Agenda - Council - 03/10/2009 - Laserfiche WebLink

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City Administrator Ulrich stated that the planned rent from the MN Renaissance School is in jeopardy because of mold found at the old City Hall. He reviewed the other possible expenditure cuts that have been identified by staff. Councilmember Dehen arrived at 5:39 p.m. City Administrator Ulrich noted that there was $47,000 in excess revenue for 2008, but cautioned that this looks like this situation will be a permanent revenue reduction, so although it could be used to bridge the budget gap for 2009, it would not be a long term solution for the budget shortfall. He reviewed the some other possible expenditure cuts such as community education; AMM; North Metro Mayors; Anoka County Mediation; and Timesavers. He noted that some of these items would not result in a savings until 2010, because there is a lag time in the actual fees. He stated that there could also be cuts in out -of -state travel, department line items and staff reductions. He distributed and reviewed information that Human Resources Manager Kone put together with some personnel related options for reducing the budget expenditures including: a soft hiring freeze; voluntary separation incentive; unpaid leave; voluntary schedule reduction; mandatory schedule reduction; reduce contracted expenses; job sharing /reassignments; 2010 wage freeze; restrict or eliminate overtime and comp time; and layoffs. Councilmember Elvig asked for more information on where overtime is occurring. City Administrator Ulrich stated that it is in areas such as snowplowing, because there have been more snowstorms, or police, for example, if there is an arrest at the end of their shift. Police Chief Way stated there is some money that is brought back in for special events like the Game Fair. He stated that court costs are a large portion of the overtime costs, as well as some training situations, sick calls or arrests made at the end of shifts. He stated that he thinks about $83,000 of the total overtime costs are from the police department. He stated that he has a breakdown of exactly where all the overtime occurred, but he doesn't have it with him tonight. Councilmember Jeffrey stated that this would be good information to know because some of the overtime costs are offset by the events where money is brought in. City Administrator Ulrich noted that he will get that information to the Council. Mayor Ramsey stated that right now the City is just trying to cover the market value homestead credit loss of $400,000. He asked about information on what the City will take in for 2009 and the valuation amounts from the County. Finance Officer Lund stated that the valuation is just an estimate at this time. Mayor. Ramsey stated that he just wanted to make sure that the Council is talking about the budget issues before us right now and not talking about year -end information for the 2010 budget cycle. City Council Work Session / February 3, 2009 Page 2 of 15