1996 RES R-59-96 - Laserfiche WebLink

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a � � � � � r Budget Message Page 2 • City Attomey - Addition of a legal assistant position. • City Manager - Addition of Contract Administrator responsible for all service contracts (e.g. refuse/recycling and LLMD). • Electric - Addition of 3 positions: 2 Power Line Technicians, 1 Meter Reader. • Economic Development Depa�tment - Implementation of an aggressive economic development policy and program. • Water/Wastewater Department - Addition of an inspector; the transfer and funding of two general fund positions in the Street Division to Water/Wastewater Department (NPDES). • Latchkey Grants (Child Care) - Reduced the number of centers from six to four and upgraded four part-time positions to full-time positions. • Reduced the number of furloughs from 6 days in FY 1995-96 to zero in 1996-97. • City-wide - Cost of insurance, $300,000, was allocated to all departments to establish a � d for Incurred But Not Re orted IBNR liability claims. reserve fun P ( ) • The Sanitation and Recycling Division has been excluded as a result of Council action. • Cemetery - Re�uction of one-half clerical position and $25,989 loan from the Generat Fund was used to balance the budget. Outsourcinq of Sanitation/Recyclinq Enterprise � On Ma 15,1996 the City Council moved to outsource/privatize the Sanitation/Recycling Y Enterprise. This resulted in a one-time revenue source of approximately $2.88 million. City Administration recommends that this one-time revenue not be used to fund on-going � operations. The privatization of this enterprise will enhance the service level provided to residents and, at the same time, lower the service cost to residents (from $18.45/month to $15.95/month). The new service provider will make a payment of $3 million to the City at the � beginning of the fiscal year, which includes funding for the Contract Administrator position in the City Managers Office. � Staff strongly recommends that these funds be used to repay previous loans made from the Water Enterprise to the Sanitation/Recycling Enterprise. The remaining funds should be used to establish a restricted reserve for unfunded mandates through the adoption of a Council � Resolution. The Water Enterprise will need the revenue from this loan repayment in order to fund their Capital Improvement Projects budget. These funds have been allocated as follows: �_! � � � � � Allocation of Funds Allocation Reserve for Unfunded Mandates Repav Water Enterprise loans from Sanitation Enterprise Fund Contract Administrator position Total Funds Received Amount $1,040,000 1,880,000 80,000 $3,000,000 �To be accounted for in accordance with Resolution 64-96, which requires a super majority vote to expend. Staff is working with the City Attomey to develop resolutions for all reserve funds (e.g., equipment replacement reserve, contingency reserve, and unfunded mandates reserve). These guidelines will include a description of the types of assets which can be allocated to the reserves (e.g., Utility Users' Tax and General Fund revenues or the carry-over of prior yea�s balances), criteria on how the reserve funds can be used, and the votes required to approve