1992/09/22 Community Development Agency Minutes (2) ROHNERT PARK CITY COUNCIL MINUTES
for the
JOINT ADJOURNED MEETING
CITY COUNCIL/COMw1.NITY DEVELOPMENT AGENCY
- BUDGET WORK SESSION -
September 22, 1992
The Council of the City of Rohnert Park and the Agency Members
of the Community Development Agency of the City of Rohnert
Park met this date in a joint adjourned session commencing at
5:00 p.m. in the City Offices, 6750 Commerce Blvd. , Rohnert
Park, California with Mayor/Chairperson Spiro presiding.
Call to Order Mayor/Chairperson Spiro called the adjourned joint meeting
session to order at approximately 5:00 p.m.
Roll Call Present: (5) Councilme hers/Agency Members Eck (arrived at
5:20 p.m. ) , Hollingsworth, Hopkins, Reilly and
Mayor/Chairperson Spiro
Absent: (0) None
Staff present for all or part of the meeting: City Mrnager
Netter, Assistant to the City Manager Leivo, Finance Director
Harrow and Director of Public Works/City Engineer Brust.
Mayor/Chairperson Spiro stated in compliance with State Law
(The Brown Act) , anyone in the audience who wished to make a
comment may do so at this time. In most cases under
legislation of the Brown Act, the Council cannot handle an
item without agendizing. To ensure accurate recording,
"Speaker Cards" are provided at the entrance of the Chanter
and unscheduled public appearances are requested to fill out
the cards and present to recording secretary after speaking.
No one responded.
Items for discussion:
1. Review of City's General Fund and Utility Fund Operations
for Fiscal Year 1991-92
City Manager Netter and Finance Director Harrow reviewed the
handout sheets and the staff report dated September 3rd, 1992
(of which copies are attached to original set of these
minutes) highlighting the results of Fiscal Year 1991-92. In
summary, the General Fund Revenues were 112.54% of
budget, or $1.5 million more than anticipated. The General
Fund expenditures were 101 .13% of budget, or $170,920 more
than anticipated. Staff reviewed each line item that
accounted for these budget to actual variations. City Manager
Netter discussed the reserves as of June 30 , 1992 and
indicated that the General Fund Reserve is estimated to have
an ending balance of approximately $1.6 mullion, which still
meets the 10% criteria established by the City Council .
Rohnert Park City Council/CDA Joint Adj. Minutes (2) September 22, 1992
- BUDGET WORK SESSION -
City Manager Netter went on to discuss the Sports Centel
operation and indicated that the operation has exceedec
expenses quite well over the past year as revenues are ul
and expenses are down. For the entire operation for fiscal
year 1991-92, including all administrative costs , the
operation exceeded expenses by $4,102 as compared to a $44,00(
the previous year. Mr. Netter briefly outlined the Performine
Arts Center's twelve ( 12) month operation and indicated that
the Council had previously approved a down-sizing as the tota:
loss for the fiscal year was approximately $397,000. Th(
down-sizing for the upcoming fiscal year should curtail th(
amount of loss. City Manager Netter and Finance Director
Mike Harrow briefly summarized the Utility Operations any
responded to various Council questions.
2. 1992-93 Revised City Budget ( including State impacts)
City Msnager Netter and Finance Director Harrow discussed th
handout representing the 1992-93 adjusted budget . Thi;
document listed the General Fund unadjusted budget with th
proposed budget as submitted to Council with the 3rd colum
showing the current and impacts after the State "hit". 2
summary, after the State "hit", the General Fund operation
will be in a deficit position in the amount of $343,895. Thi
was represented by, and included, the State "hit" for approxi
mately $200,000 from property taxes, an additional $25,000 0
the State cigarette taxes eliminated from city coffers, an
approximately $325,000 impact from reduction in Communit
Development Agency property tax increments (payments bac
to City) .
Staff and the City Council discussed various options a
outlined on page 2 of the green sheet, of which a copy i
attached to the original set of these minutes. Staff outline
various options but recommended that the $343,895 deficit b
balanced by (1) use of the 1992-93 PERS surplus in the amoun
of $323,319 (this amount would have been normally deposite
into the retired employees medical reserve) , and the balanc
of $20,576 to be taken from the reserve for self-insure
losses.
Councilman Eck indicated he would like to see an overal
reduction in travel and meetings for staff and officials, an
indicated that the medical benefits for management, official
and other employees should be reviewed very carefully an
changes should be considered during the upcoming negotiatior
with the employee groups. City Manager Netter indicated the'
he has already had some previous thoughts on the matter ar
there may be a possibility of establishing a "two-tier" syste
for new employees hired after a certain date. These matte/
will be discussed further during the upcoming negotiatin
sessions beginning prior to the fiscal year 1993-94. Counc
also indicated that the City Manager should not authorize
Rohnert Park City Council/CDA Joint Adj. Minutes (3) September 22, 1992
- BUDGET WORK SESSION -
capital expenditures that are not absolutely necessary, and
in addition, projects should be pared down wherever possible.
A motion was made by Councilman Hollingsworth, seconded by
Councilmen Eck, to approve the City Manager's recommendation
in balancing the $343,895 deficit by the use of the PERS
surplus funds in the amount of $323,319 and the balance of
approximately $20,576 from the Reserve for Self-Insured
Losses, and carried unanimously.
3. Community Development Agency Budget 1992-93
Executive Director Netter and Finance Director Harrow reviewed
the budget which included the State impacts. This item was
outlined in the pink sheet of which a copy is attached to the
original set of these minutes. The sheet showed that in the
General Fund, due to the recent State "hit", the Community
Development Agency would have to pay $538,753 to the State.
Executive Director Netter indicated this "hit" most likely
will continue in future years and Agency Nbmbers might just as
well figure the Redevelopment Agencies will be a thing of
the past.
Executive Director Netter outlined the General Fund and the
Low to Nbderate Housing Fund accounts and informed the Agency
that the State "hit" of $538,753 is not allowed to be paid for
by the Low to Nbderate Housing funds. There is a provision in
the law that allows for a 50% loan of the new property tax
increments against the Low to Maderate Housing funds, but this
amounts to only approximately $137,000. It is staff ' s
recommendation to pay this half a million dollars plus from
the project accounts. Executive Director Netter then turned
to page 3 of the pink sheets which outlines the projects
either in progress or planned for implementation. These
projects included finalizing the Public Safety Main Building,
$1,000,000; Alicia Park lights, $60,000; the Public Safety
West Animal Shelter, $1,000,000; the Rohnert Park Expressway
Interim Project Overpass, $1 ,020,000 ; and the Commerce
Boulevard Bike Path, $161,000.
Executive Director Netter indicated that the Public Safety
Mein Building $1 million has already been spent and will be
used against the 10% retention. The Alicia Park lights
project has been completed for an expenditure of $60,000. The
three (3) projects that are on the drawing board that the
Agency may want to consider eliminating or reducing would be
the Public Safety Animal Shelter of $1 million, the Rohnert
Park Expressway Interim Project Overpass of $1,020,000, and
the Commerce Boulevard Bike Path of $161 ,000. Executive
Director Netter indicated that he was in support of all three
projects but, now that the State has this major "hit" this
year and will probably continue in future years, the two large
projects of the Animal Shelter and road project ,
unfortunately, will have to be considered. Mr. Netter further
indicated his support of both projects but, if a priority
Rohnert Park City Council/CDA Joint Adj. Minutes (4) September 22, 1992
- BUDGET WORK SESSION -
would have to be drawn, in his opinion, the Rohnert Par
Expressway Overpass project is paramount. This project ha:
been discussed for years and has been referenced in various
completed EIR's. Mr. Netter has been working with Director of
Public Works Brust for over a year now trying to find
solution that would assist traffic flows, but yet be a prograr
with minimum expenditure. Original on estimates on work to be
done on that project was as high as $4 million and,
now, a program has been set that would cost approximatell
$1.1 million. Mr. Netter indicated very strongly that this
project should not be the project sacrificed due to the
State "hit" . He indicated that the Agency may want tc
reconsider the Animal Shelter, not to eliminate it, but t<
defer this project until future funding is obtained. It
addition, the Agency may want to consider alternatives such a:
moving some portable facilities over to the site in order t<
address additional office space, dog runs and other anima:
facilities. Agency Member Hollingsworth suggested that somr
type of an interim proposal may work which would include Saa
portables that the City owns that are currently located at thf
High School site. Councilman Reilly inquired about Cal-Trap;
funding for the Expressway bridge widening and said he
attended a meeting whereby it was said that Cal-Trans ha<
surplus funds for projects. Director of Public Works Brusi
addressed Cal-Trans and State funding and responded to further
Council questions. Discussion continued.
There was further discussion in regards to the Animal Shelter
and it was the consensus of the Agency to hold off on arT
decision until after staff discusses the road project in mar
detail and other alternatives that may be possible for th(
Animal Shelter. It was the consensus of the Agency that
committee of Vice Mayor Hollingsworth and Councilman Eck br
established to work with staff and meet with the Friends of
the Animals (FAIRE) to discuss alternatives for the Anima:
Shelter. Executive Director Netter indicated that he woul<
attempt to call a meeting with the Council Committee an(
representatives of FAIRE prior to the October 27th, 1992 Cit.:
Council meeting.
4. Other items for discussion - None
Adjournment There being no further business , Mayor/Chairperson Spin
adjourned the meeting at approximately 6:30 p.m. to break for
dinner prior to the regularly scheduled City Council rreetinc
at 7:00 p.m.
De Cit Jerk/Se Mayor/Chairperson