08/06/86 City Council Minutes (Budget Hearing)435
THE ANNUAL BUDGET HEARING OF THE KALISPELL CITY COUNCIL WAS HELD AT 7:30 P.M.
WEDNESDAY AUGUST 6, 1986, IN THE COUNCIL CHAMBERS AT CITY HALL. MAYOR KENNEDY
PRESIDED. ALL COUNCILMEMBERS WERE PRESENT.
Mayor Kennedy called the meeting to order.
Clerk/Treasurer Halver explained the handouts he had presented to the Council. He also
reported the corrections and changes made in the General Fund which are contained in
the current printout.
IMayor Kennedy called upon Finance Committee Chairman Palmer.
Palmer reported the Central Garage budget had been reduced by $23,500.
He reviewed the Public Works report presenting comparisons of several years for the
various funds providing street work.
Mayor Kennedy opened the hearing to public comment.
Employee Jerry Edmondson asked what the unallocated costs would be used for.
Councilman Palmer said they would probably be used for wage increases. Any further
wage increases will require budget cuts elsewhere.
Colin Wills objected to the 100P increase in budget this year over expenses last year.
Clerk/Treasurer Halver explained the budget form and showed him the increase was 5%.
Councilman Palmer explained we have new costs for retirement which have never been
properly budgeted before and we need to buy equipment out of the General Fund because
we are losing Revenue Sharing.
Wills asked if wage increases have been included in the budget. Halver reported only
the longevity raises required by union contracts have been included.
Wills suggested the City Shops be closed and all work be sent to the private sector.
' Councilman Palmer began reviewing the budget by line item.
Colin Wills objected to the spending for City -County Planning. Palmer and Halver
explained we paid proportionately less than if we paid a tax levy comparable to what
the county levies.
Colin Wills asked why the City Attorney's Secretary can't be shared with the Judge.
Palmer reported the City is looking into shared staff possibilities.
Councilman Palmer explained we have budgeted for Capital Outlay in the General Fund
because we are losing Revenue Sharing.
Palmer said that with the new Gargage Cans, dogs are not getting into garbage and
therefore the Garbage Fund no longer needs the services of the Animal Warden. Thus the
budget for the Animal Warden has been cut.
Marlene Allen objected to the city assuming we no longer have a dog problem. She also
asked how the City was handling the overfilling and other abuses of the Garbage
Services. Councilwomen Hafferman told her to call City Hall and report the problem.
Jerry Edmondson asked who will take care of Garbage problems when the East Side is
fully implemented and the driver is busy all week just
doing the Garbage pickup.
Colin Wills objected to the Building Department
fee for
Plan Reading. He also
protested the City having authority outside the City
Limits.
He was told we are
providing enforcement for the County when outside the
City.
Marlene Allen asked who was going to pave Fifth Avenue
West.
Ken Hammer reported the
City would save over $37,000 by doing it ourselves.
An unidentified lady asked if the city was building a park across from Elrod School and
asked if it shouldn't be tabled until our economy is better. Councilman Saverud
explained the funding is coming from Tax Increment Funds and the School District will
maintain the park.
Employee Carol Warnes spoke in defense of the Traffic Safety program. She explained
the work the "A.I.s" do. Palmer said the city agreed the program was effective but it
is a matter of available money.
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Employee David Hammer asked if the request for new vans is a concern; he said his van
is satisfactory.
Marlene Allen spoke in support of the Traffic Safety program.
Clara Ellen Anderson said our traffic is worse than Spokane and we don't have enough
Police Officers to cover it; we need the Traffic Control Program. She also asked we
raise the rates at the Swimming Pool to make it pay its own way.
Councilman Ruiz pointed out it doesn't matter whether a department or program raises ,
lots of revenue, the city can still only increase the budget by 5%.
Scott Osler said "Accident Investigators" was a misnomer, the program is a prevention
program and asked wasn't prevention worth something.
Councilman Saverud reported on the Tax Increment District Budget.
Councilman Ruiz asked if some of Traffic Safety could be paid from Tax Increment. Ed
Gallagher said he didn't think maintenance could be paid for on general city work
which happened to be performed in the district. Work specifically performed for the
district could be funded.
Jerry Edmondson asked if the money budgeted for City Hall remodeling could be used
instead for A.I. vans or something. He was told it couldn't.
Revenue Sharing
Councilman Grainger asked about the need to spend $10,000 to control the gas use.
Public Works Director Hammer defended it as necessary to track the gas usage, allocate"
its use and be able to check the efficiency of the vehicles. The present system is
unmanageable. He added we spend in excess of $60,000 a year for fuel.
Ambulance Fund
Chief Larson reported they planned to lease an ambulance rather than purchase one. He
also has some plans for restructuring the rates to improve the revenues. Clerk Halver
reported the Ambulance cash balance was depleted on June 30, 1986 after funds were '
transferred to Revenue Sharing to pay the Ambulance share of the new radio system.
Councilman Palmer asked for an income report for the Ambulance Fund. Larson reported
collections seem to be better since we stopped taking assignments several months ago.
Garbage Fund
Jerry Edmondson asked what was being budgeted for salaries and if anything had been
budgeted for a backup driver and equipment. D.P.W. Hammer explained the salary budget
and said the City Attorney was working on a equipment backup agreement.
Summary
Councilman Palmer requested another meeting for 4:00 Monday, August 11, 1986.
Councilman Ruiz says further budget cuts should be addressed to provide for an
allowance for pay raises. He asked that a complete package of current budget requests
be made available for review prior to the meeting.
Colin Wills asked what the mill levy for the city was and Clerk Halver explained the
limit was 65 mills unless that will not fund a 5% increase in the budget. Halver then
reviewed the comparison of the various levies of this year compared to last year.
Mayor Kennedy recessed the Budget Hearing until Monday August 11, 1986 at 4:00 PM.
The Annual Budget Hearing, as continued, of the Kalispell City Council was held at 4:00 '
P.M. Monday August 11, 1986 in the Council Chambers at City Hall. Mayor Kennedy
presided. Councilman Schindler was absent. All other councilmemberz were present.
Mayor Kennedy called the meeting back to order and turned it over to Finance Committee
Chairman Palmer.
Palmer reported the budget of the General Fund is $23,500 less than the full 5%
increase allowable. He recommended the $23,500 be added to the budget to bring the
General Fund budget total to $2,346,784. There were no objections.
Councilman Palmer explained the stategy behind the Retirement Reserves.
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Councilman Nystul suggested the allocation for parts in Central Garage is too low.
Councilman Palmer reported that budget included the cost of contracting out work to
other shops and this year the work will be done at our central garage. No action was
taken.
Councilman Ruiz made the following suggestions for cuts in line items in the General
Fund:
' 1. Keep city -county planning at same level as last year. - $2,231.
Mayor Kennedy said they were planning on adding another planner and take
over the lakeshore protection regulation. The council responded this
was not a necessary cost for the city to share in. $2,000 out adopted.
2. Eliminate Judge's Secretary. Save approximately $7,200. Not
accepted.
3. Cut the Jury & Witness fees by $1,000. Saverud asked if we could turn
these cases over to the county. Adopted.
4. Ruiz and Halver discussed the Computer Maintenance costs. Halver
said equipment was added and therefore the costs went up.
5. Cut Crime Control overtime from $21,000 to $19,000. Grainger
suggested cutting it to $18,000. $3,000 cut adopted.
6. Cut $1,500 from Crime Control Printing. Adopted
7. Saverud asked why Radio Maintenance wasn't cut now that we have the
new radio system.
8. Ruiz suggested Crime Control School & Travel be cut by $1,000.
Adopted.
9. Ruiz suggested Fire Dept. Hydrant Rental be cut to $18,000. Nystul
explained the increase is based on the rental rate adopted by the
Council, the big jump is because the full rate was not paid in prior
years. Not adopted.
10. Grainger asked why radio maintenance in the Fire Department is less
than in the Crime Control budget.
11. Ruiz asked about the Building Dept. consultant. It was thought to
be needed for the Justice Center.
12. Street Department salaries were discussed. It was concluded the
apportionment among the 4 funds providing for streets is different than
last year.
13. Discussion returned to the Planning costs with Glen Neier
explaining the agreement. The C.A.H. is required to set the budget in
April of each year and allocate proportionate shares to the political
subdivisions.
14.
Ruiz asked that some of the Traffic Signal
Maintenance
costs be
paid
from the Tax Increment District. It was
explained
the cost of
new
signal work at the mall was paid from the
offsite improvements
budget. Maintenance of the lights on Highways 2
and 93 are
reimbursed
into
the General Fund by the State.
'
15.
Parks Department. Ruiz suggested cutting other
supplies
by $2,000.
Adopted.
There was general discussion as to whether the Parks Salaries budget was
too high. No conclusion was reached.
Ruiz suggested additional Parks Dept. cuts of $500 from Gas and Oil,
$1,000 from Water and $400 from School and Travel. Adopted.
Hafferman asked that Council School and Travel be out out. Ruiz said if
that was done all School & Travel should be cut.
Ruiz concluded these proposed cuts should amount to $21,000 to $22,000 in savings. He
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wanted a breakdown of pool salaries. Councilman Palmer asked each councilman to present
their comments regarding Ruiz's proposal and other budget ideas.
Nystul said the Court needed the clerical staff but would support the administration
developing plans for sharing of staff. He suggested the City Attorney be asked about
the amount needed for Juror and Witness fees.
He also felt the Central Garage Parts budget was too low. He did not have a
recommendation as to how much it should be raised.
Hafferman agreed the 1/2 Court secretary should be retained. So did Mayor Kennedy. '
Councilman Saverud requested the Crime Control radio maintenance be reduced to $2,000.
Adopted.
Ruiz asked the Hockaday budget be cut. Councilman Saverud explained the City and
County budgeting for the Hockaday Center. Councilman Manning supported the Hockaday
budgeting.
Palmer felt the Judge's office layout was inadequate and would like to have a better
office arrangement so that a shared secretary could be used.
He requested the Traffic Safety Budget be consolidated with the Crime control. He
concurred with Councilman Ruiz's recommendations for cuts in the Crime Control budget.
Ruiz said his approved budget cuts amounted to $14,400.
Palmer continued discussion of consolidation of Traffic Safety into the Crime Control
budget. He suggested taking the requested budget of Crime Control of $685,050 and
adding the proposed reduced budget of $25,480 for Traffic Safety to it. He felt we
should out back to one Accident Investigator. Total budget $710,530.
Councilman Ruiz said traffic was increasing and we should be increasing Accident
Investigators instead of cutting them. He suggested our cuts could come from an
interlocal agreement with the county for parks. He was in favor of full funding for .
the A.I.s.
The council agreed the two departments should be lumped together.
Last year's actual costs were $668,663 + $51,345 = $720,008.
Palmer proposed a $707,000 Crime Control budget with the Police Chief to determine
the staffing. The A.I. program would not be fully funded.
Ruiz proposed a Crime Control budget of $736,395 with full funding of the A.I.s. He
would use his proposed $14,400 of line item cuts to help fund the full staffing of the
A.I. program along with the $23,500 of unallocated costs. lie would have $12,100 left
in the unallocated costs.
Councilman Palmer requested the Council vote on three choices; 50% funding of the
Traffic Safety budget which would be merged into the Crime Control budget, full funding
of Traffic Safety and merging or 75% funding and merging.
Ruiz said no traffic safety program could be another option.
On a call for show of hands, no one was in favor of the 50% funding. Two were in favor
of 75% funding. 5 were in favor of keeping a fully funded Traffic Safety program with
the $7,500 of budget cuts in Crime Control proposed by Councilman Ruiz with the
stipulation by Councilman Saverud the council do a complete review of the program by '
March 1, 1987.
The General Fund would be budgeted at 105%, or $2,346,784, with $12,100 in unallocated
costs.
Tax Increment - Ruiz and Halver talked about the interest earnings projected in the
budget. Ruiz asked that the interest earnings estimate be reviewed; he felt the
estimate was too conservative.
Ruiz asked about the Hockaday allocation of $20,500 and Saverud explained $15,000 was
for the second year commitment to match the coal tax grant and $5,500 was for roof work
around the dome.
Saverud explained the CBA request for $5,000 was to relook at the redevelopment design.
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Ruiz was against this request and the $2,000 for trees.
Saverud told Councilman Nystul all projects still had to be approved by the council and
bidding procedures would be followed.
Councilman Grainger spoke against the tree and CBA projects.
Upon voting, a majority approved the Tree and CBA projects. (4 yes, 2 no, 1 undecided)
Councilman Saverud and the Committee were asked to take another look at the Tree
request.
' Councilman Ruiz asked for explanation of the Community Development Budget. Halver
explained the project is funded on a April to March fiscal year so it is difficult to
convert that to meaningful figures for our fiscal year. Community development has a
$500,000 budget for the grant for their current fiscal year.
Councilman Saverud explained the $100,000 for commercial rehab loan funds and the
$32,000 for staffing would provide for the last three months of our fiscal year which
is after the present grant has expired.
Clerk/Treasurer Halver was requested to show the U.D.A.G. Loan repayment funds being
used to provide the $32,000 requested for the Community Development Office.
Ruiz suggested more should be charged for the Central Administration Transfer.
Revenue Sharing - Councilman Grainger requested we use the $18,000 budgeted for Crime
Control Vehicles to fund the Retirement set -aside in the General Fund. Not adopted.
Councilman Nystul reported the Traffic Signal & Signs Department vehicle is worn out
and nothing has been budgeted for it.
Councilman Saverud recommended the Revenue Sharing budget be accepted with the council
being able to make reallocations at a later date and all expenditures to be approved by
the council before being made.
' Councilman Nystul reviewed the Water and Sewer Budgets. He reported the budgets were
not in balance yet and they will continue working on them.
Councilwoman Hafferman asked if there were any anticipated personnel cuts. Nystul said
the two meter installers were proposed to be out. She felt the installers were
paying their way by replacing meters that are not working and generating revenue.
Nystul reported the plan was to use existing staff to do the work after the
construction season.
Employee Becky Glidden reported it was difficult to replace meters in the Winter
because appointments were frequently missed because of main breaks etc.
Employee Mike Hall reviewed the history of the meter replacement program. Before the
meter installers were hired 715 meters were changed over a period of many many years.
The two meter installers have replaced 700 meters in one year. There are 3100
gear -driven meters left which are prone to breaking down and need to be replaced.
Nystul reported that budget cuts have to be made to get the budgets into balance.
Councilman Grainger moved the budget hearing be adjourned. Councilman Manning seconded
and the motion carried.
Meeting adjourned at 7:10 PM.
Approved as presented September 2, 1986
Ed Kennedy, Mayor
ATTEST:
Don Halver, Clerk/Treasurer