HomeMy WebLinkAboutMinutes - 2/3/1998 - Finance and Personnel Committee �
FINANCE COMMITTEE MINUTES
February 3, 1998
Members Present: Chairman Murgatroyd, Alderman Bill Baird
Others Present: Mayor Cuda, City Administrator Lobaito, City Clerk Althoff,
Alderman Glab, Director of Public Works Batt, City Engineer Marcinko, Senior
Account Clerk Christensen
Finance Chairman Alderman Murgatroyd opened the meeting at 7:08 P.M. stating
the purpose of this evening's meeting was to review the various department
requests and recommendations for the 1998-99 budget year.
PUBLIC WORKS/ADMINISTRATION
Director of Public Works Batt, in response to an inquiry by Chairman Murgatroyd,
explained the salary differential is attributable to the anticipated 3% cost of living
and movement through the 10 step salary matrix. The increase in overtime costs
is due, for the most part, to City Engineer Marcinko's inspection work and is
�.. reimbursed through retained personnel funds. Alderman Baird noted the overtime
expense is substantially lower than the fees incurred by the City for previous
inspection work by the city's engineering firm, Baxter and Woodman. Some
discussion followed regarding the need to budget for potential retirees use of the
cash compensation sick day benefit.
Regarding the Employee Insurance program City Administrator Lobaito stated the
insurance numbers have not yet been increased to reflect 1999-2000 quotes for
health/dental insurance coverage. These numbers will be adjusted prior to the
budget's final approval.
The increase in the Telephone account is directly attributable to the increase in
time by the city engineer in the field conducting inspections.
City Administrator Lobaito noted monies had been budgeted in the Professional
Development account to permit additional management and supervisory training for
Foremen and Superintendents.
STREETS DIVISION
Director Batt noted he planned to build this department to eighteen over the next
few years to eliminate the current practice of utilizing water/sewer personnel. It is
the opinion of staff the number of snow routes should be increased to ten. Current
`-- growth patterns and annexations were cited.
Finance Committee Meeting Minutes
� February 3, 1998
Page Two
Some discussion followed with regard to the elimination of the Assistant
Superintendent position and the creation of a junior clerk position to be located at
the city garage facility. City Administrator Lobaito noted the nonproductivity of
management personnel forced to handle paperwork including purchasing, service
reports, etc. This personnel shift will be a net savings to the City. The clerk
position would be a Grade 2 position. City Administrator Lobaito noted some
garage remodeling will be required to accommodate this position. This expenditure
has been included in the 1998-99 budget figures.
Some discussion followed regarding the interdepartmental working relationship
between the parks and public works department. City Administrator Lobaito noted
he would be establishing and overseeing a new work procedure to coordinate work
efforts between these departments. City Administrator Lobaito stated the Parks
Department needs will also be prioritized annually.
Overtime costs are attributable to snowplowing. Other overtime expenses may be
attributable to call out time for storm damage and traffic signal repair. Alderman
Baird reminded the committee that overtime expenditures for the streets division
had been authorized by council with regard to completion of specific projects.
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Director Batt requested the committee consider authorizing the advertisement to
hire the Junior Clerk prior to budget approval. He cited the busy Spring and
Summer streets division schedule and the need for training time. In response to
the committee's inquiry regarding washroom facilities, Director Batt stated a
portapotty could be used on an interim basis.
With regard to account #510 Contractual Services, City Administrator Lobaito
noted the budgeted figure for underground tank removal is a volatile number. He
stated several unknown factors will contribute to the final cost. He also noted
these costs may be partially reimbursed by LUST. The contracted mowing expense
has been consolidated within this account for better tracking purposes. In
response to Chairman Murgatroyd's inquiry, Director Batt noted the General
contractual services line item included expenditures for services above and beyond
the scope of the Streets Division personnel. He cited equipment repair,
miscellaneous engineering and some extensive water main repair.
Increases in the Repair and Maintenance account is directly attributable to the
increasing age of the City's current vehicles and equipment.
City Administrator Lobaito explained former accounts for Street Lighting and
Sidewalks had been consolidated within the Public Improvements account. He
�- stated accounting for Road and Bridge as well as Vehicle License income could be
Finance Committee Meeting
�. February 3, 1998
Page Three
accounted for more precisely. Some discussion occurred regarding the 1998
sidewalks program. City Engineer Marcinko noted these funds had previously been
used to construct new sidewalks not for repair of existing walkways. City
Administrator also noted the purchase of salt and ice control measures was being
expensed through the general fund this year as opposed to the former practice of
expensing these purchases through Motor Fuel Tax monies. This reallocation
permits the availability of more monies for street work including repair,
reconstruction, resurfacing, etc.
City Administrator Lobaito also noted account 545 Repairs to Lights and Signals
had been consolidated within account 527, Materials and Supplies. Former
account 625, Property damage has also been consolidated under the Administrative
account Property Damage as these claims are processed through the Administrative
Department for insurance purposes.
Account #700, Capital Projects was addressed next. Some discussion ensued with
regard to the Shamrock Lane Traffic Signals expenditure of 5250,000. City
Administrator Lobaito noted the lane reconfiguration developed by Smith
� Engineering from Bull Valley Road south to Prime Parkway had been approved by
the Illinois Department of Transportation. A preliminary cost estimate was being
developed by Smith Engineering. The West McHenry Bypass preliminary S 100,000
expenditure has been rebudgeted for this fiscal year. City Administrator Lobaito
reminded Council had offered to support this county project with monies to assist
with preliminary engineering. Alderman Baird stated the full amount was
5200,000. In response to Alderman Baird's inquiry, City Administrator Lobaito
stated preliminary discussions were ongoing with Inland Land Management to
extend the right of way land reservation through Inland's property for the West
McHenry Bypass. Clarification of the former leaf burning subsidy amount of
5100,000 was provided to Alderman Glab by City Administrator Lobaito. The
Brush Mower deck for 54000 was to facilitate the mowing services provided by
the Streets Division. The Waste Oil Recovery expenditure reflects federally
mandated compliance requirements. City Administrator Lobaito also noted the
S25,000 expenditure for engineering services to correct the drainage problems on
Main Street prior to any downtown redevelopment efforts.
Mayor Cuda requested the next phase of the Lakeland Park Drainage project be
included within this year's budget expenditures. Staff's recommendation had been
to postpone the next phase until 1999-2000 as the estimated cost was 5225,000.
The committee directed staff to include this expenditure within the 1998-99
budget.
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City Administrator Lobaito also noted the addition of a new account, #557 Small
Tools and Equipment. He noted capital expenditures of under 5500 still needed to
be tracked for inventory purposes.
Finance Committee Meeting Minutes
February 3, 1998
� Page Four
MOTOR FUEL TAX FUND
Director Batt noted council had expressed an interest in spending more monies on
streets. With the exception of the Crystal Lake Rd/Dartmoor Avenue intersection
traffic signal, the Green Street Phase III engineering costs and miscellaneous road
sign and repair all monies have been allocated for the 1999-2000 Streets program.
It was estimated the amount of available funds will be approximately 5750,000.
City Administrator Lobaito noted the Green Street Phase III costs may be higher.
The bid opening is scheduled for April, 1998 and the budget number will be
corrected accordingly.
Some discussion followed regarding the need to budget for a possible new or
temporary ingress and egress to the Municipal Building during the construction of
the Bull Valley arterial and phase III of Green Street. The committee directed staff
to invite a representative from the McHenry Township Fire Protection District to the
Bull Valley arterial preconstruction meeting where this temporary ingress/egress
need might be addressed. City Administrator Lobaito informed the committee the
property owner on Route 31 where the City has ingress/egress rights to Knox Park
via Knox Drive, has expressed an interest in moving Knox Drive. He will keep the
committee and council apprised of the situation.
� Some discussion followed regarding the expenditure of 560,000 for a Pavement
Management Report to assist council with the development of an ongoing Streets
Program. City Administrator Lobaito noted annual updates would cost
approximately 53,000 to $5,000. Director Batt explained the report would note
which streets could be saved now with resurfacing as oppose to complete
deterioration and the need to reconstruct. The committee noted this expenditure
would pay for itself within a very short time. It was recommended the City's
engineering firm, Baxter and Woodman, be awarded this contract as annual
updates would be easily accessible and less expensive.
Motion by Baird, seconded by Murgatroyd to adjourn the meeting at 9:37 p.m.
Voting Aye: Baird, Murgatroyd
Voting Nay: None
Absent: McClatchey
The meeting was adjourned at 9:37 p.m.
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Steven Murgatroyd Fina' ce Chairman
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