HomeMy WebLinkAboutMinutes - 4/7/1993 - Finance and Personnel Committee MINUTES: FINANCE CONIIKITTEE MEETING
APRIL 7, 1993 COMMITTEE REPQRT
Members nresent: Chairraan Lieder, Alderman Bolger, Alderman Adams.
Others _present: Alderman Smith, Alderman Locke, Mayor Busse, City
Administrator Peterson, Roger Gerstad and Jerry Benes.
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The meeting was called to order at 7:00 P.M. by Chairman Lieder. Mr. Lieder
indicated the purpose of the meeting was to consider an increase in the
existing Impact Fee Ordinance. He stated the Impact Fee Ordinance, after a
great amount of review, was last amended on May 1, 1991. In January,
Alderman Lieder requested permission to meet with the school districts and
have a recommendation to the Council regarding an increase to impact fees
consistent with the City Council's policy to review the Impact Fee Ordinance
each February. On March 15, 1993 Alderman Lieder brought a proposal to to
the Council to increase the existing Impact Fee Ordinance 6%. The Council
referred this issue to the Finance Committee where it is now being
discussed.
Alderman Bolger indicated he felt the increase is �ustified for the schools
and the Parks Department, but felt it would not necessarily be 3ustified for
the Fire Protection District and the Library District. Chairman Lieder
indicated he didn't know how we could discriminate against these taxing
districts, due to the way the formula was constructed, however, this was an
area that could be reviewed possibly next year.
Alderman Adams pointed out that in theory more people generate an increase in
services, and an increase in fees is appropriate. He did not see a problem
with increasing the impact fees by the cost of living.
Alderman Locke questioned the urgency of increasing the impact fees at this
time. He felt the school districts should be asked to present a multi-year
`-- plan for the intended use of these funds.
Roger Gerstad questioned the basis for the existing formula, and indicated it
was not his intent to rehash that entire discussion, but felt it would be
difficult to aruge against a cost of living increase.
The Committee was in agreement that the recommendation should be made to
increase the impact fees 6%, and that the increase become effective July 1,
1993. The Committee then briefly discussed possible increases to the
annexation fees. City Administrator Peterson described how the current
annexation fee structure was arrived at. It was the consensus of the group
that this is a matter that should be taken up by the new Council for a more
thorough review.
Alderman Bolger indicated he felt the annexation fees, if increased, should
not apply to properties that have already paid retained personnel, �r for
commercial or industrial properties. Alderman Adams indicated his feelings
were annexation fees should be negotiated on an individual basis for a
variety of issues such as roads, traffic signals, etc.
Mayor Busse indicated he felt Alderman Adams' position was a good one. The
City Administrator was asked to conduct a survey of other communities'
annexation fees in preparation for future discussions.
There being no further business to come before the Committee, the meeting was
ad3ourned at 7:30 P.M.
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Gary Lie r, Chairman