HomeMy WebLinkAbout03/23/92CITY COUNCIL WORK SESSION
March 23, 1992
5:30 p.m.
Large Conference Room
Roll call: Angel, Brown, Budak, Buck, Dell, Fox and Wright.
Absent: Mayor Manning.
The agenda, as proposed, was approved.
Bob Stevenson, City Planner, presented the following F.Y. 1993
General Obligation Bond request list:
A. Street Improvements
Annual Street Reconstruction & Rehabilitation 1,500,000
Sixth Street Extension 1,000,000
Relocated U.S. 218 - Associates Costs 500,000
Greenhill/Sager 50,000
Shaulis Road 850,000
Relocated Westfield Avenue 370,000
N. Elk Run Road 475.000
SUBTOTAL STREET IMPROVEMENTS $4,745,000
B. Other Improvements
Fire Truck Pumping Engine 200,000
Fire Station Improvements 50,000
Municipal Stadium Improvements 65,000
Park Improvement Fund 50,000
Gates Pool Road Resurfacing 30,000
Traffic Signal System Improvements 50,000
Sidewalk Repair Program 70,000
Gateway Improvements 75,000
East Lake Bike Trail 25,000
Trees Forever Program match 20,000
Airport Runway Overlay and Grooving 0
Library Automation 50,000
FY 92 G.O. Bond Costs 120,000
FY 93 G.O. Bond Costs 125,000
Rath Tax Increment Projects 150,000
City Hall Renovations 75,000
A.D.A. Improvements (no specific location) 50,000
SUBTOTAL OTHER IMPROVEMENTS $1,205,000
TOTAL PROJECTS FOR FY 1993 $5,950,000
Mr. Stevenson noted that the 10% city match for the airport runway
project will not be expended during the current construction year;
therefore, it was recommended that these funds be transferred to
the Relocated Westfield Avenue account. Projects for F.Y. 93 total
$5.95 million. With the city's added valuation, the bonding
capacity of the city would be at 67.5% of its legal bonded
indebtedness (down from 72.69%). Many of the projects are
continuing in nature and construction has taken place over several
years. In all cases, the city does not bond until funds are
needed.
Kathy Oberle, 710 Forest Avenue, suggested that the city not bond
more funds then they are retiring in any one year. She reported
that we are taxing the citizens to death.
Don Temcyer, Planning and Development Director, stated that the
proposed list could be cut and noted that the finance officer has
done a good job of structuring the debt. It was noted that the
budget hearing, which will be conducted on Monday, March 30th,
reflects debt service of $5.41 per $1000 of valuation based upon an
issuance of $5.95 million.
City Council Work Session
March 23, 1992
Pagb 2
Larry P. Burger, Clerk/Auditor, clarified comments made by Ms.
Oberle concerning Moody's Investment Services and their comments
relating to the city's debt service. They did not recommend that
the city not issue debt but that the city should be concerned with
its cash balance. Former administrations have pledged no greater
debt service than that which is being retired each year. It was
noted that the city anticipates one more heavy construction year to
complete the interstate substitution program.
Bruce Meisinger, Budget Analyst, presented six options concerning
the debt service financial projections with various debt service
levies and various maturity schedules. It was noted that the city
anticipates a second lease purchase issue of approximately $500,000
for F.Y. 1993. This is hopefully the last of a two year program to
replace capital equipment items.
Discussion was heard concerning the need to reduce the overall debt
levy for future years. In order to make a significant impact on
lowering the total city levy, it would be necessary to carefully
review future bonding programs. It was the consensus of council
members that we proceed with the current year schedule but that the
city immediately begin to look at future years' bond schedule for
possible reductions.
No official action was taken. The meeting was adjourned at 6:30
p.m.
Larry P. Burger
City Clerk/Auditor