Loading...
HomeMy WebLinkAboutMinutes 12/08/1992 2380 CITY COUNCIL MEETING Port Angeles, Washington December 8, 1992 CALL TO ORDER - Deputy Mayor Sargent called the special meeting of the Port Angeles City Council SPECIAL MEETING: to order at 6:01 p.m. ROLL CALL: Members Present: Mayor Hallett (Arrived at 6:02 p.m.), Councilmen Braun, Nicholson, and Ostrowski (Arrived at 6:05 p.m.), Councilwoman Sargent, and Councilmen Schueler (Arrived at 6:09 p.m.) and Wight. Members Absent: None. Staff Present: Manager Pomeranz, Attorney Knutson, Clerk Upton, B. Collins, K. Godbey, J. Pittis, B. Titus, and Y. Ziomkowski. Public Present: M. Doherty. Continuation of Manager Pomeranz continued with the review of the 1993 Budget, commencing with 1993 Budget Review the Street Fund. Discussion was held concerning the ongoing efforts to maintain the arterials in the current budget, the significant impact of the Real Estate Excise Tax as a funding source, and the fact that any major future improvements may well have to be funded through a street utility. ~~_ ~M~. Concerning the Community Development Fund, Manager Pomeranz indicated a portion of the EDC funding ($10,000).had been included in this fund, as it is anticipated the EDC will administer the~C".v ~acc.-A~ ~,,,~o.~'- .... :-- .v~.'-~- Fr~gr2m. The L /~ . of the for the Economic Development Council is from the General remainder funding Fund for a total amount of $25,000, to include in-kind services. He suggested language be placed in the contractual agreement with the EDC stipulating the administration of this program, as well as the 2020 Vision project. In reviewing the Real Estate Excise Tax, Finance Director Godbey noted the importance of the disclosure that a planned use of reserves in 1992 and 1993 will result in a projected fund balance of only $6,306 at year-end. Considering debt service costs and current levels of revenue, the City will have only $30,000 available to fund future capital projects. Additionally, Manager Pomeranz indicated pedestrian lighting should be increased to $25,000. Revenues generated from the State for the Growth Management Fund are insufficient, so monies will be transferred to the fund from Water/Wastewater for services rendered. Manager Pomeranz proceeded in reviewing other funds in the budget. Minor changes need to be made in the Light Fund, as the increase for the IT Class will be 2.9 % as opposed to 4 %; however, it was pointed out more revenues will have been generated in 1992. Acquisition of PUD facilities was included in the construction fund. Concerning Water/Wastewater, many of the figures are estimates due to the construction of the treatment plant. Manager Pomeranz and Public Works Director Pittis reviewed plans to solicit bids and review options available for the management of the secondary treatment plant. Some financing from the public is to be anticipated. Various issues pertinent to the Solid Waste fund were reviewed by Manager Pomeranz and Director Pittis. A permit from DOE is expected this coming week. Subsequent to that, a meeting will be held with the County to address the issues affecting the citizens of the City and County; it is important that a plan be formulated as to how to deal with the issues. The FAA needs to be advised the landfill must be used for twenty more years; anything less directly affects the financings. Because of the recent FAA decision concerning closure in five years, amortization of the new cell must be accomplished in that period of time. Therefore, the rates are dramatically affected. Letters to the citizens will accompany the utility bills to thoroughly explain the situation. -1- 2381 CITY COUNCIL MEETING December 8, 1992 Continuation of In the review of the Internal Service funds, a question was raised concerning 1993 Budget Review Information Systems and whether the City will be able to accommodate certain (Cont'd) requirements resulting from previous audits. Director Godbey indicated it will be necessary to conduct an inventory of all fixed assets in that regard. Lengthy discussion was held concerning the Self-Insurance fund and the effort underway via an employee committee to formulate recommendations for a less expensive health insurance plan. Employees may well have to make contributions to the plan. Councilman Sehueler noted other increases beyond health insurance have occurred which also requires attention. Consideration was then given to the Fine Arts Center and the need for a new roof. Break Because information was being gathered concerning the City's obligations to the Fine Arts Center, Mayor Hallett recessed the meeting for a break at 7:50 p.m. The meeting reconvened at 8:00 p.m. The matter of funding for Human Services was then addressed, with reference made to memos submitted by Gene Lawson of the Human Services Coordinating Council. One memo provided a 1992 LGIF Fund Analysis Report, and the other informed the City Council that the Port Angeles Senior Center was not recommended for 1993 funding. Councilman Nicholson reviewed the history of City funding to the Human Services, and Councilwoman Sargent noted there are no special revenues directed to the City specifically earmarked for Human Services. In addition, she felt 'Local Government Initiative Funds' is a misnomer. The City had requested that prevention be one of the target areas; that request was apparently ignored. In the ensuing discussion, it was agreed the City had been sending money to the County to be administered by the County. As a direct result, most entities have erroneously viewed this as County money, and the suggestion was made that the City consider administering its own funds for human services purposes. Lengthy discussion followed and, by consensus, the Council agreed to decrease the funding to Human Services by $12,000, the amount which has been previously earmarked for the Senior Center. Various alternatives to County administration of the City's funds were addressed: City administration, United Way administration, or Umbrella Services. At Council's suggestion, Manager Pomeranz will prepare a letter to the County advising them of the $12,000 decrease and intbrming them that the City is considering other options for fund administration. Attention was then directed to the disbursement of hotel/motel tax funds. Councilwoman Sargent distributed copies of her proposed disbursement of funds. In response to a question previously asked about roof replacement at the Fine Arts Center, Attorney Knutson indicated the City is allowed to use interest income from the endowment fund to operate the center. There is no separate provision in the agreement concerning maintenance and, in his opinion, operation expenses include maintenance. If there are insufficient funds in the endowment fund to meet the needs of the Fine Arts Center, then the City can use other sources of funds. The trustees could approve an allocation from the principal of the endowment based on a two- thirds vote. Hotel/motel tax funds could be used for this purpose as well. Manager Pomeranz informed the Council that interest income for the Fine Arts Center has decreased; $5,000 per year is being lost due to increased expenses. Councilman Nicholson suggested that roof replacement be financed, perhaps over a ten-year period, with $3,000 to debt service. By consensus, the Council members accepted the recommendation. After further lengthy consideration of Councilwoman Sargent's funding disbursement recommendation, Councilman Wight moved to return the funding for the VCB to $37,048, and place $3,000 in debt service, for the following disbursements: Chamber of Commerce $54,458.00 Visitor & Convention Bureau 37,048.00 Derby Days 5,000.00 Symphony 2,500.00 Loges 1,500.00 Marine Lab 11,300.00 Museum 12,500.00 NOPTA 1,000.00 World Affairs Council 500.00 The motion was seconded by Councilman Schueler. Councilwoman Sargent indicated she would be voting in opposition to the motion as she felt the VCB has done nothing for the City of Port Angeles. Councilman Nicholson stated he would -2- r 2382 CITY COUNCIL MEETING · .: ~ L i~-ii .' '~ .: December 8, 1992 Continuation of be voting for the motion, if it is made very clear to the VCB that City funding came 1993 Budget Review close to being discontinued. He asked that a plan of action be prepared specifically (Cont'd) addressing responsiveness to the City. Councilman Schueler echoed the sentiments of Councilman Nicholson. Manager Pomeranz referenced the recently acquired grant for marketing the Veto Burton Center and the fact the VCB and Chamber of Commerce are jointly managing the marketing of the center. He indicated language concerning the grant funds for marketing needs to be placed in both agency's contracts. A vote was then taken on the motion with Councilmen Sehueler, Nicholson and Wight voting in favor. Councilwoman Sargent and Councilmen ~ Braun and Ostrowskl voted in opposition. Mayor llallett then voted in favor; the motion carried by a majority vote. Manager Pomeranz then asked the Council to consider the requests of $5,000 each from ProBono LAWyers and the Peninsula Dispute Resolution Center. After discussing the merits of the two programs, Coundlman Nicholson moved to give each progrmu $1,500 from Ituman Services funds and $1,000 each from Law & Justice funds, for a total of $2,500 for each program. The motion was seconded by Councilman Sehueler. Manager Pomeranz pointed out these programs would be funded out of the General Fund. Councilman Nicholson asked that each program be advised that, in the future, funding is to come forth from Human Services funds as disbursed by the City. A vote was taken on the motion, which carried unanimously. Manager Pomeranz suggested that a committee be established to address the disbursements from hotel/motel tax funds for the next budget year; the Council members were in agreement this should be accomplished. Finance Director Godbey brought to the Council's attention that, with the decision made concerning the Fine Arts Center, the Center's revenues would be decreased by $1,500 which would directly impact the deficit. Therefore, by consensus, the Council agreed to grant $1,500 to the Fine Arts Center and reduce Advertisements for Tourism/Retirement Promotion by $1,500. Manager Pomenmz announced there was no longer a need for an Executive Session. ADJOURNMENT: The meeting adjourned at 9:14 p.m. -3-