HomeMy WebLinkAboutITEM III-D
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CITY OF
FINANCE COMMITTEE
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WASHINGTON NOVEMBER 15, 2010
6:00 PM, CITY HALL ANNEX
CONFERENCE ROOM 1
MINUTES
I. CALL TO ORDER
Chair Nancy Backus called the meeting to order 6:00 p.m. in Conference
Room No. 1 located on the second floor of the City Hall Annex located at
One East Main Street in Auburn. Chair Backus and Vice Chair Lynn
Norman were present. Member John Partridge was excused. Present
during the meeting were Mayor Peter B. Lewis, City Attorney Daniel B.
Heid, Finance Director Shelley Coleman, Employee Relations and
Compensation Manager John Fletcher, Planning and Development
Director Kevin Snyder, and City Clerk Danielle Daskam. Wayne Osborne
was also present.
II. CONSENT ITEMS
A. Approval of Minutes
1. Minutes of the October 18, 2010 Finance Committee
meeting.
Vice Chair Norman moved and Chair Backus seconded to
approve the October 18, 2010 minutes.
MOTION CARRIED UNANIMOUSLY. 2-0.
B. Vouchers
1. Claims
F4.9.5
Claims check numbers 399208 through 399563 in the
amount of $1,791,406.74 and dated November 1, 2010.
2. Payroll
F4.9.2
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Finance Committee Minutes November 1, 2010
Payroll check numbers 530050 to 530149 in the amount of
$330,675.92 and electronic deposit transmissions in the
amount of $1,131,079.70 for a grand total of $1,461,755.62
for the pay period covering October 14, 2010 to October 27,
2010.
Committee members reviewed the vouchers and briefly
discussed claims vouchers 399248, 399263 and 399287.
Vice Chair Norman moved and Chair Backus seconded to
approve the claims and payroll vouchers.
MOTION CARRIED UNANIMOUSLY. 2-0.
C. Contract Administration
1. Public Work Project No. CP0913
City Council approve Final Pay Estimate No. 3 to High
Mountain Electric, Inc., Contract No. CP0913 in the amount
of $26,461.34 and accept construction of Project No.
CP0913, Generator Additions - Senior Center and Parks,
Recreation and Arts Building.
Committee members reviewed the request for final pay
estimate and acceptance of Project No. CP0913.
Vice Chair Norman moved and Chair Backus seconded to
approve the claims and payroll vouchers.
MOTION CARRIED UNANIMOUSLY. 2-0.
III. ORDINANCES AND RESOLUTIONS
A. Ordinances
There was no ordinance for Committee action.
B. Resolutions
1. Resolution No. 4650
A Resolution of the City Council of the City of Auburn,
Washington, authorizing the Mayor and City Clerk to execute
a contract for public defense services for January 1, 2011 -
December 31, 2012 between the City and the Law Offices of
Matthew J. Rusnak
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Finance Committee Minutes November 1, 2010
_ Employee Relations and Compensation Manager John
Fletcher explained that the City currently contracts for public
defense .services with Matthew J. Rusnak. Mr. Rusnak is
providing effective and efficient public -defense services for
the City. The City proposes a two year renewal of the
contract with a contract amount of $315,000 per year for
2011 and 2012.
In response to a question from the Committee, Mr. Fletcher
explained that, the. City looked into the feasibility of bringing
public defense services in-house; however, it is not
recommended at this time.
Vice Chair Norman. moved and Chair Backus seconded to
approve Resolution No. 4650 and forward it to the full
Council.
MOTION CARRIED UNANIMOUSLY. 2-0.
IV. DISCUSSION ITEMS
A. -Ordinance No. 6333
An -Ordinance, of the City Council of the City of Auburn,
Washington, authorizing the levy of regular property taxes by the
City of Auburn for collection in 2011
Finance Director Coleman distributed copies of the revised
Ordinance No. 6333. The Public Works Committee earlier this
evening requested a slight change to the ordinance to delete the
words "street drainage-system" from Section 2.
Ordinance No. 6333 sets the property tax .levy. for-2011 at 101% of
the prior year's levy. The 1% increase is $142,395 for a total levy
of $14,381,900.
B. Resolution No. 4653
A.Resolution.of the City Council of the City of Auburn, Washington,
authorizing the Mayor and City Clerk to.execute .an amendment to
- the Service Agreement between the City of Auburn and Future
Visions and Karen Parker
Employee Relations and Compensation Manager Fletcher
explained that the City has contracted with Future Visions since
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Finance,-Committee Minutes November 1, 2010
2004 to provide intensive outpatient treatment as part of the City's
alternatives to incarceration- program. The contract fee has been
unchanged since 2004. Future Visions is requesting a slight
increase in fees and staff recommends approval of the contract
amendment. Mr. Fletcher stated that Future Visions has proven to
be a -successful alternative to incarceration. The business is
located in Auburn.
C. Resolution No. 4654
A Resolution of the City Council of the City of Auburn, Washington,
authorizing the Mayor and City Clerk to execute a second
amendment to the. Lease Agreement between the City' of Auburn
and Central Puget Sound Regional Transit Authority
Employee Relations and Compensation Manager Fletcher
explained that'Resolution No. 4654 authorizes the sell back of 138
City parking- spaces at the'Sound Transit garage to Sound, Transit
for a sum of $1,329,713.29. The City will retain 42 parking spaces.
D. Resolution No. 4652
A Resolution of the City Council of the City of Auburn, Washington,
-adopting the 2011 Community Development Block Grant Action
Plan for the Consolidated Plan -for Years 2010.to 2014
Planning and Development Director Snyder presented Resolution
No. 4652. The Action Plan is required by the U.S. Department of
Housing and Urban Development in order fro the City to receive
federal funds under :the Community Development Block Grant
program.
In response to a question from the Committee, Mr. Snyder
explained that the Community Development Block Grant funds do
not require a matching share.
The resolution was approved by the Planning and Community
Development Committee at its last meeting.
E. UtilityRevenue Bonds
Finance Director Coleman advised that the City has been preparing
to issue utility revenue bonds. However, conditions have change
- since, staff first began working on the bond issue, and it is now
evident.thatthe City does not have-sufficient utility revenue in 2011
and 2012 to meet debt service coverage for the principal. Director
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Finance Committee Minutes November 1. 2010
Coleman is proposing to reduce the principal issue from $32 million
to approximately $15 million.
F. Sales Tax Refund
Mayor Lewis presented information on a proposal to refund sales
tax on new construction for retail businesses for a limited window of
time (five years). The proposal is to establish a threshold for sales
tax where sales tax above the threshold level would be eligible for
refund. The refund would act as an incentive for new retail
businesses to consider locating in the city. Under the proposal,
applicants must construct a new retail commercial building or
expand an existing retail commercial building within any downtown
core, downtown mixed use or commercial zoning district. In the
case of mixed use buildings, at least 50 percent of the building
space must be devoted to retail commercial use. A memorandum
dated November 1, 2010 from Finance Director Coleman to the
Finance Committee regarding sales tax refund on new construction
was distributed for review.
V. ADJOURNMENT
There being no further business to come before the Committee, the
meeting adjourned at 6:27 p.m.
APPROVED THE DAY OF NOVEMBER 2010.
Nancy Backus, Chair Danielle Daskam, City Clerk
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