CITY COUNCIL SPECIAL MEETING/RETREAT
TUESDAY, JANUARY 19, 2017
FLAGSTAFF CITY COUNCIL CHAMBERS
211 WEST ASPEN
9:00 A.M.
TUESDAY, JANUARY 19, 2017
FLAGSTAFF CITY COUNCIL CHAMBERS
211 WEST ASPEN
9:00 A.M.
MINUTES
1.
Call to Order
Mayor Evans called the Special Meeting/Retreat of January 19, 2017, to order at 9:00 a.m.
2.
Roll Call
| NOTE: One or more Councilmembers may be in attendance telephonically or by other technological means. |
| PRESENT: MAYOR EVANS VICE MAYOR WHELAN COUNCILMEMBER BAROTZ COUNCILMEMBER MCCARTHY COUNCILMEMBER ODEGAARD COUNCILMEMBER OVERTON COUNCILMEMBER PUTZOVA (telephonically) |
ABSENT: NONE |
Others present: City Manager Josh Copley and City Attorney Sterling Solomon.
3.
Public Participation
Public Participation enables the public to address the Council about an item that is not on the agenda. Comments relating to items that are on the agenda will be taken at the time that the item is discussed. If you wish to address the Council at tonight's meeting, please complete a comment card and submit it to the recording clerk as soon as possible. Your name will be called when it is your turn to speak. You may address the Council up to three times throughout the meeting, including comments made during Public Participation. Please limit your remarks to three minutes per item to allow everyone an opportunity to speak. At the discretion of the Chair, ten or more persons present at the meeting and wishing to speak may appoint a representative who may have no more than fifteen minutes to speak.
None
Public Participation enables the public to address the Council about an item that is not on the agenda. Comments relating to items that are on the agenda will be taken at the time that the item is discussed. If you wish to address the Council at tonight's meeting, please complete a comment card and submit it to the recording clerk as soon as possible. Your name will be called when it is your turn to speak. You may address the Council up to three times throughout the meeting, including comments made during Public Participation. Please limit your remarks to three minutes per item to allow everyone an opportunity to speak. At the discretion of the Chair, ten or more persons present at the meeting and wishing to speak may appoint a representative who may have no more than fifteen minutes to speak.
None
4.
Consideration and Possible Adoption of Council Goals 2017-2019
City Manager Josh Copley reviewed the objectives of the Budget Retreat. Deputy City Manager Shane Dille then reviewed the Council’s Goals discussed at the last retreat, as follows:
ECONOMIC DEVELOPMENT
Grow and strengthen a more equitable and resilient economy
AFFORDABLE HOUSING
Support development and increase the inventory of affordable housing for renters and home owners throughout the community.
SOCIAL JUSTICE
Advance social justice in our community
TRANSPORTATION AND OTHER PUBLIC INFRASTRUCTURE
Deliver quality community assets and continue to advocate and implement a highly performing multi-modal transportation system
BUILDING AND ZONING/REGIONAL PLAN
Revise the Zoning Code to remove ambiguities, and ensure it is consistent with community values and the Regional Plan
CLIMATE CHANGE
Take meaningful climate change action
WATER CONSERVATION
Become a national leader in water conservation in all sectors
ENVIRONMENTAL AND NATURAL RESOURCES
Actively manage and protect all environmental and natural resources.
ADMINISTRATIVE GOALS
PERSONNEL
Attract and retain quality staff
COMMUNITY OUTREACH
Enhance public transparency and accessibility
TOWN & GOWN
Enhance relationships between the City and institutions of higher education
CODE COMPLIANCE
Achieve comprehensive and equitable code compliance
ECONOMIC DEVELOPMENT
Grow and strengthen a more equitable and resilient economy
AFFORDABLE HOUSING
Support development and increase the inventory of affordable housing for renters and home owners throughout the community.
SOCIAL JUSTICE
Advance social justice in our community
TRANSPORTATION AND OTHER PUBLIC INFRASTRUCTURE
Deliver quality community assets and continue to advocate and implement a highly performing multi-modal transportation system
BUILDING AND ZONING/REGIONAL PLAN
Revise the Zoning Code to remove ambiguities, and ensure it is consistent with community values and the Regional Plan
CLIMATE CHANGE
Take meaningful climate change action
WATER CONSERVATION
Become a national leader in water conservation in all sectors
ENVIRONMENTAL AND NATURAL RESOURCES
Actively manage and protect all environmental and natural resources.
ADMINISTRATIVE GOALS
PERSONNEL
Attract and retain quality staff
COMMUNITY OUTREACH
Enhance public transparency and accessibility
TOWN & GOWN
Enhance relationships between the City and institutions of higher education
CODE COMPLIANCE
Achieve comprehensive and equitable code compliance
Moved by Councilmember Jim McCarthy, seconded by Councilmember Charlie Odegaard to adopt the Council Goals 2017-2019 as presented.
Vote: 7 - 0 - Unanimously
5.
City Council FY2018 Budget Retreat
Mr. Dille then reviewed the proposed matrix, noting that barriers would be addressed with the S.M.A.R.T. He said that this will become staff’s report card. If they do not indicate the barriers, then they are not doing their job. He said that it is a living document and can change over time.
Council asked that as they move forward that the information is available online for the Council and public. Mr. Dille said that once the Council approves the Goals and Strategies they will be posted online. He said that they will bring back specific objectives during the February budget retreats. He said that there are opportunities to vet the objectives. They have to start somewhere and if they get into those deep at this point, they won’t get other work done. He said that as they get through this exercise, there may be other objectives that staff may want to have considered to further a goal.
Staff then presented a PowerPoint presentation which addressed:
CITY BUDGET PROCESS & CALENDAR
GOVERNMENTAL BUDGETING
FISCAL POLICIES
THE COLOR OF MONEY
Finance Director Brandi Suda briefly reviewed the transferability between various funds, noting that it takes into account what is legal, appropriate and how the relationship works. She added that the General Fund is the most challenged and it is funded through the City’s one percent sales tax which expires in November 2024.
Management Services Director Rick Tadder then reviewed the following:
FY18 BUDGET OUTLOOK
A break was held from 10:21 a.m. to 10:30 a.m..
BUDGET OUTLOOKS
HURF (Highway User Revenue Fund)
TOURISM
CONSTRUCTION
NATIONAL ECONOMY
STATE ECONOMY
BUDGET CHALLENGES
Public Works Director Andy Bertelsen then reviewed the history of the Core Services Maintenance Facility. He noted that the original pro forma had the sale of the Mogollon property included ($2.5 million); however, Council has decided to not include that so some changes were being made to the plans.
RIO DE FLAG FLOOD CONTROL PROJECT
Mr. Copley said that they are looking for direction on the funding for the City’s share of this project.
PROJECT VICINITY MAP
100 YEAR FLOOD IMPACT
CURRENT CITY COST SHARE - $36 MILLION
FUNDING STRATEGIES
Enroll in the Coconino County Flood Control District (low probability)
Form a Special Improvement District (very low probability)
Increase city storm water fees (high probability)
Other Fund Transfer – (mid-level probability)
General Obligation Bonds – (high probability)
New Sales Tax (mid-level probability)
Could be ballot questions in November 2018 election
COCO CO FLOOD CONTROL DISTRICT
STORMWATER FEE INCREASE
TRANSFERS FROM OTHER CITY FUNDS
GENERAL OBLIGATION BOND ELECTION
NEW SALES TAX INCREASE
Mr. Copley said that currently the Army Corps of Engineers’ plans are at 90%. While they are talking about $36 million now, when the plans are at 100% it may be less than the $36 million.
FUNDING SCENARIO
Council stated that with whatever is taken to the public, they need to articulate how this projects affects the entire community and not just one area of the City.
A lunch break was taken from 12:00 p.m. to 12:22 p.m.
Councilmember Putzova was not on the phone at this time. Deputy City Manager Barbara Goodrich continued the presentation:
BUDGET OUTLOOK – FIXED COSTS – PENSIONS
PENSION OVERVIEW
Budget Manager Heidi Derryberry then reviewed the budget process:
BUDGET OUTLOOK – FIXED COSTS UTILITIES – WATER/SEWER/REFUSE
BUDGET OUTLOOK – FIXED COSTS UTILITIES – NATURAL GAS
BUDGET OUTLOOK – FIXED COSTS UTILITIES – ELECTRICITY
Human Resources Director Shannon Anderson continued the presentation regarding:
BUDGET OUTLOOK – FIXED COSTS – HEALTH INSURANCE
Ms. Anderson noted that the Wellness Program has saved them $1.7 million. There has been an increase in prevention services and a reduction in chronic medical conditions and emergency room visits. She said that they analyze the savings each year and look at their reports year over year. She said that Blue Cross Blue Shield does not see the answers to the employees’ biometric screenings; the analysis is based on the City’s claims data.
Mr. Copley then continued the presentation:
BUDGET OUTLOOK – FIXED COSTS – COMPENSATION
ORGANIZATIONAL IMPACTS OF PROP 414 – MINIMUM WAGE ACT
CITY STAFFING NEEDS
CIVIL PENALTIES AND REMEDIES
EMPLOYEE ADVISORY COMMITTEE (EAC)
Councilmember Putzova joined the Meeting/Retreat telephonically at this time (12:45 p.m.)
Mr. Tadder continued the presentation:
COUNCIL DIRECTION – REVIEW REVENUE OPPORTUNITIES
REVENUE OPPORTUNITIES
PROPERTY TAX
MODEL CITY TAX CODE - WASTEWATER
ADDITIONAL UTILITY BILL FEE - $4 FEE
LAND SALES
DEVELOPMENT/IMPACT FEES
CREATE A FIRE DISTRICT
OTHER USER FEES
Councilmember Putzova left the meeting telephonically at this time (2:15 p.m.)
Mr. Copley continued the presentation:
BUDGET PRIORITY DISCUSSION
Council asked that as they move forward that the information is available online for the Council and public. Mr. Dille said that once the Council approves the Goals and Strategies they will be posted online. He said that they will bring back specific objectives during the February budget retreats. He said that there are opportunities to vet the objectives. They have to start somewhere and if they get into those deep at this point, they won’t get other work done. He said that as they get through this exercise, there may be other objectives that staff may want to have considered to further a goal.
Staff then presented a PowerPoint presentation which addressed:
CITY BUDGET PROCESS & CALENDAR
GOVERNMENTAL BUDGETING
FISCAL POLICIES
THE COLOR OF MONEY
Finance Director Brandi Suda briefly reviewed the transferability between various funds, noting that it takes into account what is legal, appropriate and how the relationship works. She added that the General Fund is the most challenged and it is funded through the City’s one percent sales tax which expires in November 2024.
Management Services Director Rick Tadder then reviewed the following:
FY18 BUDGET OUTLOOK
A break was held from 10:21 a.m. to 10:30 a.m..
BUDGET OUTLOOKS
HURF (Highway User Revenue Fund)
TOURISM
CONSTRUCTION
NATIONAL ECONOMY
STATE ECONOMY
BUDGET CHALLENGES
Public Works Director Andy Bertelsen then reviewed the history of the Core Services Maintenance Facility. He noted that the original pro forma had the sale of the Mogollon property included ($2.5 million); however, Council has decided to not include that so some changes were being made to the plans.
RIO DE FLAG FLOOD CONTROL PROJECT
Mr. Copley said that they are looking for direction on the funding for the City’s share of this project.
PROJECT VICINITY MAP
100 YEAR FLOOD IMPACT
CURRENT CITY COST SHARE - $36 MILLION
FUNDING STRATEGIES
Enroll in the Coconino County Flood Control District (low probability)
Form a Special Improvement District (very low probability)
Increase city storm water fees (high probability)
Other Fund Transfer – (mid-level probability)
General Obligation Bonds – (high probability)
New Sales Tax (mid-level probability)
Could be ballot questions in November 2018 election
COCO CO FLOOD CONTROL DISTRICT
STORMWATER FEE INCREASE
TRANSFERS FROM OTHER CITY FUNDS
GENERAL OBLIGATION BOND ELECTION
NEW SALES TAX INCREASE
Mr. Copley said that currently the Army Corps of Engineers’ plans are at 90%. While they are talking about $36 million now, when the plans are at 100% it may be less than the $36 million.
FUNDING SCENARIO
Council stated that with whatever is taken to the public, they need to articulate how this projects affects the entire community and not just one area of the City.
A lunch break was taken from 12:00 p.m. to 12:22 p.m.
Councilmember Putzova was not on the phone at this time. Deputy City Manager Barbara Goodrich continued the presentation:
BUDGET OUTLOOK – FIXED COSTS – PENSIONS
PENSION OVERVIEW
Budget Manager Heidi Derryberry then reviewed the budget process:
BUDGET OUTLOOK – FIXED COSTS UTILITIES – WATER/SEWER/REFUSE
BUDGET OUTLOOK – FIXED COSTS UTILITIES – NATURAL GAS
BUDGET OUTLOOK – FIXED COSTS UTILITIES – ELECTRICITY
Human Resources Director Shannon Anderson continued the presentation regarding:
BUDGET OUTLOOK – FIXED COSTS – HEALTH INSURANCE
Ms. Anderson noted that the Wellness Program has saved them $1.7 million. There has been an increase in prevention services and a reduction in chronic medical conditions and emergency room visits. She said that they analyze the savings each year and look at their reports year over year. She said that Blue Cross Blue Shield does not see the answers to the employees’ biometric screenings; the analysis is based on the City’s claims data.
Mr. Copley then continued the presentation:
BUDGET OUTLOOK – FIXED COSTS – COMPENSATION
ORGANIZATIONAL IMPACTS OF PROP 414 – MINIMUM WAGE ACT
CITY STAFFING NEEDS
CIVIL PENALTIES AND REMEDIES
EMPLOYEE ADVISORY COMMITTEE (EAC)
Councilmember Putzova joined the Meeting/Retreat telephonically at this time (12:45 p.m.)
Mr. Tadder continued the presentation:
COUNCIL DIRECTION – REVIEW REVENUE OPPORTUNITIES
REVENUE OPPORTUNITIES
PROPERTY TAX
MODEL CITY TAX CODE - WASTEWATER
ADDITIONAL UTILITY BILL FEE - $4 FEE
LAND SALES
DEVELOPMENT/IMPACT FEES
CREATE A FIRE DISTRICT
OTHER USER FEES
Councilmember Putzova left the meeting telephonically at this time (2:15 p.m.)
Mr. Copley continued the presentation:
BUDGET PRIORITY DISCUSSION
6.
Adjournment
The Special Meeting/Retreat of January 19, 2017, adjourned at 2:58 p.m.
| ____________________________________ MAYOR |
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ATTEST: ____________________________________ CITY CLERK
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