Laserfiche WebLink
February 26, 2020 <br /> GENERAL GOVERNMENT BUDGET BALANCING HISTORY <br /> Susy Haugen reviewed the steps taken by staff to balance the budget over the past <br /> 10 years, and she explained why continuing to apply those steps to future <br /> balancing efforts is not sustainable. <br /> REVENUE AND EXPENDITURE BUDGET CONSTRAINTS <br /> Susy Haugen presented information about revenue budget constraints that limit <br /> the City's control over general government expenditures, including property tax <br /> history with and without the 1% limit, retail sales tax base shift, and tax rates. She <br /> also reviewed expenditure budget constraints relating to CPI (Consumer Price <br /> Index) and M&O (Maintenance and Operations), long-term obligations, and other <br /> non-discretionary spending. <br /> Mayor Franklin reviewed expenditure budget constraints related to labor. She <br /> stated that labor costs represent 70% of the overall general government <br /> expenditures, and that in controlling growth in the City, the cost of labor can be <br /> complicated for several reasons due to State law and regional competition for <br /> staffing. She spoke about population versus FTE (full-time equivalent) change and <br /> expenditure constraints relating to non-discretionary work. <br /> Paul Kaftanski, Administration, provided information about general government <br /> expenditure budget constraints relating to City facilities and infrastructure. He <br /> noted that slide number 17 lists a total number of 143 buildings surveyed; <br /> however, only 124 are general government buildings. <br /> Council Member Roberts expressed concern that the City does not have an asset <br /> management structure in place. <br /> Mr. Kaftanski explained that what the City has today represents a baseline, and <br /> that currently available software, as well as additional software modules, will be <br /> utilized for future management of assets. <br /> Discussion ensued as follows: <br /> 55 <br />