HomeMy WebLinkAbout2015.08.24 CC Minutes - Midyear Budget Workshop MINUTES FOR THE HUGOCITY COUNCIL
MID-YEAR BUDGET REVIEW WORKSHOP
MONDAY,AUGUST 24,2015
Mayor Weidt called the meeting to order at 6:12 p.m.
PRESENT: Haas, Klein, Miron, Petryk,Weidt
ABSENT: None
STAFF PRESENT: City Administrator Bryan Bear, Finance Director Ron Otkin,
Accounting Clerk Anna Wobse,Public Works Director Scott Anderson,Community
Development Assistant Rachel Leitz, and City Clerk Michele Lindau
2016 Budget Presentation
Finance Director Ron Otkin presented a PowerPoint slideshow to the Council to review
the 2015 mid-year budget and to lay the groundwork for the 2016 budget and tax levy.
Hugo's debt level is less than the state wide average and very manageable. All but one of
the City's existing bond issues will be paid off in 2020. Hugo's bond rating remains at
AA+. Ron concluded by saying that the budget as prepared is balanced with no transfers
in,and the proposed tax levy of$5,629,022 keeps the urban tax rate the same. Otkin
informed Council that the position for a Washington County Investigator and
improvements to Lions Park are not in the budget.
Washington County Sheriff's Presentation
Sheriff William Hutton spoke to the Council regarding adding a deputy to serve the City
as an investigator. The City currently contracts for six fulltime deputies and a fulltime
sergeant. Hutton explained that Part II crimes(quality of life crimes such as mail theft,
internet fraud, etc.) are becoming more complex and are currently being investigated by
Hugo deputies or the investigation division. More resources are being spent on these
crimes,partly due to the increase in Methamphetamine use. An Hugo investigator would
be able to work without taking a deputy away from the community. The Council
generally agreed the City was not ready for another deputy at this time.
Lions Park Discussion
City Administrator Bryan Bear began the discussion on the proposed improvements to
Lions Park,reminding Council it was on their list of priorities for 2015. The Park consist
of over 10 acres, and the plan was developed with many amenities estimated to cost 4-6
million dollars. He explained that park dedication fees pay for neighborhood parks,and
Lions Park would be a community park,which would need additional resources. A
significant amount of infrastructure also needed to be done. The roads around the park
are in very poor condition and not currently in the City's CIP. Lavelle Fields is not fully
developed yet, and Finale Avenue and 147th Street will not be built until Phase 2,as
required per the development agreement. There is also a pond to be built by the
developer to handle the stormwater for the development and Lions Park, and serve as the
stormwater reuse facility. The City would pay for oversizing of utilities for the park.
Council discussed the possibility of phasing the improvements and was concerned that
spreading out the financing would be reliant on future Councils to complete. Other
suggestions were to have it subject to a referendum and let the voters decide, rely on
donations,or issue bonds for the project.
The Council generally agreed that the cost was more than expected,though they
acknowledged that they designed the park with the amenities they wanted without a
budget in mind. Less expensive improvements could be done first and amenities added in
future years,or some things in the plan could be reduced. The Council did not want to
rely on future Councils to complete it, if phased. The Council talked about waiting until
2020 to bond the project, keeping the tax rate flat. Council agreed it needed to go back to
the Parks Commission for more discussion on strategizing and/or modifying the plan.
Miscellaneous Discussion
Council discussed the way the Council was getting paid for going to meetings,and they
talked about the length of the Mayor's term. Staff will explore how it is done in other
cities.There was brief discussion on communication in the City,online bill pay, security,
water conservation projects, and having a Hugo vehicle with passenger capacity to use
for driving groups of people.Also discusses was future needs of the Fire Department and
whether future improvements could lower homeowners' insurance rates in rural Hugo.
Conclusion
Staff will present the preliminary tax levy resolution for approval at the next regular.City
Council meeting, keeping the tax rate the same.
Miron made motion,Klein seconded,to adjourn at 8:42 p.m.
All Ayes. Motion carried.
Respectfully Submitted,
.111Y\ r\A"k"..12A.A-
Michele Lindau
City Clerk