11/05/2007 Council Minutes - Laserfiche WebLink

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CITY COUNCIL WORK SESSION November 5, 2007 APPROVED 178 Finance Director Rolek indicated that the reserve is put forward as a possibility mainly 179 because the budget is pretty much bare bones already. 180 In looking at the 2008 budget further, a council member recognized that the changes in 181 valuations and base budget and how the city will address and meet those challenges 182 should be a part of strategic planning in the coming year. 183 Finance Director Rolek indicated that he will proceed with the budget amendment 184 previously proposed by staff if the council did not wish to approve the in-house 185 engineering proposal. 186 The council concurred that deleting the second clean-up day should be revisited in time to 187 possibly add the fall event next year. 188 2008-2012 Five -Year Plan - Finance Director Rolek reviewed the plan, as presented. He 189 noted that the plan is truly a compilation of city department directors presenting their 190 forecasts with consideration of city goals and obligation for services considered. 191 The plan anticipates an overall increase in expenditures of 45.72% over five years. 192 Anticipated growth in the tax base related to real estate value has been revised downward 193 reflective of that market. The net overall growth in tax base included in plan is 25.29%. 194 Therefore the plan does forecast a tax rate increase. There is a general inflation factor 195 included but also specific consideration given in some areas such as energy and insurance 196 costs. Anticipated increased staffing needs, including police that will hopefully be 197 covered by grant funds, are included. The plan is considered a guideline and it does not • 198 constitute authorization for future spending. 199 The cost drivers are personnel and capital costs. 200 One council member noted the change in the personnel requirements of the previous plan 201 (last year's approval) versus this plan. He'd like more time to review the details. 202 Director Rolek noted that the growth rate is really the driving factor since the previous 203 plan estimated a growth trend. The personnel costs are really not that much different. 204 The council has a resolution in place requiring a public hearing and approval of a plan in 205 December. 206 A council member suggested that more time for analysis is needed. The tax rate increase 207 will certainly be an item of discussion. 208 A member suggested that the name of the document be changed from a "plan" to a 209 "guideline". It was clarified that the City Charter calls for the plan by name. 210 Another member suggested that "tackling" the assumptions and how the council will deal 211 with them should be a certain item on the first strategic planning session in 2008. 212 It may be appropriate for the council to consider a different schedule of consideration 213 since the circumstances that determine plan details have changes quite drastically. 214 The estimate of valuation is a big factor; can that information be gained any sooner in the 215 regular process? • 216 Director Rolek indicated that that receipt of that information is completely reliant upon 217 when it is available from the County.