HomeMy WebLinkAboutMinutes - Minutes - City Council - Meeting Date: 4/8/2003 (3) * PLEASE NOTE: Since the Glendale City Council does not take formal action at
the Workshops, Workshop minutes are not approved by the City Council.
MINUTES
CITY OF GLENDALE
CITY COUNCIL BUDGET WORKSHOP
April 8, 2003
1:00 p.m.
PRESENT: Mayor Elaine M. Scruggs, Vice Mayor Thomas R. Eggleston, and
Councilmembers Joyce V. Clark, Steven E. Frate, David M. Goulet,
H. Phillip Lieberman, and Manuel D. Martinez
ABSENT:
ALSO PRESENT: Ed Beasley, City Manager; Pam Kavanaugh, Assistant City
Manager; Rick Flaaen, City Attorney; and Pamela Hanna, City
Clerk
1. FISCAL YEAR 2003-04 BUDGET PROCESS
CITY STAFF PRESENTING THIS ITEM: Mr. Chris Zapata, Deputy City Manager, Mr.
Art Lynch, Chief Financial Officer and Ms. Pilar Aguilar, Acting Budget Director.
This is the first of four scheduled City Council workshops to review the proposed Fiscal
Year (FY) 2003-04 Annual Budget.
Over the course of the next several workshops, the City Manager will present his
recommended balanced budget for FY 2003-04.
The City Manager and Budget Director will give a brief overview of this year's process,
outlining the steps taken to address the revenue shortfall Glendale continues to face,
including budget reductions and revenue enhancements.
Budget presentations will focus on service impacts of budget reductions, alternatives to
address these service impacts and discussion of any supplemental requests submitted.
Today's meeting will focus on the departments within the Administrative Services and
Community Development Groups.
The November 15 City Council Goal-Setting Retreat was the first step in the FY 2003-
04 budget process. At that meeting, staff presented the economic forecast for the city
and the Mayor and Council discussed the national and local economies and their effect
on Glendale's FY 2003-04 budget.
At the retreat, the City Manager discussed the measures the city has implemented to
address the revenue shortfall for both FY 2002-03 and 2003-04. These measures
included citywide budget reductions and revenue enhancements.
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Department heads presented their departmental budgets to the Leadership Team at a
series of administrative review meetings in March.
The agenda for this City Council workshop has been posted and all legal requirements
for notification have been met.
The City Council will review the FY 2003-04 budget at workshops during April. The
recommendations made at these workshops will direct staff in preparing for final City
Council budget review and adoption in June.
The recommendation was to review the FY 2003-04 Proposed Annual Budget and
provide staff with direction.
Ms. Aguilar stated staff performed a Global Economic Business Analysis, wherein they
assessed the economic environment, validated economic assumptions and monitored
state legislative actions. She said they also looked at the city's staffing needs and
Operating and Maintenance costs associated with the proposed capital facilities. She
explained that part of the Global Economic Business Analysis required staff to define
any potential gaps as well as options to address those gaps. She said the business
model concepts previously presented to Council included a comprehensive evaluation
of all services, identification of the economic costs of those services, and identification
of all revenue sources. She stated the business model will improve planning, support
their "wait-and-see" recommendations and improve efficiency throughout the city. Ms.
Aguilar identified projects already undertaken, including an in-depth expenditure
analysis of the Parks and Recreation Department and Sanitation and Landfill Division.
She stated Black and Vetch has once again been contracted to validate the city's Water
and Sewer Rates. She said they have also performed a revenue review and monitored
state legislative actions.
Ms. Aguilar stated their assumptions for the upcoming budget year are: 1) that the
General Fund base budgets are reduced and no inflationary adjustment has been made
for utilities or maintenance contracts; 2) there is limited General Fund "pay-as-you-go"
capital; and 3) that the Enterprise Fund assumes services will be maintained at their
current levels.
General Fund Revenues
Ms. Aguilar explained the 2002 local sales tax revenue dropped below the amount
received in 2001. She said staff anticipates meeting, if not exceeding, the projection for
2003 and, in keeping with the city's policy not to anticipate receiving more sales tax
than is planned for the current year, next year's projection is level.
Mayor Scruggs asked if the budget was built on receiving the same amount in sales tax
revenue as last year. Ms. Aguilar explained the FY 2002/03 budget was based on what
the city expected to get in FY 2001/02, however, because sales tax revenue dropped
after the budget presentations, the city actually received $1.2 million less than was
projected. She clarified the FY 2003/04 budget is built on the assumption that the city
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will meet its budget amount of $40,500,000 this year. Mayor Scruggs asked how the
$40,500,000 estimated for FY 2003/04 compares to the amount assumed in last year's
budget. Ms. Aguilar explained sales tax revenue for FY 2001/02 was projected to total
$42,600,000, but the actual amount collected totaled $41,400,000. She stated,
consequently, the City Manager directed staff to reduce their non-salary budget items
by 15 percent.
Councilmember Clark asked if the 15 percent cuts are reflected in the proposed budget.
Ms. Aguilar stated a 10 percent reduction is reflected in the FY 2003/04 budget,
explaining the 15 percent reduction was strictly for FY 2002/03.
Ms. Aguilar reviewed month-by-month collections for FY 2002/03, pointing out the sales
tax started to dip in May and June. She said sales tax revenue has since been lower
each month as compared to the same month of the prior year. She noted sales tax
revenue for the past three months has started to exceed the prior year slightly.
Ms. Aguilar stated the State Shared Sales Tax revenue has also leveled off, slightly
decreasing between FY 2001 and 2002. She noted new estimates for FY 2003/04
indicate only slight growth. She stated this revenue source will pose the biggest
problem. She explained revenue the city will receive in FY 2003/04 was actually
collected in FY 2002/03, noting the State suffered its most significant loss in sales tax
collections that year. She said, therefore, the city will see $3.8 million less in sales tax
in FY 2003/04. She pointed out, however, the number of building permits for FY
2002/03 is estimated to be more than twice that of FY 2001/02 and, coupled with the
increase in building permit fees, represents an increase in revenue to the city. She
stated Court Fines and Fees collections have continued to improve over the past three
years, however, in an effort to be conservative, are estimated to remain level for FY
2003/04. She said, therefore, the city anticipates revenues to remain generally flat
despite the shortfall in State Shared Revenue.
Ms. Aguilar stated a total of $116.3 million in General Fund revenue was originally
estimated, however, due to the $3.8 million reduction in State Shared Revenue, total
ongoing revenues for the fund are estimated to total $112.5 million. She said the total
economic cost of all services provided through the General Fund is estimated at $109.5
million. She stated additional base requirements include the increase in the Arizona
State Retirement System contributions, Public Safety Retirement System contributions,
$417,130 in supplementals, and transfers to other funds. She said, therefore, total
ongoing costs equal $127.4 million.
To address the $18.8 million ongoing gap, Ms. Aguilar said staff has made non-salary
budget reductions, totaling $3.4 million. She said staff is also proposing changes in
cemetery operations and pay policies that will result in estimated savings of $400,000
and $322,640, respectively. She stated all other budget reductions identified in the
Council's book total $2.1 million. She discussed other one-time revenue and deferral-
based options the city can use to address the gap, including: $220,000 in uncollected
court fees; $2.6 million in sales tax revenue from new development; $500,000
transferred from the Vehicle Replacement Fund to the General Fund due to cessation
of the alternative fuels program; $3 million related to the sale of parcels at Northern
Crossings; $2.6 million in Replacement Fund deferrals; a General Fund hiring freeze
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estimated to save $1.1 million; $2.4 million for the Hickman land refinancing; and the
WestCor ID payment refinancing which will hopefully result in a savings of $1.4 million.
She said the one-time and deferral based options total approximately $13.9 million.
In response to Mayor Scruggs' question, Mr. Lynch explained WestCor is currently
paying their Improvement District payments and the city is looking at a financing
mechanism that would pay that off and refinance it into a different type of bond that
costs the city less.
Councilmember Clark asked why staff felt it was alright to project $2.6 million in
additional sales tax revenue from new development as a one-time revenue source, but
not as future sales tax revenue. Ms. Aguilar explained sales tax from new development
was not counted as an ongoing source, but a source that could potentially help with
one-time expenses. She noted the identified tax revenue is for projects that are
currently under construction. Mr. Lynch explained Local Sales Tax revenue is matched
against specific expenditures to support the Operating Budget, both for the current year
and in terms of future activity. He confirmed for Councilmember Clark that they are
counting on the $2.7 million in additional sales tax to offset the shortfall that will occur in
the FY 2003/04 budget. He noted some of the new developments have opened and
are already producing sales tax revenue for the city.
Mayor Scruggs clarified the $2.7 million is not being used for one-time expenses, but to
achieve a lower reduction to the on-going budget.
Councilmember Lieberman asked what property does the city plan to dispose of for $3
million. He also asked why replacement fund deferrals and the hiring freeze are shown
on the positive side against the shortfall, explaining the items reflect monies the city will
not be spending, but does not represent income to the city. He also asked if the
Hickman and WestCor refinancings represent actual income to the city. Mr. Lynch
explained the $3 million refers to the amount staff believes the city will receive by the
end of the fiscal year from the sale of the Northern Crossings property. With regard to
the Hickman refinancing, he explained staff found a way to finance the proposed
payment schedule, eliminating the need for the General Fund to make irregular cash
payments totaling $2.4 million. He pointed out that, because of the current market, the
city's interest costs will actually be smaller than they were when the original financing
for purchase was put into place.
Councilmember Frate pointed out the Northern Crossings project totals $14 million,
stating $3 million is a conservative estimate of the amount the city will receive during
the proposed budget year.
Councilmember Clark asked if the $3 million identified for the Northern Crossings
project refers to the smaller or larger pads. Mr. Lynch explained the amount refers to
pad sales in general, noting it could be a mixture of both large and small pads.
Councilmember Clark asked if the $3 million encompasses the amount the city should
receive for the sale of the Wal-Mart pad. Mr. Lynch responded no, explaining the
Development Agreement calls for those payments not to take place until the building
permits are issued and the Wal-Mart property has closed.
Ms. Aguilar continued with her presentation, reporting revenue and expenditure savings
in the amount of $20.2 million and with the total potential gap at approximately $18.8
million. She said staff is recommending $550,000 be placed in Contingency, leaving
$847,040 available in one-time money.
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Mayor Scruggs asked if the $550,000 being put into the Contingency Fund will put that
account at the optimum level. Ms. Aguilar said the proposed plan puts the Contingency
Fund at 6 percent, noting it is typically at 10 percent. She stated the 4 percent gap
equates to approximately $4 million. She pointed out staff is looking at other
opportunities to replenish the fund by the end of the current fiscal year.
Councilmember Lieberman expressed his opinion the $847,040 surplus should not be
spent until the end of the fiscal year in case it is needed to cover unforeseen revenue
shortfalls. Councilmember Clark pointed out the $847,040 balance is based on the
proposed budget and could be reduced if changes are made to the budget.
Councilmember Lieberman stated Councilmember Clark's observation supports his
position that the city should hold onto those funds until it is determined if they will be
needed. Mayor Scruggs, Vice Mayor Eggleston and Councilmember Frate agreed.
Ms. Aguilar reviewed the budget workshop schedule, stating today's session will cover
the Administrative Services and Community Development Groups. She stated the April
15 session will cover the Public Safety Group and the City Manager's Group, the April
22 session will deal with Appointed Officials and the Community Services Group and
the April 29 session will cover the Public Works Group and Final Balancing if time
permits. She noted May 6 has been set aside for additional wrap-up issues and
questions.
Administrative Services
Mr. Zapata stated the Administrative Services Group is comprised of Information
Technology, Finance, Budget and Research as well as Conventions, Events and
Corporate Services. He said this group's departments are consistently recognized for
their excellence and efficiency, which often translates into significant dollar savings. He
noted volunteers and partnerships assist the group in providing services. He reported
the Administration base budget totals $358,187, with no supplementals or carryovers.
Councilmember Clark asked where the City Manager's mandate to reduce each group's
budget by 10 percent is reflected. She pointed out Administration had a one percent
increase, Conventions and Events has a five percent increase, Non-Departmental has a
23 percent increase, and Transportation has a two percent increase. She stated there
were only two areas that realized a significant decrease in their budget, Info Tech at 22
percent and Planning at 13 percent. She said Finance has a one percent decrease,
Management has a two percent decrease, Building Safety has a nine percent decrease
and Engineering has a six percent decrease. Ms. Aguilar explained the detailed
budgets achieve a level of reduction to non-salary items. She stated 95 percent of
certain budgets are comprised of salary items, while 40 percent of other department
budgets are comprised of non-salary items. Councilmember Clark asked about Internal
Premiums. Ms. Aguilar explained the amount of the Internal Premiums was removed
from the budget and an additional 10 percent reduction was made to non-personnel
related items. Councilmember Clark asked about the three percent increase in salaries
and benefits. Ms. Aguilar explained the increase is the result of the increased
contributions to retirement. She reported approximately 97 percent of the General
Fund goes to pay salaries and benefits.
Conventions and Events
Mr. Zapata stated the base budget totals $2,360,957 and they are looking at reductions
totaling $49,400. He said this budget has no carryover or supplementals.
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Councilmember Lieberman pointed out the budget shows a $109,598 increase and
asked where their 10 percent decrease is reflected. Ms. Aguilar explained part of the
funding for Convention and Events is a self-sustaining fund. She said they anticipate
receiving additional revenue and, in order to spend the revenue, they had to increase
the appropriation. Mr. Vern Biaett, Special Events Manager said they took in $250,000
in sponsor fees, event fees and vendor fees last year, but anticipate receiving up to
$350,000 this year. He stated they are asking for additional authorization in case
additional monies are received.
Councilmember Clark asked if the inflated $700,000 being requested is part of the
overall budget they are attempting to balance. Ms. Aguilar explained the money is
placed in a separate Revenue Fund, not the General Fund. She stated the item does
not represent an increase of appropriation within the General Fund, but gives the
department an opportunity to spend revenue it receives throughout the year.
Councilmember Clark expressed concern that the Civic Center is becoming a venue for
weddings, product shows and other similar events and asked if there are plans to move
in any other direction. Ms. Bobbye Hamilton, Acting Director of
Conventions/Events/Cultural Services responded yes.
Mr. Zapata continued his presentation, stating the budget reduction target amount totals
$49,400. He said that amount includes a reduction in advertising campaigns, noting
they are developing other marketing strategies. He stated they are also looking at a
$23,000 reduction in Special Events.
In response to Vice Mayor Eggleston's question, Ms. Aguilar said the department
summaries reflect the 10 percent reduction, but not the additional reductions being
discussed.
Finance
Mr. Zapata reported a base budget of $5,748,855, with a targeted budget reduction of
$104,798. He reviewed the impact to the Finance Department, stating Finance
Administration will now electronically produce reports rather than print hard copies. He
clarified that, while outside Professional Development services will no longer be funded,
there are numerous opportunities within the organization for professional development.
He reported Accounting Services is looking at a $44,905 reduction, stating check runs
will now occur on a weekly rather than daily basis. He said Materials Management will
also reduce professional development while Materials Control will reduce professional
development and overtime. With regard to Licensing and Collection, he said they will
now work without the assistance of seasonal and temporary staff and eliminate
professional development in an attempt to reach their $29,612 target. He said they are
also looking at eliminating professional development and courtesy mailings for
licensees in the Regulatory Communications Division.
Councilmember Clark asked how much of the budget is consumed by liquor notification
signs. Mr. Zapata clarified staff has since decided to continue that practice.
Information Technology
Mr. Zapata stated Information Technology has a base budget of $5,388,047 and a
targeted budget reduction amount of $80,838. He said the department intends to
achieve their target by eliminating or reducing their contracting dollars, noting projects
will continue to move forward, but at a slower rate.
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Councilmember Clark asked about the 40 percent reduction in Operating Capital. Ms.
Aguilar explained there will be no payments into the PC Replacement Fund, therefore
they are planning to make very limited expenditures from the fund, significantly reducing
operating capital.
Mayor Scruggs asked if personnel typically dedicated to replacing equipment could be
redirected to work on items that would usually be handled by outside contractors. Mr.
Murphy responded no, explaining different skill sets would be required. Mayor Scruggs
asked what those employees will do if they are not replacing equipment. Mr. Chuck
Murphy, Chief Information Technology Officer said those individuals are doing security
and inventory work.
Councilmember Clark asked if the employees could be cross-trained to do the work
previously handled by outside contractors. Mr. Murphy stated, while cross-training on
the administrative side of PeopleSoft is underway, it would be unreasonable to expect
the employees to gain specific knowledge of the programs in a short period of time.
Budget Department
Ms. Aguilar reported a base budget of $833,469 and a targeted budget reduction of
$21,194. She said $2,671 of the reduction will be a reduction in contractual line items
in place for changes to the budget internal request system. She said, therefore, they
will have to find an alternative way to address updating that system. She noted Grants
Administration is looking at eliminating a 20-hour per week position.
Councilmember Clark asked why they felt reductions in Grants Administration were
justifiable, given that it is one of the few revenue producing areas in the city. Ms.
Aguilar said people within the departments citywide help put grant proposals together,
therefore, they felt they could forego an administrative support position.
Non-Departmental
Ms. Aguilar stated the base budget totals $6,433,483 and they are looking at a budget
reduction of$68,655.
Mr. Beasley reported WestMarc has outlined a program for responsiveness and
partnership, and has reiterated the value it places on Glendale's membership. He said
several initiatives are currently taking place to address organizational change, outline
their mission and strengthen their business model. He said, therefore, staff is now
recommending that membership be retained at a cost of $5,000.
Councilmember Lieberman agreed.
Councilmember Clark asked about GPEC. Mr. Beasley said GPEC has agreed to a 10
percent reduction in all agency fees, to review their mission and goals, and to look at
their leadership structure. He said, based on discussions with Economic Development
and GPEC's commitment, staff is now recommending the city maintain this membership
as well.
Councilmember Clark asked about Fund 01. Ms. Aguilar explained Non-Departmental
keeps the costs for things not specific to any one department. Councilmember Clark
asked staff to provide Council with a list of the items contained in each fund. She
asked why Fund 01 decreased 54 percent, when Fund 16 increased by 100 percent.
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Ms. Aguilar stated they do not plan to do any unbudgeted carryover next year.
Ms. Aguilar stated outside agencies, including Central Arizona Shelter Services,
Glendale Human Services Council, Los Cosinos and the Glendale Sister Cities, have
seen a reduction of $32,655. She noted the outside agencies provided reports
indicating the value of the services they provide. She stated the agencies will also
experience the 10 percent reduction.
Councilmember Martinez asked why lease payments have increased. Ms. Aguilar
stated the first payment on the Northern Crossing Loan will be budgeted next year.
Councilmember Clark asked if outside agencies, such as the Chamber, report back to
the city as to how the money will be spent. Ms. Cathy Foland, Management Assistant
stated the City Attorney's Office requires quarterly reports from any agency to whom the
city provides $25,000 or more. She said they have received reports from all agencies,
except the Chamber. Mayor Scruggs pointed out the city's agreement with the
Chamber outlines specific responsibilities and actions.
In response to Councilmember Clark's question, Ms. Aguilar reported the proposed
budget for CASS for next year totals $108,900. Mayor Scruggs noted Glendale is one
of the few jurisdictions that has increased CASS funding on an annual basis to reflect
increases in homelessness and the population as a whole.
Councilmember Frate asked if all five outside agencies are human services agencies.
Ms. Aguilar responded yes. Councilmember Frate expressed his opinion the budgets
for those agencies should be returned to full funding as soon as possible because of
the growing demand.
Councilmember Lieberman asked if the agency reports are scrutinized to ensure a
certain percentage of funds are directed back to the community. Ms. Foland responded
yes.
Councilmember Martinez asked about the program with APS in which the city provides
24-hour telephone coverage on water connects and disconnects. Mr. Robert Drake,
Revenue Administrator said the program handles approximately 1,800 calls per month.
Councilmember Clark asked Mr. Drake if they have implemented online bill paying
services. Mr. Drake said they are working with Information Technology to allow online
bill paying for water, sales tax returns and licensing. Mr. Murphy stated they have
approached two entities and are in the process of evaluating the costs associated with
online payments. He said they will return to Council for further discussion on the issue
once all of the information has been compiled.
The meeting recessed for a short break.
Community Development
Mr. Tim Ernster, Deputy City Manager stated the Community Development Group
consists of four departments: Building Safety, Planning, Engineering and
Transportation. He said this area has experienced a fairly significant increase in work
orders, both in terms of commercial and residential activity. He stated their challenge is
to continue to provide quality services while at the same time managing a workload
created by two large, complex and unique projects. He said some of the supplementals
included in their budget request relate to the Cardinals stadium project, pointing out,
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however, staffing costs associated with the Coyotes arena will begin to decline over the
next six months. He noted a number of temporary staff members currently working on
the Coyotes arena will transition into the Cardinal's project. He stated other
supplemental requests relate to high customer service and growth within the
community. Mr. Ernster reported development fee collections have increased
substantially during the current fiscal year. He stated the Transportation Tax approved
by the voters in 2001 covers many of the costs associated with the city's transportation
program.
Administration
Mr. Ernster reported a base budget of $249,716 and a $7,747 budget reduction. He
said all non-essential costs were cut out of the budget, with the remainder of the
reduction coming out of the salary line item. He stated there are no carryover or
supplemental requests.
With regard to the elimination of Professional Development funds, Councilmember
Frate asked if any Community Development employees have to be re-certified. Mr.
Ernster stated there are requirements for on-going certifications, however, the
reductions to professional development refer only to his budget.
Councilmember Lieberman asked why they do not show a drop in staffing, given the
fact that a Senior Management Assistant has been transferred to the Transportation
Department. Mr. Ernster explained the Senior Management Assistant was assigned to
the Transportation Department in an "acting" capacity and another individual was
transferred into the vacant Senior Management Assistant position in an "acting"
capacity.
Councilmember Goulet asked how the Northern Crossings development and downtown
redevelopment will impact their staffing needs. Mr. Ernster said Ms. Deborah Mazoyer,
Director of Building Safety will present two or three supplemental requests for
appropriations to expedite plans review and after-hours inspections. He said those two
items will allow them to provide a high level of service to the development community
and respond to the Northern Crossings, Coyote's arena and Cardinal's stadium
projects.
Building Safety
Ms. Mazoyer reported the base budget totals $3.0 million, the budget reduction totals
$67,647 and they have no carryover requests. She said they have approximately
$701,387 in supplemental requests, however, a majority of the requests relate to the
Cardinal's stadium and will be covered by permit fees. She explained the $67,647
reduction represents the delay in hiring a Development Plans Supervisor. She noted
they hope the new permit system, expected to come online this fall, will eliminate the
need to fill the Development Plans Supervisor position in the future. She stated a
number of individuals are being cross-trained to help in that area until the system
comes online.
Councilmember Lieberman pointed out Arena Development Services shows a
$260,000 reduction, Supplies and Contracts shows a drop of $136,000 and Internal
Premiums shows a decrease of $23,000. Ms. Mazoyer explained the arena reduction
refers to the decrease in salaries. She said the Hansen contract and other contractual
employees come out of the Supplies and Contracts line item and Internal Premiums
refer to the replacement funds for vehicles and computers.
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Councilmember Clark asked if the inspectors currently working on the arena project
would move on to the Cardinal's stadium once the arena is completed. Ms. Mazoyer
responded yes, explaining that falls under a separate supplemental request. She
acknowledged there will be an overlap of about six months where additional people will
have to be hired to work on the Cardinal's project. Councilmember Clark expressed her
opinion there are cost recovery and service benefits associated with the Hansen
system. Ms. Mazoyer agreed, stating the system will allow employees to obtain quick
status checks and result in less paperwork. She offered to add that information under
Cost Recovery and Service Benefits in the final budget.
Ms. Mazoyer stated one of the supplement requests is for appropriation funds for
expedited review. She explained the fees will cover overtime costs associated with
employee review of the plans or the cost of sending plans to outside agencies for
review. She confirmed it is a revenue neutral appropriation.
Mr. Ernster stated, while they believe the Hansen system will eliminate one position in
Building Safety, they will also evaluate the impact on other Community Development
departments in the future to determine if further reductions can be made. He pointed
out there is a one-time request for the Hansen system.
Mr. Michael Munroe, Senior Management Assistant explained the $65,000 one-time
supplemental request related to the Hansen system is specifically for costs associated
with data conversion and out-of-pocket expenses for project management. He agreed
the system will result in service benefits, including an Internet component that allows
residents to apply for and receive permits online. He said they will also use a lot of
wireless technology, explaining inspectors will have handheld units that allow them to
enter the results of their inspections from the project site.
Councilmember Clark asked how much has the city invested in the system to date. Mr.
Monroe stated the original contract amount was $509,000.
Councilmember Frate asked if the system will be up and running in time for the stadium
project. Ms. Mazoyer responded yes.
Mr. Monroe pointed out Code Enforcement will also receive handheld units once the
system is online.
Councilmember Clark asked if information entered into the system will be available to
Council online. Mr. Monroe responded yes, explaining a permit or case number will be
required to access the system.
In response to Councilmember Martinez's question, Ms. Mazoyer explained the
Development Plans Supervisor position is not related to the actual review of plans. She
said a number of people will be cross-trained to minimize the impact of not filling the
position until the Hansen system can be brought online. She expressed her opinion
there will be minimal impact to the citizens.
Ms. Mazoyer stated another request relates to additional overtime for Building
Inspectors. She said the request is an on-going appropriations request and will be
revenue neutral. She stated a number of people would prefer to have after-hours
inspections and the appropriation would allow the fees, once received, to be paid to the
inspectors as overtime money.
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Ms. Mazoyer reviewed the request for the stadium construction, explaining they are
requesting three structural building inspectors, a plumbing/mechanical inspector, an
electrical inspector and overtime for the senior inspector to oversee these individuals.
She said all of the positions would be paid for by permit fees from the stadium. She
noted they will come forward next month for a couple positions that will be needed
before the fiscal year starts.
Councilmember Goulet asked for assurances that the demands of the Northern
Crossings development and other developments throughout the city will be met without
any untimely delays because of the stadium project. Mr. Ernster stated the
supplemental requests are intended to ensure the city continues to provide a high level
of service to the development community.
Planning Department
Mr. Jon Froke, Planning Director stated the Planning Department's budget for the next
fiscal year consists of an overall base budget of approximately $1.5 million. He said the
budget reduction is at zero and there is a $3,661 carryover request. He stated there
are no supplemental requests.
Councilmember Clark asked about the Glendale APA Conference line item. Mr. Froke
noted the carryover amount was decreased from $5,000 during the administrative
review process. He said the City of Glendale will host the annual Arizona Planning
Association state conference this fall. He noted the dollar amount identified is
somewhat misleading in that they do not intend to spend the entire amount on the
conference. He stated the conference is actually funded by the APA, but they
anticipate covering minor incidental costs. Councilmember Clark asked if the item has
been recommended for approval. Mr. Froke responded yes.
Mr. Ernster pointed out there are no budget reductions proposed for the Planning
Department, explaining a majority of the Planning Department's budget relates to salary
costs. He said it is there belief that the elimination of a position would result in a
degradation of services to the development community.
Engineering
Mr. Larry Broyles, City Engineer stated the base budget for the Engineering Department
totals $4.2 million, with one supplemental request for $107,491 and no carryover. He
said they are recommending a $90,318 reduction in the Special Projects Administration
section. He stated the Geographic Information System (GIS) Analyst position, which is
currently vacant, represents $1,000 of the reduction and the remainder relates to the
aerial mapping program. He said the Engineering section's budget has been reduced
by $7,213, which will delay the Capital Improvement Plan (CIP) database services and
software. He stated the Survey department will be eliminated, noting all of the
department's three positions are currently vacant. He stated the $1,100 reduction to
Property Management will delay the update to their database and plotter programs.
In response to Councilmember Clark's question, Mr. Broyles clarified they are
recommending deferral, not elimination, of the GIS program. Councilmember Clark
asked if they intend to eliminate maintenance of the downtown building. Mr. Ernster
stated they are proposing the $42,000 carryover for aerial mapping be used to restore
the $39,462 for maintenance of the downtown building. Councilmember Clark asked if
the Property Management Tracking System will be eliminated or deferred. Mr. Broyles
stated it is being deferred.
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Mayor Scruggs suggested information concerning the cost recovery and service
benefits of the Hansen System be included if the book is revised, pointing out other
entities make judgments about the city's capabilities based on information they read.
Mr. Zapata stated sections of the book will be revised as necessary.
Councilmember Martinez asked about the $205,000 identified for Surveying. Mr.
Broyles explained they eliminated support for the three vacant positions in the
Surveying Department. He said the salary for those positions is still reflected in the
overall budget should they decide to fill the positions in the future.
In response to Councilmember Frate's question, Mr. Broyle's stated they currently
contract out surveying services for all in-house designs.
Ms. Aguilar explained the Council workbook is a working document intended to assist
the Council in their decision making process. She stated the final document will not
reflect all of the service level adjustments.
Mr. Broyles continued his presentation, stating the $107,491 supplemental request is
related to the Cardinal's stadium and is for a Senior Civil Engineer. He stated
approximately $50 million in infrastructure improvements will be required for the
stadium's construction, including the extension of water and sewer mains and street
improvements. He explained the Senior Civil Engineer will oversee the design
consultants and perform construction inspections for the improvements.
Transportation Department
Mr. Ernster reiterated that many of the costs associated with the Transportation
Department are covered by the Transportation Tax.
Councilmember Clark stated the lack of overall reduction in the Transportation
Department cannot be attributed to employees only, pointing out only $5.2 million of the
$13.6 million budget relates to wages, salaries and benefits. She asked what the 33
percent Operating Capital reduction and 50 percent reduction in Street Light
Management signify. Mr. Jim Book, Transportation Director explained a Senior
Technician in Street Lighting was moved into the Traffic Mitigation Division.
Councilmember Clark pointed out the amount of money available for Traffic Mitigation
has been reduced. Mr. Book agreed. Mr. David Hoffman Traffic Lighting Manager
explained the 33 percent reduction in Operating Capital represents a reduction to pole
and street lighting inspections, replacements and painting. He noted they were able to
save approximately $15,000 through reductions in street light maintenance contracts.
He said they also reduced Line Supplies to its lowest level ever.
Councilmember Clark questioned the reduction in Traffic Mitigation Measures, noting it
is one of the most popular programs in the city. She said neighborhoods constantly call
the city asking for speed humps on their streets. She asked how many locations does
the city currently implement per year. Mr. Book said the city did between 40 and 50
locations last year. Councilmember Clark pointed out the program has a direct benefit
to the citizens. She asked if funds could be found to retain the ten locations they are
proposing for reduction. Mr. Hoffman explained their department was required to cut
$137,000 out of the street lighting budget, however, $66,000 of that amount had to be
divided among the other divisions. He said, unfortunately, Traffic Mitigation Measures
had to absorb some of the cut.
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Mayor Scruggs asked if they have done any follow-up study on neighborhoods that
have received speed humps to determine their efficacy and if any neighborhoods have
requested the speed humps be removed. Mr. Book stated Hidden Manor residents
asked that the speed humps not be replaced when the street was redone after the
sewer project was completed. He said, to date, those are the only humps the city has
removed. Mayor Scruggs asked if the city has received any complaints from residents
concerning speed humps. Mr. Book said a number of people have complained. He
pointed out the city requires 70 percent of residents who front the street to approve
installation of the speed humps, but only 51 percent approval is required to have the
speed humps removed.
Councilmember Martinez offered to turn over his Council Discretionary funds for use on
projects that benefit neighborhoods, suggesting his fellow Council members follow his
lead.
Councilmember Clark said the biggest complaint she has received concerning speed
humps is whether they are filled or not. She stated people generally seem to like the
speed humps, but would prefer they not have the cuts. She pointed out traffic studies
indicate a 20 percent reduction in speed after installation of humps.
Councilmember Frate stated speed humps are a luxury item the city is not required to
provide. He expressed his opinion increased funding for street lighting would be more
useful. Mr. Book confirmed for Councilmember Frate that the amount designated for
speed humps is being reduced, not eliminated.
Councilmember Martinez stated he receives weekly requests for speed humps from
residents in the Cholla District. He said speeding in neighborhoods continues to be the
residents' biggest complaint. He expressed his opinion the humps are a safety issue,
not a luxury item.
Mayor Scruggs noted Councilmembers Frate, Eggleston and she attended the MAG
Transportation Town Hall last week. She said people from around the valley
complained about traffic and speeding in neighborhoods. She noted synchronized
signals throughout the valley was identified as their biggest concern.
Mr. Book continued with his presentation, stating the $142,551 in total reductions came
from the Airport Operations — Destruction of Hazardous Materials and Spills line item.
He said the line item has been in the budget for a number of years, but has not been
used in the past four years. He stated Traffic Engineering is eliminating Professional
Development and Equipment Purchase funding, while Signals is eliminating Office
Supplies. He said Signs and Marketing's $42,994 reduction is comprised of the
elimination of Raised Pavement Markers and a change in the frequency of re-stripping
to once a year. He noted jurisdictions to the north are only able to re-stripe once a year
because of weather restrictions. Mr. Book said Professional Development was also
eliminated in Transportation Planning and the annual count map will be done every
other year rather than every year. He stated Traffic Design Development will also
eliminate Professional Development for a savings of $5,507.
Councilmember Clark asked Mr. Book to differentiate between the items that will be
deferred and those that will be eliminated in the final budget. Mr. Book clarified all of
the proposed items will be deferred.
Mr. Book stated the $100,000 carryover represents money set aside for publications
being done as part of the Glendale Transportation Plan. He said their supplemental
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request relates to the increased cost of power for new street lights, noting they have
been able to overcome cost increases in operating signals through the installation of
light emitting diode signal heads. He stated the Transportation Department's
supplemental request will increase Luke Link service from hourly to every half-hour and
an incremental increase in funding was also needed to extend GUS service to the new
adult center.
ADJOURNMENT
The meeting was adjourned at 4:30 p.m.
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