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HomeMy WebLinkAbout2013 08-05 CCP Joint Session with Financial CommissionAGENDA CITY COUNCIL/FINANCIAL COMMISSION JOINT WORK SESSION August 5, 2013 7:00 P.M. Council Chambers City Hall 1.Call to Order 2.Approval of Agenda 3.Overview/Introduction 4.Review of Budget Documents a.First Draft Budget Expenditures and Reductions b.2014 Maintenance of Standards Budget i.Personnel Cost Increase ii.Other Costs Increase c.Budgets Addition Benefits and Priorities d.Balancing the Budget i.Options ii.Recommendation 5. Next Steps a.Final General Fund Budget Review — August 19, 2013 b.Preliminary Levy and Preliminary Budget Adoption — September 9, 2013 c.Utility Fund Review d.Enterprise Fund Review e.Public Meeting — December 2, 2013 f.Pay Plan, Utility Rates Adoption — November 25, 2013 g. Final Levy and Budget Adoption — December 8, 2013 6. Miscellaneous 7. Adjourn COUNCIL and FINANCIAL COMMISSION ITEM MEMORANDUM DATE: August 2, 2013 TO: City Council and Financial Commission FROM: Curt Boganey, City Managq SUBJECT: 2014-15 Budget Preparation General Fund Recommendation: It is recommended that the City Council and Commission consider the following budget policy issues: 1.Establishment of a maintenance of standards budget 2.Establishment of an expanded services budget 3.3% maximum levy 4.5.5 % statutory maximum levy 5. Appropriation of LGA for General Fund Background: Since our last budget meeting we have been reviewing general fund budget requests in view of the general budget direction provided by the Council and Commission. The previous policy direction includes the following: •Build a budget focused on the Strategic Goals of the Council •Minimize the reliance on LGA for ongoing operations •Consider budgets with a maximum levy of 3% and 5.5% levy limit •2% general wage adjustment •Identify the impact of tax levy on commercial/industrial properties Since our last budget meeting Mr. Jordet has announced his plarmed departure from the City. In light of this significant change we have concentrated a good deal of our efforts on producing a balanced budget. Our objective for Monday night is to put in place the final parameters for the production of a balanced budget. We will be seeking final direction on the levy maximum and on the maximum use of LGA as a potential funding resource. Furthermore we will be seeking final direction on services levels. The three charts attached describe where we are in the General Fund process and how we arrived at this point. Chart #1 describes initial departmental budget requests and reductions that have been proposed to arrive at a budget the essentially maintains the status quo in terms of service delivery and budgetary practices. Chart #2 describes the added costs that occur without any change in staffing, services, or budget practices. These are simply costs that are assumed to be necessary to maintain current standards. „ . Mission: Ensuring an attractive, clean, safe, inclusive community that enhances the quality of life for all people and preserves the public trust COUNCIL and FINANCIAL COMMISSION ITEM MEMORANDUM Chart #3 describes the budgetary gap in funding that we need to close, if we are to adopt the maintenance of standards budget. If there is any expansion of services or expenditures beyond the M of S budget, the gap would be further increased. 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