HomeMy WebLinkAbout11191998 PORT TOWNSEND CITY COUNCIL
MINUTES OF THE CONTINUED MEETING NOVEMBER 19, 1998
The meeting was called to order at 4:40 p.m. in the City Hall Council Chambers by Council
President Ted Shoulberg. Members present were Kate Jenks, Peter Badame, Mark Welch, Ted
Shoulberg, Ian Keith and Forrest Rambo. Joe Finnie arrived at 5:40 p.m.
Discussion was initiated on the overall picture for the 1999 budget; spending is slated to be more
than revenues and it was noted that the General Fund balance will be at a very low level after
1998 supplemental budget requests are funded.
Possible revenue enhancements were listed for possible discussion only:
Property tax increase to 106%
Increased fees in Building and Community Development
(Budget cuts)
Utility tax increase
Interfund transfers (loans)
Utility rate increase
Increased B&O tax
Y2K compliant general ledger software, training and installation at an estimated cost of $100,000
and City Hall repairs as well as Equipment Fund loans to library, fire & police departments were
noted as items that have not yet been funded in the 1999 budget. Michael Legarsky stated that
money may be borrowed from the state through the LOCAL program for software, but not
installation and training, which would be about one-half of the costs.
Effects of borrowing from the contingency fund balance were discussed; Gary Leaf reiterated his
recommendation for a $1 million balance in that fund.
Mr. Badame asked for further recommendations from staff about the impacts of borrowing
money from various sources, both internal and external.
Utility rates and the rate model were discussed.
Mr. Finnie moved to task the Finance Department to develop a financing plan for roughly
$100,000 to fund Y2K improvements to be repaid partially through a utility rate increase and
partially through the general fund. Mr. Keith seconded.
Mr. Badame proposed to amend the motion with a clause regarding the decision point which will
come in February predicated on the report on the condition of City Hall. The amendment was
accepted.
Mr. Shoulberg also noted that the 1999 budget must fund the preferred option.
Vote on the amended motion: To task the Finance Department to develop a financing plan
for roughly $100,000 to fund Y2K improvements in 1999 to be repaid partially through a
utility rate increase and partially through the general fund, with the understanding that
when the report on the condition of City Hall has been completed, the issue will be
revisited.
The motion passed unanimously by voice vote, 7-0.
At 6:45 p.m., the meeting was continued to Monday, November 23, starting with the 4 p.m.
committee of the whole (discussion with Waldron &Assoc.), after which the Public Works CIP
budget will be discussed. Council members were reminded that a meeting of the council has also
been set for 6:30 p.m. on Monday, November 23, for the purpose of setting real estate tax levies.
Pamela Kolacy