HomeMy WebLinkAbout07-01-1989MINUTES OF THE ADJOURNED REGULAR MEETING
OF THE CITY COUNCIL OF THE CITY OF
SAJ~TAANA, CAJ_IFORNIA
JULY 1, 1989
The meeting was called to order at 9:24 a.m. in Room 831, City Hall,
20 Civic Center Plaza, by Mayor Pro Tem John Acosta. Councilmembers
present were Daniel E. Griset, Ron May, Patricia A. McGuigan, and Rick
Norton. Also present were Deputy City Manager Jan Perkins, City Attorney
Edward J. Cooper and Clerk of the Council Janice C. Guy.
Mayor Dan Young and Councilmember Miguel A. Pulido joined the meeting at
9:26 a.m. and 10:25 a.m., respectively.
Also present were David Grosse, Executive Director, Public Works Agency,
Debra Kurita, Administrative Services Manager, Community Development
Agency, and members of the City's Budget Team.
WORK STUDY SESSION
FISCAL YEAR 1989-90 BUDGET
Executive Director David Grosse reported to the Council that the Public
Works Agency was underfunded by approximately $5.0 million in the 1989-90
Budget, and as a result would not meet fiscal year objectives with regard
to street maintenance and water system construction. He reviewed budget
requests his Agency had made which had been disapproved by the City
Manager, and responded to Councilmembers' questions.
Mayor Young suggested that some funds be allocated in the Public Works
Agency budget for the purpose of organizing and scheduling projects in the
event a sales-tax increase was approved by the voters for transportation
purposes.
RECESSED - 10:42 A.M.
RECONVENED - 10:53 A.M. - All Councilmembers present except Mayor Young.
Deputy City Manager Perkins reviewed Liability and Property Insurance
Reserves, indicating the current reserve balance was $2.0 million, but
that $5.2 million was the amount staff would recommend if revenues were
higher. She also discussed the reserve funds for the City's Self-Funded
Medical Plan and indicated in response to Councilmember Griset's question
that the City in conjunction with Mercer-Meidinger was currently in the
design process with respect to modernization of the self-funded plan.
Perkins also reviewed the Worker's Compensation Reserve and noted the City
could lose its State certificate if the Reserve was not fully funded,
which would require the City to become part of the State Worker's
CITY COUNCIL MINUTES 183 .A JULY l, 1989
Compensation Fund at an increased cost to the City. She also reported
legislation was being proposed at the State level which would increase
Worker's Compensation insurance benefits by 228% over three years, and
raise the City's cost of Worker's Compensation insurance.
Councilmembers discussed other funds maintained by the City. Staff
explained that the use of certain funds was restricted to specific
projects such as transportation improvements.
Perkins briefly explained the Administration's recommendations with
respect to allocating a PERS Credit (contained in a memo dated June 28,
1989 titled "Revised General Fund Budget for Fiscal Year 1989-90").
In response to Councilmember Norton's suggestion that these funds be used
for Public Safety, Perkins explained that since the surplus was a
non-recurring revenue source staff was not recommending its use for
personnel purposes.
Councilmembers May and Griset left the meeting at 11:22 a.m. and 11:28
a.m., respectively.
Perkins briefly outlined the costs anticipated as a result of current wage
and benefit ne§otiations. She explained that a cost of living increase on
PERS benefits and health insurance for retirees were items requested which
could result in substantially increased costs to the City.
Staff clarified for the Council that since the Council had not approved
the Lighting and Landscaping District the City would not receive
additional revenue, thus lighting costs would need to be paid out of the
General Fund.
AIkIOURNED - 12:15 P.M.
~hi/ce C. Guy
glerk of the Council
CITY COUNCIL MINUTES
184
JULY l, 1989