HomeMy WebLinkAbout1996.0618.TCSM.Minutes TOWN OF FOUNTAIN HILLS
MINUTES OF THE SPECIAL BUDGET MEETING OF THE
FOUNTAIN HILLS TOWN COUNCIL
JUNE 18, 1996
A public meeting of the Fountain Hills Town Council was convened and called to order by Mayor Miles at 6:30
P.M., Tuesday, June 18, 1996, in the Fountain Hills Town Hall Council Chambers, located at 16836 E. Palisades
Blvd., Building B, Fountain Hills, Arizona.
ROLL CALL - Following the pledge to the flag and the invocation by Vice Mayor Lawrence, roll call was taken.
Present for roll call were the following members of the Fountain Hills Town Council: Mayor Jerry Miles and
Councilmembers Bill O'Brien, Marianne Wiggishoff, Sid Apps, Al Poma and Penfield Mower. Also present were
Town Manager Paul Nordin, Town Attorney Bill Farrell, Town Clerk Cassie Hansen, Director of Community
Development Gary Jeppson and Town Engineer Randy Harrel.
AGENDA ITEM#2-REVIEW AND CONSIDERATION OF THE PROPOSED BUDGET FOR THE TOWN
OF FOUNTAIN HILLS FOR THE 96/97 FISCAL YEAR. ALL ASPECTS OF REVENUES AND
EXPENDITURES WILL BE DISCUSSED AND CONSIDERED.
Town Manager Paul Nordin began the discussion with a review of the anticipated General Fund
revenues and expenditures for fiscal year 1996-97. He said the mid-decade census results would increase state shared
revenues and building permit fees were also anticipated to be significant. He reported the $1.9 million carry-in
revenue figure included the $300,000 reserve account for the proposed Community Center. He also reviewed the
General Fund expenditure chart by department.
Personnel and Related Issues
Merit Monies
Town Manager Nordin stated each employee had a job description. He passed out a copy of the present pay
resolution and explained about the merit system which allowed increases in wages due to employee performance.
Councilwoman Wiggishoff MOVED to approve the merit monies in the amount of $82,500 as presented.
Councilman Mower SECONDED the motion which CARRIED unanimously.
Employee Assistance Program
Mr.Nordin also reviewed the employee assistance program. Councilwoman Wiggishoff MOVED to allow$50 per
employee per year for the employee assistance program. Vice Mayor Lawrence SECONDED the motion.
Councilman Apps asked about certification of counselors and agencies. Town Accountant Julie Ghetti said a survey
had been conducted and only certified counselors had been selected and would provide 1-3 sessions or 1-10 sessions.
Councilman Apps asked for more information regarding the types of certification provided by counselors. The
motion CARRIED unanimously.
Computers
Mr. Nordin stated this new category in the budget had been established and contained detailed information regarding
computer requests for each department. Peter Putterman,Information Systems,explained that the server and software
for the internet could provide outgoing and incoming information including up-to-date agendas,program information,
meeting minutes and e-mail communications between the public and staff members. He reviewed the proposed
network operations proposal. Town Accountant Julie Ghetti summarized the needs for purchasing a new accounting
system to provide more efficiency in processing the Town's paperwork. Mr. Putterman identified the different
software packages he had viewed and related the advantages of a new accounting program. Mrs. Ghetti estimated
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the $40,000 accounting package would serve the Town for the next five to ten years. Mayor Miles expressed his
apprehension over this expenditure but said he recognized the need for adequate accounting capabilities. Mr.
Putterman stated additional modules would need to be purchased if the Town decided to establish a police department
or take over the Sanitary District. Mrs. Ghetti stated the Sanitary District was in the process of purchasing a similar
accounting software package and if the Town assumed the Sanitary District's operations, the accounting would be
compatible with the Town's.
Mr. Putterman reviewed the needs of the Engineering Department including purchase of street sign maintenance
software which currently does not exist. He estimated the cost of a replacement computer for the Director of
Community Development at$2500. The Parks and Recreation budget request for facilities and program management
software would provide for program registration,league scheduling and hardware upgrades in the amount of$18,750.
Mayor Miles asked Mr. Putterman to justify an expenditure for the Parks and Recreation Department. Mr.Putterman
replied that these special software packages were somewhat complicated. Both Mayor Miles and Councilman Apps
asked why the Town should spend$40,000 on an accounting package which would not also accommodate the Parks
and Recreation Department's needs. There were no questions regarding the Marshal's Department computer requests.
The Street Department also requested an additional sign maintenance software package to be used at the Street
Department.
Community Center
Councilwoman Wiggishoff MOVED to approve the Community Center budget. Councilman Apps SECONDED
the motion.
Councilman O'Brien asked where the revenues generated from rentals were shown in the budget. Mr. Nordin
referred to Page 15 which identified all revenues and contained rental income in the amount of $15,000. Walt
Franklin spoke on behalf of the Civic Association. He said there were no additional fees requested for the operations
of the Civic Association but felt the manager's fee should be increased from $16,000 annual salary to$24,000. The
only other increase was an additional $300 for workmens compensation insurance. Mayor Miles questioned the
request for an additional parking lot in the rear of the community center parking lot in the amount of$24,000. Mr.
Franklin said he recalled six to ten times last year when both the theater and the community center had activities
scheduled at the same time that there was overflow in the parking lot. Councilman Apps asked what maintenance
costs would be projected for the parking lot in the future. Town Engineer Randy Harrel estimated the costs to be
around $500.
Vice Mayor Lawrence said he approved of the $24,000 expenditure for paving the parking area even though the
Community Center activities might be moved to a new Civic Center within the next few years. He stated the
improvements would enhance the future sale of the building and would provide for paved parking as required.
Councilman O'Brien MOVED to amend the capital improvement line item to delete the $24,000 for the additional
parking expenditure. Councilwoman Wiggishoff SECONDED the amendment. Vice Mayor Lawrence called
attention to paved parking requirements for other commercial establishments and said he felt the Town should abide
by those standards. Mr. Harrel said the existing size of the Community Center parking lot did not meet the code
requirements but would with the additional 24 parking spaces. Councilman O'Brien WITHDREW his amendment
and Councilwoman Wiggishoff WITHDREW the second to the amendment. The motion to approve the Community
Center budget CARRIED unanimously.
Mayor & Town Council
Councilwoman Wiggishoff MOVED to approve the Mayor and Town Council budget as submitted. Councilman
Apps SECONDED the motion.
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Town Manager Nordin pointed out the addition of a line item entitled "Portraits" to enable professionally created
portraits of all councilmembers for posterity. He stated the wages line item contained the annual salary of$300 for
councilmembers and $400 for the mayor in addition to $13,200 for wages and FICA taxes for a part-time secretary
for the Council and Mayor. Another addition under capital expenditures was an outlay line item in the amount of
$18,900 for video tape delayed production of council meetings.
Mr. Nordin stated the present secretarial workload for the Council was being preformed by the Manager's secretary
as well as personnel from the Clerk's office. Vice Mayor Lawrence asked if expenses relating to office furniture,
computer and telephone were reflected in the budget. Mr. Nordin stated the Town had existing office furniture for
that position but there was no computer or telephone available. Vice Mayor Lawrence said he did not see the need
for a secretarial position and related expenses. Mayor Miles stated he was presently typing his correspondence at
his home and suggested the expense for a secretary could be eliminated if he had a computer at Town Hall. Vice
Mayor Lawrence AMENDED the motion to delete the part-time secretary expense and provide the Mayor with an
adequate computer. Councilman Poma SECONDED the amendment which CARRIED unanimously.
A vote on the motion to approve CARRIED unanimously.
Magistrate Court
Magistrate Stuart Shoob indicated there were no significant increases in the Court's budget. He stated he expected
400-500 additional cases during the next year. Mayor Miles asked what revenue was to be expected from the
increased caseload. Judge Shoob estimated an increase of 15% or about $30,000 in revenue. Councilman Poma
MOVED to approve the Magistrate Court budget. Councilman Apps SECONDED the motion which CARRIED
unanimously.
Administration
Postage
Town Manager Nordin pointed out that the amount of postage for the newsletter ($5,500) was included in both the
postage line item as well as the special programs-newsletter line item. He recommended to change the postage line
item to$12,500 and keep all expenses connected with the newsletter under the special programs-newsletter line item.
Management Contract-Ftn. Park
Mr. Nordin explained the largest item in the administration budget was a $350,000 request for funds for a
management contract which would allow budget expenditures if and when the Town assumed the takeover of
Fountain Park this fiscal year. He emphasized the inclusion of this budget request was not meant to mandate actions
of the Council but allowed for appropriations for a management contract if needed.
Professional/Outside Services
Mr.Nordin stated that$50,000 of the$91,500 budgeted for professional/outside services was budgeted for continued
downtown planning services and $10,000 for estimated wash area maintenance expenses. Also under the capital
outlay under furniture and equipment, $50,000 of the $69,100 would be spent for furnishings and equipment for the
new street department building. He said these funds had been taken out of the General Fund to enable reserve
money in the street fund to be used for street maintenance.
Councilman Poma MOVED to approve the Administration budget. Councilwoman Wiggishoff SECONDED the
motion.
Special Programs-Newsletter
Councilwoman Wiggishoff AMENDED the motion and suggested the newsletter be kept to its present size with four
pages and two colors and be mailed six times per year to every household of Fountain Hills. This would reduce the
budget amount from $16,700 to $13,005. Vice Mayor Lawrence SECONDED the amendment which CARRIED
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unanimously.
Special Programs-Red Cross
Councilman Poma AMENDED the motion to reduce the line item for Special Programs-Red Cross from $12,500
to $9,500. Due to a lack of a second to the amendment, the amendment DIED.
Street Department Yard
Vice Mayor Lawrence asked if the street maintenance building expenses were within the approved budget during
the past year. Town Engineer Randy Harrel estimated the expenses were $50,000 over the $400,000 budget largely
due to the masonry fence costs and inflated prices on constructing a new building. Councilwoman Wiggishoff asked
Mr. Harrel to prepare a report regarding actual expenses and comparisons with an alternative plan to buy existing
property containing a constructed building.
Dues & Publications/GPEC
Councilman Lawrence and Mr. Nordin both pointed out that during the four year membership period to GPEC, no
resulting referral for business development had occurred within the Town of Fountain Hills. After discussion
regarding GPEC (Greater Phoenix Economic Council), Vice Mayor Lawrence AMENDED the motion to delete the
sum of$6,000 from the line item Dues & Publictions-GPEC which represented the town's pro-rata membership fee
in GPEC and to increase the line item Special Programs-Mayor's Council from $15,000 to $21,000. Councilman
Mower SECONDED the amendment. Councilman O'Brien urged the Council to reconsider the deletion of GPEC
dues and speculated that one substantial lead from GPEC could justify the expenditure of annual dues. The motion
CARRIED with a 6-1 vote. Councilman O'Brien cast the nay vote.
Legal Fees
Mr. Nordin pointed out that 96% of the legal fees were charged to the General Fund and 4% to the Street Fund.
He stated the Town Attorney portion amounted to $92,000, the Town Prosecutor had a contract not to exceed
$72,000, and the remainder of the budget for legal fees was divided between fees to the advisor regarding the
employee retirement plan ($5,000) and public defender fees ($5,000). Mayor Miles suggested alternate sources and
costs for legal fees could be explored including in-house legal counsel, continuing the existing relationship, or
requesting an RFP for services at a different rate. Councilman Apps AMENDED the motion to direct the Town
Manager to investigate alternate sources and costs for legal fees and to prepare a report. Councilman Mower
SECONDED the amendment. The amendment CARRIED with a 6-1 vote. Vice Mayor Lawrence cast the nay
vote.
Salaries & Benefits
Town Accountant Julie Ghetti stated there would be no additional employees and the increase for the 96-97 fiscal
year was the result of wage increases and benefits costs increases. She offered to prepare a report employee
by employee.
Building Repairs & Maintenance
Town Clerk Cassie Hansen explained that an increase was anticipated because Building B expenses were included.
Mrs. Ghetti reviewed the various components of this line item which included increase in janitorial service, carpet,
window and furniture cleaning, repairs to the theatre building and funds for a handyman-odd jobs person.
Councilman Poma asked if a security system was planned for the Street Maintenance Yard. Town Engineer Randy
Harrel stated there had not been an allocation in the budget for a security system. Mr. Nordin offered in include
costs for a security system in the bid package for the street department building. Councilman O'Brien asked about
the outside tables expense of $1,800. Clerk Cassie Hansen explained the existing furniture was not owned by the
Town. Mayor Miles asked about the media cabinet expenditure item of$5,000. Peter Putterman identified the media
cabinet advantages which would include the displaying of maps and Council related materials.
Minutes of the Special Budget Session of the Town Council 06/18/96
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Capital Outlay/Furniture & Eqpt.
Councilman Poma AMENDED the motion to delete$500 from the Capital Outlay/Furniture &Equipment line item
because the expense of a work table was not needed. This would reduce the $69,100 line item figure to $68,600.
Vice Mayor Lawrence SECONDED the amendment which CARRIED unanimously.
Red Cross
Joyce Szeliga proposed an addition to the Red Cross portion of the budget. She suggested establishment of a
contingency fund of$5,000 to cover transportation expenses for residents in the event the Red Cross van was not
available. She also asked for $9,000 for a matching funds ADOT grant for a new handicapped-equipped van to be
used as an extra vehicle by the Red Cross. Councilman O'Brien AMENDED the motion to increase the Special
Programs-Red Cross by $14,000 contingent upon a revised agreement with Red Cross. Vice Mayor Lawrence
SECONDED the amendment which CARRIED unanimously.
The vote on the motion to approve the Administration budget as amended CARRIED unanimously.
Building Safety
Mr. Nordin explained the budget request for an additional building inspector and vehicle. He also stated an
allocation of$25,000 was included for initial expenses of a cd-rom for paperwork storage. Vice Mayor Lawrence
MOVED to approve the Building Safety budget. Councilman Apps SECONDED the motion which CARRIED
unanimously. Councilman Apps stated he had recorded 32 times the word "growth" had appeared in the appendix
and was concerned that limiting construction times would limit growth.
Engineering
Mr.Nordin stated one and one-half positions had been requested. A secretarial position would be changed from half-
time to full time and an additional engineering inspector along with a vehicle. Councilwoman Wiggishoff MOVED
to approve the Engineering budget. Councilman Apps SECONDED the motion.
Councilman O'Brien AMENDED the motion to delete the $26,000 expenditure for a 4-wheel drive vehicle. Vice
Mayor Lawrence SECONDED the motion. After clarification that the motion did not provide for acquisition of
another vehicle such as a two-wheel drive vehicle, Vice Mayor Lawrence WITHDREW his second to the motion.
Councilman Poma SECONDED the motion. Vice Mayor Lawrence said he felt the costs associated with a four-
wheel drive vehicle were excessive and that a two-wheel drive would serve the needs of the Engineering Department.
The motion CARRIED with a 4-3 vote. A roll call vote indicated Councilman Mower,Wiggishoff and Vice Mayor
Lawrence cast the nay votes.
Councilman O'Brien AMENDED the motion to insert$17,000 under Capital Outlay-Vehicles for a two-wheel drive
vehicle. Vice Mayor Lawrence SECONDED the motion which CARRIED unanimously.
The motion to approve the Engineering budget as amended CARRIED unanimously.
Community Development
Councilman Poma MOVED to approve the Community Development budget. Councilman Mower SECONDED
the motion. Mr. Nordin stated the salary line item had been increased and adjusted to show the full time salary of
one of the planners who had been hired mid-year. The motion CARRIED unanimously.
AGENDA ITEM #3 - CALL TO THE PUBLIC. (PUBLIC COMMENT IS ENCOURAGED BUT PLEASE
BE ADVISED THAT THE COUNCIL HAS NO ABILITY TO RESPOND OR DISCUSS MATTERS
BROUGHT UP DURING THE CALL TO THE PUBLIC AS SUCH DISCUSSION IS PROHIBITED BY THE
ARIZONA OPEN MEETING LAW.)
Minutes of the Special Budget Session of the Town Council 06/18/96
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No one came forward from the public.
L
AGENDA ITEM #4 - ADJOURNMENT.
Councilman O'Brien MOVED to adjourn the meeting. Councilwoman Wiggishoff SECONDED the motion which
CARRIED unanimously. The meeting adjourned at 9:32 p.m.
TOWN OF FOUNTAIN HILLS
By:
Je Miles,_)mayor
Jf (
A1`I'EST: uA.LcA__ 1o1.41AA/1A__.)
Cassie B. Hansen, Town Clerk
PREPARED BY:
Linda D. Lemmen, Administrative Assistant
CERTIFICATION
I hereby certify that the foregoing minutes are a true and correct copy of the minutes of the Regular Session Meeting
held by the Town Council of Fountain Hills on the 18th day of June, 1996. I further certify that the meeting was
duly called and that a quorum was present.
DATED this 11th day of July, 1996.
Cassie B. Hansen, Town Clerk
Minutes of the Special Budget Session of the Town Council 06/18/96
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