HomeMy WebLinkAbout08-26-2019 Council Special Budget Work Session MinutesCITY COUNCIL WORK SESSION
1 CITY OF LINO LAKES
2 MINUTES
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4 DATE August 26, 2019
5 TIME STARTED 5#00 p.m.
6 TIME ENDED 6:05 p.m.
7 MEMBERS PRESENT Council Member Rafferty, Maher,
8 Manthey, Stoesz and Mayor Reinert
9 MEMBERS ABSENT None
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i l 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 2020 Budget Consideration — City Finance Director Cotton noted that at the last budget
16 work session the council expressed a desire to reduce the proposed levy increase to 8%.
7 Staff has proposed a list of reductions to that end (included in written staff report). The
18 proposed budget cuts were reviewed line by line. Comments as follows:
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20 Government Buildings & Fleet Insurance —Director Cotton said., based on renewal
21 quotes, she's comfortable these reductions are appropriate.
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23 Forestry — Community Development Director Grochala remarked that staff had bumped
24 up the budget $5,000 for EA 3 but that will not necessarily be needed; there may be grant
25 funds coming in the future as well.
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27 Pavement Management —Community Development Director Grochala said there was a
28 proposed increase of 11 % to the pavement management budget but this reduction would
29 bring it back to this year's level.
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3l Parks Professional Services —Public Services Director DeGardner said the funding cut
32 would mean any new projects would not have engineering services funding available.
33 Council Member Rafferty asked staff to ensure that necessary funding is still budgeted for
34 Baldwin Lake Park (and Woods Edge Park also mentioned). Director DeGardner
35 explained that the planning funds are included in the 2019 budget; the cost of park
36 construction would be tied to park dedication fees associated with the proposed
37 Lyngblomsten project. Mr. DeGardner also discussed the $12,000 reduction in
38 Contracted Services; those funds were proposed as an increase for trail maintenance
39 activities mainly related to repair and replacement needs.
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41 Police —Personnel Services- Public Safety Director Swenson said the reduction of
42 $90,717 removes both new positions proposed in the budget. He explained the reason
43 those positions were proposed. Council Member Rafferty asked if current non -sworn
44 staff is available for the work and Director Swenson explained what is currently being
45 done by that staff.
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CITY COUNCIL WORK SESSION
hPPRQi'EII
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47 Fire — Capital Outlay — Public Safety Director Swenson noted that the reduction of
48 $18,200 would delay for one year replacement of the hose and nozzles on Aerial 11
49 (believed to be approaching 20 years old). The council discussed the proper life of that
s0 type of fire equipment.
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52 Director Cotton mentioned that staff is proposing the transfer of an additional $100,000
53 from the Closed Bond Fund. The results of the proposed reductions and that transfer
54 would result in an overall 7.99% increase in the preliminary tax levy and a reduction in
55 the tax capacity rate as noted in the written staff report.
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57 Mayor Keinert asked the Finance Director to review the City's fiscal disparities position.
58 Ms. Cotton displayed her preliminary figures for that area of the budget. The City has
59 always been a receiver but for the first time this year that would change to a position
60 where the City contributes. Mayor Reinert asked staff if that trend will continue and Ms.
61 Cotton said she expects it to remain where it is for a while; affect is tied to commercial
62 industrial development.
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64 Mayon- Reinert commented:
65 a) lie doesn't like the reduction in Pavement Management because that's an
66 important program that is working;
67 b) what is the contingency for 2019 (it is $75,000 and has been used to about
68 half); the contingency for proposed 2020 is $75,000:
69 c) why has the. Finance Department gone up in the past few years; Ms. Cotton
70 explained that the service contract with Metro INetet is the biggest driver and in general
71 the City's IT footprint is getting a lot greater (surveillance cameras added, body worn
72 policy cameras, additional Laserfiche licenses, additional hiring at Metro INet); she is
73 also asking for a $3,500 vendor package to assist with certain technology expansion as
74 well as an increase in the Springbrook finance system contract;
75 d) the building inspections area increasing; Director Grochala noted the addition
76 of a third inspector and when the mayor suggested that increase was related to storm
77 damage in the past, Mr. Grochala explained the inspections are now related to new homes
78 and that is more work.
79 e) increase in fleet management; Director DeGarder noted that the increase is
80 100% fuel consumption related. There was discussion about the addition of fire
81 equipment to the fleet costs
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83 Council Member Stoesz suggested that it would be more transparent to have all IT in one
84 area and Ms. Cotton responded that is something she will look at for 2021;
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86 Recreation Fund (decrease) — Director DeGardner said there was a reduction in recreation
87 staff. Council Member Stoesz asked if an alignment with YMCA would make sense and
88 Mr. DeGardner said there have been discussions on that topic and they will continue but
89 there are some areas that don't mesh because the YMCA is membership based.
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CITY COUNCIL WORK SESSION
APPROVED
91 Council Member Stoesz remarked that the 12th Street trail is an important budget item for
92 him. He is interested in looking at street lighting and possible savings in that area.
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94 Council Member Maher noted her concern about cutting the additional police officer
95 position. Mayor Reinert mentioned that the position was proposed for the very end of the
96 year and he willo w -upcQming de-velopment and police needs.
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98 Council Member Rafferty said he sees good headway made but he will continue to review
99 the budget. He mentioned upcoming labor contracts and would like to discuss
100 expectations in that area.
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102 Ms. Cotton said the health insurance rates are not yet clear but may be before the
103 preliminary consideration.
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105 Mayor Reinert said he will be continuing his review of the budget and expects to have
106 another meeting.
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108 Kelly Gunderson, 135 Ulmer Drive, noted the 12th Avenue trail; what's the difference
109 between the amount originally funding and not proposed. Mr. DeGardner explained that
110 there are three funding sources that will be used for the trail so other sources will make up
111 the difference.
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113 Ms. -Gun d erson also -suggested that the City's-Pavement Management Plan is funded
114 lightly and she believes that road management is very important to residents. She noted
115 her area of Sunrise Park and the problems with the streets in that area. As a citizen she is
116 concerned those streets (and others in the City) will reach a difficult situation of disrepair
117 before the Plan calls for reconstruction. Mayor Reinert explained how the pavement
118 budget has been increased during his time on the council. Director Grochala suggested
119 that storm water is a big issue in the Sunrise Park area; now staff is trying to come up
120 with an interim process to match what's needed. Ms. Gunderson remarked that many
121 residents are replacing septic systems so they will not be interested in street
122 reconstruction; perhaps a mill and overlay for a decade is a best solution.
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124 The council will have the next budget discussion as part of the September 3rd work
125 session.
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The meeting was adjourned at 6:05 p.m.
These minutes were considered, corrected and approved at the regular Council meeting held on
Se-ptember 9, 2019.
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135 Juli e Bartell, Ci Clerk
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