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HomeMy WebLinkAbout2004-10-18 Special MinutesCALL TO ORDER/ROLL CALL: ROLL CALL: PRESENT: SPECIAL ISSUE: TUKWILA CITY COUNCIL October 18, 2004 7:00 p.m. Tukwila City Hall Council Chambers SPECIAL MEETING 6:00 P.M. Calling the Special meeting to order and leading the Pledge of Allegiance at 6:06 p.m. was Steven M. Mullet, Mayor. Bob Baker, Deputy City Clerk, called the roll of Council. Present were Jim Haggerton, Council President; and Councilmembers Joe Duffie, Joan Hernandez, Pamela Linder, Dennis Robertson and Dave Fenton. DUFFIE MOVED; HERNANDEZ SECONDED; TO EXCUSE THE TEMPORARY ABSENCE OF COUNCILMEMBER PAM CARTER. The motion carried 6 -0. Steven M. Mullet, Mayor; Rhonda Berry, City Administrator; Alan Doerschel and Kevin Fuhrer, Finance Directors; Steve Lancaster Jack Pace, Director Deputy Director, Community Development; Jim Morrow, Public Works Director; Viki Jessop, Administrative Services Director; Nick Olivas, Fire Chief; Keith Haines, Police Chief; Bruce Fletcher Rick Still, Director Assistant Director, Parks and Recreation; Dave Haynes Lori Sutter, Captains, Police Department; Kimberly Walden Darlene Heskett, Judge Court Administrator; Lucy Lauterbach, Legislative Analyst; and Bob Baker, Deputy City Clerk. Presentation and Discussion of Proposed 2005 Budget and 2005 -2010 Capital Improvement Program Alan Doerschel. Finance Director Clerical note: Councilmember Carter arrived just before Mr. Doerschel began his presentation. Alan Doerschel, Finance Director, reviewed documents commonly referred to as Attachments A and B contained in the Proposed 2005 -2010 Financial Plan and Capital Improvement Program (CIP). The CIP serves as the basis for the proposed annual budget. Attachment A summarizes "total revenues and expenditures" and Attachment B sets out "general fund operations and maintenance expenditures." Mr. Doerschel reported "natural growth" of Tukwila has been approximately 2 3% over the past three years. That figure, coupled with a limitation on property taxation, makes the City "lose ground" every year. For that reason, general growth is very important. We need mall expansions and other growth to maintain our "current standard of living" (service levels). Currently, however, "actual growth" of the economy is not meeting the growth needs of Tukwila's economy. Further review of the document with Council showed the City will be able to meet with some risk," the operations and maintenance requirements of the City, as well as the base capital needs. The outcome of the items listed below will have impacts on the General Government fund as well as the Enterprise Funds' ability to meet anticipated program goals: 1. Actual growth of the Tukwila economy. 2. Operations Maintenance costs exceeding 4% growth (i.e., controlling costs). 3. Ability to get Federal and State grants for large infrastructure projects. City of Tukwila October 18, 2004 City Council Special Meeting Minutes Page 2 of 2 4. Successful agreement with Segale Business Park regarding the Tukwila Valley South annexation and redevelopment efforts. 5. Progress on Tukwila Village efforts. 6. Completion of the mall expansion, JC Penney's property redevelopment and other major redevelopment opportunities. 7. Successful resolution of the Streamline Sales Tax process. Mr. Doerschel fielded general questions from Council. He relayed the actual sales tax receipts are approximately 1.2% ahead of those from 2003, and that this is the largest revenue source required to maintain current service levels. Councilmember Robertson spoke of concern with respect to the CIP, the proposed budget and projected sales tax growth. Mr. Doerschel offered information on how projected figures were generated and noted the "big picture" is under review at this time. Revenues are understated, he said, so that if the City experiences a loss, the Financial Planning Model is "in good shape as presented." During discussions relative to Attachment B (General Fund Operations and Maintenance Expenditures), Council learned that most departments will be limited to an increase of 5% for 2006 and 4 to 4.5% in the years 2007 -2010. This is due in large part to increases in healthcare, retirement rates and general inflationary pressures. No "head count" (employee) numbers are reduced. It is estimated /projected that cities will experience another LEOFF and PERS increase in the year 2007, similar to that experienced this year. No "head count" (employee) cuts are anticipated for the coming years. In fact, two new positions (allocated specifically to litter control) are being added and the Fire Department is considering the addition of a Plans Examiner. Discussions then centered on current staff being able to handle incoming workloads with mall expansion, Tukwila Valley South, Tukwila Village and Sound Transit projects. Mayor Mullet noted City Administration is taking a conservative approach to the coming projects as it relates to staffing, and does not anticipate any backlogs in work. Should backlogs occur, additional staffing may need to be considered. Before the Special meeting was adjourned, Mr. Doerschel noted additional review sessions would be required. He also noted review of the Proposed Budget will begin at the Committee level. ADJOURNMENT: 6:55 p.m. Mayor Mullet adjourned the Special meeting. Steven M. Mullet, Mayor Date Minutes approved: November 1, 2004 Robert H. Baker, CMC, Deputy City Clerk