HomeMy WebLinkAboutBudget/Finance Committee Minutes 04.15.2004MEMBERS PRESENT:
OTHERS PRESENT:
MINUTES
BUDGET/FINANCE COMMITTEE
April 15, 2004 5:30 P.M.
COUNCIL CHAMBERS
Chairman Mark Mace
Gay Easton
Mary Embleton
Steve Klotz
Kate Stevenson
Nathan Tubergen
Doug Poehls
The Budget/Finance Committee meeting was called to order by Chairman Mark Mace at
5:35 p.m, to discuss the following Preliminary budgets:
City Parking Fund
Street Maintenance District Fund
Gas Tax Fund
Light Districts #2 and #3 Funds
Sweeping District Fund
Solid Waste Fund
No public attended to off~ comment.
Public Works Director Steve Klotz explained that the City Parking Fund is used when
cash is paid to the city in lieu of a business providing the required amount of parking for
their business. He would like to use the proceeds to rejuvenate the city parking lot across
the street fi~om city hall.
Light District #2 is the residential lighting district. Light District #3 is the commercial
district. The Main Street Improvement project will add a little more cost to District #3
with the decorative lighting. Steve will check with the power company to see if there
will be any significant increases in electricity costs.
The Street Maintenance District may have an increase in revenues if the council
chooses to raise the maintenance assessment. A roller is scheduled to come out of the
current year CIP. There are no major O&M increases, except in persounel costs. The
East First Street project debt service is still being worked on, plus have enough to be able
to do about $200,000 worth of street work per year. This fund works in conjunction with
Gas Tax.
A reserve for replacement in the Sweeping District Fund needs to be established.
Capital replacement for the existing vacuum sweeper can be set up with existing funds.
There is a need for a mechanical sweeper for the residential area, and to pick up heavier
debris such as chips during street work. There may be a pollution grant available to assist
with these capital needs. Discussion followed regarding storm sewers, tree replacement,
and "Tree City" status.
Budget Work Session
April 15, 2004
Page 2
In the current Gas Tax fund, an asphalt miller is slated to be purchased before year-end.
A trailer-type machine is what the city will put out for bids, new or used. There are state
code restrictions on the amount of money that can be spent on capital assets from the Gas
Tax Fund. Last year, the combined resources fi~om both Gas Tax and Street Maintenance
was about $270,000, of which, only $10,000 was available for construction. Revenues
for the Gas Tax fund will not increase until the city annexes surrounding properties to
increase the number of miles of streets and alleys the city maintains. Steve would like to
phase out the use of metal culverts in the city.
Steve has submitted a new roll-offcontainer truck request in the Solid Waste 04-05
budget. A new collection truck was purchased this year, and Steve would like to set up a
3-year replacement schedule with a 6-year effective life per truck. Currently, revenues
meet O&M, but there is very little excess to set aside for capital replacement. But before
the city considers a rate increase, Steve would like to modify the current rate structure.
He has reviewed the current structure, which converts weight to volume, with the fees
being based on volume. There is also a commercial rate and a residential rate. Where an
adjustment may be needed is in how the rates are applied to the commercial users,
especially the ones with multiple cans. Steve would like to see this fund generate an
additional $30-40,000/year.
The meeting adjourned at 6:50 p.m.
Respectfully Submitted,
ton
Clerk/Treasurer