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City Council Minutes 09-09-1993 SpecialMINUTES SPECIAL MEETING - MONTICELLO CITY COUNCIL Thursday, September 9, 1993 - 7 p.m. Members Present: Ken Maus, Shirley Anderson, Brad Fyle, Clint Herbst, Members Absent: Patty Olsen 1. Review preliminary budget proposal submitted by City Administrator, Rick Wolfsteller, and consider setting the date for the public hearing necessary in conjunction with setting the final budget and associated levy. Rick Wolfsteller reviewed 3 basic options for the 1994 budget and associated implications. The first option called for no increase in the tax levy, the second option called for a 5% increase, and the third option called for a 10% increase. Wolfsteller went on to note that for the most part, projected operations expenses have been established to match inflation; however, there are some additional expenses associated with a proposal to hire additional secretarial staff. The main reason for the increase is to support funding of capita]. improvement items needed to maintain the existing service level and improve park facilities in our growing city. Ken Maus suggested that perhaps a portion of the general fund operations expenses could be used to pay for capital improvement expenses. Maus also brought up the concept of selling a bond for some of the capital improvement expenses. This would allow us to complete certain projects without resulting in a significant jump in taxes for 1994. Council discussion focused on the budget submitted by the Parks Commission, and it was the consensus of Council that the items identified by the Parks Commission as necessary in 1994 are worthwhile projects; however, they may need to be developed over a longer period of time. After discussion, it became the consensus that a budget increase is necessary for 1994. In the past few years, there have been no increases in city taxes and, due to growth in the community and resulting increased demand for services and facilities, there is a need to allow the levy to increase accordingly. Clint Herbst indicated that he would prefer to see a 2%-3% increase. Brad Fyle indicated that he would prefer a 5% increase but no higher. He believes this is a fair budget increase given the list of projects that will need to be completed in order to maintain the existing service level. Shirley Anderson said that she would support a 5% increase if a portion of it is used for funding future necessary projects. Rick Wolfsteller said that the City should seriously be looking at a 5% increase, otherwise we will be asking the taxpayers to pay larger increases at some point in the future. Page 1 Special Council Minutes - 9/9/93 After discussion, a motion was made by Brad Fyle and seconded by Shirley Anderson to set the preliminary levy at $2,652,527, which is a 5% increase over 1993, and set the date for the public hearing for review of the budget and associated levy on December 1, 1993, at 5 p.m. Motion carried unanimously with Patty Olsen absent. There being no further discussion, the meeting was adjourned. 4e",- JeffNeill Assistant Administrator Page 2