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Acting Mayor Riley agreed with Councilmember Specht. <br />Finance Director Lund said that she will figure out what the road portion only contributes to the <br />tax increase, make a list of the positions, and the dollar amounts that are related to the union <br />contracts, salary only, and the respective benefits, not including health insurance, and those <br />positions that have been added but were not part of the original 2022 budget. <br />Acting Mayor Riley stated that this is exactly what he was looking for. <br />Councilmember Specht asked for clarification if they had the ability to change anything with <br />healthcare since it is not locked in the contracts, if they had the desire to. For example, if the <br />Council said they did not want the single coverage to be 100% if that was flexible. <br />Finance Director Lund noted there are two sides to this. The City still has non -union people that <br />are not locked into contracts and union people who are locked into contracts. She stated there is <br />language that mentions there is some wiggle room. <br />Administrative Services Director Lasher said that, for example, not to exceed $X amount <br />depending on the percentage that they get. They are protected and know a worst case scenario <br />number, but it could be a little better. <br />Finance Director Lund stated in regard to charging people that are under contracts with single <br />health insurance, if the contract has been negotiated with 100% coverage, it is not doable. <br />Councilmember Specht asked if, historically speaking, they had seen as dramatic a fall in home <br />prices. For example, in times where they saw a 22% increase, in the next year could it go down by <br />15%. <br />Finance Director Lund said there was a decrease with the market crash of 2009, which was ridden <br />out for a couple of years. She had the history of the market value of the past several years if <br />Councilmember Specht wished to see that. <br />Councilmember Specht explained his concern is that if they have a decent tax capacity and are <br />doing well, if they would be setting themselves up for failure if it would be dropping. He said there <br />is no way that the City can predict the market but they should be thinking of this possibility as the <br />Council makes their decisions. <br />Acting Mayor Riley said he believes that the County has been a little slow in following the <br />increases as high as they have been. He said that they follow the market. <br />Finance Director Lund said that is accurate. <br />Acting Mayor Riley asked Finance Director Lund if she was now going to talk about personnel <br />requests and capital requests. <br />City Council Work Session / August 8, 2022 <br />Page 5of19 <br />