HomeMy WebLinkAbout09-22-2016 Work Session-Budget Meeting MinutesSTATE OF ALABAMA )(
COUNTY OF BALDWIN )(
The City Council met in a Work Session/Budget Meeting
at 4:00 p.m., Delchamps Room, 161 North Section Street,
161 North Section Street, Fairhope, Alabama 36532, on
Monday, 22 September 2016.
Present were Council President Jack Burrell, Councilmembers: Diana Brewer,
Michael A. Ford, and Kevin Boone, Mayor Timothy M. Kant, City Attorney Marion
E. Wynne, and City Clerk Lisa A. Hanks. Councilmember Rich Mueller was absent.
Council President Burrell called the meeting to order at 4:00 p.m.; and
thanked Mayor Kant and staff for their work in preparing the budget. He said the
budget stays 90 percent constant; and the newly elected could make recommendations
and then vote to amend. He also requested Mayor Kant to keep a tightened belt and
not spend just because you are going out of office. Council President Burrell said this
is a good framework for the City Council and the City of Fairhope.
Mayor Kant went over the highlights to the proposed budget. He is proposing
a two percent cost of living increase for each City employee and mentioned a
proposed one percent merit raise for some employees. Capital expenditures in
general fund are $3,055,219; capital project fund expenditures are $4.0 million. City
Public Utilities will have capital upgrades of $2,054,976 which includes $1.4 million
for system upgrades and $612,976 to purchase vehicles and equipment. Mayor Kant
said $1,902,500 of the sales tax revenue will be used for capital projects. The total
budget for general government and city utilities is $64,801,106 total revenue and
$60,164,551 in total expenses, with a surplus of $4,636,555. Mayor Kant stated that
City Accountant Loran Walker, Finance Director Jill Cabaniss, and City Treasurer
Deborah Smith worked on the budget. He said the only debt reduction this year could
be in the Utilities Fund on the Triangle property debt; and the General Obligation
Warrant has an extra $1.1 million additional payment built in. Mayor Kant said the
surplus is not for the General Fund with most of it in the Utilities.
The revenues and transfers were briefly explained the differences by Mayor
Kant and Council President Burrell. Council President Burrell commented the
property taxes are very accurate even through these are up seven percent. He said the
General Administrative Expense is up due to the increase in medical expenses. The
26 dash mount cameras for patrol and fire truck/main pumper were questioned. City
Treasurer Deborah Smith explained what the impact fees could be used for and it is
based on a percentage for each area: Fire, Parks, Recreation, and Transportation.