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HomeMy WebLinkAbout25 - November 28, 2011 COW - Special Meeting SPECIAL COMMITTEE OF THE WHOLE MEETING November 28, 2011 The special Committee of the Whole meeting was called to order by Mayor Kaptain at 6:00 p.m. in the Council Chambers. Present: Councilmembers Dunne, Gilliam, Moeller, Powell, Prigge, Steffen, and Mayor Kaptain. Budgetary Discussion City Manager Sean Stegall gave a brief overview of the meeting’s agenda. The objectives were to present the balanced approach version two with discussion regarding the general and riverboat fund and the street resurfacing plan and review any questions from the Council. The presentation is on file in City Clerk’s office. Balanced Approach Version Two City Manager Stegall reviewed the previous budget discussions. The latest version of the budget seeks to address concerns regarding acceptability, reliability, and equity. Mr. Stegall noted that the total revenue of $1,929,010 in this budget version had not changed from the previous proposal. The Refuse Fee would be used towards the structural deficit. In order to reduce the burden on the homeowners the cost went down from $18.00 to $13.30 per month. This fee is a direct pass thru from the cost of the vendor. Utility taxes would be part of the property tax diversification plan. This would be established to allow for property tax relief. Homeowners would have more control versus property tax and it would be more equitable. Corporation Counsel Cogley discussed the rate structure for the utility tax, electricity and natural gas, and provided background on what the statute allows the city to do in relation to tax. A typical household would have a tax for natural gas of $29.48 per year and electric of $33.53 per year. Corporation Counsel Cogley reviewed the proposed electrical aggregation. The City would use purchasing power to obtain lower rates, with a potential for 20% savings, for the citizens. Residents would not have to participate in the program and could opt out. In order to move forward with this a referendum would need passed. The next opportunity for this question to be on the ballot would be the March 2012 primary election. An alcoholic beverage tax would be used towards the structural deficit and start July 1st. The 3% tax would be passed on to consumers and it was recommended that the liquor licenses annual Committee of the Whole November 28, 2011 Page 2 fees be reviewed and potentially reduced. As proposed in the balance approach version two there would a transfer from the Riverboat fund to the General fund from 2012-2015 of 3.55 million dollars and in 2016 back to down to the 2011 amount of 1.7 million. The Council discussed the riverboat fund policy and if it should be changed. There was a question about obtaining the current number of vehicles in the City to have the exact amount a vehicle sticker could generate. There was discussion about funding social services, the arts and the PACE bus route. The funding for social services would be a grant program, no direct funding, with the guidelines of the grant program to be determined. PACE original funded because PACE was going to eliminate route based on ridership. That level of ridership is the same as before and therefore would not have a large impact. Also discussed was alternatives to bus route such as the PACE commuter van service. The bottom line between version one is $216 per year and version two is $58.68 per year based on 2013 numbers a full year of the different changes. There was a break from 7:25 p.m.-7:35 p.m. Street Resurfacing Plan Dave Lawry Public Services Director outlined the ten year street resurfacing plan. He noted that the last five years of the plan are subject to change based on different variables. This plan would use designated funds from a hone rule sales tax increase. Based on estimates the 1.75 million brought in by the increase to the sales tax would allow for 6.8 miles of streets to be resurfaced. He noted that it costs $250,000 to resurface, and one millions to completely rehab one mile of road. The plan will allow for planning and communication to residents. Summary and Questions The next Committee of the Whole meeting would be November 30th at 6 p.m. in Council Chambers. Items to be discussed: recreation fun, water and sewer funds, analysis of overtime expenditures, and a budget summary including review of proposed ordinances supporting the budget. Committee of the Whole November 28, 2011 Page 3 Adjournment Councilmember Dunne made a motion, seconded by Councilmember Gilliam, to adjourn the meeting. Upon a roll call vote: Yeas: Councilmembers Dunne, Gilliam, Moeller, Powell, Prigge, Steffen, and Mayor Kaptain. Nays: None. The meeting adjourned at 8:00 p.m. s/ Kimberly Dewis December 21, 2011 Kimberly Dewis, City Clerk Date Approved