CITY COUNCIL BUDGET RETREAT
THURSDAY, APRIL 21, 2022
AQUAPLEX
1702 NORTH FOURTH STREET
8:30 A.M.
THURSDAY, APRIL 21, 2022
AQUAPLEX
1702 NORTH FOURTH STREET
8:30 A.M.
MINUTES
1.
Call to Order
Mayor Deasy called the Budget Retreat of the Flagstaff City Council held April 21, 2022, to order at 8:32 a.m.
Mayor Deasy called the Budget Retreat of the Flagstaff City Council held April 21, 2022, to order at 8:32 a.m.
NOTICE OF OPTION TO RECESS INTO EXECUTIVE SESSION
Pursuant to A.R.S. §38-431.02, notice is hereby given to the members of the City Council and to the general public that, at this work session, the City Council may vote to go into executive session, which will not be open to the public, for legal advice and discussion with the City’s attorneys for legal advice on any item listed on the following agenda, pursuant to A.R.S. §38-431.03(A)(3).
2.
ROLL CALL
| NOTE: One or more Councilmembers may be in attendance telephonically or by other technological means. |
| PRESENT: MAYOR DEASY VICE MAYOR SWEET COUNCILMEMBER ASLAN COUNCILMEMBER MCCARTHY COUNCILMEMBER SALAS COUNCILMEMBER SHIMONI |
ABSENT: |
Others present: City Manager Greg Clifton; City Attorney Sterling Solomon.
3.
Pledge of Allegiance, Mission Statement, and Land Acknowledgement
The Council and audience recited the pledge of allegiance, Councilmember McCarthy read the Mission Statement of the City of Flagstaff, and Mayor Deasy read the Land Acknowledgement.
LAND ACKNOWLEDGEMENT
The Council and audience recited the pledge of allegiance, Councilmember McCarthy read the Mission Statement of the City of Flagstaff, and Mayor Deasy read the Land Acknowledgement.
MISSION STATEMENT
The mission of the City of Flagstaff is to protect and enhance the quality of life for all.
LAND ACKNOWLEDGEMENT
The Flagstaff City Council humbly acknowledges the ancestral homelands of this area’s Indigenous nations and original stewards. These lands, still inhabited by Native descendants, border mountains sacred to Indigenous peoples. We honor them, their legacies, their traditions, and their continued contributions. We celebrate their past, present, and future generations who will forever know this place as home.
4.
City Council FY 2022-23 Budget Retreat
Mr. Clifton offered some opening remarks and introduced Julie Lancaster who facilitated the retreat.
BUDGET RETREAT APRIL 21 & 22, 2022
WELCOME AND OVERVIEW
RETREAT PROTOCOL
AGENDA – DAY 1
AGENDA – DAY 2
Management Services Director Rick Tadder continued the presentation.
BUDGET TIMELINE AND APPROACH
BUDGET TIMELINE
BUDGET APPROACH
COLOR OF MONEY
REVENUE UPDATES
REVENUE UPDATE – GENERAL FUND
Acting Human Resources Director Brandi Suda continued the presentation.
INVESTING IN EMPLOYEES
STAFFING INCREASES
RECLASSIFICATIONS
REORGANIZATIONS
STAFFING HISTORY (FULL-TIME EQUIVALENTS)
FY 2022-2023 PROPOSED BUDGET BY CATEGORY
Contract Human Resources Consultant Jeanie Gallagher continued the presentation.
RETENTION TRENDS – TURNOVER COMPARISON
RETENTION TRENDS – EXIT INTERVIEW SUMMARY
ATTRACTION TRENDS
Interim Deputy City Manager Heidi Hansen continued the presentation.
RECRUITMENT EFFORTS
A break was held from 9:57 a.m. through 10:16 a.m.
Ms. Suda continued the presentation.
BUDGET APPROACH
COMPENSATION AND BENEFITS
COMPENSATION RECOMMENDATIONS
CPI ADJUSTMENT EMPLOYEE EXAMPLES
Ms. Gallagher continued the presentation.
COMPENSATION RECOMMENDATIONS
TOTAL EMPLOYEE INVESTMENT
EAC Co-Chair Jared Wotasik continued the presentation.
EMPLOYEE ADVISORY COMMITTEE
EAC BUDGET RECOMMENDATIONS
Mr. Tadder continued the presentation.
NEW BUDGET APPROPRIATIONS
SUMMARY – TOTAL BUDGET REQUESTS
EMPLOYEE INVESTMENTS – GENERAL FUND
INFRASTRUCTURE – GENERAL FUND
SUMMARY – GENERAL FUND
Councilmember McCarthy suggested not having any bond issues that year and instead adjust the primary property tax for inflation. Mr. Tadder explained that staff discussed the primary property tax with Council a few weeks ago and the direction was to not move forward with the legally required advertisement that would allow for a potential property tax increase.
Mr. Clifton added that the recommendation from the Citizen Bond Committee will be coming back to Council soon for consideration. With the numbers being considered from the bond projects, the city will not be able to absorb those costs outside of bonding. Staff continues to seek alternative funding through grants and at the state and federal levels.
Sustainability Director Nicole Antonopoulos continued the presentation.
AN INVESTMENT IN OUR FUTURE: CARBON NEUTRALITY
CARBON NEUTRALITY
CNP ALIGNMENT AND ADVANCEMENT BY TARGET AREA
CNP NEW INVESTMENTS
EXAMPLES OF REQUESTS THAT ADVANCE THE CNP: EQUITY
EXAMPLES OF REQUESTS THAT ADVANCE THE CNP: RESILIENCE
EXAMPLES OF REQUESTS THAT ADVANCE THE CNP: MITIGATION
Management Analyst Chris Rhode continued the presentation.
PRIORITY BASED BUDGET
PRIORITY BASED BUDGET PROCESS
KEY COMMUNITY PRIORITIES
OPERATING REQUESTS BY QUARTILE
RECOMMENDATIONS BY QUARTILE
REQUESTS AND RECOMMENDATIONS
TOTAL BUDGET REQUESTS – ALL FUNDS
RECOMMENDED REQUESTS IN Q4
INSIGHTS
NEXT STEPS
Councilmember Salas asked if there is a cost recovery component to consider line items and opportunities for cost recovery. Mr. Rhode stated that revenues would be cost recovery and an opportunity for the division to evaluate if cost recovery is necessary.
Mr. Tadder added that the PBB tool allows staff to align expenditures and revenues. The increased revenue section is where staff has the ability to ask for increased fees. Staff continues to evaluate cost recovery.
Councilmember Shimoni asked if it is possible to fine tune the insights to look through the lens of the Carbon Neutrality Plan and Housing. Mr. Rhode explained that Housing was not included this year but the Carbon Neutrality Plan is incorporated as a part of the initial budget requests.
Senior Deputy City Manager Shannon Anderson continued the presentation.
NOVEMBER 2022 BALLOT MEASURES
TIMELINE
A lunch break was taken from 11:53 a.m. through 12:45 p.m.
Grants and Contracts Manager Stacey Brechler-Knaggs continued the presentation.
FEDERAL FUNDING
FEDERAL FUNDING ACRONYMS
FLOODING, GRANTS, BIL
FLOOD EMERGENCY WORK
FLOOD MITIGATION
ENVIRONMENTAL INFRASTRUCTURE
WATER AND WASTEWATER
ECONOMIC DEVELOPMENT
Interim Public Affairs Director Sarah Langley continued the presentation.
EARMARKS
Mr. Clifton continued the presentation.
DIVISION UPDATES
KEY COMMUNITY PRIORITIES
CARBON NEUTRALITY
CITY MANAGER
APPROVED REQUESTS BY PBB QUARTILE
Ms. Antonopoulos continued the presentation.
HIGH PERFORMING GOVERNANCE
SAFE AND HEALTHY COMMUNITY
INCLUSIVE AND ENGAGED COMMUNITY
SUSTAINABLE, INNOVATIVE INFRASTRUCTURE
LIVABLE COMMUNITY
ENVIRONMENTAL STEWARDSHIP
RESILIENT AND ROBUST ECONOMY
Councilmember Shimoni stated that he would like to consider additional funding for video work.
Ms. Suda continued the presentation.
HUMAN RESOURCES
APPROVED REQUESTS BY PBB QUARTILE
HIGHLIGHTS OF APPROVED BUDGET REQUESTS
HIGH PERFORMING GOVERNANCE
SAFE AND HEALTHY COMMUNITY
INCLUSIVE AND ENGAGED COMMUNITY
SUSTAINABLE, INNOVATIVE INFRASTRUCTURE
LIVABLE COMMUNITY
ENVIRONMENTAL STEWARDSHIP
RESILIENT AND ROBUST ECONOMY
IT Director CJ Perry continued the presentation.
INFORMATION TECHNOLOGY
HIGHLIGHTS OF APPROVED BUDGET REQUESTS
APPROVED REQUESTS BY PBB QUARTILE
HIGH PERFORMING GOVERNANCE
SAFE AND HEALTHY COMMUNITY
INCLUSIVE AND ENGAGED COMMUNITY
SUSTAINABLE, INNOVATIVE INFRASTRUCTURE
LIVABLE COMMUNITY
ENVIRONMENTAL STEWARDSHIP
RESILIENT AND ROBUST ECONOMY
City Attorney Sterling Solomon continued the presentation.
CITY ATTORNEY
HIGHLIGHTS OF APPROVED BUDGET REQUESTS
APPROVED REQUESTS BY PBB QUARTILE
HIGH PERFORMING GOVERNANCE
SAFE AND HEALTHY COMMUNITY
Court Administrator Jessica Cortes continued the presentation.
DIVISION UPDATES
MUNICIPAL COURT
APPROVED REQUESTS BY PBB QUARTILE
HIGHLIGHTS OF APPROVED BUDGET REQUESTS
HIGH PERFORMING GOVERNANCE
Mr. Tadder continued the presentation.
MANAGEMENT SERVICES
HIGHLIGHTS OF APPROVED BUDGET REQUESTS
APPROVED REQUESTS BY PBB QUARTILE
HIGH PERFORMING GOVERNANCE AND ENVIRONMENTAL STEWARDSHIP
HIGH PERFORMING GOVERNANCE
Fire Chief Mark Gaillard continued the presentation.
FIRE
APPROVED REQUESTS BY PBB QUARTILE
HIGHLIGHTS OF APPROVED BUDGET REQUESTS
HIGH PERFORMING GOVERNANCE
SAFE AND HEALTHY COMMUNITY
INCLUSIVE AND ENGAGED COMMUNITY
ENVIRONMENTAL STEWARDSHIP
Councilmember Shimoni asked about the marijuana tax allocations and if that funding is increasing. Mr. Tadder stated that the projections are about $400,000 per year and the primary use will be for the alternative care unit.
Councilmember Shimoni stated that he would like to see the addition of a Peer Specialist position for the CARE Unit. Chief Gaillard stated that there is not enough data to justify the need at this stage, more time is needed to learn more.
Police Chief Dan Musselman continued the presentation.
POLICE
APPROVED REQUESTS BY PBB QUARTILE
HIGHLIGHTS OF APPROVED BUDGET REQUESTS
HIGH PERFORMING GOVERNANCE
SUSTAINABLE, INNOVATIVE INFRASTRUCTURE
INCLUSIVE AND ENGAGED COMMUNITY
BUDGET RETREAT APRIL 21 & 22, 2022
WELCOME AND OVERVIEW
RETREAT PROTOCOL
AGENDA – DAY 1
AGENDA – DAY 2
Management Services Director Rick Tadder continued the presentation.
BUDGET TIMELINE AND APPROACH
BUDGET TIMELINE
BUDGET APPROACH
COLOR OF MONEY
REVENUE UPDATES
REVENUE UPDATE – GENERAL FUND
Acting Human Resources Director Brandi Suda continued the presentation.
INVESTING IN EMPLOYEES
STAFFING INCREASES
RECLASSIFICATIONS
REORGANIZATIONS
STAFFING HISTORY (FULL-TIME EQUIVALENTS)
FY 2022-2023 PROPOSED BUDGET BY CATEGORY
Contract Human Resources Consultant Jeanie Gallagher continued the presentation.
RETENTION TRENDS – TURNOVER COMPARISON
RETENTION TRENDS – EXIT INTERVIEW SUMMARY
ATTRACTION TRENDS
Interim Deputy City Manager Heidi Hansen continued the presentation.
RECRUITMENT EFFORTS
A break was held from 9:57 a.m. through 10:16 a.m.
Ms. Suda continued the presentation.
BUDGET APPROACH
COMPENSATION AND BENEFITS
COMPENSATION RECOMMENDATIONS
CPI ADJUSTMENT EMPLOYEE EXAMPLES
Ms. Gallagher continued the presentation.
COMPENSATION RECOMMENDATIONS
TOTAL EMPLOYEE INVESTMENT
EAC Co-Chair Jared Wotasik continued the presentation.
EMPLOYEE ADVISORY COMMITTEE
EAC BUDGET RECOMMENDATIONS
Mr. Tadder continued the presentation.
NEW BUDGET APPROPRIATIONS
SUMMARY – TOTAL BUDGET REQUESTS
EMPLOYEE INVESTMENTS – GENERAL FUND
INFRASTRUCTURE – GENERAL FUND
SUMMARY – GENERAL FUND
Councilmember McCarthy suggested not having any bond issues that year and instead adjust the primary property tax for inflation. Mr. Tadder explained that staff discussed the primary property tax with Council a few weeks ago and the direction was to not move forward with the legally required advertisement that would allow for a potential property tax increase.
Mr. Clifton added that the recommendation from the Citizen Bond Committee will be coming back to Council soon for consideration. With the numbers being considered from the bond projects, the city will not be able to absorb those costs outside of bonding. Staff continues to seek alternative funding through grants and at the state and federal levels.
Sustainability Director Nicole Antonopoulos continued the presentation.
AN INVESTMENT IN OUR FUTURE: CARBON NEUTRALITY
CARBON NEUTRALITY
CNP ALIGNMENT AND ADVANCEMENT BY TARGET AREA
CNP NEW INVESTMENTS
EXAMPLES OF REQUESTS THAT ADVANCE THE CNP: EQUITY
EXAMPLES OF REQUESTS THAT ADVANCE THE CNP: RESILIENCE
EXAMPLES OF REQUESTS THAT ADVANCE THE CNP: MITIGATION
Management Analyst Chris Rhode continued the presentation.
PRIORITY BASED BUDGET
PRIORITY BASED BUDGET PROCESS
KEY COMMUNITY PRIORITIES
OPERATING REQUESTS BY QUARTILE
RECOMMENDATIONS BY QUARTILE
REQUESTS AND RECOMMENDATIONS
TOTAL BUDGET REQUESTS – ALL FUNDS
RECOMMENDED REQUESTS IN Q4
INSIGHTS
NEXT STEPS
Councilmember Salas asked if there is a cost recovery component to consider line items and opportunities for cost recovery. Mr. Rhode stated that revenues would be cost recovery and an opportunity for the division to evaluate if cost recovery is necessary.
Mr. Tadder added that the PBB tool allows staff to align expenditures and revenues. The increased revenue section is where staff has the ability to ask for increased fees. Staff continues to evaluate cost recovery.
Councilmember Shimoni asked if it is possible to fine tune the insights to look through the lens of the Carbon Neutrality Plan and Housing. Mr. Rhode explained that Housing was not included this year but the Carbon Neutrality Plan is incorporated as a part of the initial budget requests.
Senior Deputy City Manager Shannon Anderson continued the presentation.
NOVEMBER 2022 BALLOT MEASURES
TIMELINE
A lunch break was taken from 11:53 a.m. through 12:45 p.m.
Grants and Contracts Manager Stacey Brechler-Knaggs continued the presentation.
FEDERAL FUNDING
FEDERAL FUNDING ACRONYMS
FLOODING, GRANTS, BIL
FLOOD EMERGENCY WORK
FLOOD MITIGATION
ENVIRONMENTAL INFRASTRUCTURE
WATER AND WASTEWATER
ECONOMIC DEVELOPMENT
Interim Public Affairs Director Sarah Langley continued the presentation.
EARMARKS
Mr. Clifton continued the presentation.
DIVISION UPDATES
KEY COMMUNITY PRIORITIES
CARBON NEUTRALITY
CITY MANAGER
APPROVED REQUESTS BY PBB QUARTILE
Ms. Antonopoulos continued the presentation.
HIGH PERFORMING GOVERNANCE
SAFE AND HEALTHY COMMUNITY
INCLUSIVE AND ENGAGED COMMUNITY
SUSTAINABLE, INNOVATIVE INFRASTRUCTURE
LIVABLE COMMUNITY
ENVIRONMENTAL STEWARDSHIP
RESILIENT AND ROBUST ECONOMY
Councilmember Shimoni stated that he would like to consider additional funding for video work.
Ms. Suda continued the presentation.
HUMAN RESOURCES
APPROVED REQUESTS BY PBB QUARTILE
HIGHLIGHTS OF APPROVED BUDGET REQUESTS
HIGH PERFORMING GOVERNANCE
SAFE AND HEALTHY COMMUNITY
INCLUSIVE AND ENGAGED COMMUNITY
SUSTAINABLE, INNOVATIVE INFRASTRUCTURE
LIVABLE COMMUNITY
ENVIRONMENTAL STEWARDSHIP
RESILIENT AND ROBUST ECONOMY
IT Director CJ Perry continued the presentation.
INFORMATION TECHNOLOGY
HIGHLIGHTS OF APPROVED BUDGET REQUESTS
APPROVED REQUESTS BY PBB QUARTILE
HIGH PERFORMING GOVERNANCE
SAFE AND HEALTHY COMMUNITY
INCLUSIVE AND ENGAGED COMMUNITY
SUSTAINABLE, INNOVATIVE INFRASTRUCTURE
LIVABLE COMMUNITY
ENVIRONMENTAL STEWARDSHIP
RESILIENT AND ROBUST ECONOMY
City Attorney Sterling Solomon continued the presentation.
CITY ATTORNEY
HIGHLIGHTS OF APPROVED BUDGET REQUESTS
APPROVED REQUESTS BY PBB QUARTILE
HIGH PERFORMING GOVERNANCE
SAFE AND HEALTHY COMMUNITY
Court Administrator Jessica Cortes continued the presentation.
DIVISION UPDATES
MUNICIPAL COURT
APPROVED REQUESTS BY PBB QUARTILE
HIGHLIGHTS OF APPROVED BUDGET REQUESTS
HIGH PERFORMING GOVERNANCE
Mr. Tadder continued the presentation.
MANAGEMENT SERVICES
HIGHLIGHTS OF APPROVED BUDGET REQUESTS
APPROVED REQUESTS BY PBB QUARTILE
HIGH PERFORMING GOVERNANCE AND ENVIRONMENTAL STEWARDSHIP
HIGH PERFORMING GOVERNANCE
Fire Chief Mark Gaillard continued the presentation.
FIRE
APPROVED REQUESTS BY PBB QUARTILE
HIGHLIGHTS OF APPROVED BUDGET REQUESTS
HIGH PERFORMING GOVERNANCE
SAFE AND HEALTHY COMMUNITY
INCLUSIVE AND ENGAGED COMMUNITY
ENVIRONMENTAL STEWARDSHIP
Councilmember Shimoni asked about the marijuana tax allocations and if that funding is increasing. Mr. Tadder stated that the projections are about $400,000 per year and the primary use will be for the alternative care unit.
Councilmember Shimoni stated that he would like to see the addition of a Peer Specialist position for the CARE Unit. Chief Gaillard stated that there is not enough data to justify the need at this stage, more time is needed to learn more.
Police Chief Dan Musselman continued the presentation.
POLICE
APPROVED REQUESTS BY PBB QUARTILE
HIGHLIGHTS OF APPROVED BUDGET REQUESTS
HIGH PERFORMING GOVERNANCE
SUSTAINABLE, INNOVATIVE INFRASTRUCTURE
INCLUSIVE AND ENGAGED COMMUNITY
5.
Public Participation
None
None
6.
Adjournment
Day 1 of the Budget Retreat of the Flagstaff City Council held April 21, 2022, adjourned at 3:03 p.m.
Day 1 of the Budget Retreat of the Flagstaff City Council held April 21, 2022, adjourned at 3:03 p.m.
___________________________________ MAYOR |
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| ATTEST: |
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| _________________________________ CITY CLERK |