09/09/1996 Council Minutes - Laserfiche WebLink

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• COUNCIL MINUTES SEPTEMBER 9,1996 delayed a year. A meeting with the Charter Commission between this date and finalization of the budget should supply the necessary information regarding this particular budget issue. Council Member Kuether indicated that she would agree with the levy at this time, but that careful scrutiny is due this process prior to final approval of the budget. Council Member Lyden asked about other sources for first-year funding for road construction projects. Mr. Schumacher explained that some form of internal borrowing from another fund might be possible. Mr. Hawkins stated that debt services funds could not be used. Ms. Vaske indicated that historically, capital projects funds have been used in this manner. Mayor Landers stated that he would only support a levy that goes toward road construction. He added that the Charter prohibits taking funds from another account, and that the Charter would have to be amended to allow for the necessary road reconstruction without a tax increase. Mayor Landers called for roll call. Ms. Anderson polled Council, with the following responses: Council Member Bergeson - against the motion for need of additional review and information. Council Member Kuether - against the motion, as proposing a zero increase would leave the City with no options should funding for emergency situations be required. Council Member Lyden - in favor of the motion, as creative financing should be pursued. Council Member Neal - in favor of the motion. Mayor Landers - against the motion, due to dire need for road reconstruction for which these funds should be specifically designated. Motion defeated for lack of a second. Council Member Kuether moved to adopt Resolution No. 96 - 118, as presented. Council Member Bergeson seconded the motion. Council Member Bergeson clarified that the proposal is for a 2.25% increase, or $75,000. As budget evaluation continues, that amount could be reduced. Motion defeated for lack of majority vote. Mayor Landers moved that the 2.25% increase be approved only if the funds would be designated specifically for road repair and reconstruction. Council Member Bergeson seconded the motion. Council Member Kuether asked if there was discussion in the budget work session regarding the Housing Redevelopment Authority fund. Mr. Schumacher indicated that only the septic system program was discussed. Council Member Kuether asked where the funds would come from should the City go forward with the HRA fund. Mr. Schumacher responded that the Area and Unit fund could be accessed for septic system work.