CC MINS 19870518M I N U T E S
RANCHO PALOS VERDES CITY COUNCIL
BUDGET WORK SESSION
MAY 181 1987
The meeting was called to order at 7:35 P . M . by Mayor Mel
Hughes.
PRESENT: HUGHES, RYAN, McTAGGART, BACHARACH & HINCHLIFFE
ABSENT : NONE
Also present were: City Manager Dennis McDuffie, Finance
Director Kevin Smith, City Attorney Steve Dorsey, Public
Works Director George Wentz, Administrative Analyst Dennis Luppens
and F.A.C.T. Committee Members George Gleghorn and Franklyn Weiss,
APPROVAL OF AGENDA
Item number four was moved to the top of the agenda so that
F . A . C . T . Committee members would not have to stay for the
entire meeting.
IV. DISCUSSION OF CAPITAL IMPROVEMENT PLAN
Director Smith summarized revenues for the Capital
Improvement Plan for fiscal year 1987/88. Highlighting.the
major sources of revenue, Director Smith pointed out that the
largest sources are expected to be the Utility User Tax at
$1,650,000 followed by contributions from HES, the County,
and FAU: $913,950, $797,000 and $713,965 respectively.
Director Smith added that total revenues for the CIP will
be approximately $6,839,000.
Director Smith summarized expenditures for the Capital Improvement
Plan.
Concerned was expressed by the Council regarding the
transferring of Utility Users Tax funds from the General Fund
into the CIP rather than directly depositing the Utility Tax
into the CIP.
Director Smith acknowledged their concern and said that he
would take the appropriate action to make these changes.
Discussion ensued between the City Council and Public Works
Director George Wentz about several items in the CIP. The Council
inquired as to how the projects were listed and if
they were 1. listed by priority, they would like to see line
item number 12 (Hawthorne Resurfacing - Crest Rd. to Indian
Peak) moved down the list. Director Wentz said that he would
reprioritize item 12.
The council expressed concern about the financing of CIP
projects with Utility User Tax funds through 19 8 8 . Director
Wentz stated that funds expected from the Utility User Tax though
would fund most of the CIP projects.
The Council expressed concern regarding the noticing of
residents when projects begin. Director Wentz stated that he
would make sure that residents are notified.
The council addressed the two members present from the
F.A.C.T. Committee. The Council wanted to know the thoughts
of the Committee on the the Utility Users Tax and its ability
to sustain the CIP projects. Both members Gleghorn and Weiss
agreed that the Tax could support the Capital needs of the
city. They both questioned the City Council as to the
direction the F . A. C . T. Committee after the implementation of
the Utility Users Tax as the Committee Members were losing
interest. Discussion ensued regarding the committee's
direction ultimately ending up on the topic of a Parcel Tax.
Councilman Ryan suggested that the question of having a
Parcel Tax go on the next election ballot. City Manager
Dennis McDuf f ie stated that staff would report back to the the
Council on this issue and suggested that the meeting move on
to the next item.
I. DISCUSSION OF CITY ATTORNEY'S BUDGET
City Attorney Steve Dorsey stated that regular services are
estimated at a 10% increase over last year. However, during
the past seven months city staff is not calling as frequently
as they have in the past and this should reduce annual costs.
Additionally, City Attorney Dorsey stated that litigation
costs are unpredictable but the expected settling of major
cases in the coming fiscal year should reduce costs,
The City Council expressed their concern over turn around
time and the responsiveness of the office of the City
Attorney,
City Attorney Dorsey state that a new accounting system
should hasten the turn around time in the next six months,
The City Council adjourned to closed session to discuss
pending litigation. The City Council reconvened at 9:50 P.M. that
same evening to complete the agenda.
II* DISCUSS ION OF ENVIRONMENTAL SERVICES' BUDGET ADJUSTMENT
Director Smith presented a staff report whereby the City
Manager and the Environmental Services director had a
solution to provide better code enforcement services to the
City. The solution called for the hiring of one additional full
time planner with code enforcement duties and an intern on a
part -time basis year round. Additionally, the solution
called for the expansion of the Environmental Services Building.
The net budget increase would be $44,000.
City Manager McDuffie stated that if building activities increased
significantly in the next fiscal year, contract planners could be
hired to aid in the increased work load.
The cost of the contract planners would be off-set by
increased revenue received from the increased building activities.
III. DISCUSSION OF PUBLIC WORKS' BUDGET
Director Smith summarized the Public Works Budget noting
that the largest expenditure items were the Charles Abbott
contract, Utilities and Park Ground Maintenance. They were
estimated to cost $210,000, $182,000 and $182,000
respectively.
Discussion ensued between the City Council, Mr. Abbott and Public
Works Director Wentz concerning various line items in
the public works budget as presented by Charles Abbott Associates.
As line items were brought up by counci lmembers ,
they were clarified by Director Wentz or changed,
V . DISCUSSION OF REDEVELOPMENT AGENCY'S BUDGET
Director Smith presented the Redevelopment Agency's budget
for fiscal year 1987 -88. Director Smith's summarization
included the total estimated revenues for the Agency to be
$943,950 with total expenditures to be $890,000 leaving a
$53,950 fund balance.
VI. DISCUSSION OF 1987 -88 GANN LIMITATION
Director Smith reviewed the formula which is used in
determining the City's Gann spending limitation. Director
Smith stated that the City's Gann limit for FY 87 -88 will be
$7,801,847 well above the City's $5,240,960 proceeds from
taxes.
ADJOURNMENT
At 11:50 P.M. the meeting was adjou:
May 25, 1987
ATTEST:
CITY CLERK
-3-
May 18, 1987