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Budget Cuts

Memo from Dale Helling, interim city manager in Iowa City, to the City Council on possible budget cuts and new sources of revenue

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Gregg Hennigan
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0% found this document useful (0 votes)
70 views

Budget Cuts

Memo from Dale Helling, interim city manager in Iowa City, to the City Council on possible budget cuts and new sources of revenue

Uploaded by

Gregg Hennigan
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 8

r

CITY OF IOWA CITY IP2


p
Yh
u
v
oR
Date May 21 2009

To City Council

From Dale Helling Interim City Manager

Re Budget Priorities
Adjustments

The first provides list of reduction


You will find attached two separate documents a
budget
measures that have been identified as part of a 1 2 and 4 budget reduction exercise
undertaken by staff from all funded from the presented these in
general fund I have
operations
of needs
organization the entire
a
loosely prioritized order based on my perception across

However those that are closely positioned should not be regarded as significantly higher or
lower in priority Further I suspect that there will be disagreement with some of my priorities

Also included at the end of the list are some areas where further reductions might be
priority
achieved These are not specific recommendations and are in no particular My purpose is
order
and services that are not mandated and which Council has some
to identify functions over

funding discretion In presenting these I make no assumptions regarding your individual or


collective willingness to make reductions in any given area Certainly there may be other
reductions or revenue sources that you may wish to raise for consideration as well
possible

The second document is a list of identified revenues These are presented in the same manner

and intent the reduction measures also


as loosely prioritized and with additional suggestions for

other possible revenue considerations

Department directors will be present at your meeting on May 26th to answer your questions and
provide clarification as needed They can also address how citizens might find substitute or
alternative services that would result from some of the service reductions

My Recommendation

Each of the documents includes subtotal line stating


a Above Recommended
XXXXXX If you were to approve the reduction measures as well as the revenue sources

above those lines on each list the adjustments needed for FY10 would be satisfied May I

that you use this as a


starting point for your priorities discussion
suggest

For the purpose of making my recommendations Ihave made the following assumptions

Maintain General Fund Balance at 25

not increased
Emergency Levy

Residential Rollback will remain unchanged

27th payday in FY12 will be funded from the General Fund Balance 4
1 million is the cost to

the general fund

Johnson Co Emergency Communications Center transfers to County levy Jan 1 2010


May 21 2009

Page 2

Salary
Wage increases for FY10 at 3
1 or as recently negotiated

Health Insurance cost increases of 7 for FY10 and 5 for FY11

Dental Insurance cost increases of 5 for FY10 and 5 for FY11

Fire Pension Fund


Police at 17 for FY10 25 for FY11 near 45 by FY13 or 14
MFPRSI

contributions continue increases beyond FY11


Public Employees Retirement System IPERS

The total for all reduction measures and revenue sources on the priority lists not including
those listed under the other possible categories is approximately 876 000 If all these were
to be approved approximately 125
000 in additional revenues or
and reductions would still be
to achieve the 1 million needed to correct the projected deficits in the FY11 budget
necessary
and beyond If that is done only with reductions it could involve the loss of two to four additional

positions Those positions would come from across all general funded operations conceivably
including Finance Parks Recreation Planning Community Development Public Works
Services Police Fire Attorney and Administrative Offices Further
Housing Inspection City
the 250 and 000
000 000 budget adjustments do not include funding for Fire
1 Station 4

staffing and 750 in service reductions


operations That will require another 000 additional
revenue or a combination thereof

I believe that there are viable options presented that will allow us to defer most or all reduction
in force considerations until the FY11 budget Thus I think it is premature to suggest what

specific positions would be involved You may favor other possible reduction measures and or
On the
revenue sources that would allow us to lessen or even avoid staff reductions altogether
other hand if some of the reductions presented are not acceptable additional staff reductions
would be necessary These decisions will be finalized as part of the FY11 budget process that

begins in a few months

of considering
hope Council will begin FY11 and beyond discussion now at least to the point
I

possible new revenues as well as areas where you would not wish to make further reductions
for FY11 especially in the area of staffing I would also like you to affirm or change any of the

assumptions we have made in formulating these recommendations My goal is to receive as


much guidance from you as possible to assist me in putting the budget together in the Fall

options presented include the gas and


Finally please note that the possible new revenue

electric franchise fee option that is included in the standings bill passed by the Iowa legislature
We should know by your meeting on May 26th whether or not that provision remains in the

signed bill

Please contact if you have any questions Also remember that your
me meeting on Tuesday
will begin at 3
6 0 PM rather than at 5
30
REDUCTIONS

Dept Reduction FY10 FY11

IS
H Reduce ref material books 500
2 500
2

Reduce maintenance supplies 783


2 783
2

Reduce misc supplies 915


2 915
2

PCD Reduce Bldg Repairs Property to 646


3 646
3
be sold

Sen Ctr Discontinue The Post 500


5 500
5

Plant Care stop weekly service 334


1 334
1
staff takes over

Refuse Collec Hauling Remove 208


2 208
2
1 dumpster replace w cardboard

recycling unit

City Attn Charge 60 of research tools to 210


12 210
12
Tort Levy

Fire Reduce training travel by 20 000


18 000
18

Limit new uniforms 000


5 000
5

Library Discontinue transit subsidy


parking 311
8 311
8
to patrons except summer reading
program

Change vendor re on product


add to 847
1 847
1
library catalogue

s materials
Reduce adult
children 301
19 301
19

Program Reductions Fri Nite Film 618


4 618
4
winter reading etc

Personnel Discontinue employee newsletter 300


2 300
2

Discontinue monthly wellness news 500


2 500
2
letter
Library Reduce newsletter from four a year 082
11 082
11
to two

PCD Discontinue Public Art program 208


18 208
18
op costs 5458 and 15 position
to CDBG 750
12
Above Recommended 263
124

Parks Rec Close Scanlon gym Mercer pool 137


19 137
19
00 PM instead of 9
At 8 00 PM

Police Eliminate one CSO position retire 352


27 800
65
ment expected in January 2010

Fire Eliminate Inspector position


Capt 000
58 000
58

Parks Rec No pressure washing of C Plaza 337


12 337
12

Human Rts Discontinue ads in DI Gazette and 000


5 000
5
C re
P housing discrimination

089
246 284537

FY11 Beyond

Library Reduce temp staff esp


hourly librarians 301
19

Programming Printing reduce programs 235


9
printed materials publicity esp Summer
Reading Program

Reduce collection maintenance cut book binding 852


13
reduce disc
repair routine cleaning Do not

Replace circulating equipment

Parks Rec Reduce mowing along Hwy 6 to once


month 750
16

Reduce contracted in parks 736


5
plant care

Reduce contracted services in Forestry 540


8

Sen Ctr Advertising eliminate ads in Gazette 000


2

Purchases for resale Center promotional items 2000


City Clerk No temp employee for microfilm conversion 500
4

Reduce transcriptionist by one


quarter 200
2

Parks Rec End free program events


roller skating winter 200
26
carnival playgrounds etc

IS
H Reduce equipment rental Building Div 978
1

Reduce misc supplies Building Div 2915

Fire Further reduce travel to


training total of 30K 000
12

Personnel Reduce by 2 FTE not monitor community service 000


12
limited coord of projects blood drives United Way
campaign bike to work etc limit response to surveys
etc
OR

Reduce by 5 FTE also outsource Flex

program to outside admin limit other


employee benefit service 000
20

Sr Center Reduce Program Guide from four 900


3
year to three
publications a

Consultant Services discontinue setting


goal 2000

PCD Reduce payment to ICAD by 5 000


5

Reduce payment to Englert by 5 500


2

Police Eliminate work study ee in Records Div 000


8

Eliminate second CSO 800


65

Doc Serv Reduce Supv to half


time reassign to ITS 223
44

Accounting Charge back special financial report prep grant 17897


reporting to user divisions

527
288

TOTAL 064
573
OTHER POSSIBLE REDUCTIONS

Full or Partial

Discontinue P
NGrants
I 000
15

Discontinue direct payment to ECICOG 000


20

Discontinue Deer Management program 000


55

000 unallocated in 10 and 11


Economic Development Total 100 000
100
unless allocated to City of Literature

Aid to Agencies Total general fund allocation for FY10 is 268


282

Event Funding Total general fund allocation for FY10 is 162


85

4th of July Fireworks 000


25

Conv Visit Bureau 25 of Hotel


Motel Tax 000
181

Eliminate School Crossing Guard Program 422


63
REVENUES

Dept Revenue Source Annual Revenue

IS
H Portion of Director
s to the 000
25
salary charged
Housing Authority

P Works Increase chargebacks to CIP projects from 674


24
Engineering 5 to 28
25 75

Sr Center Raise membership fee by 5 low income stays 200


5
at I year
0

Library Increased fine revenue late returns etc 000


15

Airport Land Lease S Gilbert St parcel 600


3

Revenue Increase NSF charge on


utility bills from 300
3
15 to 25

Accounting Card Rebate program


P split w
Purchasing 000
5

Card Rebate program


P split w
Accounting 000
5
Purchasing

IS
H New admin fee for complaint inspections 000
25
similar to weed ice abatement
snow fee

P Works refundable admin fee for


New 50 non 000
25
excavation permits 16
000 if MidAm
Engineering
excepted due to franchise fee

Above Recommended 774


136

Fire Charge residents for vehicle fire response


non 500
2

Residential Structure Fire Fee 000


25

EMS Medical Service Fee 000


35

Commercial Fire Inspection Fee 000


30
Parks Rec Increase fees 68669

Cemetery 12
622
City Park rides 808
6
Park Shelter rental 388
14
Field rental 500
14
Sports
Fees for space now provided
free to affiliate groups 351
20
Total 68669

Personnel New 2 admin fee to retirees for monthly 000


5
health dental benefits

943
302

OTHER POSSIBLE REVENUES

City Attn Chargeback to Housing Authority for 677


20
special services

Chargeback to Community Development 280


15
for special services

Parking 1 of each parking fine of 10 or more to unk


Public Safety or Police

Gen Fund Sewer free


Water to general fund users 000
120

Gen Fund Franchise Fees Gas Electric


1 on Elec 000
490 1 on Gas 000
360
First 1 would offset local sales tax loss that
cannot be collected if there is a franchise fee

Net 4 on Electric up to 000


9
1 60
Net 4 on Gas up to 440
1
000

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