Finance Committee (Meets 4th Tuesday of each month at 4:30 p.m.)

Finance Committee Proceedings City of Superior October 14, 2021 Members Present: Jack Sweeney, Tylor Elm and Keith Kern Staff Present: Ashley Puetz, Deb Kamunen, Nick Raverty, Linda Cadotte, Todd Janigo, Jean Dotterwick and Darienne McNamara Others Present: Shelley Nelson, Jay Ott, Mark Pinney and Shirley Pinney Members Excused: Brent Fennessey Jack Sweeney called the meeting to order at 4:30 p.m. with a quorum present. Attendance was done by sign in and virtual meeting. 1. Approval of September 9, 2021 Finance Committee meeting minutes. Motion was made by Tylor Elm, seconded by Keith Kern and carried to approve the September 9, 2021 Finance Committee meeting minutes. 2. Approval of September 28, 2021 Special Finance Committee meeting minutes. Motion was made by Tylor Elm, seconded by Keith Kern and carried to approve the September 28, 2021 Special Finance Committee meeting minutes. 3. Approval of October 1, 2021 Special Finance Committee meeting minutes. Motion was made by Tylor Elm, seconded by Keith Kern and carried to approve the October 1, 2021 Special Finance Committee meeting minutes. 4. Request from Mark and Shirley Pinney of Shalom Place – Appeal of 2020/2021 hotel motel late filing fees and penalties. Mark and Shirley Pinney opened a vacation rental property located at 906 E 7th Street in December of 2020 and were unaware that there was a requirement to file monthly lodging revenue tax forms with the City of Superior. They are requesting the Finance Committee waive the penalty of $211.68. Motion was made by Keith Kern, seconded by Tylor Elm and carried to divide the late filing fee and penalties in half for a total of $105.84. 5. Request for approval of the 2022 Landfill Budget. Motion was made by Jack Sweeney, seconded by Tylor Elm and carried to hold in Committee the request for approval of the 2022 Landfill Budget. 6. Festival Committee action item – Review and approve the Lake Superior Ice Festival 2022 budget. Motion was made by Keith Kern, seconded by Tylor Elm and carried to approve the Lake Superior Ice Festival 2022 budget. 7. Review of the Advertising Agreement between the City of Superior and Positively Superior. Raverty spoke on the changes for the one year agreement with Positively Superior with the fee going from $11,000 to $10,000 and 15% less pages with the new contract. Motion was made by Keith Kern, seconded by Tylor Elm and carried to approve the Advertising Agreement between the City of Superior and Positively Superior. 8. Request for approval of the 2022 Information Technology Budget. The Information Technology division is operated as an Internal Service Fund. The division provides services to other city funds and in turn those funds submit funding transfers to cover these services. This department currently has larger than needed reserves and therefore a strategy to have operational expenses exceed revenues over the next few years will be utilized. Chair Sweeney wants to know who signs off on any changes to the software contract increases. Motion was made by Tylor Elm, seconded by Keith Kern and carried to approve the 2022 Information Technology Budget. 9. Request for approval of the 2022 Liability Insurance Budget. The Liability Insurance Fund is operated as an Internal Service Fund. The division provides insurance services to other city funds and in turn those funds submit funding transfers to cover the services. Cities and Villages Mutual Insurance Company (CVMIC) was formed by several municipalities to achieve budget stability, rate predictability, stable premiums and constant levels of insurance. The City of Superior is one of the participating municipalities. The benefits are level with predictable premiums and not having to incorporate an insurance company profit into the premiums, the ability to pool risk together to better negotiate reinsurance (stop-loss) needs and the ability to have more control being that the company is owned by all members. Puetz indicated the City has been working with a local agency to obtain insurance quotes. Puetz stated that the self-funded workers compensation insurance quote had significant cost savings compared to the current workers compensation insurance that is currently carried by the city. Puetz stated that the insurance carrier who quoted the workers compensation has bundled the quote with other insurances that we carry and we would have to take all or nothing as they would not allow us to carry only the workers compensation. Puetz will present the quotes at a later Finance Committee meeting. Motion was made by Tylor Elm, seconded by Keith Kern and carried to approve the 2022 Liability Insurance Budget. 10. Request for approval of additional Top Value procedures eligible for the high Value Network’s Travel Benefit. Top Value procedures which are being considered to add are the following: *Cardiac Ablation *Cardiac Catheterization/Angioplasty *Gallbladder surgery *Inguinal hernia surgery *Cataract surgery *Ear tubes *Tonsil and adenoid surgery Motion was made by Keith Kern, seconded by Tylor Elm and carried to approve the additional  Top Value procedures eligible for the high Value Network’s Travel Benefit. 11. Discussion of November 2021 Finance Committee Meeting day Motion was made by Tylor Elm, seconded by Keith Kern and carried to approve changing the November 2021 Finance Committee meeting day to Wednesday, November 11, 2021. 12. Golf course Financials – receive and file. Motion was made by Keith Kern, seconded by Tylor Elm and carried to receive and file the Golf course Financials. 13. Review September, 2021 check register. Motion was made by Tylor Elm, seconded by Keith Kern and carried to receive and file the September, 2021 check register. 14. Review General Fund Financial Statements – 2021 Expenditure vs. Budget Analysis as of September 30, 2021. Puetz stated that Kamunen had circulated an updated 2021 Expenditure vs. Budget Analysis as of October 8, 2021 and indicated the expenses are trending normally. Motion was made by Tylor Elm, seconded by Keith Kern and carried to receive and file the General Fund Financial Statements – 2021 Expenditure vs. Budget Analysis as of September 30, 2021. 15. General Financial Overview a. General updates. b. Update on top 3 financial concerns or updates. TimeClock Plus (TCP) is going well. More departments are being added to go live and the amount of time spent after payroll week will be reduced. Three people in the Finance Department are learning their new positions since duties have been redistributed due to a retirement. Chair Sweeney suggested checking with other cities on how vacation rental properties are handled and to involve the Building Inspection department in an attempt to identify new vacation rental properties. 16. Other financial matters. 17. Agenda items for next month. a. 2022 Wastewater Budget b. 2022 Stormwater Budget c. 2022 Golf Course Fees and Budget d. 2022 Economic Development Budget Having no other business, the Finance Committee meeting adjourned at 5:49 p.m. Minutes respectfully submitted by Jean Dotterwick