MINUTES
BUDGET REVIEW COMMITTEE
May 12, 2009
Members Present: Chairperson Skip Henderson, Mayor Pro Tem Evelyn Turner Pugh
and Councilors R. Gary Allen, Mike Baker, Jerry ?Pops? Barnes, Glenn Davis,
Julius Hunter, Jr., and Evelyn Woodson. Also present were City Manager Isaiah
Hugley, City Attorney Clifton Fay, Deputy City Managers David Arrington and
Lisa Goodwin, Finance Director Pam Hodge, and Clerk of Council Tiny Washington.
Members Absent: Councilors Wayne Anthony and Charles E. McDaniel, Jr. were
absent.
Call to Order: Chairperson Henderson called the meeting to order at 4:25 p.m.
in the Council Chambers, Plaza Level, of the Government Center.
Chairperson Henderson said this is the second Budget Review Meeting and
then called on City Manager Hugley and Finance Director Hodge to proceed with
the presentation of the FY2010 Recommended Budget.
*** *** ***
FY2010 RECOMMENDED BUDGET:
City Manager Hugley repeated that this is the second Budget Review Meeting
for the FY2010 Recommended Budget after which he called on Finance Director
Hodge to make her presentation.
Director Hodge pointed out that she passed out a copy of today?s
presentation as well as some information on the new positions that will be
discussed with the Add/Delete List. Director Hodge said one of the items handed
out include a new summary report for Schedule Operating Expenses Only. There
are no increases in personnel except for the new positions that are listed. She
said this provides a comparison of the divisions? expenses from year to year.
Using the overhead projector, Director Hodge went over the agenda for
today?s meeting which includes: Overview
Agency Appropriations
Non-Operating Funds
1999 Special Purpose Local Option Sales
Tax (SPLOST)
2009 Other Local Option Sales Tax (LOST)
Department Presentations (Clerk of
Municipal Court -
cancelled; Sheriff?s Office; Tax
Assessors Office)
Add/Delete List
Budget Schedule
Director Hodge explained that the FY2010 recommended budget is submitted at
$234,156, 401 ? using $3.8 million in the fund balance. Of that $3,702,480
comes from General Fund and $118,185 comes from parking Management Fund. She
said this budget is a 11.11% increase over the FY2009 adopted budget and only a
1.14% increase and if you exclude the LOST, it is a very modest increase in the
budget without the new revenue source.
Continuing with her presentation, Director Hodge points out the following:
ASSUMPTIONS:
No millage increase since FY05 for Urban Service District 1
Slight decrease in FY10 for Urban Service District (USD) 2 and 4
9 mill cap in Urban Service District (USD) 1
1.00 % Growth in the Digest
96% Collection Rate ? reduced from 97%
E911 Subsidy - $616,413
Oxbow Creek Subsidy - $150,000 (additional $194,604 from General Fund Balance)
Bull Creek Subsidy - $288,399
Value of one mill (operating) $4,142,014
Value of one mill (debt) $4,611,776
No pay plan advancement/adjustment or retirees increases
Health Insurance (City and Employees contributions remain the same)
$1,700,000 increase in Pension contribution
$0 included for post employment retiree benefits
MILLAGE SUMMARY:
In addition to the handout provided, Director Hodge pointed out that
District 1 total millage rate remains the same at 17.91. She pointed out that
there is a reduction in the debt service millage rate from 1.23 down to 1.08
across all funds; she said there is an increase in the Storm Water/Sewer
Millage in Urban Service District 1 that went from 1.07 % to 1.22 %; and in
Urban Service District 2, it went from 0.12 to 0.21 mills; reduction in Urban
Service District 2 went from 13.05 mills to 12.99 mills; and in Urban Service
District 4, a reduction from 11.85 to 11.70.
Councilor Baker asked if the pension increase is 1.4 or 1.7 % to which
Director Hodge responded that it is 1.7 %. Councilor Baker then asked if this
was the funding or the increase over the prior year funding. Director Hodge
responded that this is the increase over the required contribution from FY2009
to FY2010. Councilor Baker and Director Hodge had some additional discussion
regarding the requirement of the actuary calculations.
OVERVIEW OF OPERATING BUDGET BY FUND:
Director Hodge said the General Fund makes up 62.14 % or $145 million of
the total Operating Fund. She said on the revenue side, you can see that the
general property taxes makes up 31.32 %; sales and taxes ? 25.10 %; Charges for
Services is 14.94 %; and the fourth largest revenue source is business and
other taxes at 10.50%.
EXPENDITURE:
Director Hodge said the largest allocation goes to Public Safety at 43.42%;
Public Services at 10.84%; and Community Services at 9.12 %. She said the
Medical Center is included in the Community Services Allocation.
OPERATING BUDGET BY TYPE:
Director Hodge said we are heavy into Personnel Services at 62.60%;
Operating at 30.85%; and very small portion to Capital (2.75%) and CIP (3.83%).
AGENCY APPROPRIATIONS:
Director Hodge pointed out that this fund would remain the same, except for
two, which are Contractual Agreements ? one that went out with the Health
Department Grant and the other to the Lower Chattahoochee Regional Development
Center. The total agency appropriations are $1,823,151.
NON-OPERATING FUNDS:
Director Hodge said these funds are not part of the General Operating funds
of the City Government. They are all restricted for a specific purposes, are
budgeted annually, and each is maintained in a separate fund. Urban Development
Action Grant is a program established back in 1988 and it is a mortgage loan
program. The $70,000 that is budgeted is strictly for servicing fees and
miscellaneous expenses related to monitoring that program.
Director Hodge further explained the other Non-operating funds in the
handout. A copy of said handout (the complete presentation) is on file with the
May 12, 2009 FY2010 Budget Review Meeting file in the Clerk of Council?s
Office.
Councilor Davis asked if the hotel/motel tax is a projection - stating that
it appears as though a penny is coming in right now at $0.7 and further asked
how each penny is calculated. Director Hodge responded by saying that each
penny is calculated at $608,700. She further explained that the numbers
projected here is based on current revenue that we received over the last six
months and the current occupancy.
1999 Special Purpose Local Option Sales Tax (SPLOST):
Director Hodge explained that when we originally adopted this SPLOST, the
voters approve it back in November 1999 and the total in the referendum was
$255,441,322. She said we had reached that collection point and the SPLOST
ended in September 30,2008. The additional SPLOST money that was due (because
of the timing of SPLOST) plus interest income is $22 million.
The recommendation of the $22 million is as follows:
$5,000,000- Public Safety
$3,823,365 ? Police Department
91 Pursuit Vehicles including tech packages
$714,470 ? Fire Department
Replacement engines/ambulances/equipment
$84,030 ? Marshal?s Office
2 Pursuit Vehicles including tech packages
$378,135 ? Sheriff?s Office
9 Pursuit Vehicles including tech packages
2009 Other Local Option Sales Tax:
Director Hodge explained that this is budgeted at $21,000,000 million. The
original projections for the LOST were $36 million, and as we see the
unexpected change in the economy, we have reduced that projection to $28.8
million. We are budgeting $21 million and the remaining $8 million will be
reserved for the FY2011 rollback requirement.
She said we would be coming back to council with the educational component
of the LOST.
As council has committed 70% to Public Safety and 30% to Roads and
Infrastructure split, this budget is prepared with that distribution $14.1
million of the $21 million represents 70% and that is split between personnel
($9,438,797); Operating ($993,285); Capital ($4,267,918); and $6,300,000
infrastructure for CIP.
Councilor Henderson said there were lots of personnel needs highlighted in
the Mayor?s proposal when this was taken out to the public for vote. He said
this is going to take a little while for us to address those personnel needs.
In the different public safety areas such as in the Marshall?s offices to help
facilitate those eviction which ultimately do a lot of property damage ? the
longer it to get takes them (evictions) done, the more that community will be I
need of additional assistance. He said the penny is not a magic wand, it is a
mechanism for us to start addressing some specific needs, but it can?t happen
all in the first year or overnight.
City Manager Hugley pointed out that the Mayor (during his campaign) said
the first priority would be to get the 100 police officers on the streets, and
he (the Mayor) indicated on the campaign that some of the other positions would
not come the first year. The commitment is there and the Mayor has acknowledged
that-but it is not happening with this FY2010 budget.
Director Hodge further pointed out that the 2009 other LOST Public Safety
Recommendations, the operating cost are $993,285 ? the first allocation is for
he Crime Prevention/Intervention Program. She said we budgeted this year at
$931,459 towards the annual $2 million commitment and the commission has
identified five areas of emphasis: Recreation, Education, Drug and Alcohol
Prevention and Intervention, Employment and Jobs, and Community Placing.
Councilor Henderson asked City Manager Hugley to expand on the need for
additional personnel in the State Solicitor General?s Office.
City Manager Hugley said in the LOST, there would be an assistant Solicitor
General and an assisted Public Defender. He said the State Law changed the
limits in the courtroom and the state court would take on some additional cases
based on these limits which were establish in recent legislative session. He
said the new District Attorney has some cases she is going to recuse herself
from. Of the 3,000 cases that they have, somewhere between 90 to 100 cases she
will have to recuse herself from. The Solicitor General?s Office will be
taking on these cases.
City Manager Hugley provided some further information with regards to the
jail population and the number of correction officers.
Mayor Pro Tem Turner Pugh asked who pays the cost for trials and cases that
are handled outside of Muscogee - in the event of a transfer. City Manager
Hugley and Director Hodge said they would have to research this information and
provide an answer to Council at a later date. He said he do think we will have
some responsibility, since the case is our responsibility.
Regarding the Crime Prevention and Intervention Program, Director Hodge
said we have $931,459 in the budget towards the annual commitment, and much
like the comprehensive plan, the Crime Prevention and Intervention Program will
come to Council for approval before spending ? including detailed line item
budget outlining how the money is going to be spent and Council would vote on
it from there much like their budget presentation.
Councilor Henderson said he commends the Mayor for this program ? he thinks
this is the most significant budgeted item out of the one-cent sales tax,
because its the amount that is actually going towards crime prevention versus
catching it and putting it away. After some additional comments for Councilor
Henderson, Director Hodge continued with her presentation, which lasted an
additional 10 minutes.
Councilor Allen asked if the 78 pursuit vehicles mentioned in Director
Hodge?s presentation are needed right now to which Director Hodge responded
that this is part of the 169 that was originally bought to Council. She said
some were going to be purchased immediately, and some will be purchased out of
the SPLOST. She said 69 were purchased immediately and the remaining 100 are
being put out for bids.
Director Hodge said in regards to the position Councilor Woodson asked
about, this would be a Project Engineer in the Engineering Department and this
would be a temporary position to serve as backup in training with the existing
project engineer in the transition phase before his retirement. This would be
funded out of the LOST.
DEPARTMENT PRESENTAIONS:
Director Hodge said we originally had three department presentations but we
now have two: Sheriff?s Office and Tax Assessor?s Office.
Councilor Baker said he is not sure what department this falls under, but a
few months ago, he had the pleasure of serving on jury duty in the winter-time
and questioned whether the jury rooms are for the jury or the convicts because
they are in bad condition. He said the chairs do not have pads, no mats on the
floors, and no drinking water. He further asked if there is any way for the
jury rooms to have chairs with padding, mats in the floors and water to drink.
He asked that someone look into this.
Councilor Henderson, in response to Councilor Baker?s comments, said this
is the time when items can be placed on the Add/Delete list to be voted up or
down and told Councilor Baker he can place this on the Add list if he so
desires.
City Manager Hugley, in response to Councilor Baker?s comments, said we can
try and work this administratively.
Councilor Baker made some additional comments regarding the $993,285
funding for the Crime Prevention/Intervention Program. City Manager Hugley
reassured that nothing would happen ? no money would be spent unless this
Council has approved it.
In response to questions and concerns voiced by Councilor Baker regarding
the Crime Prevention/Intervention Program, Mayor Wetherington said he
understand Councilor Baker concerns, but when we went out and talk to the
public about voting yes for this sales tax, we also identified what we were
going to do. We were going to add 100 police officers, and I believed in having
the officers on the streets. Mayor Wetherington said we need to be aggressive
in enforcing the law, but I believe also that we need to do something in crime
prevention. If we wait until we arrest them, I think we are losing in a sense
that they are still getting involved in crime. The office of Crime Prevention
will not do anything about hiring personnel until we come to you (Council), but
I am going to ask you to support me in hiring a director for Crime Prevention;
a director that will study all of the needs that has been presented in the area
of crime prevention. I really think that we can make a difference. We said he
wants to do something in all the areas of crime prevention that Director Hodge
has mentioned, but nothing will be done unless we come to you (Council) for
approval.
Councilor Baker said while he knows this item will be passed; he could not
support it at this time and requested that it is put on the Add/Delete List.
Councilor Barnes said it is astounding how many veterans are served by the
VA Center but it is very cold in the winter and swelters in the summer. He said
for our veterans whose conditions has deteriorated and uses this facility to
get assistance with paperwork- he appreciates Council?s attention to this
matter in an effort to get the much-needed upgrades and repairs accomplished.
With regards to the new position of Director with the Crime
Prevention/Intervention Program, Councilor Woodson asked if it would be
possible to have a lateral promotion for someone who is already working in the
Public Safety Department. She said this would be a person who already has some
experience and insight in this area. She said this is just something to
consider.
Mayor Wetherington said what we are trying to do, is find the best person
possible to head-up this program. He further stated that if we can prevent
crime, it would be much cheaper on the state.
After a few additional minutes of discussion, Councilor Woodson said she
fully supports the program.
Councilor Woodson, in addressing City Manager Hugley said when the LOST was
being discussed, she made a request to look into a bonus or other incentives
for the General Employees ? for their continued support and hard work and also
given the state of the current economy. She said for this budget session, she
was expecting to see some numbers ? and throughout this entire book (FY2010
Columbus Consolidated Government Recommended Budget), she still does not see
anything. Councilor Woodson further requested that she receive something
(numbers) before this budget session is over.
City Manager Hugley said he do not specifically recall Councilor Woodson
asking for said numbers, but as I stand here we did not ? when we were out
sharing information about the LOST ? indicate that we were going to spend LOST
money for General Employees. He said any bonus would have to come out of he
Budget and not the sales tax.
After a few minutes of discussing this issue, City Manager Hugley said he
would bring something back to Council but stressed that it would not be from
the LOST.
At the invitation of City Manager Hugley, Ms. Judy Thomas, Executive
Assistant to the Mayor came forward and gives a brief presentation on the Crime
Prevention/Invention Program.
Councilor Davis said he too is hesitant with the request for the Crime
Prevention Program. He said in support of crime prevention, with respect to the
amount being requested, he has some concerns ? he said essentially what is
being requested is the Mayor asking us to approve it when only a certain amount
is being used this year. He said you are only talking about this year when you
have $21 million in sales tax from the LOST, but when you deduct 70% of that
you are well over 10% for this one request. He said while he has no idea of how
the mayor arrived at this number for this program want needs to be clear is
that transparency and public trust in making sure this money is used
appropriately.
Councilor Davis said he would like to invite each of the Councilors to go
to the gym facility in the Public Safety building ? he said it is a sweat box
and a lot of the equipment in there are a health hazard to the men and women
who utilized this facility. He said we all have access to this facility and we
have done this for the Fire Houses as well as other departments. He said having
adequate equipment to work out is a great, healthy way to relieve stress.
Councilor Davis said he would like to see a maximum of $100,000 go towards
improvement and modification of the workout equipment in the Public Safety
building.
Mayor Wetherington said he agrees that some of the gym equipment needs
replacing. He said we had to make a hard decision during this process in order
to present a balanced budget ? but if this Council see fit that this money goes
towards the gym equipment, I have no objection with that.
Several other members of Council and the Mayor made comments and
suggestions regarding the Crime Prevention/Intervention Program as well as the
growing number of people behind bars, and the process and procedure for hiring
a director. This discussion between the Mayor and Council went on for an
additional 15 minutes after which Mayor Pro Tem Turner Pugh asked about the
position in the Solicitors Office, the longevity of the Clerk in the Marshall?s
Office, as well as other items on the Add/Delete List.
Add/Delete List:
Director Hodges said these are items that Mayor Pro Tem Turner Pugh had
suggested that would be deleted from the Add/Delete List. She said the
positions would start on January 1st instead of July 1st ? and this just lists
them individually. She said there are also two departments that are going to
make presentations before we get to the Add/Delete List.
Referring back to the portion of the presentation regarding Infrastructure
and Roads, Councilor Davis asked if there was enough money allocated for
repairs and other road improvements. Director Hodge answered by stating that we
have allocated $1,487,000 in the Paving Fund for the resurfacing program, and
$1.8 million out of the LOST for roads, resurfacing, and other road improvement
programs. Councilor Davis made some additional comments regarding adequate
funding in the event of a rate increase in fuel.
DEPARTMENT PRESENTATIONS:
Clerk of Municipal Court- Cancelled
SHERIFF?S OFFICE- Maj. Randy Robertson presenting:
Maj. Robertson thanked the City Manager?s Office and the Finance Department
for all their help in the re-organization of the Sheriff?s Office. Maj.
Robertson said although they have been successful in the cutting back and
reducing overtime in the Sheriff?s Office, there seems to be some
miscommunication articulated in the line items. He said these things are very
important to our mission and some of them are required under the Federal
Consent Decree that we entered into with the Department of Justice. Maj.
Robertson presented the following to Council:
1.Sheriff Operations:
Travel Schools and Conferences:
Maj. Robertson said our request was $22,171.00 but we were approved
$3,000.00 and this money is used to maintain certifications for our K-9s
(explosives, patrol, and Bloodhounds) and their handlers. He said to save
money, we send them to Savanna, GA to work with the Chattahoochee County
Sheriff?s Office and they provide free room and board. He said National
Certification is required on the K-9s and the testing is very expensive. The
$3,000 awarded is not enough to even cover one of those required certification.
Also part of this is the CES Operator Certifications ? this is our lie detector
operators. Within the Muscogee County Sheriff?s Department and every other
Public Safety Department, we polygraph every person that comes looking for a
job. And we also use it for Internal Affairs Investigations. The initial
certification for these operators is around $5,000 and right now we have four
officers certified so this money is primarily use for re-certifications and
these certifications last for three years. Maj. Robertson said he believe the
Sheriff?s Department has three of these individuals who will be up for
re-certification this summer. He said the cost-excluding travel for individuals
needing re-certification is around $1,500.00 each.
2.Publications and Subscriptions:
The amount requested was $8,900, and the amount granted was $6,000 and this
money goes towards maintaining the Law Library in the County Jail. This is an
electronic Library System that the Justice Department came down and said we had
to have available for the inmates, to be able to research their cases. The
$6,000 allocated will not cover the amount that is required to maintain this
Law Library over the Fiscal Year.
Maj. Robertson said one other thing that was done that we would like for
you (Council) to look at is the re-classifications. Maj. Robertson pointed out
that the Sheriff?s Office did not ask for anything under the LOST this year.
Maj. Robertson said for the re-classification, the first one is from a
secretary D10 to an Account Tech D12, which is an increase of salary and
benefits of less than $34 per week. This individual handles all of our ordering
and invoicing; Purchase documents and price agreements; Service contracts; Bid
items, and the entire city budget for the Sheriff?s Office ? she is our liaison
to the Department of Finance ? a 17-year employee who started in 1992. Maj.
Robertson said this request has been made in years past and has been denied.
Mayor Pro Tem Turner Pugh asked if the classification has already been to
the University of Georgia, to which Maj. Robertson replied that he is unsure at
this time.
Maj. Robertson said the second re-classification request comes out of jail
budget under the Classification and Identification Section - and they are
responsible for finger printing and classifying all inmates who comes through
there, regardless of the charge. If they spend time in the Muscogee County
jail, they will be finger printed and have to be classified so they can be
placed in the proper cell ? for safety concerns. Two Sergeants and 14 Deputies
currently run this section. What we are asking for is that a Sergeant is
re-classified as a Lieutenant; a Tech be reclassified as a Sergeant; and a
Deputy be reclassified to a Tech, and you do not have to replace the Deputy. In
essence, we are giving up a Deputy slot for these reclassifications. This
reclassification will allow for a more efficient run of the department and will
also fall into compliance with the Georgia Security & Immigration Compliance
Act which was signed by Governor Perdue on April 17, 2006 and require that jail
personnel check the legal status of those who are charged with a felony or DUI
and notify Immigration & Customs Enforcement if the individual is not legally
in the United States.
Maj. Robertson then provided some additional information on the figures and
numbers with regards to the upgrades and reclassification discussed during his
presentation.
Councilor Henderson suggests that City Manager Hugley, Finance Director
Hodge and Maj. Robertson get the figures together to determine how it will
affect the budget.
There were some additional discussion with regards to the re-organization
of the Sheriff?s Department and the effects on their Operating Budget.
TAX ASSESSORS? OFFICE PRESENTATION presented by Ms. Betty Middleton:
Ms. Betty Middleton, Chief Appraiser, said she is here asking that the
position she had put in the budget and was subsequently taken out be restored.
She said it was deleted in 2003 when we had a total of four positions
eliminated. Three of the four deleted positions have since been restored and
this position is for an Appraise/Auditor. We have been able to maintain someone
through temporary vacancies and also by way of emergency approval from the City
Manager. Ms. Middleton said this is a very important position that needs to be
restored. She said the position is crucial to our personal property division.
This position is charged with assisting tax payers with other detail questions
relating to personal property return. Ms. Middleton pointed out other
justification for reinstating this position.
After a brief discussion among some members of Council, Councilor Henderson
said it could be put on the Add List for a vote at another meeting.
Councilor Henderson suggested that Director Hodge provide a rundown of all
the items added to the List so Council can get a better picture of how each
item affects the budget in terms of cost.
Director Hodge explained each item as listed in the Add/Delete List.
Director Hodge, City Manager Hugley and Mayor Wetherington responded to
questions and comments from several members of Council.
Director Hodge further pointed out that the next FY2010 Recommended Budget
Meeting is Schedule for May 19, 2009 at 9:00 A.M.
*** *** ***
With there being no further questions/comments regarding this session of
this budget FY2010 proposal, Councilor Allen made a motion for adjournment.
Seconded by Councilor Woodson and carried unanimously by those eight members of
Council present for this meeting with Councilors Anthony and McDaniel being
absent and the time being 2:03 P.M.
________________________
Shondell V. Duncan
Administrative Secretary
Clerk of Council?s Office
Council of Columbus, Georgia
Attachments
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