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HomeMy WebLinkAbout12-12-2022 Personnel & FinanceI V ~- OFFICE OF THE CITY CLERK D AWN M. JONES, CITY CLERK PERSONNEL AND FINANCE COMMITTEE DECEMBER 12, 2022, 3 :00 P .M. Committee Members Present: Committee Members Absent: Others Present: Presenters: Agenda: Sheila Niezgodski*, Eli Wax, Troy Warner*, Rachel Tomas Morgan Henry Davis Jr. Dawn Jones, Victoria Trujillo, Bob Palmer, Justin LePla Dan Parker, City Controller Bill No . 75-22 -An Ordinance to Adopt an Investment Policy for the City of South Bend Calendar Year 2023 Bill No. 76-22 -An Ordinance Appropriating Additional Funds for Certain Departments and City Services Operations for the Year 2022 Bill No . 77-22 -An Ordinance for Budget Transfers for Various Departments for the City of South Bend, Indiana, for the Calendar Year 2022 Members marked with an asterisk (*) are present digitally Please note the attached link for the meeting recording: https://docs.southbendin.gov/WebLink/browse.aspx?dbid=0&mediaid=359849 Committee Chair Sheila Niezgodski called to order the Personnel and Finance Committee meeting at 3:00 p.m. Bill No. 75-22 -An Ordinance to Adopt an Investment Policy for the City of South Bend Calendar Year 2023 Dan Parker, City Controller, with an office on the twelfth (12 th) floor of the County-City building, advised that the bill mirrors the 2020 and 2021 versions, and no changes were made to the current investment policy. Indiana requires annual investment authorization. Committee Chair Niezgodski requested questions from the Committee. Committee Member Wax asked if state legislation now allows a wider range of investments. Dan Parker responded that legislation still only permits investments in United States treasuries, municipal bonds, and certificates of deposit. The range limits return as evidenced in 2021 by the zero-point-six (0.6%) percent return on a two ($2,000,000) million-dollar EXC ELLENCE ACCOUNTABILITY INNOVATI ON INCLUSION EMPOWERMENT 4 5 5 County-City Building 227 W. Jefferson Bvld South Bend. Indiana 46601 p 5 7 4.235. 9221 f 5 7 4.235. 9173 TTD 5 7 4.235.556 7 www.southbendin.gov CIT) OF SOUTH BEND OFF IC E OF THE CLE RK investment. Since inflation was approximately seven (7%) percent, monies were lost. The 2022 return will be between one-point-one (1.1 %) and one-point-two (1.2%) percent. Committee Chair Niezgodski held the public hearing, and nobody spoke. Committee Member Tomas Morgan motioned to send Bill No. 75-22 to the Committee of the Whole with a favorable recommendation, seconded by Committee Member Wax and carried via vote by voice. Bill No. 76-22 -An Ordinance Appropriating Additional Funds for Certain Departments and City Services Operations for the Year 2022 Dan Parker advised that the bill is the first of two (2) quarterly adjustment bills that account for unforeseen expenses. The highest increases were experienced in gasoline, auto repair and maintenance, and utilities. Two-point-three ($2 ,300,00) dollars were budgeted for gasoline per gallon, but almost five ($5 ,000,000) million-dollars were spent. The police, fire, and other departments purchase gasoline from the central services division and funds are transferred as each department is reimbursed. Regarding vehicles, repairs, and maintenance increased as new vehicles could not be obtained due to supply chain issues. Committee Member Warner asked why property insurance increased. Dan Parker responded that insurance tripled in four ( 4) years and was four hundred fifty thousand ($450,000) dollars in 2018 compared to one point two ($1 ,200,000) million dollars in 2022. The increase is due to a one-point-eight ($1 ,800,000) million dollar claim and industry trends. The insurer is provided with a list of upgraded and replaced assets yearly. Committee Member Wax asked if gasoline is accounted for twice for the various departments. Dan Parker responded that the central service pays the supplier, and the departments pay the central service. Councilmember White asked what the percentage increase was for the three (3) items listed. Dan Parker responded that gasoline now decreased to three ($3) dollars per gallon, but utilities have increased ten (10%) percent yearly. Wages will increase in 2023 due to inflation, and personnel costs account for sixty-five (65%) percent of expenses. Utilities will be better accounted for in 2023 and 2024, but supply chain issues will still affect vehicle purchases. Committee Chair Niezgodski held the public hearing, and nobody spoke. Committee Member Wax motioned to send Bill No. 76-22 to the Committee of the Whole with a favorable recommendation, which was seconded by Committee Member Warner and carried via vote by voice. Bill No. 77-22 -An Ordinance for Budget Transfers for Various Departments for the City of South Bend, Indiana, for the Calendar Year 2022 Dan Parker advised that the bill permits the transfer of funds between departments. Committee Member Tomas Morgan asked when professional services were sought. EXCELLENCE ACCOUNTABILITY I NOVATION INCLUSION EMPOWERMENT 455 County-City Building 227 W. Jefferson Bvld South Bend. Indiana 46601 p 574.235.9221 f574.235.9173 TIO 574.235.5567 www.southbendin.gov 2 . . . . CITY OF SOUTH BEND OFFICE OF THE CLERK Dan Parker responded that the budget is for all of 2022. Committee Chair Niezgodski held the public hearing, and nobody spoke. Committee Member Wax motioned to send Bill No. 77-22 to the Committee of the Whole with a favorable recommendation, seconded by Committee Member Warner and carried via vote by voice. With no further business, Committee Chair Sheila Niezgodski adjourned the Personnel and Finance Committee meeting at 3:22 p.m. Respectfully Submitted, Sheila Niezgodski, Committee Chair NOTICE FOR HEARING AND SIGHT IMPAIRED PERCiONS Auxiliary Aid or Other Services ma)' be Available upon Rcc1ucst at No Charge. Please give Reasonable Advance Rcc1ucst when Possible EXCELLENCE I ACCOUNTABILITY INNOVATION INCLUSION EMPOWERMENT 455 County-City Building 227W. Jefferson Bvld South Bend. Indiana 46601 p 574.235.9221 f574.235.9173 TTD574.235.5567 www.southbendin.gov 3