Finance Committee

Office of the Clerk of Council City of Gahanna 200 South Hamilton Road Gahanna, Ohio 43230 Meeting Minutes Finance Committee Michael Schnetzer, Chair, Karen J. Angelou, Ryan P. Jolley, Thomas R. Kneeland, Brian D. Larick, Jamie Leeseberg, Stephen A. Renner Kimberly McWilliams, CMC, Clerk of Council Monday, December 8, 2014 Council Committee Rooms Immediately Following Committee of the Whole Members - Present 7 - Brian D. Larick, Jamie Leeseberg, Karen J. Angelou, Michael Schnetzer, Ryan P. Jolley, Stephen A. Renner, and Thomas R. Kneeland Attendees - Mayor Stinchcomb, City Attorney Ewald, Chief Murphy, Dottie Franey, Matt Holdren, Rob Priestas, Rory Gaydos, Tony Collins, Michael Blackford, Ken Fultz, Sue Wadley, Jennifer Teal, General Williams, Clerk McWilliams, Press. Schnetzer called Finance Committee to order at 7:58 p.m. PENDING LEGISLATION ORD-0163-2014 TO MAKE APPROPRIATIONS FOR CURRENT EXPENSES AND OTHER EXPENDITURES OF THE CITY OF GAHANNA, OHIO DURING THE FISCAL YEAR 2015. Attachments: 2015 Appropriation-1 2015 Budget Message from the Mayor 2015 Proposed Budget APPROPRIATION ORD - FINAL Schnetzer opened with one item; continuing discussion regarding the litigation reserve; noted barring any special meetings this will be the last discussion before budget passage on the 15th; not received specific questions and will defer to administration; additions and subtractions may be incorporated with tonight’s presentation; Teal brought forth operating expenses and one-time expenses; will discuss in two sections; made up of open-enrollment adjustments that arise in November and part-time reclassifications; increasing Council services and other budget adjustments discussed; Schnetzer noted operating City of Gahanna Page 1 Finance Committee Meeting Minutes December 8, 2014 vs capital on page 146; prior to adjustment the general fund at $27 million; what is the direct capital outlay versus the direct capital fund; will we fall below the planned revenue; planned increase is 1.9 million dollars; Teal clarified on the cap improvements tab, items by definition and expenses that cannot be paid out of the general fund show the capital investment by fund; noted updating the ordinance for packets on Monday; noted the one-time finite pool of resources; would move forward with presented figures; provided funding figures for boiler replacement at Hunter’s Ridge Pool; Creekside Parking Garage, and golf course fuel tank replacement; discussed first phase for Morse Rd. and Trellis project and US 62 resurfacing; discussion about sidewalks on Flint Ridge; will be taken on as a study item; will be in future conversations; funds for sidewalk not included in estimate; will be paid for out of one-time money; noted strategic plan funds, emergency lockdown supplies, and one-time records scanning; letting Council know where the scanning will fall in the budget; the administration is holding funds for the completions of the Morse Rd and Trellis projects; there is an additional placeholder for development, but don’t know what projects are yet and at Council’s request a 4.1 million litigation reserve; total “one-times” of $11.1 million leaving $3.5 million “one-times” remaining; Schnetzer inquired if this is excess; Teal confirmed; Schnetzer inquired if the holds are statutory; Teal clarified they are not; Jolley inquired difference between the $900,000 and $400,000; Teal replied it is the offsetting for revenue; it is the total expense and we believe $400,000 will come back in revenue; noted the idea it may not continue indefinitely and will cover the loss in savings; Jolley inquired since we discussed strategic planning, would like a more robust figure of $250,000 incorporated; to better serve the community; would like to see a larger commitment from Council; more work will be done; Schnetzer inquired if the figures are deliverable; Stinchcomb noted limitations; Teal noted realization of a wide range, must understand what scope is; goals setting is important from a planning aspect; have to address what success means; what is the best goal; found examples of communities that worked in this nature; was well within the $100,000; understanding what the scope is and if determined a deeper profile required and would be a joint project; Larick inquired what the terms on a contract like this would be; Teal noted rough quote from colleague mentioned a kickoff quote and pay along as the project matures; Larick inquired what expect start date for initiative and what is the duration; Teal replied depends on desired scope; models that include departmental alignment with goals and extended projects may take a few years; $100,000 figure is not based on a multi-year project; Teal noted difficulty answering question; Larick wishes to narrow down a timeframe; Teal noted projection is to have the bulk of the project completed before the end of the summer; City of Gahanna Page 2 Finance Committee Meeting Minutes December 8, 2014 Leeseberg inquired about the price tag on the current economic development project; Blackford replied current project is around $90,000; Jolley noted starting soon is preferred and summer completion is preferred; $100,000 is good for initial, but will need more for completion; what do residents wish to see and can the whole process be completed in 2015; Angelou noted attending sessions which discussed this matter; after starting development project we will have a better picture; Gahanna’s will be more intense, but other communities have made effective use of their funds; noted a community spending $12,000 of $15,000 budgeted for a whole county. Stinchcomb noted pool conversation; plan to pass on Monday; reminded by Collins that advertising for pool membership will be helping residents by permitting them to buy memberships early; by waiting for pools we may incur losses; Jolley is one-hundred percent behind keeping the pools open for 2015; Angelou noted emails referencing the pools being brought back and thanking the City Council; Stinchcomb noted that’s because it is now in the budget documents; Angelou inquired if the allotted budget included the swim club pool; Collins replied number in budget includes staying open for pools in 2015; but not included improvements for pools; will not know how pools fare until after winter; Angelou inquired if pools do not survive winter; Collins replied we have a financial plan to address pool failures all year; may not be able to charge full price if one pool is unavailable; Collins noted customer service involved; if we change for 3 pools and then only two pools are available, it would be bad for the pool membership costs; Angelou noted if pool has been looked at, it’s ok; Collins noted the assessor didn’t see the value in drilling into the concrete to assess as the pools cracks could be anywhere; Larick noted the regular costs of opening the pools are included; Collins confirmed; Larick supports pool being open next year, but supports dialogue for long terms solutions with the public; Jolley inquired of the $18,000 boiler for Hunter’s Ridge; but pool costs extra not included; discussion has to be robust and acquiring input from all members of the community and those not in attendance at some meetings must have opportunities as well; supports putting out marketing materials; going forward there will be tough positions; Stinchcomb noted this is a Band-Aid and a decision will have to be made; forces action soon; imperative to make decisions; awareness that we cannot permit continuation of this situation. Larick noted simplification of one-time records scanning; roughly $300,000; two components of records, availability to the public, and the recuperation of having a records administrator; our long-term requirements to the community, funds, revenues, and expenditures City of Gahanna Page 3 Finance Committee Meeting Minutes December 8, 2014 extending beyond the initial year of appropriation; Schnetzer noted in addition you have to observe budgets past that delayed capital expenditures; only looking at a 4% deficit after loss of revenue; can Council give administration go to put forward on the 15th ; Teal noted having a revised ordinance prepared for Monday; thanked Council and Committee for smooth budget transitioning; Jolley thanked Finance for its smooth work; Schnetzer noted nothing needed. RECOMMENDATION: Regular Agenda Schnetzer adjourned Finance Committee at 8:41 p.m. Chris Weisenberger, Reporting City of Gahanna Page 4