HomeMy WebLinkAbout07-09-2014Au&
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WASHINGTON
Special City Council Meeting
July 9, 2014 - 2:00 PM
City Hall Council Chambers
MINUTES
I. CALL TO ORDER
Mayor Nancy Backus called the special meeting to order at 4:30 p.m.
Councilmembers in attendance included: Deputy Mayor Rich Wagner,
Wayne Osborne, Claude DaCorsi, Largo Wales and John
Holman. Councilmember Yolanda Trout arrived at 2:30 p.m.
Councilmember Peloza was excused.
Department directors and staff members present included: Finance
Director Shelley Coleman, Public Affairs and Marketing Liaison Dana
Hinman and Deputy City Clerk Shawn Campbell.
The purpose of the meeting was to discuss the 2015 - 2016 Biennial
Budget. This is the first of five budget workshops.
II. DISCUSSION ITEMS
A. 2015 - 2016 Budget 101
Director Coleman explained to Council the budget process. There
will be five budget workshops to help Council understand the budget
process, review the different types of funds in the budget and come
to a balanced budget.
Director Coleman provided a brief overview of each fund in the City's
budget. She explained the City adopts a biennial budget.
This process saves time and allows the Finance Department time
and resources to complete other projects. By adopting a biennial
budget the Council must consider future expenditures and
appropriations. At the end of the first year staff will bring forward
a mid cycle budget amendment for any mid term corrections
or changes to the budget.
Director Coleman explained the General Fund is where the City
Departmental budgets are funded. The General Fund can help other
funds but the City does have restrictions on moving funds from other
funds into the General Fund. The General Fund is allowed to tax the
other funds.
Director Coleman explained the Special Revenue and Debt Service
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Funds are generally restricted on how they can be used. How they
operate is typically mandated by the State. Debt Service Funds are
for Government Bonds that are not proprietary in nature. The funds
are all budgeted for and transferred in to pay the obligation.
The Council reviewed the City's responsibility to LEOFF 1 members.
The LEOFF claims are paid out of the City's General Fund.
Director Coleman explained each fund is monitored and budgeted for
by a department director. Councilmember DaCorsi asked how
Council would know when a department is asking for additional staff.
Director Coleman explained it is part of the program improvement
request form. Councilmember Osborne stated the Council sees what
the Mayor has approved. He asked how the Council would add or
remove items from the proposed budget. Director Coleman stated a
Councilmember could make changes on the floor or Council could
bring items forward during the next four budget workshops. Mayor
Backus said when the budget is before Council for final approval
there should not be any surprises. Director Coleman stated Council
would have the proposed budget at the August 12, 2014 Budget
Workshop.
Director Coleman shared the challenges the City will face in the next
budget cycle including sales taxes being required to fund additional
items, additional demand for services, unfunded PERS 1 liability, the
loss of the sales tax annexation credit, property taxes, reduction in
the Streamlined Sales Tax, and state legislated budget cuts.
Mayor Backus reminded Council local govementment is required to
have a balanced budget. Councilmember Wales requested directors
present their budgets including what new items they are asking for
and items they have cut. Councilmember DaCorsi stated the City has
limited resources and must remain fiduciarily responsible. Deputy
Mayor Wagner noted the City of Auburn if currently in a good
financial position. It is important to remain vigilant with the taxpayers
money. Councilmember Osborne stated the Mayor had previously
proposed evaluating the budget with performance standards. He
asked if performance standards will be a part of the new budget.
Mayor Backus said a performance based budget takes time to
develop. The City will start converting to a performance based
budget and an outcome based budget.The City will not be able adopt
a budget solely based on performance and
outcome. Councilmember Osborne stated the Council must
decide how to divide up the available funds to best serve the citizens
of Auburn. Mayor Backus noted the Council cannot make everyone
happy, her goal is to provide information to educate the citizens.
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Council thanked Director Colman for providing the budget information
in a clear and concise manner.
111. ADJOURNMENT
There being no further business to come before the Council, the meeting
adjourned at 4:03 p.m.
APPROVED this day of August, 2014.
NANCY BACKUS, MAYOR Shawn Campbell, Deputy City Clerk
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