HomeMy WebLinkAbout08-14-2017 Council Special Budget Work Session MinutesCITY COUNCIL SPECIAL WORK SESSION August 14, 2017
APPROVED
1 CITY OF LINO LAKES
2 MINUTES
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4 DATE : August 14, 2017
5 TIME STARTED : 8:15 p.m.
6 TIME ENDED 9:15 p.m.
7 MEMBERS PRESENT Council Member Rafferty, Kusterman,
8 Maher, Manthey and Mayor Reinert
9 MEMBERS ABSENT None
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11 Staff members present: City Administrator Jeff Karlson; Public Safety Director John
12 Swenson; Community Development Director Michael Grochala; Finance Director Sarah
13 Cotton; Public Services Director Rick DeGardner; City Clerk Julie Bartell.
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15 1. 2017 Budget — Finance Director Cotton indicated that at the last budget discussion the
16 council requested further discussion of the following budget items:
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18 - Salary rate adjustment for the Community Development Director;
19 - Retaining police officer position after grant funding ends;
20 - New position in Utility Division.
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22 Community Development Director Salary -Administrator Karlson explained the review
23 that has occurred that indicates a below market average salary this city's director; past
24 that he feels that the current director especially deserves this increase.
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26 Mayor Reinert asked if the administrator intends to request salary increases for other
27 positions. Administrator Karlson suggested that a full compensation study would shed
28 light on where positions stand in the market, up or down. Currently his only request is
29 for the Community Development Director. Mayor Reinert asked if it would make more
30 sense to look at all the positions at once; he'd prefer for the council to consider the
31 subject and then not have to talk about it for a period.
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33 Council Member Rafferty remarked that cities with larger population are apt to pay more
34 for these positions. He wonders if there a happy medium where the council can focus; a
35 place that would be more in line with this city's population? Mayor Reinert asked if
36 population is the only indicator. Council Member Kusterman said he understands that
37 looking at similar population cities is a way to start discussion and give some basis; but
38 he is also concerned that the staff cannot be treated as a commodity.
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40 Council Member Manthey asked for more information on the manager positions in the
41 city; how are their salaries set initially and how An they move up. Administrator Karlson
42 noted that there is a six step salary range and people do reach that ceiling; there is some
43 concern with retaining good employees. In addition to the steps, there are raises based
44 on inflation (COLA).
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CITY COUNCIL SPECIAL WORK SESSION August 14, 2017
APPROVED
46 Mayor Reinert remarked that there is a raise system inherent. However he feels there can
47 be bumping up occurring at cities that then causes other cities to feel they have to follow.
48 Mayor Reinert also remarked that there can't be a comparison to the private sector
49 because those salaries have dropped. Again the mayor said he'd like a full review.
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51 On the police officer position that will no longer be paid by grant funds, Mayor Reinert
52 said he supports the position. The council concurred. Council Member Kusterman
53 commented that the safety of the city is highly important.
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55 On the utility maintenance position requested in Public Works, Mayor Reinert noted that
56 he understands it is enterprise funded. Ms. Cotton explained that there is no impact to
57 the General Fund but the water and sewer enterprise funds would be impacted and they
58 are driven by rates. Director DeGardner noted that the responsibilities within that
59 division have grown and the utility system has expanded. He has held off on requesting
60 the position for several years but now he feels it is prudent to act. Council Member
61 Rafferty asked how this fits into the future retirement of the Utility Supervisor. Mr.
62 DeGardner said this position is intended for current needs; the retirement will be another
63 strong need in the future. The budget impact is noted on Page 91, with impacts to the
64 water and sewer fund individually. Mayor Reinert said he supports the new position.
65 The council concurred.
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67 On the matter of the 3`d Community Service Officer position for the Police Department
68 that is on hold based on ACE Program participation, Mayor Reinert asked why the
69 vehicle for that positon isn't a vehicle moved down from within the fleet. Director
70 Swenson explained the individual demands of that position (including animal control)
71 and the need for a truck. Mayor Reinert asked the Public Works Director if there are
72 trucks that could be passed down to the CSO function, and Director DeGardner said all
73 vehicles are being fully used.
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75 The council moved on to review of the tax levy. Finance Director Cotton pointed out that
76 while the city will be seeing a reduction in debt service it will soon be impacted by
77 payments coming on line for the street reconstruction project. The mayor pointed out that
78 there will be unused funds from 2017 that will lower the 2018 figures. Ms. Cotton said
79 there are two buckets of money the council has traditional looked at: utilizing the city's
80 surplus down to a 50% level; and seeking funding through revenue or expenditure
81 changes. Mayor Reinert asked if staff would like to perform that last exercise and Ms.
82 Cotton said yes, and she added that it's usually occurred after the council adopts the
83 preliminary levy. Administrator Karlson remarked that the management team has worked
84 very hard this year to bring in numbers that are very close to the bone. Mayor Reinert
85 suggested that would be 2018 numbers though, not 2017; Mr. Karlson said it was a
86 combination of both.
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88 Ms. Cotton explained how close the city's projections for this year are matching with
89 actual current revenue and expenditures. Mayor Reinert suggested that he believes
90 there's interest in taking the 54 down to 50, utilizing that 325, and guestimate savings in
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CITY COUNCIL SPECIAL WORK SESSION
August 14, 2017
APPROVED
91 the range of $200,000 to $250,000 in 2017 funds. The mayor confirmed that the council
92 has enough information to move forward for the next council review; he added that he'd
93 also like to see percentages included.
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95 Council Member Kusterman asked if this is the time to discuss the subject of parks and
96 trails capital projects. The council should be thinking right now about biting the bullet to
97 keep those amenities updated and in the plans; the residents need the facilities. Mayor
98 Reinert said he'd support annual funding to the Park Board at some level to ensure a
99 steady flow of funding for necessary improvements. Council Member Kusterman asked
100 about the Century Farm park and trail area; he is concerned that the situation be rectified.
101 Mayor Reinert asked about the cost of the trail connection that was discussed and staff
102 said the numbers are under consideration. Council Member Manthey suggested that it
103 would be helpful to have a plan to guide funding decisions. Director DeGardner pointed
104 out information in the budget about the highest priorities for park improvements and
105 development. The council discussed the general cost of replacing park equipment.
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107 Director DeGardner explained that staff has an opinion about where there is the most
108 replacement/upgrade need and also information on retrofitting. Council Member
log Rafferty noted that he has done a site visit to the city parks and has seen much equipment
110 in good shape and some that needs replacement; all the playground structures seem to be
111 in good shape. Director DeGardner also noted that there are fifteen playground structures
112 that are at least fifteen years old. The council discussed the concept of retrofitting.
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114 Council Member Kusterman expressed his concern that the equipment needs to be
115 upgraded to keep up with the times.
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117 Mayor Reinert said he's hearing $100,000 funding for 2018 with council direction on
118 some of the funding and the Park Board making a recommendation on some.
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120 The budget will be discussed again at the work session on August 28 and the next regular
121 work session.
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123 Meeting adjourned at 9:15 p.m.
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125 These minutes were considered, corrected and approved at the regular Council meeting held on
126 August 28, 2017.
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131 1 e Bartell, dty Cler
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