City Council

CITY OF POCATELLO, IDAHO CITY COUNCIL MEETING - BUDGET DEVELOPMENT MARCH 1, 2018 Mayor Brian Blad called the City Council meeting for budget development to order at 9:** a.m. Council members present were Heidi Adamson, Roger Bray, Rick Cheatum, Jim Johnston and Linda Leeuwrik. Joyce Stroschein, Chief Financial Officer/Treasurer gave an overview Fiscal Year 2019 Budget Strategy items. RESERVE REVIEW - Summary of Tax Funds – Excess Reserves available for use on one time capital needs were reviewed. Street ($847,466.00), Cemetery ($109,184.00), Airport ($99,882.00), Library ($263,930.00) Video Services ($130,434.00), Liability Insurance ($198,563.00), Public Works ($58,253.00), Environmental Science ($133,501.00) and Property Abatement for abatement issues and demolition ($64,340.00). Funds needing to build reserves - General Fund (improved from 80% of goal to 98% of goal) $152,123.00; Recreation Fund (improved 74% of reserve requirement) $169,383.00; Worker’s Insurance Fund (increased experience rating 6% in Fiscal Year 2018) $282,911.00. INTER-FUND FUEL RATES FOR BUDGETING – Comparisons from Fiscal Year 2018 were given and proposed rates for Fiscal Year 2019 are not yet available. The rates are measured from March 1st thru February 28th. Staff will review rates during the March 8th Budget Development meeting. 100% FEE SUPPORTED FUNDS (UTILITY RATE STUDY) – Raftelis Financial Consultants, Inc. completed a five-year budget plan for the Utility Funds in the fall of 2013. A 5 year budget plan for fiscal years 2015 through 2019 was created. Scheduled fee increases for Fiscal Year 2018 are: Sanitation 3%; Water 4%; and Water Pollution Control 3%. The increase in expenditures will be budgeted to complete expected capital projects and to meet customer demands for service. UTILITY RATE STUDY – Utility fee increases for Fiscal Year 2019 are based upon the 5-year budget plan created by Raftelis Financial Consultants, Inc. Fee increases for Fiscal Year 2019 will be as follows: Sanitation 3%; Water 4%; and Water Pollution Control 3%. The increase in expenditures will be budgeted to complete expected capital projects to meet customer demands for service.  2 CITY OF POCATELLO BUDGET DEVELOPMENT MEETING MARCH 1, 2018 PROPERTY TAX REVIEW – Highest non-exempt property tax $28,349,836.00; Property Tax replacement dollars $353,411.00; Amount qualified for 3% increase $28,703,247.00. Additional property tax allowed based on the 3% rule is $861,097.00 in Fiscal Year 2019. FOREGONE TAX FOR FISCAL YEAR 2019 DEVELOPMENT – Ms. Stroschein explained there is a limitation on the percentage the City can levy of certain funds and the funds were reviewed. She cautioned Council about “capping out” on the funds. NEW CONSTRUCTION TAX – New Construction Value (Fiscal Year 2018) - $28,879,927.00. Ms. Stroschein noted that New Construction is calculated based on the previous year’s levy rate. New Construction additional tax dollars available - $320,901.00. ONE-TIME CAPITAL CONTINGENCY FUNDS - This budget is $2,031,048.00. These funds include: General Fund Non-Department $1,751,106.00; and Capital Acquisition Fund $279,942.00. Expended to date: Purchase of property $1,003,250.00 and pending remodel of property; Ross Park Restroom $612.00. Balance of Contingency Dollars - $1,027,186.00. NEW PERSONNEL REQUESTS – Ms. Stroschein gave an overview of new personnel requests that would reflect an increase in the General Fund and other funds. Also positions that were denied by Council in previous budget periods were presented for their consideration for the new budget period. COMPENSATION – Employee Pay Plan – Move 1 step on the pay plan tables, Merit vs Pay for Performance Fire and Ambulance Contract (Including Management) – 1% increase  3 CITY OF POCATELLO BUDGET DEVELOPMENT MEETING MARCH 1, 2018 Part Time Pay Table - Increase table by 1.5% Work Comp Experience Rating – Budget Year 2018 was raised by 6%, Does Council wish to raise the rating by 6% from 65.96% to 71.96%? Ms. Stroschein announced the next Budget Development meeting will be held March 8, 2018 There being no further business, Mayor Blad adjourned the meeting at **:** a.m. APPROVED: BRIAN C. BLAD, MAYOR ATTEST AND PREPARED BY: RUTH E. WHITWORTH, CMC, CITY CLERK