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HomeMy WebLinkAboutMinutes MINUTES OF THE LONG RANGE FINANCE COMMITTEE August 6, 2014 ROOM 404 The regular meeting of the Long Range Finance Committee was held on Wednesday, August 6, 2014, in Room 404, at Oshkosh City Hall, 215 Church Avenue. The meeting was called to order by Chair Tom Pech Jr., at 5:15 p.m. Members Present: Tom Pech Jr., Harold Buchholz, Bryan Schulz, Jeff Thoms, Deb Allison- Aasby, Jeff Herzig, Jason Hirschberg Members Absent: Matt Lauritch, and Doug Pearson Staff Present: Trena Larson-Finance Director, Lori Burns–Administrative Assistant, Allen Davis-Director of Community Development, and Brenda Hicks- Sorensen-Interim Economic Development Manager, Lynn Lorenson – City Attorney. I.APPROVAL OF AUGUST 6, 2014 MINUTES th No changes/updates. Buchholz asked about Citizen Input from June 4, which included Gary Gray’s comments on equalized values and debt percentages of the top ten cities. Larson stated the information is compiled from a statistical report pulled from WI Taxpayer’s Alliance. Motion to approve minutes was made by Schulz, Second by Buchholz. Motion passed unanimously. II.CITIZEN INPUT None ECONOMIC DEVELOPMENT UPDATE – (~5:20 – 5:45) a)Chair Pech made a motion to deviate to item #B – Discuss new TIF#27 – North Main Street Industrial Park. Members questioned why this TIF was not brought before LRFC. Per Chair Pech, the TIF Policy Guidelines were followed. Chair Pech excused himself as present members engaged in further discussion on item. Buchholz questioned why LRFC is not advising on the formation of a TIF, but has advised when a TIF is closing. Thoms is concerned with the financial viability of the TIF and the impact of additional debt with the recent Moody’s downgrade. Hirschberg questioned why LRFC should be involved in evaluating TIF proposals. His thought the committee was to look at policy and recommend changes/additions to the council, and to be involved in the advisement of the City’s long term financial planning. Council Member Allison-Aasby stated several questions were posed thru the TIF review process and thorough discussion did take place. If additional questions exist they can directed to Director Davis and he can respond. Davis advised that there were several factors evaluated by the Planning Commission, one was the PAYGO, and being Storm Water improvements needed in the other. Davis responded that Storm Water improvements were necessary to make Bemis expansion viable. If it was not done this year, it would have been needed in the next few years. Davis saw it as not only taking care of Bemis but taking care of future businesses. Schulz agreed with Thoms that if the committee is at the bank end of a closing of a TIF, then committee should be at the front-end of the TIF. TIF Policy has no mention of the LRFC in it. Hirschberg is concerned that LRFC may be micromanaging as the committees’ role is to look at the “big picture”. Suggestion was made to include the role of LRFC in the TIF process. Buchholz stated the LRFC has sent an advisory letter recommending money be moved from a TIF closure to Economic Development. Suggested pulling the letter that committee sent regarding this. b. Oshkosh Revolving Loan Fund - (5:45 – 6:20) Davis and Hicks-Sorenson stated they would like ORLF up and running by January 2015. They shared a “Revolving Loan Fund Summary and Discussion Items” sheet from 8/6/14. The GO EDC Board approved a draft Strategic Plan. Their first strategy is to grow existing businesses that supports a significant return to the tax payers of the City of Oshkosh. Other ideas were creation and retention of quality jobs, assist in the relocation or attraction of projects, and to target opportunities that are in alignment with the GO-EDC strategic plan. Hicks-Sorenson stated several bankers, lawyers, and other businesses have stepped up and asked what they can start to do. III.LONG TERM DEBT PLANNING – (6:25 – 7:00) rd Director Larson gave an overview of the Debt Analysis distributed at the July 23 budget workshop prepared by Ehler’s and her. Buchholz stated it is a conservative snapshot. Larson concurred. Chair Pech stated council is on board and understands the limitations of the proposed 11.4 million for General Obligation (GO) borrowing. In 2015, four million is committed to the Central Garage. This allows for 7.4 million for all other General Obligation projects in the CIP. IV.ADJOURNMENT . Motion by Hirschberg, Second by Allison-Aasby to adjourn. Motion passed unanimously Meeting adjourned at 7:00 p.m.