HomeMy WebLinkAboutMinutes - 4/13/2000 - Finance and Personnel Committee Finance and Personnel Committee Meeting
� April 13, 2000
Members Present: Chauman Alderman Murgatroyd, Alderman Baird, Alderman McClatchey
Also Present: City Administrator Lobaito, Assistant Administratar M�einer, Deputy
Clerk Kunzer, Director of Public Works Batt, Assistant Director of Public
Works Marcinko, Director of Parks and Recreation Merkel (arrived at 8
p.m.), Superintendent Water Division Schmitt, Superintendent Sewer
Division Hester.
Chairman Alderman Murgatroyd called the Finance and Personnel Committee Meeting to order
at 7:06 p.m. on Thursday, April 13, 2000.
Discussion: 2000-2001 Budget
Assistant Administrator Maxeiner opened the discussion, explaining the areas to be covered n
this evening's review would be:
■ Public Works Water Division;
■ Public Works Sewer Division;
■ Parks Developer ponation Fund;
■ Overview of General Administration Fund.
Public Works Water Division
Assistant Administrator began on page WS4 of the 2000-2001 Preliminary Budget Requests,
�- which covers personnel expenditures in the Water Division of the Water Sewer Fund. He noted
the line item "Salary Adjustment" plugs a 3% cost of living increase for non-contractual
employees. Other employee salaries reflect the increases as specified in the Teamsters contract.
FICA and IMRF contributions by the City toward personnel are included in each departmental
budget as it is the opinion of Administration these monies are benefits of the employees and
should be shown as such..
Assistant Administrator M�einer stated the cash and investments of the Water Sewer Fund as of
today's date are approximately $1.7 million that differs slightly from the amount shown on page
WSl with a projected fiscal year end amount of$1.6 million. The Elevated Water Storage Tank
Crrant of$500,000 is shown as a revenue against the $1.3 million structure.
Discussion occurred regarding the creation of the Assistant Water Superintendent position. The
salary shown on page WS4 reflects a mid-range pay scale. It was pointed out this would most
likely be an internal promotion from a Water II Operator. In response to Alderman Murgatroyd's
inquiry there would be no elimination of a Water Operator I position. Superintendent Schmitt
stated growth in the community warrants the new position. He stated the additional position
would make it possible for the City to get the meter change outs back on schedule. Discussion
continued. Superintendent Schmitt, in response to City Administrator Lobaito's inquiry, stated
supervision of'contract employees would be better handled, if there were an additional exempt
position, i.e. the Assistant Water Superintendent, who would be in charge during the absence of
the Water Superintendent. Present circumstances dictate a contracted employee is designated "in
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Finance and Personnel Committee
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charge" during Superintendent Schmitt's absence from any work site. The combined salary and
benefit cost would be approximately $61,092. The net cost to the City would be this combined
cost of$61,0921ess the salary and benefit of new hire Water Plant Operator I, which be roughly
$50,000 as stated by City Administrator Lobaito.
Chairman Alderman Murgatroyd, referencing the last line item on Page WS 14, asked for
clarification. Assistant Administrator Maxeiner stated "Water meters and parts" refers solely to
the purchase of additional meters and meter replacement parts. Other line items on this page
reflect repairs to the water distribution system, chemicals and lab supplies. The additional costs
in"Water meters and parts" and "Distribution system repair parts" reflects more pumpage due to
growth in the City Superintendent Schmitt noted the request for "Distribution system repair
parts" includes the purchase of eight hydrants.
Chairman Alderman Murgatroyd, referencing page WS21, line item one "Water Plant Design"
asked if the $10,000 was being carried over from the 1999-2000 Budget. Assistant Administrator
M�einer responded it was being carried over. Chairman Alderman Murgatroyd asked what is
meant by "Media Replacement". Director Batt responded media replacement is the filtration
system for plants 2 and 3. Director Batt also noted two phosphate scales aze being replaced. The
meter changeout van is also scheduled for replacement. In response to Chairman Alderman
Murgatroyd's inquiry, Superintendent Schmitt stated the plant 4 electrical tie-in would connect
�-- well#9 to plant #4 at the Oaks of McHenry. If there were a power outage well #9 would then be
able to pump. Superintendent Schmitt noted the Insta-Valve adapter requested would allow for
inserting a valve "live" without shutting the system down. It would permit the installation of a
permanent valve in one hole as opposed to the two-hole installation now being used. Director
Batt stated the Well #11 (on the Adams property) construction costs would most likely come in
less than$100,000 as shown.
Director Batt noted there were 732,000,000 gallons of water pumped last year. That is up
considerably from the previous year. City Administrator Lobaito, in conclusion, stated there is an
anticipated fund balance of$900,000 following receipt of a state grant in the amount of$500,000
for the elevated water storage tank.
Public Works Sewer Division
Director Batt, referencing page 44, stated the actual projected cost of the Alternative Fuel Source
for Generators would be $60,000 at a minimum. This figure would not include clean up of the
three sites where tank removal will take place. Director Batt stated the fuel source would be
diesel. Referencing Overflow flooding at SWWTP, at a projected construction cost of$165,000,
Director Batt stated this must be addressed as there was overflow flooding the wetlands due to
the heavy rains in June of last year. There is a potential of heavy fines by the EPA if�his issue is
not addressed.
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Regarding the line item "FPA Plan Update", City Administrator Lobaito stated the City
boundary would change as a direct result of the Johnsburg Boundary Agreement. He stated the
plan modification needs to be done at this time. It is anticipated to be one year until it is
completed.
Director Batt s�tated the John Street Sewer projected cost of$300,000 would encompass sanitary
sewer replacement from Fourth Street west to Route 31. He pointed out the projected cost could
be on the high side. This project is not possible for repair through the use of insituform, as there
is no integrity in the sewer line. He noted other repairs needed but not included in the budget are:
■ $79,000 Venice Avenue
■ $97,000 Third Street to Center Street
■ $283,000 Crestwood Drive.
Discussion followed regarding Riverside Drive and the need for sewer and street repairs.
Referencing page WS33, the last line item, "Sewer Line Televising", City Administrator Lobaito
stated the City is pursuing an annual contract to begin televising scheduled sets of City streets
each year. He noted the streets are of an age where infrastructure breakdown occurs. Televising
them and ideniifying problems before they erupt, will enable preventative maintenance. to occur.
In response to Alderman McClatchey's inquiry, Director Batt stated the cost of purchasing the
camera and personnel to operate it would be far more than pursuing contractual services via
� annual contract.
Chairman Alderman Murgatroyd, referring to page WS23, inquired as to the line item "Utilities"
cost of$250,000. Director Batt noted this is a conservative estimate.
A lengthy discussion ensued regarding addition of personnel in the Water Division (Water Plan
Operator I). Suggestion was made of allowing for a '/2 year position. Committee consensus was
to budget for a full year, but , in reality, the position would in all likelihood be for %2 yeaz
Also the subject of lengthy discussion was the John Street Sanitary Sewer repair. Director Batt
asked for Committee direction:
■ Should the John Street Sanitary Sewer Repair be an operations expense; or
■ Should the John Street Sanitary Sewer Repair be removed from this portion of the budget
and the City implement a $1-$1.5 million Capital Improvement Project, paying back
$100,000/year.
Director Batt opined the second alternative would be a more proactive approach.
Parks Develo�er ponation Fund
Assistant Administrator Maxeiner noted the fund balance in the Park Developer ponation Fund
as referenced on page MISC53 does not reflect remuneration from the grant for Althoff Park
Development in an amount of$142,000.
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Finance and Pzrsonnel Committee
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A lengthy discussion followed regarding the Recreation Center Fund that has a current fund
balance of $1.1 million. It was suggested the 50/50 split to provide additional funds to this
account from Parks Developer ponations be eliminated
Chairman Alderman Murgatroyd asked for clarification regarding page MISC55 line item
"Petersen Property Purchase" in the amount of$14,000. Director Merkel will research this item
and report back to the committee.
Director Merkel went over page MISC56, line item by line item:
■ Jaycees Park-Walkway—plans for a hard surface walkway are proposed;
■ Althoff Park drainage improvements—there is still one area of flooding which needs
to be addressed;
■ Miller Riverfront Park Boardwalk — a trail and boardwalk, similar to that at Volo
Nature Reserve are planned. The grant received for this project specified that a bridge
be constructed over the wetlands;
■ Knox Park Soccer Field— is in need of renovation;
■ Petersen Park Ballfields—these funds are a carry-over from the 1999-2000 Budget;
■ Petersen Park Maintenance Building Addition — is almost complete; funds are being
carried over from 1999-2000;
■ Vets Park Electric System Renovations — specifications must be drawn up so the
�. project can be let for bid as it will be greater than$10,000.
Director Merkel stated the items listed on page MISC57 were pretty self-explanatory. He noted
the projected landscape architect fees for Neumann Park Improvements may be a little high.
A lengthy discussion occurred regarding Park and Playground Improvements as itemized on
page MISC58. It was noted playground equipment removal and/or replacement has been
included for all parks. The Freund Field design will be done in-house by Todd Sasak.
Alderman Baird stated he is hoping to secure $125,000 from Representative Jack Franks
Member Initiative Funds which would be utilized for Fox Ridge Park parking lot and entrance
road. Further discussion followed regarding ways to trim the Park and Playground Improvement
budget request. The following were suggested:
■ Alderman Baird suggested removing the Petersen Park Playground installation
($88,000);
■ Alderman Baird suggested eliminating 50/50 split between the Parks Developer
Dona.tion Fund and the Parks Recreations Center Fund;
■ City Administrator Lobaito suggested eliminating the $15,000 expense for the Miller
Riverfront Park Boardwalk and have the project done internally, as opposed to
contracting it out.
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Finance and Personnel Committee
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Alderman Baird reported he has requested $125,000 in ma.tching funds from the Member
Initiative Funds which he is hoping to utilize to develop the infrastructure, road, ball fields and
soccer fields at Fox ridge Park. Discussion followed regarding the amount of money the City of
McHeruy is willing to add to the $125,000 provided by Representative Franks to use in the
improvement af Fox Ridge Park athletic facilities and infrastructure, such as field lighting.
Alderman McC'latchey left the meeting at 9:17 p.m.
City Administrator Lobaito stated the pazks dona.tion revenue is conservative at $220,000. It
could easily be bumped up to $260,000. If this were done the Pazks Developer ponation Fund
proposed budget would be almost in ba.lance. Assistant Administrator Maxeiner noted if you
include the $100,00 Petersen Park Ballfields and Maintenance Building Expansion as well as the
other carry-overs, the Fund's budget is in balance.
Ad�ournment
Motion by Baird, seconded by Murgatroyd, to adjourn at 9:25 p.m
All Ayes.
Motion carried.
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Respectfully submitted:
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Steven Murgatroyd, Chairman
McHenry Finance and Personnel Committee
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