Agenda - Council - 03/22/2022 - Laserfiche WebLink

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Councilmember Musgrove asked, for the benefit of the Council, whether the reluctance of changing the funds in the past has not only been the fact that the funds go into four different funds, that if there is a deficit it comes out of those same ones. Finance Director Lund confirmed this. Councilmember Musgrove asked if there is a deficit for facilities that they could borrow funds from the Public Revolving Fund. Finance Director Lund corrected, for example, if there is a need in a given year that wasn't in the budget, the Facility Fund or the Capital Maintenance Fund could be used to fund those improvements. Councilmember Specht referenced a discussion about moving excess funds to the Pavement Management Fund to get ahead on that. He questioned if that is a good idea because it would have to be taken from the levy. Councilmember Riley replied putting it toward the Pavement Fund would sound great but then turning around and having to put something on the levy for facility doesn't make sense. He is comfortable with how things are, as he didn't see it as piling up a lot of money but that it is for a specific purpose and is being used. Mayor Kuzma commented there is a lot coming in 2023 so he would support keeping it as is. Councilmember Heineman asked if there is a portion that goes to the Pavement Management Fund. Finance Director Lund replied, not as a part of this transfer, that goes to the Public Improvement Revolving Fund and then the Equipment Revolving Fund, the Capital Maintenance Fund, and the Facility Fund. She stated when they have the American Rescue Plan Act (ARPA) Funds discussion, then the Pavement Management could be discussed. Councilmember Riley agreed, adding that might be a good discussion on one-time money, to put it toward trying to get ahead. Councilmember Musgrove commented that a better job has been done this year to meet needs and not have a lot of excess but there is some excess and because of the ARPA Funds, she is in favor of not making adjustments this year. She felt the ARPA Funds discussion could impact this discussion. Finance Director Lund asked if they could come back to this after the ARPA Funds discussion because she has to have it formalized at the next meeting with the audit at the end of the month. Councilmember Musgrove commented there may be a consensus. Mayor Kuzma asked for a show of hands in favor of keeping it where it is at this point. City Council Work Session /March 8, 2022 Page 4 of 13