Loading...
HomeMy WebLinkAbout2003-05-12 Transcription Page 1 May 12, 2003 Special Council Work Session 6:30 PM Council: Champion, Kanner, Lehman, O'Donnell, Pfab, Vanderhoef, Wilbum Staff: Atkins, Helling, Dilkes, O'Malley, Herting, Craig, Mansfield, Winkelhake, Karr TAPES: 03-41, SIDE TWO; 03-44, BOTH SIDES; 03-45, SIDE ONE BUDGET REDUCTION PLAN Lehman: Steve why don't you start out... Atkins: Okay. Lehman: ...and I think you did a good job of preamble. If you just want to go through what we're doing... Atkins: Summarize it for you. Sure. Lehman: ...why we have to do it, the timeframe that we have to do it in, this sort of thing. And then what I'd like to do is go through your recommendations and get a feel from Council as to which ones are acceptable without debate, which ones are going to get beat up and which ones are going to get eliminated. Atkins: I hear you. Lehman: Okay. Atkins: Okay. I don't recall the exact date, but on or around April 28, 29 the state legislature approved a budget bill which substantially eliminates...that is the law was repelled for what's called our consolidated payments. And that involves reimbursement for property....personal property tax, monies and credits. They also incorporated the bank franchise fees. Quite frankly what it's all from is almost irrelevant. The bottom line is it's about a million dollar shortfall that was created by that act of the legislature. It is on the Governor's desk. He has not signed the legislation yet. There are a few gyrations that are apparently underway that may have some impact on it. But I think anybody who saw the letter that he sent to you all - that "Dear Local Official." They don't have the money and I think there's every intention that the Governor will sign the legislation. What I'd like to do is just quickly go through the policy issue and that's what the first part of the memorandum - the narrative. It is a million dollar shortfall for the budget that you adopted in March of this year to take effect in July. There's another element that I think is This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 2 important that you have to consider and that's why I'm suggesting that we make this review with the understanding that both fiscal years '04 and the projected year '05 are being considered. We are at our maximum taxing authority. We just can't raise property taxes. And there's every indication from the state and from the Iowa League of Cities that the residential roll back will decline further from 51.3% to 47% in fiscal '05. That has the effect of about 9% of our residential value would go away with that move. We had little time - about 7 to 8 working days in order to assemble information in order for you to deal with this issue. It was rather intense with respect to the Departments and the short timeframe. We have listed for you a number of proposals. I believe there are 30 of them as well as about I think there's 17 options. More work is being done and I'll fill you in as we go on this issue. I think the most critical element besides the fact that we have to make up this shortfall is that what I'm proposing is that any reductions that are acceptable to Council be phased in over a period of 18 months. Simply spoken trying to incorporate the concept of managed attrition, that is we'll manage our way out of this circumstance hopefully by phasing reductions. We will not have to go through what I think some communities are going to experience and that is the knee-jerk layoff cutback. I'm not convinced of the wisdom of that. That doesn't eliminate that the reductions we have to make are permanent and that we really have no choice. I listed a number of principals and I'm looking for a balanced approach. That we would try to phase these reductions has an added benefit of minimizing our unemployment compensation. Remember for in effect every dollar that you would experience in layoff you're going to have to make a piece of that with unemployment compensation. We're trying to avoid that cost. With managed attrition - and I'll give you a few details in just a moment - we look at retirement patterns, turnover, a number of other factors associated with our employment changes. We can use our cash reserves over historically we have I believe wisely and that has a great deal to do with preserving our credit rating. We've been able to keep reserves that allow us quite frankly to deal with this type ora crisis particularly on short-term basis which I believe 18 months is. But one of the more notable issues and often thought of at times that when we were participating in federal programs, the employees were hired under those programs or in effect hired under soft money. We were never quite sure from year to year where we were going to be with those funds. The irony of all of this I think is this state clearly demonstrated to us that we are vulnerable and that we operate our local government with soft money. They simply can make the choice, stroke of the legislative pen, that state financial policies will be and we will live with the consequences of that. Departments would be given goals and direction would be established in order to fulfill the necessary reductions. I would note to you that county governments in This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 3 our case are substantial in the sense of the monies they provide to us. They also were reduced. What they choose to do I don't know. They could in effect do another Senior Center on us and reduce their contribution for the library and/or the Senior Center. That has not been factored in and we'll have to consider that. I do not propose any wage freezes or anything associated with that type of terminology. I believe it's unfair to single out a group of employees to satisfy something that the state government imposed upon us. For us to do it locally simply says to the state that there you can take care of your problems based upon the financial goals that they put forth for us. I did not change enterprise funds in the sense that this type of reduction does not directly affect that. The critical issues I think are summarized in this memorandum...in this overhead. And they are that we must assume that we have a permanent loss of state aid. The law has been repealed. It will not be coming back. That any changes we make, any adjustments that we have to make on our public services, they must be permanent or assume to be permanent. I cannot comprehend the state providing us more money in the future. We've done our best in their proposal to minimize the disruption of public services and try to balance our reductions. We've used several measures and methods to arrive at the list of proposals we gave you. For example I did a five year history of employment - where we've added employees, new hires over the last five years, trying to preserve some of those additions, trying to preserve some of the work, the accomplishments that went with those additional staff people. That was considered. An example is in our fire service in 2002 we added six fire fighters. We're proposing that it would have to be reduced by three plus one - the one we're running over. Bottom line is we would at least be able to preserve three of the new hires. In the Police over the last five years we've added 8. Again we would reduce by 5, again trying to preserve. We assessed, or we looked at our community initiatives. There's much debate over the issues associated with it, but the bottom line is our community approved a substantial increase in the library and if we're going to fulfill that commitment they have staff obligations. I've tried to assess some of the current commitments we have. And by commitments pointing out the fact that the airport while it's on the option list there is a business plan pending. Their subsidy has gone up dramatically. We're all aware of that. We dealt with that during the budget. I did not propose any changes in the first 30 recommendations, but I think, you know, we're sort of stuck waiting for this business plan to see what they're going to propose. Public power - substantially the same thing. We're out for a pending study. If the study is pending we should have it shortly to give us some idea of whether we're going to proceed with this issue. The deer kill - we started this three years ago. We're now doing it every other year. Is it a policy you need to rethink? Wherever practical - and I've had a call This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 4 from virtually every group that's supposed to get a fee increase and nobody likes it and says give it to the other guy, but we're trying to fullest extent practical to determine whether we could cover the cost of the service by fee increase. We did the turnover and retirement analysis. We looked at revenues from others - that is cable television revenues that we receive from subscribers who pay to Mediacom who pay to us, hotel/motel tax, the distribution formula and then of course the county where we do receive monies for the Senior Center and for the library. With that I'd like to move to the list of reductions for discussion. This information comes directly from your memorandum. Now before we start, it's not...excuse me...I want to jump ahead to item 18. Item 18 was a proposal to eliminate Saturday bus service. You will recall last year we changed from an enterprise fund and incorporated transit into the general fund. The goal was that instead of employee benefits being charged against our general levy - the $8.10 - by incorporating it into the general fund we would be able to charge those employee benefits against enterprise. It worked. We were notified Friday, confirmed today, that we will receive about an additional $100,000 in state and federal aid for the transit system. It has the effect of transit being financed by state, federal, fair box and transit levy. Preliminary projections indicate we will not have to put any $8.10 or general levy monies into the transit system. The bottom line is this is off the table. Now the problem is it pokes an $180,000 hole in our proposals. Are you with me? Kanner: What you're saying if we were to go with your proposal we would lose that $100,0007 Atkins: You would have...it would have an effect on it Steven and what you would be doing is reducing the transit levy, not the general levy because we can finance the transit system by the change we made last year - we've been able to project and with the additional money. Now the difficulty the feds or state next year may not give us the money and we may be back here discussing transit circumstances again. But for the time being I can't recommend a reduction when the $8.10 levy is what we're trying to take on and not the transit levy. So I'm suggesting that that come off the table, that it's not a proposal. Yes, Irvin? Pfab: So you're saying that even if we pass charge a fee for it, it really won't help. Atkins: No. Vanderhoefi So you're saying this is back into an enterprise fund? This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 5 Atkins: No. It is...you cannot reduce transit, unless you choose to reduce the transit levy. And the transit levy is not affected by the actions of the state in their reductions. Our $8.10 levy, transit you'll recall is a 95 cent levy specifically set aside for the purposes of financing public transportation. Now later on there's a 25 cent fair proposal for the shuttle. That's okay. In your options there's an elimination of the shuttle service. That would be off the table also because unless you choose to...if you choose to reduce those services for the purpose of tax reduction they have no direct effect on our 810 problem. You're all familiar with that many, many times. Vanderhoefi While you're talking about... Atkins: Yep. Vanderhoef: ...these things it crossed my mind this afternoon when I was going over there another time and I was looking specifically at the transportation dollars for road and so forth and road use tax. Atkins: Right. Road use tax is generally health. Vanderhoef: How much do we have to match on road use tax? Atkins: Nothing. Vanderhoef: So conceivably we could have a savings if we eliminated from capital improvement projects something that was being funded by road use tax and put it into another project where we were putting some general fund dollars or GO dollars. Atkins: Yes. For capital purposes the answer is yes. Road use tax is specified by the constitution on what it can be used for. Vanderhoef: Okay. Atkins: It cannot be used for public transit for example. It can be used for roads, right-of-way improvements things such as that. Vanderhoefi But if it's GO then... Atkins: Yeah. You can substitute it as long as it meets the road use tax definition. Vanderhoef: Right. Which still doesn't help our general fund. Atkins: No it doesn't help the general fund. Vanderhoef: But it lowers our tax asking. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 6 Atkins: That's correct. Lehman: Well I think tonight we're really worried about general fund. Champion: Right. Atkins: Tonight is your $8.10 levy is critical. And I'm telling you that to the best of my knowledge this moment with the additional state aid and federal aid that we would hopefully receive then this proposal - the Saturday elimination is off the table. Lehman: Transit is off the table. Alright. Let's go back to start over. O'Donnell: Good. Wilburn: So we haven't even done anything and we're already $180,000... Atkins: You haven't done anything and you're $180,000 in the hole. Lehman: Mathematics are perfect Ross. Wilburn: Well there you go. Vanderhoefi Well then that means SEATS is off the table too. Atkins: Not necessarily. Very limited because SEATS is paid for substantially by the transit levy that's correct. Vanderhoefi But if we offer service then we're mandated to provide the other. Atkins: Yes. That's correct. Vanderhoef: So basically... Atkins: It's practically off the table. O'Donnell: It is off the table. Pfab: There's one point... Vanderhoef: Sunday would be the only time. Pfab: ...I didn't get... Vanderhoefi Sunday service. Pfab: ...and Dee and you were discussing here. You talk about in number three budget reductions which is the PIN grants and you talked about fight-of-way improvements etc. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 7 Atkins: Right. Pfab: Is there...is that someplace where the funds coming from the state...road use tax is there a way to put any of that money to...? Atkins: Yes there is. And I'll go over that when we come to number three. Lehman: Let's start and go through these. And then we'll go back and discuss the ones that we have questions on. Atkins: Okay. Now I'm going to move, you know, fairly quickly. I think the important thing is that particularly those that if there's a lot of disagreement on...and remember what we don't approve we've got to find somewhere else. And we're already poked a hole in it. Lehman: Steve, before... Atkins: Sure. Lehman: At what point do we have to have found this 1.8 million dollars? Atkins: March of next year. But all it does is accumulate. My point is that you need to figure this out now. If we're going to phase this and stage it over a period of 18 months. I need to know right away. Lehman: But you would like to start the phasing prior to the first of July? Atkins: Let me give you a...yeah maybe...let me give you an example. In the original Saturday busing proposal we currently have in transit three vacancies - soon to be three vacancies. So run Saturday service is three people. So we would have been able if you choose to do so eliminate the Saturday service, eliminate the positions. Nobody get laid off. No unemployment expense. Now since transit if off the table I would be instructing Joe you may go ahead and recruit, hire, fill those positions because right now we're running that service in effect at more expensive time - call backs over time. That's managed attrition. As you know the people you want to quit don't. So there would be cimumstances where we would go ahead and plan to fill positions. And the transit cimumstance is really truly was coincidental that we had two quits and another one coming up very shortly. Yes, Steve? Karmer: And part of your plan might be that if there are these three openings perhaps there's people in other departments that have a license that could drive a bus... Atkins: That's correct Steve. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 8 Kanner: ...then you might encourage them to move into those three positions. Atkins: If you give me the heads up on these we will post those internally. And I believe that's our requirement for labor agreements anyway Steven. So the folks that might feel some jeopardy to their employment could be looking at these. It works in the same...that's the basic principle. You've got it. That's how we want to make this work. Okay. Ernie you know it's one of those things where you can take as long as you want. But it's just going to get more and more painful because we are going to be spending money we don't have. Lehman: Well no, no. Atkins: We spend down our reserves for a short period of time with the understanding that the bottom line our expenses are ultimately in 18 months going to be reduced by 1.8 million dollars because we have got to have a balanced budget. You have no choice in that matter. Lehman: But do we have to take some sort action prior to the first of July? Because the budget we certified obviously is not an accurate budget anymore. Atkins: Oh, yes it is. No, the budget you certified is certified. The state has not undone any of that. That's all done. Lehman: But the income side has got to be... Atkins: Well that's where they get to choose. Lehman: Oh, alright. Go ahead. We're just batting our gums. Let's move along. Champion: Yeah, let's go. Atkins: Well I like to think of batting your gums... Lehman: You've got more teeth than I do. Go ahead. Atkins: Anyway the first proposal was that we would eliminate an Associate Planner position. It will result in some delay in the Comprehensive Code Update. We had anticipated that this position would likely be vacated in the fiscal year '04 because of the circumstances surrounding doing the Code. It's simply fortuitous for us and let's take advantage of it. The second item is the neighborhood newsletters, printing, mailing. We have...it's not a large budget, but it's an instrument that the neighborhoods have used. Some of them are quite good about getting their newsletters themselves. They do their own fundraisers. We would be encouraging the web page use. Each neighborhood is This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 9 going to be a little different. This is an unfortunate one, but. Three - we have PIN grants. You're all familiar with those projects in neighborhoods. It came from the general fund. Many of the projects...or I should say some of the natures of the projects could likely be funded with a road use tax monies, street right-of-way, trails, bikeways, things of that nature. I would be proposing to you that if you do agree to eliminate the general fund contribution that we will go back and see if we can redesign that. It's a very popular program as you all know and see that it would be strictly street related. Four is our ICAD contribution. We pay $50,000 year as a contribution. It's been that way for at least 10 years. I want you to note that we've relied more and more on ICAD for our economic development policy. We've already had one position empty in the Planning Department that we did not fill. Transfer those responsibilities to our Community Development Coordinator. I don't think this is a major issue in the sense of our not getting our dollars worth from ICAD, but it is symbolic of the fact that we are pecking away at economic development policy in the wrong direction. Five, six, seven and eight were a group of proposals that the Library Director and I worked out together. They are other than the full-time position, they're not large numbers, but the importance is they create new bases. An example might be the library and materials budget which traditionally ran about $350,000 a year would be reduced to $335,000 and in the future that would become the new base for inflation adjusted. So we bring it down, keep it down and then it can grow later on. Nine is a little unusual and it's going to take some more work. A suggestion was made that the library commercial space, that is that additional space you'll recall was built in for future expansion - instead of the income from that space when it's fully leased that it be applied to the general fund and not to our debt service fund. We already have the debt in place. This is one of those issues that it just simple new income to general fund if you were to accept it. It shows zero in the first year simply because it's not ready. And as our best guess on '05. Steve? Kanner: So our debt payment does not include these lease payments, proposed lease payments and also do they not include the fundraising efforts by the foundation? Atkins: Fundraising effort would...yeah there's still a fundraising effort underway by the foundation to help pay down a portion of the library's debt. Kanner: But so far our payments do not... Atkins: Our payments are in the debt service. Kanner: ...do not include an assumption of getting those. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 10 Atkins: That's correct. We're working on how to do that about the time the legislature decided to do with it. Wilbum: Then we had to presume that it wouldn't be...at least that there would be no income, that you incur the debt and if we have the benefit of leasing it out. Atkins: You lost me. Try me again Ross. Wilburn: Didn't we presume that that debt is going to be them and if there's able to be fundraising and if we're able to lease it out then... Atkins: Yes. The library debt is fixed. We've sold the bonds. It's in place. It's in your debt service. It's being paid for. The library as a board stepped up and said we will be contributing also to it. This then was an addition. Wilburn: I remember that conversation. Atkins: Okay. Vanderhoef: Excuse me. Atkins: Yes. Vanderhoef: Can you go to number 7 and just clarify for me? Atkins: Yes. Vanderhoef: You say eliminate one FTE position. Atkins: Yes. Vanderhoef: Does that mean one of the two that were added in the present? Atkins: Yes. They will go down one position. Vanderhoefi So you're saying that library is still getting one new FTE? Atkins: Yes they would. Yes. Kanner: And technically these have to be approved by their board - the library board. Atkins: Yeah. I didn't and I apologize for that. Thank you Steve for pointing that out. I did not run these by boards. We just simply did not have the time to get this information assembled. I'm pretty sure Susan spoke with members of her Board when she was putting together her This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 11 proposals. And I don't believe they've officially taken action on the thing. They were just simply notified of what was going on. And the answer is yes I'm sure Susan will be reviewing her staff and making whatever decision she has to make, but ultimately has to be blessed by her board. Susan is nodding her head yes. Item 10 a program began in 2000 -that's the parking reimbursement. We all know Susan's consistent complaint that is not her consistent complaint, but the complaint that is consistent to Susan is about downtown parking. They had a program whereby they were providing an elimination of reimbursement. 11 - we would reduce the compliment of Police Officer personnel by 5. We currently have 74 uniformed officers. We have I believe 5 CSOs. What I had the Chief do and remember these are worse case scenarios that if through reductions in other positions they can accomplish the $250,000 projected reduction we will consider that. The same with additional revenues. We believe the immediate impact with the vacancies that we have and those that are pending are that the DARE program would be gone. We would not do that anymore. That much of our community relation activities would be eliminated. We have reduced patrol strength as well as investigative work. The Department is currently working on as are all of the departments that have full-time - that's Parks and Rec, Finance I've given them the option of trying to put together other possibilities to help, but it has to be a permanent reduction. Yes Dee. Vanderhoef: Okay. When you say the DARE program. It's only available right now in Regina. Atkins: That's right. It's gone. Vanderhoef: But when you talk about community relations you're talking also about officers going in for that Michigan program. Atkins: Yes, neighborhood watch, Michigan model, yeah R.J. is nodding. It has another name - the Michigan model is the term the school district uses now for their DARE training. Vanderhoef: So it's equivalent of the... Atkins: It's an equivalency. Yes. Thank you. Vanderhoef: Okay. So they both go away. Atkins: Yes. Vanderhoef: Okay. Atkins: Okay. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 12 O'Donnell: Steve you're talking reduced patrol strength and investigative work. Atkins: Yeah. O'Donnell: That's a concern of mine. Atkins: Okay and I don't doubt that it is. I mean... O'Donnell: And I'll note that. Atkins: In five years ago we were able to raise our compliment of officers. We're now...well we're losing ground in virtually all of our operating departments. Again just like on the next one where it says Parks and Recreation Terry the Department Director has a 2 FTE reduction he has to make or $80,000 - show me other options. We can bring those back to you. I mean I prefer being able to move fairly quickly on some of these things as they come along. But I've given the directors goals. If you can't get me this is the consequence. This is what you have to do is reduce personnel to this extent. It is...so you know there's 21 positions in the general fund that could eventually be eliminated. Vanderhoefi Steve? Atkins: Yes. Vanderhoefi On the police officers I just read recently that it appears that the COPS program is going to get reinstated in the new budget. Atkins: Yep. Vanderhoef: If we were to have reductions by attrition and the COPS program showed up again is that a possibility? Atkins: It is a possibility. Traditionally the feds don't like - they use the word supplant, offset what would normally be our expense with their money. We will have a hard time matching it. As I think many cities will have a hard time. Vanderhoef: It's 25/75 - is that what it is? Atkins: 25/75 yes R.J. is nodding yes it is. Kanner: That didn't include benefits. It was actually closer probably to 60/40. Atkins: 60/40. Yeah. That was the old program. If they've got a new program I've picked up smattering of information. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 13 Vanderhoefi I have too. Atkins: It will be difficult for us to participate in that because once you hire the folks you have an obligation to demonstrate to the Federal government that they receive a priority in your funding. Kanner: And this might not just sworn police officers, but other personnel possibly? Atkins: Yes. I've given R.J. the option of looking at other possibilities, but he knows full well that we have to go to the $250,000 goal in permanent reductions anddor it translates into five uniformed personnel. That would be the worst case scenario. Same for Terry...for Parks and Recreation - two full time equivalents. They're going through the process of trying to figure out where they might come from. Moving on reduce all Community Events and Aid to Agencies by 10%. We recently sent out letter just before the legislature did their thing. I'm proposing that we would send another letter out and if we agreed to pay $750 we would have to pay them $675. That's what that means. 14 - Public Works - same basic principle as Parks and Rec and the Police. 15 - same principle. 16- Housing Authority... Kanner: Steve? Atkins: Yes. Kanncr: So you're saying for like Aid to Agencies (can't hear) 10% this year and then after that total we do another 10%. Atkins: That creates a new base, pulls it down again. That's correct. Kanner: Almost 20%. Atkins: It's almost 20% over 2 years. That's right Steve. 16 is the Housing Authority is going to be charged for housing...this is a...the £ederal government requires housing inspections. They're called Housing Quality Standards. We are going to be billing for part of the clerical time to the feds which is our Housing Authority which is as you know 99% federally funded. Item number 17 is Housing Inspection. There are two options shown here. I show in our total the first option recalling about two years ago or only a year ago we increased fees 20 plus percent. If we were to increase them by 42% or an additional $93,000 a year the Housing Inspection Division would be fully self- supporting. There is an option on the table for the additional inspector which you've talked about. That would require 66% increase. I've only shown the $90,000 for budget balancing purposes. 18 we skip. 19 is pretty straight forward. Yes? This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 14 Lehman: Just a minute. If$145,000 represents two-thirds of the inspection budget is that what I'm reading here? Champion: The increase. Atkins: Increase it - an increase of 60% in the fee itself Emie. We wouldn't... Lehman: Oh never mind. Atkins: ...to fully fund it and hire a new person we... Lehman: Apparently we're not coming close to covering our costs. Atkins: No. It's been...no the Housing program is about 70/30 - 70/30 fees. Now building inspection has always paid its way. Lehman: Alright. Atkins: Yes Sir. Pfab: How much if we fully funded that what would be a cost for a rental unit? Atkins: W~aat number is that again I'm on? Excuse me. Kanner: 17. Lehman: 17. Pfab: It looks like you'd have $145,000 divided by 1200... 12,000... 1200 whatever. Atkins: The current fee schedule is $78 per structure. The proposed fee schedule would take it to $110. Pfab: That is including... Atkins: That's option 1. Pfab: Okay. Atkins: Option 2... Pfab: Which is the $145,000. Atkins: ...is the bigger one. Pfab: Okay. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 15 Lehman: That's per structure. Pfab: Right. Kanner: Are you talking about the building or... Atkins: Structure, the building itself. Yeah. Kanner: So are we talking about rental inspections? Atkins: Yeah. Lehman: That fee is the same for a duplex as it is for an apartment building of 24 units? Atkins: Now we can move single families and duplexes from three year to two year cycles. We can do a number of things. Lehman: But the building inspection fee is the same regardless of the size of the building? Atkins: Building inspection...you mean housing inspection. O'Donnell: Duplex versus 24-plex. Lehman: You just said the building fee. Atkins: I'm sorry. I meant to say the current housing inspection fee. Lehman: Right, but that... Atkins: ...is $78... Lehman: ...you said per building. Atkins: Okay. for Housing Inspection Division to be fully funded by the revenue for staffing level to remain the same the division would need to increase its fees by 41% - $93,000 current fee, schedule for housing $78 per structure, 11.50 per unit or $2.75 per bedroom. Lehman: But there is a per structure fee and apparently that's the same whether it's a duplex or it's a 16-plex. Champion: (Can't hear). Lehman: No, I know that. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 16 Atkins: Current - I mean I can get this in a lot more detail - current fees assessed for the typical 12-plex structure with four bedrooms is $348 every two years. Pfab: And it would be 66% increase. It would go from where to what? O'Donnell: From $93 to $145. P fab: No. Champion: That's how much money we would make. O'Donnell: That's what the 66% is. Atkins: We can go to option 2. Lehman: $572 from $360 Irvin. Atkins: We can go to option 2 also by rescheduling and putting all single family and duplex schedules on a two year inspection cycle which we could do with the additional inspector. So you create more money by going to two years rather than three years. How about I put this together in a little more detail. Lehman: Yes. Vanderhoef: I think so. Thank you. Pfab: But I guess the question is is there an interest in having the Housing Inspection Division be something full funded. Lehman: Self supported? Atkins: Yeah I think that's a question you need to ask yourself once we get through all these because that is the bottom line question Irvin is will it pay for itself. Okay - 25 cent fare on the downtown shuttle. It generates about $30,000 a year. All of our training and education policies will be redone. This effects virtually all operations - everybody. That training and education we will be encouraging participation in programs where they are called train the trainer. Which is we can have our folks trained, bring them back. Review all out-of-state travel with respect to training and education. We will be discouraging city participation in leadership roles in professional associations by our employees. We feel $75,000 is conservative. We could probably do better. 22 - building inspection fees... Kaimer: What's the current figure on that? This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 17 Atkins: Our total travel and training budget Steve? Kanner: Yeah. Atkins: I don't know. Helling: It's approaching $500,000. Atkins: Is it? Helling: Total. Yeah. Atklns: For all funds? Helling: Right for everything. Atkins: Okay. Champion: Does that include like policeman and fireman? Atkins: Everybody. Lehman: Everybody. Atkins: Everybody. Kanner: And City Council. Atkins: Yes. Helling: Yes I think about 75 - 80 percent of that would be general funded. Atkins: We can get you a specific number on that. Increase building inspection fees by $70,000. As I said that's a division that has traditionally funded itself or been a money maker because our billing activity has been as good as it is. Champion: Steve can you just tell me what the difference between Housing Inspector and a Building Inspector? Atkins: Yes. Building Inspector is construction related. Champion: Oh. So when I build my porch and they come out. Atkins: You get a building inspector. If you have a rental housing unit it's a different code. Many cities have building codes Connie and do not have housing codes. That's...I mean it's fairly common now, but they are very distinct with respect to their responsibilities. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 18 Kanner: And you're saying we're bringing in more than 100% of the cost? Atkins: Yes. Kanner: Could you give us eventually those figures to? Atkins: Sure. Hang on a second Steve I'll get that for you. What number is that? Kanner: 22. Atkins: 22. Champion: Is that included when you get the building permit then? Lehman: Right. Atkins: Yep Champion: Okay. Atkins: That will give you some idea. With the new rates we are still very comfortable with respect to all of the other communities. Ours are not extraordinary rates. Kanner: Where's our current? Lehman: Next to the bottom line up there. Kanner: Oh. Hold that up. Iowa City's current is 860 for all... Atkins: Current for $150,000 house is $1160. We propose to go to $1360. I'll give you this chart. Vanderhoefi Okay. O'Dormell: Steve 21 just a quick question. Does this travel does that include Council travel? Atkins: I'm making the assumption. You'll decide on how you want to do that, but I'm assuming that you will make similar reductions that everybody else will. Champion: If we charged 25 cents for the shuttle, can that go into the general fund. Atkins: Yes. Champion: Okay. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 19 Atkins: We're not sure on that number. We've also noticed...it's getting close to the point where we're not even sure we need to run the north route anymore. We just simply don't get hardly any traffic. The south route is packed all the time. Vanderhoefi So that could eliminate one bus when we... Atkins: I'm not sure exactly how it would work. I just asked Joe to try to figure that out for me - that there might be some way he can do that. Vanderhoefi Because at least at peak time didn't we add a second one going south? Atkins: Yeah we had to. They were stuffed in there yeah. It's a popular service. Vanderhoef: And we are stopping it for the summer again? Atkins: Yes. We've stopped for the summer. Yeah routinely we do that. Okay where was I? Okay Saturday night concerts I'm going to ask that that get pulled off as well. They have entered into a contract for Saturday night concerts and they would have to pay a penalty. We can drop it for fiscal year '05. I think we have...I just believe we have an obligation that they in good faith went out and entered into those agreements. Champion: Just the Saturday night concerts. Atkins: Yes. The Friday night is still go. This is the Saturday night concerts. Lehman: And it comes off in '04. Champion: It starts in '05. Atkins: No it would have come off...we had it budgeted for '04 at $8,000. I'm saying leave it in. Lehman: For '04. Atkins: Take it off in '05. Lehman: Right so it comes off '04. Kanner: When we budget $8,000 for '04 does that figuring that's the whole summer? How do we have '03 figured in because we split the series. Atkins: Well there's two distinct programs Steve. There's a Friday night concert series and then there's a Saturday night. Saturday night is I think it's $8600. I see Kevin is nodding his head. I remembered that This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 20 number. $8600 and it is intended for the Just Jazz Saturday night only. It does not have an effect on Friday. Kanner: No, no but I'm talking about our budget year goes right in the middle of the summer. Atkins: Oh. Kanner: And so when we say $8,000 in '04 are we planning that covers the whole year starting in June? Starting a month earlier when the series starts. Atkins: The '04 expense of $8,000 we permit them as we historically have done to commit it prior to the beginning of the budget. July lSt...July 1st the budget officially begins. And we permit them to go ahead. We will in effect cover that because we've routinely done the thing. It's always a couple months behind. Kanner: So our '04 budget is covering their '03 their whole season. Atkins: Yes. You've got it. Okay. 24 - we have a Parkland Acquisition Fund $320,000. I'm proposing it be reduced to $50,000. These funds then would become a general fund revenue in '04, '05 and '06 in the amount of $100,000, $100,000 and $70,000 respectively. This eliminates the certain capital project contributions and it means financing the Master Plan proposed for Parks and Recreation. Yes Sir? Pfab: That brings up something. Was there a change enacted into law with the Governor's signature that changed some gifts to certain organizations from tax deductible? Atkins: I'm not aware of it Irvin. I mean... Pfab: There's something going on. Atkins: If you think of it more specifically. I don't recall anything like that. Pfab: It either takes away the tax benefit to the giver or I don't know. Lehman: Steve? Go ahead. Pfab: No. Atkins: If you think of it we can certainly run it up for you. Lehman: Item 24 is not a permanent sort of thing. This only gives us $100,000 each of the next two years and $70,000 the third year. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 21 Atkins: That's right. Lehman: I mean this is sort of a stopgap until you can find something else. I mean really is that not correct? Atkins: Yeah it is. Lehman: Okay. Atkins: And you'll see that in a couple of the others that aren't the same flow of income. Now in one of our options we do repay the Parkland Acquisition Fund for some internal borrowing and that monies would continue to accumulate bringing it back up. Item 25... Kanner: Wait and what was the cost of the Parks and Rcc Master Plan? Atkins: 60...$60,000. Kanner: So you're saying this would eliminate... (End of Tape 03-41, Beginning of Tape 03-44) Atkins: ...the state legislature authorizes the increase. They've given us...they took the $5 cap off. There were staff discussions about raising parking tickets to $10. Champion: I don't think so. Atkins: I didn't think so either. And so we thought $5 would be a good proposal for you. There are some other changes in the laws about our escalating clauses we have to change our ordinances on that. Many of these will require you to make some changes. Yes Sir? Pfab: When was the last time our parking fees were adjusted...parking fines? Atkins: Well they've been...oh I can't remember. Pfab: Maybe a rather substantial thing may be in order. Atkins: Well there was... Pfab: To catch up with inflation Atkins: There was one group of thought when we were discussing this as a Staff that why do you care what a parking fine is as long as you pay the meter... This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 22 P fab: Right. Atkins: ...you're not exposed to it. Pfab: Because the meter funds would increase. Atkins: Well... Champion: But there's more to it than that. Atkins: And there was more to it than that and that group didn't prevail in the discussion. Connie wasn't there. Champion: This isn't Chicago. Vanderhoef: It also though encourages people to use the ramps. Atkins: Ramps. Yes it does. Lehman: Or other communities. O'Donnell: That's a good point. Champion: Well, you know, it's not easy to get into ramps about 11:00 in the morning. Both ramps are really full. Atkins: Item 26 the hotel/motel tax contribution we are proposing that it be reduced from 25% to approximately 20% or $37,000. Item 27 - we funded the public power study - the one we currently have underway from fiscal year '03 monies. We had $50,000 in for any future studies or any follow up particularly such as litigation if you chose to consider this proposal any further. Item 28... Vanderhoef: Excuse me. Atkins: Yes. Vanderhoef: Would... since we had in the '03 budget the $50,000. Atkins: No we did not have anything in '03. Lehman: We didn't have anything. Atkins: Zero in '03. We had to go to contingency because that contract. Remember that? Vanderhoefi That's right. Okay. So if we hold it at the $18,000 then we have $32,000 plus? This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 23 Lehman: No. Atkins: No, you have $50,000 budgeted in '04. Lehman: We budgeted it. Vanderhoef: Additional? Atkins: Yes. Lehman: Right. Vanderhoefi Above the $18,000. Atkins: Because remember the budget was happening about the same time the study was happening. Vanderhoef: But I thought the $18,000 came out of the $50,000 that we budgeted. Lehman: No. Champion: No. Atkins: No it did not. Indirectly you can say it did. But we...there was $50,000 inthe budget. That's what was there. Kanner: Just a follow-up on what Dee was saying. So in fiscal year '03 and '04 there was $68,000 essentially in the budget? Atkins: Essentially yes from the contingency plus the appropriation. That's fight. Kanner: There was no plan to pay back that $18,000? Atkins: No, I did not put that in. Cable revenues paid to the general fund during the course of the budget year we are going to budget...current budget review for the '04 we proposed a small amount of money coming from there. I proposing that the increased from $30,000 to $100,000. O'Donnell: Steve what's the total budget there? Atkins: $600,000. 29 - reduce fire staff from 59 to 55. The Department is currently one over staff. We have an authorized strength of 58. In '02 we hired six new firefighters in anticipation of the 9 we were going to have for the fourth station. The station is now on indefinite hold. And we would propose a reduction of the one over staff plus three or four This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 24 personnel. Again with the same principle we're still trying to stay a little bit ahead. We had been at 52. This would put us at 55. Champion: This is...have we purchased the land for the fire...? Atkins: No we have not. I've asked Andy to continue pursuing that. I believe at the very least we should purchase the land in anticipation it may not be this Council, but somebody will need to deal with that. And we are doing sketches on...for it. And 30 is we're going to get great bids and it's going to not snow for awhile and assorted other things and we're going to save some more money. Champion: No flooding. Atkins: No flooding. Champion: No wind storms. Atkins: Nope. Not going to happen. Not going to happen. Kanner: On cable revenue what are their reserves looking like. How much are they putting away? Atkins: Kevin would you...can you look that up for me? Kevin is looking it up. Okay that's the 30...the meat and potatoes of it. Lehman: Well why don't we go back and go through these and one by one decide which ones are going to be acceptable and which ones we need to discuss. I mean we've all read these and now we've gone through them one more time. Let's start out with the first one. O'Donnell: What a good idea. Lehman: Well yeah we haven't done anything yet. O'Donnell: You're right. Lehman: The Associate Planner is the first one. Pfab: If you start out with one is that somebody that has to be laid off?. Atkins: No. Champion: No. Atkins: No we're not anticipating that. Pfab: (Can't hear). · ° n This represents only a reasonably accurate transcnptio of the Iowa City City Council meeting of May 12, 2003. Page 25 Lehman: Irvin I think the whole concept of this entire plan is not laying anybody off. Atkins: Can I summarize this for you if I could please? Lehman: Yes. Atkins: What we're doing is different than I think all the other cities are doing. We're making the assumption that because of our financial strength we're going to manage our way out of this. We're not going to rush. That doesn't mean that you don't have to make the difficult decisions. But with a little luck and some forethought we can accomplish the reductions that have to made. But it does require a little luck and it does require you giving me and the department directors certain discretion with respect to for example filling vacancies. Okay. I mean for example we anticipate 25 retirees in the next...or will be eligible. We can't make them retire. But clearly that got factored in. Our turnover rate - our turnover rate has declined. Three years ago it was in the 7 - 8 percent. That's changes employment. As the economy got worse, turnover dropped. We're in the 5 - 5 ½ now. But that still means that during the course of the year in our general fund about 30 positions become vacant - positions. Some of them will have to be filled. Yes Sir. Karmer: In regards to number 1. You're talking about the Comprehensive Plan review where at first we went to an outside... Atkins: Yes. Kanner: ...independent contractor and we decided to do this in-house. Atkins: Yes. Kanner: Will this also affect our work on the Comprehensive Plan - the different sections, the districts? Atkins: It should not. We're making a deliberate effort not to do that. Now if the review process for the Code begins to take on extraordinary amounts of time and you request additional reports and such information we may have to assign some time. But our hope is not to affect our district planning process. That's our desire. Lehman: Number one really is the retirement of the extra person that we've hired to do... Atkins: In effect. Lehman: ...the Code. So it really does not reflect a reduction in Planning. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 26 Vanderhoef: Well we still have the one that we rolled together. Lehman: I mean really... Atkins: Yeah okay Emie. I understand your point. Lehman: ...this is person we hired for a job. The job is going to be done. They're going to be gone anyway. Atkins: I can accept that. I can accept that. Yes Sir? Pfab: Is there any way - and I'm not discussing this one here - but is there a way for this department to generate funds either in general fund or to themselves. Atkins: Yes. And when we want to do the options we talk about that. We can generate income in there by planned developed fees and things like that. Lehman: Are we all in concurrence on number one? Champion: Yes. Lehman: Which all it does is mean when the job is done the person who did the job will no longer be required. Alright. Number 2. O'Donnell: Fine. Kaimer: I think I mostly agree with eliminating this, but I just wanted to clarify. We got a memo about where the process is... Atkins: Yep just recently. Lehman: Right. Kanner: ...maybe two or three sections where at P&Z a few were at draft, a few were getting ready to be sent to Council. Are we saying that we're going to finish those out - all those? Atkins: Yes. Kanner: Or are we going to stop right where it's at? Atkins: No, we're not going to stop date it. We're going to finish that out for you. Lehman: We may drag it out. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 27 Atkins: And then when you have it Steven if you ask a thousand questions and we have to do...not you in particular, but you know. Vanderhoef: We've got some that haven't even been started on. Atkins: Yeah. We'll get it finished. We will get it finished. Kanner: So it is going to finish then. Okay. Lehman: The only thing it may take a little longer is what I read here. Alright number 1 are we in concurrence? Okay. Number 2. Champion: Well I have a little bit of problems with this because not everybody has a computer and some of our neighborhoods that have actually quite active neighborhood newsletters a lot of those people don't have computers at home. ! think they ought to be allowed. I mean I can see reducing the amount of money like cutting it in half so at least they can send out two correspondences a year. It is...I think it's important that neighborhoods communicate. We've worked a long time - I don't mean me - I mean the City has worked a long time to build these neighborhoods and to build these associations and they've become very effective as a group. They've become very effective. And I think it would undermine them to eliminate all the neighborhood newsletters. So I think we should fund part ofit. Pfab: I'm going to even go a little step farther - not that I don't agree with you Connie because I think there are some ways that (can't hear). Let's suppose we don't touch this money. And I would say (can't hear). Champion: I'm willing to touch it. Pfab: Okay. Champion: But I'm not willing to eliminate it. Pfab: Okay what. 30%, 40% Connie? Champion: Cut it in half. I would say in half to $8,000. Atkins: Can I say? If you can't come to some reasonably quite conclusion you might want to move on. You can come back. Vanderhoef: Well let's put that as a possibility because when we get to the options that's where were going to be able to make some other cuts some other place. Atkins: You may be able to make some tradeoffs. Yeah. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 28 O'Donnell: You could do that or either try to make a decision. Lehman: Well I don't have a problem...I mean I think neighborhoods obviously the more they talk to each other the more they're going to get done and I'm not so sure that we couldn't expect people in the neighborhoods to be visiting with each other and eliminate the newsletter. I don't have that much of a problem with it. Atkins: A newsletter is an important element to communicate and I don't mean to make light of it, but one of the early ideas when we developed this policy 12, 13 years ago was that my goodness if you're exchanging recipes and babysitter lists you're at least getting to know each other and you know who's in your neighborhood. And just that kind of communication is really... Champion: And they communicate their neighborhood (can't hear). Atkins: Yes and some of our neighborhoods are very, very good about that. Champion: And you know like the Longfellow neighborhood is very active and they do their garden spring thing. I mean they sent that money to another neighborhood who didn't have the economic...I mean I think it's...I don't think it should be totally eliminated. Atkins: I don't sense consensus on that one Ernie. Lehman: I don't either. Atkins: Okay. Three? Lehman: I have no problem with number three. Wilbum: Which is you're suggesting really is by going to road use tax it's going to narrow the type of use. Atkins: Very narrow focus on what you can do. Yeah and that means it will eliminate some neighborhoods. Kanner: Actually...three I think is more important than number 2 because this is the real empowerment thing for the neighborhoods. In fact I think ultimately we need to think about how we can increase it and let the neighborhoods make some decisions. This they have just a few dollars and they're doing some good things like Longfellow with the free sidewalk or the help for the sidewalk repair for low-income. But... Champion: Let's just put a big question mark by those. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 29 Pfab: I would be willing to back offof my objection to the (can't hear) to protect number 3. Atkins: I don't sense consensus on that either. Wilbum: Three would also be one that I would be... O'Donnell: It's too bad the two can't be combined. Atkins: Okay. Let's move to 4 then so we can go back. Can you do 4? Champion: Four I have no problem with. Wilburn: Okay that's fine. O'Donnell: Fine. Pfab: I guess maybe I'd ask that is that adequate or is there more flexibility there or after $5,000 reduction does it...you start seeing blood running. Lehman: Well according to a letter we got today from ICAD our funding at $50,000 is an 80 cent per capita investment. The other six communities are funding at $1.25 a piece which we're at 3A of what they are. Pfab: But is this the case where we're also providing other goods in kind? Atkins: No. Lehman: No. Atkins: No we don't other than Ernie and I serve on the Board Irvin, but that's just by virtue of our positions. Champion: But, we also have the most people. O'Donnell: We're also the largest contributor. Pfab: I have no objection with this then. Champion: Right. Atkins: Well the little green star means you approved it. Vanderhoefi Per capita may be a better way to look at it. O'DoImell: I don't think so. Atkins: Five? This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 30 Champion: Well I have problems with 5, 6, 7 and 8 when we have this huge, wonderful, new library. But since Susan has come up with these as possibilities I'll go along with it. Atkins: I'll speak for Susan and the other directors. They all knew they had to pitch in. Champion: I know. Atkins: Okay. Lehman: But none of them really like it. Atkins: Nobody likes this. Yeah. Kanner: And I think with the library you have such heavy usage of people going there that if there was a newsletter they can pick up newsletters there and communication there. So I'm not as careful about losing that. Lehman: Are we okay with 5, 6, 7 and 8? Kanner: Well I do have a question... Vanderhoefi Well I do have a question too. Kanner: ...about first of all the fines. What are the fines proposed. Champion: I can tell you they're really cheap - the current ones. Kanner: No, well what are - the new proposal? Atkins: We don't have the proposals yet Steven. What we tried to do was just simply say we will increase the base by some number to generate $15,000 in income. It may be 13, it may be 16. Susan you're nodding your head there. We just don't know exactly. Susan Craig: Just about a little more than 10% of what we bring in right now. Atkins: Okay it's a little mom than 10% of what we bring in - the $15,000. So if we bring in about a $150,000 a year this is a 10% increase. Lehman: Which is pretty minor. Pfab: That's fine. Champion: Can you explain what are the fees? It says library fines and fees - what are the fees? This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 31 Atkins: I assume we have certain charges for certain materials that we check. out and they have to pay a fee for it. Pfab: Cards. Craig: Copy machine. Atkins: Copy machines. I'll answer it. Copy machines says Susan. Lehman: Alright. Are we okay on those? Pfab: That's fine. Karmer: Wait so you're saying all those 5...the library materials budget is... Atkins: Five and six are expense reductions. 7 is an expense reduction. 8 is a new revenue. Kanner: What is 6 percentage reduction? Atkins: $350,000 is approximately the library materials budget. You're going to reduce it by $15,000. Lehman: Not much. Atkins: So you're talking about 4 ½%. Fair enough Susan? Okay. Kanner: This traditionally goes up every year so the proposal is it will go up in the next year? Atkins: It will be 350. We'll back it off to 335 and then we'll begin to grow again. It's a new base that's being created. Vanderhoef: It grows with... Pfab: I would take the... Atkins: We have not substantially expanded that lump sum amount of money for library materials over the last number of years. It's always been in the $300,000 to $350,000 range. Correct? Craig: It's had steady growth. Atkins: It's steady growth. Kanner: Well one of the reasons I assume we held back perhaps a little is we didn't have the space to greatly increase the library. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 32 Atkins: Now we have lots more space. You can buy lots more books I suspect. The timing is lousy. Vanderhoef: But this is basically going to CPI type increase? Atkins: Yes. Consumer Price Index. It's grown over the years generally associated with a cost of particular materials. I assume CPI affects the cost of a book just like it does a gallon of gas. Champion: But also the library on their little pledge card has a place for materials or endowment fund or...isn't that right there's option? I mean I think they probably get other monies. Vanderhoefi Well I'm going to mention hem also in a time like this and when we're still looking for $180,000 and we're not real sure we're going to take the complete cuts on some of those first ones already. To add a new employee at this point in time I'm not interested in doing that. Champion: I think you have to. Vanderhoef: I've been thinking we had... Champion: (Can't hear) that library. Vanderhoefi ...we've been having to do that for quite some time in Parks and Recreation. We've been needing it in Public Works and other places. And to add one in this point in time I just don't see how we can afford. Wilbum: Well those others we also didn't have a referendum where an overwhelming number of folks said this is something that we want. So...I see these five or these four as a toss up to offset adding that one staff person. Lehman: Well and there's also another one. You know number 10 really goes into this as well. You're looking at $100,000 if you take 5, 6, 7, 8 and number 10. $100,000 it's a pretty good hit. That really is a pretty good hit. I mean that's not a fatal blow, but it's damaging. Atkins: All of them are damaging. Kanner: Does the elimination of the one full-time position effect the hours possibly. Is that off the table? Atkins: No, that was not on the table. We were going to do our best to maintain the current hours to the fullest extent we can. Lehman: I have heard other communities already around I don't know exactly which ones have already mentioned curtailing library hours. So I This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 33 mean if we're able and maintain...gosh it would be kind of a shame to build an 18 million dollar library and then have it closed. Wilbum: Yeah. Pfab: I think our next item should be 11. Move on. I think what's there is fine. I'm just putting that... Atkins: Have you agreed to 5, 6, 7 and 8? Wilbum: Yes. Atkins: Is that correct Ernie? Lehman: I think that's correct. Atkins: Nine? O'Donnell: Has everybody agreed to 5, 6, 7 and 8? Atkins: No I don't think everybody has. Lehman: Consensus. Vanderhoef: ! think there's consensus. Atkins: There' s consensus. O'Donnell: I was hearing a couple...okay. Atkins: More than four. Lehman: Well I think there's more than four. Champion: Yeah we don't operate by consensus. We operate by yes and no. O'Donnell: Yeah. Fine. Lehman: Well how many...5, 6, 7, and 8 1 believe we have one objector. Atkins: Okay. O'Donnell: It's hard to hear a nine. Lehman: And I don't disagree with her objection except under the circumstances ! don't think that we have any choice. O'Donnell: I agree. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 34 Atkins: Okay. Lehman: Alright. Is 9 okay? Atkins: Now that's not going to be an immediate impact. Lehman: No, I realize that, but it's... Atkins: But it requires the preparation of an agreement between the City Council and the library board. Pfab: I think that's an interesting and valid change. Lehman: Alright. Do we agree on 9? O'Donnell: Yes. Vanderhoef: I agree and if at any time we get so flush that we can pay off our debt sooner we can do it. Lehman: Do it right. Number 10 which is basically park and shop. O'Donnell: Fine. Atkins: Yeah it is. Lehman: Are we in agreement on that? Pfab: Yes. Lehman: Okay. Number 11. Champion: Well I'm not going to fight about it. Lehman: Thank you. We're in agreement. Champion: No. If we can find another revenue to cover that. Like I think (can't hear) why don't we keep our meters on until 8:00? Lehman: Well that's a whole number issue. Champion: Well I know, but I'm thinking of another way to finance this. Vanderhoef: Then we have to finance someone to... Lehman: Meter maids and all that sort of thing. Vanderhoef: ...finance... This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 35 Champion: Well I think probably they (can't hear) parking tickets. Atkins: There are so many small ones in here. I mean quite frankly folks that's what we're down too. Champion: It's the small ones I worry about. Atkins: And they're the irritants...that's what we got down to. Vanderhoef: The small ones are the ones that we've tried to save for quite a long time because they're the things that most popular with the public. Champion: The public. Vanderhoef: And it's tough. O'Donnell: Okay. Lehman: We're on number 11. Atkins: Number 11. Lehman: Steve I believe that when we visited earlier we've added 12 officers in 10 years is that correct? Atkins: We've added in the last five years...ifI could just stick with five years because that was... Lehman: Alright. Atkins: We added 8 officers. Lehman: I personally will go along with the recommendation. But my feeling is that you would not have made this recommendation if there was nay question whatsoever in our ability to provide emergency service and take care of the needs of the community. Atkins: Emie in an emergency we're top cabin. Lehman: No, I'm saying we're not compromising public safety. Atkins: No, we're not compromising. But I'm telling you that the overwhelming majority of the calls are we stack up party complaints and somebody is not going to get responded to as quickly as they...when they pick up the phone I want you them and I want the noise to stop. It doesn't...it won't happen that way. I think the other thing is that R.J. is going to have to work on, and he's already started on certain policies for investigation. For example we virtually do This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 36 anybody who's got a bad check we'll check it out. We may have to draw a limit and say unless it's a dollar figure above...we just can't...those are the kind of things that we're working on. I've also R.J. as a director and the other directors is that he knows what that goal is of $250,000. Now if we can get there by some other means, but I have got to have so you understand the consequences. This is sort of the worst case scenario is five uniformed officers. But we have CSOs, we have dispatchers. We have other positions. Unfortunately...you know we just signed a contract with University Heights for some additional income. We were hoping to do some more dispatch work. We don't think we can now. We'll have to look at that. Yeah? Pfab: Okay. We in five years we went...we added 8 officers from what to what? Atkins: Well we're at 74 now Irvin so minus 8 - 66 then. Pfab: And I have a follow-up question on that one. Okay 66 to 74. Atkins: In the early '90's we did hire another six under the COPS program. Lehman: Right. Pfab: Okay now what was our...the total budget increase in those five years? Atkins: Oh I don't know Irvin. I'd have to calculate that. Pfab: No, no in the sense that this is...we don't like this, but in the scheme of things it's probably like you said this may be a worst case scenario. Atkins: We budget very, very tightly. If you want to look at $250,000 is of the operating budget of the Police Department it's about 3%. Pfab: Okay so 3%. Atkins: Now that doesn't seem like a lot, but folks that's a bunch when you have so many fixed costs that you have to deal with. Pfab: Of course we're going to get Homeland Security is going to... Atkins: Sure we are. That's right Irvin. Lehman: That's not permanent either. Atkins: Pigs will fly too some day. Pfab: If we could just find it. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 37 Lehman: What's our pleasure on 11 ? Champion: Fine. Vanderhoef: Fine. Wilbum: I'd say yeah. We're not the only community in the state and well the country that's looking at reductions in police and fire and you saw that on the news in the last couple of weeks. O'Dounell: I have a problem reducing this, but I'm not going to win this one Emie. Lehman: I've got a problem with it too. I'm just willing to accept it because I don't think we're going to compromise any public health and safety doing it. It may be less convenient. We may be writing more tickets on the first trip instead of warning to parties. O'Donnell: I'm not sure that's right. I don't know if we are going to compromise. Lehman: Well I don't... Atkins: I can't make you promises folks. I mean other than we've had some healthy growth in the department that was laid out over a number of years. And we're going back. But remember, please remember, courtesy of the state legislature we wouldn't be here if it wasn't for that. Champion: I mean if we okay this and problems arise I'm sure the Chief and the City Manager will let us know that we have to find another place to cut because this is not working. Atkins: Yes. We're already working...you know we had a short period of time to prepare it. We are working on other options. I mean one of the things we're thinking about is citing under local ordinances opposed to state where monies that would normally go to the state and to the courts would come back to us. What that dollar figure is I don't know. But that was one of R.J.'s ideas and he's working on it. Champion: Maybe we can take some away from the state. Atkins: Well we'll go for that. Lehman: Okay. Number 12. Atkins: Similar circumstances. When I did my five year analysis I was a little surprised because I know the Parks and Recreation has had needs in parks. But over the last five years we've added 3.9 positions. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 38 Vanderhoefi In Parks? Atkins: In Parks and Recreation. At Recreation we had a clerk/typist. We had a maintenance worker at half time at Scanlon. We had a new maintenance worker for Parks. Then we had what works out to be almost a full-time custodian which unfortunately...unfortunately is part of the Parks and Recreation operation. Vanderhoefi So we've gotten a half time on the maintenance out there on the front lines where people see what's happening. Atkins: And one Rec person yeah. Pfab: I think also there is some good news if you have to get Kevin Blevins's report of the way they were able to handle on-line... Atkins: Kevin...oh Kent Blevins. Oh yes you all sawthat. Pfab: I mean in other words using technology to help to do this. And I thought that was a very interesting thing and I was glad he took it upon himself to alert the public to it. O'Donnell: I'm okay with this Emie. Atkins: If it's any consultation Irvin I asked him to do that. So it didn't take it upon himselfi Okay. Kanner: Steve will this reduce hours anywhere? Atkins: There is a very real possibility that could occur and that's one of the options. Terry said I need to have the authority to do...to put that together for me. And that will...if we do reduce hours...if there's a dramatic change in service we'll come back to you. We have to because likely you'll need some sort of ordinance or resolution to do that. Lehman: It could also result in some reprioritization. I mean Parks and Recreation encompasses so much and there's a tremendous amount of programming. Atkins: Yes all the directors know that. Lehman: Right and some of that may go away. And I think that brochure that we mail out twice a year costs...I thought it cost $60,000. I asked about that 10 years ago. Atkins: That's a little high, but that's under consideration to be changed to something. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 39 Lehman: I mean that's half of what the reduction is. I've been asked that we take a short break. Right? Vanderhoef: Right. O'Donnell: Back at 8:30? Lehman: Back at 8:00. Atkins: Number 13. Community events, Aid to Agencies budgets. Wilbum: I need to... Lehman: Oh that's right. Wilbum: Not discuss this due to a conflict of interest. Vanderhoef: Do you want to split them? Kanner: Well before you go though number 12. Vanderhoefi Community events you can talk about. Lehman: Wait a minute. Wilbum: But you're talking about... Kanner: Yeah before we do that... Wilbum: So I can sit down? Kanner: Well I'll probably be outvoted. At this time I do have some concerns especially that's going to affect...it's a good chance it might affect hours. And so I realize there might be a need for some cutback, but at this time I'd like to see if there's other options that we could reduce that. And perhaps you're idea of the brochure. Champion: I'm sure that will be considered. Karmer: Well this is talking about full-time... Champion: No, the equivalent amount of money Steve. The Parks and Rec can decide how to eliminate that much money from their budget any way they want to. Atkins: They've been given the worst case...you need to come up with this. If you can't you're going to lose two full-time positions. Now they may propose ideas that are good ideas, but just simply are not of a permanent nature for whatever circumstance. But Steven for your This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 40 benefit one of the directions to the directors is minimal disruption of service. And minimal means if the library is open from 10:00 to 6:00 on Tuesdays we're going to do our best to keep the library open from I0:00 to 6:00. If for some reason all things get to be messy and Susan has to say 11:00 to 6:00 then we owe you that one. We need to talk to you about that. But that is a change in public service. Lehman: We may have to revisit those... Atkins: Yes you do. Lehman: ...if we find that the changes are not acceptable. Atkins: I mean I understand Steven's position of the thing, but just so you have...that's an overriding principle we try to accomplish. Kanner: But the reality is from what I've heard you say so far is that in the library the number one priority is not cutting hours. Hem you're saying it might not be number one, but it's very high and very likely that hours would be cut. Atkins: That's a correct assessment. Kanner: I think there's a difference there so by going with this we're essentially saying that we approve that. And I personally at this point in time have some concems about that. Vanderhoef: Well I agree with you on that one. Champion: There are times they could...I mean if they do cut services I think there are times they can do it. For example they could close the Rec Center swimming pool on Sundays. Atkins: We do that now. We did that last year. Champion: They already did it last year. Because I take my grandchildren swimming on Sundays and we were the only people there. You know. Lehman: And when you weren't them it was full. Champion: So I think there are times when services can be...I mean I miss it not being open on Sunday because I have to go now to Mercer which I hate because it's too crowded. But I mean I think there are times you can do that. Kanner: There are although opposite of perhaps what you're saying is I was there when the Englert had their fundraiser. I was volunteering on New Year's Eve. And they were closing it fairly early like 10:00 or This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 41 11:00 for New Year's Eve and I was thinking wouldn't it be great if we could expand it actually because there are so many kids out there that are looking for something to do. And this is a facility that's used by people of all incomes. And I see it used all the time and by a variety of people. And I just hate to see the possibility of the Rec Center cutting back on hours or possibly the pool getting cut back on hours. And I want to look at other options first before I commit to this. So we might want to vote on it if that's how we're doing it. Lehman: Okay. How many are in agreement with cutting the number 12 - the equivalent of two full-time or approximately $80,000 which could be in the form of two positions? It could be...my suspicion is if there are curtailed hours of whatever it's going to come back to us, but... Atkins: Okay 13 - reduce all Community Events and Aid to Agencies. Ross. Kanner: Was that four to three? Atkins: I counted four Steve. Five? Five not counting Irvin. Lehman: I didn't count Irvin on that one. O'Donnell: Irvin raised his hand. I think it was 5-2. Atkins: Okay. Champion: Who was the other one? O'Donnell: Kanner and Vanderhoef. Lehman: Right. Okay. Wilbum: Speech time conflict of interest. Lehman: Bye Ross. Kanner: Although I did want to separate this out actually anyhow because I have problems with the Agency one more than the community events one. Can we talk about this in separate issues. Atkins: It's okay with me. Lehman: Community events first. Atkins: Well community events I think you're familiar with what we funded - Arts Festival, downtown association, Friday night concerts, Saturday night concerts, Johnson County Historical Society, Jazz Fest. Those are the things you funded. Those are your community events. And This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 42 then I think you're all familiar with the human service agencies. And I was proposing the same 10% reduction for both. Pfab: What was the percentage? Lehman: 10% Atkins: Now just to put this on the table you have $15,000 out there for some youth employment. We have received three proposals. They came in. I've told the Staff to sit on them until we talk about it. Kanner: This is Aid to Agencies. Atkins: That's the 15%. Kanner: No, no we're doing community events. Atkins: I'm sorry. You're right Kanner: Let's hold off on that. Atkins: It's Ross. I keep talking. Community events. Champion: I think the community events are popular. People love them. And I think they're easier for the community events to raise money than it is for Aid to Agencies to raise money. So I will support the (can't hear) to community events. Lehman: How many will support 10% for community events? Champion: 10% for community events I will support. Pfab: A 10% reduction. Lehman: Right. Pfab: I have no problem with it. Vanderhoef: And I would encourage them to start passing the hat. Lehman: Alright. Atkins: Something. Wilbum: Yes to this. Lehman: I counted 7 1 believe. Atkins: Now Aid to Agencies. What I.~ust said before. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 43 Karmer: Please repeat that. Atkins: 10%, but I wanted to remind you that you set aside $15,000 for the youth employment proposals. We've received three. They're sitting on Jeff's desk. I've told him not to take any action on those. If you were to not pursue that you could use that $15,000. Champion: Would we be able to fund the Aid to Agencies with the same? Atkins: That money is available to you. But then you carmot fulfill your goal of the youth employment issue. Pfab: I think we made a promise also. I mean we basically made a promise to the community that we would... Kanner: I would agree with you. I had troubles with this in this (can't hear) and with our economy the way it is. I...again I'd like to look at other options before I agree to eliminate this. Pfab: Yeah I agree. I think this is a tougher one. Vanderhoefi Come back to it? Pfab: Yeah let's go back to that one. Atkins: Okay you bought into community events. Lehman: Community events is okay. Atkins: Aid to Agencies is still open. Lehman: Aid to Agencies we don't have any consensus there. Is that right? O'Donnell: Do we or not? Atkins: No. I don't think you do. Vanderhoef: Tell me quickly how much did we fund in the community events. How much are we... Lehman: $45,000 if I remember. Atklns: Yes $45,000. Vanderhoef: Okay so $4,500. Lehman: Where did Ross? Atkins: Ross? This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 44 Lehman: Number 14. Atkins: You know I've been through this. I'm repeating it. Similar principle. Much of the Department of Public Works - it's our largest department with 150 employees - only 24 in the general fund. So this is difficult for them. Lehman: Now Steve we mention in here inspection related services for capital and maintenance related projects. Is part of this 2 ½ the person or persons who we've been using on the sewer and water plant? Atkins: No. Lehman: This is like planning. Atkins: The person we hired to be our on-site superintendent at the library project. That person is charged to the library. Every other major... Lehman: The same thing with the sewer and water plant was charged to the... Atkins: Same as sewer plant. Whenever we had these big capital projects and big you know anywhere 5, 6 million dollars up. We have found that in the long pull it's...we put our own representative on the job all the time. And I think most of our directors who manage these projects - Susan's nodded very highly. What it means it means a lot smoother project. Vanderhoef: And these are independent contractors so... Atkins: In effect they are. They're City employees, but they're hired with the understanding that you are a full-time City employee. You're entitled to all the wages and benefits of any other. But when the project ends, so does the job. Lehman: Steve what is this going to mean - 2 1/2 full-time equivalent? How are we going to manage to get along with 2 ½7 Atkins: It's going to be very difficult. I had initially had it at 2. But they have so much available to them on other revenues and charges that I though they might be able to explore that further. We do have certain positions where we provide services to the public that we could charge against some of our other funds. I don't know the full extent of it. I do know that they're working on it. Now this is one of the bigger...I mean it doesn't look, but it is a bigger hit than some of the other departments. Vanderhoefi Say the number again. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 45 Atkins: 150 full-time employees, 24 in the general fund. Champion: Wow that is a big hit. Atkins: So this is 2 people. Yes Irvin. Pfab: What is the potential of increased fees basically to cover? Atkins: There is some public works fees that we could increase - not as many as the more traditional building and housing and planning. But not a whole lot more. They are looking at a few. Pfab: So that's not a realistic... Atkins: I don't think it's a realistic option Irvin. If we were to create any it would be a minimal amount of money. Pfab: I would say let's move on (can't hear). Lehman: Well let's not do that yet. You've talked. Obviously you've discussed this with Chuck and Rick Fosse... Atkins: Yes. Lehman: ...and whatever. And that's where we came up with these numbers. Atkins: Yeah, but the number was imposed upon them. Lehman: Well I think you imposed these numbers. Atkins: I imposed them - all of them. Lehman: I'm willing to accept your number. Atkins: Okay. O'Donnell: Which I am too on this one. Kanner: Can you give an example of what might be cut back? If we call in and say our alleyway has potholes we might have to delay that a few days? Atkins: No, no. If it's a public alley...we don't maintain alleys anyway, but if there's something in the streets those are routine crews. Kanner: No actually I have called in for the alleyway. Atkins: Yeah? Kanner: So you might want to eliminate that. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 46 Atkins: I was going to say. Kanner: There was potholes. Someone came in a week or two later and filled in the potholes. Atkins: Okay. Because we're not supposed to do...okay. Anyway. Much of the stafftime is our engineers. We do a lot of in-house design work. We do many of our studies in-house. Our inspectors...same thing. We have somebody who does nothing but right-of-way management for us. That's one that I very clearly believe that we can make some charges against if we accept one of the options. Pfab: So in other words this is connected with an option coming down the pipe. Atkins: Well it can be, but they do have the ability - and I'm asking Rick and Chuck to exhaust how can you charge these against our other enterprise funds to the fullest extent and still accomplish the reduction goal that we've set upon them. Pfab: Does it have to be an enterprise fund or is there any to the public? Atkins: No oh you mean an actual fee for service? That's open for discussion Irvin. So it could occur. Yes. Pfab: It could occur. Okay. I would pursue looking at that. Lehman: Enterprise funds basically are fees to the public. Atkins: Yeah. Lehman: You pay for it in your water bill, your sewer bill. Atkins: Yeah you do. Pfab: But that's our own citizens. But some of the other ones may be (can't hear) public. Champion: Well we could make it like the bank and charge a fee for everything. Lehman: Right, but how many... Atkins: Probably all of those in the budget...in this proposal - this was the most difficult one. We've grown the engineering staff over the last couple of years. But we've also had a very enthusiastic capital improvement program. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 47 Lehman: Although that's going to be a little bit slowed down. Do we have any consensus on number 14? Atkins: I would ask for your consensus support with the understanding that this one is going to be one of the more difficult, one of the more complex to put together alternate proposals for you. Pfab: But does that take it off the table if we go along with it now. Atkins: Virtually Irvin not many of these come off the table particularly if they have options that are reasonably dramatic. Pfab: I would like to...let's move on. Lehman: Well before we move on how many people will support this recommendation? Vanderhoef: I will support this one. Lehman: I see six. Pfab: Wonderful idea. I just absolutely... Lehman: Number 15 - Finance and General Administrative support staff 2 ½ full-time. Atkins: Same basic principle. These are internal controls that we have programs and policies. These are folks that you don't really see a lot of. They're important to our overall financial and asset management. There's a number of things we can look at. We're looking at our insurance program, our IT program has been something that...we've done a pretty good job of applying the latest technology all throughout this organization. All of those things are now going to have to be considered. Kanner: How is this going to effect implementing the general accounting principle 34 rule. Atkins: It can't because that's (can't hear) 34 we have to do that and Erin will figure out a way to do that because she has to do that. She doesn't have a choice. Kanner: Well it seems it's going to make it difficult. Atkins: It's going to make it difficult. That's correct. Kanner: I mean this is big project that we have to do. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 48 Atkins: It's, you know, I don't want to speak for everyone - it's a big project, but we understand it. We understand the principles behind it. I think the information gathering is probably the most critical element and trying to make sure we establish the values of all of the various properties. Erin has done a good job on our insurance programs, but in many respects we've done some of that work ahead of time because we have to value our buildings and we're constantly reviewing our insurance. As you know a couple...was it two years ago we increased our deductible because our financial position was strong enough. That lowered our rates. Many of those things are market driven anyway. It's not going to be easy Steven, but...I think there's another principle we apply - the demand on your staff is not going to change. There's just going to be fewer of us. That's not going to change. People are still going to have the same expectations of us. Pfab: Does this have the possibility of generating funds? Atkins: I doubt it because of they're substantially support - purchasing, information technology. Lehman: I've got to take your recommendations. I mean I don't know anything about... Atkins: You know of all of these this one you have to because it's all very internal. For example we have...if we have a retirement in our accounting do we distribute those duties amongst other accounting folks? And I don't know the answers to all of those yet. Lehman: Do we have support for 157 O'Donnell: Yes. Vanderhoef: Yes. Wilbum: Yes. Lehman: I counted 6 yeses and Irvin is in deep thought. What does that mean Irvin? (End of Side 1, Tape #03-44, Beginning of Side 2) Lehman: It's fine. 6 yeses and one (can't hear). Pfab: I have a certain amount of pain in it, but I guess it's fine. We've got support. Atkins: If it's any consultation we appreciate your pain. But we're still going to have to do this. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 49 Lehman: Number 16. Atkins: 16 is charge to our Housing Authority. Not a big ticket item, but we think we can legitimately say our Housing Assistant who performs certain record keeping for Housing Quality Inspections as a part of the Section 8 program we can legitimately charge that to the federal govemment. Kanner: Will they take it out George Bush's salary? Atkins: I don't think so Steven. Pfab: Air Force One. Atkins: I can send him a letter if you'd like. Kanner: I think we should. Pfab: I have a...you had a statement and I wasn't...I know I didn't understand it. You said what part of this is federal funds? Atkins: Virtually 100% Pfab: That's what I thought you said. 99. Atkins: 99 and change. I think there's very little general fund money. Kanner: And... Lehman: Are we...I'm sorry... Atkins: It's a new...it's revenue that's the general fund. Kanner: And why weren't we doing it before? We just... Atkins: You know when we were doing some of the assessments of the various jobs, you know, coming up with these two positions, three positions whatever. I said take a cursory look at some of the things you might be able to accomplish. And we did a quick review of the person's work. We saw a lot of Section 8 info crossing the desk. It seemed legitimate to us. And that's why we proposed it. Now could it be $8,000? Could it $11,0007 Yeah. Lehman: But we're going for $10,000. Atkins: Well we're going for $10,000 because we estimate that's approximately what the amount of time. This person, this Housing Assistant - this is a split job. We have two housing assistants. Two This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 50 half timers. One of them spends a lot more time than the other - the morning person - doing these kinds of things. Kanner: But HUD still has to approve. Atkins: HUD still has to approve it. We feel confident they will. Kanner: Okay. Lehman: Do we have concurrence on number 167 Vanderhoef: Yes. Wilburn: Yes. Lehman: 17. 17 Steve I think if you will work this over and show us a little more what the impacts are and... Atkins: Yeah my impression is that there's more questions than I'm really prepared to answer for you tonight on the thing. But I would with the understanding this will be coming back to you pretty quickly - like the next work session. Lehman: That's fine. And I think do we concur that we are interested in making some adjustments on the housing inspection piece? Pfab: I think we want to take a hard look at this thing to be 100% supportive. Lehman: Alright. Atkins: Okay. I'm going to give it a start particularly on the first one. Champion: It gets halfa star. Lehman: Well we're going to do something there. Atkins: Okay. Bus service is off the table now. Lehman: 19. Atkins: 19 we move to advertising. Champion: That comes out of our general fund? Atkins: Yes. Lehman: Why would transit advertising come out of the general fund instead of transit? This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 51 Atkins: Because transit is in the general fund. Remember we switched it over into the general fun. Lehman: We switched it over. Atkins: It's a line item expense in the transit budget for advertising of $20,000 a year. We proposing to reduce for it to $15,000. Lehman: But that's...this kind of seems strange that 18 isn't general fund, but 19 is. And they're both in transit. Atkins: No, no, no. We can charge - as I understand it - oh I see your point. Alright. Yeah that is confusing. Lehman: Yeah it is. Vanderhoefi Yeah. Lehman: I mean it's either transit or it isn't. Atkins: I think you got me. Vanderhoefi That's why... Lehman: I don't think we can do 19. Atkins: I think we can, but... Lehman: Alright. How many want to move along? Atkins: It's beginning to running together in my brain because we talked about this. I'll come back with you on 19. I owe you that one. Lehman: Number 20. Pfab: It looks like the time has come. Atkins: Okay. 25 cents for this fare. Now I know we can do that. Lehman: You know what? Atkins: Yeah you can do the shuttle. Champion: Yeah and I don't have a... Atkins: And you want to charge a quarter. Champion: Is it going to...I mean didn't I read they thought it would slow down the route a lot? This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 52 Atkins: Well remember it's not...it's not scheduled like our other fixed routes and it runs that loop and I think most of the folks, rather students, they know the timing of the thing. And if it begins to get a little slower because of the quarter then they'll just adjust when it goes around. Lehman: Or they can ride the City bus and pay 75 cents. Atkins: Or they can ride the City bus and pay 75 cents. Lehman: Are we in concurrence on 20? Go ahead. Kanner: Before you do that though this was brought up before to start charging... Atkins: This quarter. Kanner: This quarter. Atkins: We talked about it a year ago I believe. Kanner: Yeah a year ago and we were told that it wasn't worth doing. Atkins: Yeah. Kanner: Because it balances out to zero essentially. I wasn't sure the exact reasons why but... Atkins: I remember why we thought it would be a nuisance. I think Joe still thinks... Lehman: You thought it would be a great PR thing for the City because I wanted to charge the quarter and you guys didn't. Kanner: No but we also said we would lose riders which would lose funding that we get from the feds. Atkins: Yeah. No. I was assured that that would not happen. This is just...this is strictly to generate income. It could be $30,000. It could be more. It could be less. It's strictly income. Kanner: But we would lose riders. Atkins: Oh you may. Kanner: There's a...well when we had this report a year ago... Champion: You're right Steven. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 53 Kanner: ...it said that it was a wash and that's why we decided basically not to do...Emie voted for it, but I thought that the general feeling was it was a wash. We were going to lose riders which would lose funding for us. Atkins: I don't remember it that way. Let me check and I'll get back with you. Vanderhoef: The funding piece is the proportion because of the total number of rides. Atkins: Yeah. No I understand Steven's point. I just don't recollect it. I'll get that report and get back to you on that. Vanderhoef: It was close and at that time we were still trying to stay on a 30 minute schedule and it may actually turn out that we're at a 35 minute schedule to do this. Pfab: If there isn't enough reduction when we...I can remember that. Atkins: Yeah it's coming back to me. Pfab: (Can't hear) subsidy involved to ride here and you're slowing it up and there will be some attrition. Atkins: Okay. Pfab: Okay. Atkins: We will come back...I will get that back to you. It's coming back to me now. I do remember the discussion now. Lehman: Passenger miles is figured in the formula for federal funding. Atkins: Yeah, yeah now I think Steven is right about that. Vanderhoef: It's actually when we did it up at ECICOG we look at the number of rides and that's where. It doesn't mean that there's any more or less federal dollars coming to our region. But within the region because of our ridership we may go down a bit. Atkins: Then I owe you something. I owe you something in that. So why don't we just move on on that one. Champion: Because so many kids ride that one. Vanderhoef: And I'm not convinced that we would lose riders or that much. Atkins: Well we may get down to...we just have to make a judgment call on this one and see what happens. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 54 Champion: They might not have a quarter. Atkins: 21. Pfab: I guess the question I keep asking is there a way to generate funds here? Atkins: No. I don't see how we can generate funds unless we...no... Wilburn: Charging other cities to... Pfab: Participate or something... Lehman: Alright. What we're asking here is a reduction of $75,000 in expenditures for our staff folks who go to professional meetings and this sort of thing. Is that correct? Atkins: Well there's more to it than that. I mean for example we have...I don't know what the dollar figure is, but I imagine it's well over $50,000 in probably fire service for training where we can't provide certain training so we send folks off to various schools. We do the same thing with police. We have continuing education requirements for many of our professional employees, attorneys, engineers, those folks. We're trying to rewrite a policy that allows us to reduce that expense, but at the same time try to fulfill our commitment to the employees particularly when it comes to continuing education. We have made that a tradition that we would pay that as part of that. You know unfortunately training and education becomes travel and that's only one element of the thing. Our folks are pretty good if they can find something in CR or the Quad Cities as opposed to going to Minneapolis or St. Louis. That's what we're saying that we'll look for those options. Yes sir. Pfab: Is there possibility of telecommunicating or tele...on some of these? Atkins: Yes there is. Pfab: So and what percentage ora hit would this be at $75,000? Champion: It was at a half million. Atkins: City wide a halfa million. We'll get you a better number on that, but I would suspect you know 15%. Pfab: 15 ? Atkins: 15. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 55 O'Donnell: Is Council travel in this also Steve? Atkins: Yes. Everybody is in there. Lehman: Well do you want to address the Council travel issue at this point? Champion: Oh this also includes Council travel? Atkins: Yes everybody - all departments. Champion: Do you know how much is... ? Atkins: No. We can pull that number for you. Champion: I think we should cut it 75%. Lehman: Well except that we...no, no, no, no but I think that we could have a policy that every, you know... Atkins: I encourage you to do it by policy. Maybe just sort of...then we haven't accomplished anything. I think if you have a good policy... Lehman: But if we have a policy we'll send one person to a National League of Cities meeting and... Atkins: Whatever. You know that's very much your call. Lehman: ...(can't hear) is opposed to the present policy which would allow... O'Donnell: I can live with that. Atkins: Okay. I will confirm that number. I'm going to put a...you want that number, then you can prepare a policy. In fact Deb can you make a note - check around with other cities on travel education policy. We'll find out what some other folks do. Lehman: The only thing that really concerns me on that 21 is discourage City employee participation in leadership roles for professional association. Atkins: I know. Lehman: You know that's... Champion: I don't like that. Vanderhoefi We just had notice from Rick that he was taking (can't hear) leadership roles. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 56 Atkins: But folks you just got to be realistic. I mean when I served on the Iowa League of Cities Board it wasn't that big of deal because all it was was you know gas and lunch back and forth to Des Moines. But some of these folks serve on national boards and commissions. Vanderhoef: And this is where they learn new things. Atkins: Yeah they do. Vanderhoefi That people have tried in other places. Atkins: I hear you. O'Donnell: I think it's very valuable. Vanderhoefi Eliminate that for Rick I just... O'Dormell: It's valuable for Staff to go, but I think we do need a policy on this Council and I like the idea of maybe one person attending and it does rotate. Lehman: Well we can work on that. Atkins: Those are the things you can do. We can you know... Lehman: But are we okay with 21 basically? Champion: Yes. Lehman: Okay. Atkins: 22 building inspection fees. Pfab: What does...how does that you say that's a money maker. Atkins: Yeah it is. That will...I told you that will not put us out of line with other cities in the area. Champion: No, it's a small addition to each building permit when you get it. Lehman: Are we okay with that? Champion: Yes. Kanner: Well I'd like to bring up the idea that maybe it needs to be graduated. Champion: It is. Lehman: It's based on the amount of the building - the cost of the building. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 57 Kanner: Is it square footage or is it... Lehman: I can't remember if it's cost or square foot. Vanderhoefi Value. Lehman: Value I think. Kanner: So the building permit lists when they come to us they give us a building...they get a building permit they list the value, the proposed value. Lehman: I think that's right. Kanner: And how do we confirm that? Lehman: Well I don't think we do an audit, but I suspect they've got a contract with the contractor or whatever or an estimate. Atkins: It could be that it's good faith too. Lehman: Yeah. Atkins: If the guy said the value of this house is $100,000 and it's 5,000 square feet we're suspect. Lehman: Thatched roof and bamboo walls. Kanner: Maybe this something we have to look at... Atkins: I'm okay with that. Kanner: ...to get a better way of doing it. It seems a little nebulous the whole system of... Lehman: Except that I think most people who get a building permit...my suspicion is most people either have either an estimate or a contract. Atkins: Yeah. Lehman: And that's pretty proof positive of what they're paying. Champion: As soon as they have a contract they're probably not going to get it themselves. The carpenter...the contractor is going to go get the building permits. Lehman: Yeah, but I'm sure there's a pretty good process for determining the value. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 58 Vanderhoef: I actually had a call on this from someone from the Homebuilders and they seem to be okay with it because it's similar to the surrounding communities. Lehman: Go ahead. Pfab: Okay so at this point we're comfortable that it's (can't hear) it's working. Lehman: I've never heard a compliant about it. Atkins: Yeah. I've not had any complaints about it Irvin. Pfab: Alright. Lehman: Are we okay with 22? O'Donnell: Yes. Pfab: I have no problem with it. Lehman: Alright 22 is okay. 23. O'Donnell: We eliminated that one Emie. Vanderhoefi We did that. Lehman: 23 well we eliminated for '04, but it's still there for '05. Are we okay with it for '05? Champion: Yes. O'Donnell: Yes. Lehman: I think we are. Vanderhoefi We have $8,000 there to find in another location. Lehman: 24. Champion: I have a question about this. Atkins: Okay. Champion: I thought the Parkland Acquisition Fund came from GO money. Atkins: From who? Champion: From...did we bond to get that money? This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 59 Atkins: No. Champion: Oh, okay. Atkins: I'll do my best to...because it precedes me is at the time the old Central Junior High... Champion: Oh right ! know that... Atkins: Because there was a lump sum of money that resulted. It was in $175,000 to $200,000. It was placed in a Parkland Acquisition Fund. The Council set up a policy on how they were going to distribute those monies. It's been amended a number of times. We used to put hotel/motel tax money directly into it on an annual basis. That went away a few years ago. And at that time I indicated if there were any major land acquisition purposes you could sell debt for the purposes of doing that. Most of the acquisitions are small. You know somebody will want to buy an acre. It's really...it's one of those really nice to have things. And you can move fairly quickly. We just need the money in the general fund. Lehman: You know I agree with that. It's certainly not permanent, but the one issue that ! really have a problem with - we have talked for a long time about a master plan for Parks and Recreation. Atkins: Yes we have. Lehman: And if we're looking at a situation where we're asking them to reduce by two people that are full-time equivalents they may really, really need that master plan. And rather...this is...you've got this projected over three years - '04, '05, '06. With '06 being $70,000. I'm not at all sure that I don't think we ought to spend that $50,000 for that master plan. Vanderhoef: $60,000. Atkins: $60,000. Lehman: And worry about how we're going to come up with those six during the next 30 months. Champion: And the problem with us using this Parkland Fund it's... Lehman: Temporary. Champion: It's temporary. Lehman: It's a band aid. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 60 Champion: It's a band aid only. Lehman: But I just... Atkins: Yeah. You're not wrong. Lehman: I don't know. How does the rest of the Council feel? Atkins: We were scrambling to find monies for the general fund and it stared us in the face. Champion: Yeah I think we should do that study. I think that's a good idea and fund it out of that (can't hear). Pfab: I have a question. Atkins: Yeah. Pfab: You talked about and I'm going to ask it because I don't understand what you had said. You said that one point we were putting in hotel/motel. Atkins: Yes a number of years ago. Vanderhoef: 2% of it. Pfab: So where is that money that used to go in there now? Atkins: It's distributed into public safety. We redid the formula Irvin. There used to be a direct payment into the Parkland Acquisition Fund. Now we make a payment in for the support of Parks and Recreation programs. It used to be a source of revenue for this. There isn't any anymore. Pfab: Is that something we should be considering? Atkins: Then you're just quite frankly going to shoot yourself in the foot. Pfab: So you're taking it out of general fund. Atkins: That's right. You'll be right back where you were. Pfab: That was the question I had. Atkins: No, your assessment is correct. Vanderhoef: So if we put the plan back in then we have to find another $60,000. Lehman: Well not until '06. We're covered '04 and '05 are no problem. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 61 Atkins: Emie please don't talk that way. That scares me. Lehman: What? Atkins: Well not until '06. That's putting offa decision. Lehman: It's a lot better than trying to come up with it by July 1st of this year. Atkins: Okay. Vanderhoefi I don't see... Atkins: I think it's difficult to master plan. Lehman: $100,000 per year out of the Parks and Recreation Acquisition fund is $100,000 for '04, $100,000 for '05, projected $70,000 for '06. Take the $50,000 master plan that we were going to do this year. Do it this year and instead of $70,000 in '06 you got $20,000. And we've got 30 months to come up where we're going to come up with the difference. Kanner: Well Emie I think I basically agree with you that I want to do the plan. But as far as Steve's overall plan for this program I think when you talk about '05 or '06 as being in the future. That's not necessary the case. We're going to be using reserve funds perhaps to make up something in '04 and pick it up in '05 or in '06. So that's...I think that's what you're getting at... Atkins: That's right. Kanner: ...but that's not really the case. So you can't say it's offin the distance. Atkins: I'm just not big on... Vanderhoef: If we do the plan this year it's $60,000 this year. Kanner: I think we should look at the other options to make up for that. That should be our philosophy - other options that Steve listed or that we ourselves can come up with if you feel strongly about something. Lehman: Alright. Pfab: Is the question on the master plan right now? Lehman: The question is really whether or not we want to accept 24 as it proposed. And we can go...but Steven is right. If we want to look at the other options and feel that that master plan should be funded and we can come up with it. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 62 Atkins: I'm just reluctant to add a major new expense when we haven't even met our other... Lehman: It isn't added. It's in the budget right now isn't it? The $50,000. Atkins: Well to be paid for out of this. Lehman: Yeah, alright but I have no problem with accepting it the way it is. Champion: Okay. Pfab: But so where...if we accept it as it is what is the status of the master plan? Lehman: We're going to get to that on page 1 of options. Pfab: So that... Atkins: At this point Irvin there is none. Now later on in the evening you may revisit that, but right now there is no master plan. Kanner: I'm against 24 with the elimination of the master plan. I'd like to... Pfab: I have some difficulty. Lehman: How many are willing to accept 24 as it is written? Vanderhoefi I think it becomes clear... Atkins: You're going to get another crack at it. Lehman: 25. Atkins: 25. Pfab: I guess I keep asking is there a way to generate funds here? Is there any justification to go from $3 to $5 if you do anything with inflation adjust - the time $3 we're in until now. Atkins: The Staff's thinking of going from $3 to $5 which we are permitted to under the law (can't hear). Wilburn: (Can't hear) as much as we can? Atkins: No you can go higher. It just seemed paying a $3 ticket with a 5 dollar bill so we'll make it a $5 ticket for the $5 bill. Lehman: Well it's a 67% increase. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 63 Atkins: Yes it is. Lehman: And it's pretty tough to go more than that. Pfab: Well it was up until now it was cheaper than paying the meter so our meters didn't get it. And... Champion: Well you got to think about the whole philosophy though of most of our meters or all in the Central Business District and if we're trying to encourage people to come to the Central Business District the beauty that our fines are so cheap has a lot to do with that for people who don't want to park in parking ramps where you don't ever get a ticket. Pfab: Yeah, but if somebody's plugging up a parking space that keeps somebody else from coming in to use it. Champion: Well they could re-ticket them after a certain time. Pfab: Well no, no but I mean if that car is parked there and a person wants to come in and shop at that store and they drive by because there's a car there that's not feeding the meter they just go on. Champion: The worst offenders are not the customers who are walking on the street. The worst offenders of using the parking meters all day are business owners downtown. Pfab: Well then maybe they could start... Champion: So I can tell you it does not... Pfab: ...taking their own medicine. Lehman: Aside from the personal habits of shoppers and business owners are we willing to accept 25 as it's presented. Vanderhoef: Yes. O'Donnell: Yes. Lehman: We have a go. Kanner: You said that we could raise it higher if we want? Atkins: I think we can go up to $10. Dilkes: No the... Kanner: I propose I think we can go higher. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 64 Atkins: Wait a minute Steven. Let Eleanor answer this. Dilkes: Currently under current law you can to $5. If the Governor signs the reinvention bill it...the $5 cap is gone. Atkins: That's right. The cap is gone. Dilkes: You can go to any amount. Champion: The other thing you have to consider is that because it is a $3 parking ticket a lot of people pay it. Atkins: Yeah. Champion: I mean so you can actually lose revenue by making it high enough. Lehman: We just got concurrence on 25. 26. Atkins: 26. Lehman: I have a real problem with 26. Pfab: I don't imagine. Lehman: Well apparently from the numbers I've seen the multiplier effect of money paid into the CVB is the multiplier effect is a little over $6 for each dollar that goes into that fund and we're talking about reducing it by about 40% from $137,500 to $100,000 in one year. I think that's pretty significant. Vanderhoef: 40%. Lehman: Well what is 40% of $140,0007 No it's about 30%. That seems to be a rather tough hit. Pfab: That's a percent...but as a percentage now what is the trend as far as the trend line of what that total cash is? Atkins: The tax is very much driven by occupancy and room rates. Pfab: But do we have a historic... Atkins: Yeah and we've...it's shown reasonably steady growth. I mean nothing extraordinary that I know of. I mean it's about a $500,000 a year budget. Pfab: How many more motel rooms have come on-line since the last time we checked it? This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 65 Atkins: None in the City. Vanderhoefi None. Atkins: None in the City. Lehman: (Can't hear) new hotels. O'Donnell: Ernie what are you suggesting? Atkins: Coralville. Lehman: I'm suggesting I think 30% is a very, very heavy hit. And I think it's a good investment for the City. I mean I think particularly when things are tough those folks do generate a lot of volume, a lot of dollars turn around in the City from the efforts of the Bureau in brining in conventions here and conferences and whatever. I think that's very important to the economy of the City. And I understand and I don't disagree that I think everybody...that there is no such thing as a sacred cow in this and I don't...I'm not saying that there shouldn't be some concession. It just seems to me to be a little excessive. Champion: So what would you have in mind? Lehman: Well... Vanderhoef: Take $20,000 off. Reduce it by $20,000. Pfab: That's a half. A half of what was proposed. Vanderhoefi Not quite. Kanner: I think when we've got a lot of organizations that are working on these things and they do a good job, but we're in a university town and the University probably generates a huge pementage of what's coming in to our city and... Lehman: The University works very, very closely. The hospital, the University, the Athletic Department - they all work through the CVB. Kanner: But they're going to keep doing their thing if they have to reduce their services a bit. They're going to do it pretty well. Lehman: Well you say that, but you have no basis for that comment whatsoever. Kanner: Well you can say there's multiplier effects. There's multiplier effects for everything Emie. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 66 Lehman: I know, but you have no reason to say they'll do it just as well when the CVB hasn't got the money to do the sorts of services they're doing now for the hospital and the... Kanner: Well I don't have any evidence in the reports that I've read that show that how much that they're specifically bringing in for the hospital and for all the colleges and the University. I don't see that that's going to be effected. And I read their annual reports and I don't see it Ernie. Lehman: Well what's your pleasure guys? Pfab: Well but my question is we're changing this not from a fixed amount, but to a percentage. Atkins: It had been 25% Irvin. It is a percentage. And 25% equals $137,500. Pfab: Okay. So now is...I would be more willing to gamble with it and say a certain dollar amount. Champion: They can't. O'Donnell: (Can't hear) percentage. Pfab: No, no just a second. I can't help but think that this thing is going to grow as the economy starts to mm around. And if it's...even if it's only $37,000 that we may be...this thing is moving around here... Kanner: Well I think Irvin the gamble is actually maybe the opposite of what you're saying. If we keep it at the percentage - 20% if the economy grows their reduction will be less... Lehman: Right. Pfab: Right. Kanner: ...than the $37,000. Pfab: Yeah. Kanner: Emie I'd be willing perhaps to go up a percentage or two - maybe 21 or 22% if you feel that strongly about it. Pfab: I wouldn't have any trouble with that. Lehman: I'm more concerned I think with the big hit in '04 because they're budgets are the same as ours. It's like the county decides the day after tomorrow they're going to...because of their cuts they're going to do something with (can't hear) or Senior Center or whatever and we have This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 67 to deal with that. The Commission of Tourism Bureau also has a budget and a $37,000 hit for next year is a pretty heavy hit. Vanderhoe£: What is their total budget? Lehman: I can't tell you offhand. Pfab: Okay but the other thing is they have other ways...is there other ways or do they have other ways to generate income too? Vanderhoef: Just from memberships. Lehman: Memberships. Pfab: Well maybe... Kanner: Which is growing. Lehman: It's growing and they're doing very well. Pfab: Right and I mean it's not...I'm not opposed to your objection. It's just that this thing is probably one of the most well equipped to maneuver in a tight economy. And it's not that they're not doing a great job. I just...from 25 to...I don't know... Vanderhoef: We look at this in some of our things here in this and Steve I think put it in sort of a policy statement that we were going to look at trying to have the least amount of hit on things that were economic development related. And to me this is an economic development related kind of thing and it does have a multiplier in the community. So I think this is too big a hit. I'd rather not hit them at all. And I'm like Ernie I was totally convinced years ago when I was on CVB for about five years. So I would suggest that...I'm suggesting that instead of paying CVB 25% that we pay 23%. Pfab: 2 ½. Champion: How about 22.5%? Pfab: There you go. Vanderhoefi 22.5%? Split it. O'Donnell: And Ernie your concern is the big hit in '04? Lehman: Well I think that's the biggest and the other thing is this - hopefully in two years time there's going to be another hotel downtown. And that's going to be a bit shot in the arm for them for revenue in This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 68 hotel/motel tax in Iowa City when the Moen project is completed. Actually their...the occupancy rates in Iowa City are remarkably high in Coralville in spite of the economy. But I don't think it's realistic to expect that those rates are going to get much higher because they're really running pretty close to the top. When Moen's project comes on my suspicion is there will be a big spike. They are £ar more able to handle that sort ora reduction when that comes on then they are on. Champion: But there are a couple new hotels that have opened. P£ab: That's right out by the mall. Lehman: I'm talking about Iowa City's. I'm just talking about the Iowa City. Champion: Their budget must be growing anyway. P£ab: So is this...is this...okay maybe there's a point to be made here. So you're saying this is just from Iowa City's? Lehman: Yeah we're not doing Coralville's. Pfab: Okay I'm not near as... Vanderhoef: I was told... P£ab: I'm a lot more agreeable to what you're saying. Kanner: How much are we paying per hotel room versus Coralville for hotel room? Atkins: The tax itself is the same. Kanner: No, no how much contribution does it work out to? Champion: Coralville (can't hear) money. Atkins: Coralville pays a lot less percentage but of course they have a 1,000 plus hotel rooms to our 500. Kanner: But I think would be more equitable would be looking at what our per hotel contribution is versus Coralville's. So certainly they have a lot more, but if we look at how much they're contributing per hotel room and see if we're lagging behind. That would be... Lehman: Why don't we find that out and put this on...? O'Donnell: Steve do you know what 23% would be? This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 69 Atkins: No. Pfab: 22 ½. Atkins: It would be about 120. It would be about 120 Mike. Lehman: I like your suggestion to see what just they...Coralville is paying per room. We'll get that. Atkins: So you didn't agree on this one. Champion: No. Lehman: No. Pfab: We agree we need more information. Atkins: I hear you. 27. Vanderhoefi That's okay. Lehman: That's okay I think. Kanner: This is a...if we get...what are we going to do if we get back from the study that this is going to save consumers 10 to 25 percent? Champion: I don't think we'll have any money to implement it anyway for the next couple of years. Lehman: My suspicion is we'll deal with that when it comes. Atkins: You will have to go to referendum you understand that (can't hear). Lehman: Yeah I'm aware of that. Kanner: If it does eventually come through let's say two years down the road this is something that we recover built into the rates. That's one thing. I just hate to throw this out right now because we're going to need some money if we want to move forward on it. And I think it's a positive.., this is economic development also. Champion: It is. Kanner: If the figures come back all that money and payment in lieu of taxes. All that money saved on rates, people spend that money. Lehman: We've got to wait until we get Latham's report back. That's going to be what? October? This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 70 Helling: It should be this summer hopefully. Atkins: It's coming up soon. Lehman: Okay. I'm really anxious to see what his report says. Kanner: I think we ought to hold off until we get that report. Lehman: Only...my only concern is my understanding is that the study if we choose to move forward with anything that Latham might come up with $50,000 isn't going to do the first two pages of the report. I mean we're talking big bucks, so I'm not sure the 50 (can't hear). Kanner: Not the final implementation yeah of course that's big bucks, but $50,000 is pretty substantial in going to the next level. Pfab: I think I would support Steve on this one in the sense that there's only 50 in it now right? I think that that sends a wrong message. I wouldn't be able to support paying 50 away. Maybe 10 out of it, but that would be the most I would... Lehman: Well how many will support the 50 that's in the recommendation? Vanderhoefi This time I will. Champion: Can we put it on hold? Lehman: Okay. That's a holder. 28. Pardon? Atkins: We need to know. $600,000 annual budget. They have very healthy reserves. Champion: I can live with this. Lehman: I can too. Kanner: I agree with this also, but we should just put out there I guess the concern people might have is that these are cable subscribers. They feel it should go directly to television services. Atkins: And that had been our overriding philosophy for years Steven. That's correct. Pfab: What is the status now on internet connections? That...does that generate funds? Lehman: It's in court out on the west coast. Didn't you tell us about that? This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 71 Helling: Yeah it... Lehman: Washington. Helling: ...it's going to be heard or it was heard last week. But this is a case that's been going for about a year. But right now we get no franchise fee from intemet connections. Pfab: So okay and we could expect what six months to hear? For the next appeal? Whatever. Lehman: Three or four years if they keep appealing. Okay. That's an okay. 29. Champion: Yes. Because we can't afford a fire station right now. Lehman: Well 29 really has no significant effect on...without a new fire station doesn't really have. O'Donnell: This is okay. Lehman: Right. Kanner: Yeah okay to 28. Lehman: 28 is okay. 29 is okay. Pfab: On 29... Kanner: Hold on... Champion: Firefighters. Pfab: What does that do? Now does that mean people...is that nobody gets laid off. Champion: That's the whole philosophy of doing this. Atkins: I cannot promise nobody. I can tell you the sooner you get this to me the sooner we can get - and with a little luck - we can have the reductions made with a minimal amount of disruption to employees' lives by creating vacancies. I can't promise anything. Pfab: So at this point even if we agree to this that doesn't...there's still the possibility somebody can get laid off?. Atkins: But that's the same thing with all of those - every area. Kanner: No layoffs. We're not having layoffs. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 72 Atkins: We're trying to avoid that. Champion: It could happen. Kanner: This is attrition. Well it could happen anywhere, but the whole plan...there's no plan for layoffs in any of these. Atkins: That's correct. Pfab: The next question. Is...are there...this time I'm not being facetious about Homeland Security - is any of that money coming to help the fire department? Atkins: No. I don't expect...Irvin I have grown convinced... Pfab: Zero confidence. Has the state gotten any? Atkins: They may have received some, but they're using it for their own operations. Yeah. Champion: They're using it... Atkins: I don't expect to get anything from it. Yes sir. Kanner: Now because of new regulations I guess the last couple years and how many people have to be on the scene before people can go in. That means we often call people who are off-duty and/or we make more use of the surrounding communities in the mutual aid. Atkins: Mutual aid is really a great tool. Absolutely. Kanner: Then they make use of us. So in a way this...we're sort of sticking it to the other conununities by saying we're going to be calling them more perhaps if we get down...ifwe reduce... Atkins: Remember it's all perhaps. In 2002 we had a compliment of 52. We went to 58. We're only going back to 55. We have not lost all of the ground that we gained. Kanner: But has our mutual aid calls gone down since we increased our staff?. Atkins: That I couldn't tell you. You'd almost...we'd need to do a long history on that. I mean I'd just have to do a history on that. And we stand prepared to serve. Champion: Some of these hires were for the new fire station in anticipation of it. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 73 Atkins: Well we anticipated 9 new hires to finance the fire., .to staff the fire station. We started with 6. We can't afford the additional three. In fact we have to go back 3. Lehman: If we hired 6 and we're going to reduce by 4 we're still ahead by 2. Atkins: You're still ahead by three. Vanderhoef: We were overstaffed by one. Atkins: We're already overstaffed right now. Lehman: Right. So I don't have a problem with this. Champion: I don't have a problem. O'Donnell: I don't either. P fab: That's fine with me. Lehman: Okay. Atkins: Okay. Good bids, mild weather. It's not going to snow. It's not going to rain. Lehman: You're the one that's going to have to argue this one. O'Donnell: We ought to talk about that. Vanderhoefi Optimistic. Atkins: You have to be in this business. We're not optimistic. Vanderhoefi I think this is optima. Atkins: Okay. You've given me a number of these things to deal with. You still need the options. We're still short a pretty good hunk of change. Question for you is how do you want to deal with it? I want to get started on implementing as many of these that I can. Champion: Well some of them you know you can already start implementing. Atkins: Yes I can. I understand that. Champion: And I guess I'd like to see you follow through with questions and maybe our next work session we can start an hour early. Lehman: Tomorrow night you can't be there until 7:30. Remember. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 74 Champion: No I meant...he's not going to have time to look into all those questions by tomorrow. Atkins: Not all...I can't do them all by tomorrow, but we could go over options tomorrow night if you're interested in having another meeting tomorrow night. Champion: Unless you want to sit here and do options now. Lehman: I don't. Kanner: I'd rather not. Lehman: I would...no, no I agree. I think this is really critical stuff. If we could... Kanner: (Can't hear) I'd rather not do the options right tonight. Lehman: Right I agree. Champion: Right. That's fine. Atkins: I don't want your brains fried because this is tough stuff. Lehman: Alright. Let's listen to where you're coming from on this. You've got to have several things you need to bring back to us. Is it reasonable to assume those may be ready for us by Monday night or... Atkins: I will get as many of those as I can prepared for you. The most important question for me tonight do you accept the managed attrition phased reduction process. Champion: Yes. Atkins: Okay. If that's acceptable that goes a long way to moving this thing along. And I needed to know that. And the revenues that you did approve we can begin preparing resolutions getting you to vote those up or down to get on with that. I do think you need to go over the options. I'm hoping that I can spend some time with directors and maybe even give you some more now because we've had more time to think about these things. It would be okay with me if at our work sessions we just set aside like an hour. Now you've got your regular business you got to deal with. But we just...this is a subject we've got to stay after just to create the momentum to get the thing done. I'm okay with that. But we still, you know, we're still short. Lehman: So if I'm hearing correctly you will get back to us on the information... This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 75 Atkins: I mean I owe you an assessment of the PIN grants. I owe you an assessment of the...I need to check on the transit, the fares, the advertising budget. There's a number of things of training... Lehman: Housing inspection. Atkins: .... , housing inspection in particular you want to talk about that because we're proposing to go to fully funded/self-supporting. Yes. Lehman: The CVB. Atkins: The CVB. Lehman: Public Power. Atkins: Yeah. Lehman: Okay. Kanner: So you'll...if we don't meet tomorrow and we meet as Connie said maybe an hour early next Monday you'll add up those figures... Atkins: Yes. Kanner: ...tell us what we're short... Atkins: Where we are. Kanner: ...and have some more information on our questions at that time and we can begin to discuss implementing those if we come around to supporting them or other options - and/or other options. Atkins: I'm fine with that. I will do my best to do just what Steve said. Kanner: I'd be for meeting next Monday and not tomorrow. Lehman: I have no problem with that. Pfab: Fine we go to 5:30 next Monday. Vanderhoef: Don't you think some of the options might help guide some of the other things and it's the...for me to say I would accept some of these options... Atkins: Some of them they're already offthe table. Vanderhoef: ...certainly would then help me move along in my thinking of what else when we get back to this and have all the answers. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 76 Kanner: (Can't hear) talk those options with that information. We get through that conversation next Monday. Pfab: I think it's... Kanner: You're not eliminating. Champion: It's giving him enough to work on for a week. That's for sure. Atkins: Oh yeah. We'll be busy. Lehman: The only thing is we know we're $180,000 off to start with tonight. Vanderhoef: We're $248,000. Atkins: You're more than that. Lehman: We started at $180,000. So I think we'll all look at the options with a little different view than we did before we got here tonight. Because before we got here we didn't start out $180,000 behind. There's another issue that is probably going to come up prior to the any resolution of all these things. Steve's proposal to us is in the number 8 on page 4 where - and I think Steve has always been a very, very strong champion of our employees and as we noted there has been no reconunendation of any change in salary. Is that going to be acceptable to Council? Champion: Yes. Kanner: I'd like... Vanderhoefi Excuse me on... Kanner: I'd prefer that be on the table. Lehman: Well that's why I'm asking right now. Champion: We already have union contracts so there isn't any way we're going to get any money from our union employees. Kanner: No, not the union but for non-union contract people to put that on the table to discuss. Champion: You know I've got a little bit of problem with that. it seems like every time there's a budget crunch whether it's the School Board or whether it's University Hospitals or whether it's the City of Iowa City everybody who doesn't belong to a union automatically there are people saying we should cut their salaries or not give them a raise. I This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 77 have great difficulty with that. Somebody who is doing a great job and maybe putting in a lot more hours than they're being paid for to say because you're not a union employee because you're an executive or an administrator or a lawyer that you should not be compensated for working as hard as you do. I will not support that at all. Wilbum: And I have a problem with a wage freeze because this is stressful enough as it is and there's going to be lose of services and we're going to be increasing the workload of some existing staff. And that's another stressor. And that's why I would have a problem with a wage freeze. O'Donnell: (Can't hear) not have collective bargaining also and we're going to be requiring more and more. Lehman: I was probably prepared to look at a moratorium on cost of living increase for a year. However, when I look at $238,000 in Public Works you're cutting 10% of the people and we're going to require basically the same amount of work. We're looking at the finance folks cutting two people. We're looking at...I mean these are administrative positions. These are folks and my gut feeling is is that these folks are going to really earn their money. Now I want this...if we don't agree with this let's say so right now. But I don't really wish to discuss a freeze at some point three meetings from now. I hear you say you are not interested in... you're not interested in. Vanderhoef: I'm not interested. Lehman: It is decided. Atkins: Thank you. Thank you very much folks. I really appreciate your efforts. We still have got a lot of work ahead of us. Champion: So we're not meeting tomorrow night. Atkins: No meeting tomorrow night. Lehman: Thank you for your efforts. Good luck. Champion: Can I just...wait a minute. Are we going to meet at 5:30 next Monday? Is that the consensus of this group? An hour of budget. Pfab: It is 5:30 next Monday. Atkins: Yeah. That sounds fine. Kanner: 5:30. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003. Page 78 Vanderhoefi So then we're not looking at approving all of this until the June meeting at the earliest. Atkins: Yeah. Lehman: But if we could start. Keep this... Dilkes: Well it depends. I mean some of them will take ordinance changes and it's going to take three readings. Lehman: But I (End of Tape 03-44, Beginning of Tape 03-45) Atkins: Kind of like Steven had outlined. Lehman: Can we plan on budget summary at the beginning of each work session until we get the thing... Atkins: That's a good idea. That's an excellent idea. You got it. Lehman: From now until we're done the first item on every work session will be budget. Atkins: That's an excellent idea. Lehman: Alright. Pfab: Is that before Planning and Zoning. Lehman: I said the first item. That's before anything. Number 1. Karr: So does work session start of 5:30 until further notice? Lehman: 5:30 well at least for next Monday. We'll see where we are. Kanner: No, not until further notice. Lehman: Next Monday. Champion: I think next Monday we're going to need that time. Atkins: Life could be worse. This represents only a reasonably accurate transcription of the Iowa City City Council meeting of May 12, 2003.