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HomeMy WebLinkAbout2007-08-16 - Council Minutes CITY OF CORCORAN CITY COUNCIL BUDGET WORKSHOP August 16, 2007 The Corcoran City Council met on August 16, 2007, at city hall in Corcoran, Minnesota. Present were Mayor Guenthner, Councilor Grabowski, Councilor Workshop Opened Hudok, and Councilor Thomas. Councilor Jacobs arrived at 6:55 p.m. Also present was Administrator Vergin, Police Chief Gormley, and Public Works Superintendent Roll Call Pat Meister. Mayor Guenthner opened the meeting at 6:30 p.m. MOTION by Grabowski, seconded by Hudok, to approve the agenda as presented. Approval of Agenda Voting Aye: Grabowski, Guenthner, Hudok and Thomas. Follow Up to Goals and Objectives Identified by Council Goals & Objectives Administrator Vergin provided a summary to the items that had been previously Follow Up identified by the City Council. 1. Comprehensive Plan process and costs for 2008 - We have preliminary budgets that were prepared by Planner Lindahl and Engineer Vander Top while preparing the 2007 budget. Planning was set at $35,700 and engineering was set at $30,800 (including surface water management plan). This was a total of $66,500. The City received an interest free loan of $40,000 to be paid back in 2009. The City has also received a grant of $20,000 for the storm water management plan. In 2007 the City budgeted a total of $30,000 for the comp plan, but utilized the loan to offset that expense to the City and actually identified a positive cash flow in of $10,000. Because our planning situation has changed and additional discussion continues with the Council, I believe this is an area where we will want to budget for, but note that if planning and/or engineering services change there may be impacts to the budget that will most likely not occur after September 13. 2. Public Works feasibility study for a facility - The City of Medina was contacted about their recent study and was informed that they hired a firm for $25,000 to analyze all three departments and facility needs. (City hall, Police and Public Works). This was approximately a one year process, which identified space, equipment and land needs, as well as where the priorities were. 3. Discuss feasibility of funding park recreation complex facility - Park dedication fees can be used for this purpose. 4. Financial model for conversion of current time off benefits to the proposed PTO based on current employee database - Still in process. 5. Look at how the City spends money - Councilor Jacobs had prepared data on planning and engineering services, and suggested that we consider consolidation of those services including code enforcement with Gartner Engineering, providing a monthly retainer of $12,000. Staff is compiling data to provide a clearer comparison of the past four years expenditures as they relate to the type and number of projects that we have seen, as well as revenues that the city received. We are also doing comparables with other cities similar to Corcoran. 6. Focus on gravel budget - Meister has prepared a one-page summary indicating that the cost to the City to bring all the roads up to the required standard would cost the city $687,792. 7. Look at an in house planner to augment the current planner - This relates back to item #1 and item #5. The City needs to determine how they will provide these services. Again, staff is compiling data for further review by the council, but anticipates that any final decision will not take place until Page -1- CITY OF CORCORAN CITY COUNCIL BUDGET WORKSHOP August 16, 2007 after the preliminary levy is set. Therefore the City needs to be cognizant of that and make sure that an appropriate level of funds are set aside. 8. Address escrow monitoring and the co-mingling of funds – The Administrator has met with the City attorney on this matter and have had some suggestions. Anticipate that this will be addressed at a September Council meeting – this process should not have an impact on the budget. 9. Code Enforcement Position – this depends on what happens with the planner position. Overview of Proposed Department Budgets Overview of Department Budgets Public Works: Public Works Superintendent Meister provided an overview of his budget. Looking at increasing the gravel budget, dust control is being reduced due to the single application now being done, included funding for bridge repairs, asphalt maintenance is also being increased slightly. The Council addressed the maintenance of gravel roads. It was concluded that staff should look at a new plan for acquiring gravel. Identify the number of tons that are needed to obtain the inches of gravel necessary on the roads, rather then a fixed dollar amount. Bid the material in the late summer so that the amount is known when the budget is being prepared. Look at extended bid periods, such as materials for a two plus year period to get a better rate. Look at how that will impact, negative or positive, the city’s cash flow. Plan should mitigate any risk to the City. Councilor Jacobs arrived. Briefly addressed the Shannon Lane bridge. Meister was directed to address this further with Engineer Vander Top and bring it back to the Council at a future council meeting. Addressed the recent paving project that was jointly done with the City of Medina and Corcoran on Hackamore Road. Addressed recycled shingle asphalt as an alternative material for paving roads. Does not appear to be a good option based on experiences from other communities. Police Department: Chief Gormley provided an overview of his budget. Key issues are creating a full time clerical position and the addition of one more full time officer. There has been some shifting of line items in the budget that previously had been identified outside of the department budget. These include room and board for prisoners and criminal prosecution. Overall the Police department budget is seeing a 21.5% increase. There has been a dramatic increase in fine revenues that will help offset the increase. Administration: Administrator Vergin provided an overview of the key changes. The largest one being the health benefits. Proposing to shift one part time position to a full time position and reduce the hours of another part time position. Looking to outsource the preparation of minutes for planning commission meetings as well as the city council. Noted that with the new building inspection services, the allocation to the inspector will increase by approximately 57%. Overall seeing an approximate increase in the operating budget of 10.6%. Discussed whether the city should maintain trails during the winter months. It was Page -2- CITY OF CORCORAN CITY COUNCIL BUDGET WORKSHOP August 16, 2007 the consensus that the city will not maintain trails during the winter months, and trails will be posted notifying the public of that. Professional Services – Discussed the option of employing someone for the planning and engineering services, or utilizing Gartner Engineering on a retainer based option. With one central person doing the review you can simplify the process. Concern that concentrating the services/functions to one person may not be the best choice. It was the consensus of the Council to have Planner Gartner to present his proposal to the council at the next budget workshop. Goals and Objectives – Briefly identified status of these items. Summary of Goals & Comp Plan Cost – outline of process and costs need to be provided by staff. Objectives Status Public Works Facility – still needs more discussion. Park Complex Facility Feasibility Study – can be funded by park dedication fees. PTO Financial Model – in process. How City Spends Money – ties to other activities. Gravel Budget – need to address further. In-House Planner – will be part of presentation by Planner Gartner Escrow Funds – staff will provide a presentation at the September 13 council meeting. Code Enforcement Position – needs further discussion on how these functions will be carried out. Identify Outstanding Issues Outstanding Issues Items still remaining include revenues, planning services, comprehensive plan budget and timeline, and benefits. Also noted that at the next workshop will hear from Planner Gartner on his proposal. Schedule Next Workshop Schedule Next Workshop The budget workshop will be continued on Monday, August 27 at 6:30 p.m. Mayor Guenthner recessed the budget workshop at 8:40 p.m. Recessed Workshop ______________________________ Susan Vergin, City Administrator Page -3-