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08/30/1988 - City Council SpecialMINUTES OF A SPECIAL MEETING OF THE EAGAN CITY COUNCIL EAGAN, MINNESOTA August 30, 1988 A special meeting of the Eagan City Council was held on Tuesday, August 30, 1988, at 7:00 p.m., at the Eagan Municipal Center Building. Present were Mayor Ellison and City Councilmembers Egan, Gustafson and Wachter. City Councilmember McCrea was absent due to a work assignment for her employer. Also present were Director of Finance VanOverbeke, Administrative Assistant Hohenstein and City Administrator Hedges. The purpose of the meeting was to discuss the draft 1989 budget document as presented by the City Administrator. DRAFT 1989 BUDGET Subject to Approval City Administrator Hedges presented the 1989 operating budget for all general fund activities that was prepared by his office. He stated that preparation of the budget took into consideration the $10,495,780 direction of the City Council at the June 20 workshop, includes a sizable contingency, proposes the sale of an equipment certificate, proposes a control for all public improvement projects to be contracted by the City and, finally, a new revenue source which is a storm water user fee. The City Administrator commented in detail on each of the aforementioned budget considerations resulting in questions and discussion by the City Council. City Administrator Hedges provided a brief history of the budget process which began in May with handouts to all department heads for the preparation of their departmental budgets. He reported on the process that is used by each department, the review by his office in the final meetings requesting reprioritization by departments for their respective operating budgets. The Director of Finance presented the revenue estimates stating that several revenue classifications have been refined since the June 20 presentation. He presented other revenue forecasts including a projection for the mill rate which indicates a reduction of .2 mills, payable in 1989 from that amount payable in 1988. The City Administrator and Director of Finance presented graphs and other material to address various increases and expenditures as well as the offsetting revenues. The City Administrator stated that the purpose of local government is to provide the delivery of public services which is labor intensive. The cost for total personal services was reviewed for various departments by the Director of Finance. After a discussion regarding the proposed property tax, further explanation of the equipment revolving fund that requires the sale of an equipment certificate and special revenue sources, the City Administrator was asked to review each departmental budget in detail. The City Administrator reviewed each of the departmental budgets in detail and following an explanation by department, the City Council discussed personnel requests and capital items that were under consideration. The City Council review reduced the proposed operating budget by eliminating six new positions, changing the request from 25 to 19, eliminating a telephone study proposed at $30,000, reducing the East Metro contribution from $2,500 to $500 which is a non - participating status and other budgetary considerations. After considerable discussion of each departmental budget, the new revenue sources as proposed by the City Administrator, a suitable fund balance and other considerations, the City Administrator was directed to revise the budget given the adjustments that were proposed by the City Council. OTHER BUSINESS There was no other business to be discussed. ADJOURNMENT There being no further business, the meeting was adjourned at 10:40 p.m. Date City Clerk TLH