Special Session of Council

Borough of Greenville Council Minutes 10-15-18 BOROUGH OF GREENVILLE www.greenvilleborough.com MINUTES OF A SPECIAL MEETING OF THE BOROUGH OF GREENVILLE COUNCIL HELD IN COUNCIL CHAMBERS Monday, October 15, 2018 at 7:00 p.m. 1. Call to Order Benjamin Beck, Council President 2. Roll Call: Benjamin Beck, Council President Paul Hamill, Council Vice President Linda Zuschlag, Council President Pro Tempore Jonathan Bailey Sean Hall Dane Mincer Evian Zukas-Oguz Evan Hereford, Mayor Dylan Hamill, Junior Councilor Jasson W. Urey, Borough Manager James E. Douglas, Solicitor Also present: David Henderson Kelly Lema Staff: Media: Rosalynn Reagle, Administrative Assistant Caleb Stright, Record-Argus David Hetrick, Financial Assistant 3. New Business A. Motion by Councilor Bailey, seconded by Councilor Hamill to authorize payment request #1 to S.E.T., Inc. in the amount of $126,606.97 for the 2018 Manhole Replacement/Rehabilitation Project. Motion carried 7-0. B. Motion by Councilor Hamill, seconded by Councilor Bailey to advertise for a special session of Council to be held on Monday, October 22, 2018 at 7pm in the Council Chambers. Motion carried 7-0. Council President Beck asked if any of the visitors would like to make any public comments prior to the presentation of the proposed 2019 budget. Borough resident Mr. Dave Henderson complemented Council on what a great job they are doing then proceeded to discuss that residents do not pay enough in taxes for the services that are provided. Mr. Henderson suggested that Council consider a three (3) mill increase for 2019 then 1 Borough of Greenville Council Minutes 10-15-18 a two (2) mill increase for 2020 and finally a one (1) mill increase for 2021. Those increases would allow the Borough to appropriately staff the Police and Fire Departments. Council and Mr. Henderson discussed what a three (3) mill increase would look like for the average property in the Borough. The average property is assessed at $14,014.17. A three (3) mill increase would raise the annual tax amount on the average assessed property approximately $42.04 per year. C. Introduction of the proposed 2019 budget. Mr. Jasson Urey, Borough Manager, presented the proposed 2019 with the following comments. REVENUE PORTION OF THE GENERAL FUND  Real Property Taxes Mr. Urey presented the projection of the 2019 real estate collections a little lower than in 2018 along with the per capital, earned income and local services tax. Mr. Urey discussed with Council that the assessments really didn’t not change much from 2018 to 2019. There was only one property that went from taxable to non-taxable in 2018.  Business Licenses and Permits & Non-Business Licenses Permits Mr. Urey is projecting a decrease in inspection fees due to the billing cycle. It was discussed that 2018 was the first year for annual inspections and it was unknown how the billing cycles would be set up. This is adjusting for inspections that will be done at the end of the year to be billed and payments received sometime in the beginning of the following year.  Interest Earnings Mr. Urey presented that interest rates have increased some.  Rents and Royalties Mr. Urey discussed that the Borough gas wells are not producing much at all.  State Shared Revenue and Entitlements Mr. Urey explained the municipal obligations and projected state aid for the Police, Fire and Non-Uniformed Pension Plans.  Charges for Services Mr. Urey provided a reminder that the crossing guards were no long in the budget as of the end of the 2018 school year which would be the decrease in that line item. Mr. Urey also discussed the School Resource Officer line item and added that we have received great feedback from the schools on Officer Carson and the program.  Miscellaneous Revenues 2 Borough of Greenville Council Minutes 10-15-18 Mr. Urey discussed the upcoming changes in health care coverage for employees due to the consent agreement between Highmark and UPMC coming to an end. Also, the premiums will see a 4.1% increase, which is very low comparatively.  Other Financing Sources Mr. Urey discussed the proposal to transfer less from the Liquid Fuels fund for 2019 than in prior years. EXPENSE PORTION OF THE GENERAL FUND  General Government – Administration Mr. Urey discussed that every employee will be receiving a $1,000 increase in wages although the budget for 2019 remains the same as 2018. That is because the increase was realized through the $1,000 stipend that was received in 2018.  General Government – Solicitor/Legal Services Mr. Urey discussed the increase will be due to contract negotiations in 2019. It is projected at a higher rate to cover if negotiations end up in arbitration.  General Government – Engineering Services Mr. Urey presented that the projected engineering fees are lower for 2019. The bulk of the engineering fees can be paid from Liquid Fuels and/or Storm Water. The only upcoming project being funded through the General Fund is for the engineering for the Sidewalk Project along Alan Avenue. This project cannot be paid for through Liquid Fuels or Storm Water and these fees will be the matching funds for the grant received to complete the project.  Public Safety – Police Mr. Urey discussed the recommendation from the Finance Committee to promote one part-time officer to full-time, replacing Officer Bish. Council held discussions with Mr. Urey regarding wages, overtime, scheduling, etc.  Public Safety – Fire Mr. Urey discussed the recommendation from the Finance Committee to replace the retiring full-time firefighter with part-time firefighters. Mr. Urey also discussed the increase to the pension obligations, and this being true for all pension funds, is because as employees retire and are not being replaced with full-timers, there are more retirees pulling from the fund than there are working employees paying into the fund. This in turn depletes the fund much faster and increases the municipal obligation to keep the pension plan(s) funded.  Public Safety – Crossing Guards Mr. Urey reminded Council, as discussed during the revenues, we no longer have crossing guards. 3 Borough of Greenville Council Minutes 10-15-18  Public Works – Highways Mr. Urey discussed the recommendation from the Finance Committee to not replace the retiring full time street department employee leaving the street department with four (4) full time employees.  Public Works – Street Lights Councilor Hamill questioned why the payment of street lighting was not through the Liquid Fuels fund and also questioned why the special tax assessment for street lighting was taken away a few years ago. Mr. Urey responded to his questions. Councilor Hamill also informed Council that he had been researching the possibility of having solar powered street lights which had an initial cost of about $3,000 per light to purchase.  Railroad Park Mr. Urey presented that he has held discussions with the Railroad Park and they are not opposed to paying for their own rent and water understanding the financial position of the Borough.  Library Mr. Urey presented the proposed decrease in the annual contribution to the Library. Mr. Urey is waiting to hear back from the Library to hear what the minimum contribution can be with maintaining the service level for the residents.  Debt Service Mr. Urey presented that 2019 is the last payment for the police cruisers. Mr. Urey also discussed anticipating a T.A.N. in 2019. Councilor Hamill questioned if the three (3) mill increase would be something that would have to be placed on the ballot. Mr. Urey responded. Council held discussions regarding either increasing revenue or cutting more services. 4. Adjournment Motion by Councilor Mincer, seconded by Councilor Hall to adjourn this session of Council at 8:25 pm. Respectfully submitted, Jasson W. Urey Borough Manager/Secretary 4