Finance Committee

City of Verona Finance Committee City Hall – 111 Lincoln Street Verona, WI 53593-1520 MINUTES FINANCE COMMITTEE September 10, 2018 The meeting was called to order by Chairperson Chad Kemp at 6:15 p.m. in Conference Room D110 Roll Call: Chairperson Chad Kemp and Alder Kate Cronin were present. Also present: City Administrator Jeff Mikorski, Finance Director Brian Lamers, Fitchrona EMS Chief Patrick Anderson, Christine Posey and Jim Ferolie from the Verona Press. Discussion and Possible Action regarding approval of August 27, 2018 Finance Committee minutes: Motion was made by Kemp, seconded by Cronin to approve the August 27, 2018 Finance Committee minutes with no amendments. Motion carried 2-0. Discussion and Possible Action regarding 2019 Budget: Fitchrona EMS Chief Patrick Anderson went through the 2019 EMS budget. He explained to the Committee how the funding worked including run income based on a calculation per call cost and the amount budget based off of historical data. He explained that the 3rd ambulance is budgeted for only a portion of the year starting in June 2019. Anderson also explained the possibility of the City of Fitchburg annexing the Town of Madison which is estimated to increase the calls a year of about 350-400. Anderson explained that the 3rd ambulance would require 7 more new hires. Right now Fitchburg’s funding is approximately 49%, City of Verona about 45% and the Town of Verona about 5%. Other miscellaneous revenue includes things like CPR classes and events such as Ironman. Anderson explained there is a line item called Scheduled Overtime which is the schedule for the full time employees is 48 hours and pushes 8 hours to overtime as a schedule as part of the contract. Anderson went through some of the other expenditures including the line item Community Paramedicine and explained this is going out to the Community such as elderly and other areas for education and checking on people, compared to staffing for 911 calls. He stated this is the one area that wages could be controlled. There is another new line item called Sick time payout which is anyone that hits the max accumulation of sick leave and would get paid out 50% of the overage at end of year to a health saving account. Some of the increases in expenditures are due to the 3rd ambulance being added. Currently there is a fleet of 5 ambulances with 2 reserved for special events. The ambulance are kept for 4 years as front line and then back line for 4 years so by the time the resale they get about $5,000. The line item for recruitment has been reduced by $10,000 from 2018 to 2019 due to the hiring for the 7 new members. Clothing allowance increase, station expenses and computer expenses increased due to the third ambulance and the new station in Fitchburg in 2019. Anderson stated there was an increase in radio equipment of $18,150 which would replace about 30% of the radios. Computer support contracted increased and part of that was a grant ran out that was supporting $4,000. www.ci.verona.wi.us Lamers went over the TIF budgets. TIF 4 project costs expire September 2018 and the TIF must dissolve by 2023. The majority of the budget is $106,000 for Keller Burke Pay Go agreement and must be paid annually through 2023. Other expenditures include principal and interest on debt. TIF 6 expenditures ended May 2018 and the TIF must dissolve by 2023. The cost in the 2019 budget are cost still associated with agreements in place already for Well 6 and signalized intersection of Liberty Dr and CTH M. There is also the payment of principal and interest on debt. Lamers stated that this TIF should be able to dissolve early based on estimates. TIF 8 there really is nothing for 2019. Lamers state there was $1.4 million in debt taken out in 2018. Mikorski stated that was for rerunning sanitary line and would be part of a developers agreement. Lamers went over Debt and stated that the levy for debt would increase about $450,000, he stated the full listing of debt and repayments are in the binders. The levy for general debt is $4,044,681 and Library is $330,244. There will be impact fees applied from Fire, Police and Library to help pay for the debt on those buildings. There is also $137,906 applied towards Locust Bridge debt and that was paid for by developers. No action was taken on this agenda item at this time. Discussion and Possible Action regarding the payment of bills: Motion was made by Kemp, seconded by Cronin to approve the payment of bills totaling $1,031,528.20. Motion carried 2-0. Adjournment: Motion was made by Cronin, seconded by Kemp, to adjourn the Finance Committee Meeting at 6:55 p.m. Motion carried 2-0. Respectfully submitted, Brian Lamers CPA Finance Director www.ci.verona.wi.us