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2017-08-21 City Counci Budget Workshop MinutesIbrtvillc &iwoY Tuw4 tMn9. ft CRV Lft- CITY COUNCIL WORKSHOP CITY HALL - COUNCIL CHAMBERS Monday, August 21, 2017 APPROVED MINUTES 1. CALL TO ORDER Mayor Hendrickson called the meeting to order at 6:31 p.m. Present: Mayor Hendrickson and Council members Cocking, Hudson, Olson and Vetsch Absent: None Others Present: City Administrator -PWD Adam Nafstad, Fire Chief Eric Bullen, and City Clerk Kimberly Hodena 2. 2018 BUDGET DISCUSSION Nafstad stated he would like to review the additional staffing needs discussed at the previous workshop. He noted, since the last meeting, there have been some small changes to the budget. Staff received the renewal for the law enforcement contract and there is an increase of approximately 3.5% each year for the next two-year contract. Nafstad also noted there was an error in the ABDO presentation that referenced $15 million in upcoming projects, but it is really $12 million that includes the Wastewater Treatment Facility upgrades and the CSAH 19 improvements — both in 2019. Vetsch inquired if new growth, or change in tax capacity, has been captured in the budget. Olson felt that tax capacity growth was not shown in the budget numbers. Hendrickson inquired when the last street review occurred. Nafstad replied that staff will be working to update the 5 -year street capital improvement plan this year. In review of the preliminary budget, Nafstad noted that currently the total levy increase by percentage is at approximately 2.5%. He stated staff has budgeted 3% capital for parks and 5% capital for public works for equipment replacement. He also stated staff anticipates excess general fund revenue for 2018 as well. Nafstad reported on increased staffing needs. For the additional Public Works position, staff recommends a mid -summer start date in 2018, so the position can be funded over 2018 and 2019. Nafstad presented a history of the growth in public works, both in staff and tasks and services. Tasks the department has taken on consist of. in-house mechanic, code enforcement inspections, response to fire calls (three employees on the Fire Department), City Hall and Fire Dept. Page 1 building cleaning, park inspections, rental setups, utility locates, and on-call hours. Added services the department provides include various street maintenance that didn't used to be done in-house, jetting and other utility related programs, as well as, the various irrigation, mowing, and maintenance items associated with the added open spaces throughout the city. Nafstad also reported that the majority of the department is at max comp and/or vacation time. Vetsch felt the group is very conscientious about their jobs and don't want to create more work for others in the department, but he wants to make sure they utilize their benefits. Nafstad also mentioned that with a retirement in City Hall the previous year, they are looking at making that part-time position into a full-time position. He stated it is needed to provide for front counter backup and other tasks. Although, they are running out of time in the workshop this evening, the budget will be discussed at the September 5, 2017 City Council regular meeting. Hudson would like to see costs for all unfunded items and the option to remove or combine some of those items at the next meeting. 3. ADJOURNMENT The meeting was adjourned at 7:03 p.m. Respectfully submitted, Kimberly . Hodena, City Clerk City Council Meeting Minutes Page 2 Workshop Meeting of August 21, 2017