City of Ozark Missouri
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1 City of Ozark Missouri P.O. Box 295 Fax Ozark, Missouri Phone November 1, 2010 Board of Aldermen Budget Meeting The Ozark Board of Aldermen met in Special Session at 5:30 p.m. at the City Hall in Ozark, Missouri, to discuss the 2011 Budget. Mayor Bradley A. Jackson presided over the meeting: Alderman Dennis Sparrow, Alderman Rick Gardner, Alderman Eddie Campbell, Alderman Mark Spinabella and Alderman Chris Snyder were present. Alderman Melissa Wagner was absent. Also attending City Administrator Steve Childers, City Attorney David Collignon, City Clerk Lana Wilson, Finance Director Alice Edwards, Assistant Finance Director Mary Edna Wilson and Public Works Director Larry Martin. 5:30 p.m. Roll Call: Alderman Mark Spinabella Here Alderman Dennis Sparrow Here Alderman Eddie Campbell Here Alderman Rick Gardner Here Alderman Melissa Wagner Absent Alderman Chris Snyder Here Approval of the Minutes of the Previous Meeting(s): Ceremonial Matters: Report on Questions from Previous Meeting(s): None. Bills Open for Public Discussion: A. Bills Requiring a Public Hearing: B. First Reading Bills: C. Resolutions: D. Emergency Bills: None. E. Public Improvement Bills (Tax Bills): None. F. Grants: None. G. Amended Bills: 1
2 SECOND READING AND FINAL PASSAGE OF BILLS. NO PUBLIC DISCUSSION, BOARD DISCUSSION ONLY: Report of Officers, Boards and Committees: 1. Administrative: 2011 Budget Proposed Expenditures: Streets, Storm Water, Capital Improvements and Water and Sewer. General Fund- Street Expenditures- Salaries-No Cost of Living or Merit Raises proposed in the 2011 Budget. Employee Insurance Benefit- Staff has been meeting with our current Insurance Company concerning providing other options to help decrease our cost in Employee Group Health Insurance. We have implemented a 25% increase with no change in the current Policy anticipating a decrease with the out come of further information from our Insurance Company. New Equipment-A new tractor/brush hog, chainsaw/weed eaters and blowers, mower, snow plow, corer, Scanner for the Public Works Office and a portion of the time clock purchase (if funding is available). Alderman Sparrow questioned the increase in Workman s Comp compared to the previous year s amount. Public Works Director Martin stated our claims history is calculated on the City s past three (3) years. Our claims may have increased resulting with an increase in our policy. Alderman Sparrow questioned if the City had any control over our Lagers rates. City Administrator Childers stated Lagers determines the City s rates using calculations determined upon the City s level of benefits. Public Works Director Martin stated concerning the City s Budget constraints in General Fund, to reduce costs, we only Budgeted bare necessity items. Alderman Sparrow questioned why there was such a drastic decrease in the amount allotted for Maintenance/Repair Streets from 2010 $67, to 2011 $42, Public Works Director Martin stated in 2010 he allotted $300, for Street resurfacing projects, which was reduced to $150, in mid year. His decision was to decrease the amounts allotted for in Maintenance/Repair of Streets and in other Street fund items to realistically spend the full allotted $300, for Street resurfacing projects. A portion of the Street resurfacing funds are transferred out of the Capital Improvement fund. Street lighting-our Street lighting expense will always be a reoccurring expense in the Street Budget. We are currently working with Empire Electric to eliminate unnecessary street lights, or relocating street lights for safety purposes. Empire Electric just implemented a 17% increase with another 9% increase pending for 2012, within a decade we anticipate our electric expense to be well over $200, The wood poles are actually not on the maintenance program, the metal poles are a covered maintenance item under our Franchise Agreement with Empire Electric. We are reevaluating our Street Light policy to identify only the necessary locations that need Street Lights. 2
3 The Board of Aldermen discussed renegotiating the City s Franchise Agreement with Empire Electric to cover the City s electric expense. Alderman Gardner directed City Administrator Childers to research the Empire Electric Franchise Agreement s expiration date. Total Street Expenditures $1,060, Parks Stormwater Sales Tax Fund Expenditures- Stormwater- We have completed three (3) storm water projects this year and possibly two (2) projects scheduled next year. The Duck Stadium property storm water project will be completed next year. Depending on the direction of the Board of Aldermen potentially the Southfork sinkhole project will possibly be funded out of the storm water fund. Total Stormwater Expenditures $307, Capital Improvement Fund Expenditures- Capital Improvement Funds are transferred into other funds to fund projects and necessary items. There are two (2) Capital Improvement facility Improvement expenditures-dog Kennel major repairs $12, and a new salt barn located on the Public Works facility property, to house salt supplies during the winter $72, Total Capital Improvement Fund Expenditures $541, Water Fund Expenditures- Salaries-No Cost of Living or Merit Raises proposed in the 2011 Proposed Budget. Alderman Sparrow questioned the increase in the salary line item. Public Works Director Martin stated the increase is due to the redistribution of salaries paid out of the water fund to try to eliminate the stress on the General Fund. There were no raises given but a drastic realignment of certain employee s duties. New Equipment-Two (2) vehicles one half of the expense for a locater equipment vehicle and a meter reader vehicle-$21, One half of the phones/fiber project-$15, One half of the scanner purchase $4, One half of the locator purchase-$6, SCADA equipment $35, The purchase of four (4) or five (5) generators-$180, Tools & Disposable Supplies-We have included the purchase of two (2) meter reading wands $2, Engineering Expense-This includes the Engineering expense for the Water Study Grant- $70, We received $68, in grant funds from the Department of Natural Resources. Maintenance/Repair of Water Wells-This expense includes the pump replacement at Well #3 and Well #6 that are showing signs of premature detioriation-$110,
4 Maintenance/Repair of Water Towers-This expense includes painting the Parkview Water Tower. Waterline Extensions-This expense includes two major waterline extension projects. Looping our water system onto the Finley Valley water system and the looping Project in the LCRA Area. We may have a portion of the Finley Valley loop project completed this year. Total Water Fund Expenditures $2,932, Sewer Fund Expenditures- Salaries-No additional employees. No cost of living or merit raises in the 2011 Budget. Alderman Sparrow questioned the increase in the salary line item. City Administrator Childers stated Human Resources are reviewing the salary redistribution we will bring an updated report when this has been accomplished. New Equipment-Three (3) vehicles-$30, one half of locate equipment vehicle, one half of meter reader vehicle and service vehicle. One half of phones/fiber project $15, One half the Scanner purchase $4, One half of the locators purchase $6, Our uniform expense has been reduced due to employees wearing t-shirts they laundry on their own instead of the formal uniform dress. By combining Departments such as the Public Works Department and the Park Department duties we have been able to reduce our service call expense. We realized ground flowers can be purchased from local green houses cheaper than the City s green house expenses. City Administrator Childers stated staff will prepare a cost reduction breakdown by improving our processes. Alderman Sparrow questioned why the drastic decrease in chemical expense. Public Works Director Martin stated by separating our phosphorus expenses, chemical expenses and maintenance chemicals into their own categories along with a decrease in our alum and polymer expenses we have been able to decrease our chemical expense. Total Sewer Fund Expenditures $4,999, Total Water/Sewer Fund Expenditures $7,931, The City has several Grants proposed for sidewalks and streets. One (1) of the Grants is for $195, with no matching funds, the Grant was reduced from $215, for Capital Expenditures so there may be some items we will have to incur the expense. The Road District built where we were going to locate, there are a few issues we have to work out. There are two (2) other applications under the MoDot Enhancement Funds with no included matching funds. If we awarded the Grants and the General Fund is still stressed we may propose to use a small portion of the street resurfacing funds for the matching funds. We may also propose to utilize the sidewalk buy out funds for matching funds for the sidewalk projects. 4
5 The Public Works radios will become obsolete in We will have to come up with a plan by next year, we may try to implement small things into this year s Budget. The log four and major well expenditures are not included in the Budget. We still have a dilemma with the vehicle that was wrecked. The Insurance Company is not willing to settle for the full replacement value of the dump truck, we may have to transfer funds from other Departments to purchase another vehicle. We re still negotiating with the Insurance Company for a possible resolution. City Administrator Childers stated during the Board of Aldermen s Noon Work Session we will discuss the 3 rd Street Project Scope and Financing proposal for the Project. 2. Public Safety: 3. Public Works: 4. Parks: Unfinished Business: New Business/Board of Aldermen Comments: Scheduled Visitors: Miscellaneous Business: None. Pay Bills- Motion was made by Alderman Sparrow to adjourn, seconded by Alderman Gardner with all present voting aye. The Meeting adjourned at 6:45 p.m. Minutes Written By: Lana Wilson, City Clerk Approval of Minutes By: November 1, 2010 Budget Meeting Minutes 5
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