01-16-89 Finance Comm MinutesJanuary 16, 1989
TO: Finance Committee Chairman Atkinson
SUBJECT: Funding for title searches and related costs - Annexation of Wholly
Surrounded Properties.
I have reviewed the General Fund Budget as requested and have found the
following possible sources for funding of the estimated $1,500 cost for title
leaches on the properties proposed for annexation.
Within the City Council Budget there are three line items for consultants and
contracted services. These budgets total $6,000 and $4,825 has been comitted
and spent. The remaining $1,175 has not been ccMitted and will not be spent
unless the council hires another negotiator or otherwise uses the money.
The council also has a travel budget of $1,000 which was proposed for council
travel to the legislature. There might be some excess available there; I have
no way of knowing at this time.
Finally there is $2,000 in unallocated costs. Historically the council has not
earmarked any of this until all salary negotiations are settled.
I request, if funding is allocated that a firm agreement with the title company
be secured so there are no cost +ises later on with this project.
I have talked with David Greer and I am satisfied the City's existing Legal
Publications budget can handle that part of the annexation process.
FINANCE/PERSONNEL & POLICY/INSURANCE
8:20 AM JANUARY 16, 1989
• The meeting was attended by Mayor Kennedy, Councilmen Atkinson (Chairman), Nystul
and Hopkins, City Attorney Neier, Clerk/Treasurer Halver and City Employees
Zavodny, Plambeck, Kerzman, Baker and Brady.
1. Pledged Securities
Councilman Nystul moved the Committee recamend to the Council approval of the
Quarterly Report of Pledged Securities.
2. ReMax Parking Lot
Ross Planbeck reported it was agreed the planters were not repairable and had to
come out. No other progress has been made. He said the property aaner was aware
the council wants action.
City Attorney Neier said the property is a danger to pedestrians and must be
corrected. The City hasn't done anything there which makes us liable, but the
problem is on city property now and if someone trips we have exposure.
City Street Superintendent Brady explained the City delivered some of the fill but
did not participate in its placement. He said property co-a4rier Hollinger signed
an approval for delivery of the fill.
Councilman Hopkins moved recarmerdation to the Council that City Attorney Neier
write to Hollinger and Cherot requesting that action be taken prcuptly to remove
the hazard or the City will ask for termination of the easement. Councilman
Nystul seconded.
Atkinson requested the letter state the city has liability from the hazard which
requires this prmpt action.
The motion carried unanimously.
3. Business Licenses
The committee agreed to meet with City Attorney Neier on Monday January 23, 1989
at 8:15 am., to work on the proposed business license ordinance.
4. Herberger's Subordination Agreement
Mayor Kennedy said he is trying to get the utility easements from the mall people.
City Surveyor Zavodny said he has been trying to secure the easements and can get
no action.
The committee agreed the subordination agreement be held until the easements are
secured. The mayor will dandle it.
Councilman Hopkins requested better pedestrian walkways be provided on the mall
property.
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FINANCE/PERSONNII, & POLICY/INSURANCE
8:20 AM JANUARY 16, 1989
5. Salary Matrix
Councilman Nystul presented a draft containing two charts made up of grades and
steps. One has 10 steps with 2% increases per step and the other is 15 steps at
1.5% per step. Both charts have 20 grades.
Nystul said the proposed charts would be reviewed annually for inflation
adjustments and the step increases would be based upon merit and evaluations.
Councilman Hopkins supported the 15 step plan.
Mayor Kennedy suggested all present employees be placed at step 1. The committee
disagreed.
Councilman Atkinson suggested the non -union pay plan be nailed down one part at a
time.
Councilman Nystul supporter] the 15 step plan. He suggested the existing positions
be equated to grades and exam;ne where existing salaries would fit in and to
consider a percentage cost of living added on to existing before we go to a
schedule and see what that gives us. The committee agreed.
Nystul also felt there were some positions whose salaries need adjustment even
after consideration of a COLA.
Nystul reported he made some minor corrections to the narrative.
The committee scheduled a workshop of the whole council for Wednesday January 18,
1989 at 4:00 pm., to work on the plan. Chairman Atkinson suggested the work order
be concurrence of the concept, approval of the narrative, discuss the COLA,
placement on the schedule.
Mayor Kennedy went on record that he had suggested this type of plan a year ago.
6. Title Search Funding
Chairman Atkinson reported the Annexation Committee has recommended the City hire
a title conpany to research the property legal descriptions for the wholly
surrounded properties the city is considering annexing.
That committee requests the Finance Ccrmdttee determine if we can fund this.
Surveyor Zavodny said the city has to develop a "mini -master plan" for each
property on which we initiate annexation and these plans may have a cost.
Clerk/Treasurer Halver said the city will also have to pay for legal advertising
and postage for giving notice to the property owners.
Councilman Nystul moved "Cacmittee Chairman Atkinson and Clerk/Treasurer Halver
make a reccauendation of sources of funding to the council tonight and this
committee concur with the Annexation committee that this is a good investment and
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FINANCE/PERSONNEL & POLICY/INSURANCE
i
8:20 AM
JANUARY 16, 1989
the project be pursued." Councilman Hopkins seconded and the motion carried
unanimously.
7. Shop Foreman
Mayor Kennedy said Street Superintendent Brady has asked that the City Shop
Foreman position be filled.
Brady said this position has been vacant since he's been here and the shop is not
being run efficiently and is costing us money. Someone needs to be in charge to
assign work duties. He anticipated one of the existing mechanics would be
prorated; it was not his intent to hire a fourth person.
Councilman Nystul moved the Committee strongly concur with the Street
Superintendent's recommendation for appointing of a shop fore an as being a long
overdue action. Councilman Hopkins seconded.
The ccmmuttee discussed whether this has to go through the council and agreed it
did.
The motion carried unanimously.
The ccnmittee adjourned and reviewed claims
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