HomeMy WebLinkAboutAgenda Packet 06/04/2001 (6) 6
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City of Petaluma, California;
Draft Minutes of.a Special
3 City Council Meeting
4
5 Budget Workshop
6 Thursday, May 17, 2001
7 Council'Chambers
8
9
10 The Petaluma City Council met at 7:00 P.M. on this date in the Council Chambers.
. 11
12 ROLL CALL
13
14 PRESENT: Vice Mayor Cader=Thompson; Council Members Healy, Maguire,
15 Moynihan, O'Brien; Mayor Thompson
16
17 ABSENT: Council Member Toriiatt
18
19 PLEDGE OF ALLEGIANCE
20
21 At the request of Mayor Thompson; Dick Lieb led the Pledge of.Allegiance.
PUBLIC COMMENT
24
25 Dick Lieb, 1 Highland Road, announced a ceremony renaming,Hill Plaza Park as Penry
26 Park, to take place Monday,,May 28, 2001.
27
28 Tom Healy, 304 Kentucky Street, spoke,regarding the importance of adequate funding
29 for City parks.
30
31 COUNCIL COMMENT
32
33 Vice Mayor Cader-Thompson asked that the meeting adjourn by 9:00 P.M.
34
35 UNFINISHED BUSINESS
36
37 1. Budget Workshop
38
39 Human Resources
40
41 Acting Human Resources Director Gene Beatty summarized the FY2001-2002
42 budget for the Human Resources Department, and described the restructuring of
43 the department, which involved the risk management and employee benefit
functions being reassigned to the Finance Department:
City of Petaluma, California
Draft Minutes of a Special
City Council Meeting
Thursday, May 17, 2001
Page 1
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1 Council Member Moynihan asked why the Human Resources Department was •
2 receiving Transienteccupancy Tax (TOT) funds.
3
4 Finance Director Bill Thomas explained that TOT funds were traditionally
5 allocated among various City departments.
6
7 Council Member Moynihan thought this was,improper use of TOT funds.
8
9 . Mayor Thompson reminded Council'that the meeting was a budget workshop; no
10 decisions°would be made.
11
12 Council Member Healy did not,understand the logic behind shifting money from
13 one area of the budget to another, if`the bottom line was the same.
14
15 Council Member Maguire pointed out that any activities involvingtourists also
16 involved City services — and would therefore be appropriate use of TOT funds.
17
18 Vice,Mayor Cader-Thompson thought that use TOT funds was intended to be
19 flexible.
20
21 Council Member Moynihan asked why TOT funds were not being discussed at
22 the meeting.
• 23
24 Finance Director Thomas thought that the TOT Subcommittee needed to
25 determine allocations before Council discussed TOT funds.
26
27 Council Member Moynihan asked that discussion of TOT funds be clearly
28 indicated on the agenda for the budget workshop following the meeting of the.
29 TOT Subcommittee.
30
31 City Manager Fred Stouder reminded Council that the City of Petaluma.receives
32 only one-half as much gas tax, per capita, as it did 50 years ago (adjusted for
33 inflation): He stressed that it.was not possible to reform the financial situation of
34 the City overnight, by "tinkering with the budget:"
35
36 Police Department
37
38 Chief of Police Pat Parks introduced the FY2001-2002 budget for the Police
39 Department, and noted some of the departments accomplishments during the
40 past year, which include reduction in crime and injury accidents. He noted that it •
41 was'a very difficult year for the City, budget-wise.
42
43 Council Member Maguire asked Chief Parks about the progress of the
44 Community Oriented Policing Program. •
45
City of Petaluma; California
Draft Minutes of;a Special
City Council Meeting
Thursday, May 17, 2001
Page 2
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Chief Parks explained that•it"was going well.
•2 Council Member Maguire thanked Chief Parks and encouraged him to "keep up
3 the good work."
4
5 Vice Mayor Cader-Thompson thanked Chief Parks and noted that the "good
6 atmosphere" at the Petaluma Police Department was largely due to his efforts.
7
8 Chief Parks noted the need for the City to increase revenues in order to build and
9 repair infrastructure.
10
11 Council Member O'Brien was very impressed with the Police Department's
12 budget and with what both the Police and Fire Departments accomplish.
13
14 Chief Parks thanked.Captain Steve Hood for his work on the budget.
15
16 Council Member Moynihan, noting that the benefits figure had increased 38%
17 since the previousiyear, asked Chief Parks if this was a reflection of the 3% at 50
18 retirement benefit.
19
20 Chief Parks replied that it was, and explained that this benefit was put into place
21 in lieu of salary increases.
Council Member Moynihan asked why the capital equipment amount was much
24 lower this year than last year.
25
26 Chief Parks replied that,last year's budget included funds for the CAD/RMS
27 system, even though the project was not completed last year as expected.
28
29 Council Member Healy announced that the Sonoma County Transportation
30 Authority (SCTA) Ad-Hoc Subcommittee met that morning. At that meeting, it
31 was announced that.Governor Davis might freeze previously allocated transit
32 funds. This could affect the Novato Narrows an d SMART projects.
33
34 Fire Department
35
36 Fire Chief Terry Krout noted that all City departments came together and worked
37 hard to produce a balanced budget for FY2001-2002. He'highlighted the
38 accomplishments and challenges the Fire Department faced during the year.
39
40 Council Member Healy asked Chief Krout if the Fire Department was
41 experiencing employee retention problems, and if so, wasthis•.due to housing
42 costs or other reasons.
43
• Chief Krout explained that several Fire Department employees are due to retire
in the near future. The Fire Department competes with twenty-one other
City of Petaluma, California
Draft Minutes of a Special
City Council Meeting
Thursday, May 17,2001
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1 agencies for employees. The 3% at 50 retirement benefit has helped attract and •
2 retain employees. Public Safety employees are movingfarther away from their
3 jobs to find affordable housing. He noted the Fannie Mae loan program available
4 for Public Safety employees.
5
6 CouncilMember, Moynihan asked how the goal of cross-training firefighters as
7 paramedics was progressing.
8
9 Chief Kraut replied that the Fire Department was making,strides with the
10 program.
11
12 Council Member Moynihan asked if Advanced Life Saving (ALS) equipment was
13 installed on all the Fire Department's engines.
14
15 Chief Krout,explained that a complex series if bureaucracies needed to be
16 navigated,before°this could happen.
17
18 Council Member O'Brien reiterated that he was impressed with the,Fire
19 Department's lean budget, and he appreciates the fine job the Fire Department
20 does.
21
22 Council:Member Healy asked Chief Krout if the seismic analysis of Fire Station •
23 #1' had been completed.
24
25 Chief answered that he had received the initial estimate from the engineer,
26 but the project had not progressed beyond that.
27
28 Vice Mayor Cader-Thompson explained that she had gone ona "ride-along"with
29 the,Fire Department,and was impressed at how well the Fire and Police
30 Departments worked together.
31
32 Recess: 7:53 P.M.
33 Reconvene: 8:01 P.M.
34
35 Finance Department
36
37 Finance Director Bill Thomas outlined the FY2001-2002 Finance Department
38 budget.
39
40 The financial management/payroll software system will be replaced. New
41 standards from the Governmental Accounting Standards.Board (GASB) change
42 the way cities must.present their financial statements: Funds have been allocated
43 for consultants to help the transition to the new format.
45 •45 Council Member Moynihan asked if the replacement of the financial
'City of Petaluma, California
Draf Minutes of a,Special
City Council Meeting
Thursday, May 17,2001
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management/payroll software could be "fast-tracked."
3 Mr. Thomas replied•that it was-preferable to convert to the new system at certain
4 points in the accounting cycle.
5 .
6 Council Member Moynihan was concerned about the reliability of the payroll
7 system.
8
9 Mr. Thomas agreed that the system was problematic, but assured Council
10 Member Moynihan that'the„problems were "workable" and back-up measures
11 were in place.
12
13 Council Member Healy asked the status of the cost'allocation.study.
14
15 Mr. Thomas replied that the study was still in process,.He expected it to be
16 complete within the next couple of weeks.
•
17
18 Council Member Healy asked for confirmation that the cost allocations in the
19 budget document were not taken from the cost allocation study.
20
21 Mr. Thomas agreed. The cost allocations in the budget document were from an
IIearlier study.
24 Council Member Moynihan asked for clarification of some cost allocation issues.
25 He mentioned the possibility of contracting out the liability area of Risk
26 Management once.Risk Manager Mike Acorne retires.
27
28 City Manager Stouder noted that the City had bought down the deficit on Risk
29 Management during the last two years.
30
31 Council Member Moynihan noted that the benefits figures in the cost allocation
32 summary were way up from last year.
33
34 Mr. Thomas explained that over $600,000 was placed there for potential
35 retirement payouts. These amounts were formally allocated to the individual
36 departments where retirements were anticipated.
37
38 City Manager Stouder pointed out that this was a common practice, and was a
39 funded liability.,
40
41 Mr. Thomas added that this was budgeted on an ''as you go" basis.
42
43 Council Member Moynihan asked if the City's PERS contribution was being
4 increased due to the 3% at 50 retirement benefit.
City of Petaluma, California
Draft'Miriutes of a Special
City Council Meeting
Thursday, May 17,2001
Page 5
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1 Mr. Thomas confirmed that it was. •
2
3 Council Member Moynihan asked if funds could be setasidefor thisin the future.
4
5 Mr. Thomas replied that if there funds to be set aside, they could be;.however,
6 local governments generally cannot afford to do this.
7
8 Council Member Moynihan asked if this issue was addressed in the cost
9 allocation study.
10
11 Mr. Thomas replied that it was not.
12
13 Vice Mayor Cader-Thompsomthanked Mr. Thomas for his work on the budget.
14
15 ADJOURN
16
17 The meeting was adjourned at 8:25 P.M.
18
19
20 E, Clark Thompson, Mayor
21
ak
22
23 ATTEST:
24
25
26 Claire Cooper, Clerk.Pro Tem.
27
28
29
30
31 -
32
33 * * * * * *
•
City of Petaluma, California
Draft Minutes.cf'a Special
City Council Meeting
Thursday, May 17, 2001
Page 6