Council Study Session

MINUTES CITY COUNCIL STUDY SESSION CITY OF MONTEREY Wednesday, May 23, 2012 4:00 - 6:00 p.m. COUNCIL CHAMBER, FEW MEMORIAL HALL OF RECORDS MONTEREY, CALIFORNIA Councilmembers Present: Councilmembers Downey, Haferman, Selfridge, Sollecito, Della Sala Absent: None City Staff City Manager, City Attorney, Director of Information Resources/City Clerk, Present: Assistant City Manager, Finance Director, Fire Chief, Human Resources Director, Community Services Director, Assistant Director Plans and Public Works, Chief of Planning, Engineering, and Environmental Compliance, Assistant Library Director CALL TO ORDER Mayor Della Sala called the meeting to order at 4:00 p.m. PUBLIC COMMENTS Mayor Della Sala opened the floor for public comments on items not on the agenda, and having no requests to speak, closed public comments. STUDY SESSION 1. Review Proposed Operating Budget for Fiscal Year 2012-13 (Finance - 406-03) Action: Received and discussed report City Manager Meurer introduced the item, and Finance Director Rhoads presented the report. He explained that despite the State’s confiscation of the RDA monies, Monterey is able to balance this year’s budget without making cuts, and he noted that in order to realize the economic revitalization desires of the community there would need to be some type of new revenue source. Mr. Rhoads said that over the long term the infrastructure funding and a need to provide employees a cost of living adjustment would have to be addressed. Councilmember Selfridge asked for additional information on the proposed survey and performance management tools prior to making a decision. Councilmember Downey expressed concerns regarding the Council’s Travel and Meetings budget. She said that she believes that some extra money is needed because Councilmembers hesitate to do more because of the financial constraints. Councilmember Haferman suggested taking a broader view of the budget, rather than just within one line item. Mayor Della Sala reminded Council that these amounts were a result of Council making cuts to their budget when they were asking for employee concessions. He suggested that Councilmember Downey bring back specific functions that she would like to attend so proper estimates could be made and Council could decide whether to fund those requests. City Manager Meurer suggested that Council could set a policy where they could bring back a specific request. Councilmembers discussed the proposed position control changes. Mayor Della Sala suggested that an additional amount of approximately $25,000 would be needed to fund independent review of the various desal projects. City Council Minutes Wednesday, May 23, 2012 Mayor Della Sala opened the floor for public comments. Nelson Vega asked about the original amount of the bond that is being proposed for refinancing. He said that cities that pay the employees’ share of their PERS contribution must pay a lower salary. City Manager Meurer said that he could share the salaries of some positions with Mr. Vega. Finance Director Rhoads said that the $12 million pension liability was the result when the safety pension fund was pooled with a larger group of people, not a bond, and refinancing it would save a significant amount of money at this time. Carl Outzen asked how much of the budget goes to the retirement program and if the unfunded liability. He asked if contracting with a private company would be more economical than the County Elections Office to conduct the election. City Clerk Gawf explained that Monterey saves a significant amount of money by holding their election in November and contracting with the County for services. She said that the per-voter cost is greatly reduced over the cost of holding an election in April, as a neighboring city does. She said that this shared services model is estimated to be far less expensive than a stand-alone election. Katy Castagne, Chief Operating Officer of the United Way, presented some details of her agency’s request for $5,000 for their 2-1-1 service, explaining that they are making this request of all cities in the County this year to continue the program. She urged Council to participate in the funding, noting that the United Way continues to work with state wide partners to look for additional funding. Having no further requests to speak, Mayor Della Sala closed public comment. Councilmember Selfridge requested a written accounting on how the money was spent on the Monterey Hotel. ADJOURNMENT Having no further business to come before the City Council, Mayor Della Sala adjourned the meeting at 5:56 p.m. Respectfully Submitted, Approved, Bonnie Gawf Chuck Della Sala Director Information Resources/City Clerk Mayor 2