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09-13-2011 Budget Work SessionSeptember 13, 2011 A work session of the Scandia City Council was held on the above date. Mayor Randall Simonson called the meeting to order at 6:30 p.m. The following were present: Council members Connie Amos, Sally Swanson, Chris Ness, and Jim Schneider, and Mayor Randall Simonson. Staff. Administrator Anne Hurlburt, Colleen Firkus and City Attorney David Hebert. Mayor Simonson requested two items added to the agenda: 4.a) Dala horse vandalism, 4.b) Hall rental policy on Fridays. Ness, seconded by Schneider, moved to approve the agenda as amended. The motion carried 5-0. New Business Mayor Simonson noted the vandalism of the Dala horse at the Community Center and the Lions' $100 reward for the arrest and conviction of the perpetrators. Simonson issued a personal challenge to the Council to match the reward by a personal donation of $20 each. Simonson then asked what is the city's hall rental policy in regards to the availability of the hall on Fridays for customers who have rented it on Saturday. Staff clarified that if the hall is available on Fridays before an event on Saturday, then it can be rented for an additional $100. Old Business Administrator Hurlburt outlined the action Council needed to take at this meeting: 1) Certify maximum property tax levy payable in 2012, and 2) Set a date for public meeting on 2012 Budget and Tax Levy. Hurlburt then reviewed her reports of the impact on the budget and levy of a 2% pay rate increase for staff, miscellaneous changes to other departments, and the changes Council requested at the previous budget work session: 1) to eliminate the Capital Improvement Sidewalk project from the budget, 2) add a full-time Public Works Superintendent position, 3) eliminate the full-time Building Official/Public Works Supervisor position, and 4) add part-time Building Official/Code Enforcement position. The impact resulted in a net increase of $64,111 in the budget and a 3.18% increase in the levy over the 2011 levy. Ness indicated he would like to keep the levy increase at 2%. Swanson and Simonson agreed. Simonson initiated a discussion on how expenses could be reduced for the skating rink. The large rink is available for reservations at $150 per hour. It was noted that the rink is well -used and valued by the community. Reducing rink attendant hours was another option discussed. Simonson, seconded by Ness, moved to raise ice rink rent to $200 a season and reduce rink attendant hours by opening at noon on Saturday. The motion carried 5-0. Council also decided that the 2% staff pay adjustment will not be applied to seasonal positions. Ness, seconded by Simonson, moved to adopt Resolution 09-13-11-01 as changed to set the 2012 Maximum Property Tax Levy at $2,055,174. Motion passed 5-0. Simonson, seconded by Ness, moved to set the date for a Public Meeting on the 2012 Budget and Tax Levy for December 13, 2011 at 6:30 p.m. Motion passed by 5-0. September 13, 2011 Scandia City Council Page 2 of 2 It was noted that the final Budget and Levy will need to be adopted at the December 20, 2011 meeting. The next budget work session is scheduled for October 25 at 6:30 p.m. ADJOURNMENT Ness, seconded by Amos, moved to adjourn the meeting at 7:37 p.m. The motion carried 5- 0. Respectfully submitted, Colleen Firkus Treasurer