HomeMy WebLinkAbout2003-04-14 Council Minutes - Budget Work SessionKENAI CITY COUNCIL
BUDGET WORK SESSION
APRIL 14, 2003
KENAI CITY COUNCIL CHAMBERS
6:00 P.M.
Council Present: Williams, Bookey, Moore, Jackman, Swarner and Porter (arrived at
6:20 p.m.)
Staff Present: Freas, Snow, Semmens, Graves, Kopp, Jankowska, Feltman,
Lawson, Padilla, Kebschull, La Shot, Walden, Cole, Dye, Wichman,
Kornelis, Wannamaker, Craig, and Howard.
The work session began at approximately 6:10 p.m. with Vice Mayor Bookey reviewing
the activities of the April 7 work session. He noted, at the work session an overview of
the budget was presented by City Manager Snow and Finance Director Semmens.
Also, a lengthy discussion took place with the council, Parks 8v Recreation
Commission, and members of the Boys 8. Girls Club Board of Directors in regard to
their proposal to acquire the recreation responsibilities of the city. Bookey noted,
testimony given by members of the public cautioned the council to take their time in
making this decision and the major concern voiced was the lack of ability of the Club
to take on adult programs.
Bookey also noted, the city attorney was formulating an agreement for council, the
Club, and the Parks & Recreation Commission to review as a beginning point. Snow
reported the Club held a board meeting at which they discussed the proposal; she was
unaware if there was a vote, but knew they had a really good discussion and are
anxious to see the draft agreement. Administration was requested to make the draft
agreement available to the public as well.
The discussion continued in which it was noted, members of the council were doubtful
all the information involved in the Club acquisition would be available prior to the end
of the budget hearings. Semmens stated he was optimistic, if there are no deal
stoppers, the agreement would be ready by July 1. He noted, the draft agreement is
based on working agreements from other communities. Swarner requested a listing of
Clubs are receiving monetary compensation from a municipality. She added, she was
not interested in compensating the Club and feels there are too many unanswered
questions. Bookey stated he wanted to continue through the budget hearings without
the Club's participation in the budget.
Williams stated he didn't know if it was appropriate to tamper with the community
structure for the $85,000 it takes to run the recreation program. He added, he wanted
to see more information and the agreement and emphasized the importance of the
community being assured the city is not giving away the building or the program.
Moore noted, cutting $85,000 would cut the organized programs at the Center, i.e.
adult basketball and some wallyball and racquetball tournaments.
KENAI CITY COUNCIL WORK SESSION
APRIL 14, 2003
PAGE 2
Clerk Department: Clerk Freas presented an overview of suggested changes to her
budget based on cutting commission/committee meetings to six a year and holding
them on a bi-monthly schedule, except Beautification which would be held for four to
five consecutive months, January through May. Freas noted Planning & Zoning had
not been included in this proposition. Because Freas attends the Council on Aging
meetings, she did not include that group in the bi-monthly meetings.
Freas continued, if council chose to delete her department assistant, she proposed the
meetings be held bi-monthly, as presented, and the department head/representative
attending the meeting would be responsible for taping the meeting, indicating
attendance, motions and votes, who spoke in favor or objected to a topic, etc., and the
notes would be inputted and presented as summary notes. Freas requested $2,000 be
added back into her Professional Services budget to cover the cost of a contract
secretary to attend Planning & Zoning Commission meetings and prepare minutes.
Freas also noted, code revisions would be required and would include the ability for a
commission/committee to request additional meetings if necessary.
Williams stated he didn't want people to think the city was trying to keep the public
away from government in cutting the number of meetings, etc. Bookey stated he
wanted the commissions/ committees to have some input in the process.
Council reviewed the remainder of the Clerk budget. Swarner asked if all departments
had travel cut as was this budget. It was explained, each department was different.
Some departments have instances in which certificates need to be updated and
attendance to seminars, etc. are required in order to update. Swarner stated she
thought the process should be fair.
DIRECTION: Add $2,000 into the Professional Services of Clerk's budget; go
forward with cutting the number of meetings for commissions/committees
except Planning & Zoning; cut Council on Aging meetings to bi-monthly as well;
go forward with taping meetings and preparation of summary notes as presented;
and keep tapes of commission/committee meetings for two years.
Legislative Budget: Freas reviewed changes made to the Legislative Budget,
indicating cuts made, including donations and recommendations for number of
members attending AML and NLC conferences, etc. Williams suggested his and
council's rate of compensation be adjusted by $100 and Bookey suggested $150-200.
Freas also noted, she had recommended cutting the city newsletter to two printings a
year. Council discussed the issue briefly and felt, though it had been a successful
project, to cut all printings at this time. Council requested the last printing to include
an article about the curtailment of the newsletter.
DIRECTION: Cut funding for newsletter in Printing & Binding and Postage; write
a letter to those groups who will no longer receive donations stating funding was
no longer available for the next fiscal year and if funding becomes available,
KENAI CITY COUNCIL WORK SESSION
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PAGE 3
donations may be included in future budgets; adjust council and mayor salaries
by $100; delete purchase of city pins.
Visitors Center Bud_ et: Ricky Gease, Executive Director of the KVCB reviewed the
Center's budget and referred to a new brochure from the Center giving an overview of
their funding sources, etc. He noted, $10,000 had been removed from their contract;
they are hoping to have certified audits in the future in order to be in a better position
to acquire grants; discussed the summer and winter hours they will have due to the
cuts; and discussed the constraints they will have if the legislation now before the
Legislature is passed. A brief discussion took place and council requested Attorney
Graves to write a letter to the area Legislators and the Governor (fax and send hard
copy) indicating the city's displeasure with the proposed legislation, as well as the
costs to the Visitor Center's budget and ability to conduct their business if the
legislation is put into effect.
Gease also noted the Center would continue to promote the city; will be very involved
in the Arctic Winter Games preparation, etc.; and, are talking with the Borough in
regard to different concepts for raising tax revenues to support tourism on the
Peninsula.
DIRECTION: No changes.
Lezal Department: Attorney Graves reviewed the changes to this budget, noting he
was recommending a cut in advertising for foreclosures as these will be done every
other year; the updating of the Code will be done in-house instead of by contract; only
his car allowance and a small amount in miscellaneous travel will be remain in the
travel budget; and the code enforcement officer was deleted.
A brief discussion followed in which Porter stated her objection to deletion of the
enforcement officer, stating it was an inexpensive program and directly reflects on the
property values, etc. in the city. Swarner stated she agreed with the statement made
by administration: it has been effective, but it is a new program and therefore, the
first to go. Bookey stated he also hated to see the program eliminated, but felt a lot of
the work could be done in house. Bookey stated he supported the cut. Graves noted,
unless there is a field presence, he didn't think the program would be as effective if it
is done in house.
Williams suggested the program be deleted for the present and if funding does come
available in the future months, council could consider replacing the program at that
time. Bookey agreed. Swarner stated she wanted administration to try to do the
program in house and Graves stated they would do as much as can be done with the
available resources.
DIRECTION: No changes.
KENAI CITY COUNCIL WORK SESSION
} APRIL 14, 2003
PAGE 4
City Manager Department: City manager Snow reviewed the changes to her budget,
noting reductions and cuts in communications, travel and transportation, etc.
DIRECTION: No changes.
Land: Snow reviewed this budget and noted there was an increase in the advertising
to cover land sales in Inlet Woods.
DIRECTION: No changes.
BREAK TAKEN: 7:44 P.M.
BACK TO ORDER: 7:5 6 Pome
Finance Department: Finance Director Semmens reviewed changes to his budget,
noting the receptionist position hours were cut 15 hours and those hours were added
to the Planning & Zoning Department Assistant, making that position full time. He
added, in the General Fund budget, this would not show any increase or decrease.
Semmens also noted, though there were no funds in his budget for out-of-state
conferences, there were funds included to participate in some in -state
conferences/trips. A discussion followed in regard to purchase of new computers in
the city. Semmens had explained funds were included in his budget to purchase one
new computer with the replaced computer going to another department. Semmens
also discussed the network/ server situation with the council.
DIRECTON: No changes.
Non -Departmental Bud_et: Semmens reviewed this budget noting the increases for
insurance coverage and the deletion of transfers for debt service as they wouldn't be
needed this year and the transfer to the dock fund will no longer be done.
DIRECTION: No changes.
Libragy Department: Director Jankowska reviewed her department budget, noting
two part-time positions were eliminated and with those job cuts, the library would
have to be closed two days a week. Also, she expressed concern the main library
server had received an "end of life" notice from IBM. Jankowska also reported a raise
in professional services to handle computer configuration. Jankowska also explained
her budget reflects requirements of state grants to have the facility open on Saturdays
or the grant will be lost. In continuing the review, Jankowska reported the travel
budget was cut and no funds were included for her employees to acquire training.
A discussion followed as to the merits of charging of a fee for non-resident library
users.
KENAI CITY COUNCIL WORK SESSION
APRIL 14, 2003
PAGE 5
Sal Mattero -- Kenai resident and President of the Friends of the Library. Mattero
stated he knew of lots of reasons to continue the library program as it is currently. He
noted, residents had come to rely on the library for computer use, research for school
children, etc. He added, he could not give an economic reason not to cut this budget
other than it was the right thing to do. Mattero added, the Friends would meet and
see what it can do to generate more income through donations, etc. He continued, he
understood the city's position, however it is a known fact, in economic hardship,
libraries are used most and it is a safe place for children.
Megan O'Neil -- Kenai resident and member of the Friends Board of Directors. O'Neil
noted, the city is in dire straits, however the school district is in worse shape and the
school libraries may not be available for their students' use. She emphasized the need
for the library to be available if the school libraries are not and that she would support
a mill rate to help cover costs. O'Neil added, she would like the return of $15,000 in
this budget for one of the employee positions to enable the library to stay open six
days a week. She noted, the Kenai Library is the best one on the Peninsula and it
could be destroyed in a year.
Emily DeForest -- DeForest urged the funding for one of the two deleted positions. In
speaking with library users, she learned the library is used for more than the
procurement/reading of books, i.e. supervised family visits, homeschoolers, reading
books, using computers, etc. DeForest added, the Friends and patrons donated 1,655
books in the last year, equaling $29,000 which are assets to the city. DeForest again
urged funding for one of the positions in order to keep the library open six days.
Joan Bennett -Schrader -- Box 1265 Kenai, Ridgeway resident. Schrader stated she
was disturbed two positions would be lost and her concern it was a health and safety
issue there are two people working at the same time. Schrader added, she would not
object to purchasing a library card, however there are those living outside the city who
cannot afford to do so. She noted, she will do everything she can to help, but the
"hammer stops with the council."
Jim Evenson -- Nikiski. Evenson stated he understood the issue of looking at the
budget in dollar and cents, however he was optimistic funding could come available.
He added, nothing adds to the quality of the city more than the library. Evenson
added, the library brings people to Kenai and they then spend money in the city. He
urged, if a miracle happens and funds become available, think of the library.
Williams suggested to cut the amount of funds included in the budget for books
($32,000) in half and use $16,000 to fund apart -time position and cut back on the
amount of books purchased. If funds become available later in the year, funds might
be able to be replaced. Swarner agreed with Williams' suggestion. Porter stated she
would like a fee charged for non-residents. Jankowska stated she felt using the
$16,000 to fund a position was better than charging for library cards.
KENAI CITY COUNCIL WORK SESSION
APRIL 14, 2003
PAGE 6
Porter asked if there was a consensus of council to request the Library Commission to
explore charging a fee for non -city residents. Council had no objections.
Bob Molloy -- Kenai resident. Suggested charging a flat internet fee. He noted he had
visited a library in Massachusetts where a flat fee was charged and there was no time
limitation. He said that program was very successful.
Bookey stated he supported the moving of $16,000 from books to fund an employee
position as Semmens stated the $16,000 would be the total cost for wages and
benefits.
Phil Sonnichsen -- Non-resident and member of the Friends. Sonnichsen stated she
volunteers at the library and will work through the Friends to increase the book
budget. In regard to charging a fee for computer users, she felt those people needing
to use the computers are those who cannot afford their own computer. She added,
she would really regret if a fee would be charged.
Bob Peters -- Old Town, Kenai. Peters suggested the city create their own miracle by
raising the mill rate. He added, people want city services, fire and police protection
and library which he believes are essential. Peters stated, he had the feeling council
didn't want to take the chance of losing votes by increasing the mill rate. In speaking
with members of the community, he has not heard anyone say they would not pay a
mill rate increase, though they may not be happy about it. Peters stated he believed
the mill rate should be raised several points.
A discussion followed in regard to raising the mill rate and the amounts of revenue
each point would produce.
Adjournment:
Semmens reviewed the different changes made during the discussions; Clerk (add
$2,000), Legislative (delete $12,724) and Library (move $16,000 from books to
salaries/benefits) equaling $10,724 subtracted from the General mind.
Porter urged people to buy locally and Williams urged the need to find something to
diversity the economy -- the people need to decide what the future will be for the
community.
The work session ended at approximately 9:36 p.m.
Not transcribed re aced b
Carol L. Freas, City Clerk
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