Admin Committee Minutes 1997 02-25-97 UNITED CITY OF YORKVILLE
Committee Minutes -.Administration
Date of Meeting: February 25, 1997 Location: 111 W. Fox
Time Convened: 6:40 P.M. Time Adjourned: 8:50 P.M.
Attendees:
Tony Scott
Jerry Lynch
Richard Scheffrahn
Art Prochaska
Jeff Spang
Jim Nanninga
Discussion:
1.) Budget Review - Nanninga said the General Fund revenue is at 85
percent. Expenditures are at 80 percent. The Water Fund revenue is
at 81 percent. Expenditures are at 80 percent. He is watching
revenue and holding down expenditures. Parks revenue is at 83
percent. Expenditures are at 82 percent. Everything looks, very
positive. There are only a few line items over 100 percent. The
Dictaphone is showing 399 percent, but once the Grant is received
then that will show the revenue. The State will not send Grant
money until they see it spent. Prochaska feels the Development fees
are encumbered funds. Scheffrahn said you can still borrow from
encumbered funds. Prochaska would like to see the City get away
from large borrowing The State thinks you should increase funds to
cover repairs. The City will be taking money from the Utility Tax
Fund to build a cushion. Once tap fees start coming in then money
will be release back. Nanninga had made a list of Capital
Expenditures where purchases could be held back but the list needs
to be redone. Nanninga said that the list was only done as an
example. Too much of the list is from encumbered funds. Prochaska
said the City needs to be very careful with Development funds. The
Building Fund should cover any capital expenditures. The Library
building will be covered with the Municipal Building Fund. The Library
has an account fQr Building Expansion Only. Half of the money can
not be spent on Capital Expenditures. The other half has to be spent
on books and Capital Expanses. Prochaska will check on the Capital
part. Prochaska does not want an us and them. The Library is a City
owned building just like the Court House, the Police Department', etc.
Mayor Johnson is working on the budget for 97/98. The process has
been started. Nanninga has projected Building permits at 150 for the
97/98 fiscal year. Fox Hollow expects to be done in one year.
2.) Employees First Contact Policy - Prochaska has received some
complaints. Prochaska would like to have policy for complaints and
how they are handled. Complaints needs to go to the ap ropriate
parson. Prochaska would like committee members to IoN it over and
bring back to next meeting.
3.) Treasurer's Report - December and January reports are finished.
Spent more in December. Numbers have increased from last year.
Before the close of this fiscal year, need to go over the borrowed
r - I
Page 2 -
from and borrowed to, to make sure there are no negative numbers.
Money borrowed from Water Department, from Trust and Agencies,
and Sewer Maintenance funds ail have negative numbers. Prochaska
asked how can you borrow more money than what is there? .
Scheffrahn said it was like this when he came in. Sometimes you
borrow it and then pay,it, back, then have a positive balance for the
City. Spang feels that part of the problem is borrowing from
encumbered funds. A pass through account should not have a
balance or a negative number. Some of the funds were set up
without a revenue source. There is $206,000 from the General Fund
for a Capital Street Fund but there is no source to repay. Showing
two separate reports, one with consolidation and one without
consolidation. Scheffrahn did it this way as a tracking tool. When
you have encumbered funds You need to knew where they came
from. Water Operations Fund is $97,000 in the hole. The balance of
the fund is actually what is there. Spang wants to know where the
borrowed money from the Water Operations fund is? This needs to
be ironed out before the end of the fiscal year. Spang feels there are
some tremendous short falls, Scheffrahn expects to be able to know
where everything is by the next meeting. The Water Depreciation
Fund was set up to pay for certain things. Account has not been
used for approximately two years. Scheffrahn has not been able to
find where the money was spend. Pandolfi has made a
recommendation, that at some point you have to decide this is what
you have and you need to $o from there. Prochaska would like this
report together to be associated so the numbers have some
meanings. Each building will have an account. There will be a
Municipal Building Fund for Capital expenditures and major repairs.
Prochaska has also suggested a Maintenance and Grounds pool.
Prochaska does not want to see the Parks suffer because the Park
employees are too busy taking care of City Building rounds. North
Water Sewer Fund - Public Works is owed 512,000 from the North
Water Sewer Fund. Spang said the City has spend more than
$12,000 from the General - Funds that could have came from
Development Fees. If the City takes in $60,000 from Development
Fees then $60,000 should be spent on Capital Expenditures for the
Public Works Department. The Beecher Fund owes the General Fund
$ 18,000 but the Beecher Fund is paid for by the General Fund. The
General Fund can go to anything. Scheffrahn will reconcile as much
as possible. Hold Fund in cash, money markets etc, take to COW for
acceptance.
4.) Expense Policy - Prochaska has been reviewing some of the expenses.
The phone bill from a Pump House is $53, There should only be local
calls from that phone. Prochaska thinks this should be checked.
Spang said a $ 128 was spent to replace hubcaps. Spang thinks they
should look at more economical ways of replacing them. Maybe look
at Giant and purchase something less expensive. Span also notice
that $80 was spend on staples and $ 184 for Toner at Copy Cat
Copiers. Nanninga will check into this. It could be for office supplies
and not just staples. Retainer for Danis to answer questions from
the Council . Roppolo is paying Dan to do his P.U.D. Agreement.
Spang would like to know who the Workman's Comp. Qlaim was for.
Spang said there was $275 spent on lunches. Prochaska would like
£O'd t/ZZ =ZZ L6701-- O . W
i
- Page 3 -
to look at a olic for lunches.
p Y When is it appropriate? Nanninga
said that Erdman and himself have been having lunches with
Commercial Developers. Spang thinks that money should come from
a different account. Prochaska would like to look at it differently with
Mayor Johnson. Prochaska feels this needs to have more
accountability. Also need to set a reasonable and proper amount.
Need to use discretion. Spang feels that if the City does not have the
money to do this then it should not be done. Nanninga said this
could be done under the discretion of Mayor Johnson. Nanninga said
that Mayor Johnson has encouraged it. Prochaska thinks then that
there should be a line item in Economic Development and that line
item should be billed for it. This needs to be accounted for and would
like to have some justification for it. Prochaska thinks any luncheon
should be approved by Mayor Johnson. Mayor Johnson, Nanninga
and Graff are the only ones that take peop out to lunch. Nanninga
thinks the money comes from the Travel line item. Spang also asked
why payments made to Kramer are made under so many different
names? Daniel Kramer, Daniel J. Kramer, Kramer, Daniel. The vendor
numbers are also different. Nanninga will check on this. Nanninga
will bring back.
5.) Additional Business - Policy for Employees Working Other Jobs -
Spang thinks there should just be simple policy stating the any
full - time employee needs to get approval from City if the second job
was /is conflicting with the regular working hours. Prochaska would
like Nanninga to check with Dan.
Cannonball Trail Water - Nanninga thinks this is just a letter. He does
not feel they have filed suit. They have made some request. They
have included every option. Spang has a problems with this. He
thinks it is preliminary. Prochaska still does not know what the legal
responsibilities are. Span does not feel we should give them free
water for ever and ever. �rochaska is not comfortable with giving
them water without them annexing to the City. But could come up
with an agreement. Maybe annex and then rebate the taxes. Or
once the property changes hand then pay taxes. Scheffrahn and
Spang suggest that a pre - annexation agreement at point in time when
property changes hands. Prochaska thinks this could work. Even if
they have wells there are some cost involved. Spang said there is a
couple ways of approaching. One is if there is some liability to the
City. Prochaska would like to know the liability to the City. This was- -
not done to cause anyone any problems. Scheffrahn suggest a basic
pre -annex agreement. Prochaska is willing to look at something
reasonable. Spang is concerned with spendin tax payers money on
non -tax payers. These people were notified when the City
dewatered. The water should have came back. Spank thinks until
the City knows something that it would be very difficult to make a
decision on what our options are. Prochasks thinks there needs to be
a resolution. Need to look at all the cost. There are 6 -12 people that
have claimed they have had problems. Spang suggest finding out
what the problems are. Wywrot went out and knock on doors and
tried to get same feed back. A lot of people would not speak or give
out any information. Scheffrahn said someone on Hickory had
complained. Prochaska said maybe Dan, Nanninga, and Mayor
b0'd t/£t =ZZ L6 -OI -�W
R
- Page 4 -
Johnson could look at some options.
Charging Interest on Outstanding Bills - Would like to charge a one
and one half percent on outstanding bills to encourage people to pay
on time. Would need to consider hardship cases. Letters will need to
be send out by registered. mail. Start charging at 90 days. Prochaska
suggest at 60 days. Send letter stating that if there is a hardship
then they could come in and request a payment plan.
Bond Reduction - Dan was going to check on the Subdivision Control
Ordinance to make sure there is not a conflict with the new Policy.
Recapture Agreements - Dan is a little behind. City can not ask
someone to pay a recapture fee if there is not an agreement. Need an
agreement for Green Briar.
Walnut Street - Have received an offer. Have a contract. There is a
signed letter from their attorney. Prochaska said it the City is going
to accept this offer then there needs to be a signature and a date.
Before a resolution can be passed, there needs to be a signed
contract. Nanninga will call Dan.
Minutes by: Mollie Anderson
I
II
l
90'd V£L =Zt_ L6- 017-AeW