09/16/2008 Meeting Minutes - Laserfiche WebLink

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Council Minutes of 9/16/2008 to be about on plan. Vehicle license tax was aslight %i% below what was originally planned. Hotel/Motel tax is also down as of a couple months back over the prior year. EMS charges were up slightly based on the number of runs to non- residents. Police and Fire pension funds were down slightly due to the decline in real property takes. The motor vehicle license tax was slightly behind budget and off slightly from last year. Solid waste was down and so was permanent improvement. A further discussion in June was had of where we are for the upcoming budget. We're going to be okay for this year, but the concern expressed by the Finance Director was what are we going to be doing as of next year. She indicated that the budgeting process was underway, which is earlier than in the past. Mrs. Copfer indicated the process began on August 20. There was a discussion at least as a starting point for purposes of dealing with a potential $1 million to $1.5 million shortfall in the General Fund, of a potential 10% cut across the board as at least a place to begin the budget adjustments. Some of the major culprits in next year's budget would be utilities, gas and salt. These were the basis of considerable concern. We are also in the first year of a waste-hauling contract which includes a gas adjustment clause. There was the fire raise this year which included a $200,000 hit in June, which we didn't have last year but had to deal with this year. There were two methods used this year to balance the budget which are not available for next year-RTA and bond retirement adjustments. Those two numbers were significant contributions to relief to the General Fund which allowed us to balance the budget. Those were one-time and are no longer available. A discussion was had concerning the condition of our business community, and the health of our business community -how important it was to continue to attract vibrant establishments to Great Northern shopping complex and Lorain Road. With the help of Planning Director Wenger and our economic development consultant, we are continuing to work in that direction. There was also a discussion concerning the fact that a notice to commence negotiations has been received. We have a concern financially about what type of concessions will be required of us in order to achieve our goals. Debt service is at its highest. There has been a lot of borrowing in this three-year period, and a lot of borrowing that took place back in the 1990's. It is finally hitting its highest point of debt service within this three- year time frame. That's bad news, but in a couple years we should begin to see a significant decline in some of those debt obligations and our obligation to the General Fund should start to slip back. We are still at a position where wages and benefits are roughly 83% to 85% of the General Fund obligation for our employees. Thanks to Mrs. Copfer for the update. Finance Director Copfer noted that the one-time funds used this year were NOMBL and health care, but not bond retirement. Councilman Barker, chairperson of the Building, Zoning & Development Committee: The committee met on Tuesday September 9, 2008. Present were committee members Barker, Gareau and Dailey Jones; Council Members Kearney, Mahoney, Orlowski and 6