City Council

CITY OF SARATOGA SPRINGS CITY COUNCIL MEETING CITY COUNCIL ROOM TUESDAY, DECEMBER 16, 2003 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 Scirroco, Supervisor ABSENT: Phil Klein, Supervisor STAFF PRESENT : Bruce Brown, Deputy Commissioner, DPW Erin Dreyer, Deputy Commissioner, DPS Christine Gillmett-Brown, Deputy Commissioner Finance Debbie Harper, Deputy Commissioner Accounts Hank Kuczynski, Deputy Mayor Jeff Wait, City Attorney PUBLIC COMMENT PERIOD Peter Looker said while he did not always agree with the Council, he thanked the members of the Council for working on the Media Center Project. He said that public access on the television is a good thing and he hoped the next Council would continue to work on this access. MAYOR =S OFFICE Planning Board Lew Benton, Chair of the City Planning Board, said last December the Planning Board presented to the Council a five year strategy plan for the City’s water supply. He said he was here this evening to update the Council on the status of the water surplus supply. He explained that they netted out of the City’s capacity of 6 mgpd the 4.3 mgpd average daily use. He said they used a conservative approach when developing this plan. He noted that during the summer the average daily use is about 6mgpd and occasionally spikes to 8 mgpd during the peak months. He said the City’s safe sustaining yield is 6 mgpd. He said they set aside 1/2 mgpd as an emergency and after developing the number they believed there was a safe water supply for the next five years. He said over the last year the rate of development was accelerated and they estimate that they are 28 percent above the previous calculations. He said they believe they are at about 800,000 gallon surplus which could sustain the City for another four or five years, depending on the rate of development. He said as long as the City’s major water supply sources are not compromised, the City would be okay for another four or five years. Lew Benton said the Planning Board wanted to bring this matter to the Council’s attention so that the Council could galvanize a policy. He said regardless of where the City ultimately gets its water, the new source would likely not be available for between eight and ten years. He explained that with the County’s proposal, there is a minimum period of between two and three years for the DEIS. He said the County estimated they could complete the DEIS in two or three months. Lew Benton said the City does not have the luxury of not taking any action. He encouraged the Council to move forward and define its policy. He said the Planning Board is willing to work with the Council on this matter. He noted that the Planning Board had recommended that the County Planning Board establish a technical advisory committee to review the County’s proposal and the impact that it would have on the county. Page 1 of 11 City of Saratoga Springs City Council Meeting Minutes Tuesday, December 16, 2003 He said that cultural, social, economic impacts would be tremendous. He noted that the quality of life, the sewer district, agricultural base, transportation and school district would all be impacted by this proposal. Lew Benton said he was not recommending one plan over the other, but wanted to encourage the Council to take some action. He said the City will not have a supplemental supply on line until after the five years that they believe remains in the water supply. Lew Benton said there are three entities at the County that should be involved B water strategy management, water authority and the water committee. He said last year the City Planning Board approached the County Planning Board on this subject and the County Planning Board chair said they were not interested. He said it was incredulous for the County Planning Board to say they are not interested when this will be the single largest County public works project in the history of the County. Lew Benton said the City has approved residential development with a value of more than $100 million. He said these projects are underway and if the City wants to sustain the quality of life that now exists, the Council must come to grips with this matter. He said the County’s proposal is predicated on the assumption that the City will have an average daily demand of 5.4 million gallons in 2030 but he noted that we are almost there now. He said it was time to leave the political baggage at the door and to come together to discuss this openly and seriously. Mayor Kenneth Klotz asked about the comment that the City’s water source will not be available before 8 to 10 years. Lew Benton said even if the County fast tracks their proposal, it is a lengthy process with the DEIS; constraints such as political, legal, fiscal and environmental; and identification of interested agencies. Mayor Kenneth Klotz said that the Planning Board has time and time again stated that the City is running out of time on this matter. He said the issue was what will the City do in between the build out stage and the time the new water source comes on line. Lew Benton said the Planning Board feels comfortable that the City is a good position for another four to five years, but identifying a new water source will take a great deal of time. DEPARTMENT OF PUBLIC SAFETY Computers in the Fire Department Appearing before the Council was firefighters John VanDyke and Pat Rocco to discuss computers in the Fire Department. John VanDyke said about three years ago the Council authorized the purchase of computers for the Fire Department. He said they use a client server system with a local database. He explained that they use tablet PCS in the fire engines that are connected wirelessly to the main computers. He said they also use the GPS system. He said with the use of the client server it allows all PCS to have at the time and also allows for centralized backups. He said the data is secure and safe with only authorized personnel having access. He said the tablet PC is fully functional as a regular PC. He said they use wireless local networking so when they back into the firehouse they are connected without physically plugging in. He said they also have wireless express network that allows them when they are not at the fire house to dial into the main computer to allow access to the central database. He said the tablet is detachable and can be used outside of the fire truck. He said they currently use Verizon Wireless but they are working with SpaNet for a higher speed wireless connection. He said they hoped to connect to the police department as well. He said they use the local GPS system in the fire engines only. He said they use it for helicopter landings. He said the City Engineer’s Office recently mapped the fire hydrants in the City and they have incorporated that into their program. Pat Rocco said that his function was to operate the software. He said they use Fire Point software with more than 40 components. He said they use it for incident reporting, scheduling occupancies, inspections, training and personnel. He said this program can generate statistics and reports. He said they are compatible with the National Incident Reporting system. He said prior to the computers this was done manually. He then displayed an incident report. Page 2 of 11 City of Saratoga Springs City Council Meeting Minutes Tuesday, December 16, 2003 Scheduling: He said they can schedule manpower, track overtime, track time off, time worked, sick, vacation personal days. He then displayed a scheduling report. Occupancies: He said this is used for preplanning. He said he has gone to many of the businesses in the City to gather information. He explained their data base includes information on water shut offs, sprinkler shut offs, panel locations, silencers and building layouts. He said this comes in handy when the engine pulls up to the building for an emergency and the officer on duty will be able to locate all of the shut offs. He said prior to this it was done by guess work. He then displayed the occupancy page. Inspections: He said there is an inspection page showing what inspections are done on the building. He said they have information on the keyholder, violations, telephone numbers, hours of operation, status of violations, when the next inspection is due, etc. Training: He said they also track training including the type of training. He noted that they track who attended the training, who was the trainer, hours of training. He noted that firefighters must have a minimum of 100 hours of training each year. He then displayed the training page. Pat Rocco thanked the Council for allowing them time to make this presentation. Commissioner Thomas Curley said this shows how much more effective the fire department can be with programs and technology such as this. He said it cuts down on the response time tremendously. He said mapping the commercial buildings and having that information available on a moments notice is of great help during emergencies. He said it allows for the shut offs to be accessed much more quickly. He said the fire department is still building on this program and this show the efficiencies that they have achieved to date. He thanked John VanDyke and Pat Rocco for making this presentation this evening. MAYOR =S OFFICE Congress Park Centre PUD Amendment (03-190) Mayor Kenneth Klotz said the City had received an application to amend the Congress Park Centre Planned Unit Development District at 307 Broadway. He said the applicant was requesting two separate actions. He said the first is to extend the expiration date of the current PUD ordinance for six months from December 31, 2003 to June 30, 2004. He said due to the specific wording in the current PUD relating to extensions, the Council is able to vote on this request tonight. He said the second request is to have the Council accept the proposed PUD amendments for study and to send them to the Planning Board for an advisory opinion. Mike Toohey, representing the Eton Center, applicant, displayed the proposal from more than ten years ago and today’s proposal. He said the concept remains the same. He said they propose to give the City a solid urban block which will be the only private property that will supply enough parking for its entire development pattern. He said as they progress with this project, they plan to construct a parking garage for their tenants and for residents of the City on a paid basis. He said they were here this evening for two reasons: first, the 1993 legislation sunsets on December 31, 2003, and they are asking for a six month extension and the second that the proposed amendment be forwarded to the Planning Board for an advisory opinion and back to the Council for approval. He said if the existing legislation should sunset, the applicant would not be required to have on site parking which they believe is a benefit to both the City and his clients. He said the difference between the original proposal and this one is volume. He said they have found that the City of Saratoga Springs is in fact a vibrant community and there are people who want to be here on a commercial, retail and residential basis. He said the proposed parking garage will be on the west side so there will be a complete retail facade along Broadway. He said that parking will be in the core of the building. He said they have paid special attention for the view and lighting for the Episcopal church. Mike Toohey asked for a motion to extend the existing legislation for six months and to refer the application to the Planning Board. Page 3 of 11 City of Saratoga Springs City Council Meeting Minutes Tuesday, December 16, 2003 Mayor Kenneth Klotz moved and Commissioner Thomas Curley that the expiration date be extended for six months until June 30, 2004. Mayor Kenneth Klotz said this is a project that has taken a long time to come to fruition and many were pleased when the last of the strip mall was demolished. He said an additional six months was a reasonable request. Mike Toohey said his client will not build “monuments” in that he looks for full occupancy when constructing. He said the building that is being constructed will bring a new surge of white collar employees to the downtown area that will be very attractive on many levels. Commissioner Thomas Curley said this has and continues to be an exciting project that brings fine quality buildings to the City with good jobs and also expands the economic base for the City. Ayes all. Mayor Kenneth Klotz moved and Commissioner Thomas Curley seconded to accept the proposed PUD amendments for study and to forward it to the Planning Board for the required advisory opinion. Ayes all. Waters Edge/Woodlands Archaeological Park Transfer (03-191) Mayor Kenneth Klotz said there had been a request form the current owner/developer of the Waters Edge Woodlands at Saratoga Lake Planned United Development District seeking City Council approval for the transfer of the 25.5 acre archaeological park within the PUD to the non-profit Archeological Conservancy B a national organization dedicated to the preservation of archaeologically sensitive site. He said the PUD ordinance requires that the Council approve the transfer of this property to any other entity other than the project’s homeowners association. He said it was his understanding that the transfer had been endorsed by the State Office of Historic Preservation, the Planning Board and the PUD’s Homeowners Association. Chris Carsky, attorney representing both the applicant/developer and the homeowners association, said she was here tonight for both the sponsor and the homeowner’s association. She said the project is nearing completion and as part of the PUD process in coming to closure there is a 26 acre archaeological passive park that was part of the phase 10 site plan approval. She said the request that the ownership, maintenance and management of the archaeological park, which is currently in the name of Woodlands and the Homeowners Association, be transferred to the archaeological conservancy. She said the archaeological conservancy is the only national not-for-profit that has a purpose of acquiring and preserving sites. She said the archaeological conservancy’s president viewed the site and they are very excited about taking over the site. She said included in the deed is the incorporation of the management plan which had been previously approved by the City Planning Board. She said that the NYS ORHRP has also endorsed the management plan. She said this is a win/win situation. She said this is a very highly rated archaeological conservancy. Mayor Kenneth Klotz moved and Commissioner Thomas McTygue seconded the transfer of the ownership of the 25.5 acre archaeological park (parcel #1 and #3) to The Archaeological Conservancy and transfer of maintenance of responsibility to The Archaeological Conservancy. Mayor Kenneth Klotz said there is the additional request that the City take over a portion of the archeological park that is open to passive recreation. He said at that this time he was not prepared to bring that matter forth to the Council. Ayes all. City Flag (03-192) Mayor Kenneth Klotz said the City flag has been on display for some time now. He said after discussion with Martha Stonequist, it was agreed the incorporation date would be changed to 1787. He reminded Council members that this project started when then Deputy Commissioner Ralph Flinton made the proposal to create a City flag. Page 4 of 11 City of Saratoga Springs City Council Meeting Minutes Tuesday, December 16, 2003 Mayor Kenneth Klotz moved and Commissioner Michael Lenz seconded to approve the City flag as displayed noting the change of incorporation date to 1787. Ayes all. Sale of Paper Street (03-193) Jeff Wait, City Attorney, said the Real Estate Committee previously recommended to the Council that the sale of a paper street, Lathrop Avenue, be approved. He said there had been a request from Jim Dorsey to purchase this street, however, there were two adjacent property owners who were also interested. Jeff Wait said the Real Estate Committee was recommending that this paper street be sold to Rene Rosebrook for $3,250, to Mary Duval for $3,850 and to Jim Dorsey for $300. Mayor Kenneth Klotz moved and Commissioner Michael Lenz seconded to approve the sale of the Lathrop Avenue as recommended by the Real Estate Committee. Ayes all. Civil Service Commission Mayor Kenneth Klotz informed Council members that according to the new charter, the Civil Service Commission may not have more than one representative who is an enrolled member of a political party as another Commission member. He said the Civil Service Commission currently has three members, two of whom are from one party. He said as of January 1 there will be a violation to the charter. He said that could be changed by one member resigning or changing their party affiliation. He said he wanted to bring this to the Council’s attention. City Historian (03-194) Mayor Kenneth Klotz said that Martha Stonequist, City Historian, would be resigning after 17 years of service. He noted that she was only the second historian in the history of the City. He said this is a unique position that is part time, not civil service, not in any of the unions, no benefits and is a Mayoral appointment. He said the conditions surrounding her employment are informal but there are a number of general job duties. He said this individual holds regular office hours and fields questions from around the country on the history of the City. He said he would like full Council support on her replacement. Mayor Kenneth Klotz moved and Commissioner Thomas McTygue seconded to approve the appointment of Maryanne Fitzgerald as the new City Historian effective to the working out the transition period between her and Martha Stonequist. Commissioner Stephen Towne said Martha Stonequist had done a terrific job and it would be difficult for someone to fill her shoes. He said he had spoken to Martha Stonequist and she fully endorsed Maryanne Fitzgerald as the new city historian. He said there initially was a contract between Martha Stonequist and the City and he suggested the contract be updated and executed with Maryanne Fitzgerald. Ayes all. Appointment (03-195) Mayor Kenneth Klotz announced the appointment of Eileen Finnernan to replace Steve Markovits on the Zoning Board of Appeals. Neighborhood Notification Policy (03-196) Mayor Kenneth Klotz said he had met with Commissioner Thomas Curley on this matter last week. He reminded Council members that this topic began last summer during the discussion on the Kaydeross House Page 5 of 11 City of Saratoga Springs City Council Meeting Minutes Tuesday, December 16, 2003 construction. He said at that time he attempted to make a proposal that would create a policy for automatic neighborhood notification, however, there was some concerns on that proposal. Mayor Kenneth Klotz then moved and Commissioner Thomas Curley seconded the following text, “When the City becomes aware in any way of an intention by any agency or organization to site a group home within the City, owners of property within 100 feet of the site shall be individually informed by the City. Nothing in this policy shall be construed as an attempt to interfere with the legal rights of agencies or organization to site group homes. The City reaffirms its obligation and intention to follow governing state laws in these matters. ” Ayes all. Executive Session Mayor Kenneth Klotz requested an executive session for the purpose of land acquisition discussion. Community Service Mayor Kenneth Klotz thanked, Linda Benton, Jeff Wait and Hank Kuczynski for their years of service to the community during his administration. He said Linda Benton had served four years as his executive assistant dealing with the day to day demands of the position. He said Jeff Wait, City Attorney, took a pay cut of more than $40,000 to become the City Attorney. He said Jeff Wait normally worked 70 or 80 hours each week with no vacation. He said, Hank Kuczynski, also took a pay cut of $25,000 to become the City’s first deputy Mayor. He thanked all three members of his staff for service the people of the community. ACCOUNTS DEPARTMENT Approval of City Council Workshop Meeting Minutes B November 25, 2003 Commissioner Stephen Towne moved and Commissioner Thomas Curley seconded to adopt the November 25 workshop meeting minutes. Ayes all. Approval of City Council Meeting Minutes B November 26, 2003 Commissioner Stephen Towne moved and Commissioner Michael Lenz seconded to adopt the November 26 meeting minutes. Ayes all. Approval of City Council Meeting Minutes B December 2, 2003 Commissioner Stephen Towne moved and Commissioner Michael Lenz seconded to adopt the December 2 workshop meeting minutes. Ayes all. Award of Bid B Hydraulic Dump Material Trailer Upon the recommendation of the Department of Public Works, Commissioner Stephen Towne moved and Commissioner Thomas McTygue seconded to award the bid for the hydraulic dump material trailer to Versatile Trailer Sales of Gansevoort for $5,148 (lowest bidder meeting specifications). This bid has been reviewed by the Purchasing Department and meets the City ’s purchasing guidelines. Ayes all. League of Women Voters Survey Review Commissioner Stephen Towne said at the last Council meet, Barbara Thomas, League of Women Voters representative, made a presentation on handicapped accessibility at the voting locations. She said they surveyed 25 polling places and found that 11 were fully handicapped accessible. She noted, however, that there were areas of deficiencies where the City could likely become compliant. He informed Council members that Deputy Commissioner Debbie Harper is working with Barbara Thomas to review those sites for noncompliance and to then develop options to assure that they become fully accessible. Expense Recovery and Reimbursements via Risk Manager Page 6 of 11 City of Saratoga Springs City Council Meeting Minutes Tuesday, December 16, 2003 Commissioner Stephen Towne said that Marilyn Rivers recently began exploring expense recovery and reimbursement due to a request for a department. Marilyn Rivers, Risk Manager, said she had been working with DPW on recouping medical expenses. She said NYMIR has agreed that the City is covered for this expense and will be fully reimbursed. Commissioner Thomas Curley thanked Marilyn Rivers for working with his department on this reimbursement. He said like every other department in City Hall, cost containment was an issue and he thanked Marilyn for assisting his department in this recovery. Commissioner Stephen Towne said this position was intended to be the point person to enhance the safety for the City as well as to improve insurance premiums. He said this cost recovery could amount to between $3,000 and $5,000. He said he was glad that departments were asking questions and willing to work with her on matter such as these. Extension of Bid B Road Sand Upon the recommendation of the Department of Public Works, Commissioner Stephen Towne moved and Commissioner Thomas McTygue seconded to extend the bid for Road Sand with Cranseville Aggregates until January 2, 2005, under the same terms and conditions. This bid extension has been reviewed by the Purchasing Department and meetings the City ’s purchasing guidelines. Ayes all. FINANCE DEPARTMENT Payroll B Approval Commissioner Michael Lenz moved and Commissioner Thomas Curley seconded to approve the following payrolls: December 5, 2003 -- $366,062.71 and December 12, 2003 -- $406,681.49. Ayes all. Warrants -- Approval Commissioner Michael Lenz moved and Commissioner Stephen Towne seconded to approve the following warrants: 2DEC03- -- Warrant 2-34 General Fund $1,546,705.74 City Center Authority 14,242.90 Water Fund 8,962.68 Sewer Fund 580,783.82 Capital Project 64,720.88 Special Assessment District 200.00 West Avenue SAD -0- Trust Fund -0- Debt Service -0- Community Development 24,251.62 $2,239,867.64 MC031210 B Warrant 2 - 11 General Fund $ 512,692.08 City Center Authority 9,128.40 Water Fund 19,350.23 Sewer Fund 1,656.23 Capital Project 1,600.00 Special Assessment District -0- West Avenue SAD -0- Trust Fund -0- Page 7 of 11 City of Saratoga Springs City Council Meeting Minutes Tuesday, December 16, 2003 Debt Service -0- Community Development 6,672.77 $ 551,099.71 Ayes all. Budget Transfers Commissioner Michael Lenz moved and Commissioner Stephen Towne seconded to approve the budget transfers as presented (Attachment A). Ayes all. Budget Amendments Commissioner Michael Lenz moved and Commissioner Stephen Towne seconded to approve the budget amendments as presented (Attachment B). Ayes all. 2004 Tax Rates (03-197) Commissioner Michael Lenz moved and Commissioner Thomas Curley seconded to adopt the following tax rates: General Fund inside $6.45 General Fund outside: $6.30 Capital Fund inside: $ .70 Special Assessment District: $ .72 Ayes: three; Nays: two (Mayor Kenneth Klotz and Commissioner Thomas McTygue). Motion carried. 2004 Department Fees (03-198) Commissioner Michael Lenz moved and Mayor Kenneth Klotz seconded to adopt the 2004 Department Fees as presented (Attachment C). Ayes all. Commissioner Thomas McTygue said at some point he may want to make a change to the unscreened compost fee but he would bring that to the Council at a later time. 2004 Health Insurance Contracts (03-199) Commissioner Michael Lenz moved and Commissioner Stephen Towne seconded to authorize the Mayor to sign the agreement with Empire Health Choice HMO and MVP Health Care as previously distributed. He said the funds were within his budget. Ayes all. DEPARTMENT OF PUBLIC WORKS Accept Street for Snowplowing Only (03-200) Commissioner Thomas McTygue moved and Commissioner Michael Lenz seconded to accept Ellis Avenue for snowplowing only. Ayes all. Rental of Casino Chairs (03-201) Commissioner Thomas McTygue said that in May 2000 chairs were purchased for the Casino to be used as rentals for events held at the Casino. He said at that time a special account was to be set up for the funds from the rental and those funds were to be used for maintenance at the Casino. He said that account was set up for the years 2000 and 2001. He said he would now like to have the funds from 2000, 2001, 2002, 2003 and 2004 placed in that account. Page 8 of 11 City of Saratoga Springs City Council Meeting Minutes Tuesday, December 16, 2003 Therefore, Commissioner Thomas McTygue moved and Commissioner Michael Lenz seconded that the funds for 2000-2003 be added to this account and that the funds from 2004 be placed in this account. He said that some wall heating units would be purchased with these funds. Ayes all. Appointment Commissioner Thomas McTygue moved and Mayor Kenneth Klotz seconded to allow Bruce Brown to return to his position as Supervisor Foreman in DPW effective December 27, 2003. He noted that Bruce Brown will resign as Deputy Commissioner of DPW effective at midnight on December 26 and would then become the Supervisor Foreman effective December 27, 2003. He further noted that Bruce Brown would retain his longevity date of November 30, 1992. Ayes all. Other Commissioner Thomas McTygue thanked Mayor Kenneth Klotz for his years of service to the City as Mayor. He said Mayor Kenneth Klotz had spent many hours in City Hall carrying out the duties of the Mayor’s Office. He said Mayor Kenneth Klotz had done a commendable job and he would be missed. DEPARTMENT OF PUBLIC SAFETY Computers in the Fire Service Previously discussed. Parking Lot Discussion and Vote (03-202) Commissioner Thomas Curley said that this information was circulated late this afternoon. Tony Izzo said that it was important to properly place the signage at the parking lots for defense reasons. Commissioner Thomas Curley moved and Mayor Kenneth Klotz seconded that the City Ordinance Section 225 be amended for the following parking lots and they be signed as follows: “November 1 through April 15 B Parking Lot Closed, 3:00 a.m. to 7:00 a.m.” at the Broadway lot, eastside between Caroline Street and Phila Street; Broadway lot eastside between lake Avenue and Grove Street and the Putnam Street Parking Structure upper deck. Commissioner Thomas McTygue said this would allow for plowing to be done. Tony Izzo said it was not always easy to defend ordinances but with the signs stating the hours, it would be easier to do so. Ayes all . SUPERVISORS Anthony Scirroco read into the record the information from the recent County Board of Supervisors meeting. He said that County budgets have been up sharply throughout the State and especially in the Capital District, as they are bombarded by the spiraling costs of medical inflation and the poor performance of the stockmarket. He said the County had not been exempt from these concerns, but careful control over expenses for the past decade and the continuing growth of the County have softened the blow. He said the tentative County budget holds the line on taxes and maintains their promise to stabilize property taxes at $2.60 per thousand through 2005. Page 9 of 11 City of Saratoga Springs City Council Meeting Minutes Tuesday, December 16, 2003 He said that for the second straight year, overall expenses for the County are up sharply. Total spending is up by 8.25% to $198 million. While that is the largest budget in the County’s history, it is still the smallest budget in the four Capital District Counties and the only one under $200 Million. The spending increase is somewhat worse than it sounds. He noted that capital spending is down, while general fund spending is up by about 10 percent. Virtually all of their increases in expenses are a result of the lagging stock market or medical inflation. He said that with the deletion of the increases in Health Insurance, Insurance, Retirement, and Medicaid, spending would be up by less than the rate of inflation. He said that Social Services spending continues to be the largest cost center, and this year the County will spend more than $55.5 million on that department, which is nearly 40 percent of their total general fund budget. That's an 8.5 percent increase over 2003 and a 60 percent increase over the Social Services budget from just 5 years ago. The net cost of Social Services spending will increase by nearly $3 million, or more than 10 percent over last year. Medicaid, which is up by $3.3 million is driving increases in the Social Services budget. He said the $27 million Medicaid bill is more than 83 percent of property tax levy. He said that four out of every five dollars residents pay in property tax goes to Medicaid bills. He said that we will be paying a lot more for employee benefits this year. The same medical inflation that is driving Medicaid increases is also affects employee health insurance costs. He said they have made provisions for a 14 percent increase in health insurance premiums, which adds $2 million to County spending. Retirement costs are also up sharply in the 2003 budget. The poor performance of the stock market in general and the New York State Retirement's Stock portfolio in particular will cause the retirement premiums to triple next year, adding $ 3.5 million to appropriations in the tentative budget. He said Medicaid costs are a problem, but the other mandated expense programs are also up sharply. Community College tuition will cost taxpayers $6.3 million and the preschool handicapped children's program will cost us a total of $13.5 million with the net cost to taxpayers at about $5.4 million. The cost of these mandates exceeds the property tax levy. He said that if the County was only responsible for paying for the programs we operate, they could completely eliminate the property tax and have $6.2 million left over to improve recreational opportunities for our citizens. He said Capital expenditures are actually down $1.3 million from last year. He said the County funded the renovation of the jail this year, as well as several other one shot items. Capital spending on their roads and bridges has not been cut back and they can expect them to be maintained which they have come to expect. He said that all projects approved by the Long Range Capital Committee were included in the budget. He said that the County budget is balanced which means there is nearly $190 million in revenues budgeted as well as $8.2 million in fund balance appropriation. He said their revenues have continued to be strong, despite a general weakness in the national economy. He said that the County has paid close attention to sales tax revenue this year. While the formula devised by the Board was never designed to increase the County's share of the revenue after Saratoga Springs implemented their own tax, generally strong economic conditions within the County and the opening of several new and major sales tax generators in Clifton Park and Wilton had a dramatic and positive effect on their collections. The Treasurer's estimates have them earning more than a million more than budgeted this year and there is no reason not to expect another healthy increase in 2004. He said that $41.5 million was budgeted for sales tax collections, which now accounts for more than 21 percent of their budget revenue. He noted only about 16 percent comes from property tax. He said property tax revenue is truly the only discretionary revenue in this budget. He said the Board of Supervisors pledged three years ago, and this budget does keep the property tax rate at $2.60 per thousand of assessed valuation. One of the reasons is the incredible growth that Saratoga County has been able to maintain for the past 25 years. In 2003, Saratoga County's tax base grew by nearly 11 percent to more than $12. 4 Billion and as the Luther Forest Tech Park develops, that number will go even higher. He said that 20 years ago, their tax base was only about $2.5 Billion which equates to a growth rate of about 400 percent or 20 Page 10 of 11 City of Saratoga Springs City Council Meeting Minutes Tuesday, December 16, 2003 percent per year. The long-term integrity of their tax stabilization plan relies upon this growth as much as it relies on controlling expenses. He said after 2006, the County’s property tax will no longer be sustainable. He said that much of this has to do with State mandates. However, the single largest factor that contributes to the problem is the increase in taxpayer support that they project will be necessary to maintain Maplewood Manor. The archaic funding structure and massive industry problems have every Nursing Home in the State in near crisis condition. He said the system rewards facilities that specialize in rehabilitation programs. He explained that reimbursement is higher for rehabilitation patients rather than nursing homes patients. He said that victims of Alzheimer's disease and other mentally debilitating syndromes are awarded a low reimbursement package, therefore, making them difficult to place. The reimbursement they currently receive is related to the last year in which we made capital improvements. He said they regularly get inquiries from private sector firms about buying the Maplewood Manor because by purchasing it, they would get to use 2003 as their base year instead of 1985, which we are using. That's the difference between running a profitable facility and costing taxpayers $6 million per year. Things have gotten so bad that some municipal operators are considering replacing perfectly good facilities with new ones, just to take advantage of the reimbursement. Obviously, this sort of system needs to be overhauled. By the end of next year, we will have to make some hard decisions about how we run the facility and what our future is in this area. Nursing homes are desperately needed in this County and the Maplewood Manor is one of the best in the business. However, the additional taxpayer expense we are looking at is not inconsequential. He said they will not be able to sustain the current tax rates beyond 2006 unless they can get control over this issue. He said that the reform of unfunded mandates should also be a top priority for the County in 2004. A recent series of articles in local newspapers have noted that the state and local tax burden in New York far exceeds the burden in any other state and that the unfunded Medicaid mandate is the chief culprit for the situation. He said the County has voiced their opposition to this budget buster for more than two decades, with only sporadic relief to show for our efforts. He said that maybe a better informed populace will force the state to deal with this problem. He said though that the problem cannot be resolved by simply changing the pocket from which the taxpayer pays. He said that real research must be done to discover why the program in New York is 50 percent higher than the national average and real changes need to be made in the administration of the benefits. He said the County must continue to make relief from unfunded state mandates their top priority for budget year 2004. EXECUTIVE SESSION Mayor Kenneth Klotz moved and Commissioner Thomas McTygue seconded to adjourn to executive sessionat 8:45 p.m. to discuss land acquisition. Ayes all. Council members returned at 8:55 p.m. and reported that no action was taken. ADJOURNMENT Commissioner Thomas McTygue moved and Commissioner Michael Lenz seconded to adjourn the meeting at 8:55 p.m. Ayes all. There being no further business, Mayor Kenneth Klotz adjourned the meeting at 8:55 p.m. Respectfully submitted, Kathy Moran Approved: Clerk Page 11 of 11