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HomeMy WebLinkAbout2006-08-31 - Council MinutesCITY OF CORCORAN CITY COUNCIL BUDGET WORKSHOP August 31, 2006 The Corcoran City Council met on August 31, 2006, at city hall in Corcoran, Minnesota. Present were Mayor Cossette, Councilor Grabowski, Councilor Call to Order Lymangood, and Councilor Thomas. Also present were Administrator Vergin, Police Chief Gormley, and Public Works Superintendent Pat Meister. Councilor Roll Call Jacobs was absent. Mayor Cossette opened the meeting to order at 5:30 p.m. Review of Budget Mayor Cossette turned the meeting over to Administrator Vergin who provided a Review Proposed Budget power point presentation to the Council to walk through the budget as it is currently proposed. Reviewed in house planner and code enforcement services. By coordinating these two positions and contracting code enforcement to the Cities of Rogers and Loretto these two positions will be a net cost to the city of $45,100 annually or $16.45 an hour. Reviewed the option of a Registrars Office. It is recommended that the City continue to look at this, however nothing is being proposed in the 2007 budget for this. Addressed employee benefits. The currently proposed budget includes the buy out 100% of the comp time currently on the books. Would like to re- evaluate current benefits and look at converting to a PTO program (paid time off). Staff is consulting with outside consultants on this matter and will report back to the council at a later date. Reviewed the expenditure trends from 2002 to the proposed 2007. Addressed the rate of expenditures from 2006 year -end projection to the proposed 2007. Overall, the rate of expenditures is proposed to increase by 22.21 %. The 22.21 percent increase is primarily made up of an increase to road maintenance, the addition of the comprehensive plan update, the comp time buy out and the additional staff proposed for the police department. The primary revenue source to the City is property taxes. The current proposed budget reflects a 25.8% increase in the tax levy, with a 7.4 %^ increase in the tax rate. Administrator Vergin then asked for the council to address and comment on the four primary changes to the budget, road maintenance, in house planner, police department staffing, and the comp time buy out. Discussion ensued from the council. Comments and suggestions included splitting the comp plan update over two years; concern that the full council is not present; need to be proactive to bring in development and tax base; find other sources of revenues; create a comp plan fund to set aside monies each year; cut training and council salaries; look at 2.5% wage increase for staff rather then a 3 %; define a policy on how wages are set; cut council salaries then would consider reducing staff wages. The majority of the council agreed that they would prefer to retain the same tax rate as 2006, but would be willing to look at increases, depending upon the needs. Page -1- CITY OF CORCORAN CITY COUNCIL BUDGET WORKSHOP August 31, 2006 Prepare Additional MOTION by Lymangood, seconded by Grabowski, to direct staff to prepare a Budgets in $50, 000 budget that retains the 2006 tax rate, and then provide three incremental increases Increments of $50,000. Voting Aye: Cossette, Grabowski, Lymangood and Thomas. (Motion Carried 4:0) Adjournment Adjournment MOTION by Cossette, seconded by Grabowski to adjourn, 7:45 p.m., next meeting set for September 7 at 6:00 p.m. Voting Aye: Cossette, Grabowski, and Thomas. Voting Nay: Lymangood (Motion Carried 3:1) Susan Vergin, City Adn(inistrator Page -2-