CC MINS 19870504 ADJM I N U T E S
ADJOURNED REGULAR MEETING
CITY COUNCIL BUDGET WORKSHOP
MAY 4, 1987
The meeting was called to order at 7:30 P.M. by Mayor Hughes at 29301 Haw-
thorne Boulevard.
PRESENT: BACHARACH, McTAGGART , HINCHLIFFE , RYAN, MAYOR HUGHES
Also present were City Manager Dennis McDuffie, Director of Finance Kevin
Smith and Administrative Analyst Dennis Luppens.
BUDGET OVERVIEW During a budget overview presenta-
tion, City Manager McDuffie noted
that the line item budget will serve
as a good tracking mechanism and
mentioned that the budget will be
computerized.
SUMMARY OF REVENUES AND Director of Finance Smith provided
EXPENDITURES information regarding the budgeted
revenues and expenditures. He
pointed out that the $100,000 Con-
tingency (Reserve) was included to
cover emergency, non - budgeted items.
He indicated that $420,000 included in Contributions to Other Funds is ac-
tually part of the Utility User Tax revenue.
Council suggested that the $420,000 included in Contributions to Other
Funds be included along with the rest of the Utility Users' Tax revenues in
the Capital Improvements Projects fund.
Director of Finance Smith discussed that approximately $6,000 in Quimby
Funds were not addressed in the budget because they are such restricted
funds.
Council Member Bacharach suggested the budget include a section on the
Quimby Funds, even if they are not budgeted.
Director of Finance Smith discussed the idea of a public hearing to enable
the City to spend $140,000 in Federal Revenue Sharing Funds on projects
other than City Hall,
Council Member Bacharach suggested a Leisure Services Reimbursable column
be reflected in the budget.
Director of Finance Smith stated that $296,473 could be included as Leisure
Services expenditures and $509,146 could be included as Leisure Services
User Fee Related Programs which are self - supporting funds.
707CP /MIN17.1
Council Member Bacharach mentioned that Transit Proposition A does not
include a Grant Income category reflecting the Palos Verdes Transit grant.
Director of Finance Smith stated intent to modify Transit Proposition A to
include the Palos Verdes Transit Grant revenue. He also voiced intent to
prepare a Fund Balance Summary Sheet showing each fund and its balance.
Mayor Hughes suggested a Fund Balance Summary Sheet include the fund expen-
ditures and revenues for the year,
1987 -88 BUDGET REVENUES
Director of Finance Smith noted that
many of the budget request justifi-
cations do not correspond to the ac-
tual budget due to corrections made.
He related revisions to the 1987 -88
revenues as 312.0.10 Sales and Use
Taxes -- $852)000 and 312.0.30
Cigarette Tax -- $88,000.
Addressing Mayor Hughes' inquiry regarding the decrease in 341.0.26 Miscel-
laneous Court Fines 1987 -88, Administrative Analyst Luppens voiced intent
to research the decrease.
Council Member Bacharach suggested "Fines" to be termed "Fines and Fees ".
Director of Finance Smith commented that the majority of $569,032 included
as 344.0.00 Grant Income is an accumulation of four years of Community De-
velopment Grant Block funds for the slide area road construction. He noted
the time constraints associated with spending those monies. He indicated
that Mr. Charles Abbott will clarify any questions regarding the Community
Development Grant Block funds during his presentation of the Public Works
budget.
Council Member Hinchliffe questioned the large increase in 371.0.00 Build-
ing Safety 1987 -88.
Director of Finance Smith said it is anticipated that City development
during 1987 -88 will generate approximately $712,000 in revenues.
Council Member McTaggart noted that Building and Safety revenues are ap-
proximately ten times the Planning and Zoning revenues. He pointed out
that the Planning Department's costs far exceed the fees collected and
questioned whether the Planning Department has any plans to increase the
fees.
City Manager McDuffie discussed that Council could increase the Planning
fees or consider adopting an ordinance whereby the City Manager would have
the authority to raise the fees as the market allows.
Director of Finance Smith remarked that the Director of Environmental Ser-
vices is planning a survey to determine Department costs in relation to the
fees. He indicated that Director of Environmental Services Benard will
707CP /MIN17.1 -6 _ =2- Ma -- 4 1987
clarify any questions during his presentation of the Environmental Services
budget. He related that the largest portion of the Building and Safety
budget is contracted services.
Director of Finance Smith noted that a section pertaining to the Gann Limit
will be included in the budget.
CITY MANAGER REVIEW - ADJUST- City Manager McDuffie provided input
MENTS TO BUDGET REQUESTS regarding the City Manager's recom-
mended adjustments to the budget re-
quests, He mentioned that a light
in the amount of $350 which will limit public input to five minutes has
been ordered.
Mayor Pro Tem Ryan requested voting machines be purchased for Council use.
Council Member Bacharach voiced opposition to the idea of voting machines.
Mayor Hughes requested staff research the cost of voting machines.
CITY MANAGER PROPOSED BUDGET City Manager McDuffie presented in-
formation regarding his recommenda-
tion for the restructuring of the
City Manager's Department, He clar-
ified that the idea of hiring an As-
sistant City Manager has been abandoned and discussed the idea of employing
part -time high school or college students,
Council Member Bacharach commented that the City does not hire summer stu-
dent employees in a timely fashion. She stressed the importance of hiring
students from within the community and noted that much community services
type work could justify hiring an Assistant City Manager,
Mayor Pro Tem Ryan noted the importance of.a Council /Community liaison.
Council voiced intent to supply staff with a list of suggested tasks which
would justify the hiring of an additional staff member.
City Manager McDuffie discussed that $3,000 included for Personal Computer/
Word Processor covers replacement of the centralized word processing sys-
tem, $5,000 included for a copier covers the replacement of the Kodak copi-
er (which will be sold) and the copier in the City Manager's office will be
relocated to Hesse Park. He added that $3,000 included in 0.86 Redevelop-
ment Agency is requested to support occasional items which might come up
under redevelopment.
Addressing Council Member McTaggart's recommendation of a desk top printer,
Director of Finance Smith said one has been included in the Parks and Rec-
reation budget and it will be available to all departments. He explained
the auditor's request that $346,000 owed the City by the Redevelopment
Agency be shown as a long -term debt. He indicated that, as long as the
money is not needed, the City is making more interest from the Redevelop-
ment Agency than it would from a bank.
707CP /MIN17.1 -6 -3- May 4, 1987
CITY ATTORNEY PROPOSED BUDGET
Due to the City Attorney's absence,
Director of Finance Smith suggested
discussion of the City Attorney's
budget be postponed.
City Manager McDuffie related the City Attorney's request for an increase
in litigation fees.
Mayor Pro Tem Ryan voiced concern over the increase in City Attorney fees
from 1984 to 1987,
Council Member Hinchliffe stressed that lawyer fees have drastically in-
creased from 1984 to 1987.
City Manager McDuffie indicated that the City Attorney will be available
for comment during his presentation of the City Attorney's budget.
CITY CLERK'S PROPOSED BUDGET Due to the City Clerk's absence, Fi-
nance Director Smith indicated staff
would answer any questions regarding
the City Clerk's proposed budget.
Addressing Council Member Bacharach's request for information, City Manager
McDuffie discussed that 0.31 Advertising /Printing /Publications 1987 -88 re-
flects a $6,500 increase over the 1986 -87 Actual and Estimated figure of
$2,900 because the City Clerk's office now handles personnel.
For the benefit of Council Member Hinchliffe, Director of Finance Smith
said that the wage and salary amounts reflected are base salary amounts at
current levels.
City Manager McDuffie voiced intent to supply Council with a Salary Propos-
al document. He discussed a salary survey which was performed and said
that he is in the process of drafting a recommendation to Council which
would enable the City to adjust salaries to market wages over a three year
period.
COMMUNITY SERVICES PROPOSED BUDGET
Director of Finance Smith stated in-
tent to note the Community Services
line items to show the categories to
which the items were transferred.
Council Member Bacharach voiced concern that the citizen committees are not
included in the budget and suggested that information be included in a
"Community Support" classification. She remarked that the Cable TV Advi-
sory Board will be spending a significant amount of money.
Director of Finance Smith indicated a line item entitled "Cable TV Equip-
ment" will be added to the budget. He mentioned that a Cable TV Foundation
budget could be formulated.
City Manager McDuff ie pointed out that how the $100,000 Cable TV funds are
spent is at Council's discretion.
707CP /MIN17.1 -6 -4- May 4, 1987
Director of Finance Smith clarified that 0.51 School Crossing Guard is in-
cluded in Public Safety Personnel Services. He related the personnel
changes made in the Finance Department. He indicated that a $750 computer
has been back ordered and noted that the City's new accounting system will
become operational by July 1.
NON- DEPARTMENTAL PROPOSED BUDGET
Director of Finance Smith clarified
that the increase in 0.41 Membership
and Dues is due to the City's join-
ing many organizations.
Council requested the budget amount included in 0.22 Special Departments be
increased to include four newsletters per year and suggested no funds be
specifically budgeted for the Christmas party.
Director of Finance Smith said 0.22 Special Departments will be modified to
read "Newsletter ".
PUBLIC SAFETY PROPOSED BUDGET Director of Finance Smith indicated
that 0.52 Animal Services should be
modified to show $84,000.
In response to Council's request for clarification, Administrative Analyst
Luppens explained that the City is billed for the actual animal services,
not to exceed $84,000.
City Manager McDuffie pointed out that Juvenile Diversion was not budgeted.
Council requested that Juvenile Diversion be a budgeted line item.
Mayor Hughes requested a list of those groups to which the City has con-
tributed during the year.
Administrative Analyst Luppens pointed out that BAT is included in 0.57 Los
Angeles County Sheriff /Supplemental.
Council Member McTaggart related the Council Subcommittee on Public
Safety's recommendation that the Student and the Law program be budgeted.
Mayor Hughes stated that the Student and the Law program creates an excel-
lent rapport between the Sheriff and the students.
Addressing Council's inquiry regarding Parking Citations, Administrative
Analyst Luppens voiced intent to research the item.
707CP /MIN17.1 -6 -5- May 4, 1987
OTHER
ADJOURNMENT
ATTEST:
In response to Mayor Pro Tem's com-
ments, Director of Finance Smith
voiced intent to discuss the park
electricity costs with Public Works.
The meeting was duly adjourned at
10:50 P.M.
Mayor
707CP /MIN17.1 -6 -6- May 4, 1987