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CC MINS 19890417RANCHO PALOS VERDES CITY COUNCIL BUDGET REVIEW WORKSHOP SESSION APRIL 17, 1989 MINUTES The meeting was called to order at 8:20 .m. b P y Mayor Bacharach at City Hall Community Room, 30940 Hawthorne Boulevard, Rancho Palos Verdes, CA 90274. PRESENT: Council Member Hughes, Council Member M T ' Mc Taggart, Council Member H inchliffe and Mayor Bacharach Also present were Dennis McDuff ie, Finance Director 1 ' ector Kevin Smith and Director of Public lc Works George Wentz. Mr. Smith reviewed the estimated fund balances in the general fund for each budget category, including estimated decreases and increases, and was requested b the Council • the Coastal-In-Lieu y to add an asterisk to n Lieu Fund in order to show that this also is a restricted fund. He also reviewed the summary f y estimated fund balances, described the sources of revenue in the Replacement Fund and the amortization program, and noted that the equipment purchases were made from this fund. Mr . Smith then outlined those funds which are classified ed as restricted, and not assif l noted that each item in the Quimby Fund will be discussed in detail during the budget review w process. In providing a detailed explanation of the rocess P of how funds are added to the PER S account, Mr. Smith also outlined the reasons for the reserves in the PERS account and the costs with employee turnover . He noted that each employee has received a cred it for 14� of their sal ary. Regarding the Urban Open Space Grant Fun ' P Fund, Mr . Smith noted the recommendation by the City Manager and himself to transfer funds to the General Fun these Fund* Mayor Bacharach strongly proposed that a priority for the ca capital improvement p P vement balance of should be In a land acquisition reserve fund. Mayor Bacharach reported that she had attended a semi in Public Places, and she as nar on Art ked the Council to appropriate a certain sum of money to initiate such a ro ram within P g th In the City. The consensus was to support such a policy. Mr* Smith noted that approximately $2,000 was in an account for budgeted special projects and could perhaps be used for this non - purpose. In discussing salaries, Mr . Smith noted that • this was the third year of the program that would result in salaries in t ' being on par with s he City P salaries in other cities. The cost of this program for the next fiscal year is $47,175, which would a salary i result in an avera g y ncrease per employee of 3.8%40 N Mr. Smith next examined the General Fund Revenues - Account No. 001, and was instructed by Mayor Bacharach to place an asterisk next to Utility Users Tax and to add a footnote that this was included in the capital improvement program. Mr. Smith was also directed to go over the franchise tax amount of $542,000, and to ensure that restaurants are paying their fair share of sales revenues, chain restaurants in particular. City Manager McDu f f ie was then asked to advise the Council in advance which departments will be reviewed at the next budget work session. ADJOURNMENT There being no further business, the meeting of the City Council was duly adjourned at 10:00 p.m. P 7 MAYOR CITY COUNCIL April 17, 1989