Finance Committee

200 South Hamilton Road City of Gahanna Gahanna, Ohio 43230 Meeting Minutes Finance Committee Michael Schnetzer, Chair Karen J. Angelou Brian D. Larick Jamie Leeseberg Nancy R. McGregor Brian Metzbower Stephen A. Renner Kimberly Banning, Clerk of Council Monday, August 13, 2018 Council Committee Room *Immediately Following Committee of the Whole ITEMS FROM THE DIRECTOR OF FINANCE - 2018-0162 2018 Q2 Report Bury reviewed the attached report; 55% of planned revenue ; slightly higher than expected; compared to 2017 we are up about 5% or $751K; income tax had the largest increase; property taxes and other revenue make up the majority of the remaining increase; it was expected for property taxes to increase due to the re-appraisal; General Fund expenditures are about 42% of planned; a little lower than expected, but encumbrances are at about 68% of planned; compared to 2017 we have increased about 4% mainly related to personal and contract services; transfers in/out are at 34%, 92% of planned; transfers out include the $6.9 million in the capital improvement fund; fund balance is about $18.7 million, decreased $5.1 million at the end of the Q2, mainly due to the transfer to the capital improvement fund; the plan for 2018 was to use about $5.9 million; page 4 is the income tax increase; there were some individual and the withholders there were increases; the net profit shows a big drop; not sure what is going on with the net profits; we have contacted the state to see if we can find out what has been filed; the assumption is that there is a delay with those opting in to the state and when distributions are being made to the city; appears on target with our funding. Angelou stated that there is a surplus of $147 million in the State of Ohio which the Governor wants to give an income tax reduction and put $68 million in the rainy day fund; should we be taking a position on this and write State Representative Anne Gonzales regarding the reduction of local government funds; giving back to the citizens is fine, but it came City of Gahanna Page 1 Finance Committee Meeting Minutes August 13, 2018 from the local government funds; perhaps we should think about it; Schnetzer said it’s possible there would be some value in it, however he believes the decision by the Governor is made. CONTINUED BUDGET DISCUSSIONS - 2018-0153 Updated Capital Needs Assessment (for years 2019-2023) Bury shared that since the Capital Needs Assessment (CNA) was distributed it was determined that a request from the Department of Parks & Recreation was missing and included are two new requests; these documents can be added to the previous request; the 2019 funding of $500,000 for the McCutcheon Road Park, Phase II was left out of the original request; the Southwest Floodplain Park is a new request for land acquisitions in order to have continuance land from Johnstown Road all the way to Price Road; currently the land separates what the city owns and operates, at this time the land is not for sale; this prepares us for the possibility of a sale; the last additional CNA is from IT to update the Disaster Recovery Plan now and in the future and possibly do some testing of the plan. 2018-0073 2019 Budget Discussion Documents Schnetzer requested any comments or questions should be sent to him for consolidation and distribution to staff; Larick stated that when looking at the request, go with the current funding available; Schnetzer stated that the RITA model shows a third, a third, and a third, which he feels is excessively conservative which has significant implications for what can be done in 2019, if staff might want to research. ADJOURNMENT 7:25 p.m. City of Gahanna Page 2