05/15/2000 - Minutes City of Tigard, Oregon
Budget Committee
Meeting Minutes
May 15, 2000
Members Present: Mike Benner, George Burgess, Craig Dirksen, Gene
Farnstrom, Paul Hunt, Brian Moore, Joyce Patton and Ken Scheckla.
Members Absent: Jim Nicoli and Darlene Stevens.
Staff Present: Dick Bewersdorff, Heather Burris, Jim Hendryx, Tom lmdieke,
Gary Lampella, Bill Monahan, Craig Prosser, John Roy, Nadine Smith, Paula
Walker, Michelle Wareing and Ed Wegner.
Visitor: Sue Beilke
Call to Order: The meeting was called to order at 6:30pm by Gene Farnstrom,
Chair. All members were present except Jim Nicoli and Darlene Stevens.
Approval of Minutes: The meeting minutes of May 8, 2000 were approved. MSP
Introduction: Craig Prosser, Director of Finance, introduced Heather Burris,
Senior Finance Assistant.
Library: Paula Walker, Circulation Division Manager, presented this budget unit,
which starts on page 76 of the Proposed Budget.
The Library budget does not include any major changes or expenditures. There
are two reasons for this. The first is that the Department is trying to save money
for construction of a new library building. The second reason is that the
reimbursement that the Library receives from Washington County Cooperative
Library Services (WCCLS) will decrease slightly in FY 00/01.
There are no Capital Outlay expenditures budgeted. No new FTE positions have
been requested. However, an additional .3 FTE has been added for additional
hours for two existing positions —Volunteer Coordinator and MicroComputer
Support Assistant. The goal of the Department is to maintain existing programs
at the current service level.
The Library Administration Division budget begins on page 77. This Division
includes the Library Director, Volunteer Coordinator and a Senior Administrative
Specialist. An additional .2 FTE is contained in this budget to increase the hours
worked by the Volunteer Coordinator.
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The Readers' Services Division budget begins on page 79. This Division budget
NOW contains the Reference Librarians, all Library programs and the Library collection
costs. There is an 8.1% increase in Materials & Services. About 5% of the
increase is for the purchase of Library materials to improve the Library's
collection. Paula noted that Library does receive a return on this investment
because part of the WCCLS reimbursement is based on the amount a library
spends on its collection. The additional increase is to cover part of the costs of
the Young Adult programs that were previously funded through a grant.
The Technical Services Division budget begins on page 80. This Division is
responsible for processing and cataloging all library materials. The
MicroComputer Support Assistant is also included in this budget unit. As
discussed earlier, the MicroComputer Support Assistant position will be
increased by .1 FTE. A goal of this Division is to decrease the amount of days it
takes to process new materials and get them out on the shelf for the public to
use. Paula noted that both Materials & Services and Capital Outlay have been
decreased from FY 99/00.
The Circulation Division budget begins on page 86. This Division is responsible
for checking-in and checking-out all materials in a timely manner. Materials &
Services has a decrease of 8.3% and no expenditures have been budgeted in
Capital Outlay. There is a 7.9% increase in Personal Services, which is due to
merit and step increases and benefit costs.
low Ken Scheckla asked what percentage of young people are using the Library and
has there been an increase since the Young Adult programs were instituted.
Paula responded that the Library does not have a precise way to track young
adult library usage. Paula noted that the Young Adult programs are not being
expanded. The added cost for these programs is due to the fact that a funding
grant has run out.
Gene Farnstrom stated that last year the Library was going through a difficult
software conversion. Gene asked what the status was on the system. Paula
responded that the system has been running smoothly for about 6 months. In
March, the system had an "up-time" of 99%. Paula noted that anticipated
upgrades will help provide better service.
Ken S. asked how WCCLS distributed reimbursements to the libraries. Paula
responded that reimbursements are based on a complex formula that includes
service area, collection size, circulation, hours the Library is open, etc. Bill
Monahan noted that 69% of the Library's budget revenues comes from the
WCCLS levy. Also, the WCCLS levy has been built into Washington County's
permanent tax rate. Before passage of Measure 50, the WCCLS measure had to
be renewed every three to five years.
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Community Development: Jim Hendryx, Community Development Director,
presented this budget unit, which starts on page 115 of the Proposed Budget.
Jim H. introduced his division managers— Dick Bewersdorff, Current Planning
Manager; Gary Lampella, Building Official; and Nadine Smith, Long Range
Planning Manager.
The Community Development Depart is comprised of four divisions —
Administration, Building, Current Planning, and Long Range Planning. The
Administration Division consists of the Community Development Director, an
Administrative Assistant and the Development Services Technicians. The
Building Division includes the Building Inspectors, Plans Examiners, and Housing
Inspector. The Current Planning Division is responsible for reviewing all current
development applications and also includes the Code Enforcement Specialist
position. The Long Range Planning Division includes future planning for next the
5 to 20 years, and the GIS mapping program.
Jim H. stated that the Community Housing Program that was implemented last
year has been successful. The Housing Inspector is responsible for ensuring
that multi-residential facilities meet the minimal living requirements set by the
City. Jim H. noted that he would be giving an update on this Program to Council
in June.
Community Development is responsible for overseeing all private and public
construction within the City and the Urban Services Area. The total population
served is approximately 50,000.
The total Department budget has been decreased by 9% from FY 99/00. This
includes a 10% decrease in FTE's. The reduction in staff is due to the removal of
vacant positions from the budget. It was determined that these vacant positions
would not be filled because of the decline in building revenues. Jim H. noted that
the Building Division is considering a 51% increase in building fees. Jim H. stated
that discretionary expenses such as training and purchasing were also reduced.
The Community Development Administration and Building Division budgets have
been decreased from FY 99/00.
The Current Planning Division budget has a minor increase due to cost of living
and wage increases.
The Long Range Planning Division budget has a large increase in Materials &
Services, which is due primarily to an increase in contract services.
Ken S. asked if the proposed fee increases were included in the budget. Craig
Prosser responded that fee increases and anticipated revenues were included in
the budget.
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*40W Gene Farnstrom asked why Rents & Leases line item on page 122 went from
zero to $34,430. Jim H. responded that the City decided to purchase the modular
building, that it had been leasing, and will pay it off over five years.
Public Works: Ed Wegner, Public Works Director, presented this budget unit,
which starts on page 93 of the Proposed Budget.
Ed introduced John Roy, Property Manager, who oversees the Parks, Street
Maintenance, Fleet Maintenance and Property Management Divisions. Ed noted
that Mike Miller, Utility Manager, who oversees the Water, Sanitary Sewer and
Storm Sewer Divisions, was not able to attend.
The Public Works Department is responsible for the maintenance and operation
of all City parks, streets, sewers, vehicles and buildings.
Ed stated that the Department's budget does not contain any large purchase
items or new FTE's. Ed noted that the largest equipment purchase budgeted is a
sewer cleaner. This expense is actually a carry-over from FY 99/00.
The Parks Division budget unit begins on page 90. There is a 48.5% increase in
Capital Outlay. The City's parks need to be upgraded to meet ADA requirements
and Phase 11 of the Cook Park Master Plan will be started in FY 00/01.
The Storm Sewer and Sanitary Sewer Divisions budgets include the shared cost
of the sewer cleaner discussed earlier. Ed noted that the Storm Sewer Division
would be starting an Adopt-A-Stream program. This Division will be working with
the City's Volunteer Coordinator to help create and implement the program.
Ed noted that USA sanitation fees would be increasing 2.5% beginning July 1,
2000. Storm Sewer and Sanitary Sewer both receive money from USA for
operating and maintaining the sewer lines.
The Street Maintenance budget begins on page 103. This is a maintenance
budget and no large purchase or new FTE's have been budgeted.
The Fleet Maintenance budget begins on page 106. This Division is comprised
of two mechanics and one coordinator and is responsible for maintaining all the
City's vehicles.
The Property Management budget begins on page 109. This Division is
responsible for maintaining all the City's buildings. The Capital Outlay's increase
of 36.9% is due to planned improvements to several facilities including new
carpet for the Senior Center and additional card locks at City Hall. The large
increase in Materials & Services is due to utility costs being transferred from
General Government and several projects that were "on hold" must now be done.
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The Water budget begins on page 112. Ed stated that the decrease in Materials
& Services is due to a reduction in the water costs for City of Portland water. Ed
noted that the Intergovernmental Water Board is considering a 3% increase to
water rates. The increased revenue will help pay for necessary improvements to
the water infrastructure and programs.
Joyce Patton stated that the Fleet Maintenance budget includes a parts washer
service contract. Joyce asked what this contract is. Ed responded that the City
used to have a machine in-house that cleaned parts and gears. Due to changes
in DEQ regulations, it was determined that it was more cost-effective to have an
outside service perform this task.
Ken S. asked if street sweeping was done in-house or if the City had a contract
with an outside provider. Ed responded that the City did a cost study eight years
ago and determined that it was cheaper to have an outside service do street
sweeping. The street sweeping contract was just recently bid out and the new
contract will be for three years.
A discussion regarding street sweeping and the service provider's obligations
ensued. It was noted that the City is not responsible if the street sweeping
provider does not adhere to all DEQ requirements for disposal of the collected
debris.
Craig Dirksen asked if the Land & Improvements line item of$90,000 in the
Parks budget on page 92 was the City's portion of the purchase of property for
Cook Park. Ed responded that the $90,000 is for improvements to the purchased
land and ADA upgrades.
The $136,000 in the Vehicles line item on pages 99 and 102 is the carry-over
cost for the purchase of the sewer cleaner discussed earlier.
Craig D. asked if a breakdown of the building improvement line item cost of
$182,500 on page 111 could be provided. John Roy responded that $125,000 is
for the HVAC replacement in the older portion of the Police building, and $13,000
is for a new roof for the niche. The rest of the cost is for carpet replacement at
the Senior Center, more card locks at City Hall, a new bathroom at Public Works
and more parking lot lights for City Hall.
Social Services and Community Events: Bill Monahan stated that the City
Council passed three resolutions that designated three community events as
City-sponsored events and set a base funding level. The three events and base
funding levels are Broadway Rose Theatre Company, $10,000; Tigard Festival of
Balloons, $10,000; and Tigard Fourth of July, $7,500.
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The Social Services Subcommittee recommended that $71,800 be distributed to
the social services programs. The amount remaining to be distributed was
$15,850. City Council reviewed the community events applications and
recommended the following grant distribution:
For the three City-sponsored events:
➢ Broadway Rose Theatre - $10,000
➢ Festival of Balloons - $10,000
➢ Fourth of July - $7,500
For the other community events:
➢ Tigard Graduation - $500
➢ Train Days - $4,000
➢ Tualatin Riverkeepers - $1,710
➢ Tualatin Valley Community Band - $1,250
The total grants to be allocated between Social Services and Community Events
is $113,060. Council had recommended to set aside $1,000 for Tigard Country
Daze, but Bill stated that the citizens, who had expressed interest in organizing
the Tigard Country Daze parade, notified him that they would not need the
money, since they were not going to do a parade this year. If the Committee
approves the above recommendations, than a total of$8,400 is left for the
Committee to allocate or it could be put into a contingency fund.
A discussion regarding the use of the remaining funds ensued. Several
Committee members expressed concern that if the funds are put into the General
Fund contingency, the money will be spent on non-social services or non-
community events. After much discussion, it was decided that the unallocated
amount would be placed into General Fund contingency, but would be
earmarked for Social Services and Community Event requests that might arise
during FY 00/01.
The Budget Committee approved the recommended allocations to the Social
Services and Community Events. A total of$113,060 was allocated and the
remaining $8,400 will be put into the General Fund contingency.
Bill Monahan recommended that the Budget Committee meet quarterly during
the fiscal year, so they can be kept apprised of the City's financial position and
could review any future Social Service or Community Event requests. The
Committee agreed to start meeting quarterly in addition to the May budget
approval meetings.
Debt Service: Craig Prosser presented this fund unit, which starts on page 175 of
the Proposed Budget.
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The General Obligation (GO) Bond Debt Service Fund includes $257,000
towards the bond that was issued for the building of the Civic Center in 1987.
This bond will be paid off in FY 2003. In FY 99/00, a loan transfer of$30,000
from the General Fund to GO Bond Fund occurred. This was necessary because
the GO Bond fund had been running in a deficit situation for the last three years.
The transfer of$31,500 to General Fund in FY 00/01 will repay this loan,
including accrued interest.
Bancroft Bond Debt Service Fund pays the debt service on outstanding
assessment bonds. An outstanding note related to the Dartmouth LID is included
in this fund. It is anticipated that a long-term bond will be issued to pay for this
note once the legal issues surrounding the Dartmouth LID are settled.
Proposed Budget Adjustments: Craig Prosser stated that during the budget
process a total of six budget amendments were identified. The proposed budget
amendments are as follows:
1. Insurance rates were budgeted using projected rates provided by CCIS.
Now, the City has the actual rates. Also, it was discovered that the worker's
compensation code rates were not being applied correctly to some of the
positions. These adjustments increase total costs by $15,231.
2. The Executive Assistant position in the City Management budget is being
reclassified to a lower Administrative Assistant II position. Also, the position
will be increased from .7 FTE to 1 FTE. These adjustments decrease total
costs by $965.
3. A Management Classification/Compensation Study has just been completed.
This Study recommends several new salary rates for specific staff positions.
If Council approves these new salary rates, the increase to the total budget
cost will be $59,714.
4. The Street Sweeper contract was bid out in FY 99/00. The Streets Division
budgeted $111,650 for the contract. However, the lowest bid received was
$118,497. An additional $6,847 needs to be added to the Streets budget to
cover the higher cost.
5. The Police Department was recently awarded a two-year grant to fund a third
School Resource Officer position. The grant will pay the full cost of this
position in FY 00/01 and FY 01/02. The General Fund needs to be increased
by $68,189 to offset the expenditure in the Police Department budget.
6. Several changes were made to the Capital Improvement Program (CIP)
projects and these changes need to be reflected in the Proposed Budget.
Ken S. asked if the $118,497 for the street sweeping contract was for one year or
three years. Craig Prosser responded that it was the cost for one year of the
contract.
Mike Benner asked if the $68,169 for the officer position was the total cost for the
position. Craig P. responded that total actual cost is approximately $80,000.
However, since the officer will not start until September, the position was
budgeted as a .83 FTE for FY 00/01.
George Burgess asked how many positions would be affected by the salary rate
changes mentioned in Amendment 3. Craig P. responded that approximately 10
to 15 classifications' salaries and benefits will be adjusted.
A discussion regarding the $125,000 that was set aside as computer reserve
followed. It was noted that the reserve goes into the ending fund balance, which
is carried over into the next fiscal year's beginning fund balance. The reserve
fund cannot be spent until it is appropriated during the budget cycle.
State Revenue Sharing Hearing_: Gene Farnstrom opened the State Revenue
Sharing Hearing to the public at 8:10 p.m.
Craig Prosser stated that the City would receive $205,800 in State Revenue
Sharing Funds for FY 00/01. These funds will be placed into the General Fund
and used for General Fund programs.
Craig P. noted that the City will also receive three other State funds, but they are
not subject to the State Revenue Sharing Hearing. The funds are as follows:
Cigarette Taxes - $93,043; Liquor Taxes - $302,002; and State Gas Taxes -
$1,726,129.
There was no comment from the public regarding the State Revenue Shared
funds.
The State Revenue Sharing Hearing was closed to the public at 8:12 p.m.
Other: Craig Prosser stated that a letter from a citizen had been included in the
Committee's packet. The citizen, Sue Beilke, had expressed concern that the
City did not have a natural resource (biologist/botanist) position on staff. Craig P.
noted that Ms. Beilke would be attending the meeting tonight, but was told to
arrive around 8:30 p.m.
A discussion regarding the City's need for this position, possible conflicts, and
the timeliness of the request ensued. It was decided that it was too late in the
budget process to consider adding such a position in FY00/01. City staff will be
directed to further investigate the need for and the cost of a natural resource
position.
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Paul Hunt asked if$400,000 was set aside for a new library reserve. Bill
Monahan responded that on page 181, it shows that $200,000 has been
allocated to reserve. An additional $200,000 has been budgeted in the Facility
Fund for future project costs.
Public Comment: Sue Beilke, citizen, stated that she was concerned that the City
did not have a natural resource position on staff. The City has many projects that
could have potential effects on the City's natural resources. An in-house position
would be able to provide input on the projects to help preserve the resources.
Ms. Beilke noted that the position could inventory the City's natural resources
including plants, trees and animal species. Ms. Beilke stated that the cities of
Beaverton and Lake Oswego have a natural resource position on staff.
Brian Moore stated that the Committee had discussed Ms. Beilke's request
earlier and had decided that it was too late in the budget process to consider this
position for FY 00/01. Brian noted that the Committee did recommend that City
staff be directed to further investigate the need for this position, related costs,
and potential problems.
Budget Approval: Craig Dirksen motioned that the Proposed Budget with
adjustments be approved. Joyce Patton seconded the motion. All Committee
members were in favor. The Proposed Budget with adjustments was approved.
MSP
The Budget Committee was adjourned at 8:45 p.m. MSP
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