HomeMy WebLinkAbout2009.08.10 CC Minutes - Budget WorkshopMINUTES FOR THE HUGO CITY COUNCIL BUDGET WORKSHOP
MONDAY, AUGUST 10, 2009
7:00 PM
Mayor Fran Miron called the meeting to order at 7:07 p.m.
Present: Haas, Klein Petryk, Weidt, Miron
Also Present: City Administrator Mike Ericson, Finance Director Ron Otkin,
Community Development Director Bryan Bear, Public Works Director Scott Anderson,
Accounting Clerk Anna Wobse, and Fire Chief Jim Compton
Finance Director Ron Otkin provided a PowerPoint presentation to the Hugo City
Council highlighting a number of budget related issues. He noted that building permits
are ahead of projections with 68 permits issued through July of this year. Reductions in
health insurance, telephone system, and cell phone costs, have been achieved through
cost-conscious efforts of staff. Ron presented a 2010 budget with the same tax capacity
rate as in 2009, reflecting six consecutive years of reductions in the City's tax capacity
rate. He has reduced expenditures by $600,000 in order to present a balanced budget, this
includes no cost of living adjustment (COLA). Council discussed whether or not to levy
back the unalloted Market Value Homestead Credit (MVHC) as provided by the State
Legislature in a one time only opportunity.
Northeast YMCA Remodeling Project Funding Request of $56,250
Northeast YMCA Interim Director Shane Hoefer addressed that Council to formally
solicit support for the project which included a number of incentives for the City if it
contributed a one-time donation of $56,000. Council listened to residents Lori Sittler and
Phil Watkins, who supported the project, and Katie Riopel who did not.
Washington County 4-H Funding Request for $4,350
Mayor Fran Miron began the discussion on the possible 4-H funding from the request
presented July 20, 2009 by the 4-H Agricultural President Dan Dolan and Washington
County Commissioner Dennis Hegberg. Council Members agreed that social service
funding is another level of government but agreed that a one-time only donation would be
considered. They encouraged staff to work with the 4-H Program and solicit charitable
gambling proceeds from the pull tab operations in the City.
Council Discussion
Council discussed with Fire Chief Jim Compton the need to consider funding a full-time
fire chief or fire marshal. There are a number of demands that have increased the job
duties of a part-time fire chief. Finance Director Ron Otkin did not include funding for
the position in the 2010 budget. Council agreed that it is a difficult task to prioritize
hours when limited tax dollars are spent.
Direction to Staff
Council directed staff to prepare the 2010 Budget without funds for the Northeast YMCA
and fire chief position, and include funds for the 4-H program and unalloted MVHC as a
one-time levy. Staff was directed to proceed with research and development of a job
description for a full time fire chief.
Adjournment
Weidt made motion, Klein seconded, to adjourn at 9:26 p.m.
All Ayes. Motion carried.
Respectfully Submitted,
Michael A. Ericson
City Administrator