Finance Committee Agenda and Packet 2020 07 21

Home Browse Search

City Council Finance Committee Meeting Minutes 06/23/20 Page 6 of 9 weak in this area. Member Maloney stated he is not sure this is an area where reductions should occur. Deputy City Manager Megan Davis stated that this was primarily contingency monies being held for unexpected maintenance work. City Manager Balser added that this money was part of a carryforward trend, and that it was determined the funds could be cut. Director Watson stated that revised 2020 budget reductions and revenue projections were loaded into the long-term financial model, and graphs indicating the General Fund and Open Space & Parks Fund reserves through 2024 are being maintained. Both are projected to end 2020 well above their targets or minimums, but as discussed, the Recreation Fund is looking to end the year $667K, which if funded by the General Fund, would still leave the General Fund well above its 20% target. Committee Member Lipton asked for clarification between terms "target" and "minimum" balances reflected in the reporting. Director Watson stated, per the Financial Policies, some funds have a targeted fund balance and some just have a minimum fund balance, but he would change the language and use "target balance" for future reporting. Director Watson stated that the revenue estimates, expenditure reductions, and corresponding graphs and charts would all be updated for the July budget retreat. Member Lipton asked about the Variable and Seasonal Wages being budgeted for 2021 and 2022. Chairperson Maloney stated that the targets and estimates provide for no growth in services levels in 2021 and 2022. City Manager Basler stated that certain seasonal positions have been added back in for 2020, and wages for those positions are included in the long-term projections. Director Watson restated that departments have not yet made their 2021-2022 requests, and that line item detail year -over -year is not yet available, but once received, actual request numbers will be used and not projections. Chairperson Maloney asked if the long-term General Fund balance includes transfers. Director Watson stated the projected fund balance does include all transfers required by the City's Financial Policies, but not any special, or one-time transfers. Finance Committee Member Lipton asked about the project cuts made in the Open Space and Parks Fund. Finance Director Watson stated that he incorporated the City Manager's latest CIP Plan into the model and that the revised Plan would be presented at the July budget retreat.