City Council

CITY OF SARATOGA SPRINGS CITY COUNCIL WORKSHOP CITY COUNCIL ROOM TUESDAY, OCTOBER 29, 2002 7:00 P.M PRESENT: Commissioner Thomas Curley, DPS Kenneth Klotz, Mayor Commissioner Michael Lenz, Finance Commissioner Thomas McTygue, DPW Commissioner Stephen E. Towne, Accounts ALSO PRESENT: Anthony Scirocco, Supervisor Phil Klein, Supervisor STAFF PRESENT: Bruce Brown, Deputy Commissioner, DPW Christine Gillmett-Brown, Deputy Commissioner Finance Bob King, Deputy Commissioner, DPS Hank Kuczynski, Deputy Mayor William McTygue, Director, Utilities James Ruhle, Department of Public Safety Denise McDonald, UHA Director Paul Male, City Engineer Linda Terricola, Recreation Department Director Bob Spratt, Recreation Commission 2003 Budget Workshop Commissioner Michael Lenz said it was his intention to go through the budget line by line this evening to review those revenues and expenditures that have large increases and/or decreases. He said he would then request an explanation from the Commissioners on those line items. He said that after he had reviewed the proposed budget with Council members individually, he would submit a budget proposal to Council members. Mayor=s Office Mayor Kenneth Klotz said his department had been conservative in their projected revenues and perhaps with some further discussions with his deputy there could be some modification. Mayor Kenneth Klotz said the largest increases in his budget were for the three new positions. He said the new charter calls for a Human Resources Director by January 1, 2004. He reminded Council members that members of the Charter Review Commission had visited him and other Council members encouraging an accelerated implementation of the Human Resources Director. He pointed out that there are cost savings in hiring a Human Resources Director through handling labor issues, savings on legal expenses, increase in productivity and morale, etc. He said it is almost a scandal that the City does not have a Human Resources Director. He said he had not requested that this position be included in his office, however, the Charter Commission had placed it there and determined that he should identify a salary, part time support staff and some renovation of City Hall space to accommodate this position. He said the total dollar amount requested to fund this position, renovation, supplies, equipment was more than $100,000. Mayor Kenneth Klotz said another position he was seeking funding for was an assistant building inspector. He reminded Council members that there is a continual backlog during the summer months for building permits and he has heard from many developers about this delay. He said the delay can sometimes be as long as four or five weeks. Page 1 of 7 City of Saratoga Springs City Council Workshop Meeting Minutes Tuesday, October 29,2002 Mayor Kenneth Klotz said the third position which he was requesting funding for was an assistant planner. He distributed a memo from Geoff Bornemann, City Planner, outlining the duties and responsibilities of that potential new position. He said duties of the Planning Department are numerous between the standing boards and the ad hoc committees. He noted that there will likely be some parking initiatives that will lead to committees and additional planning work. He said it is likely that there could also be a parking authority established which would require participation of the City Planner. Mayor Kenneth Klotz said those were the largest increases to his budget. He pointed out that the Mayor=s budget is only 6 percent of the total overall budget, therefore, any amount decreased would be rather small. He said he could probably increase his revenues and some cuts that could be made, however, they were not large cuts. Commissioner Michael Lenz reminded everyone that the total overall tax increase at this point is near 57 percent. He said that is a number that he is not comfortable with, therefore, he considered this a starting point downward. Mayor Kenneth Klotz said he had received a request from the Saratoga Springs Preservation Foundation for a rather substantial increase in their budget. He said it had been his practice in the past to simply move those requests forward. He said it did not mean that the Council needed to support the request. He noted though that the SSPF stated that in previous years funding was at $35,000. Mayor Kenneth Klotz said in some cases it was difficult to accurately reflect the budgetary increases, because in many cases, the line items have already been squeezed. He said in some cases it was simply time to adequately fund the line item, however, it then appears as a significant increase. Commissioner Michael Lenz agreed that there are some rather small increases monetarily, however, they come across as a high percentage. Commissioner Michael Lenz noted that there were some increases in the Mayor=s budget for individuals that were not contractual. He also noted that the increase for the Human Resources Director and ancillary items in connection with that position were significant. Commissioner Michael Lenz then asked about the proposed increases in the Engineering Department budget. Paul Male, City Engineer, said his department has put off over the last several years purchasing of some software and infrastructure needs for the department. He said he also proposed purchasing a laptop that would likely be reimbursable from the Department of State. It was agreed that if this item was budgeted as an expenditure, it should also be budgeted as a revenue. Paul Male said they have also requested some additional hardware such as a scanner, that could conceivably be put off another year. He said they regularly add files for the maps and there is a need for cubicle space for existing employees. He said they would require an additional vehicle if an assistance building inspector was funded. He said perhaps the vehicle repair line could be reduced, but he urged the Council to maintain the line item for summer help. He said the summer intern is critical in assisting Scott Palmer in mapping the City=s infrastructure. He said there could be a savings in the consultant line if an assistant building inspector was hired because they would not need to hire Jeremiah Healy. Commissioner Michael Lenz asked for clarification on the $80,799 in the assistant building inspector line. Paul Male said that was for the existing assistant building inspector and an additional amount included for the new hire. Commissioner Michael Lenz asked why the increase for the telephone operator was more than 3 percent. Mayor Kenneth Klotz said he was not sure, however, he would check. Mayor Kenneth Klotz informed Commissioner Michael Lenz that the dues for NYCOM was $5,374. Commissioner Michael Lenz asked about the increase for the Senior Citizens Center. Mayor Kenneth Klotz said he had not been approached by the Senior Citizens Center this year for an increase, but assumed they would Page 2 of 7 City of Saratoga Springs City Council Workshop Meeting Minutes Tuesday, October 29,2002 want what they requested last year, therefore, he included the additional amount. He said their core amount is proposed to go from $36,000 to $46,000 plus an additional $1,000 for office supplies. Commissioner Michael Lenz asked about the Urban Heritage Program. Mayor Kenneth Klotz said some of the increase was due to the request for air conditioning. Commissioner Michael Lenz noted that the special programs line item went from $26,000 to $30,056. Denise McDonald said it was due to a salary increase. She said last year it was under budgeted so in order to meet the salary needs this year it needs to be increased by about 15 percent. Commissioner Michael Lenz asked about the receptionist. Denise McDonald said they currently have a part time clerk at 17 1/2 hours a week. She said they have no other support staff and they simply need help in the office and education outreach programs. Commissioner Michael Lenz asked if the part time clerk position funding would be folded into the new receptionist. Denise McDonald said yes. Commissioner Michael Lenz noted that there are some other misc. line items that have high increases. Denise McDonald said one of those lines was for landscaping. She said that Mike Ingersoll, The LA Group, is willing to donate the landscaping design. She said that she has spoken to Senator Bruno=s office and he may be willing to give something if the City matches the amount. Commissioner Michael Lenz asked about the Zoning Board of Appeals lines. Mayor Kenneth Klotz said that he would be willing to look at those lines again. Finance Department Deputy Commissioner Christine Gillmett-Brown said they have an increase in the postage line item due to an increase in the postal rate and a new machine. She said they have also moved some expenses to more appropriate line items, therefore, the amount shown as an increase was significant, however, there was a corresponding decrease elsewhere in their budget. She said this will now allow for more consistency in budgeting and tracking. She noted that the expenses for the auction are all recouped except for the auctioneer. Mayor Kenneth Klotz asked if the labor attorney had been included. Deputy Commissioner Christine Gillmett- Brown said yes. Commissioner Thomas McTygue asked about the 40 percent decrease in revenues. Deputy Commissioner Christine Gillmett-Brown said some of the revenue line items were left blank because they don=t yet know what they will be. She suggested that Council members look at the bottom line for last year=s property tax and note that it was about $7 million. Commissioner Thomas McTygue noted that the Mayor=s Department had decreased their revenues. He said it appeared that his department is the only department that showed an increase in revenues. Deputy Commissioner Christine Gillmett-Brown said there is a discount offered to taxpayers who pay their taxes early and that anticipated amount had been budgeted. She said there is an anticipated increase for Internet access and computer costs from $36,400 to $58,650. She said there will also be an increase for Munis support. She noted that with the death of Jim Linn, it will now be necessary to hire someone to fix the utility department computer system. Deputy Commissioner Christine Gillmett-Brown noted that there would be an increase in the retirement system payment by at least 6 percent and that would be compounded by the fact the employees will make more. She said she recently got an e-mail which stated that the increase would likely be even more. She noted that much of the increase was due to the decrease in the stock market. She said the City will now need to budget more than $1 million compared to the $100,000 last year. Commissioner Michael Lenz noted that the City has done quite well in this area over the last several years; however, now that the market has fallen, the cost will increase. He said it was an item where there was simply no choice. Deputy Commissioner Christine Gillmett- Brown said it was likely it will take three to four years before the market rebounds. Mayor Kenneth Klotz noted that often the estimates given to the City have been conservative and he hoped we would fall below the estimate. Page 3 of 7 City of Saratoga Springs City Council Workshop Meeting Minutes Tuesday, October 29,2002 Deputy Commissioner Christine Gillmett-Brown informed Council members that under the pension programs there will be two additional individuals and there would also likely be some back pay for a former fire chief. She said there is an estimated 20 percent increase in health insurance, although some of the HMOs were not as bad as previously predicted. She said those increases were less than anticipated because the City moved into a larger pool when establishing the new co-pay. She said they also need to include an amount in the budget to reimburse the co-pays. She also noted that there had been discussion on finding new health insurance for those employees who live out of state. She said a new plan could be more expensive, however, the existing coverage is not adequate. Mayor Kenneth Klotz asked if they had been working with the unions on this out of state insurance. Deputy Commissioner Christine Gillmett-Brown said she did not recall any concerns expressed on this issue. Mayor Kenneth Klotz said he thought there was some suspicion expressed. Deputy Commissioner Christine Gillmett-Brown said there was some concern about paying two deductibles; however, if they change on January 1, it would only be a small group of people and there would be no change. Deputy Commissioner Christine Gillmett-Brown noted that the property tax fund balance had not yet been budgeted. Deputy Commissioner Christine Gillmett-Brown said that for about every $80,000 added to the budget it would increase the tax rate by 1 percent. She said interest and penalty payments are down. She said they are estimating the sales tax at $8.3 million which was a number given to them by the County Treasurer. She said they would continue to monitor that number. Deputy Commissioner Christine Gillmett- Brown said there will be a minor increase in the hotel occupancy tax if the Council and State adopt this proposed increase. She said the NYRA admissions tax was budgeted at $252,000 but came in at $332,000. She said OTB continues to go down but the mortgage tax had increased significantly. She said 2002 was an unusual year for mortgage tax though with many homeowners refinancing. Department of Public Works Commissioner Thomas McTygue said his projected budget has a total overall 6 percent increase, however, 3 percent of that is due to contractual increases for labor contracts. He said he did include some new items in his budget, but they were requests that he had made over the years that had not been approved. He said he did budget for a new screen for the Music Hall and other small improvements at a cost of $3,500. He said one of the other new items included was a fire alarm system for City Hall, which was mandated, at a cost of $28,750. He said he also proposed $25,000 for new sidewalks on City owned property, $50,000 for improvements at High Rock Park to make it more pedestrian friendly and $11,000 for a new chiller unit for the Casino. He said he could probably make the High Rock Park proposal a phased project over two or three years. He pointed out that at the Casino a decision must be made to turn off the air conditioning and then to go with heat. He said once that decision had been made, there was no going back to air conditioning. He said with a new chiller unit, it would allow more flexibility with the conversion from one to the other. Commissioner Thomas McTygue pointed out that his revenues are up almost 6 percent. He pointed out that his budget had the lowest increases in the budget and his requests were minimal. Commissioner Michael Lenz asked about the account clerk typist position and whether it was being replaced or eliminated. Deputy Commissioner Christine Gillmett-Brown said she believed there was a title change in that position. Commissioner Thomas McTygue said there were two temporary positions that were combined under one position. He said there was a title change for Joette Delaney midway through the year but there were no new employees. Commissioner Michael Lenz asked about the utility rates. He said the City recently switched utility companies and theoretically there should be a savings. Commissioner Thomas McTygue reminded Council members that the coldest months had not yet arrived. He said although only $34,476 of the budgeted $85,000 had been expended he expected the rest would go with the colder months coming. Commissioner Michael Lenz asked about the 36 percent increase in the phone line item. Commissioner Thomas McTygue Page 4 of 7 City of Saratoga Springs City Council Workshop Meeting Minutes Tuesday, October 29,2002 said they have added more phones. Commissioner Michael Lenz asked about the equipment rental increase from $25,000 to $100,000. Commissioner Thomas McTygue said that was due to rental of milling and rolling machines for the CHIPS program. Commissioner Michael Lenz asked about the landscaping increase. Commissioner Thomas McTygue said they plan to do some extensive work near the Spirit of Life and the Chamber of Commerce Visitor Center to make them more pedestrian friendly. Commissioner Michael Lenz asked about the compost facility increase. Commissioner Thomas McTygue said the expense of upkeep on the grinding machines is significant. He said they also rented a piece of equipment of Warren County to grind the large trees and they hoped to rent it again. Department of Public Safety Commissioner Thomas Curley said the contractual obligations for his department are the major impact. He said that accounts for about $400,000. He pointed out that approximately 91 percent of his budget is labor. Commissioner Thomas Curley said he has budgeted for a new copier at a cost of about $10,000. He said that Kevin Kling has recommended some significant changes on the police department computer system. Commissioner Michael Lenz suggested that perhaps the computer estimate was high and it could be reviewed. Commissioner Michael Lenz asked about the overtime money for the computer work. Commissioner Thomas Curley said that money would be used to pay Kevin Kling to do the work. Commissioner Thomas Curley said the overtime line item for the dispatchers was high, but again it was driven by contracts. Commissioner Michael Lenz noted the increase in the vehicle line from $130,000 to $140,000. He asked if there would be corresponding revenue/expenditure for the child passenger seat grant of $30,000. Commissioner Thomas Curley said yes. Commissioner Michael Lenz asked about the lease of the parcel for truck inspections. Commissioner Thomas Curley said he anticipated an increase in that lease. Commissioner Michael Lenz asked about the increase in the Juvenile Aide Officer equipment. Commissioner Thomas Curley said it was for a small copier. Commissioner Michael Lenz asked about the utility traffic line item. Commissioner Thomas Curley said it was for new lights. He also noted that Niagara Mohawk would now charge additional fees for traffic lights. He said there was also a proposal to update traffic signage so additional funds were required for new signage. Commissioner Thomas Curley noted that the Stop DWI program has an increased from $3,000 to $25,000 under the overtime line. He said there is funding from the county in the amount of $36,000 grant and they will now draw down on that line item as they do with other grants. He said it was simply a different tracking method. He said it still totals $36,000 but would allow for better tracking and accountability. Commissioner Michael Lenz asked about the parking enforcement officer part time position. Commissioner Thomas Curley said they have previously drew that funding from another line item and he simply wanted to add an appropriate line item to pay for this position. He said this person would cover additional time during the summer and vacations and holidays. Commissioner Thomas Curley said there are some contractual increases in the fire department and the Council recently approved four new positions. He said there was an increase to EMS supplies, house supplies and repairs and maintenance of vehicles. He said the City currently has two back up fire trucks that are in need of significant repairs. Commissioner Michael Lenz pointed out that there was a significant change to some revenues. He said they had to account for the revenue but than wrote it off. Deputy Commissioner Christine Gillmett-Brown said there was about $512,000 that had to be booked but approximately $250,000 was written off. It was noted that there would be some other modifications with the NYRA expenditures. Commissioner Thomas Curley said he would meet with Commissioner Michael Lenz on the revenues of his department. Deputy Commissioner Christine Gillmett-Brown noted that the were some decreases in the revenues in DPS, however, some of that was due to the decrease in grants that would be received. Commissioner Thomas Curley agreed saying that some of the grants they had previously received were now coming to an end. Accounts Commissioner Stephen Towne said the Accounts Department has the smallest budget of all. He said some of the increases in his department were substantial but they were limited to a few items. He noted that the Page 5 of 7 City of Saratoga Springs City Council Workshop Meeting Minutes Tuesday, October 29,2002 increase in the professional service line was due to certioriari cases. He said there were a few cases that would become quite active next year (Niagara Mohawk, Quadgraphics and Ball Metal) and there could potentially be high exposure for the City. He said there was an increase in the phone/fax line but that was due to a mandate from the state for licensing procedures. He noted there was a significant increase in the senior steno position, however, that was due to an upgrade approved by the Council last year. He said there was an increase in the custodian pay, however, that was mandated by the Board of Elections to make the pay equal for both custodians. He said there was an increase in the poll watcher line, however, that was due both the primary and general elections for next year. Commissioner Stephen Towne said the largest increase was for liability insurance. He said that went up 109 percent. He said because of the additional premiums for new vehicles at about $25,000 and the 20 percent increase in rates as suggested by NYMIR the line item would increase significant. He noted that NYMIR has suggested the 20 percent increase in rates was for the average customer, however, the City is not an average customer due to our loss history. Commissioner Stephen Towne said that there were some changes in the medical/casualty/self insurance line due to the change in the level of deductibles. He pointed out that last year the deductible amount was $2,500 now it is at $25,000. Commissioner Stephen Town said there was a loss of revenue from the vendors at the track, because those spots were taken away. There is a decrease in the Bingo revenue line due to the Elks Club moving out of the city. He said there is a loss in the state grant revaluation line because we no longer meet the threshold of valuation of parcels. He said we are entitled to a grant from the state based on the relationship of sales value to assessed value and we have fallen below that level. He said if the City goes through another revaluation, we would be eligible for that grant money again. He said our rating was at 93, however, we are now in the high 80s. He said we were notified early this year that we would not be eligible for the funding this year or next. Commissioner Michael Lenz thanked both Commissioners Stephen Towne and Thomas Curley for decreasing their budgets before tonight=s meeting, per his request. Recreation Department Bob Spratt, Recreation Commission, said unfortunately, there was a revenue over projection this year, but they have made most of it up. He said, therefore, they are projecting approximately $806,000 for revenue next year. He said they expect expenditures to increase by about 22 percent, however, about 50 percent of that increase was due to maintenance issues. He said some of the key items for next year are $96,000 for resurfacing the tennis courts, replacing the wading pools on the west side and $6,400 for basketball hoops and nets. Mayor Kenneth Klotz asked if the $96,000 would come from the capital budget. Bob Spratt said it could be a capital budget item. Bob Spratt said they also proposed new programs for the summer at $7,800 for girls and boys basketball and Lacrosse. He said there is also a proposal for training for coaches and referees at a cost of $2,500. He said that training would be minimal, however, it would be quite useful. Bob Spratt said there was a loss in the Camp Saradac line. He said they propose to increase the hourly rate to employees from $7/hr to $8/hr in hopes of drawing better counselors. He said there was a mandate from the state in the amount of $32,000 for additional staffing at Camp Saradac. He said the ratio will be reduced from 7:1 to 5:1. He said they are also proposing additional field trips and bus rentals with a total increase of $54,000 in that line. Commissioner Michael Lenz asked about the office equipment. He noted that many departments have been operating on an austerity budget. Bob Spratt said they need items such as monitors, inventory data base software, a new copier, new desk and phone line. Commissioner Michael Lenz said it appeared that most of the increases were due to an increase in equipment. He said he would like to meet with members of the Recreation Commission to review and prioritize these items. Commissioner Thomas McTygue asked what was the lighting for Weibel Avenue Ice Rink. Linda Terricola said it was an enhancement to the existing system that would be used for special events. She said it could bring in additional revenue to the City with additional bookings. Deputy Commissioner Christine Gillmett-Brown pointed out that the Recreation Department did ask for additional lines to give better definition, tracking and accountability of expenditures. Page 6 of 7 City of Saratoga Springs City Council Workshop Meeting Minutes Tuesday, October 29,2002 Commissioner Michael Lenz thanked everyone for their presentations. He said it was clear that additional cuts were necessary and he would need to meet with each department to review and prioritize their needs. Capital Budget Mayor Kenneth Klotz said he had been reviewing the capital budget requests and he would forward a copy of that proposal to Council members. Commissioner Michael Lenz said there was some question as to what would go under the capital budget rather than in the general budget and he was developing a policy on that matter and would get it out to Council members next week. He said that policy will clearly identify where items should be placed. Mayor Kenneth Klotz said it would also be helpful if the Council could have the latest projections on the Connolly limitations. ADJOURNMENT There being no further business the workshop was adjourned at 9:00 p.m. Respectfully submitted, Kathy Moran Clerk Approved: Page 7 of 7