1994 MIN NOV 1 - Laserfiche WebLink

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I ssue had good ground and issue. He suggested that renaming the perk. bath sides were passionate about this Council look at placing a time: period on Mr. John Mitchell remarked that if the City borrowed $3.5 million and has borrowed an additional $600,000, it now has a $4. 1i li on deficit. He analyzed that part of the 1994-95 budget Includes the sale a of 35 units from the sale of mobile homes, a total of $2.8 million, an anticipated , 00 0 per unit, no counting closing os. costs. He suggested that a closer price would be one-half of that amount due to lack of sales and that it would take a while to collect the money. The sales will not cover the project amount and the budget o will not balanced with a actual deficit of 6.9 illio . Discussion sued between Mayor Gonzales and Mr. Mitchell regarding the conversion of the park. Since RDS. finds were used. for this project Mr. Mitchell questioned why the money did not revert to RDA. economic Development Director Gabriel said it is possible that half of the projected amount could be realized; however, be informed that the $2.8 million. 'is not coming from strictly the sale of the park but it is coming from other reimbursements for other investments by the city. Electric utility Mr. Join Hutton, 1533 Agate, asked if the City owns the electric utility and. if the ity purcha d it. was it ever repaid. City Attorney Biggs Informed that the City owns all of the utilities 'thin e City's boundaries. There re separate accounts for all of the City's enterprises. The Electric ilit is City -owned and not a separate entity. Mr. Hutton asked if the funds belong to the City. The City Attorney answered affirmatively except for some restrictions on bonds where rates are to be charged. -all are City assets. Contracting Mr. John Hutton, worried about employee morales inquired about rumors irculatin,g regarding contracting out sanitation and other related services. Mayor Gonzales and Councilmember Rios and Beltran stated that this had neves been discussed. City Manager Martinez stated that at a recent mid -management meeting be mentioned the ity"s financial bind and identified the need to explore all alt rnativeso which included contracting Ices out In the context of departments assi sting one another and paying each other for services rendered. For instance, the seer plant needed to be cleaned up and with time of the essence one opt ion was to go outside of the City and pay for such services and the: manner used was to employ the services of a City Department, who had the time, staff and equipment, to clean weeds and trim bushes. He stated he would direct the service provider to x .h•: :ter <„_:._#.