HomeMy WebLinkAbout08/17/2011 - Special Minutes City CouncilMINUTES OF THE CITY COUNCIL BUDGET WORKSHOP
CITY OF COLLEGE STATION
AUGUST 17, 2011
STATE OF TEXAS
COUNTY OF BRAZOS
Present:
Nancy Berry, Mayor
Council:
Blanche Brick
Jess Fields
Karl Mooney
Katy-Marie Lyles
Julie Schultz
Dave Ruesink
City Staff:
David Neeley, City Manager
Kathy Merrill, Assistant City Manager
Frank Simpson, Assistant City Manager
Carla Robinson, City Attorney
Sherry Mashburn, City Secretary
1. Call to Order and Announce a Quorum is Present
With a quorum present, the Budget Workshop of the College Station City Council was called to
order by Mayor Nancy Berry at 3:16 p.m. on Wednesday, August 17, 2011 in the Carter Creek
Wastewater Training Facility 2200 North Forest Parkway, College Station, Texas 77842.
2. Presentation, possible action, and discussion on the FY 2011-2012 Proposed Buduet.
NON-DEPARTMENTAL EXPENDITURES
General and Administrative Transfers: ($5,668,355)
Public AQencv FundinE: $1,079,316
This increased from $907,013 in FYI 1. The RVP was increased $50,000 and the Arts Council
O&M is up $25,550 and the Arts Council Affiliates is budgeted for $100,000 this year; this was
funded with hotel tax funds last year. The Brazos Animal Shelter has been increased from
$169,513 to $191,266. The Health Department decreased from $351,500 to $326,500.
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• Hotel Tax Fund: This was discussed to provide clarification on some of the public
agency funding. Revenues are proposed to come in at $3,400,680. Proposed
expenditures in the amount of $2,085,142 include special events and programs,
convention center land debt service, Convention and Visitors Bureau, Arts Council
affiliates, Veteran's Memorial, Bryan/College Station Chamber, Northgate advertising,
and other/contingency.
Other/Transfers Out $3,427,883
The Economic Development Fund; Interfund Loan-First Street property; Texas 21, High Speed
Rail; state legislative consulting; transfer to Northgate District; appraisal district; and the Gulf
Coast Strategic Highway Coalition are proposed to be funded in an amount of $814,157.
$2,613,726 will come from a Recreation Fund subsidy.
Contin2encv $ 250,000
GENERAL FUND FINANCIAL FORECAST
Revenue projections are based on economic conditions which have resulted in conservative
revenue estimates. Sales tax is projected to have a slight increase. No future tax rate increase is
expected. Permit revenues are estimated conservatively. Investment earnings are lower.
There will be limited new expenditures, along with a limited pay plan, and increased health care
and retirement costs. Expenditures will include the continuation of the Police strategic plan and
the O&M for Fire Station #6.
KEY GENERAL FUND POLICY DECISION POINTS
The General Fund is funded through the Effective Tax Rate proposals, and we are proposing a
shift from debt to O&M. There are budget and service level reductions. Utility transfer policy
changes are also proposed.
PROPOSED GENERAL DEBT SERVICE FUND
The FYI I Debt Service rate is 22.0194 cents. The proposed FYI 2 Debt Service rate is 20.1536
cents. This satisfies the FY12 Debt Service requirements of $12,649,002. The parking garage
debt is funded from parking revenues, and the Cemetery debt service is paid from the tax rate.
OTHER GOVERNMENTAL FUNDS
Chief Financial Officer Jeff Kersten touched on the Economic Development Fund. $250,000 is
proposed to be transferred back from the Economic Development Fund into the Electric Utility
Fund.
Capital Protects: In 2008, the citizens authorized bonds for $76.9 million. These bond projects
include streets & transportation, parks, library, and a fire station.
ELECTRIC UTILITY FUND
Revenues are proposed at $100,623,786. This assumes a 2% growth in residential and
commercial. No rate increase is included in the FY12 proposed budget, but the forecast shows a
future rate increase in FYI 3.
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Proposed expenditures are $98,236,372. Approximately $86.5 million is for operations and
transfers, including purchased power and wheeling costs. Service level adjustments are
$214,000. Reduction SLA's include the Goodwill Tree Program and the Sun Source Solar
Photovoltaic Rebate Program. Increase SLA's include the Transmission Tree Trimming
Program, NERC certification pay, transformer maintenance, Electric Substations General Labor
Program, Meter Testing Program, and Dispatch Center operating cost. Other expenditures are
pay adjustments, debt service cost, transfer to General Fund (ROI), and direct capital.
Key capital projects were briefly touched upon, the largest being production projects in the
amount of $3,000,000. The most costly being the landfill with BVWSMA.
3. Presentation, possible action and discussion on the 2010-2011 ad valorem tax rate; and,
if necessarv on calling two public hearinus on a rLo used ad valorem tax rate for 2011-
2012.
This item was not discussed.
4. Adiournrnent
MOTION: There being no further business, Mayor Berry adjourned the budget workshop of the
College Station City Council at 6:26 p.m. on Wednesday, August 17, 2011.
!'L~r
Nancy Berry, Mayor
ATTEST:
.1
Sherry Mashk, City Secretary
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