Loading...
Admin Committee Minutes 2005 09-01-05 i i Page 1 of 5 [APPROVED 10/6/05 UNITED CITY OF YORKVILLE ADMINISTRATION COMMITTEE MEETING THURSDAY, SEPTEMBER 1, 2005 6:30 PM City Hall Conference Room CITY OFFICIALS IN ATTENDANCE: Alderman Paul James Treasurer Bill Powell (6:37pm to 7:45pm) Alderwoman Valerie Burd Police Chief Harold Martin Alderwoman Rose Spears Finance Director Traci Pleckham Alderwoman Wanda Ohare GUEST: Tony Scott, Kendall County Record The meeting was called to order at 6:34pm by Alderman Paul James. PRESENTATION: None I I OLD BUSINESS: 1. Minutes for ApprovaUCorrection: July 7, 2005 and August 4, 2005 Alderwoman Ohare noted corrections for the August 4 minutes. Dean Wolfer should be listed as a guest and that she (Ms. Ohare) was not present for that meeting. Also, Alderwoman Spears arrived at 6:36 rather than 7:36pm. It was also noted that Paul James had spoken with City Clerk Milschewski about her approval of her position being appointed. The minutes were approved with these corrections. 2. Monthly Budget Report for July 2005 Mr. James said that the previous month was the first time the City has shown revenue less than the expenses. Funds were anticipated according to Ms. Pleckham. It was also noted that the interest on the bonds was greater than in the past. Ms. Pleckham also said that the Treasurer reviewed each checking account to update them. Money market accounts currently have interest rates ranging from 3.4 to 3.8 %. Finance Director Pleckham stated that the Mayor had asked her to review the gas situation as a result of increased costs. Conservation strategies are being researched as well as making possible revisions to the budget. Ms. Burd also suggested that natural gas heating costs be reviewed. i Page 2 of 5 Ms. Ohare asked what MSI payroll account was on page 3 of the Revenue & Expense Report. It is a "dummy account" needed in conjunction with Payroll and the Finance Director will include a description in the future or do an upgrade. Alderman James suggested using a different term for the account. When the mid -year budget comes out, Alderwoman Ohare said some of the accounts should be re- evaluated such as the Engineering contractual services, which is up 168 %. This increase is due to work outside the scope of service on large projects. Ms. Pleckham added, however, that the Engineering Department is not over their budget at this time. On the next report, she will highlight the fees being paid from this line item to identify the kind of work being done. Since some of the work has not been budgeted, the funding sources are being looked at more aggressively before items are approved. Since the contractual services have increased, Alderman James questioned whether more engineering staff is needed. Ms. Pleckham will review the contractual items and report back to this committee to help make that determination and she will compile a list of studies being done. She said most of the studies are contracted out and are being paid for by developers. Other increased expenses were also noted and discussed briefly including travel expenses at 97 %, 75% for seasonal help and increased contractual services in the sewer expenses. Mr. Powell suggested that some of the increases might have resulted from emergencies of some sort. Ms. Pleckham will research the items discussed. The golf outing expenses and profits were also briefly mentioned. Ms. Ohare questioned the $300,000 budgeted for Library salaries when only $36,000 was actually paid out. Ms. Pleckham said the Library completes their own budget and that they will need this money as part of their expansion and for operations. Ms. Spears complimented Mr. Powell on obtaining higher interest on investments. 3. Treasurer's Report for July 2005 Mr. Powell noted the following: transfers had been zeroed out, combined fund balance is 28 %, general fund is at 28 %, water works at 20% and sewer at 39 %. Ms. Pleckham said that the fund balance is staying positive and increasing as well. The MFT was questioned by Alderwoman Spears in view of the recent gas prices. The MFT is based on population in the State and then a multiplier is calculated. The amount may be less. This item will move forward to the C.O.W. consent agenda on September 20 4. Powers of Council as it Relates to I and 4 Year Appointments A letter from Attorney Wyeth addressed appointment of city officers. Ms. Pleckham stated that she is also the Budget Officer. Ms. Burd suggested abolishing that position and adding the duties to the Finance Director position. i Page 3 of 5 Ms. Burd suggested that any future appointments could be made for the same term as the Mayor rather than doing them each year. Alderman James agreed with 4 -year terms and said that only appointments required by the State should be made and the remainder should be City employees. The four State Statute- required appointments are: Director of Public Works, City Attorney, Chief of Police and Director of Finance. It was also noted that the Mayor could dismiss appointed officials, however, the City Council has the authority to reinstate. The City Code Officer position was also discussed. The current Code Officer, Bill Dettmer, has a contract with the City. The City Attorney will be consulted to ascertain if the Code Officer should be an appointed position. Ms. Burd suggested that the Mayor should be asked for his input on this matter as well. This item will be brought back to committee for further discussion. The Administrator ordinance and job description will also need to be resolved. The issue of eliminating contracts was then reviewed. Alderman James reiterated that there should be no contracts, however, Chief Martin said there would be no protection for those persons. Mr. James suggested an ordinance for 4 -year appointments for those contract positions and that they could only be dismissed for cause. Attorney Wyeth will be consulted for his opinion. It was noted that the City Attorney and his family have City insurance coverage and that Attorney Kramer also was covered during his time with the City. In addition, Attorney Kramer received IMRF after a certain number of hours. On the other hand, it was noted that Bill Dettmer does not receive IMRF. Ms. Pleckham will ask for clarification from the labor attorney on the contract issues. Ms. Spears asked if the committee members could see the Attorney's contract including benefits. Chief Martin suggested any discussion concerning that should be in Executive Session. Ms. Ohare stated that each position should be reviewed. It was felt by Chairman James that no changes should be implemented until the Mayor's term expires. In summary, Chairman James stated the following: 1. The committee agrees with 4 -year terms concurrent with Mayor's office 2. Committee will wait for legal opinions and mayoral input before making further decisions 3. Ms. Pleckham will initiate paperwork for ordinance to eliminate Budget Officer position. 5. Clerk and Treasurer —Elected or Appointed Positions Chairman James stated that Clerk Milschewski and Treasurer Powell both agree that their positions could be appointed and some of their duties could be performed by current City staff. The actual hours worked and the cost should be reviewed for these extra duties, suggested Alderwoman Spears. Ms. Pleckham stated that the State Statute specifies that the Clerk and Treasurer positions are to be elected when the population exceeds 10,000. After a brief discussion, the committee finally agreed that there would be no further discussion or action. Page 4of5 6. Salary Survey: Mayor, Aldermen, Clerk and Treasurer Alderman James stated he thinks the current aldermanic salary is fair. He doesn't feel the position should be paid so much so that someone runs for office just for the money. However, a slight increase was suggested by Alderwoman Spears because of the many hours spent in meetings. Alderwoman Burd concurred with Ms. Spears and added that any raise will not affect the current Council. Bart Olson will be asked to make some increase recommendations for each position and this will be brought back to Administration and later to C.O.W. 7. FY 04105 Audit Update Traci Pleckham will be meeting with the auditors next week to review some final numbers. A single audit is being done for the radium grant and an audit is also being done of the police pension fund. She will bring an update to the Council at a later time. 8. Rob Roy Creek Interceptor $18 Million Alternate Revenue Bond — Update Finance Director Pleckham recommended moving forward with an authorizing ordinance to issue alternate revenue bonds not to exceed $12 million for this project. She believes the actual project cost will be $10.6 million. When the ordinance is approved, there is a 30 -day waiting period before the bonds can be passed. The contract was already awarded so there is more urgency. Ms. Pleckham had spoken with the bond counsel about the repayment of the bonds in the amount of $10.9 million (total principal and interest is $13.1 million). This will result in a $2 million shortfall. The funding will come from fees directly related to the interceptor as well as from a parcel already annexed to the City. Before any bonds are sold, there will be an infrastructure agreement between either /or Centex and Ocean Atlantic. For amounts greater than the amounts already given, the developers would be obligated for the debt service and be able to recapture any part of the sewer hookups if they connect in the future. She said that the City can take up to 2.5 years to issue the bonds. Ms. Spears asked if issuing these bonds would lower the City's credit rating. In a growing community such as Yorkville, it is assumed that there will be some debt incurred as long as there is a plan in place and if revenue streams are already identified according to Ms. Pleckham The current bond rating is A to A -. Ms. Burd suggested a news release identifying the City's current bond rating and showing that the rating has increased. Alderman James questioned the rating of neighboring towns. Ms. Pleckham will research. The authorizing ordinance will move to the September 6 th C.O.W. under the Treasurer's report. i Page 5 of 5 NEW BUSINESS: 1. Raintree Village H— SSA Proposing Ordinance The borrowed amount for this ordinance shall not exceed $10,000.00 according to Finance Director Pleckham. A Public Hearing will be held on October 25 The SSA is part of the original development agreement that was already approved and the ordinance is a formality. This item moves to C.O.W. on September 20 th . 2. IML Risk Management Association Second Quarter Minimum Maximum Status Report This report is an update of the City's liability for the first six months of the year. The graph (included in the agenda packets) showed the number of claims and amounts paid. This report is an FYI. No contract has yet been signed with IML, but this will be considered in October. 3. Assistant City Administrator Job Description Alderwoman Burd suggested this item be referred to the new Administration Ad Hoc committee that will be discussing the City Administrator position. 4. Historical Street Naming Procedures Glory Spies will be working with Human Resources on this procedure. She will be asked for an update for the October Administration meeting. ADDITIONAL BUSINESS: Alderwoman Burd asked for research to be done regarding the possibility of elected officials receiving City insurance benefits. She said that County officials already receive health insurance benefits. Ms. Pleckham will obtain information. There was no further business and the meeting was adjourned at 8:00pm. Minutes respectfully submitted by Marlys Young, Minute Taker PLEASE SIGN W MEETING: i? DATE: �yp�pgg BUSINESS PHONE # 1 1 1 1