HomeMy WebLinkAboutMinutes 05/18/2004 May 18, 2004 Vol. 40, Page 59
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City of Petalu~aa, Calzfo~niac
I85$ MEETING O'F THE PETALLINIA CITY COUNCIL
City Council Budget Workshop Minutes
Monday,_May 18, 2004:- 6:00 P:M:
Regular Meeting
1 CALL TO ORDER
2
3 A. Roll Gall _
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5 Present: Glass, Harris> Moynihan, O'Brien, Thompson, Torliatt
b Absent„ Hedly
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8 B. Pledge of Allegiance.
9 C. Moment of Silence
10 ~ .
1 1 PUBLIC COMMENT= There was no public input.
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13 CITY COUNCIL COMMENTS -There were none. •
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15 CITY MANAGER COMMENTS -There were none.
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17 NEW BUSINESS
1.8 •
19 A. Overview of Proposed FY 2004-2005 Budget •
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21 City 'Manager Berman gave an overview of the proposed budget, highlighting
22 that~the total General Fund Resources are:$32,051,70q and the total General
23 Fund Expenses. are estimated at $3T,896,450, which a resulting difference of
24 $155,250. He indicated,, in order- to achieve this balance, staff had to take into
25 account not only expenditure reductions.frorn the Fiscal year 2004 budget, but
26 also adjust fog the approximate `$1.7 million dollar increase in additiondl PERS
27 costs. He continued by noting the budget balancing was based on the following
28 conditions":
29 -
30 ~ One-time expenditures from fiscal year 2004 were removed; for example,
31 ~ Pentarnation,, General Rlan expenses.
32 • No wdge~increases, except for Police .non-sworn (cont~acf item).
33 • No medical increases~~except for Police (contract"item).:
34 • Reduction in Workers' Compensation.
35 •
36 Vacancy reductions in'Folice, Administrative Services, City Manager; etc.;
37 1;0.5 posifionswere eliminated.
38 Departrrient reductions in overtime, services and supplies.
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40 It was- also noted there;~are several new programs, initiatives, or issues contained
41 in the prelirriinary budget,.which included:
Vol. 40, Page 60 May 18, 2004
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2 All of the Gas Tax. revenue from. the State: of California has been. transferred ao fhe
3 Street Maintenance Fund for use on street repair only; street signs and streetlights
4 are- funded in. the General Fund.
5
6 In fiscal. year 2005, an enterprise fund will be created that wilC transfer :all of the
7 expenses relafed to development into a separate fund. All of the related
8 revenues will also be removed from General Fund resources to provide a're~enue.
9 resource for this: enterprise fund. Although there will not be sufficienf revenues at
10 first, by creating this fund, it will provide a snapshot of "subsidy" that is provided to •
1 1 these activities: Due ,to the ,complexity of this change, thin preliminary budget
12 does not provide for that accounting. and organization change.
13 ~ '
14 All Transient Occupancy Tax funds have been transferred to the General Fund..
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1:6 Some state `.impact has been. taken ;into account in this budget, but if .more
17 Vehicle License Fee funds are :removed; the budget will have a problem:
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19 Gener,.al Council discussion ensued regarding the need to have Communfy
20 Development as an .enterprise fund 'and questions as to if cost centers would
21 provide that needed information instead.- .Discussion continued regarding' street
22 maintenance funds and those funds that may be potentia_Ily under=funded; such
23 as Risk ivlanagernent, Workers' Compensation, Marina and Vehicles.
24 .
25 Council also noted the:. City has about 18%'i'n .reserves, which is very good.
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27 H'e then provided for the individual department budget presenfations: '
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29 B. Legislative and .Administrative. Department's
30 ~ -
31 City'Council
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33 City M'gnager Bierman gave an:~oyerview of the Cify~Council's proposed budget..
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35 Uice'Mayor Moynihan sugg'este'd a possible cap on medical benefits:and asked if
36 that would decrease the budget: - '
37
38 Council' Member Torliatt commented the 'City Council should be treated like the
39 other members of the: organization and she does not want to see 'the Council
40 move toward that type of discussion .at this time.
41
42 Mayor Glass indicated, he does not want "to see a cap ;for employees,and is not
. 43 supportive of decreasing their benefits,. 'which would in °effect lower their
44 paychecks: ~ _
45
46 Vice MayoY Moynihan added he would .like -the City ,Manager to 'look at a
47 Cafeferia Plan and capping' fhe benefit amount for'employ.ees, °He questioned
48 at what point •the Council would be looking .a't the whole benefit. package as•a
49 summary'document; - -
50
51 .City Manager Bierman- responded changes in. benefits is a ''meet and confer" '
52 item and cannot just be changed. He indicated he was currently putting
May 18, 2004 Vol. 40, Page 61
1 together the compensation package information and will bring it forward at the
2 appropriate time in the budget.
3
4 Council Member Torliatt stated she would hope that conversation takes place at
5 the end of the budget hearings and not during each budget presentation.
6'
7 Council Member O'Brien agreed with Council Member Torliatt and questioned
8 how much money is spent on in-depth requests by individual Council Members.
9
10 City Clerk
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" 12 City Clerk Petersen gave an overview of the proposed budget, indicating this
13 year's budget remains much the same as last year's. As it relates to the Elections
14 Budget, she indicated there is currently $50,000 budgeted for the election if three
15 Council Members at the upcoming General Municipal Election, but if one or
16 more of the proposed initiatives currently being circulated qualify for the ballot, it
17 could result in, the Elections Budget needing an additional $6,000 to $10,000 per
18 measure:
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20 C1ty Attorney
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22 City Manager Bierman presented the City Attorney's budget.
23
24 Vice Mayor Moynihan requested a summary of litigation costs to be brought to
25 the Councif soon with'the desire to track the cumulative amount.
26
27 Administrative Services
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29 Joe Netter, Interim Finance Director, gave an overview of the proposed budget
30 noting the change in the title of the department ~to Administrative Services rather
31 than Finance. He briefly described the proposed additions to the proposed
32 Administrative Services Department, noting it would: now consist of Accounting
33 Services, Human Resources, Transportation, Commercial Services, Information
34 Services and Risk Management.
35
36 City Council discussion ensued regarding how internal services funds are charged
37 to the various departments.
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39 ADJOURN
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41 The meeting adjourned at 7:40 p.m. .
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45 avid Glass, ayor "
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47 Attest:
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52 Ga le Pet rsen, City Clerk