Loading...
HomeMy WebLinkAbout01-09-07 Clerical Committee Minutes CLERICAL COMMITTEE MEETING Tuesday January 9, 2007 – 6:30 p.m. th Historic Depot 50 N. 4 Avenue Aldermen in Attendance: Joe Berardi, Jim Hartford, Larry Sarff, Kevin Meade, Les Carl, Eric Schenck, Sonya Lewis. Absent – Alderman Craig West. Others in attendance: Mayor Rodney W. Heinze, City Clerk Nancy Whites, City Treasurer Kathy Luker, City Attorney Chrissie Peterson, Police Chief Jeffrey Fritz, Fire Chief John Stanko, Water Treatment Supt. Greg Pollitt, Zoning Officer Clark Wilson, Street Supt. George Spahn, Maurer Stutz Inc. Keith Plavec, SRPED Mark Rothert, Auditors for the City Jim Hocker and John Frey, and Video Services by Joe Ginger. In the audience: Daily Ledger rep. John Froehling, Journal Star rep. Jenny Freeman, Former City Manager David Anderson, Linda Wilson, Tye Reed, and candidate for Ward One Alderman Jason Strandberg. FINANCE Alderman Les Carl, Chairman Bills. Motion and second by Aldermen Sarff/Meade, all bill presented be referred to council for consideration. Discussion. Alderman Berardi wants to discuss in a meeting about all the charge cards that the city has. The motion carried by voice vote, and was unanimous. Treasurer’s Report. City Treasurer Kathy Luker mentioned that she has added to the report the depreciation accounts for Garbage, Fire, Street, Motion Building & Grounds, and Police Department. and second by Aldermen Sarff/Meade, to refer to council for consideration. Voice vote, motion carried unanimously. Budget Report. City Treasurer Kathy Luker reported that the Year-To- Date Revenues are higher than Year-To-Date Expenditures by $314,355.00 in the General Fund. The General Fund Revenues is 74.5%, up 7.8% over the YTD average. The General Fund Expenditures is 67.9%, up 1.2% over the YTD average. This is partially due to the December lst snowfall and related expenses. The City of Canton Public Works Department has applied for a FEMA reimbursement of $20,512.50 that the City may receive, if granted. The Water and Sewer Total percentage without Bond Expenses Year-To-Date is 53.1%, down 13.6% under the YTD average. 1 Congratulations to all Department Heads and their Employees for keeping these percentages on target with the Budget. Revenue Y-T-D General Fund $4,842,515.00 Expenditures Y-T-D $4,528,160.00 Revenue (Expenditures) $314,355.00. Amended Budget - General Fund Revenue $6,498,143.00 General Fund Expenditures General Government Amended Budget, Police, Fire, Street, Garbage, Building & Grounds, Contingency –Total $6,667,387.00. Water & Sewer Expense – Amendment Budget Water Administration, System Maintenance, Water Plant, Water Plant-bond, Waste Water, Waste Water Bond, Meter Department, Contingency-W/S. Contingency W/S Bonds – total $17,217,459.00. Motion and second by Aldermen Sarff/Meade, send to council for consideration. The motion carried by voice vote, and was unanimous. Audit Report. Jim Hocker said he is a partner from the firm of Hocker and Fitzjarrald CPA’s. John Frey did the field work and he is here in case of specific questions you might ask. Jim said he will talk about the Selected Financial Information. This information is as follows. Prior Current GENERAL FUND RECEIPTS Year Year % of total 1,218,464 Property Taxes 1,281,062 16.9% 2,543,059 Sales Tax 1,985,991 35.2% 1,160,974 Income Taxes 1,008,874 16.1% 176,264 Personal Property replacement tax 127,172 2.4% 723,846 Utility Taxes 658,932 10.0% 375,826 Telecommunications tax 153,903 5.2% 184,068 Franchise, licenses & permit fees 180,309 2.5% 441,287 Garbage service fees 410,213 6.1% 69,239 Fines 70,013 1.0% 30,000 Grants & state reimbursements- Building 0 0.4% 20,887 Streets 40,225 0.3% 56,426 Police 27,378 0.8% 35,568 Fire 100,494 0.5% 39,503 Hotel/Motel taxes 31,168 0.5% 37,860 Interest Income 2, 399 0.5% 2 28,756 Donations 9,780 0.4% 86,919 Other receipts 66,403 1.2% 7,228,946 6,154,316 100.0% GENERAL FUND DISBURSEMENTS 1,156,082 General government 1,305,532 19.3% 299,445 Buildings & Grounds 163,792 5.0% 2,098,950 Police 1,939,125 35.0% 1,500,300 Fire 1,457,464 25.0% 530,729 Streets 524,389 8.9% 406,227 Sanitation 379,278 6.8% 5,991,733 5,769,580 100.0% Salaries and benefits as a percentage of total disbursements 72.0% General Fund unrestricted fund balance increased $1,018,097 during the year ended April 30, 2006. WATER AND SEWER FUND Operating cash flow income was $1,394,880 during the year ended April 30, 2006 which is needed to support repayment of $29,800,391 of debt incurrent for current and future system improvements. Jim Hocker said this report focus on the General Fund and briefly on the Water/Sewer Fund. I have recapped for you the prior year and current year of the General Fund receipts and reimbursements. Lets talk about the percentage of the general revenues property tax that is 16%. That is interesting as the general fund does not rely on its real estate or property taxes. These taxes are usage or income base tax. This is seventy one percent of the total fiscal year revenues. Your treasurer and council worked hard to manage to invest those funds that greatly increased the interest income, and this is a feather in your cap. There was an increase in cash flow and better cash management which resulted in 5.7% return on average asset increase. A lot of money goes through the general fund. This is a very positive picture of the general fund and the operations of the city when revenues go up and expenditures are not as much. 3 Water and Sewer fund when you look at the financial statement and then look at debt services, this will take a lot of income. You are not generating any excess profits from your water/sewer fund. Your 70 some page financial report statement, if you glance over this report you will learn about the city and the city’s obligations. On page 46 thru 57 there is supplementary information. These are individual funds of where the funds come from and how they are spent. The Management Letter is the auditors recommendations. I’m not only positive on the financial statement, I’m also positive on the management letter because you got rid of six of the items you had on last years audit. They are 1. Bank accounts were not reconciled, and they are this year. 2. Control of resource documents of debit, was greatly improved and now is under control. 3. Lake fund transactions not recorded, all recorded properly this year. 4. Recommended daily cash receipt register, and that was implemented. 5. Detail cash receipts journal last year and that was implemented. You have a lot of money going through miscellaneous receipts. 6. Relating to fire pension fund there was an investment act violation. It was temporary being out of compliance. That part was resolved. The only new thing this year, we had to do a single audit because of the city spending more than $500,000 of federal funds. The complication is what are federal funds? Some of the funds received from the state are pass through funds. The accountability and tracking of those federal awards is very important and are considered material weakness, as far as federal compliance single audit of our financial audit is concerned. This is our new recommendation. This has been talked over with management and City Treasurer Kathy Luker. You have quite a liability on the Health Insurance. You should do a actuary evaluation every three years. I have mentioned this in the audit for three years now, and it should be done. I feel uncomfortable, as it is pay as you go. Funding needs to be set up. Also what you should be charging employees for your premium cost. The Tax Increment Funds of 4A Enterprise Park of $55,000.00 have to be returned to the other taxing districts as it was not spent within the 36 month period. The importance is, to be in order to maintain your tax increment funds you have to have a redevelopment plan, and usage plan, of what you 4 are going to spend it on and actually implantation. If you don’t, you have to return the funds to the taxing bodies. Jim thanked City Clerk Nancy Whites for her patience and cooperation as we had to work through some payroll problems. She was very helpful and forthright. We bugged her also for minutes, ordinances, resolutions and those type of things and she has always been a resourceful person and very supportive of us, which we appreciate that. Jim Hocker said he wants to take an auditors bow to the treasurer. Jim said he has known Kathy Luker as she worked for his office some 15 years. She left us and we did not want her to leave. This job as city treasurer is very difficult, and your talking about a 12 million dollar enterprise. There are 30 different funds, and they are very task oriented, even though you have a computer system. And that computer system is lacking in some respects. She has excellent bookkeeping skills and audit skills in terms of documentation in backing up her support. I was worried about her as this was her first full year. She had no good trail to follow. She had good support from the former city treasurer Pat Wright. We tried to help when we could, but day to day she had to sink or swim, and she swam beautifully. She wanted to do better and continue on. I know she was a quick learner, I was surprised she learned as quickly as she did! I can’t over emphasis how fortunate the citizens of Canton have in Kathy Luker as Treasurer of Canton. Keep up the good work! Alderman Carl said he wanted to echo what Jim Hocker had reported for this last year. The council then gave Kathy Luker their applause in appreciation. Payment #6 from Leander Construction for the Kilroy Pumping Station. Motion and second by Aldermen Sarff/Meade, to approve pay request #6 from Leander Construction for the Kilroy Pumping Station in the amount of $153,197.33, and refer to council for consideration. Discussion. Keith Plavec recommended the pay request as he mentioned that they have progress meetings. The motion carried by voice vote and was unanimous. Payment #1 from Laverdiere Construction for Kilroy Sewershed. Motion and second by Aldermen Sarff/Meade, to approve pay request of #1 from Laverdiere Construction, Inc. for work completed through December 15, 2006 in the amount of $77,000.85, and refer to council for consideration. th Discussion. Keith Plavec mentioned that on 6 & 7 at first the soil was great to work with, then some settlement developed and they proceeded, then 5 they hit glass bottom. The area was an old land fill. Then it caused the north side to settle. We have been waiting on two (2) easements to be thth rapped up so that the work on 10 and 11 can begin. Keith said they finally have been granted those easements. The motion carried by voice vote, and was unanimous. Dry Suit Purchase. Motion and second by Aldermen Meade/Sarff, to approve the purchase of two (2) dry suits from Deep Blue Adventure for the Canton Fire Department SCUBA Dive team at a cost of $2,950.00. The motion carried by voice vote, and one Nay by Alderman Sarff. Hotel/Motel Tax Request for Marketing Plan. Brenda McDaniels came to the meeting to go over the 2007 Marketing Proposal. This is her report – Nature-Based Tourism – Campaign #1. The goal of this campaign is to create interest in Canton as a great getaway destination for nature-based activities. A portion of this campaign will also promote Canton’s culture and history, and beautiful scenic drive. All efforts will help to increase traffic to restaurants, shops, and hotels by encouraging visitors to spend both day and night in the city. The target audience for this campaign is outdoorsmen, nature enthusiasts, and leisure travelers in the 12 Midwestern states, with a primary focus in Illinois. We recommend placing targeted advertisements in six highly circulated hunting and fishing publications to motivate the target group to visit Canton. Ads will target hard-core hunters, fishermen, and nature enthusiasts while utilizing photography clips from Canton’s existing TV spot from the Spoon River Partnership for Economic Development TV Campaign. Also recommend placing advertisements in the an Best of the Midwest 2007, annual hardback newsstand publication, to highlight Canton’s best features including its nature-based activities, culture and history, beautiful scenic drive, and vibrant downtown shopping and dining. In addition, we will direct potential visitors to www.cantonillinois.org to check calendar of events and discover all the possibilities Canton has to offer. We suggest putting a website banner ad that links to your website on the publications’ websites that offer online advertisement opportunities. 6 Campaign #2 The goal of this campaign will target the Peoria/Bloomington Area of Dominated influence which includes Peoria, Woodford, Tazewell, McLean Counties but also reaches into Mason, Fulton, Stark, Putman, Marshall, Livingston, Bureau, McDonough, Knox, Menard, La Salle, and Logan Counties. We recommend utilizing the existing TV spot from the Spoon River Partnership for Economic Development Campaign to advertise on broadcast television. Advertising Summary Magazine Space total: $23,931.00 Online Advertising Space Total: $ 2,903.00 TV Space Total: $ 7,800.00 Advertising Space Total $34,634.00 Production Costs: Outdoor Magazine Print Ad $ 2,070.00 Midwest Living Print $ 1,520.00 Online Ad Production $ 1,355.00 TV Production $ 52.00 Total $ 4,997.00 Grant Total $39,631.00 Alderman Carl and Alderman Berardi both said that Canton does not have any fishing and hunting that is not private. Alderman Sarff ask why the Musky magazine? We don’t have musky in any of our lakes. Alderman Schenck mentioned you should focus on calendar of events. Do a story in the magazines rather than advertising. Motion and second by Aldermen Sarff/Meade, to deny the request of using Hotel/Motel Funds for the Marketing Proposal. Discussion. Mark Rothert said they would take the suggestions that were made and rework the plan. City Attorney Chrissie Peterson said promoting tourism this way you are not able to use Hotel/Motel Tax Funds. The motion carried by voice vote, and was unanimous. 7 Added to the agenda. Motion and second by Aldermen Meade/Sarff, to allow the expenditure of $2,950.00 to make emergency repairs on a Vaccum Tanker Truck at the Waste Water Treatment Plant. The motion carried by voice vote, and was unanimous. The Finance Committee adjourned at 8:05 p.m. LEGAL & ORDINANCE Alderman Craig West, Chairman City Manager Proposal for April 17, 2007 General Election. David Anderson came to speak about what a city manager job duties are and if you change the form of government what has to take place. David said he began working for the City of Normal back in the 60’s as City Manager. He now volunteer’s for the International Management Association as a Range Rider to speak about this issue. David said it takes a resolution to be passed for the appeal to the voters for council manager form of government, and for the April 17, 2007 General Election. You can circulate petitions as this gets the people involved. The city government is a big business, and state and federal law is always changing. City Managers are to keep the council informed. He/she will enforce contracts, franchise agreements, hiring, firing and discipline of all city employees except the fire/police as they are governed by the Fire and Police Commission. The City Manager is trained in municipal government and are better at fiscal control. You have to ask yourself if a city administrator fits in your structure. They work with the mayor and council and don’t run the city. I can work with you to do the advertising, and I can provide a draft resolution or ordinance, and help in the process and will charge $125.00 per hour not to exceed $4,000.00. David mentioned that the more experience the more you’ll pay. The salary would be around $60,000 to $70,000, they would have a master’s degree with 5 years experience. They would need an assitant, cell phone, office space, a car or car allowance. If you go for a City Manager you will receive more applicants, and you will see more advantages. Some will shay away from a new position. You will have to also give a severance package. City Attorney Chrissie Peterson ask if the City Manager takes on the Human Resourse person as the City does have one? David said yes they do take on this position of Human Resource Officer. 8 David mentioned that the position of Aldermen could be 4 elected and 4 at- large, you need to decide if that is what the council wants to do? The salary would be lowered of the mayor. Alderman Meade said the City Manager runs the city, and an administrator does not have much power. Alderman Meade said he wants to leave the Aldermen’s position they way it is now. We want one issue on the ballot. Motion and second by Aldermen Schenck/Carl, to have the city attorney draft a resolution of one question, “Do You Want To Change The form of City of Canton Government?” Discussion. Alderman Sarff said we have had no discussion on this, we just tonight began talking about it. We need more information. The motion carried by voice vote, and was unanimous. David was thanked for coming and sharing his expertise. Age Limit of Trailers. Alderman Carl mentioned that at 5 Sisters Trailer Court there are two (2) trailers that are un-habitable. We are going to have another trailer court mess. City Attorney had research the statute and the age limit of a trailer is not possible, as an ordinance has to be adopted to take care of this. Alderman Sarff wanted to know if can get an injunction to keep them from bringing in those un-habitable trailers. Fire Chief John Stanko said there is a provision in the code of a building structure having an open door or windows as this is a fire hazard. Alderman Carl ask city attorney, that since we don’t have the ordinance passed, do we have to bid by state statute? City Attorney Chrissie Peterson ask who does enforce this? Chrissie said she will do some research. Resolution approving an agreement for pipeline crossing with Keokuk Junction Railway Company. City Attorney Chrissie Peterson said she spoke with their representative today at 3:30 p.m. and there is an clause in the resolution that the City will pay the sum of $500.00 per annum on or before the first day of January of each and every subsequent year subject to annual adjustments based on the increase or decrease in the All Items Consumer Price Index (“CPI”) as published by the United States Government. This has to be changed in the resolution and we should receive the new resolution by tomorrow and the fee will be for 5 years. COMMUNITY & INDUSTRIAL DEVELOPMENT 9 Alderman Kevin Meade, Chairman Update from SRPED Chairman Mark Rothert. Mark said he had two conversations for the development of two subdivisions. Mentioned having FXI revolving loan fund for all different resources for low interest money. The site Banners will be appearing real soon. Mark said he has scheduled the Donaldson Center at Wallace Park on th Tuesday January 30, 2007 (the 5 Tuesday of the month) at 6:30 p.m. for a Council Policy Workshop Session to meet and discuss issues of economic development. This will not be a “special council meeting,” however I will issue the proper meeting notification to the public to follow the Open Meetings Act. Council members mentioned they would be coming to that meeting. Alderman Sarff said he would be unable to attend as he is having surgery that day. Mark said he would be contacting retailers in the coming months and would keep council informed. Wants to add to the website available land within the City that can be developed. Alderman Schenck mentioned the Budget is coming up, can we anticipate the partnership given the City your Budget? Mark said this is what he is st looking at in terms, efforts, activities, etc. Their fiscal year is July 1. Alderman Schenck wanted to know, Mark will you be bringing any special projects to focus on the downtown revitalization? The TIF funds and the Enterprise Park, do we have a plan? Mark answered, that some 30 years ago there was a plan, but it was vague and it did not have any goals. Alderman Schenck asked again to Mark, if he was going to bring a plan, or do you want us to give you our priorities and you find the perimeters? Alderman Carl ask Mark have you done any marketing of the Enterprise Park? Mark said not that much. 10 Alderman Berardi said we should waive the building permit fee for Bill Kemper who is adding on to the present building he owns in the Enterprise Park. On the agenda next week Dennis Crawford has the plans in place for the lot he bought from the City last year. The Community & Industrial Development Committee adjourned at 9:17 p.m. NEGOTIATIONS, GRIEVANCE & PERSONNEL Alderman Larry Sarff, Chairman Nothing listed on the agenda and discussion was not held. EXECUTIVE SESSION – NEGOTIATIONS, GRIEVANCE & PERSONNEL COMMITTEE – TO DISCUSS ALL UNION NEGOTIATIONS AND EMPLOYEE DISCIPLINE. Motion and second by Aldermen Meade/Carl, to go into executive session to discuss union negotiations and employee discipline. Roll call. AYES – Aldermen Carl, Meade, Sarff. NAYS – None. 3 AYES, 0 NAYS, 1 ABSENT. Motion carried. The regular scheduled Clerical Committee convened into executive session at 9:18 p.m. The Clerical Committee reconvened in open session at 9:50 p.m. Recording Secretary, Nancy Whites, City Clerk 11