HomeMy WebLinkAbout1990/09/18 - ADMIN - Minutes - City Council - Regular (2) MINUTES
City Council Budget Meeting
St. Louis Park, MN
September 18, 1990 - 7:00 P.M.
-J.I Council Chambers
Attendees:
MEMBERS PRESENT: Lyle Hanks, George Haun,
Keith Meland, Bruce Battaglia,
Jane Tschida 7:15 P.M.
Larry Mitchell 7:35 P.M.
STAFF PRESENT: Bill Dixon, Harlan Syverson,
Don Rambow
The levy limitation impact on fiscal year 1992 was discussed.
The philosophy of establishing an Equipment Replacement Fund and
the impact on operating budgets for 1991 and future years was
discussed.
Council appeared to favor the E.R.F. concept but questioned the
need to repl&ce capital equipment as frequently as is the current
practice.
The difference between an equipment rental charge which is
designed to recover operations and maintenance of the City's
capital equipment and a depreciation charge which is designed to
create a pool of funds for actual replacement of the equipment
was explained.
Council supported the E.R.F. and felt it should remain in the
budget for 1991.
Discussion of future revenue sources ensued. The proposed 1991
levy should remain as proposed and the possibility of reducing
expenditures should be considered . Capital equipment
expenditures should be reviewed rather than reducing services.
It was proposed staff review the possibility of reducing capital
expenditures by $500,000 and placing the savings into the
Equipment Replacement Fund during 1991.
Possible revenue enhancements were discussed such as:
1. Bonding for the Municipal Building expansion
2. Bonding for the $ 2,000,000 Equipment Replacement Fund
transfers
3. Increases to license/permit fees
Possible expenditure reductions were discussed such as :
1. reducing 1991 capital purchases
2. reducing the 1991 contingency by $200,000
3. implement new fuel reduction practices
4. reduce operating budget by some percentage
5. reduce operating budget by some dollar amount
The proposed 1991 operating budgets should be reviewed for
possible reductions. A 1% overall reduction could reduce
expenditures by approximately $140,000.
The Council and Staff had a general discussion of how City
policy and the budget process should work together. A review
of the pie charts and how they can indicate City policy was
discussed.
For interaction of City policy with the budget process, earlier
involvement in the budget process between Council and Staff
would be necessary.
Council requested staff to present expenditure reductions
totaling $1.5 million from operating budgets. Reduce the
contingency fund by $200,000 and look at capital expenditures.
The five year revenue and expenditure report was discussed and
will be reviewed.
Next budget meeting was set for October 16th at 7:00 P.M. in
the Council Chambers.
Ion Rambow _
Recording Secretary