11-24-2015 WORKSHOPHUTCHINSON CITY COUNCIL
BUDGET WORKSHIP
MEETING MINUTES
TUESDAY, NOVEMBER 24, 2015 AT 4:00 PM
CITY CENTER — COUNCIL CHAMBERS
1. Call to Order
Mayor Forcier called the workshop to order at 4:00 p.m. Members present included Mary
Christensen, Bill Arndt, Chad Czmowski and John Lofdahl. Others present were: Matt Jaunich,
City Administrator, Marc Sebora and Kent Exner, City Engineer
DISCUSSION/REVIEW ITEMS
Matt Jaunich, City Administrator, explained that the first few items before the Council are for
informational purposes.
2. 2015 Regional Center & McLeod County Comparison Reports
Mr. Jaunich pointed out that the City of Hutchinson has one of the highest tax rankings amongst
regional centers, however has the third lowest LGA payment.
3. Shared Services Report
Mr. Jaunich provided a report of the shared services the City is involved in with other entities.
There are a multitude of services that are shared with outside entities that are identified in the
five-page report.
4. SWAT/Special Response Team Report
Mr. Jaunich provided a report to the Council on the City's SWAT/Special Response Team. Mr.
Jaunich explained that the City's SWAT team, combined with the County's SWAT team, act as
one unit when needed for incidents that occur throughout the county.
Dan Hatten, Police Chief, presented before the Council. Chief Hatten explained that the county
team and the city team act as one team when called out. Both teams are authorized to have 10
members, but neither team are rarely at full staffing due to the requirements and staff turnover.
General discussion was held regarding the team, such as training, equipment, staffing, etc.
5. Dispatch Center Report
Mr. Jaunich provided a report on the City's police dispatch center. Mr. Jaunich informed the
Council that local dispatching has been in place since the 1970s, with the current dispatch center
serving the City of Hutchinson since 1989 except for a nine month period from May of 1999 to
February 2000. During that time the local dispatch center was consolidated with the County
service, but reopened again "because of technological issues that could not be rectified between
the Hutchinson Police Department and the McLeod County Sheriff's Office". The City Council
adopted a resolution in 2000 reopening the local dispatch center which indicated that "McLeod
County approves of the reopening". Since the reopening of the dispatch center, there has been
discussion from time to time about exploring reconsolidation with the last conversation taking
place in late 2007 early 2008. Mr. Jaunich provided further background on the dispatch center as
well as two current agreements that the City has with both McLeod County and the South Central
Minnesota Regional Radio Board. These agreements impact the dispatch center as they relate to
equipment for the ARMER radio system and the regional communication plan (NG911).
6. Expanding DMV Hours Report
Mr. Jaunich provided an analysis of the Department of Motor Vehicle office being open again
Monday — Friday (it is currently closed on Mondays). Mr. Jaunich noted that the department has
considered issuing passports again, if accepted by the federal government, which could institute
being open another day of the week. The Council expressed they felt it would be good customer
service to have the DMV office open again five days per week as well as look into being able to
issue passports again. The Council concurred that if the DMV office is able to gain permission to
issue passports again, then the office should be open five days per week.
7. Proposed Facility Manager Position
Mr. Jaunich explained that as part of the 2016 budget, he is asking that the Council consider
adding the position of a Facility Manager to oversee the maintenance, repair and custodial care of
all city facilities. The main purpose behind the request is to consolidate several different duties
that are currently being handled by several different positions/departments in to one individual
and department. Staff is proposing to pay for the cost of the position without an impact to the tax
levy. $50,000 would be taken from the $750,000 CIP contribution to the facilities
plan/committee. The remaining costs would be covered by additional contributions from the
City's various enterprise funds to the general fund. The position will be placed within the
planningibuilding department and fall under the supervision of the Planning/Zoning/Building
Director.
8. Debt Levy & Heavy Equipment Funding
Mr. Jaunich reminded the Council that previously it has been noted that when it comes to heavy
equipment needs, the use of excess local government aid cannot support the City's heavy fleet
needs. With the pool project in 2016/2017 and the potential use of excess LGA to fund that
project, the City's heavy fleet does not have a funding source in the short term. The current
projected debt levy, based on all current general obligation improvement debt service, shows a
substantial gap in 2017-2022 as old debt and refinanced debt falls is paid off. The gap can be
utilized for the City's heavy equipment needs by adding $1.25 million of general obligation
equipment debt to the City's annual general obligation debt for street improvements in 2016, with
the equipment debt being paid off over five years.
9. 2016 Revised Budget for Public Hearing
Mr. Jaunich provided a copy of a revised budget that will be presented at the Truth in Taxation
hearing set for December 3, 2015. Since the preliminary budget was set, staff has cut the budget.
A 2.5% tax levy increase is factored into the proposed budget. Hospital security revenue was
moved from Miscellaneous Revenue to Charge for Services; $306,950. Recreation revenue was
reduced by $25,000 to account for the pool closure in 2016. HUC PILOT transfer is back to the
full amount in 2016. Transfer -in from the self insurance fund to cover HSA contributions has
been included. Fund balance of $25,000 is included for the use of the tree disease infestation and
mitigation fund. The 2.5% tax levy increases means an annual increase of approximately $54.00
to a $130,000 home.
10. Current Tax Levy Projection for 2016
11. Anything Else Budget Related?
Council Member Czmowski asked about outdoor ice at Park Elementary. Mr. Jaunich's
understanding is that the rink will be flooded and staffed at Park Elementary and Northwoods
Park for 2016.
12. Adj ournment
Motion by Lofdahl, second by Christensen, to adjourn at 5:25 p.m. Motion carried unanimously.
ATTEST:
Gary T. Forcier
Mayor
Matthew Jaunich
City Administrator