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HomeMy WebLinkAboutCity Council Meeting - Council - Minutes - 9/27/2016 Kent City Council Special Meeting September 27, 2016 Minutes Kent, Washington The special meeting of the Kent City Council was called to order at 5 p.m. by Mayor Cooke. Councilmembers present: Berrios, Boyce, Budell, Fincher, Higgins and Ralph. OTHER BUSINESS A. Mayor Cooke's 2017/2018 Biennial Budget Presentation Finance Director Arron BeMiller presented the Mayor's budget overview documents with the intent to keep tonight at a high level to discuss what is on the Budget Document. A brief walk through of the new section of the Budget Document located on the Table of Contents you will find the transmittal letter from the Mayor, an Organizational Chart and a Budget Overview, all a very good information source. Second thing on the agenda is the proposed schedule tonight we have Mayor's Proposed Budget & Significant Changes. We will be the going overview the Mayor's proposals this week, next week will be reviewing capital projects, and the following week's we will have presentations from department budget proposals then there will be 3 open meeting for questions and review. Questions will be recorded and kept tract of by the finance department then provide answers and updates at the following meeting. Overview Section - A couple of items under 5 year history of fund balances the 2011General Fund balance was$643, 000, at the end of 2016 projected $18.2 million dollar fund balance. Capital Resources Fund had a negative of $12 million in 2011 at the end of 2016 have a positive of $9 million positive change of almost $20 million dollars. Staffing on page 7 there is a percent change in staffing in 2010 was the transfer of Fire personnel to Regional Fire Authority. Staff change details are 2017 staffing includes increase of 14 new positions in 2017, and in 2018 two (2) new positions these are detailed out on the worksheet. Property Tax on page 13 evaluation rates 2017 and 2018 includes $2 million dollars in Bank Property Tax Capacity. Property tax-rate on $266,000 home about 6% increase that property would pay or about $402, increase in 2018 is expected to be $38,00. Page 14 takes a look at General Fund 2016 Budget Revenue, these are assumptions looking at revenue income shall continue, inflation shall stay steady, interest rates will increase slightly. 2016 adjusted budget to 2017 estimated sales tax are coming in higher than originally budgeted. On the PIE chart B&O Tax $770,000 shows as General Fund and then transfer out to appropriate fund. Other significate revenue total increase 2017 $283,000 for permitting funds about $956,000 in 2018 and are incorporated in the Mayor's Budget. General Fund Expenses on page 18 by function is what we present is overall spending for the city, consistent table form. On Page 19 General Fund by Department the Communication Department, the Administration Department will be down by $400,000 Page 1 of 2 Kent City Council Special Meeting September 27, 2016 Minutes Kent, Washington which is the transfer of personnel and supplies. Proposed for 2017 $800,000 there are 8 positions that already exists, these positions are from Multimedia and Administration will be relocated into the new Communications Department, and add Communications Director and Cultural Communications Director. Bottom of page 24 our current fund balance is 10%, our new target should be 16% to cover expenses. Internal Funds for replacement of KIVA system, funding of $956,000 in 2017 and $420,000 in 2018 for permitting and online review system. President Boyce wants to know next week what the net impact is to the average resident. All Councilmembers gave Kudos to the Finance Department for the great work on the budget, very easy to follow and understand. ADJOURNMENT The meeting adjourned at 6 p.m. Sue Hanson Interim City Clerk September 27, 2016 Page 2 of 2