
and that many of them could get almost twice as much in salary in the private sector. He noted that
the City of South Bend is far ahead of St. Joseph County and the City of Mishawaka in the
technology areas. Council Member Kelly voiced similar concerns and Citizen Member Gonzalez
noted that this division has been become a"training ground"for others.
LEGAL DEPARTMENT_ (GENERAL FUND # 101-0501)
2000 Projected Expenditures: $ 561,182 2001 Projected Expenditures: $ 615.484
Increase of 2.3 % = $13,662
It was noted that one Deputy Attorney I part-time position has been eliminated and a Deputy
Attorney III has been elevated to a IV. Proposed increases for legal interns from$ 23,000 to
$30,000 is recommended for such temporary services.
HUMAN RIGHTS COMMISSION (GENERAL FUND # 101 1008)
2000 Projected Expenditures: $ 203,132 2001 Projected Expenditures: $ 239,397
Increase of 2.9% = $6,673
Tom Skarbek noted that the budget reflects the promotion of an Investigator III to a IV,and
an Investigator I to a II.
Council Member King inquired about how quickly cases are handled by the Commission.
It was noted that the average length of time has been reduced from seventeen(17) months to twelve
Personnel and Finance Committee
August 23,2000
Page 3
(12 ) months. An update on the number of cases, duration, completion rates and the
overall model which the Human Rights Commission is striving for in handling
such cases would be provided to the Council at a future time.
HUMAN RIGHTS COMMISSION IFEDERALLY FUNDED FUND # 258-1008 & 1009):,
EOUAL EMPLOYMENT OPPORTUNITY (FUND # 2584008)
2000 Projected Expenditures: $ 59,012 2001 Projected Expenditures: $ 68,783
Increase of 2.94% = $1,583
2000 Projected Revenue: $ 72,000 2001 Projected Revenue: $ 84,500
Revenue Increase of$17,300= 25.74 %
D 's: u E •F H. SIN_ & UREA DEVE O'MENT FU 1 # 258-1009
2000 Projected Expenditures: $ 56,764 2001 Projected Expenditures: $ 62,174
2000 Projected Revenue: $ 22,290 2001 Projected Revenue: $102,400
Revenue Increase of$47,200 = 85.51 %
Mr. Skarbek noted that the HUD funds are on an October 2000 to September 2001 cycle.
Citizen Member Gonzalez inquired about the cultural diversity and in-house training of the staff.
Mr. Skarbek noted that training is done city-wide,but believes that it has not been down in at least
two (2) years. Ms. Gonzalez requested further information on the type of House
training proposed which will address cultural diversity and the schedule(s) for
such training for this particular department and city-wide.
STUDEBAKER BOND (GENERAL FUND # 310)
2000 Projected Expenditures: $ 654,870 2001 Projected Expenditures: $ 663330
Increase of 1.2 % = $7,710
2000 Projected Revenue: $ 658,650 2001 Projected Revenue: $ 717,676
Increase of 8.9% = $58,358
It was noted that the budget estimate includes a$58,611 "cushion"which may be adjusted
by the State Tax Board during their final audit. The revenue represents general property taxes,
auto excise tax collections and interest income.
Personnel and Finance Committee
August 23,2000
Page 4
FOOTBALL HALL OF FAME BOND (FUND # 313)
2000 Projected Expenditures: $ 0 2001 Projected Expenditures: $ 2,300,000
2000 Projected Revenue: $ 0 2001 Projected Revenue: $ 2,300,000
This budget is represents a "very conservative estimate", which will be adjusted by the
State Tax Board once the Hall of Fame bond has been refinanced and the City's net assessed
valuation for 2000/2001 has been determined.
Dr. Varner inquired whether their would be a level payment of$ 1.5 millon each year, and
Council Member Aranowski asked for a worksheet.
FOOTBALL HALL OF FAME BOND (FUND # 377),
2000 Projected Expenditures: $ 0 2001 Projected Expenditures: $ 612,376
2000 Projected Revenue: $ 0 2001 Projected Revenue: $ 612,376
It was noted that $ 462,376 is anticipated from hotel/motel taxes; and $ 150,000 is
anticipated from professional sports development fund receipts. The development fund receipts is
a conservative estimate and would be used for capital upgrades. The City proposes to transfer
$ 612,376 to the National Football Foundation which would then be used for operational expenses
including marketing.
Hotel/motel funds are received on a quarterly basis, and professional sports development
funds are received on a monthly basis.
Council Member Coleman joined the Committee meeting at this point.
COUNTYTION INCOME TAX (FUND # 404)
2000 Projected Revenue: $ 2,366,244 2001 Projected Revenue: $ 4,607,820
Revenue Increase of 117.7% = $2,491,269
The City Controller noted that the "extra money" represents projections which had been
under estimated. The projection includes a "catch-up" and will then flatten out. Ms. Roemer
further noted that all proposed capital expenditures listed under land improvements, building
improvements, neighborhood programs and motor equipment would be addressed in the capital
budget in February 2001. She further suggested a ten percent(10%) reserve.
CUMULATIVE CAPITAL DEVELOPMENT FUND (FUND # 406)
2000 Projected Revenue: $ 1,065,386 '1 Projected Revenue: $ 1,091,335
; venue Increase of 4.3 % = $44,686
Personnel and Finance Committee
August 23,2000
Page 5
Ms. Roemer stated that the tax rate will remain the same as it is current namely$0.15 per
$ 1000 NAV. . The auto excise tax amount reflects 98 % of the State Tax Board's estimate for
2000;and the financial institutions tax reflects actual levels of interest earnings resulting form cash
balances available for investment.
CUMULATIVE CAPITAL IMPROVEMENT FUND (FUND # 407),
2000 Projected Revenue: $ 674,720 2001 Projected Revenue: $ 672,689
Revenue Decrease of-3.2% = ($22,158)
Ms. Roemer noted that revenue projections include $ 472,689 from cigarette tax
distribution, $ 150,000 hotel/motel tax lease payment, and a $ 50,000 South Bend Community
School Corporation Lease payment. Expenditures would include $ 594,000 as a part of the
operating budget for Century Center bond payments, with expenditures for Good Neighbors.Good
Neighborhoods being decided in February 2001.
Council Member King noted that the South Bend Regional Museum of Art Board monies
had to be cut. Ms. Roemer noted that they are in the process of paying back by the City since the
Art Board cannot make such payments. The City Controller noted that they are deferring such
payments but they will not be forgiven.
ECONOMIC DEVELOPMENT INCOME TAX LEUND # 408)
2000 Projected Revenue: $ 4,229,473 2001 Projected Revenue: $ 3,545327
Ms. Roemer noted that the monies reflect the City's portion of this county-wide tax which
is shared by cities and towns within St. Joseph County based upon the tax levy. The EDIT
collections are projected to increase by 6 %, and the city's projection portion for 2001 is
approximately 37% which is an increase from 35.6 % in 2000. The Controller noted that the City
is currently in the last of a five(5) year commitment of$ 100,000 each year to Project Future.
Dr. Varner inquired about Emergency 911 revenues. The City Controller stated that
$ 80,000 is anticipated. She noted that the Mayor contacted the County Commissioners over two
(2) months ago about this matter. The Committee was advised that state legislation may
be necessary if this matter of emergency 911 allocations cannot be resolved
amicably between the county and the city. The Council Attorney suggested that
this topic be added to the list of issues which should be discussed when the
Council meets with the State Senators and State Representatives. The Controller
noted that she would update the Council as to any further updates from the
Commissioners.
Dr. Varner inquired whether cellular phones are charged for E911 services,
with the Administration being uncertain as to such charges. Council Member King
stated that he believed that a software change will soon be taking place in this area perhaps by the
end of the year.
Council Member Aranowski thanked the M. Catherine Roemer and Tom Skarbek for their
review of the"miscellaneous funds"within the General Fund and the special fund reviews.
Personnel and Finance Committee
August 23,2000
Page 6
At this time, the following individuals joined the Personnel and Finance Committee
meeting: Phil St. Clair, Parks and Recreation Superintendent; Administrative Director Betsy
Harriman, Concessions Manager Matthew Moyers, Fiscal Officer Bill Carleton, Golf Director
Chad Kilmer, Maintenance Superintendent Mike Dyszkiewicz, Director of Recreation Susan
O'Connor, Director of Marketing Mark Bradley, Brian Powell, Clarence Wright, and Dr. Jeremy
Goodman.
PARKS AND RECREATION DEPARTMENTAL MINISTRATION LFUND # 201-1100)
2000 Projected Expenditures: $ 793,803 2001 Projected Expenditures: $971,064
Increase of 27.2 % = $207,686
2000 Projected Revenue: $ 1,171,900 2001 Projected Expenditures: $ 1,114,552
The Committee was provided with copies of the "South Bend Parks & Recreation
Department 1999 Annual Report"and"South Bend Parks and Recreation Master Plan Update 1999
to 2003"prepared by Lehman&Lehman, Inc. (Copies attached).
Superintendent Phil St. Clair introduced his staff. He noted that in 2001 the following
revenues are anticipated: $ 6,750,694 from general property tax, $ 18,056 from financial
institutions, $ 459,333 from auto excise, $ 20,000 from interest on investments, $ 5000 from
ordinance violation fines, $75,000 from charges for services, $7,500 from greenhouse user fees,
and other revenues as detailed in the line-item pages for a total revenue projection for 2001
of $ 9,890,843.00, and projected expenses of$ 9,110,850.00.
Mr. St. Clair noted that there are six (6) divisions in the Parks and Recreation Department,
namely: Park Administration, Park Maintenance, Recreation, Potawatomi Zoo, Golf and
Concessions. Funds for marketing have increased and a fitness coordinator in the rec program has
been added. The grand opening of the O'Brien Recreation Center will be September 18th.
Mr. Bill Carlton, Fiscal Officer, noted that overall revenues are up 3.99 % and expenses
are up 5.68 %.
Council Members King and Varner voiced concern about Howard Park and the East Race
not having police bike patrols this year. They noted that Police Chief Bennett stated that it was not
a funding problem but rather a manpower problem. Council Members King and Varner both
stressed that the presence of bike patrols was very beneficial and that having them was not only
good for the park facilities but good for the community. Concerns over muggings and increased
vandalism were also raised. They inquired as to what alternatives does the City have in this area.
Mr. St. Clair agreed with the remarks of Council Members King and Varner. Mr. St.
Clair stated that he would be willing to sit down and talk about developing a
strategic plan to address bike patrols and make recommendations to the Council.
Council Member Coleman stated that there are "difficult dynamics" involved and that
further discussion should take place.
Council Member King noted that there is difficulty in recruiting to the police department
and getting proper training completed at the police academy on a timely basis.
•
Personnel and Finance Committee
August 23,2000
Page 7
Director of Marketing Mark Bradley stated that there will be an increased emphasis on
promoting O'Brien and the health and fitness programs. He hopes to increase sponsorships and
grants and to double the amount of grant writing. Additional emphasis will be made on
public/private partnerships with NIPSCO, AEP, healthcare resources for fitness centers. He also
plans to find new ways to promote the Potawatomi Zoo. Mr. Bradley stated that he would
keep the Council updated through reporting to the Council's Park and Recreation
Committee on marketing activities and initiatives.
Citizen Member Gonzalez inquired about bi-lingual efforts for the many park and recreation
programs. Ms. Gonzalez recommended that bi-lingual signage be considered.
Betsy Harrison stated that discussion in this area have begun and that she would
keep the Council informed.
PARKS AND RECREATION DEPARTMENTCREATION DIVISION (F UND # 201-1103)
2000 Projected Expenditures: $ 1,565,770 2001 Projected Expenditures: $ 1,415,096
Decrease of 4.1% = (-$60,982)
2000 Projected Revenue: $ 1,476,078 2001 Projected Expenditures: $ 1,415,096
Director of Recreation Susan O'Connor noted that her staff is working on a new brochure.
The budget includes moving six(6) positions being moved to maintenance, including a new fitness
program, added an athletic supervisor, program supervisor and a healthy senior coordinator. . In
light of the demand for new programs, new recreation programs have been added to Fremont,
Boland and Muessel.
The Council Attorney noted that training of the Park Rangers should be carefully reviewed
in light of several incidents of ticketing on the East Race and the resulting confusion and frustration
for out-of-state and out-of-country visitors who were competing in athletic activities. Many
complaints have been received by the Ordinance Violations Bureau about citations
not being properly issued. Betsy Harriman stated that Park Ranger training and
overall review of proper citation procedures as they relate to the South Bend City
Code are being evaluated currently and would be reviewed.
Council Member Coleman inquired about the Kennedy Water Park. Ms. O'Connor noted
that it is designed to be primarily a children's facility. Charges are made for adults since proper
supervision is necessary. She noted that the City is attempting to recoup some of the operating
costs. She added that there is a lot of parent participation and that costs for adults are minimal.
Council Member Kelly also noted how popular the facility is and that a proper balance of
safety and cost should be properly considered.
Citizen Member Gonzalez suggested that the Recreation Division look into
scholarship programs which could be made available for qualifying participants.
Personnel and Finance Committee
August 23,2000
Page 8
RECREATION NONREVERTING OPERATING ( FUND # 203)
2000 Projected Expenditures: $ 290,440 2001 Projected Expenditures: $ 440,996
Increase of 12.8 % = $50,062
2000 Projected Revenue: $ 441,700 2001 Projected Expenditures: $ 501,650
Increase of 17.4% = $74,272
Susan O'Connor noted that this fund was started three (3) years ago. Class offerings are
based on meeting a minimum number of participants in order to cover projected expenses, with
classes being canceled if the minimum are not met.
SPECIAL EVENTS NONREVERTING ERATING ( FUND # 272)
2000 Projected Expenditures: $ 125,578 2001 Projected Expenditures: $ 157,198
Increase of 23.9% = $30,290
2000 Projected Revenue: $ 141,500 2001 Projected Expenditures: $ 176,750
Increase of 25.6 % = $36,000
Susan O'Connor noted that this is a nonreverting, self-supporting fund which is used to
fund the annual Ethnic Festival and the"World's Largest"Garage Sale.
Council Member Coleman stated that in light of the substantial growth in the north and
south ends of the city that additional efforts to market such programs in these areas should be
made.
In response to a question from Dr. Varner, it was noted that 25,000 brochures are printed
and distributed to all schools and public libraries.
Concessions Manager Matthew Moyers noted that he is submitted basically the same
budget as he has in the past(Fund#201-1 105). He is emphasizing food safety.
PARKS_AND RECREATION DEPT. -MAINTENANCE ( FUND # 201-1101)
2000 Projected Expenditures: $ 4,755,708 2001 Projected Expenditures: $ 4,262,352
2000 Projected Revenue: $ 3,926,423 2001 Projected Expenditures: $ 4,262,352
Maintenance Superintendent Mike Dyszkiewicz reviewed the information set forth in the
footnotes on the budget page summarizing major changes.
Citizen Member Gonzalez stated that a quality service is provided by this Division. She
inquired into the number of"OSHA recordables". Mr. Dyszkiewicz stated that they had fourteen
(14) injuries and a total of 36 recorded which is thirteen (13) less than in 1998. A Safety
Coordinator has also been added.
Personnel and Finance Committee
August 23,2000
Page 9
Citizen Member Gonzalez inquired about how the Parks and Recreation Department
interfaces with the Public Works Department during storms. Mr. Dyszkiewicz stated that the
forestry guide is followed when trees are down;that their is a city-wide chain saw policy, and that
Purdue is used for training.
Citizen Member Gonzalez noted that in light of the repetitive motion
involved for the watercrafts and vehicles using the East Race that the City should
review their policies in this area.
Council Member Aranowski noted that he knows of several individuals who worked part-
time for the various parks and/or recreation programs and were proud to be working in these
Divisions.
FARKS"AND RECREATION DEPT. - G OLF DIVISION ( FUND # 201-1102)
2000 Projected Expenditures: $ 1,403,053 2001 Projected Expenditures: $ 1,424,985
2000 Projected Revenue: $ 1,460,000 2001 Projected Expenditures: $ 1,488,900
Golf Director Chad Kilmer noted that the Golf Division's goal is to provide quality and
affordable golf options.
Council Member Kelly stated that Elbel and Erskine Golf Courses are the best that they
have ever been.
PARKS AND RECREATION DEPT. -POTAWATOMLZOO ( FUND # 201-1104)
2000 Projected Expenditures: $ 1,108,300 2001 Projected Expenditures: $ 1,163,943
2000 Projected Revenue: $ 1,108,300 2001 Projected Expenditures: $ 1,163,943
Clarence Wright and Dr. Jeremy Goodman reviewed the proposed budget noting that there
is great potential for increased children and adult involvement at the zoo. Mr. Wright has over
thirty (30) years of zoo experience. He is new to South Bend and is serving as the interim
Director. The Education Curator is currently vacant and as a result certain programs are not being
offered. The General Curator position is also vacant.
Dr. Goodman was educated at Tutt University and worked at the Brox Zoo.
Citizen Member Gonzalez inquired as to why there is such a turn over for Zoo Directors.
Mr. St. Clair noted that all left for personal reasons.
Council Member King inquired about the zoo accreditation process and the
hospital requirement in particular. The Committee was advised that proper surgical areas
are needed by AZA requirements. $ 500,000 is needed to be raised for the clinic. In September
representatives from the City will travel to Orlando, Florida to give updates to the accreditation
team. The 2nd area of concern is the chimp island. The overall cost is$ 1.3 million and the City is
attempting to re-design plans so that the overall costs will be below $ 1 million. A Zoo Society
loan is also a possibility.
Personnel and Finance Committee
August 23,2000
Page 10
Council Member King requested that an update be provided after the
Orlando meeting with the zoo accreditation team.
Council Member Kirsits inquired about the fence at Studebaker Golf Course
between the course and Riley High School. He noted that there have been several assaults
there and that he has written a letter to Dr. Joan Raymond, Superintendent of South Bend
Community Schools.
Council Member Kirsits inquired about user fees. He noted that the City of Mishawaka
welcomes you to play golf and that there are significant differences in price between in-city and
out-of-city residents. Council Member Kirsits requested a breakdown of all park user
fees and the dates when they were last reviewed.
Council Member Coleman noted that the City's park and recreation facilities offer many
great values.
Council Member Aranowski thanked the Park and Recreation Department for the fine work
they perform and the many opportunities they provide for our residents.
There being no further business to come before the Committee, Council Member
Aranowski adjourned the meeting at 5:40 p.m.
Respectfully submitted,
Council Member James Aranowski, Chairperson
Personnel and Finance Committee
KCF:kmf
Attachments