«Present: Councilman Dwight Clark, Chair Councilman Tom Henderson Absent: Councilman Tadych Also Present: Mayor Sutherland, Finance Director Mahoney, ...»
Capital Requests 2014 (Exhibit D attached) Mr. Clark reviewed the capital requests per department. The shaded areas on the report represent money where funds have been allocated for those projects. The money is in hand but has not yet been spent. These purchases were approved in 2012. Vehicle and equipment purchases total $723,000 for all departments, including Police, Service, Administration, Community Service, and Fire. We are budgeting $525,000 this year for road repair, primarily Osborn Road and Cahoon Road (to repave the road after the sanitary sewer installation), and, if funds are left over, repairs to Wolf Road. About $344,000 has been budgeted for Public Improvements for a number of municipal buildings. The Service Garage and Aquatic Facility have also been budgeted at $192,000 and $85,000, respectively, for repairs. The total capital spending for the year is $1,869,000 of which there is a balance in the funds of $260,000. An additional $85,000 is available from the Pool Fund for the Aquatic Facility repairs. The Municipal Buildings Fund No. 495 will release $215,000 and $1,309,000 will be provided by proceeds from our 2014 new tax-exempt note.
Minutes of a Meeting of Finance CommitteeJanuary 27, 2014
Mrs. Mahoney reported that the fiber optics improvement will actually total between $57,000 to $62,000 rather than the $50,000 budgeted. The budget amount will be increased to $60,000.
The debt principal amount will be changed to $1,320,000. The remainder $1 million balance from the 2013 note issue will be added to that amount making the total debt for issuance for 2014 $2,320,000. Each of those issues will be paid down in 5 years equally. Mrs. Mahoney will seek information on whether it should be a one-year note issuance.
Mr. Clark noted that the earlier the budget is done the more appropriately we can release purchase orders and be a little smarter on purchasing. Mayor Sutherland added that this will help in getting state bid pricing.
Draft Revenue Budget 2014 (Exhibit E attached) An ordinance will be introduced this evening to change the video provider franchise fees to 5%.
Seven months increase in revenue has been built into the budget due to the notification time required to both cable companies and subscribers.
Draft Expenditure Budget 2014 (Exhibit F attached) Election expenses to be paid in 2014 total $39,642.00.
The General Insurance Fund No. 601 shows a reduction from $198,000 budgeted in 2013 to $163,000 in 2014. Mrs. Mahoney stated that the fund includes expenses and repairs not covered by insurance. Mrs. Mahoney will investigate further.
Leaf Collections Fund 100.321 is budgeted higher ($130,000) than actual 2013 expenditures ($104,744). It seems to be in line with the 2012 expenditures of $123,815.46. Mrs. Mahoney explained her accounting process.
The Sewer Fund No. 580 will require a deeper discussion with a full hearing and consultation with the engineering consultants. There will have to be some changes to the sewer charges. Mr.
Clark asked the Mayor and President of Council to schedule a date for this discussion and hearing on this topic. Mrs. Mahoney noted that we are looking at a $500,000 deficit in the fund.
The Mayor noted that since it is an enterprise fund by law there can be no deficit by the end of the year.
Mr. Clark expressed appreciation to all for their input, assistance, and attendance. Mr. Lee asked if we are comfortable with the numbers on salt and snow removal. Mayor Sutherland stated that the city is running about $24,000 in overtime which is double what was spent on overtime at this time last year. There is a Northeast Ohio salt shortage. Bay Village had carry-over that they were able to protect. Lakewood, Rocky River and Westlake are having problems. Bay Village is very short and salting is only being done to the main streets.
There being no further business to discuss the meeting adjourned at 6:30 p.m.
Minutes of a Meeting of Finance Committee January 27, 2014