HomeMy WebLinkAboutCity Council Committees - Operations - 01/15/1997 OPERATIONS COMMITTEE MINUTES
JANUARY 15, 1997
COMMITTEE MEMBERS PRESENT: Jon Johnson-Committee Chair, Tim Clark for Jim Bennett,
Connie Epperly for Leona Orr
STAFF PRESENT: Tom Brubaker, Becky Fowler, Charlie Lindsey, Brent McFall, May Miller, Kelli
O'Donnell, Sue Viseth
MEMBERS OF THE PUBLIC: None.
The meeting was called to order at 4:37 p.m. by Chairperson Johnson. Jon Johnson introduced the acting
committee members.
entennial Center Tenant Improvement - Project Change Order
Finance Director May Miller explained that the tenant improvement for Valley Cities at the Centennial
Center required a change order due to permit requirements for a two hour fire wall which had not been in
the original estimate. May distributed a handout detailing the change order of $14,604.04 She
recommended that the Committee approve the change order and noted that there is a budget for$200,00
for tenant improvements so no budget change is necessary Committee Chair Johnson asked if there was
a motion. Acting Committeemember Clark moved to recommend acceptance of the change order for
Centennial Center tenant improvements for Valley Cities. Acting Committeemember Epperly seconded
the motion which carried with a vote of 3-0.
Sick Leave Incentive Program
Employee Service Director Sue Viseth stated that she would like to recommend a Sick Leave Incentive
Program for the Non-Represented Employees. She noted that this is the identical program currently
offered to AFSCME employees and the program that is under tentative agreement with the Teamsters.
This program consists of an annual monetary incentive based on an employees ability to reach certain sick
leave accruals and maintain those over the course of the year In so doing, they would receive monetary
benefit in January of the following year as is reflected in the attachment in the agenda. Viseth noted that
the purpose of the program is to have employees look at their sick leave balance as financial security for
themselves and their family. By increasing their balances, employees will be able to cover the 90 day
elimination period before long-term disability applies in cases of long-term illness or injury. Since
implementation in the AFSCME union there has been a decrease in sick leave usage of 8 9% and an
increase in those employees sick leave balances of 30.3%. This will also eliminate a disparity between
non-represented employees and union employees.
Chair Johnson asked for clarification of the shared sick leave program. Sue responded that the Shared
Leave program only allows donation of annual leave. She explained that the sick leave is an unfunded
liability and those cities that have allowed for the donation of sick leave are trying to move away from it.
Clark moved to recommend adoption of the proposed sick leave incentive program for non-represented
employees Epperly seconded the motion which passed with a vote of 3-0.
Health Insurance Contract Aggroval
Senior Human Resources Analyst Becky Fowler stated that the Blue Cross contract renewal occurs every
January 1 and requested approval of the renewal for the Mayor's signature. She noted that the fees have
increased by 3% for Blue Cross's services for administering the contract of which 90% of the employees
participate. She added that they are currently running at about 75% of expected claims. Epperly moved
to recommend approval and authorization for the Mayor to sign the Contract Administration Agreement
Renewal for 1997 with Blue Cross of Washington and Alaska. Clark seconded the motion. Johnson
OPERATIONS COMMITTEE MINUTES, CONT.
an ,maw 1 -, 1997
called for a vote and the motion passed unanimously 3-0
Mayor's 5alaa Change Proposal
Chair Johnson stated that at the annual Council retreat this issue was discussed and the item had been
referred by the City Council in December back to this Committee. Johnson asked if there were any
questions or further discussion since this is an item on the table. McFall noted that the information in the
agenda was from previous discussion. For the sake of discussion, Clark moved that the Mayor's salary be
set at$80,000, including the right of deferred comp as other employees have, taking effect in January of
1998. Epperly seconded the motion. Clark stated that there has been a lot of discussion of this item
including the different forms of City/Mayor structure in surrounding cities. He noted the bottom line is
we have significantly grown and are now the tenth largest Washington city with all the additional
responsibilities. He also emphasized that even with this proposal we are not the highest in salary and this
is a reasonable proposal. Johnson added that those cities are also smaller and agreed that the city has
grown and the Mayor's salary should recognize that. After further discussion, Johnson called for a vote
and the motion passed 3-0.
McFall noted that this proposal can only be adopted by ordinance and asked if the item should be under
Other Business on the Council Agenda or the Consent Calendar. Johnson directed the City Attorney to
prepare the Ordinance to increase the Mayor's salary in 1998 and stated the item should be under Other
Business on the agenda.
November Financial Report
Finance Director May Miller reviewed the November Financial Report with the Committee During her
review she noted that General Fund revenue was 5.9% over budget for November while expenditures are
2.3% under budget. She noted that the November report does not reflect the settlement of the Police
contract While reviewing page 12 Miller noted that sales tax ended November 13% over budget with the
one time only settlements while page 13 shows the figure at 10 8%when one time revenue is backed out.
After reviewing the sales tax by category on page 14, May noted the need for caution as the exemptions
passed by the legislature may be taken at year end.
Clark asked for the status of the tax increase for funding of corridors. McFall noted that the street tax is
ongoing except for the 3/10 of 1% for teen programs and the 1% for streets which is in place until 2004
Clark noted his concern on the street portion. McFall agreed and stated that Wickstrom had asked for
funding as long as possible and will bring the item back to continue to maintain concurrency.
After May concluded her report,McFall noted the need to follow up the budget report with the continued
grave concerns over the tax exemptions. He stated that his approach is still cautious and pessimistic until
the final year end reports are received. Miller added that the State is still struggling with establishing the
rules and their may be adjustments down the line that may or may not be in the city's favor. Although the
legislature has passed the exemptions, it has been complicated to define the exact rules for the exemptions.
Johnson asked if there were any additional items to be discussed. There being none, the meeting was
adjourned at 5:20 p.m.
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