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08-21-1991 Study SessionCITY OF RICHFIELD, MINNESOTA CITY COUNCIL STUDY SESSION August 21, 1991 MEMBERS PRESENT: Martin Kirsch, Mayor; Michael Sandahl; William Bullock; and Kristal Stokes MEMBERS ABSENT: Ivan Ludeman STAFF PRESENT: James Prosser, City Manager; Steven Devich, Administrative Services Director; Donald Fondrick, Community Services Director; Byron Wallace, Community Development Director; Jean Mitchell, Finance Manager; Barry Fritz, Police Captain; William Fillmore, Liquor Operations Director; Scott Williams, Planning & Research Specialist. The meeting was called to order by Mayor Kirsch at 6:00 p.m. Item #I 1991 REVISED AND 1992 PROPOSED BUDGET REVIEW AND LEVY DISCUSSION City Manager Prosser presented an overview of the budget, stressing that the 1992 budget is roughly at a level of the 1990 Budget. He stated that the budget reductions have had to incorporate personnel cutbacks, including some layoffs. However, most personnel reductions are to be accomplished through attrition. Each Department Director summarized personnel adjustments in their respective departments. City Manager Prosser reviewed graphic comparisons of the City°s General Fund Revenues, Personal Services Costs, Local Government Aids, General Fund Expenditures and related items. City Manager Prosser reviewed the Legislative/Executive Department of the General Fund. He indicated that an unallocated portion of the Other Agencies budget would be specifically allocated at a later date. Administrative Services Director Devich reviewed the Administrative Services Department budget. He indicated that the only area that was outside of the normal expenditure level was the Elections Division because of the 1992 Elections including the new presidential primary. All other aspects of the department°s operations have been reduced to fit within the budget reduction guidelines. One part time person in Finance was layed off, one position in Administration was reclassified, and one part time position in City Clerk Division was eliminated. Study Session Minutes -2- August 21, 1991 Public Safety Director Erskine reviewed the Public Safety Department budget. Mr. Erskine stated that two positions in the Police Division will not be filled. Some officers previously assigned to inside activities will be reassigned to street - patrol. In addition, a police agent position will be used for training assignments. There has also been a sharp increase in the amount charged for the care of prisoners for lockups in the Hennepin County fail system. Mr. Prosser indicated that Council Member Ludeman had contacted him to indicate opposition to elimination of the Canine Unit and that it be discussed at this evening's meeting. Public Safety Director Erskine reviewed the proposed elimination of the canine unit. There was general discussion concerning the proposal. Public Safety Director Erskine reviewed the Fire Division budget. He indicated that one fire division position will be held vacant in 1992. He described how the vacancy would be handled with respect to fire calls. Mr. Erskine reviewed the remaining divisions, indicating that one clerical person was layed off and the Communications Supervisor position was eliminated. Community Development Director Wallace reviewed the Community Development Department budget. Mr. Wallace described the elimination of the energy program and reduction in hours of graphics personnel. He stated that New Ford Town and 77th Street Project are the areas which may require more costs than now anticipated. Community Services Director Fondrick reviewed the Community Services Department budget. He stated that roughly $50,000 has been eliminated for seal coating, certain positions have been held open and/or reclassified, and the water slide has generated roughly all the extra revenue necessary to balance the pool budget. He indicated that these were the mayor changes in his department budget. City Manager Prosser reviewed the non-general fund group of funds summarizing the concept of combining the pool and ice arena divisions with the Golf Course Funds to form a recreation enterprise fund. This would be accomplished in conjunction with defeasing the golf course bonds. The City would still maintain separate revenue and expenditure data for each function. Mr. Prosser summarized the Special Fund group of funds. Community Services Director Fondrick reviewed the Central Garage Fund. Administrative Services Director Devich reviewed the Data Processing, Central Supply, and self-insurance funds. Study Session Minutes -3- August 21, 1991 Liquor Operations Director Fillmore reviewed the Liquor Operations budget. Mr. Fillmore stated that sales figures to ". date for 1991 indicate a very good year for the liquor operation. Administrative Services Director Devich reviewed the Water, Sanitary Sewer, and Storm Sewer funds, discussing proposed rates and their impacts upon sample residential and commercial water accounts. Community Services Director Fondrick reviewed the Golf Course budget, highlighting play count and proposed rate inczreases. Community Services Director Fondrick reviewed the Capital Improvement Budget and 5 Year Capital Improvement Program. City _ Manager Prosser stated the $400,000 cost of a proposed ' neighborhood park improvement for 1992,. including a $100,000 transfer from the City's General Fund balance, was included at City Council direction. Community Services Director Fondrick also described an alternative Capital Improvement program recommended by the Community Services Commission which includes a $4.5 million park bond referendum. • Administrative Services Director summarized the proposed tax levy increase and potential impact on a typical Richfield property. ADJOURNMENT The meeting was adjourned by unanimous consent at 9:34 p.m. 9/9/91 Date Approved: Martin J~. K rsc Mayor rf L. Dev J es Prosser Acting City Clerk Ci anager