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HomeMy WebLinkAboutMinutes PROCEEDINGS OF THE COMMON COUNCIL CITY OF OSHKOSH, WISCONSIN NOVEMBER 3, 2021 SPECIAL MEETING held Wednesday, November 3, 2021 at 5:00 p.m. in the Council Chambers, City Hall. Deputy Mayor Mugerauer presided. PRESENT: Council Members Courtney Hansen, Bill Miller, Lynnsey Erickson, Michael Ford, Deputy Mayor Matt Mugerauer, and Mayor Lori Palmeri (virtual) EXCUSED: Council Member Aaron Wojciechowski ALSO PRESENT: Mark Rohloff, City Manager; Pamela Ubrig, City Clerk; and Russ Van Gompel, Director of Finance The Pledge of Allegiance was led by Deputy Mayor Mugerauer. Mr. Van Gompel provided an overview of the 2022 City budget. He explained the sources of all the funds and the largest was the general operational revenue. He explained that the general fund accounted for all the departmental activities funded by the tax levy. He stated that the general fund revenue was about $49.5 million and the intergovernmental revenue was up by $61,900. He shared a snap shot of the general fund revenue from 2011 to 2021. He explained in the general fund expenditure, public safety was the largest expenditure and for that the 2021 indirect labor had been moved to the direct labor category for 2022. He stated that the general fund balance was the remaining funds when the expenditures were subtracted from the revenue and he shared the history from the last 4-5 years. He explained that the fund balance maximum per the policy was $14.8 million and the projected amount at the end of 2021 would be $18 million. He stated there had been discussions to use the fund balance for projects which would require Council approval once decided. He shared that a large portion of the 2022 tax levy was allocated to the general governmental services category as well as various services provided to the public. He explained that the tax levy included the budget enhancements that Council provided at the October Council meeting and that the levy was at 4.62%. He stated that the proposed tax rates the equalized value was increasing at a rapid pace and explained that the equalized value measured property based on the property value and the City taxes on assessed value which was determined by the accessor. He stated generally a City would like to stay within 10% and the Oshkosh was below that 10% and the rate of increase was 4.19%. He shared the assessed and equalized tax rate ratio. He showed an example of detailed monthly City cost that a tax payer would be charged. PROCEEDINGS OF THE COMMON COUNCIL – NOVEMBER 3, 2021 2 Council Member Ford asked if the debt service paid for infrastructure. Mr. Van Gompel explained that was correct. Council Member Ford questioned if a citizen reviewed the Capital Improvement Plan (CIP) they would understand the cost of services. Mr. Van Gompel stated that was correct. Council Member Miller asked for a history of the debt service. Mr. Van Gompel stated the City was limited of how much debt they could issue by its equalized evaluation. He explained the City reviewed how close the amount was to the maximum and mentioned that in prior years the amount had been around 80%. He stated the Long Range Finance Committee asked for the City to stay under 50%. He explained the City’s current rate was just over 50% and by 2022 the City would potential be below 50%. Council Member Miller asked if the City was making strides to lessen the debt. Mr. Van Gompel confirmed that was correct. Deputy Mayor Mugerauer stated that the City had changed from 20 years of financing to 10 years financing when applicable to save on the interest. Mr. Van Gompel explained that the debt had been retired sooner to allow for flexibility. Deputy Mayor Mugerauer stated the tax bill example to services was appreciated. Mr. Van Gompel mentioned tax bill reflect the cost of City services. PUBLIC HEARING There was no public comment. WORKSHOP Deputy Mayor Mugerauer thanked Council for going through each budget enhancement at the October 26, 2021 Council meeting. Mr. Rohloff stated Council had received the spreadsheet with the budget enhancements with updated details based on direction from Council. He explained that Council had the PROCEEDINGS OF THE COMMON COUNCIL – NOVEMBER 3, 2021 3 opportunity to make changes to the budget as well as at the Council meeting on November 9, 2021 which would be the final approval. Mr. Van Gompel mentioned the levy had been increased to 4.62% with the approved budget enhancements. He stated that Council had advised staff to keep the levy at 4.5%. Mayor Palmeri asked if the not approved items on the spreadsheet were related to the items to the left. Mr. Van Gompel explained they were for the items that were not approved by Council at the previous meeting. Council Member Miller stated the positions were needed and asked that the zoo specialist position be added. He stated his support for the zoo specialist position. MOTION: ADOPT 2022 BUDGET AMENDMENT #12 ZOO SPECIALIST FUNDED AT 50% (Miller; second, Hansen) CARRIED: Ayes (5) Hansen, Miller, Erickson, Ford, Deputy Mayor Mugerauer Noes (1) Mayor Palmeri Mr. Van Gompel explained the proposed contingency was a reserve of $32,000 or 50% which could be moved out of contingency. He stated the levy would not be impacted in 2022 however there would be an impact in 2023. Council Member Ford asked if the position was specifically for the bear exhibit. Ray Maurer, Director of Park, explained that staff was needed for various exhibits. Council Member Ford stated he supported the use of contingency funds if the 75% was needed and if the position would be needed right away he would support the position be added to the levy. Council Member Miller explained he would support the recommendation from staff. Deputy Mayor Mugerauer stated he supported the use of contingency funds. MOTION: ADJOURN (Miller, second, Hansen) CARRIED: VOICE VOTE The meeting adjourned at 5:37 p.m. PAMELA R. UBRIG CITY CLERK