City Council Worksession

Watertown City Council Work Session Mayor Steve Washburn Lindsay Guetzkow Adam Pawelk Michael Walters Dan Schuette 9/14/2021 - Minutes 1. Call To Order And Roll Call Mayor Steve Washburn called the Watertown City Council work session to order at 5:32 p.m. on Tuesday September 14, 2021 in the council chambers of City Hall. Council Members Present: Washburn, Michael Walters, Lindsay Guetzkow, and Adam Pawelk. Staff Present: Interim City Administrator Jeff O’Neill and Administrative Services Director Lynn Tschudi. 2. New Business 2.I. 2022 General Fund Budget Memo Administrative Services Director Tschudi presented a slide show of the high points for the 2022 preliminary budget. Tschudi said the total tax capacity for the City of Watertown increased by 8.88% from 2021. Five percent of this was due to existing home value growth and three percent was due to new home construction. The total levy for 2022 is proposed at $2,771,880, a 6.03% increase from 2021. Tschudi explained that because the tax capacity increased and the levy increase was not astronomical, the City tax rate actually decreased from 56% to 53%. Impact the average valued home was less than a three percent increase from 2021. Tschudi reviewed the detailed General Fund budget for council. She explained the revenues are estimated using conservative numbers as they have in the past. The building services model will be changing in 2022 due to the JPA with Delano ending in the near future so an estimate of cost has been used. Tschudi stated there is still hope to implement a new utility billing/accounting software so the technology line item has increased by $12,000. The wages are estimated using the proposed market study data provided by David Drown & Associates. Tschudi said a full-time public works employee has been left in the budget for now because of increased work load over the past two years with added trails and sidewalks as well as parks. Council Member Pawelk asked Tschudi about the increase for technology. He was concerned that the amount seemed high. Tschudi explained that the software conversions would require an annual commitment. Tschudi said the virtual server was prepaid for five years and the City should begin to anticipate that expense as well. Pawelk would like to see this amount cut if possible.  and sidewalks as well as parks. Council Member Pawelk asked Tschudi about the increase for technology. He was concerned that the amount seemed high. Tschudi explained that the software conversions would require an annual commitment. Tschudi said the virtual server was prepaid for five years and the City should begin to anticipate that expense as well. Pawelk would like to see this amount cut if possible. Council Member Guetzkow asked about reducing the amount paid for Rails to Trails fireworks by $500 being that the cost should decrease for 2022. She would also like staff to connect with the school district to inquire about sharing a part time community service officer. Mayor Washburn and Council member Guetzkow voiced the importance of staff development and team building. Washburn would like to see $20,000 put aside for goal setting and team building to include staff and council. 2.II. 2022 Budget Schedule Tschudi said the preliminary General Fund Budget will need to be adopted at the September 28 meeting. Other workshops will include CIP and the Enterprise Budgets. 3. Adjournment Mayor Washburn adjourned the workshop at 6:25 pm. 309 Lewis Avenue South; P.O. Box 279, Watertown, MN 55388 __________________________________________________________ Steve Washburn, Mayor ATTEST:__________________________________________ Lynn Tschudi, Admin. Services Director