Loading...
HomeMy WebLinkAbout10.10.16 Work Session Minutes CITY OF FARMINGTON CITY COUNCIL MINUTES WORK SESSION OCTOBER 10,2016 Mayor Larson called the work session to order at 6:32 p.m. Roll Call City Council Present-Larson, Bonar and Pitcher Absent-Bartholomay and Donnelly Parks and Recreation Advisory Commission Present-McMillan and Johnson Absent-Moore, Carpentier and Haley Staff Present-Administrator McKnight, Engineer Schorzman, Finance Director Hanson, Police Chief Lindquist, Fire Chief Larsen, Parks and Recreation Director Distad Agenda Motion by Bonar,second by Pitcher to approve the agenda as presented. APIF, motion carried. Park Improvement Fund and Park Master Plans Parks and Recreation Director Distad reviewed the status of the Park Improvement Fund and the park master plans. The city has spent approximately$2.5 million in park improvements over the past decade. There are approximately$21.7 million in remaining projects to be completed in our 23 parks. The two referendum questions could reduce that amount of remaining project dollars need by half. Distad reviewed the current five year park improvement plans and the liquor store contribution history. The$40,000 donation from the liquor stores to complete the trail loop on Highway 3 was added to this list. There are two park master plans that are currently on hold. Mayor Laron asked how much have we spent on park master planning. Distad estimated approximately$5,000 per park. The current balance in the park improvement fund is $265,148.14 with $129,266.20 not designated toward any specific park. Park and Recreation Advisory Commission Chair McMillan thanked the city council for taking the time to meet. The commission is trying to keep the parks up to date and city surveys show the importance of parks and trail to our residents. October 10,2016 Work Session Minutes -1- Councilmember Bonar asked if we have a current age on all of our equipment. Distad responded that we would have to look at the schedules to see when parks were updated last. Bonar also asked if we refurbish equipment. Distad stated it was something we could look at. Bonar asked if we issued a$21 million dollar bond how much would the yearly impact be on the budget. City Administrator McKnight replied that it would be at least$1.5 million dollars per year based on 15 years. Distad offered the idea of taking$2,500 per year from the tax levy and$2,500 per year from liquor store profits per park to start to address the funding issue since development is not bringing in the types of dollars it used to. Bonar offered that we are already ten years behind on setting money aside for our facilities. Finance Director Hanson stated that this proposal was basically a capital improvement plan for parks equipment. Bonar stated that our debt is hindering our ability to be flexible with dollars. McMillan asked when the debt rollercoaster reached its peak. Staff responded that this will occur in 2020-2021. Engineer Schorzman stated that development is not our way out of this issue. Growth will add to this burden. He recommended that the commission and city council need to look at the prioritization of the dollars already spent in this area. The pool is subsidized up to$70,000 per year. Bonar asked what is the cost of the recreation side of parks and recreation. Distad replied in general it is the administrative costs of the department. All in attendance agreed that there is more discussion to occur on this issue and that dollars are limited. Recreational Facilities Referendum Discussion The upcoming public meetings on the November referendum were discussed. Some commission members and city council members will try to be in attendance at these meetings. The information that will be presented at the meetings is already available on the city website. 2017 Fee Schedule McKnight reviewed the proposed 2017 fee schedule. There are 18 proposed changes, new fees or fee eliminations in the proposed schedule. Department heads reviewed each of the 18 proposed changes with the city council. There were minor questions on some of the proposed changes. October 10,2016 Work Session Minutes -2- The city council was comfortable with the proposed changes. This item will be placed on the October 17,2016 city council agenda for consideration. 2016 Expenditures Discussion McKnight reviewed the status of the 2016 budget to date with the city council. At this point staff is projecting a $415,000 surplus at the end of the year. Staff is proposing to spend some of these dollars to achieve the following goals: 1. Purchase needed items now/set aside dollars for known future projects. 2. Remove these potential purchases from the 2017 and 2018 budgets. 3. Keep the General Fund balance at 40%. 4. Strengthen the draft 2017 budget. 5. Reduce the 2017 proposed tax levy. Since the draft 2017 budget is increasing over the 2016 amount we would need to use some of the anticipated surplus to keep the fund balance level at 40%. The city council is aware that a fund balance is needed to have dollars to pay the bills for the first six months of the year. With this in mind the anticipated $415,000 surplus needs to be reduced by$179,061 which leaves $235,939 to be considered. City staff proposes the following projects/designations be considered by the city council: 1. Police Department Purchases-$65,000 2. Emerald Ash Borer Costs-$45,000 3. Building Fund Transfer-$40,000 4. Employee Expense Fund (Compensated Absences)-$50,000 5. Downtown Development Plan-$36,969 In addition to the proposing these one-time expenditures,staff is also proposing to reduce the draft 2017 tax levy by making the following changes to the 2017 budget: 1. Reduce Fines/Forfeiture Revenue-($12,000) 2. Reduce the Building Fund Dollars Associated with Fiscal Disparities Correction-$59,754 3. Reduce Fuel Budgets-$25,000 4. TBD Reductions-$18,953 These adjustments will reduce the proposed 2017 tax levy increase from a 4.94%increase to a 3.99%increase. The city council was in support of the proposed spending and tax levy reduction. Staff was instructed to obtain a cost for a building maintenance study. The cost of the study would likely come from the Downtown Redevelopment Plan line item. October 10,2016 Work Session Minutes -3- Bonar inquired about the status of the proposed IT position in the 2017 budget. McKnight replied that it is still included in the budget at this time. Bonar asked for additional information on the reasoning for this position. The city council and staff discussed this position,the tax levy and a potential future fire inspector position. Adjourn Motion by Bonar, second by Pitcher,to adjourn the meeting at 7:58 p.m. APIF, motion carried. Respectfully Submitted David McKnight, City Administrator October 10,2016 Work Session Minutes -4-