04/27/1998 - Budget Minutes f
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TIGARD WATER DISTRICT
BUDGET COMMITTEE MEETING
APRIL 27, 1998
MEMBERS PRESENT: David Strauss, Gretchen Buehner, John Haunsperger,
Beverly Froude
BUDGET COMMITTEE PRESENT: Wally Groce, Noel Johnson, Rod Kvistad, Randy
Livingston, Betty Thatcher
MEMBERS ABSENT: Norm Penner
STAFF PRESENT: Mike Miller, Wayne Lowry
VISITORS:
The Tigard Water District Budget Committee meeting was called to order at 6:00 p.m., at which
time the meeting was turned over to the committee chairman David Strauss. Chairman Strauss
introduced the 1998-99 budget committee members, Wally Grouse, Noel Johnson, Rod Kvistad,
Randy Livingston, and a missing member. Commissioner Strauss added to the budget letter that
it is a simple budget, as we are not an operating body as far as operating a water department. We
are an administrative organization to look out for the interest of the people who are in the
unincorporated area of Tigard, and served by Tigard. He added that his opinion of a budget is a
guideline. It's not where every dollar goes, but a guideline where figures can be moved within the
budget. At that time, Commissioner Strauss turned the meeting over to Wayne Lowry, Finance
Director for the City of Tigard.
Mr. Lowry stated that the budget this year is almost a carbon copy of last years budget. The basic
fund is the Tigard Water District General Fund. Three or Four years ago there was a service levy
debt that had to be approved as a budget committee. That levy has matured and has been paid,
which leaves us the General Fund. There are two revenue sources. In your agreement with the
City of Tigard, Durham and King City have a similar agreement, you receive one percent of the
water sales in your area as revenue, like wise checks are sent to the City of Durham, and City of
King City for 1 percent of water sales in their area. The City of Tigard is keeping your books,
we do a journal entry to include that revenue in your budget. That figure this year is $9,300.00,
which looks like a huge increase over last year, but the actuall one percent that we gave you this
fiscal year was $9,200.00. Which is larger than was anticipated for the budget. We invest your
funds, including your funds with the city funds for investment purposes. Your allocated interest is
approximately $1,500.00. The other large balance carried forward is $35,000.00. In the original
agreement between the district and the city, there was $30,000,00 placed in the account for your
board when the withdrawal from the district took place. The total resources for this coming fiscal
year is $45,000.00. Your have no employees, no personnel costs, and no capitol outlay,for
equipment or improvements. $18,240.00 is in the budget for materials and services, 15,percent
of that amount has been set aside a contingency. With the contingency amount in there, the
Tigard Water District Board by resolution can get to $2,700.00 without re-authorizing. The
Tigard Water District Budget Committee-04/27/98
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contingncy is for items that come up unexpected, you are giving the board the authority to spend
the additional $2,700.00. Mr. Lowry opened for questions. Gretchen asked on the boundary
commission dues, if the boundary commission is going out of existence this year, and we are on
fiscal year, do these dues reflect the budget for calendar year 1998, or for the fiscal year? Wayne
stated that the city and the district notices are sent here, and we budget for the city budget. He
was not sure when exactly the boundary commission is going out of existence. Gretchen stated
September 30, 1998. Gretchen also asked how Wayne Lowry is paid? He stated that he gets paid
out of the meeting staff support. Also Nancy Johnson who puts the budget together, her time as
well as Wayne's is charged to that account.
Beverly Froude asked where the $9,300.00 is? Wayne stated that it is in the revenue. He
explained that $8,300.00 was budgeted for the current fiscal year, but $9,300.00 is budgeted for
the coming fiscal year because this fiscal year. The 19 percent was $9,200.00, That fluctuates
based on water sales, within your boundaries.
Gretchen Buehner asked how much territory did we loose this year due to annexation? Mike
stated that he doesn't know the total acreage. It didn't amount to a lot, because a lot of the
parcels that were annexed were single family residential, and there was also a lot of growth. It
was asked if there was a reason why there is such an increase in the meeting staff support? Mr.
Lowry stated it all depends on what the board plans to do. If you need staff people to come and
present presentations about various issues, it will be higher. We are trying to provide enough
dollars to get the job done. Mr. Strauss asked if they were speaking of the $5,000.00. Mr.
Strauss stated that in the letter in the second part of the first paragraph that he requested an
increase in that fund and keeping the high figure for public relations. My reasoning is with the
Willamette River project going on, investigating the new water sources, I feel there may be a
great deal of meetings, and staff time. John Haunsperger stated that their meeting were every
other month, but with all the activity with the Willamette Water actions taking place, we have
increased our meetings to once a month. It is necessary to have more staff time. It was asked by
one of the budget members, how much interest the Tigard Water Board has when it comes to the
Willamette Water? Mr. Haunsperger stated that they can give their opinions, and advice.
Commissioner Froude stated that we have one member on the Intergovernmental Water Board,
which represents King City, Durham, Tigard, and TWD and we give our information to that
person. Also anyone is welcome to come to the Intergovernmental Water Board meetings, and
speak. We do have direct input to the Intergovernmental Water Board. We can also follow up by
going to the city when they make a decision. On an agenda item, we can go and say what we
want as a board, or as a citizen. We are pretty well informed as to what is going on.
Mr. Lowry pointed out to the board what the actions of the meeting tonight are needed to as a
committee; pass a motion to approve the budget as proposed, or as amended. We will then
advertise a meeting of the Board, and have another hearing sometime in June, and at that hearing
the Board will actually adopt the budget. The Board can amend the budget at that time also.
Commissioner Strauss asked about engineering services. He stated that we are down to. a,
$2,500.00 in engneering services, and there is no history in the past two years of spending the
money. His question was why do we need engineering services? Commissioner Haunsperger
Tigard Water District Budget Committee-04/27/98
stated that it was a carry over from the past when they did use engineering services, and have
never gotten rid of it. Mr. Lowry stated that when the withdrawal of the district took place that
board was thinking that they may want to hire their own independent engineer. Commissioner
Buehner stated that now would be the time that we would want that money available in case we
want someone else to come in and take a look at the plans. Commissioner Strauss made a
suggestion that the figure be reduced since it has not been used, and that it would still remain in
the budget, and can be moved. He suggested that the amount be reduced to $1,000.00.
Commissioner Buehhner stated that hiring an outside engineer is expensive, and the figure
allocated is very conservative. It was stated that they may need engineering services withn the
study of the Willamette River. It was stated by a Budget Committee member to leave it another
year.
Commissioner Strauss questioned the $800.00 as an election expense, and no elections are
planned for this year, also, under advertising, publication for unplanned elections. Again, if no
elections are planned for this year, it should be put in the contingency fund for planned elections.
Mr.Lowry stated that the $800.00 was an oversight, and should have come out. Commissioner
Haunsperger stated that he is up for election in 1999. It was suggested to leave the money in
there. Commissioner Strauss asked for other questions or comments on the budget. It was
questioned, in terms of public relations, there has never been anything sent out from this board to
people paying taxes. Commissioner Froude stated that one letter was sent. She also stated that
everyone in the Tigard Water District should have received a blue flyer about the Willamette
River, and said it would be a good idea to keep the funds in there, as there may be more
information sent out. Commissioner Haunsperger asked Mike Miller how much of the money was
spent? Wayne Lowry stated that in 1996-97, there was $1,261.00 spent. Wayne Lowry stated
that if the budget were to be adopted as proposed, you are going to have an ending balance the
beginning of next year of$24,000.00, if all moneys in the budget were spent. Commissioner
Buehner asked if the attorney services mentioned, are the Tigard attorneys, or outside council? It
is outside.
With no further questions, Commissioner Strauss asked for a motion to recommend this budget to
the Tigard Water Board. A motion was made, and seconded. Motion carried.
Commissioner Strauss thanked the members of the Budget Committee, and the city staff for all
their work.
John Haunsperger encouraged everyone to attend the Tigard Water District meeting.
The Tigard Water District Budget meeting was adjourned at 6:35 p.m.
Tigard Water District Budget Committee-04/27/98