HomeMy WebLinkAboutCity Council Committees - Operations - 02/17/2004Operations Committee Minutes
February 17, 2004
Committee Members Present: Acting Chair Julie Peterson, Bruce White, Ron Harmon
Agenda item No. 3, Salary Commission Abolition-Ordinance, was removed from the agenda prior to
the meeting by Julie Peterson
The meeting was called to order by Julie Peterson, Acting Chair at 4:02 P.M.
APPROVAL OF MINUTES OF JANUARY 20, 2004
Bruce White moved to approve the minutes of the January 20, 2003, Operations Committee
meeting. The motion was seconded by Ron Harmon and passed 3-0.
APPROVAL OF VOUCHERS DATED JANUARY 30, 2004 AND FEBRUARY 13, 2004
Finance Director Bob Nachlinger presented the vouchers for January 30, 2004, and February 13,
2004, for approval.
Bruce White moved to approve the vouchers dated January 30, 2004, and February 13, 2004.
Ron Harmon seconded the motion, which passed 3-0.
VISION SERVICE PLAN (VSP) HEALTH CONTRACT FOR 2004
The City’s Benefits Manager, Becky Fowler, presented the Vision Service Plan (VSP) Health
Contract for 2004, which is effective January 1, 2004. Ms. Fowler explained that the City self-
insures the employees’ vision program through Vision Service Plan (VSP). Administration fees and
claims costs are wired each month to VSP for payment of employees’ vision services. The annual
administration fees for 2004 are approximately $19,594. Premera Blue Cross administered the
program through the VSP network prior to December 31, 2003. Ms. Fowler stated that VSP is no
longer contracting with Premera Blue Cross and therefore the City is allowed to contract directly with
VSP saving the City $.45 per employee for a total savings of $4,100 per year.
Bruce White moved to recommend that the Vision Service Plan (VSP) Contract be placed on
the Consent Calendar for the March 2, 2004, City Council Meeting approving the contract and
recommending it for the Mayor’s signature. The motion was seconded by Ron Harmon and
passed 3-0.
Operations Committee, 2/17/2004
2
REFUNDING AND RESTRUCTURING OF ANNUAL DEBT SERVICE COSTS
Finance Director Bob Nachlinger presented the Refunding and Restructuring of Annual Debt Service
Costs Power Point presentation for informational purposes only. Mr. Nachlinger stated that the
refunding and restructuring of the 1996 LTGO bonds can reduce current costs and shorten the final
maturity of our outstanding debt. Mr. Nachlinger stated that it would provide the City savings of over
$800,000 for both this year and next year. The 1996 LTGO bonds were issued for three purposes:
the Centennial Building; park improvements; and sewer improvements. The parks and sewer
portion of the bonds were issued for a 20 year period and the Centennial Building portion was issued
for 30 years. By refunding and restructuring these issues we can reduce current costs, smooth
annual costs, and shorten the final maturity of our debt by four (4) years. Mr. Nachlinger stated that
the overall savings to be achieved from this refunding is $1,279,787 over the life of the bonds.
No motion was necessary as Mr. Nachlinger provided the Refunding and Restructuring of
Annual Debt Service Costs Power Point presentation for informational purposes only. Acting
Chair Julie Peterson invited Mr. Nachlinger to attend a Council Workshop to allow all council
members the opportunity to review and comment on this proposed refunding and
restructuring. Mr. Nachlinger accepted the invitation.
The meeting was adjourned at 4:20 P.M.
Renee Cameron
Operations Committee Secretary