HomeMy WebLinkAboutMinutes-March 08, 2018-Special Session March 8, 2018
The Council of the City of Waterloo, Iowa, met in Special Session at Harold E. Getty Council Chambers,
Waterloo, Iowa, at 5:30 p.m., on Thursday, March 8, 2018. Mayor Quentin Hart in the Chair. Roll Call:
Jacobs, Morrissey, Shimp, Klein,Amos, Schmitt, and Juon.
146645 - Juon/Schmitt
that the Agenda, as proposed, for the Special Session on Thursday, March 8, 2018, at 5:30 p.m., be
accepted and approved. Voice vote-Ayes: Seven. Motion carried.
Michelle Weidner, Chief Financial Officer, gave a presentation of the FYI Budget.
Mrs. Juon questioned if other cities have adopted their budgets and if they are increasing or
decreasing their tax rates.
Michelle Weidner explained that Sioux City and Council Bluffs have substantial tax increases.
Waterloo will be among the highest though the askings have decreased.
Mr. Jacobs questioned how much state roll back money is included in the budget.
Michelle Weidner explained that the entire rollback is included and explained pending legislation at
the state level affecting the rollback.
PUBLIC HEARING
146646 - Juon/Schmitt
that proof of publication of notice of public hearing on the FYE2019 Budget as published in the
Waterloo Courier on February 23, 2018, be received and placed on file. Voice vote-Ayes: Seven.
Motion carried.
This being the time and place of public hearing,the Mayor called for written and oral comments.
David Dryer, 3145 W. 4th Street, questioned when Waterloo would stop worrying about comparing
itself to other cities and when the Mayor will be working to reduce the number of department heads.
Forest Dillavou, 1725 Huntington Road, commented that he does not support raising the franchise
utility fee due to the fact that it has a burdensome impact on people and other entities that turn around
and tax citizens.
John Sherbon, 1715 Robin Road, commented that the debt service takes up a large sum of money on
the budget and levy rate and that the city needs to reevaluate everything it does in order to find
savings.
Mike Spence, 4042 Jill Drive, commented that calls for service and the number of firefighters have
decreased over the years. He explained the hazardous impact of the periodic closings of Station 6 and
that continued reductions to Fire staffing levels is a serious concern.
146647 - Juon/Schmitt
That the hearing be closed and oral comments be received and placed on file. Voice vote-Ayes:
Seven. Motion carried.
146648 - Juon/Amos
that "Resolution approving the FY2019 budget with a total tax levy rate of$17.76290 and property
tax askings in the amount of $41,134,775", be adopted. Roll-call vote-Ayes: Two. Nays: Five
(Jacobs, Morrissey, Shimp, Klein, and Schmitt). Motion failed.
Mr. Morrissey requested an overview of the reductions included in the proposed budget.
Michelle Weidner provided an overview of the reductions included in the proposed budget.
Mr. Shimp questioned if the franchise fee increase would need to be a separate vote by council.
March 8, 2018 Page 2
Michelle Weidner explained that the council would need to vote to approve a franchise fee agreement
at a later date.
Mr. Jacobs commented that the Strategic Plan has a levy rate of $16.50 and at budget time, the
strategic plan goal gets pushed aside. He explained that the council sets the direction with a levy rate
and the responsibility lies with the department heads to find cuts. He commented that he believes the
franchise tax is a regressive tax because it impacts individuals who already have a difficult time
paying their bills.
Mrs. Klein commented that the proposed levy rate is a complete abandonment of the goal set in the
Strategic Plan. She commented that the city is taxing too much and that she does not support the
utility franchise fee increase. She further noted that she submitted thirteen budget suggestions and
does not see them included in the budget and did not receive an explanation as to why they were not
included.
Mrs. Juon commented that it is not fair to simply look at tax askings and that the city's property tax
valuation decreased.
Mr. Morrissey commented that he was present for the strategic planning sessions and believes that
picking a number to get the tax rate to was painting the city into a corner. He noted that if there were
going to be reductions then there should be increases in revenue. He commented that he submitted
proposals and did not believe that his were included in the budget either and that he would like an
opportunity to present his ideas. Dubuque used 50% of its Local Option Tax to help balance the
budget. Mr. Morrissey proceeded to present his proposed budget ideas submitted to the Chief
Financial Officer.
Mrs. Klein commented that she wishes council could have shared ideas together prior to the special
meeting. She presented her proposed budget ideas submitted to the Chief Financial Officer.
Mr. Shimp commented that he is in favor of the Local Option Tax and clarified the impact of the
utility franchise increase.
Mrs. Juon questioned if the city can legally require employees to live a certain distance from work.
Pat Treloar, Fire Chief, explained the state law on residency requirements for civil service public
safety employees and noted that the current policy is 10 miles from city hall.
Mr. Schmitt commented that he has had recommendations while he has been on council and he
presented a power point in 2016 and noted that the majority of the conversation taking place tonight
has been to increase revenue but in the private sector they work to both increase revenue and cut
expenses. He further commented that he is not in favor of using fund balance and increasing the
utility franchise fee and is in favor of some of Mrs. Klein's proposals.
Mrs. Juon commented that a city reorganization committee has been established and hopes that
changes will come from these discussions.
Mr. Morrissey commented that the majority of cities have increased their utility franchise fee. He
further commented that a reduction of services is not appropriate.
Mayor Hart commented that he asked for suggestions from council and has had conversations with
council members and has tried to find a compromise with council suggestions. He further
commented that he believes the city can get close to the $16.50 goal in the strategic plan and noted
that the plan calls for property valuations increasing in order help get the city to the goal.
Mr. Morrissey commented that he is opposed to the resolution due to the reduction of two jobs in the
Fire Department.
146649 - Morrissey/Juon
To recess for 10 minutes at 7:01 p.m. Voice vote-Ayes: Seven. Motion carried.
146650 - Morrissey/Amos
To reconvene at 7:13 p.m. Voice vote-Ayes: Seven. Motion carried.
March 8, 2018 Page 3
146651 - Klein/Schmitt
To approve a resolution adopting a levy rate of $17.17, removing 1/3 of backfill figure, and
eliminating increases to the utility franchise fee.
146652 - Morrissey/Amos
To recess for until 7:35 p.m. Voice vote-Ayes: Seven. Motion carried.
146653 - Morrissey/Amos
To reconvene at 7:39 p.m. Voice vote-Ayes: Seven. Motion carried.
146654 - Morrissey/Amos
Motion to recess for 10 minutes at 7:40 p.m. Voice vote-Ayes: Seven. Motion carried.
146655 - Shimp/Amos
Motion to reconvene at 7:59 p.m. Voice vote-Ayes: Seven. Motion carried.
The council then voted on motion number 146651, Resolution adopting a levy rate of $17.17,
removing 1/3 of backfill figure, and eliminating increases to the utility franchise fee. Roll call vote-
Ayes: Four. Nays: Three (Morrissey, Amos, and Juon). Motion carried.
Michelle Weidner explained that the cuts total $2.761 Million.
Mayor Hart commented that losses in personnel would have to take place in every department in
order to meet the cuts.
Mayor Hart handed out a veto letter and read the notice to council.
Mr. Schmitt motioned to reverse the mayor's veto. Motion died due to a lack of a second.
146656 - Morrissey/Juon
To recess for fifteen minutes at 7:15 p.m. Voice vote-Ayes: Six. Nays: One (Shimp). Motion
carried.
146657 - Morrissey/Amos
Motion to reconvene at 8:30 p.m. Voice vote-Ayes: Seven. Motion carried.
146658 - Morrissey/Amos
Resolution adopting a budget based off of the $17.76 proposal by restoring the two eliminated fire
fighter positions, removing cuts to the library and human rights commission, use of $210,000 fund
balance, use of 5% increase in general fund fees and permits, and a levy rate of$17.4070.
146659 - Shimp/Jacobs
To recess for 10 minutes at 8:44 p.m. Voice vote-Ayes: seven. Motion carried.
146660 - Morrissey/Shimp
Motion to reconvene at 8:54 p.m. Voice vote-Ayes: Seven. Motion carried.
Michelle Weidner explained that it would put the city at a levy rate of$17.4070.
Mrs. Klein questioned if that includes raising the utility tax and the full backfill amount.
Mr. Morrissey confirmed.
Mr. Jacobs requested clarification on the 5% increase to fees and permits.
March 8, 2018 Page 4
Mr. Morrissey explained that it would increase the general fund fees for permits.
Mr. Shimp questioned what fees are included in the general fund.
Michelle Weidner explained the permits included.
Mrs. Klein stated that she could not support increasing fees.
146661 - Morrissey/Amos
To lay on the table and take the item up at the end of the regular agenda on Monday. Roll call vote-
Ayes: Three. Nays: Four (Jacobs, Shimp, Klein, Schmitt). Motion failed.
The council then voted on motion number 146658, Resolution adopting a budget based off of the
$17.76 proposal by restoring the two eliminated fire fighter positions, removing cuts to the library
and human rights commission, use of$210,000 fund balance, use of 5% increase in general fund fees
and permits, and a levy rate of $17.4070. Roll call vote-Ayes: Three. Nays: Four (Jacobs, Shimp,
Klein, and Schmitt). Motion failed.
ADJOURNMENT
146662 - Juon/Amos
that the Council adjourn at 9:26p.m. Voice vote-Ayes: Seven. Motion carried.
Kelley Fele
City Clerk