Loading...
04/29/2013 - Minutes City of Tigard • t, !:low0 Budget Committee Summary Monday,April 29, 2013, 6:30 PM Public Works Auditorium,Tigard, Oregon 97223 MEMBERS PRESENT (10): Don Fisher, Marc Woodard, Melanie Boekee,Marland Henderson,Melody Graeber,John L Cook, Cameron James,Jason Snider, Gretchen Buehner, Clifford Rone MEMBERS ABSENT (0): STAFF PRESENT: Marty Wine,City Manager,Toby LaFrance, Finance and Information Services Director, Kent Wyatt, Sr. • Management Analyst,Liz Lutz,Confidential Executive Assistant,Liz Newton,Assistant City Manager,Tom Imdieke,Business Manager-PD, Sean Farrelly, Redevelopment Project Manager;Mike Stone, City Engineer 1. Call to Order-City Center Development Agency—Chair Melody Graeber called the meeting to order 2. Approval of Minutes from 4/22/2013-MSP 3. Public Comment None 4. Follow up on committee requests from 4/22/13 • Page 291,what is the $500,000 of Urban Renewal (UR)? Should it be in the CCDA Budget Document? Should the document reflect multiple years investment for CCDA budget? Can this be done? The referenced project is for Main Street Bridge Painting and Rehabilitation.The project is scheduled for FY 2015 with a total cost of$1,425,OOO,of which $500,000 is anticipated to come from Urban Renewal. If the CCDA Board does not feel that this is a good use of UR funding, or that there is not enough resources, they can instruct staff to seek other funding sources or postpone the project. In the Adopted FY 2014 budget document for CCDA,we will include future year use of Urban Renewal resources and will continue to present a multi-year look at the agency in future documents. Further financial study will be performed during the next year that will help place a long term focus • on the agency's finances. City of Tigard Budget Committee Page 1 i 10. Follow up on committee requests from 4/22/13 • Can Building Fund repay General Fund the $300,000 from FY2010? • It is the Finance Director's opinion that we cannot repay the General Fund$300,000 from the Building Fund. ORS 294.468 (3) says: `The payment of any operating loans not repaid in theyear or budget period in which the operating loan was made sball be budgeted as a requirement in the ensuingyear or ensuing budget period. "Since we didn't identify the transfer as a loan, and since we didn't budget for repayment the following year, I don't believe we can "repay" the money to the General Fund. I believe any transfer at this point would be viewed as an inappropriate use of Building Fund resources. If the Budget Committee wishes, I can test my interpretation with the City Attorney. • Update the Building fund revenue and activity information for the committee. This is addressed on pages 41 and 59 of the Proposed Budget document. Page 41 presents the recent history and forecast for the Building Fund and its fund balance. It does not go back as far as FY 2009 when the fund finished the fiscal year with a fund balance of$29. It does show that, since 2009, the fund balance has steadily grown with an increase in activities and the resulting fees. Page 59 presents the history on permit fees since FY 2009,including building fees. • Bring back the funding chart with$ instead of check marks. Staff will include this chart in the Adopted Budget Document. • Where is the recreation funding in the 2014 budget? The $60,000 recreation budget is located on page 143 of the Proposed Budget document,in the line • item`Professional Services'. The specific description is located in the detail reports in that section. The anticipated use of these funds will be implementation of recommendations from the current efforts to identify gaps in recreation programming and identify potential partnerships for recreational providers for those "gaps."We have created an inventory,researched and will continue to research in the next fiscal year the supply and demand in our community. We also need to understand what the city's role should be in the recreation arena. • Where is the $2 million Rate Stabilization Account for the Water Bond? The Proposed Budget Document incorrectly states on page 358 that the $2 million is in the Water Debt Service Fund. The Rate Stabilization Account is part of the Water Fund's $9.7 million fund balance. The account is in this fund because the $2 million intended to increase gross revenues in years where our net revenues are insufficient to cover 110% of the annual debt service. • Carryover items - can we get updates on their estimated $ amounts earlier so we are more prepared for the first quarter supplemental? Yes. Staff will bring a complete CIP carry forward to Budget Committee at our meeting on 4/29. There may still be additional carry forward items in the first quarter supplemental. It is the intent that, by bringing this earlier, the carry forwards in the first quarter will be minimized. • Healthcare-report back status of what we know regarding the full time benefit hours and 95% level. We are still researching this item and hope to have an email to you Monday morning. City of Tigard Budget Committee Page 3 Yes. The beginning fund balance in the Street Maintenance fee includes $260,000 from the supplemental. • • Why are there no FY 2012 actual costs on Page 276 for the Pavement Management Program? Our practice is to include prior year Revised and Projected amounts in the CIP at the Proposed Stage,but the actuals have not been reported. Prior year Actuals are documented in the Adopted CIP Document. The total amount spent in FY 2012 in the Pavement Management Program was $1,100,247. • City Budget—April 291h meeting discussion How has the electrical franchise fee increase been spent in the FY 2014 Proposed Budget? During the FY 2013 budget process the committee recommended that council raise the Electrical and Solid Waste Franchise Fees to 5% to offset some expenditure increases which made the 2013 revenue neutral. Beginning in FY 2014 the increased fee revenue would exceed the expenditures by about$400,000 per year. In the FY 2014 Proposed Budget, this money is in the undesignated reserve for future expenditures for the General Fund. If we didn't have the additional reserve, the budget would be sustainable for three years,not five because we would have less revenue. If we did want a five year sustainable budget,we would need to find cuts of$250,0004400,000 annually from the services we provide or we would need to take out a one-time expenditure-the only one we have in the General Fund is the repair of the exterior walls of the City Hall buildings. • Is there a process that would allow the budget committee to make changes?Yes,we are in the process right now. The committee can instruct the staff to use the money in a certain way,instruct we make changes and instruct them to create a budget without the$400,000 in the general fund. Staff recommends approval of the budget as proposed. Members of the committee would like to have the budget committee be able to use the $400,000 for one time expenditures or other things for this budget and future budgets as well. • It was moved and 2"d to recess the Budget Committee until Monday, May 6, 2013. 5 voted yes and 5 voted no. It was decided to recess. i Liz Lutz, Confidential ExecAve Assistant ATTEST: Cameron James, Secretary The next Budget Committee meeting will be held on Monday, May 6, 2013 at the Public Works Auditorium, beginning at 6.•30pm. City of Tigard Budget Committee Page 5