The URL can be used to link to this page

Home My WebLink About07-07-2003CITY OF WASHINGTON CITY OF AUBURN FINANCE COMMITTEE JULY 7, 2003 MINUTES I1. II1. CALL TO ORDER Chair Fred Poe called the meeting to order at 6:30 PM in the Council Conference Room located on the first floor of Auburn City Hall, 25 West Main Street, Auburn, Washington. Chair Poe, Member Gene Cerino, and Member Trish Borden were present. Others present included: Mayor Pete Lewis, City Attorney Daniel B. Heid, Human Resources Director Brenda Heineman, Finance Director Shelley Coleman, and City Clerk Danielle Daskam. Guests present included Nancy Backus and Bill Peloza. APPROVALOFMINUTES A. Minutes of the June 16, 2003 Finance Committee meeting. Member Cerino moved and Chair Poe seconded to approve the June 16, 2003 Committee minutes. MOTION CARRIED UNANIMOUSLY. 3-0. CONSENT ITEMS A. Vouchers Claims* F4.9.5 Claims check numbers 321982 through 322538 amount of $2,552,122.51 and dated July 7, 2003. in the Payroll F4.9.2 Payroll check numbers 504690 to 504853 and replacement checks 10104 through 10105 in the amount of $267,812.55 and electronic deposit transmissions in the amount of $897,377.03 for a grand total of $1,165,189.58 for the pay period covering June 12, 2003 to June 23, 2003. Page 1 Finance Committee Minutes July 7, 2003 IV. B. Surplus Property F4.6.1 Planning Department City Council to authorize the surplus and disposal of the following items: orange 15"xl 5"x36" metal box tan 33"x16"x54" metal box orange 33"x16"x54" metal box 33"xl 6"x54" orange metal plan file with 58 3.5"x3.5" spaces tan 15"x15"x44" metal plan cabinet with 36 2"x2" spaces black cardboard plan holder with 16 4"x4'' spaces 3'x5' oval table Committee members reviewed the consent items. Member Borden moved and Member Cerino seconded to approve the consent items. MOTION CARRIED UNANIMOUSLY. 3-0. ORDINANCES AND RESOLUTIONS Resolution No. 3626 A3.13.4 A Resolution of the City Council of the City of Auburn, Washington, authorizing the Mayor to negotiate contracts and engage consultants for development of proposals for a City of Auburn Municipal Court and Police Department building Finance Director Coleman presented Resolution No. 3626, which authorizes the Mayor to enter into negotiations for contracts with a private developer and consultants for a new police and court building located at 340 East Main Street. The final contracts would be subject to Council approval. Ms. Coleman reported that staff will be preparing funding schedules and financing options for Council review. Member Cerino inquired regarding the property acquisition on A Street NW. City Attorney Heid reported that the condemnation has been filed for the last property, and the City is waiting confirmation on proof of service on the owner. Member Cerino moved and Member Borden seconded to recommend approval of Resolution No. 3626. Page 2 Finance Committee Minutes July 7, 2003 MOTION CARRIED UNANIMOUSLY. 3-0. DISCUSSION ITEMS General Fund Balance Finance Director Coleman briefed the Committee members on the status of the General Fund. Utilizing a handout, Ms. Coleman presented information on the tax dollar losses since 1996 due to legislative and initiative action. The City has lost approximately $19 million in tax revenues since 1996. She reported that last year the City utilized $2 million of its reserve, and this year she anticipates approximately $2.5 million of the City's reserves will be spent. She estimated that the City would be able to maintain its current spending level for another five years before the City's General Fund reserves are depleted. Chair Poe requested examples of the effect of the 1% property tax limitation on individual tax statements.' Draft Ordinance Amendinq Sections 2.03.070 and 3.10.020 Regarding Authority of the Mayor City Attorney Heid distributed a revised version of the draft ordinance, which adjusted the dollar amount threshold back to $25,000 rather than the initially proposed $50,000. Mr. Heid pointed out that the proposed ordinance amends Auburn City Code (ACC) Section 2.03.070 regarding mayoral powers and authority. The ordinance also amends ACC Section 3.10.020 to provide a clarification relating to the Mayor's authority to enter into contracts for goods and services. The current code language refers to purchases only. Chair Poe requested that the ordinance be returned to the next Finance Committee meeting for recommendation. C. Draft Ordinance Creatinq a New Chapter 3.94 Relatinq to Multi- Family Property Tax Exemption Senior Planner Hicks presented the proposed ordinance providing for a multi-family property tax exemption for properties in the downtown core. State law allows communities of 30,000 or more to exempt multi- family housing units constructed in the downtown core from Page 3 Finance Committee Minutes July 7, 2003 VI. property tax for a period of ten years. The exemption does not apply to mixed-use development. Only newly constructed units with a minimum investment of $150,000 per unit annually adjusted for inflation by the Consumer Price Index shall qualify for the exemption. Mr. Hicks distributed a map of the downtown residential target area. Committee members requested that staff confirm that the exemption would apply to all property tax assessments. The ordinance will be presented at a future Committee meeting for further discussion and clarification. ADJOURNMENT There being no further discussion, the meeting adjourned at 7:04 p.m. APPROVED THIS ~,)..Z' '~ DAY OF JULY, 2003 Chair Fred Poe ~ Danielle Daskam, City Clerk I:\clerk\finance\fca~003fcm07-07 Page 4