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HomeMy WebLinkAbout11.21.16 Work Session Minutes CITY OF FARMINGTON CITY COUNCIL MINUTES WORK SESSION NOVEMBER 21, 2016 Mayor Larson called the work session to order at 6:00 p.m. Roll Call Present-Larson, Bartholomay, Donnelly, and Pitcher Absent-Bonar Staff Present-Administrator McKnight, Finance Director Hanson, Human Resources Director Wendlandt, Police Chief Lindquist, Parks and Recreation Director Distad, Community Development Director Kienberger and IT Specialist Boerboom Agenda Motion by Donnelly, second by Pitcher,to approve the agenda as presented. APIF, motion carried. 2017 Draft Budget and Tax Levy Finance Director Hanson presented the latest version of the 2017 budget and tax levy. The 2017 budget and tax levy are as follows: 2016 Budget 2017 Proposed Change Budget Expenditures $11,798,225 $12,203,490 3.43% Less Revenues -$3,051,055 -$3,107,737 1.86% Less Fiscal Disparities -$2,104,764 -$2,136,834 1.52% General Fund Levy $6,642,406 $6,958,949 Debt Levy $2,970,848 $3,037,903 2.26% Proposed Levy $9,613,254 $9,996,822 3.99% Since the last work session city staff has worked to lower the proposed tax levy from 4.94%to the current 3.99%. Some of the changes that were made include adjustments to: • Fines and Forfeitures Revenue • Building Maintenance • Fuel Budgets • Police Equipment CIP November 21,2016 Work Session Minutes -1- • Electricity/Natural Gas • Miscellaneous Areas The city council was comfortable with the changes proposed by city staff. The revised impact of the proposed 2017 tax levy on the average residential property is expected to increase$42.48. Human Resources Director Wendlandt provided background and reasoning for the proposed new IT position included in the 2017 budget. A power point presentation was reviewed that showed the expansion of the technology program in the city over the past decade,the work performed by other city employees in the IT area, how we have delayed the request for an IT position, some of the work not being completed in the IT area and more. Mayor Larson asked about an estimate of staff time spent by non-IT staff on IT issues. Staff estimated it is over 40 hours per week. Councilmember Bartholomay stated it would be nice to eliminate some of the dollars spent on LOGIS with this new position. It was the consensus of the city council to include the new IT position in the 2017 budget and bring the proposed budget and tax levy forward to the December 5, 2016 meeting as it was presented. Seal Coating Update City Administrator McKnight presented an update on the city sealcoating program. The city has had a seal coating program for many years with each street being seal coated every seven years. Five years ago the city council started budgeting$350,000 per year for the program. This amount was determined based on past costs to cover the cost of the program in seven year cycles. The current seven year cycle will end in 2018. City staff is projecting that there will be approximately$220,241 remaining in this fund at the end of 2018. Looking at the next seven year cycle, 2019-2025, staff anticipates that there would be another surplus in this fund if costs only increased 2% per year. There would be a projected deficit between $72,079 and $467,252 if costs increase between 2% and 5% per year. Between 2002 and 2016 the average increase is seal coating costs is approximately 4%. The consensus of the city council was to continue the program and look at increasing the amount budgeted per year starting with the seal coating cycle that begins in 2019. City Administrator Update Administrator McKnight presented an update on the following items. • Fire Officer Pay • Public Works Director Position Update November 21,2016 Work Session Minutes -2- • Police Study Schedule • 2017 Board/Commission Interviews • Planning Commission Items Adjourn Motion by Bartholomay,second by Donnelly,to adjourn the meeting at 6:50 p.m. APIF, motion carried. Respectfully Submitted David McKnight, City Administrator November 21,2016 Work Session Minutes -3-