HomeMy WebLinkAbout04/11/2000 Study Session MinutesII.
III.
PLACE AND DATE
Marana Town Hall, April 11, 2000
CALL TO ORDER
By Mayor Sutton at 6:02 P.M.
PLEDGE OF ALLEGIANCE
Led by Mayor Sutton
ROLL CALL
COUNCIL
Bobby Sutton, Jr.
Michael Reuwsaat
Ora M. Harn
Ed Honea
Herb Kai
Jim Blake
Roxanne Ziegler
Mayor
Vice Mayor
Council Member
Council Member
Council Member
Council Member
Council Member
Present
Present
Present
Present
Present
Present
Present
STAFF
Michael Hein
Jocelyn Entz
Jane Howell
Roy Cuaron
Dave Smith
Town Manager
Town Clerk
Human Resources Director
Finance Director
Police Chief
IV.
Ye
APPROVAL OF AGENDA
Upon motion by Council Member Ziegler, seconded by Council Member
Blake, the agenda was unanimously approved.
ORDER OF BUSINESS
A. Discussion - FY 2000-01 Budget Review
Mike Hein: Stated that this second part of the budget process is
predicated upon general agreement with revenue estimates. Tonight
fixed costs and CIP would be added then subtracted from revenue to give
a discretionary funding and proposed departmental allocation from the
discretionary funding. The department heads will be given the allocations
tomorrow, and they will have three or four weeks to turn those numbers
around and then appear before you for a series of justification meetings of
the allocations.
MINUTES OF COUNCIL:STUDY SESSION
APRIL 1I~ 2000
Roy Cuaron: There is a big increase in fixed expenses. $1.2 million
increase for debt service for series 2000 bonds issued for the new
municipal complex. This is $800,000 over last year. Other big items are
town memberships based on the Council's commitment to fund GTEC for
their campaign program -- $20,000 per month for up to $200,000. We will
have paid $100,000 in 5 months. There is also a utilities increase for the
Development Services Center.
Roy Cuaron: I feel confident that the fixed costs we show here are good
numbers and good justification. There is an 18% increase in dependent
coverage.
Council Member Honea: Regarding CDBG/Home grant - allocations are
not going up?
Cuaron: We are doing a better job in programming using rollover money.
Vice Mayor Reuwsaat: What about debt increase? Arbitrage?
Roy Cuaron: We are not in arbitrage in debt service.
Vice Mayor Reuwsaat: Lease costs ?
Roy Cuaron: These reflect the court, Development Services Center and
the police annex.
Mike Hein: Lease costs are why we are anxious to see a new municipal
complex.
Roy Cuaron: Described the process of determining what goes on the CIP
list. Curt Dunham facilitated this year's CIP meeting which identified
projects from last year as well as new requests. The result is a
prioritization process of the projects that the committee felt should be
included and then funding sources were identified. The projects totaled
$26 million, with $2.6 or $2.4 million funded within the general fund.
$12.3 million or 47% was targeted for transportation capacity and
improvement projects.
Mike Hein: Some projects were bumped ahead to avoid arbitrage on
bond projects. Some were moved out of CIP, such as for parks - linear
and added flexibility for construction on at least one to three parks in
Continental Ranch. These were moved to USE OF RESERVES. He
2
elaborated on use of reserves for specific projects than using surplus for
operating expenses.
Mayor Sutton: Regarding the Vehicle Replacement Program.
Roy Cuaron: We are replacing existing equipment and/or vehicles as
needed. He read a list of vehicles that need to be replaced as identified in
the CIP. Mr. Cook looked at a variety of things to determine when each
vehicle would run its useful life.
Council asked for review of the prioritization and the process of the CIP.
Mr. Hein and Mr. Cuaron both expanded on the 5-year process. Mr.
Cuaron further elaborated on moving projects according to bond,
assumption or general funding capabilities. He noted that capital
increased more significantly than projected revenues, therefore, keeping a
conservative approach is prudent.
Mayor Sutton: Expressed some concerns over the web page design of
$60,000 and holiday banners for $100,000. Mr. Hein addressed the banners
by stating that both he and Mr. DeGrood feel that the Town must do more
to distinguish our community visually from other communities. One way
is to equip light fixtures in the commercial district with banners. There
would be some recurring expense and related capital (i.e. bucket truck
that also works for signal and lighting program).
Roy Cuaron: Addressed the web page design cost. A variety of comments
from Council Members ensued. It was noted that there is a critical need
for current information to be on the site. Presently, staff does not have the
time to design this project, although at the time the MIS manager was
hired, it was thought that this position could manage this task.
Subsequent review has determined that this is not the case. Larry Lenz is
handling all computer-related problems at this time, in part due to a
magnitude of system problems with intra-communication at DSC that had
not previously been identified. Larry has now integrated the entire DSC
with a uniform-system design. Staff is trying to be careful about calling
on Larry for user error problems.
Vice Mayor Reuwsaat: When interviewing for the design team for the
new municipal complex, make sure they have expertise to fully integrate a
system.
MARANA TOWN COUNCIL
APRIL 11, 2000
Vice Mayor Reuwsaat: Asked for clarification on the cost of 12 computers
for the recreation center. Mr. Cuaron responded that the recreation center
has been the step-child of the town up to the present. Neglect is not an
option anymore, since staff will remain where they are when the new
municipal complex is built. They are not on a true network now. We are
allowing budget capacity. Vice Mayor Reuwsaat: Just make sure it's
necessary.
Mike Hein responded to Vice Mayor Reuwsaat's query about work-at-
home computer stations. General discussion of inter-office and intra-office
communication between staff and staff and Council ensued. The
consensus is to monitor the situation that will enable all persons to utilize
equipment that will serve projected needs.
General discussion of airport expenditures. Most of the funding of projects
is anticipated to come from grants.
Vice Mayor Reuwsaat: Automation of traffic signals. Roy Cuaron: There
has been some work on traffic light integration in the current year budget
to allow us to tie into City of Tucson using our controller room for access.
Mayor Sutton: Let's go to operating allocations.
Roy Cuaron: The department allocations for operating budgets have
decreased except for two departments. The allocations appear to be fair
based on previous budgets. In DSC, since the Santa Cruz River linear
park study was put under CIP, there is $75,000 that can be reallocated.
Other studies are being funded in CIP, hence the decrease in allocations.
Parks & Recreation has one of the biggest allocation increases because of
the lack of inmate labor. Council Member Honea: Have we looked at
using employees to do the work instead using contract labor? Vice Mayor
Reuwsaat: It may be more feasible to contract at this time due to the rapid
growth the park department is experiencing. Once the park catches up, so
to speak, another look at adding staff rather than hiring contract labor
would be appropriate.
Mayor Sutton: Raised some concerns about understaffing and the fact hat
we should be aware of the growth in order to maintain level of services
necessary to assist the public and residents.
Mike Hein: The next item is police pay. In other areas there is such a
demand for police officers, and in response, Tucson has really taken the
initiative to increase the base salary. Oro Valley is contemplating a large
percentage increases. We're not looking to pay the same as the City of
Tucson or Oro Valley for every position. When the market shifts so
dramatically for such a vital service, ! think we need to respond. I know
we forwarded to you the manager's recommendation, and what I think
we need to do is increase positions in the police department, and what
that means for the certified officers and dispatchers is a $4,000 increase. I
think it's fair, it's just and I think it will show the police department that
we appreciate what they're doing and that it's a market-driven economy.
That is not factored in our budget. That net result is another $300,000.
which is a fairly significant pill to swallow given tight revenue estimates.
I've told you how I propose to get $72,000. I propose to get the rest by
working with department heads on some of the CIP, but mostly through
operating. If you looked at a year-to-date actual and projected year-end
estimate on expenses, all of our departments would be under budget and
below this year's allocation estimates. But I didn't want to penalize
departments in this process and develop a culture whereby department
heads would say "let's spend the farm or they'll give it away." I've talked
to the big departments and asked them to give if they have it to give to
accommodate the police department.
Discussion of potential pay raises by Council Members. The consensus
was that there is a big displacement among officers, sergeants and
lieutenants and that an across-the-board increase would not necessarily
reflect the additional responsibilities of those categories. A clothing
allowance increase was also discussed. Chief Smith gave a detailed
report of what comprises a clothing allowance. The current clothing
allowance is $600.
Mike Hein: In proposing the increase, the biggest concern was for the
officers - to close the gap with other local jurisdictions. The sergeants
were adjusted a little bit last year. If you adjust officers, I don't want to
compress the scale. In theory an officer could be paid more than a
sergeant could and a sergeant could be paid more than a lieutenant and a
lieutenant more than the chief. It also provides incentive to move up in
the organization. We did not look at the clothing allowance this year, but
we can address that issue.
We also want to come to you within a couple of months with incentives,
performance bonus schedules based on training, education attainment to
reward those who go out and achieve certain goals which would total
another $15,000 for officers. So I think $4,000 is a good number and keeps
the compression issue outside.
MINUTES OF COUNCIL STUDY SESSION
MARANA TOWN COUNCIL
APRIL 11, 2000
Discussion about bringing all employees to a "valley market" scale
ensued.
VI.
Recess at 7:56 p.m. Reconvened at 8:12 p.m.
Mike Hein: Thanked Council for their comments and restated the reasons
for his manager's proposal and the recommendation of $4,000. Merit
reviews have opportunities to increase the separation between officers,
sergeants and lieutenants. Further discussion about whether the across-
the-board increase would include the 2% annual salary adjustment and
merit and whether dispatchers were included in the increase. Mr. Hein
and the Council again addressed the issue of compression of salaries. The
purpose was to adjust based on a market condition, not to alleviate
compression. We have not seen out-migration yet, but we run the risk of
outside agencies coming to our communities and recruiting our officers.
It was suggested by Council that a $4,000, $5,000 and $6,000 incremental
increase be given for officers, sergeants and lieutenants, plus the merit.
Because of the nature of this meeting, only discussion/direction can be
given - no formal motion can be made.
This appears to be both market and scale adjustment.
ADIOURNMENT
Upon motion by Council Member Harn, seconded by Vice Mayor
Reuwsaat, adjournment of the study session was unanimously approved.
The time was 8:47 p.m.
CERTIFICATION
I hereby certify that the foregoing minutes are the true and correct
minutes of the Marana Town Council Study Session held on April 11,
2000. I further certify that a quorum was present.