HomeMy WebLinkAboutcc min 1982/07/17 MINUTES OF AN ADJOURNED REGULAR MEETING
CITY COUNCIL
CHULA VISTA, CALIFORNIA
Saturday, July 17, 1982 - 8:00 a.m. Council Conference Room, City Hall
ROLL CALL
Councilmen present: Mayor Cox, Councilmembers McCandliss, Scott, Moore, Malcolm
Councilmen absent: None
Staff present: City Manager Cole, Assistant City Manager Asmus, Development
Services Administrator Robens
1. PUBLIC HEARING - (Continued from the meeting of July 13, 1982) CONSIDERATION OF
PROPOSED 1982/83 BUDGET INCLUDING USE OF GENERAL REVENUE SHARING
FUNDS (City Manager)
This being the time and place as advertised, Mayor Cox reopened the public hearing.
City Manager Cole noted the hearing was continued to this day to give staff a chance
to provide the Council with current revenue figures. He listed the actions taken
by the Council (1) maintaining the utility users tax at its current level; (2)
estabished a 4-1/2% franchise fee for trash collection; (3) included 4-1/2 million
dollars as the sales tax estimated figure; (4) the operating reserves stands at
6.2 million which leaves a shortfall of a little less than $500,000.
Assistant City Manager Asmus submitted and discussed a report entitled "1982-83
Proposed Operating Budget Status" in which he stated that the estimated operating
income was $16,101,304 (including the $145,000 investment earnings on Workers
Comp. Trust Fund); and a proposed operating appropriations of $16,528,600 leaving
a projected operating income/appropriation gap of $427,296 (not including any
potential salary adjustments). (Note: Staff reports are attached to the master
copy of the minutes).
Council discussion focused on the State's bailout funds; the motor vehicle in-lieu
and cigarette tax monies~ legislators' lack of understanding of the plight of the
cities; resolutions for the League Conference due on September 3, 1982; need for
realistic reporting of the financial figures by staff; the perspective on how
these figures are presented to Council.
Director of Management Services Thomson presented his report on "Hypothetical
3-Year Forecast for General Operating Funds". He discussed the purposes of the
3-year plan indicating that it should be helpful not only in making decisions
prior toadoption of the final budget but also to interpret and act on monitored
actual revenues and expenditures during the fiscal year. Mr. Thomson's presentation
covered the projected figures for a 3-year forecast; the methodological aspects of
the forecast (revenues and expenditures); using a 7.1 percent inflationary factor;
the budget being a "status quo" projection assuming no change in policy~ using a
higher inflationary figure for energy costs; using a conservative estimate of 3%
of the budgeted expenditures to develop the expenditure savings.
Adjourned Regular Council Meeting -2- july 17, 1982
City Manager Cole discussed the budgetary alternatives listing projected revenues
for new fees ($90,000) including annexation fees, landscape review fees, plan
check - Fire Department; and a cost for book reserves at the library. Mr. Cole
outlined other immediate alternative revenues, undeveloped alternatives and reserves
and one-time revenues.
Councilman Moore commented on the committee established a few years ago to study
the City's fee structure stating that the committee was unanimous in getting full-
cost recovery but questioned whether the City should get full-cost for all areas.
RECESS was called at 9:50 a.m. and the meeting reconvened at 10:05 a.m.
Assistant City Manaqer Asmus discussed the question: "Why a Reserve?" He concluded
with the recommendation that a 12% factor of the annual operating budgeted
appropriations should be the minimum requirement (approximately $2 million). Mr.
Asmus added that by increasing this percentage to 15% would provide additional
reserves in the event emergencies occur during the early months of a fiscal year
when cash flow problems exist.
Public Testimony: Nora McMartin, Senior Librarian in charge of the Audio-Visual
Department, spoke against loss of staff through attrition but rather to evaluate
it closely and look to see the impact those positions will have on the department.
Robert Burke, independent contractor and member of the Board of Appeals and Advisors,
noted the impact that would result if plan checkers were laid off and suggested,
instead, that the City cut out the analysts and the golf pro ("our highest paid
City Official - do we need a $64,000 employee?)
There being no further comments, either for or against, the public hearing was
declared closed.
A general Council and staff discussion ensued regarding the cut in employees; the
workload in the Building and Housing Department at this time with the downtrend in
building; time element in hiring personnel; variables that would increase staff
workloads; increased costs for "fast-tracking" plans; acknowledgement of the
difficulty encountered by employees in coming to the Council.
MSUC (Cox/Scott) for a Closed Door Session for employee negotiations. The Council
recessed to Closed DoOr Session at 10:45 a.m. and the meeting reconvened at 12:50 p.m.
Mayor Cox announced that no action will be taken on the Resolution approving the
FY1982/83 budget until such time as negotiations with the various employee groups
are completed.
2. UNANIMOUS CONSENT ITEM: RESOLUTION 10942 - APPROPRIATING FUNDS FOR COUNTY COURT
BUILDING REMODELING FOR USE AS GOVERNMENT OFFICES (Director of Building and Housing)
The resolution appropriates the sum of $5,000 from the Residential Construction Tax
to obtain the services of a designer; approves the concept of the courthouse
remodeling to house legislators and authorizes the staff to proceed with steps
necessary to carry out the remodeling (to be completed by November).
RESOLUTION OFFERED BY COUNCILMAN SCOTT, the reading of the text was waived by
unanimous consent, passed and approved unanimously.
Adjourned Regular Council Meeting -3- July 17, 1982
3. CITY MANAGER'S REPORT - None.
4. MAYOR'S REPORT- None.
"~ 5. COUNCIL COMMENTS - None.
ADJOURNMENT at 12:55 p.m. to the meeting scheduled for Tuesday, July 20, 1982
at 7 p.m.
1982-83 PROPOSED OPERATING BUDGET STATUS
Adjusted to Reflect Revised Income Estimates as Follows:
a) Sales & Use Tax $500,000
b) Franchise Taxes 66,000
c) Utility Taxes (135,000)
d) Motor Vehicle In Lieu Fees 392,000
Total 1982-83 Estimated Operating Income $16,101,3041
Total 1982-83 Proposed Operating Appropriations 16,528,600
Projected Operating Income/AppropriatioH Gap (427,296)2
1982-83 All Funds Proposed Budget Status
Estimated July 1, 1982 All Funds Balance 9,032,850
Estimated June 30, 1983 All Funds Balance 9,041,927
1Includes $145,000 from investment earnings on Worker's Comp. Trust Fund
2Not including potential salary adjustments