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HomeMy WebLinkAboutAugust 18, 2023 City Council Budget Special Meeting COMMON COUNCIL OF THE CITY JEFFERSONVILLE, INDIANA August 28, 2023 Special Meeting Minutes The Common Council of the City of Jeffersonville, Indiana met for a special Meeting on August 28, 2023 in Council Chambers. Council President Owen along with City Clerk Gill called the meeting to order at 6:07 p.m. The meeting was open to the public in person. ROLL CALL: The roll call was conducted by City Clerk Lisa Gill and those present were Councilperson White, Councilperson Burns, Councilperson Paris, Councilperson Anderson, Councilperson Webb, Council Vice President Hawkins, and Council President Owen. Councilperson Croft and Councilperson Ellis were absent from the proceedings. Let the record reflect that 7 Council Members present in Council Chambers and 2 were absent. 1. Heather Metcalf-Budget Workshop Mrs. Metcalf presented the proposed budget for 2024 and outlined the major changes. The first page has significant changes and the second page shows where the cash balances fall based on the estimated revenue minus the proposed budget. The proposed budget is fully funded,therefor revenue neutral. Mrs. Metcalf advised she reworked the budget and shifted a few things from the LIT Public Safety Fund to the Economic Development Fund. Since preparing the budget she has received the actual revenues for those accounts but she would still like to stay with the shift as it gives a balance going into surplus for both of those funds. She would like to keep more in those funds, especially the Public Safety Fund knowing the big ticket items that are in the process of being purchased. The budget presented has all of the encumbrances removed, the additional appropriations removed, there is a 3% increase for the performance increase pool in each department. The Department Heads increases are placed in the Mayor's budget again this year. The changes in the General Fund include the Police Contract being increased by $120,000 and their 457 match was increased based on their usage. In Planning and Zoning ERSI GIS License was added as a current employee is going to be able to do some of the adding and will need his own license for that software. The Fire Contract increased by$390,000 and their buyback decreased by$320,000 and their 457 match increased by $30,000. In the Finance Department the Computer Software line was increased to maintain their current software. For Vehicle Maintenance the transfer out increased by$50,000, it was decreased in other places. The Safety Specialist was under the Wastewater Department and will now be under the Safety Director, 50%of his pay will be coming out of the General Fund and 50%will come from Wastewater. For HR, the 457 match was increased by$30,000, this covers all departments with the exception of Police and Fire. The Property and Casualty Premium Line was increased by$100,000 and the HSA Contribution by$10,000. Council Vice President Hawkins asked if it is anticipated there will be an increase for the Property and Casualty Premium or if those numbers have been received for next year. Mrs. Metcalf advised there have been some talks with the Safety Director about that number and it does normally increase and there are a lot more vehicles on the City's policy now. Councilperson Paris asked how the Fire buyback works and why it was being decreased. Mrs. Metcalf said the buyback occurs when someone retires and cashes out their PTO accruals and they had a large number of retirees last this year but are not anticipating the same for next year. Council President Owen asked for clarification on the Safety Specialist. He asked if that position was the Wastewater employee they agreed to raise to retain an employee and Mrs. Metcalf stated it was. Council President Owen asked if it was discussed at that time to split the position with the General Fund and why it's being brought up now. Mrs. Page 1 of 4 Metcalf said the Administration would like to have this happen because the authority would be under the Safety Director and his pay is paid 50/50. Councilperson Burns said to his recollection it needed no change in budget when it was approved and Council President Owen stated that was the impression he had as well. Mrs. Metcalf said they could change it to be funded by Wastewater and report the Safety Director. Council President Owen asked in line with the increase for the HSA Contribution if anything in the budget addresses the change in Health Insurance leaving Humana. Mrs. Metcalf advised not at this time, that is funded as a transfer out of the General Fund along with contributions from Drainage and Wastewater. The account has a good cash balance now as it has been funded properly the past few years. Because the City is self-funded it is unknown what the claims will be and is more cash management. Council President Owen stated it is unrealistic to not anticipate an increase with the change. Mrs. Metcalf advised the City has been working with a broker who has been going out to market to get prices from other companies and a meeting is scheduled with them for the first week of September. Council President Owen asked if the same broker was being used as the individual in the past. Mrs. Metcalf advised the broker is Brown & Brown. Clerk Gill advised she could send the Council the Brown & Brown contract if that would be helpful. Mrs. Metcalf said the intention is to have open enrollment in October. For MVH the 457 was increased as well as the Overtime line as a precaution for overtime cleanup for Thunder over Louisville. In the Parks Department, they removed the City Partner Manager and added a Manager of the Depot. They are at the same level on the Salary Grid so there is no budget impact for that change. Councilperson Burns said in the meeting he was just in Mr. Northam told them $30,000 of the salary for the City Partner Manager was going to be used for BB King. Mrs. Metcalf advised that may be the case for this year but the Depot Manager position will not start until next year. In order to do that Mr. Northam would have to request a transfer from the Council and it would have to be encumbered for next year. For the LIT Economic Development there were some shifts. For Police from Public Safety there was a shift for Uniforms, Other Supplies, and Contractual Services. In Vehicle Maintenance the transfer out was increased by$100,000; $50,000 from the General Fund and $50,000 from the LIT Fund. She does not anticipate the needed amount to decrease for that line. There was a portion for vehicles that was removed and she would like to address that during their capital asset meeting this year. Under Sanitation a CLD Driver was removed and added a Crew Leader and increased Overtime for Thunder cleanup. In LIT Public Safety the Transfer Out for vehicles was removed as well as the Capital Lease Payments for Police and Fire. Those were addressed this year when some of the items were paid off early. City Pride was increased by $50,000 for the Holiday Lighting; the Economic Development Abatement Fund was removed, the revenues have decreased as abatements are falling off so it can be budgeted at the beginning of the year. One Southern Indiana is paid from that line. In the Cum Capital Development Fund the transfer out to City Pride was increased by$50,000. Mrs. Metcalf advised there is a grid showing how personal services and how they have increased (payroll). The Circuit Breaker is now at 5.1 Million. Next year was budgeted at 5.3 Million which is more than she ever thought it would be. Mrs. Metcalf advised at AIM Summit there was a really good workshop on the history of the Circuit Breaker and why things have been changed this year; the changes will effect property Taxes in 2024. Council President Owen asked what the assessed value is now. Mrs. Metcalf advised it is $2,552,000,000.00 which is for 2023, in 2019 it was $1,701,000,000. The City's Circuit Breaker is currently over 5 Million. Council President asked if they gave data on what the Circuit Breaker has saved property owners over 10 years. Mrs. Metcalf since 2013,just for the City is$47,689,000.00. Council President Owen asked what the reasoning was for the shift of almost$220,000.00 out of Public Safety to Economic Development if Public Safety Dollars only have about the same amount of cushion in the Public Safety budget. Mrs. Metcalf advised that is because she completed the budget before she knew what the final numbers were and decided to leave it that way as there will be a surplus in each fund this way but can shift them back if need be. Council President Owen asked about $221,500.00 being removed from Vehicles and if the plan was based on already having a portion of that budgeted on top of doing an Page 2 of 4 additional later. Mrs. Metcalf advised not necessarily, she was trying to find something to cut to keep from hurting the operations of the City. Council President Owen asked if they are getting to the point where all Capital Expenditures are out of the budget. Mrs. Metcalf advised the only departments that have Capital Expenditures in the budget is Police, Fire and Parks. Mrs. Metcalf advised the Council the BS&A Financial software is being converted into a web based program. They started this process 3 years ago and advised it would be final in 10 years. She advised that she does not want to get in on the tail end of things when everyone is shifting. She would like to have a discussion in the near future regarding the new software; she is aware it will be very costly and wants to make sure customer support is available. Clerk Gill advised that the program Laserfiche, the software that is used for Public documents will be sun setting over the next year and we have no idea on how much it will cost at this time to update.Just giving a heads up that this will be in the works. Mrs. Metcalf asked the Council if they wanted to get back with her regarding the Safety Manager position and how it is to be paid. Council President Owen advised he would like to see this be pulled and given to Wastewater to pay and there were no objections from the rest of the Council. Council Vice President Hawkins asked what the City's portion of the Riverboat Funds is. Mrs. Metcalf advised there is some kind of formula that determines the City's portion. Council President Owen advised that the Safety Specialist salary is to be removed from the General Budget. Mrs. Metcalf advised that would change that line item total. The question was asked, if there would be information on the insurance matter prior to the budget being finalized in October. Mrs. Metcalf advised it was hard to budget in anticipation of the change without the numbers. Councilperson Paris asked when the meeting with Brown and Brown was scheduled. Mrs. Metcalf advised the first week in September. Councilperson Paris stated it would be good to have some information by the second Council meeting in September. Councilperson White asked who will approve the Insurance. Mrs. Metcalf advised that the Board of Public Works would approve it. Councilperson White asked if there have been any bids for the Insurance. Mrs. Metcalf advised that HR has spoken with someone, however, she was not part of that process. Council President Owen verified that the $30,000.00 for 1SI (One Southern Indiana) had been taken out of the Economic Development Abatement Fund, but that funds revenue will not support that anymore. He would like that shifted into EDIT fund, make sure that stays budgeted. The Economic Development Abatement Fund was amended (2008-OR-910) and 1SI portion was taken out and it states it is solely for the funding of Economic Development projects. Council Vice President Hawkins asked when the Police and Fire contracts would be up for renegotiating. Mrs. Metcalf advised they both end in December 2024. Council Vice President Hawkins voiced his concerns regarding funding for the Health Insurance and Contract renewals for the end of next year if something is not worked out in the budget this year in anticipation for the increase to the Health Insurance line. Mrs. Metcalf advised as soon as she can get the Insurance information she will update everyone. If the information comes in after the budget is approved, it can be addressed the first part of the year(2024). Council President Owen asked when the next Budget Workshop is scheduled. Mrs. Metcalf advised the next one is for September 5, 2023 at 6:00pm and on September 6, 2023 at 5:00 pm if needed, both in Council Chambers. Page 3 of 4 Mrs. Metcalf re-capped the changes to be made to the budget prior to the next Workshop which is as follows: Revise the Summary to reflect correct numbers,take out funding from the Council General fund for the Safety Specialist and make sure that HR changes the Salary Ordinance, add $30,000.00 in EDIT to the Council's budget for 1SI and let the Council know of any information received regarding the Insurance prior to the next Budget Workshop. Councilperson White advised he would like to have something regarding the Insurance prior to the next meeting. ATTORNEY COMMENT: Corporate Counsel, Les Merkley—Not Present Council Attorney, Larry Wilder—Not Present DEPARTMENT HEAD COMMENT: COUNCIL COMMENTS: • Councilperson White—No Comment • Councilperson Burns—No Comment • Councilperson Paris— No Comment • Council Vice President Maples—No Comment • Councilperson Croft—No Comment • Councilperson Webb—No Comment • Councilperson Hawkins—Thank you Heather for your hard work on the budget. • Councilperson Ellis—No Comment • Council President Owen—Thank you Heather for your hard work ADJOURNMENT: Councilperson Burns made the motion to ADJOURN the meeting at 7:19 p.m. APROVED y: ( ( r 'AO -. ..e.___ Az./ Matt Owen, Preside ATTEST: L'sa Gill, Clerk Page 4 of 4