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city council meeting. Oh, there we go.

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And I'll go ahead and call the meeting

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to order.

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We have um Brandon Shamway here to give

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us our invocation and or inspirational

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thought and the pledge of allegiance

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will be led by Ashley Shamay. So, thank

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you for coming and doing that this

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evening.

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So you just come up here and

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» our dear heavenly father, we're so

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grateful for the opportunity we have to

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be here this evening in these chambers.

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We're thankful for um the freedoms that

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we enjoy uh in this country and in this

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state. We're thankful for this wonderful

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community that we live in. and we're

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thankful for the the leaders of our city

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that volunteer their time to to be here

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and do what's best for us, the

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constituents.

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We ask that you please bless the mayor,

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the city council, and the division

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heads. They can find common ground on

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some difficult issues that we have here

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in our city and and within our state and

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within our neighbors. And again, we're

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thankful for them. Uh, please bless the

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fire department, the firefighters, and

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the police department that are out

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working 24/7 to make our community a

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little bit safer. Please keep them safe.

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We say these things humbly in the name

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of thy son Jesus Christ. Amen.

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» Will you rise for the pledge?

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I pledge allegiance to the flag of the

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United States of America and to the

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republic for which it stands, one nation

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under God, indivisible, with liberty and

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justice for all.

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Thank you for the uh for the invocation

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in in leading the pledge of allegiance.

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Uh Mr. and Mrs. Shamway. Right. The

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first item on our uh on our scheduled

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items is a resolution of the UT Utah

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retirement safe uh I can't remember yours. There we go.

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[gasps] Um public safety and firefighter

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tier 2 hybrid employees contribution

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rate pickup. So I'll turn the time over

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to Jennica Jones for her uh

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presentation.

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Okay. Thank you, Mayor and Council. So,

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as you know, the city participates in

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the Utah retirement systems for

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employees retirement benefits. Um, and

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this includes public employees as well

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as employees there and the public safety

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and firefighters retirement systems of

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that uh program. So before you tonight

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is a resolution proposing that the city

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of ORM pick up the upcoming increase in

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the Utah Retirement Systems employee

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contribution rates for employees who are

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in the tier 2 public safety hybrid

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retirement system as well as for

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employees in the tier 2 firefighters

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hybrid retirement system. Effective July

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1st of 2026, the employee retirement

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contribution rate for both categories of

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employees will be increasing from 4.73%

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to 5.98%.

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And the state legislature gives any

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entities that participate in URS,

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including ORM, the option to pick up

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this employee contribution rate for

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employees in the tier 2 public safety

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and fire hybrid retirement programs. Um,

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since that's been uh since there's been

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an employee contribution rate in these

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categories, that is something that the

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city has always done and we feel it's in

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the best interest of the city to

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continue to pick this up to show support

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for our public safety and fire employees

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and to attract and retain these

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employees. Uh, the vast majority of

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cities in Utah pick up this full amount.

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So, this will keep ORM competitive in

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regards to our benefits. So, uh, any

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questions about this resolution?

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>> All right, council. Um, do any questions

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for Jennica?

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All right. This is not a public hearing,

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but if there's anyone who has come who

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would like to speak to this, I'd give

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you a minute up here to do that.

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Um, seeing none, we bring it back to the

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council. I mean, for this re resolution.

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» Okay. Yeah. Just one comment. I'd like

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to say that I appreciate this

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opportunity to help um our public safety

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in creating a package that attracts them

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to our city and just some additional

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benefits for them

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>> because we really want to attract the

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best of the best. So, I I totally think

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this is a great move and I appreciate

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the opportunity we have to do that as a

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council.

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>> Thank you.

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>> Right. Thank you, Council Member Bell.

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All right. Okay. Um, Council Member

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Kilopak,

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>> Mayor, I move that uh to approve the

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Utah Retirement System URS public safety

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and firefighter tier 2 hybrid employees

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contribution rate pickup.

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>> Right. Thank you. I have a motion. Is

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there a second?

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>> I will second that.

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>> Right. We have a motion and a second. Is

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there any further discussion?

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All right. Council member Gail, we'll

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start with you. Have your vote.

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>> I. We go. Council member Muelline. I

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>> I

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>> my turn.

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>> Right. Motion carries. Thank you. Next

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item on the agenda is a public hearing

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regarding enterprise fund transfers. And

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I'll turn the time over to Brandon

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Nelson, our chief financial officer for

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that.

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Nothing

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we can do about

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screen.

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» All right, that's on right. Thank you,

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mayor.

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uh as part of uh our requirements, legal

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requirements to as far as uh presenting

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our budget, one of the first things that

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uh we had to do is um if there are

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transfers out of our enterprise funds uh

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that do not meet the qualifications as

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far as related to um specifically

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related to a cost. um then we are

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required to hold a separate agenda

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meeting to discuss the those items and

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there's a variety of items that uh we

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need to discuss as part of that uh as

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required by state law. Um the nemesis

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for uh these transfers is um some time

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ago uh the state auditor's office uh

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requested and required that we trans

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that we record the use by the city of

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various utilities primarily water,

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sewer, street lighting um and storm

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water services and that those be

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reported in those various funds. that

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used to be not a cost that the general

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fund had to bear. And so as part of that

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uh since it's basically this the city um

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within itself um we transfer those we

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charge those dollars to those enterprise

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funds and then immediately transfer

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those dollars back to the general fund

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to make it whole. So that there's in

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reality end up being no no effect um to

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any of the funds related um but we

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follow the that rule in doing so. As

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part of that uh we have to advertise

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that we are doing so and uh this is the

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result of that ad um those transfers. So

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um

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well maybe

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reason

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There we go. Can you use that?

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>> Oh, can you give me a mouse?

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>> So that that's basically what I've

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described here on this um slide is the various uh amounts that are

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transferred charged to the general fund

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and then the money transferred back each

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of those various funds.

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Um you can see the uh associated

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percentage of those amounts in relation

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to the total expenditures of those

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particular funds. Um and and how those continue to go down as the um each

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of those funds expenditures uh rise.

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Um as part of that uh this information

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we required to provide you with the

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utility revenue um associated with each

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of the those funds. So um you can see

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how those transfers um impact in our in

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relation to the revenues from those

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funds

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as well as um outlining the various

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expenditures for each of those funds as

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well. Um so that uh on the transfers

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back to the general fund you can see

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what the in essence the relative impact

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for each of those funds in relation to

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the amount being transferred back.

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Mayor could I pipe in really quick for

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those in the audience. We apologize for

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the technical difficulties. There are

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two screens back here that are working.

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If you wanted to move back you could see

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everything that's up there. Thanks.

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[snorts]

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Um

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then as part of the requirements then uh

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we are required to break down uh the

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administrative costs internal any

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internal transfers or transfer

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information. Um you can see on the

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second to last line on the bottom the

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transfer that's being returned to the

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general fund. Uh and then you know the

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associated other charges uh that are

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being charged to each one of the uh

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funds. Um this is not all-incclusive but

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these are the the particular transfers

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that obviously the total at the bottom

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is one of the items that we're

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identifying when you can uh as far as

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the totals go.

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Um then you see a breakdown of the

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utility uh fund each utility fund and

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there a breakdown of general categories

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within each one of those funds uh to

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give you an idea of you know the magnit

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again kind of give you the idea of the

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magnitude of the transfer that's being

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proposed.

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Same concept with contracted services.

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Um what kind of contracted services uh

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do each of those utility funds u have?

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Uh some of those are internal such as

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the 311 center and the uh public works

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um administrative uh assistants and

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engineers and the capital projects

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manager but many of the others are

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external such as uh central Utah water.

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Um so just to give you an idea of the

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breakdown in within those contracted

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services

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and

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any questions about these transfers.

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>> Right. Thank you for the presentation.

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Council, do you have any questions?

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Council member Mikum.

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>> Um, two things, Brandon. One, maybe I'll

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just try to play this back to see if I

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understand it correctly

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>> and correct me if I get anything wrong.

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>> You bet.

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>> So, state law is requiring us

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to pay for uh city utilities out of the

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general fund at at market rates. And

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historically, we have paid for those out

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of our utility fees. Uh, and so what

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you're asking us to do tonight is to

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approve transfers from our utility fees

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into the general fund for the purpose of

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doing what those fees have always done

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to pay for our city property utilities.

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100% correct. Okay. Uh, can you go back

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to this this the page that has the

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percentages on it? It was one of the

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first slides that you showed us.

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um help me understand how to interpret

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this page. So is one way of interpreting

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this page to mean that when you look at

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all of our utility fees that we collect

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um that approximately 3.7%

276
00:17:25,839 --> 00:17:28,720
of the of those utility expenses are

277
00:17:28,720 --> 00:17:30,640
city property.

278
00:17:30,640 --> 00:17:32,240
>> Yes. For the water.

279
00:17:32,240 --> 00:17:36,480
>> Correct. Uh and 808% for for sewer.

280
00:17:36,480 --> 00:17:38,960
>> Correct. Okay. Which makes sense. We

281
00:17:38,960 --> 00:17:41,112
have a lot of things we water parks

282
00:17:41,112 --> 00:17:41,919
[clears throat] primarily.

283
00:17:41,919 --> 00:17:44,480
>> Yeah. And fewer people who use the sewer

284
00:17:44,480 --> 00:17:47,600
than perhaps residencies. Okay. Um and

285
00:17:47,600 --> 00:17:49,919
so that that just represents the

286
00:17:49,919 --> 00:17:53,200
approximate percentage of utility fees

287
00:17:53,200 --> 00:17:54,640
uh in those funds that we're

288
00:17:54,640 --> 00:17:56,160
transferring into the general fund for

289
00:17:56,160 --> 00:17:58,320
the purpose of paying our city

290
00:17:58,320 --> 00:18:00,960
utilities. Correct. Okay. Uh those were

291
00:18:00,960 --> 00:18:02,960
my questions. Thank you. Okay.

292
00:18:02,960 --> 00:18:05,520
>> All right. Thank you, council. Any other

293
00:18:05,520 --> 00:18:07,760
questions?

294
00:18:07,760 --> 00:18:09,440
All right. This is a public hearing, so

295
00:18:09,440 --> 00:18:10,400
I'm going to go ahead and open the

296
00:18:10,400 --> 00:18:12,880
public hearing. If you would like to

297
00:18:12,880 --> 00:18:16,400
come and speak to the Enter Enterprise

298
00:18:16,400 --> 00:18:17,919
Fund transfers, we invite you to come up

299
00:18:17,919 --> 00:18:20,480
here and state your name and um please

300
00:18:20,480 --> 00:18:27,270
limit your comments to three minutes.

301
00:18:27,280 --> 00:18:29,760
All right. appears nobody wants to come

302
00:18:29,760 --> 00:18:31,200
and speak to the enterprise fund

303
00:18:31,200 --> 00:18:32,400
transfer. So, I'll go ahead and close

304
00:18:32,400 --> 00:18:33,679
the public hearing and bring it back to

305
00:18:33,679 --> 00:18:35,760
the council.

306
00:18:35,760 --> 00:18:38,080
So, do you

307
00:18:38,080 --> 00:18:39,840
>> There's no motion or anything. It's

308
00:18:39,840 --> 00:18:41,280
purelyformational.

309
00:18:41,280 --> 00:18:42,799
>> It'sformational. Okay. I was going to

310
00:18:42,799 --> 00:18:44,640
say I don't see an action here. So, it's

311
00:18:44,640 --> 00:18:46,240
just So, there's no motion that needs to

312
00:18:46,240 --> 00:18:47,760
take place. Okay.

313
00:18:47,760 --> 00:18:51,280
>> It is embedded within the uh budget.

314
00:18:51,280 --> 00:18:54,240
Okay. Or would be passed. So,

315
00:18:54,240 --> 00:18:55,760
>> all right.

316
00:18:55,760 --> 00:18:58,080
So

317
00:18:58,080 --> 00:19:01,200
with that, we'll go ahead and move on to

318
00:19:01,200 --> 00:19:03,679
our next public hearing. It's an

319
00:19:03,679 --> 00:19:06,480
ordinance municipal officers

320
00:19:06,480 --> 00:19:09,120
compensation adjustment. So Mr. Nelson,

321
00:19:09,120 --> 00:19:18,789
I'll turn the time over to you.

322
00:19:18,799 --> 00:19:22,240
» Okay. Thank you, Mayor. um as part of uh

323
00:19:22,240 --> 00:19:26,720
Utah code uh se section 10-3-818

324
00:19:26,720 --> 00:19:30,640
that was um made into law appro three

325
00:19:30,640 --> 00:19:32,720
year went into effect three years ago.

326
00:19:32,720 --> 00:19:34,080
So this will be the third year that

327
00:19:34,080 --> 00:19:36,320
we've been required to present this

328
00:19:36,320 --> 00:19:39,679
information. Um we are we're required to

329
00:19:39,679 --> 00:19:43,440
present um the certain officers of uh

330
00:19:43,440 --> 00:19:46,160
the city uh within

331
00:19:46,160 --> 00:19:49,520
um a separate agenda item and and

332
00:19:49,520 --> 00:19:54,000
exhibit and uh the item the people who

333
00:19:54,000 --> 00:19:56,000
are I shouldn't say the people the

334
00:19:56,000 --> 00:19:58,480
employees who are listed within this uh

335
00:19:58,480 --> 00:20:01,760
fall within uh what we deem to be uh

336
00:20:01,760 --> 00:20:05,039
officers um executive officers of the

337
00:20:05,039 --> 00:20:08,320
organization and listing the proposed

338
00:20:08,320 --> 00:20:11,360
increase for the upcoming fiscal year uh

339
00:20:11,360 --> 00:20:14,559
in relation to any merit increases or

340
00:20:14,559 --> 00:20:18,000
market increases. Um and as you can see

341
00:20:18,000 --> 00:20:21,520
uh through here um

342
00:20:21,520 --> 00:20:29,350
all are at 3%

343
00:20:29,360 --> 00:20:31,760
um for their a merit increase. that's

344
00:20:31,760 --> 00:20:34,240
what has been budgeted and then all all

345
00:20:34,240 --> 00:20:37,120
are zero as far as a market increase in

346
00:20:37,120 --> 00:20:40,480
relation to that. Um just to and and

347
00:20:40,480 --> 00:20:42,960
part of that law was to make sure that

348
00:20:42,960 --> 00:20:45,919
there was transparency in uh executive

349
00:20:45,919 --> 00:20:47,520
management since executive management

350
00:20:47,520 --> 00:20:50,960
has some level of control over over the

351
00:20:50,960 --> 00:20:55,200
wages. Um so this way it was um uh shown

352
00:20:55,200 --> 00:20:57,840
to everybody what the budgeted intent

353
00:20:57,840 --> 00:21:01,840
was. Um there this particular element

354
00:21:01,840 --> 00:21:03,520
there's there's nothing inconsistent

355
00:21:03,520 --> 00:21:06,240
with what we normally do. Um as far as

356
00:21:06,240 --> 00:21:09,600
budgetarily speaking goes. Um and as far

357
00:21:09,600 --> 00:21:12,559
as wages go uh for all of our all of the

358
00:21:12,559 --> 00:21:14,400
individuals who either don't qualify as

359
00:21:14,400 --> 00:21:17,280
officers or are in the STEP programs. Uh

360
00:21:17,280 --> 00:21:18,880
those are just part of our normal

361
00:21:18,880 --> 00:21:20,640
budgeting procedures and are part of the

362
00:21:20,640 --> 00:21:22,799
budget as well and and have been

363
00:21:22,799 --> 00:21:25,200
budgeted at the same whatever their step

364
00:21:25,200 --> 00:21:27,280
is. I believe almost all of those are at

365
00:21:27,280 --> 00:21:30,960
3% but um whatever those step that step

366
00:21:30,960 --> 00:21:33,120
program is for individuals uh those are

367
00:21:33,120 --> 00:21:35,039
also budgeted as well. So I just thought

368
00:21:35,039 --> 00:21:37,440
I'd better uh make sure that uh that's

369
00:21:37,440 --> 00:21:39,840
understood that this is not

370
00:21:39,840 --> 00:21:42,799
all-inclusive list of every employee. It

371
00:21:42,799 --> 00:21:44,880
is only those people who are deemed to

372
00:21:44,880 --> 00:21:47,280
be municipal officers.

373
00:21:47,280 --> 00:21:49,039
>> Right. Thank you council. Do you have

374
00:21:49,039 --> 00:21:51,360
any questions?

375
00:21:51,360 --> 00:21:54,080
All right. This Oh, okay. Um, Council

376
00:21:54,080 --> 00:21:57,350
Member Mikum.

377
00:21:57,360 --> 00:21:58,400
» So, talk to me about the difference

378
00:21:58,400 --> 00:21:59,600
between merit increase and market

379
00:21:59,600 --> 00:22:02,159
increase. Uh, I'm I'm just curious as to

380
00:22:02,159 --> 00:22:05,520
whether a cost of living adjustments um

381
00:22:05,520 --> 00:22:08,400
are reflected in the market increase as

382
00:22:08,400 --> 00:22:11,919
zero or if they are um potentially in

383
00:22:11,919 --> 00:22:13,039
some other place.

384
00:22:13,039 --> 00:22:15,520
>> So, so we don't do colas.

385
00:22:15,520 --> 00:22:20,240
um we simply look at the uh what we

386
00:22:20,240 --> 00:22:24,400
intend to provide as far as a a merit.

387
00:22:24,400 --> 00:22:28,159
So there each employees um what what

388
00:22:28,159 --> 00:22:30,240
they providing to the organization and

389
00:22:30,240 --> 00:22:33,440
determine uh a this isn't necessarily

390
00:22:33,440 --> 00:22:36,240
what they would get. it's a if you will

391
00:22:36,240 --> 00:22:40,080
a maximum uh we in I say that obviously

392
00:22:40,080 --> 00:22:43,440
we generally intend to give that u but

393
00:22:43,440 --> 00:22:45,840
there may be a case where that's not you

394
00:22:45,840 --> 00:22:48,000
know case obviously if one of the

395
00:22:48,000 --> 00:22:49,679
employees is listed here for instance

396
00:22:49,679 --> 00:22:51,840
was to leave the organization prior to

397
00:22:51,840 --> 00:22:54,000
that then those budget those budgeted

398
00:22:54,000 --> 00:22:56,159
dollars are available for other needs

399
00:22:56,159 --> 00:22:59,039
potentially um but if they were here

400
00:22:59,039 --> 00:23:01,919
then uh there's every intent um to

401
00:23:01,919 --> 00:23:04,159
potentially provide that level of a

402
00:23:04,159 --> 00:23:06,080
merit increase

403
00:23:06,080 --> 00:23:10,400
um market is based on comparative to

404
00:23:10,400 --> 00:23:13,280
other uh entities and positions outside

405
00:23:13,280 --> 00:23:15,360
of the organization and where that

406
00:23:15,360 --> 00:23:18,400
particular uh type of work might fall.

407
00:23:18,400 --> 00:23:21,200
Um so if you're talking about a um

408
00:23:21,200 --> 00:23:24,080
accountant or an engineer um potentially

409
00:23:24,080 --> 00:23:25,760
the market for those particular

410
00:23:25,760 --> 00:23:27,679
positions maybe at a given time is

411
00:23:27,679 --> 00:23:30,640
higher. Um and so you you potentially

412
00:23:30,640 --> 00:23:32,480
could provide a market increase in

413
00:23:32,480 --> 00:23:35,679
relation to those specific positions. Um

414
00:23:35,679 --> 00:23:38,320
and so that's what those two different

415
00:23:38,320 --> 00:23:41,360
is between that. Uh I'm not sure how to

416
00:23:41,360 --> 00:23:44,320
necessarily address

417
00:23:44,320 --> 00:23:47,760
that that makes sense to me. the so what

418
00:23:47,760 --> 00:23:49,440
I'm in inferring from what you've said

419
00:23:49,440 --> 00:23:51,520
is that because we don't do cost of

420
00:23:51,520 --> 00:23:55,039
living increases that um the proposed

421
00:23:55,039 --> 00:23:58,400
merit increase would be a 3% that would

422
00:23:58,400 --> 00:24:01,200
be the potential salary increase for

423
00:24:01,200 --> 00:24:02,960
these officers. Uh there's not an

424
00:24:02,960 --> 00:24:04,559
additional amount that would be

425
00:24:04,559 --> 00:24:05,440
somewhere else. Okay.

426
00:24:05,440 --> 00:24:08,720
>> Correct. And we we do budget um for a

427
00:24:08,720 --> 00:24:11,360
mid-year adjustment as we look at every

428
00:24:11,360 --> 00:24:14,720
single position. Um those there's a 1%

429
00:24:14,720 --> 00:24:18,080
set aside for a when we look go out and

430
00:24:18,080 --> 00:24:20,400
look. So identifying in relation to

431
00:24:20,400 --> 00:24:23,200
market uh for specific positions. So

432
00:24:23,200 --> 00:24:25,679
that's not a general across the board.

433
00:24:25,679 --> 00:24:28,080
It's it's evaluated by every single

434
00:24:28,080 --> 00:24:29,919
position. And so then those funds become

435
00:24:29,919 --> 00:24:32,960
available at that midyear mark to fund

436
00:24:32,960 --> 00:24:36,070
that.

437
00:24:36,080 --> 00:24:37,279
All right. Thank you. Are there any

438
00:24:37,279 --> 00:24:39,840
other questions?

439
00:24:39,840 --> 00:24:41,760
Seeing none, um I this is a public

440
00:24:41,760 --> 00:24:43,760
hearing and so I'm going to go ahead and

441
00:24:43,760 --> 00:24:45,039
open the public hearing for this

442
00:24:45,039 --> 00:24:46,960
ordinance on municipal officers

443
00:24:46,960 --> 00:24:49,120
compensation adjustments. So if you've

444
00:24:49,120 --> 00:24:50,960
come to speak to this, please come

445
00:24:50,960 --> 00:24:58,230
forward and and share your thoughts.

446
00:24:58,240 --> 00:25:00,640
Appears nobody wants to share their

447
00:25:00,640 --> 00:25:02,480
thoughts about municipal officers

448
00:25:02,480 --> 00:25:03,840
compensation adjustments. So go ahead

449
00:25:03,840 --> 00:25:05,840
and close the public hearing and bring

450
00:25:05,840 --> 00:25:07,600
it back to the council. This this

451
00:25:07,600 --> 00:25:10,799
particular item council does require an

452
00:25:10,799 --> 00:25:20,149
action on um from us.

453
00:25:20,159 --> 00:25:21,520
Do you want a motion?

454
00:25:21,520 --> 00:25:23,120
>> I would love a motion.

455
00:25:23,120 --> 00:25:25,200
>> I'll do it. I move that the city council

456
00:25:25,200 --> 00:25:26,480
of the city of Orm enact the

457
00:25:26,480 --> 00:25:28,240
compensation increases for the specific

458
00:25:28,240 --> 00:25:30,720
city officers as contained in exhibit A

459
00:25:30,720 --> 00:25:32,480
and adopt these compensation adjustments

460
00:25:32,480 --> 00:25:34,960
as part of the adopted fiscal year 2026

461
00:25:34,960 --> 00:25:38,000
2027 tenative interim budget. All right.

462
00:25:38,000 --> 00:25:39,679
Thank you. We have a motion. Is there a

463
00:25:39,679 --> 00:25:41,919
second?

464
00:25:41,919 --> 00:25:43,279
>> I will second that.

465
00:25:43,279 --> 00:25:44,559
>> All right. Thank you, Council Member

466
00:25:44,559 --> 00:25:46,799
Mikum. Is there further discussion?

467
00:25:46,799 --> 00:25:49,039
Council.

468
00:25:49,039 --> 00:25:50,720
All right. Um how do you vote? Council

469
00:25:50,720 --> 00:25:52,559
member Mulestein.

470
00:25:52,559 --> 00:25:53,360
I

471
00:25:53,360 --> 00:25:58,480
>> I

472
00:25:58,480 --> 00:26:01,600
>> All right, motion carries. Thank you.

473
00:26:01,600 --> 00:26:04,880
Um, next item on the agenda is a

474
00:26:04,880 --> 00:26:07,120
proposed property tax increase

475
00:26:07,120 --> 00:26:08,640
statement.

476
00:26:08,640 --> 00:26:10,559
And so this does not require action

477
00:26:10,559 --> 00:26:13,039
council. It's just that our um Brandon

478
00:26:13,039 --> 00:26:14,960
Nelson, our chief financial officer, is

479
00:26:14,960 --> 00:26:17,440
going to make a statement.

480
00:26:17,440 --> 00:26:19,679
So I took the time over to you to state.

481
00:26:19,679 --> 00:26:23,760
>> Yes. So under new uh uh state law uh

482
00:26:23,760 --> 00:26:27,200
anytime there is a budget discussion um

483
00:26:27,200 --> 00:26:29,679
that regards that has a property tax

484
00:26:29,679 --> 00:26:32,159
increase component to it, I am required

485
00:26:32,159 --> 00:26:35,679
to notify everyone here that the item

486
00:26:35,679 --> 00:26:37,360
that we are going to be discussing as

487
00:26:37,360 --> 00:26:41,279
far as the fiscal 2627 budget has a

488
00:26:41,279 --> 00:26:44,400
property tax increase in it. And that's

489
00:26:44,400 --> 00:26:46,159
really all that I'm required to stay for

490
00:26:46,159 --> 00:26:48,000
that particular element agenda.

491
00:26:48,000 --> 00:26:50,880
>> All right. he has stated.

492
00:26:50,880 --> 00:26:56,159
So with that we'll go on to item 4.5.

493
00:26:56,159 --> 00:26:58,320
He is going to state something else

494
00:26:58,320 --> 00:27:00,640
proposed property tax increase impact

495
00:27:00,640 --> 00:27:04,000
schedule. So go ahead and state.

496
00:27:04,000 --> 00:27:07,760
>> All right. So uh as part of uh the

497
00:27:07,760 --> 00:27:10,000
discussion in relation to a property tax

498
00:27:10,000 --> 00:27:14,480
increase uh we have prepared um based on

499
00:27:14,480 --> 00:27:17,440
uh the state law the required elements

500
00:27:17,440 --> 00:27:20,799
to be addressed um within this uh

501
00:27:20,799 --> 00:27:23,760
property tax impact schedule. Um as part

502
00:27:23,760 --> 00:27:26,640
of that schedule uh you'll see that uh

503
00:27:26,640 --> 00:27:28,960
we are proposing a rate increase um

504
00:27:28,960 --> 00:27:32,720
above the certified um tax rate which is

505
00:27:32,720 --> 00:27:37,440
the current fiscal year or current 2025

506
00:27:37,440 --> 00:27:40,880
certified tax rate uh as we have not yet

507
00:27:40,880 --> 00:27:45,200
received um the 2026 certified tax rate.

508
00:27:45,200 --> 00:27:47,279
The they state tax commission and the

509
00:27:47,279 --> 00:27:49,279
county and the auditor have basically

510
00:27:49,279 --> 00:27:52,559
until June 22nd to provide that. um

511
00:27:52,559 --> 00:27:54,080
they're they are working I've received

512
00:27:54,080 --> 00:27:55,760
emails and they are working diligently

513
00:27:55,760 --> 00:27:58,399
to try to get it prior to that date, but

514
00:27:58,399 --> 00:28:00,720
obviously not in time for this meeting.

515
00:28:00,720 --> 00:28:02,720
So therefore, all we can do is provide

516
00:28:02,720 --> 00:28:06,000
an approximation of uh what that might

517
00:28:06,000 --> 00:28:08,880
look like. Uh and based on the amount of

518
00:28:08,880 --> 00:28:11,039
money, the $450,000

519
00:28:11,039 --> 00:28:13,840
being requested uh for property tax uh

520
00:28:13,840 --> 00:28:16,799
revenue increase, uh you can see the the

521
00:28:16,799 --> 00:28:19,520
proposed uh change above that certified

522
00:28:19,520 --> 00:28:24,880
tax rate from 00603 to 00645.

523
00:28:24,880 --> 00:28:27,039
Um and as part of that, you can see the

524
00:28:27,039 --> 00:28:30,399
associated um uh revenue that was

525
00:28:30,399 --> 00:28:33,120
budgeted was the 6.4 million. That was

526
00:28:33,120 --> 00:28:34,720
an an [clears throat] estimated amount.

527
00:28:34,720 --> 00:28:37,440
And then uh just below that you can see

528
00:28:37,440 --> 00:28:40,640
the 6.864 million which equates to the

529
00:28:40,640 --> 00:28:42,799
$450,000

530
00:28:42,799 --> 00:28:46,960
increase. The estimated increase um in

531
00:28:46,960 --> 00:28:50,000
that uh property tax rate above the

532
00:28:50,000 --> 00:28:53,120
certified tax rate is 7.02%.

533
00:28:53,120 --> 00:28:55,919
>> And that is just for the ORM city

534
00:28:55,919 --> 00:28:56,559
portion.

535
00:28:56,559 --> 00:28:58,399
>> This correct the entire property on

536
00:28:58,399 --> 00:29:00,240
one's entire property tax bill.

537
00:29:00,240 --> 00:29:02,080
>> Correct. It would be just the city's

538
00:29:02,080 --> 00:29:03,919
component uh piece. Sorry for

539
00:29:03,919 --> 00:29:04,880
interrupting your state.

540
00:29:04,880 --> 00:29:06,000
>> Property tax bill. Yeah.

541
00:29:06,000 --> 00:29:08,159
>> And I want to interrupt too. The the

542
00:29:08,159 --> 00:29:09,679
percentage

543
00:29:09,679 --> 00:29:13,039
that this will be of their property tax

544
00:29:13,039 --> 00:29:15,840
total property tax bill. Do you remember

545
00:29:15,840 --> 00:29:17,520
was it 07?

546
00:29:17,520 --> 00:29:19,120
>> It was like nine.

547
00:29:19,120 --> 00:29:20,480
>> Where's the You know what I'm trying to

548
00:29:20,480 --> 00:29:20,720
say?

549
00:29:20,720 --> 00:29:21,919
>> Yeah, I know. But I don't know what

550
00:29:21,919 --> 00:29:23,679
>> you gave that six months and I'm trying

551
00:29:23,679 --> 00:29:25,039
it was okay. You don't have that written

552
00:29:25,039 --> 00:29:26,799
down. I don't. But just to the point

553
00:29:26,799 --> 00:29:30,320
that the mayor's making is that the

554
00:29:30,320 --> 00:29:33,919
majority of the property tax dollars

555
00:29:33,919 --> 00:29:36,720
collected, we are but a small percentage

556
00:29:36,720 --> 00:29:37,279
of that.

557
00:29:37,279 --> 00:29:39,039
>> Yeah. The city's portion of your

558
00:29:39,039 --> 00:29:42,159
property tax bill is approximately 13

559
00:29:42,159 --> 00:29:43,919
14%.

560
00:29:43,919 --> 00:29:45,039
total property tax

561
00:29:45,039 --> 00:29:46,720
>> because the other taxing entities are

562
00:29:46,720 --> 00:29:49,360
the school district, the water,

563
00:29:49,360 --> 00:29:50,480
the county, the

564
00:29:50,480 --> 00:29:53,919
>> Yeah. So this is that 7.02 102 is in

565
00:29:53,919 --> 00:30:03,830
relation only to the city's piece of the property tax bill.

566
00:30:03,840 --> 00:30:07,919
As part of uh uh the transparency, uh we

567
00:30:07,919 --> 00:30:10,960
also are required to provide you with an

568
00:30:10,960 --> 00:30:14,799
estimate based on uh the average um

569
00:30:14,799 --> 00:30:17,760
primary residential value of 513,000

570
00:30:17,760 --> 00:30:20,000
that comes from the that number amount

571
00:30:20,000 --> 00:30:22,000
comes from the county. So, not something

572
00:30:22,000 --> 00:30:24,080
I just pick out of thin air. Um, the

573
00:30:24,080 --> 00:30:27,200
county provides that and the associated

574
00:30:27,200 --> 00:30:29,760
uh with that associated tax increase in

575
00:30:29,760 --> 00:30:31,679
the rate, the increase in the rate, that

576
00:30:31,679 --> 00:30:35,039
would equate to an $11.85

577
00:30:35,039 --> 00:30:38,960
annual increase to a property valued at

578
00:30:38,960 --> 00:30:42,240
513,000, which you can see equates to a

579
00:30:42,240 --> 00:30:43,840
6.97%

580
00:30:43,840 --> 00:30:45,600
increase.

581
00:30:45,600 --> 00:30:48,159
um associated the commercial

582
00:30:48,159 --> 00:30:51,360
establishment valued at 513,000

583
00:30:51,360 --> 00:30:55,360
would see an increase of $2757

584
00:30:55,360 --> 00:31:00,320
annually and again that's an 8.91%

585
00:31:00,320 --> 00:31:03,279
increase um for a business valued at

586
00:31:03,279 --> 00:31:06,159
that 513,000.

587
00:31:06,159 --> 00:31:08,640
Um, part of this is also identifying

588
00:31:08,640 --> 00:31:10,960
what is that $450,000

589
00:31:10,960 --> 00:31:14,240
requested um increase going to and the

590
00:31:14,240 --> 00:31:17,200
intent here is to fund uh two police

591
00:31:17,200 --> 00:31:21,279
officers uh and their associated all of

592
00:31:21,279 --> 00:31:23,679
the associated uh vehicles and equipment

593
00:31:23,679 --> 00:31:26,159
in relation to uh fully outfitting those

594
00:31:26,159 --> 00:31:28,080
two officers.

595
00:31:28,080 --> 00:31:30,159
Are there any questions about any of

596
00:31:30,159 --> 00:31:32,000
those items that I've mentioned?

597
00:31:32,000 --> 00:31:33,360
>> I just have a question with this

598
00:31:33,360 --> 00:31:36,480
intention. This is where the money would

599
00:31:36,480 --> 00:31:38,880
have to go. We can't as a council, not I

600
00:31:38,880 --> 00:31:40,720
have absolutely no intention or

601
00:31:40,720 --> 00:31:41,840
anything, but I know that there have

602
00:31:41,840 --> 00:31:45,039
been questions of could the city council

603
00:31:45,039 --> 00:31:46,399
as a council vote to have it go

604
00:31:46,399 --> 00:31:48,159
somewhere else if it were to be enacted.

605
00:31:48,159 --> 00:31:49,919
It has to go for this because you've

606
00:31:49,919 --> 00:31:52,559
stated this is the intent of what it is,

607
00:31:52,559 --> 00:31:53,919
how much it is, and where it's going to

608
00:31:53,919 --> 00:31:54,720
go. Is that correct?

609
00:31:54,720 --> 00:31:55,760
>> That is correct.

610
00:31:55,760 --> 00:31:56,240
>> Okay.

611
00:31:56,240 --> 00:31:58,880
>> Yep. If if we were to move forward and

612
00:31:58,880 --> 00:32:02,000
try to use something else for that those

613
00:32:02,000 --> 00:32:04,960
funds, then they would deem that as, you

614
00:32:04,960 --> 00:32:07,840
know, not following what what we've

615
00:32:07,840 --> 00:32:09,760
indicated we're going to do and they can

616
00:32:09,760 --> 00:32:12,640
pull it back potentially.

617
00:32:12,640 --> 00:32:15,200
>> All right. Thank you.

618
00:32:15,200 --> 00:32:18,000
All right. Anybody other comments? Thank

619
00:32:18,000 --> 00:32:19,919
you for your Oh, do you have Okay,

620
00:32:19,919 --> 00:32:23,679
>> one brief comment. So, um I I think this

621
00:32:23,679 --> 00:32:25,200
was implicit in what you said, Brandon,

622
00:32:25,200 --> 00:32:27,679
but I I just want to repeat it uh to

623
00:32:27,679 --> 00:32:32,080
ensure that I'm I'm correct. Uh so, for

624
00:32:32,080 --> 00:32:34,880
what we think is an average

625
00:32:34,880 --> 00:32:36,799
primary residence value of about

626
00:32:36,799 --> 00:32:39,120
$500,000,

627
00:32:39,120 --> 00:32:41,279
uh the implication of that for a

628
00:32:41,279 --> 00:32:45,840
taxpayer in that category would be uh $1

629
00:32:45,840 --> 00:32:47,600
a month essentially.

630
00:32:47,600 --> 00:32:48,159
>> That's correct.

631
00:32:48,159 --> 00:32:52,000
>> Uh slightly less than $1 a month. um or

632
00:32:52,000 --> 00:32:54,640
um annually less than the cost of a

633
00:32:54,640 --> 00:32:56,720
movie theater ticket every place besides

634
00:32:56,720 --> 00:32:58,159
the Sarah.

635
00:32:58,159 --> 00:33:02,159
>> Right. Right. Okay.

636
00:33:02,159 --> 00:33:04,399
All right.

637
00:33:04,399 --> 00:33:07,200
With that, thank you for stating your

638
00:33:07,200 --> 00:33:08,720
statements

639
00:33:08,720 --> 00:33:13,120
and we're going to move on to item 4.6.

640
00:33:13,120 --> 00:33:15,120
It's a resolution the creation of public

641
00:33:15,120 --> 00:33:17,679
safety special revenue fund and

642
00:33:17,679 --> 00:33:19,840
statement of intent to dedicate the

643
00:33:19,840 --> 00:33:22,640
general operations portion of property

644
00:33:22,640 --> 00:33:26,480
tax to public safety. And so council, at

645
00:33:26,480 --> 00:33:28,159
some point this is going to require an

646
00:33:28,159 --> 00:33:30,559
action and we'll turn the time over to

647
00:33:30,559 --> 00:33:35,190
um Brandon Nelson.

648
00:33:35,200 --> 00:33:38,240
» Thank you mayor. Um, as we've discussed

649
00:33:38,240 --> 00:33:42,480
uh several times, um the fiscal 2627

650
00:33:42,480 --> 00:33:45,840
budget um does contain the separation

651
00:33:45,840 --> 00:33:48,240
and creation of a new special revenue

652
00:33:48,240 --> 00:33:51,600
fund. Um there was some confusion in

653
00:33:51,600 --> 00:33:53,679
relation to the May 12th tentative

654
00:33:53,679 --> 00:33:55,600
meeting as far as the resolution that

655
00:33:55,600 --> 00:33:57,840
was associated with that. Um that

656
00:33:57,840 --> 00:34:01,440
resolution was simply uh intended to be

657
00:34:01,440 --> 00:34:03,360
uh indicator

658
00:34:03,360 --> 00:34:07,200
of what was uh in intended to happen uh

659
00:34:07,200 --> 00:34:10,960
in the meeting uh today. So in the

660
00:34:10,960 --> 00:34:13,919
meeting today um what is being requested

661
00:34:13,919 --> 00:34:20,240
is um a two totally separate items.

662
00:34:20,240 --> 00:34:22,879
One is the creation of a special revenue

663
00:34:22,879 --> 00:34:24,720
fund

664
00:34:24,720 --> 00:34:28,159
for public safety and that all

665
00:34:28,159 --> 00:34:31,919
associated revenues and costs would be

666
00:34:31,919 --> 00:34:35,119
placed within that special revenue fund.

667
00:34:35,119 --> 00:34:39,919
Separately from that approval is a

668
00:34:39,919 --> 00:34:43,200
statement in the resolution that states

669
00:34:43,200 --> 00:34:45,200
the intention

670
00:34:45,200 --> 00:34:48,639
of the city council to approve the

671
00:34:48,639 --> 00:34:51,359
dedication of the city's property tax

672
00:34:51,359 --> 00:34:55,520
levy to that newly created special

673
00:34:55,520 --> 00:34:59,599
public safety special revenue fund. That

674
00:34:59,599 --> 00:35:01,599
intention is the reason it's an

675
00:35:01,599 --> 00:35:04,640
intention is because we if we move

676
00:35:04,640 --> 00:35:08,400
forward with a property tax increase

677
00:35:08,400 --> 00:35:12,160
proposed that meeting is in a on August

678
00:35:12,160 --> 00:35:16,240
27th and so property taxes would not be

679
00:35:16,240 --> 00:35:19,119
that levy would not be set until that

680
00:35:19,119 --> 00:35:22,560
August 27th meeting. Therefore,

681
00:35:22,560 --> 00:35:25,520
the intent is to go to that meeting to

682
00:35:25,520 --> 00:35:28,720
approve not only a potential property

683
00:35:28,720 --> 00:35:31,440
tax increase, but approve the full levy

684
00:35:31,440 --> 00:35:34,560
and and the dedication of those property

685
00:35:34,560 --> 00:35:38,400
taxes towards that public safety special

686
00:35:38,400 --> 00:35:40,320
revenue fund.

687
00:35:40,320 --> 00:35:44,720
Those this that's a separate item from

688
00:35:44,720 --> 00:35:46,400
the creation of the special revenue

689
00:35:46,400 --> 00:35:47,119
fund.

690
00:35:47,119 --> 00:35:48,720
>> So, can I just ask a quick question?

691
00:35:48,720 --> 00:35:50,079
>> You bet.

692
00:35:50,079 --> 00:35:53,040
So, this this resolution in our packet

693
00:35:53,040 --> 00:35:54,960
creates the special the public safety

694
00:35:54,960 --> 00:35:56,400
special revenue fund. I want to make

695
00:35:56,400 --> 00:35:59,280
sure I understand creates that fund and

696
00:35:59,280 --> 00:36:02,880
then states the intention that we will

697
00:36:02,880 --> 00:36:05,680
be putting the regular general

698
00:36:05,680 --> 00:36:08,640
operations property tax levy into that

699
00:36:08,640 --> 00:36:11,440
new fund. But we can't do that until

700
00:36:11,440 --> 00:36:13,839
after the truth and taxation hearing on

701
00:36:13,839 --> 00:36:15,280
until we find out whether the council

702
00:36:15,280 --> 00:36:17,040
approves or denies the property tax

703
00:36:17,040 --> 00:36:17,599
increase.

704
00:36:17,599 --> 00:36:20,160
>> Correct. Okay. Thank you.

705
00:36:20,160 --> 00:36:22,320
>> And so just then kind of back up a

706
00:36:22,320 --> 00:36:24,079
little bit. So what why are we

707
00:36:24,079 --> 00:36:26,880
interested in uh creating a special

708
00:36:26,880 --> 00:36:29,680
revenue fund? So number one is we feel

709
00:36:29,680 --> 00:36:32,240
like that it provides a a better

710
00:36:32,240 --> 00:36:37,839
transparency for what the cost of our public safety is and it specifically

711
00:36:37,839 --> 00:36:40,880
outlines those the revenues associated

712
00:36:40,880 --> 00:36:43,680
with them as well as the cost all of the

713
00:36:43,680 --> 00:36:47,119
costs associated with the public safety.

714
00:36:47,119 --> 00:36:52,320
um departments. Um as part of that, if

715
00:36:52,320 --> 00:36:54,960
we were to move forward with dedicating

716
00:36:54,960 --> 00:36:57,520
the city's property tax to public

717
00:36:57,520 --> 00:37:00,640
safety, then it is required that we have

718
00:37:00,640 --> 00:37:04,400
a special revenue fund to account for

719
00:37:04,400 --> 00:37:06,480
those dollars.

720
00:37:06,480 --> 00:37:09,359
But that does not mean we can't have a

721
00:37:09,359 --> 00:37:11,839
special revenue fund even if those

722
00:37:11,839 --> 00:37:14,240
dollars are not dedicated. So you could

723
00:37:14,240 --> 00:37:16,480
still create a special revenue similar

724
00:37:16,480 --> 00:37:18,640
to what we've done with our development

725
00:37:18,640 --> 00:37:21,839
fees fund where we separated out all of

726
00:37:21,839 --> 00:37:25,040
those items related to building permits

727
00:37:25,040 --> 00:37:27,839
and planning and that those are

728
00:37:27,839 --> 00:37:30,480
separated into a specific fund so that

729
00:37:30,480 --> 00:37:33,520
we can see what the costs associated

730
00:37:33,520 --> 00:37:36,960
with providing those services are. So

731
00:37:36,960 --> 00:37:40,320
they're very similar in that nature.

732
00:37:40,320 --> 00:37:46,630
Um

733
00:37:46,640 --> 00:37:50,160
just to give an idea. So currently as of

734
00:37:50,160 --> 00:37:56,400
fiscal 26 um the total u budget for fire

735
00:37:56,400 --> 00:37:59,920
and police within that fund is just a

736
00:37:59,920 --> 00:38:02,400
little over $38 million.

737
00:38:02,400 --> 00:38:04,960
$38.1 million.

738
00:38:04,960 --> 00:38:06,880
Uh the property tax that we're

739
00:38:06,880 --> 00:38:09,920
discussing is approximately estimated to

740
00:38:09,920 --> 00:38:12,640
be 8.1 million.

741
00:38:12,640 --> 00:38:14,640
Obviously, there is a rather large

742
00:38:14,640 --> 00:38:18,160
discrepancy between those two. Uh I know

743
00:38:18,160 --> 00:38:22,240
there has been some concern about well,

744
00:38:22,240 --> 00:38:23,839
you're just going to raise a property

745
00:38:23,839 --> 00:38:27,920
tax to cover that $38.1 million.

746
00:38:27,920 --> 00:38:30,720
Number one, if that were to occur, that

747
00:38:30,720 --> 00:38:34,240
would take a very, very, very long time

748
00:38:34,240 --> 00:38:37,200
to get to that point.

749
00:38:37,200 --> 00:38:39,680
Number two, we understand that that

750
00:38:39,680 --> 00:38:42,079
isn't really that's not our goal. But

751
00:38:42,079 --> 00:38:44,800
the goal is to provide some level of

752
00:38:44,800 --> 00:38:48,800
stability to our public safety from one

753
00:38:48,800 --> 00:38:52,800
of our most consistent and dedicated

754
00:38:52,800 --> 00:38:56,480
sources of revenue. that does not vary

755
00:38:56,480 --> 00:39:00,079
based upon the economy. We receive the

756
00:39:00,079 --> 00:39:02,320
same amount of tax dollars from property

757
00:39:02,320 --> 00:39:05,839
tax every year without us doing

758
00:39:05,839 --> 00:39:08,160
anything. So when it's set, we get the

759
00:39:08,160 --> 00:39:10,880
same amount irregardless of how the

760
00:39:10,880 --> 00:39:13,040
economy is doing. So it's a stable

761
00:39:13,040 --> 00:39:16,960
source in relation to one of one of our

762
00:39:16,960 --> 00:39:19,760
core services of the city. So, we would

763
00:39:19,760 --> 00:39:23,680
like to bolster as much as possible the

764
00:39:23,680 --> 00:39:26,560
relationship between that property tax

765
00:39:26,560 --> 00:39:38,230
and our public safety um departments

766
00:39:38,240 --> 00:39:40,160
as part of the the timeline. Just to

767
00:39:40,160 --> 00:39:42,320
give an idea, obviously we had the our

768
00:39:42,320 --> 00:39:44,640
tenative budget discussion on May 12th.

769
00:39:44,640 --> 00:39:47,040
Um, which again we outlined the the

770
00:39:47,040 --> 00:39:49,200
intention to want to move ahead with

771
00:39:49,200 --> 00:39:51,119
creation of the special revenue fund and

772
00:39:51,119 --> 00:39:54,079
dedicating the tax. This resolution puts

773
00:39:54,079 --> 00:39:56,400
that more into line and spells out

774
00:39:56,400 --> 00:39:58,960
exactly what we would be doing as far as

775
00:39:58,960 --> 00:40:00,960
what I've already discussed as far as

776
00:40:00,960 --> 00:40:03,280
whether to create that. Um it was

777
00:40:03,280 --> 00:40:06,000
brought up the the special revenue fund

778
00:40:06,000 --> 00:40:07,839
while we would we would love for that to

779
00:40:07,839 --> 00:40:11,119
be approved tonight um that's not a

780
00:40:11,119 --> 00:40:13,599
requirement it could be uh along with

781
00:40:13,599 --> 00:40:17,040
the dedication of the um property tax in

782
00:40:17,040 --> 00:40:19,520
August that special revenue fund you

783
00:40:19,520 --> 00:40:22,800
could go ahead and and wait and create

784
00:40:22,800 --> 00:40:26,320
that um as part of the August meeting as

785
00:40:26,320 --> 00:40:28,960
well. um we would prefer to at least

786
00:40:28,960 --> 00:40:32,720
have the fund created um now um whether

787
00:40:32,720 --> 00:40:35,760
it's funded or not. That that is a

788
00:40:35,760 --> 00:40:37,599
different story. Um and can be

789
00:40:37,599 --> 00:40:39,760
determined upon adoption of the final

790
00:40:39,760 --> 00:40:46,069
budget in August if if necessary.

791
00:40:46,079 --> 00:40:48,400
As mentioned, uh this meeting is to

792
00:40:48,400 --> 00:40:50,240
discuss those things and we've talked

793
00:40:50,240 --> 00:40:53,119
about uh the various things related to

794
00:40:53,119 --> 00:40:55,200
the property tax increase and that's all

795
00:40:55,200 --> 00:40:59,359
that this uh slide is is indicating is

796
00:40:59,359 --> 00:41:00,880
those things that I just mentioned in

797
00:41:00,880 --> 00:41:04,880
that property tax impact statement.

798
00:41:04,880 --> 00:41:08,079
And then uh as mentioned at the TNT

799
00:41:08,079 --> 00:41:11,200
meeting on August 27th of this year, we

800
00:41:11,200 --> 00:41:14,160
would be discussing um not only the

801
00:41:14,160 --> 00:41:16,400
property tax increase and and whether to

802
00:41:16,400 --> 00:41:17,920
approve that or not approve that

803
00:41:17,920 --> 00:41:19,920
increase, but we'd also be discussing

804
00:41:19,920 --> 00:41:22,640
the dedication of the city's general

805
00:41:22,640 --> 00:41:24,640
operations property tax in that meeting

806
00:41:24,640 --> 00:41:27,200
and whether we would be dedicating that

807
00:41:27,200 --> 00:41:30,240
um to public safety or not. as well as

808
00:41:30,240 --> 00:41:35,599
the um discussion um around uh

809
00:41:35,599 --> 00:41:40,550
the special revenue fund potentially.

810
00:41:40,560 --> 00:41:41,839
» That's all I have in

811
00:41:41,839 --> 00:41:44,960
>> All right. Thank you, council. Any

812
00:41:44,960 --> 00:41:47,040
questions? Council member Millet,

813
00:41:47,040 --> 00:41:49,119
>> some comments and questions. Um your

814
00:41:49,119 --> 00:41:50,560
first slide, will you go to that,

815
00:41:50,560 --> 00:41:55,349
please?

816
00:41:55,359 --> 00:41:57,440
» Yeah, let's see. Where did I see this?

817
00:41:57,440 --> 00:41:59,760
Um,

818
00:41:59,760 --> 00:42:02,000
okay. So, although we are legally

819
00:42:02,000 --> 00:42:04,480
restricting all property tax collected

820
00:42:04,480 --> 00:42:07,359
into this fund to public safety, we are

821
00:42:07,359 --> 00:42:10,000
not clarify for me this please and

822
00:42:10,000 --> 00:42:12,240
Steve. We are not tying the hands of

823
00:42:12,240 --> 00:42:14,240
future councils

824
00:42:14,240 --> 00:42:16,319
to this is a decision that will be made

825
00:42:16,319 --> 00:42:18,400
every year based through our budgeting

826
00:42:18,400 --> 00:42:21,440
process. This is not an automatic. This

827
00:42:21,440 --> 00:42:23,920
is something that is always considered.

828
00:42:23,920 --> 00:42:26,079
But what this fund does is this gives us

829
00:42:26,079 --> 00:42:27,359
the opportunity to have more

830
00:42:27,359 --> 00:42:31,119
transparency in where those funds are

831
00:42:31,119 --> 00:42:33,200
going, that they are going to our public

832
00:42:33,200 --> 00:42:36,400
safety. And that um not just the

833
00:42:36,400 --> 00:42:38,000
property tax funds, but all of the

834
00:42:38,000 --> 00:42:41,040
revenues that our public safety is

835
00:42:41,040 --> 00:42:43,359
generating through contracts with other

836
00:42:43,359 --> 00:42:46,800
cities, through um other licensing,

837
00:42:46,800 --> 00:42:48,000
whatever we're doing. There's a whole

838
00:42:48,000 --> 00:42:49,440
list, right?

839
00:42:49,440 --> 00:42:52,640
um will go into that fund and will not

840
00:42:52,640 --> 00:42:55,680
be absorbed into other to subsidize

841
00:42:55,680 --> 00:42:57,599
other areas of our budget. Once again,

842
00:42:57,599 --> 00:43:03,040
transparency saying we are funding our public safety and this is how we're

843
00:43:03,040 --> 00:43:05,040
doing it and we're letting them those

844
00:43:05,040 --> 00:43:07,280
revenues that they generate stay in

845
00:43:07,280 --> 00:43:08,960
their um budget.

846
00:43:08,960 --> 00:43:09,760
>> Correct. Is that correct?

847
00:43:09,760 --> 00:43:11,119
>> Yeah. Let let me Is that fair?

848
00:43:11,119 --> 00:43:13,200
>> Yeah. Let me let me make just restate

849
00:43:13,200 --> 00:43:15,280
that. So, thank you for bringing that up

850
00:43:15,280 --> 00:43:17,839
because I I did fail to mention that. Uh

851
00:43:17,839 --> 00:43:20,960
yeah. So this in no way what if if we

852
00:43:20,960 --> 00:43:22,480
were to move all of these things to a

853
00:43:22,480 --> 00:43:25,200
special revenue fund and that property

854
00:43:25,200 --> 00:43:26,960
tax and and you were to dedicate that

855
00:43:26,960 --> 00:43:30,800
property tax that dedication occurs

856
00:43:30,800 --> 00:43:35,200
every year. Every year you pass a budget

857
00:43:35,200 --> 00:43:41,359
you are dedicating the property tax as you would like to see it dedicated.

858
00:43:41,359 --> 00:43:43,359
Whether that's to the special revenue

859
00:43:43,359 --> 00:43:46,160
fund or if you wanted to then move it

860
00:43:46,160 --> 00:43:48,079
back to the general fund and and place

861
00:43:48,079 --> 00:43:50,800
it there, you have the ability to make

862
00:43:50,800 --> 00:43:55,359
that change. And then again each year

863
00:43:55,359 --> 00:43:57,920
you could also potentially if you had

864
00:43:57,920 --> 00:43:59,760
moved that property that dedicated

865
00:43:59,760 --> 00:44:01,839
property tax back to the general fund,

866
00:44:01,839 --> 00:44:03,760
you could also discontinue the use of

867
00:44:03,760 --> 00:44:06,000
the special revenue fund and you could

868
00:44:06,000 --> 00:44:09,119
move all of the public safety back into

869
00:44:09,119 --> 00:44:11,119
the general fund if that if you so

870
00:44:11,119 --> 00:44:14,319
chose. Now obviously again the dedicated

871
00:44:14,319 --> 00:44:15,599
piece of that makes the difference,

872
00:44:15,599 --> 00:44:16,720
right? If you're going to continue to

873
00:44:16,720 --> 00:44:18,640
dedicate that to public safety, it has

874
00:44:18,640 --> 00:44:20,720
to stay separate. But if you were to

875
00:44:20,720 --> 00:44:22,880
move it all back, you have that

876
00:44:22,880 --> 00:44:25,920
flexibility andor the members after

877
00:44:25,920 --> 00:44:28,319
yourselves always have that flexibility

878
00:44:28,319 --> 00:44:29,760
>> because there are members of the public

879
00:44:29,760 --> 00:44:31,200
who are comparing this to the

880
00:44:31,200 --> 00:44:32,960
constitutional

881
00:44:32,960 --> 00:44:37,200
um direction from the state income tax

882
00:44:37,200 --> 00:44:38,480
to education.

883
00:44:38,480 --> 00:44:38,800
>> Correct.

884
00:44:38,800 --> 00:44:41,920
>> And this is not even close to that.

885
00:44:41,920 --> 00:44:43,119
>> Not even close.

886
00:44:43,119 --> 00:44:45,440
I just want to make that

887
00:44:45,440 --> 00:44:47,119
clear because I have had a lot of people

888
00:44:47,119 --> 00:44:50,160
say that to me. you are now

889
00:44:50,160 --> 00:44:51,839
tying the hands of everybody into the

890
00:44:51,839 --> 00:44:53,599
future. And I'm like, "No, no, no.

891
00:44:53,599 --> 00:44:56,079
That's not it's not even."

892
00:44:56,079 --> 00:44:58,400
>> And and that's why we pass a specific

893
00:44:58,400 --> 00:45:02,319
ordinance specific to that fiscal year

894
00:45:02,319 --> 00:45:04,720
each year is because each year you're

895
00:45:04,720 --> 00:45:07,280
dedicating this is what it looks like

896
00:45:07,280 --> 00:45:08,800
for this fiscal year.

897
00:45:08,800 --> 00:45:10,319
>> And actually these people, same people,

898
00:45:10,319 --> 00:45:11,920
I just say you're going to love this

899
00:45:11,920 --> 00:45:14,720
because this is transparency in action.

900
00:45:14,720 --> 00:45:16,720
>> Correct. This is where you will see

901
00:45:16,720 --> 00:45:20,079
exactly money coming in staying with our

902
00:45:20,079 --> 00:45:24,000
public safety and how frankly holding

903
00:45:24,000 --> 00:45:26,000
them to account too with how they're

904
00:45:26,000 --> 00:45:27,040
spending that money.

905
00:45:27,040 --> 00:45:27,599
>> You bet.

906
00:45:27,599 --> 00:45:29,760
>> It will be just a much more transparent

907
00:45:29,760 --> 00:45:30,640
action.

908
00:45:30,640 --> 00:45:32,319
>> That's our that's our feeling as well.

909
00:45:32,319 --> 00:45:34,160
>> Okay. Thank you, Council Member Millet,

910
00:45:34,160 --> 00:45:36,000
for for clarifying that you brought up

911
00:45:36,000 --> 00:45:40,160
that's a good point to remember that it's not like the Constitution, the

912
00:45:40,160 --> 00:45:41,680
state constitution, that this is

913
00:45:41,680 --> 00:45:43,040
something that we have to look at every

914
00:45:43,040 --> 00:45:44,880
year. But you also brought up another

915
00:45:44,880 --> 00:45:47,200
good point and that is that if public

916
00:45:47,200 --> 00:45:50,000
safety does receive additional funding

917
00:45:50,000 --> 00:45:53,599
in other areas uh maybe for wildfire if

918
00:45:53,599 --> 00:45:55,359
they've gone to fight wildfires or

919
00:45:55,359 --> 00:45:57,839
contracts with other uh other

920
00:45:57,839 --> 00:46:00,240
communities that that money goes into

921
00:46:00,240 --> 00:46:02,560
this as well. So there's there's

922
00:46:02,560 --> 00:46:05,760
accountability and and showing and

923
00:46:05,760 --> 00:46:07,520
transparency saying what this is the

924
00:46:07,520 --> 00:46:09,599
money that they brought in and this is

925
00:46:09,599 --> 00:46:11,920
the and this is the funding that we'll

926
00:46:11,920 --> 00:46:13,359
use going forward. So, thank you for

927
00:46:13,359 --> 00:46:14,880
bringing that up. Appreciate it.

928
00:46:14,880 --> 00:46:16,560
>> Yeah, Mark hates it when I tell him that

929
00:46:16,560 --> 00:46:18,240
I'm using all of his fire inspection

930
00:46:18,240 --> 00:46:20,720
money to buy my sodas every day.

931
00:46:20,720 --> 00:46:22,640
>> Yeah. [laughter]

932
00:46:22,640 --> 00:46:25,200
>> Joke joke, right? He's not laughing too

933
00:46:25,200 --> 00:46:27,680
much over there, Brandon. [laughter]

934
00:46:27,680 --> 00:46:29,599
All right, council. Are there any other

935
00:46:29,599 --> 00:46:31,119
comments or questions?

936
00:46:31,119 --> 00:46:32,880
>> I I just have a quick comment. Uh,

937
00:46:32,880 --> 00:46:35,040
Brandon, thank you and staff, thank you

938
00:46:35,040 --> 00:46:37,440
for bringing this forward. We've been

939
00:46:37,440 --> 00:46:40,079
talking about this for a long time and a

940
00:46:40,079 --> 00:46:41,680
lot of months and I think it just brings

941
00:46:41,680 --> 00:46:44,400
a foundational continuity

942
00:46:44,400 --> 00:46:49,760
uh to public safety um that I think is very important and one of the one of

943
00:46:49,760 --> 00:46:52,800
our main responsibilities as a city uh

944
00:46:52,800 --> 00:46:55,839
to provide public safety and uh I think

945
00:46:55,839 --> 00:46:57,839
this is a great way of going about that.

946
00:46:57,839 --> 00:46:59,520
So thank you.

947
00:46:59,520 --> 00:47:01,119
>> Right. Thank you for your comments as

948
00:47:01,119 --> 00:47:03,599
well about the responsibility of us as a

949
00:47:03,599 --> 00:47:05,359
community providing those very basic

950
00:47:05,359 --> 00:47:08,720
services. And so, all right, if there

951
00:47:08,720 --> 00:47:11,280
are no other comments from the council

952
00:47:11,280 --> 00:47:13,040
or questions, this is not a public

953
00:47:13,040 --> 00:47:14,319
hearing, but if there's anybody who

954
00:47:14,319 --> 00:47:16,960
would like to speak to this item, you're

955
00:47:16,960 --> 00:47:23,190
welcome to come forward and do so.

956
00:47:23,200 --> 00:47:24,319
Don't worry, I'm not going to stare

957
00:47:24,319 --> 00:47:26,720
anybody down or anything. Okay. No, he's

958
00:47:26,720 --> 00:47:29,200
like everybody's just happy where they

959
00:47:29,200 --> 00:47:31,599
are. So, all right, bring that back to

960
00:47:31,599 --> 00:47:33,599
the council. And like I said before,

961
00:47:33,599 --> 00:47:37,119
council, this requires an action by us.

962
00:47:37,119 --> 00:47:40,560
And so, uh, I would look for a motion.

963
00:47:40,560 --> 00:47:42,400
So, I I would like to make this motion.

964
00:47:42,400 --> 00:47:43,760
I would like to make one change. If

965
00:47:43,760 --> 00:47:46,000
you'll note when I read this, and it's

966
00:47:46,000 --> 00:47:49,839
on the funding portion. Um, so I move to

967
00:47:49,839 --> 00:47:52,880
approve the resolution the creation of a

968
00:47:52,880 --> 00:47:54,960
new public safety special revenue fund

969
00:47:54,960 --> 00:47:57,599
to be included in the fiscal year 2026

970
00:47:57,599 --> 00:48:00,640
2027 tenative budget and state that the

971
00:48:00,640 --> 00:48:03,280
ORM city council is considering the

972
00:48:03,280 --> 00:48:06,319
dedication of all of the city of ORM's

973
00:48:06,319 --> 00:48:08,720
general regular operations property tax

974
00:48:08,720 --> 00:48:12,720
levy for fiscal year 2026 2027 to this

975
00:48:12,720 --> 00:48:13,839
new fund.

976
00:48:13,839 --> 00:48:15,440
>> All right, thank you. I have a question

977
00:48:15,440 --> 00:48:17,839
on that. is is intends is the word

978
00:48:17,839 --> 00:48:19,680
intends something from the state law. Do

979
00:48:19,680 --> 00:48:21,359
we have to use that? I I don't have a

980
00:48:21,359 --> 00:48:22,160
problem.

981
00:48:22,160 --> 00:48:23,920
>> Yeah. And that's just to clear up this

982
00:48:23,920 --> 00:48:25,359
consider I I mean I've had several

983
00:48:25,359 --> 00:48:27,200
people say you guys did this already.

984
00:48:27,200 --> 00:48:28,800
We're not we're not voting on this till

985
00:48:28,800 --> 00:48:30,319
August.

986
00:48:30,319 --> 00:48:32,480
>> This is a two-part motion, too.

987
00:48:32,480 --> 00:48:34,319
>> Yeah. So, you're you're you're free to

988
00:48:34,319 --> 00:48:36,240
say that you intend to do it or you're

989
00:48:36,240 --> 00:48:38,160
free to say that you're considering

990
00:48:38,160 --> 00:48:38,880
anyway.

991
00:48:38,880 --> 00:48:40,720
>> Okay. Thank you. I just wanted to make

992
00:48:40,720 --> 00:48:43,119
sure like like um the statements that

993
00:48:43,119 --> 00:48:45,760
Brandon had to do earlier that he it was

994
00:48:45,760 --> 00:48:47,200
intend and I didn't know if it was going

995
00:48:47,200 --> 00:48:48,559
to be used and it had to be used in the

996
00:48:48,559 --> 00:48:50,640
same way. So all right council we have

997
00:48:50,640 --> 00:48:52,000
that motion. Do you understand what the

998
00:48:52,000 --> 00:48:55,200
proposed change is to the motion is

999
00:48:55,200 --> 00:48:57,520
considering instead of the word intends

1000
00:48:57,520 --> 00:49:01,599
>> and also adding the fiscal 2026 2027

1001
00:49:01,599 --> 00:49:03,200
okay property taxes

1002
00:49:03,200 --> 00:49:05,200
>> and Brandon you're comfortable with that

1003
00:49:05,200 --> 00:49:05,839
wording.

1004
00:49:05,839 --> 00:49:06,800
>> Mhm.

1005
00:49:06,800 --> 00:49:08,079
>> Okay.

1006
00:49:08,079 --> 00:49:09,359
>> All right. I have a motion. I will

1007
00:49:09,359 --> 00:49:10,000
second that.

1008
00:49:10,000 --> 00:49:11,920
>> We have a motion and a second. All

1009
00:49:11,920 --> 00:49:14,319
right. Any further discussion? Okay.

1010
00:49:14,319 --> 00:49:15,680
Council member Kilpac.

1011
00:49:15,680 --> 00:49:18,800
>> I I

1012
00:49:18,800 --> 00:49:22,960
>> I

1013
00:49:22,960 --> 00:49:26,079
>> All right. Thank you. Motion carries.

1014
00:49:26,079 --> 00:49:29,200
Next item on our agenda is a public

1015
00:49:29,200 --> 00:49:32,720
hearing regarding an ordinance adopting

1016
00:49:32,720 --> 00:49:36,720
fiscal year 2026 2027 tenative interim

1017
00:49:36,720 --> 00:49:39,280
budget. And we'll turn that time back

1018
00:49:39,280 --> 00:49:42,480
over to Mr. Nelson. And this will be an

1019
00:49:42,480 --> 00:49:53,270
action item, council.

1020
00:49:53,280 --> 00:49:55,920
First, we get to see some pretty faces

1021
00:49:55,920 --> 00:50:01,349
and beautiful mountains.

1022
00:50:01,359 --> 00:50:05,040
uh just to give you uh just a brief uh

1023
00:50:05,040 --> 00:50:08,160
touch on the calendar that we've gone

1024
00:50:08,160 --> 00:50:11,200
through. Um you can January we had our

1025
00:50:11,200 --> 00:50:13,119
council retreat had several work

1026
00:50:13,119 --> 00:50:14,880
sessions during the month of April and

1027
00:50:14,880 --> 00:50:18,400
the special work session even in May um

1028
00:50:18,400 --> 00:50:21,119
for various reasons and then uh our

1029
00:50:21,119 --> 00:50:23,280
tenative budget was presented to you on

1030
00:50:23,280 --> 00:50:26,880
May 12th. uh this public hearing um uh

1031
00:50:26,880 --> 00:50:29,520
to review the tenative budget on here on

1032
00:50:29,520 --> 00:50:32,480
June 9th and then a assuming uh we want

1033
00:50:32,480 --> 00:50:35,200
to move forward with truth and taxation

1034
00:50:35,200 --> 00:50:38,559
um a a meeting on August 27th has has

1035
00:50:38,559 --> 00:50:41,040
been reserved with the the county

1036
00:50:41,040 --> 00:50:45,680
auditor um to uh handle the property tax

1037
00:50:45,680 --> 00:50:50,790
increase uh proposal.

1038
00:50:50,800 --> 00:50:53,760
uh some brief budget highlights. Um

1039
00:50:53,760 --> 00:50:56,559
obvious mentioned before the the

1040
00:50:56,559 --> 00:50:58,559
increase in the budget of some 35

1041
00:50:58,559 --> 00:51:00,720
million and we'll go into that why it's

1042
00:51:00,720 --> 00:51:02,640
35 million has a lot to do with that

1043
00:51:02,640 --> 00:51:04,400
public safety fund that we were just

1044
00:51:04,400 --> 00:51:08,000
discussing and I I've hopefully created

1045
00:51:08,000 --> 00:51:10,000
some slides to help better understand

1046
00:51:10,000 --> 00:51:13,760
that as well. Um it funds all of the

1047
00:51:13,760 --> 00:51:16,079
city's compensation programs as well as

1048
00:51:16,079 --> 00:51:19,680
um benefits and uh provides uh I

1049
00:51:19,680 --> 00:51:21,520
mentioned some funds set aside for

1050
00:51:21,520 --> 00:51:23,200
market adjust targeted market

1051
00:51:23,200 --> 00:51:26,880
adjustments and then uh funds all of our

1052
00:51:26,880 --> 00:51:29,839
fleet replacement needs as well as um a

1053
00:51:29,839 --> 00:51:32,000
large amount of capital project um

1054
00:51:32,000 --> 00:51:36,470
requirements.

1055
00:51:36,480 --> 00:51:42,960
Just as a general large picture, high level budget of the review, you can

1056
00:51:42,960 --> 00:51:45,359
see the the bottom right corner, the

1057
00:51:45,359 --> 00:51:48,960
change from 177 million to 211 million.

1058
00:51:48,960 --> 00:51:50,960
Uh you'll notice that second line item

1059
00:51:50,960 --> 00:51:53,359
to the bottom is related to the public

1060
00:51:53,359 --> 00:51:55,119
service fund because it is a separate

1061
00:51:55,119 --> 00:51:57,839
fund and we still want to fund as I

1062
00:51:57,839 --> 00:52:00,800
mentioned the property tax won't cover

1063
00:52:00,800 --> 00:52:02,800
and as well as their other revenues

1064
00:52:02,800 --> 00:52:04,960
won't cover the entire cost of the

1065
00:52:04,960 --> 00:52:08,640
public safety um it will will require a

1066
00:52:08,640 --> 00:52:10,880
transfer from the general fund to the

1067
00:52:10,880 --> 00:52:13,440
public safety fund of appro just a

1068
00:52:13,440 --> 00:52:16,000
little over $25 million.

1069
00:52:16,000 --> 00:52:18,559
because of that transfer,

1070
00:52:18,559 --> 00:52:22,000
you know, out of that what $34 million,

1071
00:52:22,000 --> 00:52:24,720
25 million of is related to that one

1072
00:52:24,720 --> 00:52:28,559
thing alone. Um, you can see on the

1073
00:52:28,559 --> 00:52:30,400
second to the top line, the the tax

1074
00:52:30,400 --> 00:52:32,400
increase, the property tax increase that

1075
00:52:32,400 --> 00:52:34,640
uh we are proposing and has been

1076
00:52:34,640 --> 00:52:37,119
proposed. Um, just to give you an idea

1077
00:52:37,119 --> 00:52:40,319
of that. um associated with the public

1078
00:52:40,319 --> 00:52:43,359
safety fund. It also includes um various

1079
00:52:43,359 --> 00:52:46,880
transfers related to uh services being

1080
00:52:46,880 --> 00:52:49,760
provided by uh other internal whether

1081
00:52:49,760 --> 00:52:52,000
that's our information technology or IT

1082
00:52:52,000 --> 00:52:54,800
whether it's facilities whether it's um

1083
00:52:54,800 --> 00:52:58,079
accounting whether it's any of those

1084
00:52:58,079 --> 00:53:00,800
insurance etc those are accounted for as

1085
00:53:00,800 --> 00:53:03,280
part of uh that transfers line and so

1086
00:53:03,280 --> 00:53:05,920
that's why you also see a an increase in

1087
00:53:05,920 --> 00:53:12,950
that element as

1088
00:53:12,960 --> 00:53:15,599
Just to give you an idea of, you know,

1089
00:53:15,599 --> 00:53:18,400
how the funds break down in relation to

1090
00:53:18,400 --> 00:53:21,119
what you might term new revenues in the

1091
00:53:21,119 --> 00:53:24,559
first column by each of our larger

1092
00:53:24,559 --> 00:53:27,200
funds. uh and what are associated with

1093
00:53:27,200 --> 00:53:31,359
transfers in to those funds as well as

1094
00:53:31,359 --> 00:53:33,440
uh if we are appropriating any fund

1095
00:53:33,440 --> 00:53:36,319
balances um and using those fund

1096
00:53:36,319 --> 00:53:38,640
balances to to fund something within

1097
00:53:38,640 --> 00:53:41,280
each of those funds.

1098
00:53:41,280 --> 00:53:43,839
Are there any questions about that? Just

1099
00:53:43,839 --> 00:53:45,839
kind of gives you an idea that out of

1100
00:53:45,839 --> 00:53:48,559
that 211 million, you know, a large

1101
00:53:48,559 --> 00:53:50,640
portion of that is not new revenue,

1102
00:53:50,640 --> 00:53:53,200
right? It's just moving money between

1103
00:53:53,200 --> 00:53:54,960
different funds. And so that's an

1104
00:53:54,960 --> 00:53:56,960
important element to also remember as we

1105
00:53:56,960 --> 00:54:00,390
go through there.

1106
00:54:00,400 --> 00:54:02,160
And I hate to say that's an accounting

1107
00:54:02,160 --> 00:54:06,079
thing, but it is.

1108
00:54:06,079 --> 00:54:08,800
Um, now moving on to specifically our

1109
00:54:08,800 --> 00:54:11,680
general fund. Uh, the the general fund.

1110
00:54:11,680 --> 00:54:14,160
You can see the uh revenues there, and

1111
00:54:14,160 --> 00:54:15,200
you can see how they're they're

1112
00:54:15,200 --> 00:54:16,640
relatively stable. And and I should

1113
00:54:16,640 --> 00:54:18,160
mention, you notice that up at the top,

1114
00:54:18,160 --> 00:54:20,640
I've removed all the revenues associated

1115
00:54:20,640 --> 00:54:22,960
with public safety across all of those

1116
00:54:22,960 --> 00:54:26,000
years. so that we have a compar as

1117
00:54:26,000 --> 00:54:28,480
comparable as possible at this point uh

1118
00:54:28,480 --> 00:54:31,760
across those years for the general fund.

1119
00:54:31,760 --> 00:54:34,559
Um and you can see uh those transfers in

1120
00:54:34,559 --> 00:54:38,000
which again are primarily related to uh

1121
00:54:38,000 --> 00:54:41,839
various elements that uh are those

1122
00:54:41,839 --> 00:54:45,040
people exist within the general fund but

1123
00:54:45,040 --> 00:54:48,559
they do work for all of the other funds.

1124
00:54:48,559 --> 00:54:50,319
whether that be the public safety fund,

1125
00:54:50,319 --> 00:54:51,920
whether that be the water fund, whether

1126
00:54:51,920 --> 00:54:54,640
that be the sewer fund. And so that's uh

1127
00:54:54,640 --> 00:54:58,720
an accounting for those charges um for

1128
00:54:58,720 --> 00:55:04,710
those services.

1129
00:55:04,720 --> 00:55:06,800
Just to give you an idea of where does

1130
00:55:06,800 --> 00:55:10,800
the general fund primarily receive its

1131
00:55:10,800 --> 00:55:13,599
uh revenues from. Um and again I I'll

1132
00:55:13,599 --> 00:55:16,319
note the notation up at the top just to

1133
00:55:16,319 --> 00:55:18,559
give you an idea of the change that

1134
00:55:18,559 --> 00:55:21,680
occurred because of if we of moving the

1135
00:55:21,680 --> 00:55:23,839
public safety fund into its own fund and

1136
00:55:23,839 --> 00:55:26,079
the largest being of course the charges

1137
00:55:26,079 --> 00:55:30,000
for services line um as uh our contract

1138
00:55:30,000 --> 00:55:34,160
with Lynen and Vineyard as well as um a

1139
00:55:34,160 --> 00:55:36,240
couple of other items. those charges,

1140
00:55:36,240 --> 00:55:39,520
fire inspections, those charges um

1141
00:55:39,520 --> 00:55:41,280
because they're removed, you can see the

1142
00:55:41,280 --> 00:55:43,839
drop in the percentage of that revenue

1143
00:55:43,839 --> 00:55:46,559
associated um with the total revenue of

1144
00:55:46,559 --> 00:55:48,960
the general fund

1145
00:55:48,960 --> 00:55:54,400
and how that then increases the sales

1146
00:55:54,400 --> 00:55:58,400
and franchise tax components in relation

1147
00:55:58,400 --> 00:56:05,750
to the general fund as well.

1148
00:56:05,760 --> 00:56:08,400
just briefly uh you know the sales tax

1149
00:56:08,400 --> 00:56:09,760
we've we've had some discussions

1150
00:56:09,760 --> 00:56:11,760
obviously previously on that nothing has

1151
00:56:11,760 --> 00:56:14,000
changed my current estimate uh for

1152
00:56:14,000 --> 00:56:18,000
fiscal 26 is a 3% increase uh for the

1153
00:56:18,000 --> 00:56:20,960
year and then a proposed that fiscal 27

1154
00:56:20,960 --> 00:56:24,079
proposed is a 3% increase on top of

1155
00:56:24,079 --> 00:56:28,079
where I think fiscal 26 will end. Um

1156
00:56:28,079 --> 00:56:31,280
there's so far been nothing indicating

1157
00:56:31,280 --> 00:56:33,359
to me that we would be too terribly far

1158
00:56:33,359 --> 00:56:36,480
off from either of those um particularly

1159
00:56:36,480 --> 00:56:39,599
in relation to the fiscal year 26 um at

1160
00:56:39,599 --> 00:56:45,030
3% estimate.

1161
00:56:45,040 --> 00:56:47,200
uh just give you an idea of related to

1162
00:56:47,200 --> 00:56:50,720
some of the other um revenues associated

1163
00:56:50,720 --> 00:56:52,319
with either the general fund in relation

1164
00:56:52,319 --> 00:56:54,480
to business licenses or we talked

1165
00:56:54,480 --> 00:56:56,640
briefly about building permits in that

1166
00:56:56,640 --> 00:56:58,880
development fees fund. Um and you can

1167
00:56:58,880 --> 00:57:01,680
see we don't really anticipate much

1168
00:57:01,680 --> 00:57:03,680
change in either of those revenue

1169
00:57:03,680 --> 00:57:10,390
sources um going into next year.

1170
00:57:10,400 --> 00:57:12,799
Um some other general fund items that

1171
00:57:12,799 --> 00:57:16,000
are uh of importance to that fund. Uh

1172
00:57:16,000 --> 00:57:18,480
interest earnings will decrease slightly

1173
00:57:18,480 --> 00:57:22,160
for various reasons. Interest rates

1174
00:57:22,160 --> 00:57:24,319
despite them maybe being up recently.

1175
00:57:24,319 --> 00:57:27,200
The earnings that we receive are either

1176
00:57:27,200 --> 00:57:29,200
the same or lower than what they had

1177
00:57:29,200 --> 00:57:33,119
been. Um our our justice court just uh

1178
00:57:33,119 --> 00:57:34,880
stays the same as well as you can see

1179
00:57:34,880 --> 00:57:37,359
cemetery lot sales. We don't anticipate

1180
00:57:37,359 --> 00:57:43,510
much change um in in that one as well.

1181
00:57:43,520 --> 00:57:45,599
Any before we go on to expenditure, are

1182
00:57:45,599 --> 00:57:47,280
there any questions about any of that

1183
00:57:47,280 --> 00:57:49,520
revenue stuff that I've been discussing?

1184
00:57:49,520 --> 00:57:51,680
>> Council, any questions? Council member

1185
00:57:51,680 --> 00:57:52,720
Mikum.

1186
00:57:52,720 --> 00:57:54,559
>> Um I do just have a couple of clarifying

1187
00:57:54,559 --> 00:57:57,680
questions. Uh Ring, can you go back to

1188
00:57:57,680 --> 00:58:00,799
the um

1189
00:58:00,799 --> 00:58:02,400
place where you talked about chart? Oh,

1190
00:58:02,400 --> 00:58:06,079
we can start there. um fiscal year 25

1191
00:58:06,079 --> 00:58:08,240
versus fiscal year 26. I know that we

1192
00:58:08,240 --> 00:58:10,160
don't have the final numbers for 26 yet

1193
00:58:10,160 --> 00:58:12,480
because it's not over,

1194
00:58:12,480 --> 00:58:14,880
but uh based on our current estimates,

1195
00:58:14,880 --> 00:58:19,040
you think that we have receive we will

1196
00:58:19,040 --> 00:58:20,880
receive more by the end of fiscal year

1197
00:58:20,880 --> 00:58:22,720
26 in sales tax revenue than we did in

1198
00:58:22,720 --> 00:58:23,839
25

1199
00:58:23,839 --> 00:58:25,280
>> by by a couple of percent

1200
00:58:25,280 --> 00:58:25,920
>> by 3%

1201
00:58:25,920 --> 00:58:27,520
>> by about 3%.

1202
00:58:27,520 --> 00:58:30,559
>> And um we have enough information to

1203
00:58:30,559 --> 00:58:33,839
make that estimate. Uh

1204
00:58:33,839 --> 00:58:36,960
I'm at we are at 2.9 right now.

1205
00:58:36,960 --> 00:58:37,520
>> Okay.

1206
00:58:37,520 --> 00:58:39,920
>> And that's so we received the May

1207
00:58:39,920 --> 00:58:42,480
distribution or the May distribution is

1208
00:58:42,480 --> 00:58:45,599
for sales through March.

1209
00:58:45,599 --> 00:58:49,680
So I have 9 months worth of data. I'm

1210
00:58:49,680 --> 00:58:53,119
making my best bet estimate of the

1211
00:58:53,119 --> 00:58:55,440
remaining three months. and based on how

1212
00:58:55,440 --> 00:58:58,079
we've been going from month to month

1213
00:58:58,079 --> 00:59:00,640
that yes, I feel relatively confident

1214
00:59:00,640 --> 00:59:04,559
that we would be at at near that 3% uh

1215
00:59:04,559 --> 00:59:05,200
mark.

1216
00:59:05,200 --> 00:59:07,599
>> Okay. So, I mean it's relatively good

1217
00:59:07,599 --> 00:59:10,960
news that u that it's it's growing. Can

1218
00:59:10,960 --> 00:59:12,400
you go back also to the slide where

1219
00:59:12,400 --> 00:59:13,680
you're talking about how the charge for

1220
00:59:13,680 --> 00:59:16,319
services has changed? This one this one

1221
00:59:16,319 --> 00:59:18,720
right here. Uh you briefly described

1222
00:59:18,720 --> 00:59:20,000
that, but I'm not sure I fully

1223
00:59:20,000 --> 00:59:23,040
understand why uh that is changing

1224
00:59:23,040 --> 00:59:25,680
significantly. budget. So the fiscal 26

1225
00:59:25,680 --> 00:59:30,480
column is what it was with public safety

1226
00:59:30,480 --> 00:59:32,240
included.

1227
00:59:32,240 --> 00:59:35,920
So that 8.479

1228
00:59:35,920 --> 00:59:37,440
million

1229
00:59:37,440 --> 00:59:39,359
excludes

1230
00:59:39,359 --> 00:59:42,079
items that would have been included if

1231
00:59:42,079 --> 00:59:44,319
the public safety fund had been

1232
00:59:44,319 --> 00:59:45,440
included. It would have been a

1233
00:59:45,440 --> 00:59:47,839
significantly higher amount

1234
00:59:47,839 --> 00:59:50,799
approximately 14 millionish

1235
00:59:50,799 --> 00:59:55,680
um if it had been included. So, so those monies are going to go into the

1236
00:59:55,680 --> 00:59:57,680
special revenue fund rather than the

1237
00:59:57,680 --> 00:59:59,440
general fund. And so that's what what

1238
00:59:59,440 --> 01:00:00,240
you're calculating,

1239
01:00:00,240 --> 01:00:04,480
>> right? Thanks. Yep. You bet.

1240
01:00:04,480 --> 01:00:06,400
>> Want to describe what those are?

1241
01:00:06,400 --> 01:00:08,400
>> Yeah. And I and we will the one right

1242
01:00:08,400 --> 01:00:10,079
after talking about the general fund is

1243
01:00:10,079 --> 01:00:12,079
our public safety fund. So we will

1244
01:00:12,079 --> 01:00:13,920
discuss those in a little more detail.

1245
01:00:13,920 --> 01:00:15,280
>> All right. Any other questions right

1246
01:00:15,280 --> 01:00:16,240
now?

1247
01:00:16,240 --> 01:00:18,559
>> All right. Thank you. All right.

1248
01:00:18,559 --> 01:00:19,119
>> Go on.

1249
01:00:19,119 --> 01:00:21,040
>> Got to do expenditures first, don't we?

1250
01:00:21,040 --> 01:00:22,720
So, just to give you an idea of a

1251
01:00:22,720 --> 01:00:25,040
breakdown in the general is citywide.

1252
01:00:25,040 --> 01:00:26,880
So, citywide, we're going back to the

1253
01:00:26,880 --> 01:00:28,640
top here.

1254
01:00:28,640 --> 01:00:31,520
Where where do citywide where is all of

1255
01:00:31,520 --> 01:00:34,559
the money that $211 million, where is

1256
01:00:34,559 --> 01:00:37,200
that spent? Uh you can see a large

1257
01:00:37,200 --> 01:00:40,319
portion of that is spent in personnel.

1258
01:00:40,319 --> 01:00:42,000
However, you'll notice that the

1259
01:00:42,000 --> 01:00:44,400
percentage of that personnel in relation

1260
01:00:44,400 --> 01:00:46,799
to the total is a little different, but

1261
01:00:46,799 --> 01:00:49,760
you can see uh operations and and later

1262
01:00:49,760 --> 01:00:52,319
on we'll uh break down operations a

1263
01:00:52,319 --> 01:00:54,720
little bit more. And then the c capital

1264
01:00:54,720 --> 01:00:57,760
component, whether they be uh equipment,

1265
01:00:57,760 --> 01:01:01,040
vehicles or projects. Uh a large portion

1266
01:01:01,040 --> 01:01:03,440
of that capital is related to of course

1267
01:01:03,440 --> 01:01:05,680
our utility funds uh and which you will

1268
01:01:05,680 --> 01:01:11,589
see in a little bit as well.

1269
01:01:11,599 --> 01:01:14,880
So just to give an idea of again how do

1270
01:01:14,880 --> 01:01:18,160
expenditures break down by fund. Uh you

1271
01:01:18,160 --> 01:01:23,040
can look in there and see you know where are all those personnel where do

1272
01:01:23,040 --> 01:01:26,720
they reside um how are those operations

1273
01:01:26,720 --> 01:01:28,799
where do who's spending all that

1274
01:01:28,799 --> 01:01:31,040
operational money and where does that

1275
01:01:31,040 --> 01:01:33,359
capital uh come from in relation to

1276
01:01:33,359 --> 01:01:35,680
those individual funds. So this is just

1277
01:01:35,680 --> 01:01:37,839
a global picture to kind of have an idea

1278
01:01:37,839 --> 01:01:40,880
of this the size and where those dollars

1279
01:01:40,880 --> 01:01:47,349
come from.

1280
01:01:47,359 --> 01:01:49,839
As I mentioned uh breaking down that

1281
01:01:49,839 --> 01:01:51,680
operational component uh there was a

1282
01:01:51,680 --> 01:01:53,599
concern last time when we talked about

1283
01:01:53,599 --> 01:01:56,400
the tenative budget um when we were

1284
01:01:56,400 --> 01:01:57,920
looking at this slide and we were

1285
01:01:57,920 --> 01:02:00,720
looking at that general fund $43.6

1286
01:02:00,720 --> 01:02:02,240
million.

1287
01:02:02,240 --> 01:02:04,640
Well, and any of these to be honest with

1288
01:02:04,640 --> 01:02:06,880
you, well, what what makes up those

1289
01:02:06,880 --> 01:02:09,839
operational components? And so I I I

1290
01:02:09,839 --> 01:02:12,640
added this slide here to try to give a

1291
01:02:12,640 --> 01:02:15,760
better picture uh for what those

1292
01:02:15,760 --> 01:02:18,000
operational components are. So, similar

1293
01:02:18,000 --> 01:02:20,079
to what we talked about with revenues,

1294
01:02:20,079 --> 01:02:23,280
that operations column are actual costs,

1295
01:02:23,280 --> 01:02:25,760
things that that actually that fund

1296
01:02:25,760 --> 01:02:29,520
spends on specific things. Um you can re

1297
01:02:29,520 --> 01:02:32,000
see that within that operational um

1298
01:02:32,000 --> 01:02:34,240
expenditure item there was debt of some

1299
01:02:34,240 --> 01:02:37,839
almost $11 million that is part of that

1300
01:02:37,839 --> 01:02:40,160
and then transfers out which we we've

1301
01:02:40,160 --> 01:02:42,480
discussed um and you can see the 37

1302
01:02:42,480 --> 01:02:43,680
million. And so out of that general

1303
01:02:43,680 --> 01:02:46,960
fund, out of that $43 million,

1304
01:02:46,960 --> 01:02:50,079
almost $38 million of that is related to

1305
01:02:50,079 --> 01:02:53,040
transfers out of which 25 million of

1306
01:02:53,040 --> 01:02:55,440
that is related to the public safety

1307
01:02:55,440 --> 01:02:59,599
fund and is is moving to that fund. So

1308
01:02:59,599 --> 01:03:01,440
the general fund just like we talked

1309
01:03:01,440 --> 01:03:03,520
about with the public safety fund also

1310
01:03:03,520 --> 01:03:06,799
pays for various services and different

1311
01:03:06,799 --> 01:03:09,440
uh elements and a large portion of that

1312
01:03:09,440 --> 01:03:12,799
debt service also is a transfer out from

1313
01:03:12,799 --> 01:03:16,079
the general fund for Utopia

1314
01:03:16,079 --> 01:03:19,359
as well as the 2024 sales tax revenue

1315
01:03:19,359 --> 01:03:21,680
bond. So that money is a is transferred

1316
01:03:21,680 --> 01:03:24,240
out of the general fund into the debt

1317
01:03:24,240 --> 01:03:26,240
service fund which is the fund that

1318
01:03:26,240 --> 01:03:29,280
actually pays for that debt.

1319
01:03:29,280 --> 01:03:32,000
But that increases that transfers out,

1320
01:03:32,000 --> 01:03:34,559
right? So, so that's an important thing

1321
01:03:34,559 --> 01:03:37,520
to keep in mind that 54 almost 55

1322
01:03:37,520 --> 01:03:41,359
million in transfers out is a transfer

1323
01:03:41,359 --> 01:03:44,319
of money between funds to cover various

1324
01:03:44,319 --> 01:03:47,359
costs. And so, please keep that in mind

1325
01:03:47,359 --> 01:03:49,200
as you have discussions with

1326
01:03:49,200 --> 01:03:51,359
constituents or you think about that um

1327
01:03:51,359 --> 01:03:54,079
for yourself in relation to that big

1328
01:03:54,079 --> 01:03:57,200
picture 211 million and that big change.

1329
01:03:57,200 --> 01:03:59,680
Um uh and you're welcome obviously to

1330
01:03:59,680 --> 01:04:06,880
contact me. I really again yes that is accounting [clears throat] and I

1331
01:04:06,880 --> 01:04:09,680
um we follow GAP and the way u we're

1332
01:04:09,680 --> 01:04:11,920
required to under accounting standards

1333
01:04:11,920 --> 01:04:14,160
and unfortunately sometimes that can

1334
01:04:14,160 --> 01:04:16,799
lead to a little bit of confusion as to

1335
01:04:16,799 --> 01:04:19,839
how those um have to transpire in

1336
01:04:19,839 --> 01:04:22,720
government fund accounting. Um so please

1337
01:04:22,720 --> 01:04:29,829
keep that in mind.

1338
01:04:29,839 --> 01:04:32,000
Um, I just touched briefly on some of

1339
01:04:32,000 --> 01:04:33,839
the general fund additions. We're we're

1340
01:04:33,839 --> 01:04:35,440
adding in an attorney into the

1341
01:04:35,440 --> 01:04:38,079
attorney's office. Um, as well as an

1342
01:04:38,079 --> 01:04:40,400
urban a technician in the urban forestry

1343
01:04:40,400 --> 01:04:42,640
division. Um, and then within

1344
01:04:42,640 --> 01:04:45,520
operations, uh, we mentioned Podium,

1345
01:04:45,520 --> 01:04:47,440
which is a software that we use that had

1346
01:04:47,440 --> 01:04:49,520
been uh, being funded with ARPA funds

1347
01:04:49,520 --> 01:04:51,359
and those funds are no longer available.

1348
01:04:51,359 --> 01:04:53,839
So, we like Podium and want to continue

1349
01:04:53,839 --> 01:04:56,160
using it. So, we had needed to add move

1350
01:04:56,160 --> 01:04:58,319
those dollars and uh find a way to pay

1351
01:04:58,319 --> 01:05:01,760
for those. Um, as well as uh increasing

1352
01:05:01,760 --> 01:05:03,839
uh our youth council dollars so that uh

1353
01:05:03,839 --> 01:05:05,839
our youth that you you saw I believe

1354
01:05:05,839 --> 01:05:08,000
here uh in the council meeting or two

1355
01:05:08,000 --> 01:05:11,280
ago uh can continue to uh learn and

1356
01:05:11,280 --> 01:05:13,200
enjoy the uh being part of the

1357
01:05:13,200 --> 01:05:16,559
government uh arena.

1358
01:05:16,559 --> 01:05:18,640
Uh we we touched on at the very

1359
01:05:18,640 --> 01:05:21,280
beginning uh cost of fleet replacements.

1360
01:05:21,280 --> 01:05:23,280
Um you can see the comparison for this

1361
01:05:23,280 --> 01:05:26,960
year as opposed to the prior year. Um

1362
01:05:26,960 --> 01:05:29,359
and then in down at the bottom uh our

1363
01:05:29,359 --> 01:05:31,280
general and public safety uh fund

1364
01:05:31,280 --> 01:05:33,599
breakdown as opposed to our various

1365
01:05:33,599 --> 01:05:36,000
utility and road funds um and the

1366
01:05:36,000 --> 01:05:38,880
vehicles associated with that and and we

1367
01:05:38,880 --> 01:05:41,039
had a a work session where we discussed

1368
01:05:41,039 --> 01:05:42,799
a little more of the details of what

1369
01:05:42,799 --> 01:05:45,119
those vehicles are. But this does

1370
01:05:45,119 --> 01:05:47,359
hopefully give you some idea as to where

1371
01:05:47,359 --> 01:05:49,760
those dollars are uh being spent within

1372
01:05:49,760 --> 01:05:55,109
a general category.

1373
01:05:55,119 --> 01:05:57,200
Okay, now we get to the public safety

1374
01:05:57,200 --> 01:05:59,599
fund that I mentioned. Um so you can see

1375
01:05:59,599 --> 01:06:01,920
a breakdown here um what was being

1376
01:06:01,920 --> 01:06:04,079
proposed as far as uh where those

1377
01:06:04,079 --> 01:06:06,640
revenues for the public safety uh that

1378
01:06:06,640 --> 01:06:08,000
new public safety fund would be coming

1379
01:06:08,000 --> 01:06:09,920
from. You can see the property tax that

1380
01:06:09,920 --> 01:06:12,720
would be the dedicated property tax item

1381
01:06:12,720 --> 01:06:16,000
as well as the proposed increase. Um

1382
01:06:16,000 --> 01:06:18,319
there are grants that we receive. We

1383
01:06:18,319 --> 01:06:20,000
budget, we don't generally budget for

1384
01:06:20,000 --> 01:06:22,319
grants. Um but there are two grants for

1385
01:06:22,319 --> 01:06:25,119
public safety. Um one within the ta the

1386
01:06:25,119 --> 01:06:28,960
um task force um for Haida grant that's

1387
01:06:28,960 --> 01:06:30,799
from the federal government that is

1388
01:06:30,799 --> 01:06:33,200
budgeted because we have received it

1389
01:06:33,200 --> 01:06:35,599
every year since like every year I've

1390
01:06:35,599 --> 01:06:38,160
been here. And and then there's also

1391
01:06:38,160 --> 01:06:40,160
what's called a liquor allotment which

1392
01:06:40,160 --> 01:06:42,079
is also something from the is from the

1393
01:06:42,079 --> 01:06:44,960
state and and we receive something from

1394
01:06:44,960 --> 01:06:47,119
that aotment every year as well. So we

1395
01:06:47,119 --> 01:06:48,880
feel pretty confident in receiving

1396
01:06:48,880 --> 01:06:50,880
those. So therefore we go ahead and and

1397
01:06:50,880 --> 01:06:54,160
budget those. Uh council member Millet

1398
01:06:54,160 --> 01:06:56,079
mentioned charges for services and the

1399
01:06:56,079 --> 01:06:58,720
breakdown. Uh I wanted to that 6.2

1400
01:06:58,720 --> 01:07:01,280
million. So you can uh see down across

1401
01:07:01,280 --> 01:07:04,559
the bottom um identifying kind of the

1402
01:07:04,559 --> 01:07:07,920
majority those those four items make up

1403
01:07:07,920 --> 01:07:12,559
probably 90% of that $6.2 million.

1404
01:07:12,559 --> 01:07:15,359
Um and and there are some other smaller

1405
01:07:15,359 --> 01:07:17,440
uh elements within that but those are

1406
01:07:17,440 --> 01:07:19,839
the the big hitters within that category

1407
01:07:19,839 --> 01:07:22,880
of revenue. uh and especially once you

1408
01:07:22,880 --> 01:07:25,280
pull out ambulance uh you can see that

1409
01:07:25,280 --> 01:07:27,280
the size of uh ambulance revenues that

1410
01:07:27,280 --> 01:07:29,760
we receive from those services. Uh

1411
01:07:29,760 --> 01:07:32,079
within the fees and fines uh the largest

1412
01:07:32,079 --> 01:07:33,680
element in there is fire inspection

1413
01:07:33,680 --> 01:07:38,400
fees. So the the about 470ish million of

1414
01:07:38,400 --> 01:07:41,200
that 533 is related to fire inspection

1415
01:07:41,200 --> 01:07:44,000
fees. And then again, the the transfers

1416
01:07:44,000 --> 01:07:46,160
in out the bottom that coming from the

1417
01:07:46,160 --> 01:07:49,119
general fund to fund the remaining

1418
01:07:49,119 --> 01:07:51,440
amount needed to fund the special

1419
01:07:51,440 --> 01:07:53,039
revenue, the public safety special

1420
01:07:53,039 --> 01:07:54,960
revenue fund. [gasps]

1421
01:07:54,960 --> 01:07:59,839
There any questions about that?

1422
01:07:59,839 --> 01:08:06,789
Fantastic.

1423
01:08:06,799 --> 01:08:09,039
talking about property taxes. Just a

1424
01:08:09,039 --> 01:08:11,119
simple chart to kind of give you an idea

1425
01:08:11,119 --> 01:08:14,640
of uh what our property tax that the far

1426
01:08:14,640 --> 01:08:18,159
right one obviously include includes the

1427
01:08:18,159 --> 01:08:21,520
proposed property tax increase. Um and

1428
01:08:21,520 --> 01:08:24,400
um there is an est there's some big

1429
01:08:24,400 --> 01:08:26,640
estimates that go on here. So if when we

1430
01:08:26,640 --> 01:08:29,839
receive the actual um certified tax rate

1431
01:08:29,839 --> 01:08:32,719
an associated budgetary revenue that may

1432
01:08:32,719 --> 01:08:36,319
require an adjustment uh and we have

1433
01:08:36,319 --> 01:08:39,920
within our budget uh the uh a

1434
01:08:39,920 --> 01:08:42,719
contingency. So if I need to adjust that

1435
01:08:42,719 --> 01:08:44,880
property tax amount then we would

1436
01:08:44,880 --> 01:08:47,759
replace that uh up or down in relation

1437
01:08:47,759 --> 01:08:53,269
to that contingency account.

1438
01:08:53,279 --> 01:08:54,560
» You bet.

1439
01:08:54,560 --> 01:08:56,560
>> Okay. So would you just once again I

1440
01:08:56,560 --> 01:08:58,560
keep I get all these questions so I just

1441
01:08:58,560 --> 01:09:00,080
would like to have you clarify it at

1442
01:09:00,080 --> 01:09:02,400
this time. So our certified tax rate we

1443
01:09:02,400 --> 01:09:03,679
don't know what that is yet.

1444
01:09:03,679 --> 01:09:04,080
>> Correct.

1445
01:09:04,080 --> 01:09:06,239
>> We have the one from before last year.

1446
01:09:06,239 --> 01:09:08,319
>> We anticipate that it will be lower.

1447
01:09:08,319 --> 01:09:08,640
>> Yes.

1448
01:09:08,640 --> 01:09:12,480
>> And so we are um transparently saying

1449
01:09:12,480 --> 01:09:14,960
>> um it's going we're it we're going to be

1450
01:09:14,960 --> 01:09:17,440
higher than it was last year.

1451
01:09:17,440 --> 01:09:20,239
>> Correct. So whatever that certified tax

1452
01:09:20,239 --> 01:09:22,000
the certified tax rate the reason we

1453
01:09:22,000 --> 01:09:23,359
think it will go down is because we

1454
01:09:23,359 --> 01:09:25,600
think property values generally will

1455
01:09:25,600 --> 01:09:28,400
either be the same or probably increase.

1456
01:09:28,400 --> 01:09:30,319
So therefore when property taxes

1457
01:09:30,319 --> 01:09:34,080
property values increase the rate goes

1458
01:09:34,080 --> 01:09:35,600
down.

1459
01:09:35,600 --> 01:09:37,359
When the rate goes down, we don't know

1460
01:09:37,359 --> 01:09:39,679
exactly what that is yet, but we will be

1461
01:09:39,679 --> 01:09:43,600
setting a rate higher than that rate

1462
01:09:43,600 --> 01:09:48,319
only to produce $450,000.

1463
01:09:48,319 --> 01:09:50,799
So, whatever it t whatever that rate

1464
01:09:50,799 --> 01:09:55,679
needs to adjust to to create $450,000

1465
01:09:55,679 --> 01:09:58,640
is what that rate that we would come to

1466
01:09:58,640 --> 01:10:00,880
you to set. And the reason there's that

1467
01:10:00,880 --> 01:10:03,520
inverse relationship is because of the

1468
01:10:03,520 --> 01:10:06,159
way the state of Utah

1469
01:10:06,159 --> 01:10:08,800
um does our I don't know how to say it

1470
01:10:08,800 --> 01:10:10,159
budgets I mean does

1471
01:10:10,159 --> 01:10:12,320
>> we are different than every other state.

1472
01:10:12,320 --> 01:10:14,960
So if just as a very simple example if

1473
01:10:14,960 --> 01:10:16,800
the city were to receive let's use

1474
01:10:16,800 --> 01:10:19,760
fiscal year 26 estimate if we were to

1475
01:10:19,760 --> 01:10:23,040
budgeted to receive $7.8 million in that

1476
01:10:23,040 --> 01:10:29,920
year fiscal 27 we get $7.8 8 million.

1477
01:10:29,920 --> 01:10:32,320
That does not account for new growth. So

1478
01:10:32,320 --> 01:10:35,440
if there are any new, you know, across

1479
01:10:35,440 --> 01:10:37,280
the street here, we tore down a Burger

1480
01:10:37,280 --> 01:10:38,880
King and building a raising canes.

1481
01:10:38,880 --> 01:10:40,239
That's got to be worth a heck of a lot

1482
01:10:40,239 --> 01:10:44,470
more than Burger King. No,

1483
01:10:44,480 --> 01:10:46,000
» eat more chicken. No,

1484
01:10:46,000 --> 01:10:48,000
>> Home Depot is probably a better better

1485
01:10:48,000 --> 01:10:50,239
point, right? when Home Depot is up and

1486
01:10:50,239 --> 01:10:52,480
operational, the the property tax value

1487
01:10:52,480 --> 01:10:55,120
of that property will increase um

1488
01:10:55,120 --> 01:10:57,760
dramatic quite a bit. You know, that

1489
01:10:57,760 --> 01:10:59,520
would not be accounted for as part of

1490
01:10:59,520 --> 01:11:02,800
that 7.8 million. We would receive that

1491
01:11:02,800 --> 01:11:05,520
additional property tax on top of that.

1492
01:11:05,520 --> 01:11:08,159
now would become the new base. So,

1493
01:11:08,159 --> 01:11:10,480
let's just say it was 200,000. So, now

1494
01:11:10,480 --> 01:11:12,880
our new base would be $8 million going

1495
01:11:12,880 --> 01:11:15,600
forward. I'm very very simplifying it.

1496
01:11:15,600 --> 01:11:18,480
is it is a very complicated thing

1497
01:11:18,480 --> 01:11:20,480
that the county and state tax commission

1498
01:11:20,480 --> 01:11:20,960
go through.

1499
01:11:20,960 --> 01:11:22,320
>> That's just to give us stability in our

1500
01:11:22,320 --> 01:11:22,960
budgeting.

1501
01:11:22,960 --> 01:11:26,320
>> Correct. So that whether values go up or

1502
01:11:26,320 --> 01:11:29,679
values go down doesn't matter per se to

1503
01:11:29,679 --> 01:11:32,560
us. I mean it may be a a reflection on

1504
01:11:32,560 --> 01:11:35,840
the economy of course but it does not

1505
01:11:35,840 --> 01:11:38,719
necessarily impact the city and our

1506
01:11:38,719 --> 01:11:41,679
ability to provide those core services.

1507
01:11:41,679 --> 01:11:44,080
That's what their logic behind that was.

1508
01:11:44,080 --> 01:11:45,280
>> All right. Thank you, Council Member

1509
01:11:45,280 --> 01:11:46,560
Mikum.

1510
01:11:46,560 --> 01:11:48,960
>> Uh, while we're on this slide, I I just

1511
01:11:48,960 --> 01:11:51,520
want again to think about the the big

1512
01:11:51,520 --> 01:11:55,520
picture here. So, we're proposing a $211

1513
01:11:55,520 --> 01:11:57,760
million [clears throat] budget. Uh,

1514
01:11:57,760 --> 01:12:01,199
about 25 million of that is fake in the

1515
01:12:01,199 --> 01:12:02,880
sense it's it's it's an accounting move

1516
01:12:02,880 --> 01:12:04,560
because we're creating a special revenue

1517
01:12:04,560 --> 01:12:05,040
fund.

1518
01:12:05,040 --> 01:12:05,840
>> Correct.

1519
01:12:05,840 --> 01:12:08,159
>> So, in terms of actual expenditures that

1520
01:12:08,159 --> 01:12:09,440
we would anticipate coming out of that

1521
01:12:09,440 --> 01:12:10,800
budget, we're talking about 180

1522
01:12:10,800 --> 01:12:12,640
something million. Right.

1523
01:12:12,640 --> 01:12:14,560
>> It's even lower. Great. cuz there that's

1524
01:12:14,560 --> 01:12:16,400
not the only fund that has those kind of

1525
01:12:16,400 --> 01:12:18,239
transfers in and out, right? There was

1526
01:12:18,239 --> 01:12:20,880
50 54 million

1527
01:12:20,880 --> 01:12:24,159
>> uh of transfers in and out. So it's

1528
01:12:24,159 --> 01:12:24,800
really

1529
01:12:24,800 --> 01:12:27,120
>> including the 25.

1530
01:12:27,120 --> 01:12:28,880
>> Yeah. Which includes the 25. Yes.

1531
01:12:28,880 --> 01:12:33,440
>> Okay. So 160 something

1532
01:12:33,440 --> 01:12:36,960
u million is the big picture budget. And

1533
01:12:36,960 --> 01:12:39,920
of that money,

1534
01:12:39,920 --> 01:12:42,960
uh, we anticipate 8.5 million coming in

1535
01:12:42,960 --> 01:12:44,080
from property tax.

1536
01:12:44,080 --> 01:12:44,880
>> Correct.

1537
01:12:44,880 --> 01:12:48,320
>> Which means this is just a tiny sliver

1538
01:12:48,320 --> 01:12:50,960
of our overall revenues. Uh, we're

1539
01:12:50,960 --> 01:12:53,600
talking about, you know, five or 6% here

1540
01:12:53,600 --> 01:12:55,920
of our overall revenues coming in from

1541
01:12:55,920 --> 01:12:57,679
this, right? Depending on how you

1542
01:12:57,679 --> 01:12:59,040
calculate those transfers.

1543
01:12:59,040 --> 01:13:01,120
>> Yep. You are 100% correct.

1544
01:13:01,120 --> 01:13:04,159
>> Okay. So this I I I I just think that

1545
01:13:04,159 --> 01:13:07,760
not everyone understands that u how

1546
01:13:07,760 --> 01:13:11,040
small um a portion of our overall

1547
01:13:11,040 --> 01:13:13,280
revenues come from our property tax.

1548
01:13:13,280 --> 01:13:13,920
>> Yeah, I agree.

1549
01:13:13,920 --> 01:13:16,000
>> And then I'm going to take the flip of

1550
01:13:16,000 --> 01:13:19,120
that a little bit. Not not to be Eeyore

1551
01:13:19,120 --> 01:13:22,400
or anything, but it is a very small

1552
01:13:22,400 --> 01:13:25,199
percentage, but it's a very steady

1553
01:13:25,199 --> 01:13:28,000
stable percentage. And what that shows

1554
01:13:28,000 --> 01:13:31,199
is how much right now we're dependent on

1555
01:13:31,199 --> 01:13:34,960
a more a less stable funding source for

1556
01:13:34,960 --> 01:13:37,360
a lot of our expenditures and that's

1557
01:13:37,360 --> 01:13:40,000
sales tax because it we're we're at the

1558
01:13:40,000 --> 01:13:41,760
mercy of a million different factors

1559
01:13:41,760 --> 01:13:43,920
with the economy and and people's lives

1560
01:13:43,920 --> 01:13:46,239
and things like that. So yes, I do think

1561
01:13:46,239 --> 01:13:47,840
it's very important to show that

1562
01:13:47,840 --> 01:13:51,280
property tax is a small portion

1563
01:13:51,280 --> 01:13:54,080
of that, but just also we need to be

1564
01:13:54,080 --> 01:13:58,880
mindful of how much our our budget is uh

1565
01:13:58,880 --> 01:14:00,800
consists of a less stable funding source

1566
01:14:00,800 --> 01:14:01,760
as well.

1567
01:14:01,760 --> 01:14:04,960
>> Yes, I agree. And and you know, not that

1568
01:14:04,960 --> 01:14:06,800
we have to go crazy, right? The reason

1569
01:14:06,800 --> 01:14:09,760
property tax has been as low as it has

1570
01:14:09,760 --> 01:14:12,480
been and why we haven't done necessarily

1571
01:14:12,480 --> 01:14:15,440
many property taxes is because we had uh

1572
01:14:15,440 --> 01:14:17,760
prior council members who understood

1573
01:14:17,760 --> 01:14:20,719
sales taxes and

1574
01:14:20,719 --> 01:14:24,239
built the the city around an

1575
01:14:24,239 --> 01:14:26,159
understanding of what sales taxes could

1576
01:14:26,159 --> 01:14:28,480
do particularly the you know the parkway

1577
01:14:28,480 --> 01:14:32,080
area right um so so there's a benefit to

1578
01:14:32,080 --> 01:14:33,280
be gained

1579
01:14:33,280 --> 01:14:35,360
>> by that

1580
01:14:35,360 --> 01:14:37,040
exactly the intent all along from all

1581
01:14:37,040 --> 01:14:39,280
the prior councils and us too to keep

1582
01:14:39,280 --> 01:14:40,880
our property taxes low.

1583
01:14:40,880 --> 01:14:41,600
>> Yes.

1584
01:14:41,600 --> 01:14:43,440
>> And I think that's reflective here.

1585
01:14:43,440 --> 01:14:45,600
>> And and the only thing that we're trying

1586
01:14:45,600 --> 01:14:49,120
to say now is property taxes I mean

1587
01:14:49,120 --> 01:14:52,640
sales taxes have kind of look like they

1588
01:14:52,640 --> 01:14:55,600
maybe hit a certain plateau right where

1589
01:14:55,600 --> 01:15:00,239
we can't necessarily count on huge gains

1590
01:15:00,239 --> 01:15:02,800
within the sales tax category. So, if

1591
01:15:02,800 --> 01:15:05,360
you're not gaining enough to keep up

1592
01:15:05,360 --> 01:15:07,280
with inflation

1593
01:15:07,280 --> 01:15:09,520
and cost increases,

1594
01:15:09,520 --> 01:15:12,000
what do we what what other mechanism do

1595
01:15:12,000 --> 01:15:14,719
we have to be able to keep up with that?

1596
01:15:14,719 --> 01:15:16,960
And that and that's a part of what uh

1597
01:15:16,960 --> 01:15:18,880
we're trying to make sure that we

1598
01:15:18,880 --> 01:15:21,440
understand when we had the general fund

1599
01:15:21,440 --> 01:15:23,120
sustainability study that we talked

1600
01:15:23,120 --> 01:15:25,920
about. That's part of why we did that

1601
01:15:25,920 --> 01:15:28,560
study is to be able to make sure that we

1602
01:15:28,560 --> 01:15:31,360
all have a a good understanding of where

1603
01:15:31,360 --> 01:15:33,199
we're headed and and what those

1604
01:15:33,199 --> 01:15:35,600
possibilities look like.

1605
01:15:35,600 --> 01:15:37,679
>> I appreciate that study and showing us

1606
01:15:37,679 --> 01:15:39,440
what what the different possibilities

1607
01:15:39,440 --> 01:15:41,120
could be. Thank you, Council Member

1608
01:15:41,120 --> 01:15:43,040
Mikum and Council Member Miller. Any

1609
01:15:43,040 --> 01:15:46,320
other questions thus far? All right,

1610
01:15:46,320 --> 01:15:48,719
carry on. So, just wanted to put this

1611
01:15:48,719 --> 01:15:49,920
back up there since we're talking about

1612
01:15:49,920 --> 01:15:52,400
the public safety fund um and talking

1613
01:15:52,400 --> 01:15:54,239
about that property tax increase and

1614
01:15:54,239 --> 01:15:56,080
just a slide to be able, you know, have

1615
01:15:56,080 --> 01:15:58,400
in that slide deck in relation uh to

1616
01:15:58,400 --> 01:16:00,719
what the proposal for that property tax

1617
01:16:00,719 --> 01:16:04,080
increase uh was to fund is to fund. Uh

1618
01:16:04,080 --> 01:16:06,560
and then just give you a breakdown uh of

1619
01:16:06,560 --> 01:16:08,640
that 45 million for the public safety

1620
01:16:08,640 --> 01:16:11,600
fund in between police and fire and how

1621
01:16:11,600 --> 01:16:13,840
those break down between uh personnel,

1622
01:16:13,840 --> 01:16:15,920
operations, and capital. Uh just to give

1623
01:16:15,920 --> 01:16:18,800
you again kind of an idea of the the

1624
01:16:18,800 --> 01:16:23,350
size and magnitude of each of those.

1625
01:16:23,360 --> 01:16:26,320
um briefly touched on this in our

1626
01:16:26,320 --> 01:16:28,239
tenative budget presentation, but again

1627
01:16:28,239 --> 01:16:30,719
just kind of identing the property tax

1628
01:16:30,719 --> 01:16:32,560
increase there for the personnel and

1629
01:16:32,560 --> 01:16:34,640
then down in the operations uh various

1630
01:16:34,640 --> 01:16:37,440
items that have been requested uh to be

1631
01:16:37,440 --> 01:16:40,880
able to fund those various items um as

1632
01:16:40,880 --> 01:16:43,760
we we move forward um with those with

1633
01:16:43,760 --> 01:16:46,560
expansions either because the they've

1634
01:16:46,560 --> 01:16:48,960
been covering it with what they have and

1635
01:16:48,960 --> 01:16:52,800
the time has come they no longer they're

1636
01:16:52,800 --> 01:16:54,800
not doing something else that they

1637
01:16:54,800 --> 01:16:58,239
probably would like to do or should do

1638
01:16:58,239 --> 01:17:00,320
because of these particular items

1639
01:17:00,320 --> 01:17:02,400
because they're using those funds to

1640
01:17:02,400 --> 01:17:05,199
fund these things. Um, and the time has

1641
01:17:05,199 --> 01:17:07,280
just come to be able to not have to

1642
01:17:07,280 --> 01:17:08,719
scrape together from this account and

1643
01:17:08,719 --> 01:17:11,360
that account to be able to fund those.

1644
01:17:11,360 --> 01:17:13,760
So, we're dedicating those funds to be

1645
01:17:13,760 --> 01:17:16,159
able to make sure that they can do that

1646
01:17:16,159 --> 01:17:18,480
uh without having to scrape away from

1647
01:17:18,480 --> 01:17:21,600
other needs and that they have um to be

1648
01:17:21,600 --> 01:17:23,440
able to accomplish the things that

1649
01:17:23,440 --> 01:17:25,199
they're they should be doing.

1650
01:17:25,199 --> 01:17:26,640
>> And would you just cuz I get this all

1651
01:17:26,640 --> 01:17:31,520
the time. What is EMPG? What is FFN? We

1652
01:17:31,520 --> 01:17:33,840
>> uh EMPG is a grant, a federal grant for

1653
01:17:33,840 --> 01:17:36,560
emergency preparedness. Uh that grant

1654
01:17:36,560 --> 01:17:38,159
has been shrinking and shrinking and

1655
01:17:38,159 --> 01:17:41,040
shrinking. Um, but we would like uh our

1656
01:17:41,040 --> 01:17:43,360
emergency manager to still be able to

1657
01:17:43,360 --> 01:17:45,600
get the things he needs to make sure we

1658
01:17:45,600 --> 01:17:48,640
are prepared. So, the city is now in

1659
01:17:48,640 --> 01:17:51,120
essence committing for that shrinkage of

1660
01:17:51,120 --> 01:17:53,760
the grant amount to cover that

1661
01:17:53,760 --> 01:17:56,800
shrinkage. Um, Newvos is the animal

1662
01:17:56,800 --> 01:18:00,800
shelter. Um, and so, uh, our costs for

1663
01:18:00,800 --> 01:18:03,040
taking care of animal control within the

1664
01:18:03,040 --> 01:18:06,159
city has increased over time. Um and

1665
01:18:06,159 --> 01:18:08,560
again they've just been finding ways to

1666
01:18:08,560 --> 01:18:11,600
fund that and so uh finally dedicating

1667
01:18:11,600 --> 01:18:14,000
those dollars to that increased amount

1668
01:18:14,000 --> 01:18:16,239
that uh they've been charging that they

1669
01:18:16,239 --> 01:18:19,040
charge the city. Um I think was there

1670
01:18:19,040 --> 01:18:21,120
>> the third one FFN

1671
01:18:21,120 --> 01:18:24,560
is uh fixtures furniture fixtures and

1672
01:18:24,560 --> 01:18:27,760
equipment. So within our fire stations,

1673
01:18:27,760 --> 01:18:32,239
uh beds, uh refrigerators, microwaves,

1674
01:18:32,239 --> 01:18:35,679
ovens, things of that of that nature, uh

1675
01:18:35,679 --> 01:18:38,320
in the past, they've just found a way to

1676
01:18:38,320 --> 01:18:40,640
again replace those instead of being

1677
01:18:40,640 --> 01:18:42,880
able to maybe number one take advantage

1678
01:18:42,880 --> 01:18:46,000
of replacing maybe all of them at the

1679
01:18:46,000 --> 01:18:47,600
same time and getting discounts in

1680
01:18:47,600 --> 01:18:50,159
relation to doing that. but dedicated

1681
01:18:50,159 --> 01:18:53,040
dollars for that purpose to replace

1682
01:18:53,040 --> 01:18:56,320
those things that wear out within a fire

1683
01:18:56,320 --> 01:18:58,880
station on a regular basis instead of

1684
01:18:58,880 --> 01:19:01,120
onesie twoosying it because that's all

1685
01:19:01,120 --> 01:19:02,480
we can afford to do.

1686
01:19:02,480 --> 01:19:03,600
>> Well, you don't think about that. I

1687
01:19:03,600 --> 01:19:05,440
mean, their water heater goes out too,

1688
01:19:05,440 --> 01:19:06,560
right? Just like in my house.

1689
01:19:06,560 --> 01:19:07,280
>> Correct. So,

1690
01:19:07,280 --> 01:19:08,320
>> correct.

1691
01:19:08,320 --> 01:19:10,719
>> Which kind of is what happened to kind

1692
01:19:10,719 --> 01:19:12,960
of prompt this to be honest with you.

1693
01:19:12,960 --> 01:19:17,750
So,

1694
01:19:17,760 --> 01:19:19,679
» okay. just and then we'll run through

1695
01:19:19,679 --> 01:19:24,320
these hopefully relatively quick. Uh we touched on what are our streets the

1696
01:19:24,320 --> 01:19:26,640
dollars that we receive um and where

1697
01:19:26,640 --> 01:19:30,960
those are going um between our uh the

1698
01:19:30,960 --> 01:19:33,760
two taxes that we receive an excise tax

1699
01:19:33,760 --> 01:19:36,159
being the BNC road fund as well as a

1700
01:19:36,159 --> 01:19:38,880
public transit and highway tax over on

1701
01:19:38,880 --> 01:19:41,520
the transportation sales tax side and

1702
01:19:41,520 --> 01:19:44,080
where those dollars are being um spent

1703
01:19:44,080 --> 01:19:46,080
within those those particular uh

1704
01:19:46,080 --> 01:19:53,350
projects. uh our main funds, sorry,

1705
01:19:53,360 --> 01:19:55,040
our debt service fund just to give you

1706
01:19:55,040 --> 01:19:57,760
an idea of what kind of debt we do have

1707
01:19:57,760 --> 01:20:00,000
um and the dollars associated with that.

1708
01:20:00,000 --> 01:20:05,040
So you can see um really the we have two uh outstanding bonds that the debt

1709
01:20:05,040 --> 01:20:07,360
service pays uh fund pays for which is

1710
01:20:07,360 --> 01:20:10,960
our 2019 go bonds which paid for the

1711
01:20:10,960 --> 01:20:14,880
fitness center and the library hall. And

1712
01:20:14,880 --> 01:20:18,320
then um uh we have a 2024 sales tax

1713
01:20:18,320 --> 01:20:20,560
revenue bonds which are paying for the

1714
01:20:20,560 --> 01:20:23,120
fac uh fire training facility as well as

1715
01:20:23,120 --> 01:20:25,600
the remodel over at the public safety

1716
01:20:25,600 --> 01:20:27,760
building, the police department. And

1717
01:20:27,760 --> 01:20:30,480
then of course our continuing um payment

1718
01:20:30,480 --> 01:20:33,600
uh to cover the Utopia uh debt. We also

1719
01:20:33,600 --> 01:20:35,840
do have a a lease that was an energy

1720
01:20:35,840 --> 01:20:40,080
improvement uh lease um to the biggest

1721
01:20:40,080 --> 01:20:42,400
item of that was replacing all of the

1722
01:20:42,400 --> 01:20:44,480
bulbs on the street lights of the city

1723
01:20:44,480 --> 01:20:51,280
from incandescent bulbs to LED bulbs and so we continue to uh pay on that

1724
01:20:51,280 --> 01:20:53,199
lease finance. It's a lease financing

1725
01:20:53,199 --> 01:20:56,400
arrangement. So any questions about the

1726
01:20:56,400 --> 01:21:02,070
debt service component?

1727
01:21:02,080 --> 01:21:04,719
They are uh internal service funds. Just

1728
01:21:04,719 --> 01:21:06,560
again to give you an idea of what kinds

1729
01:21:06,560 --> 01:21:09,600
of things do we do uh internally that

1730
01:21:09,600 --> 01:21:14,000
they do for ourselves uh to support uh

1731
01:21:14,000 --> 01:21:15,840
operations within the city and and these

1732
01:21:15,840 --> 01:21:16,960
are [clears throat] the five funds that

1733
01:21:16,960 --> 01:21:19,199
we operate uh that provide those

1734
01:21:19,199 --> 01:21:23,120
services uh to the city as a whole.

1735
01:21:23,120 --> 01:21:29,920
Um some of the additions that we added

1736
01:21:29,920 --> 01:21:33,199
here some uh IT elements in relation to

1737
01:21:33,199 --> 01:21:36,400
some uh project engineers, a database

1738
01:21:36,400 --> 01:21:39,040
administrator and some security as

1739
01:21:39,040 --> 01:21:41,600
obviously the state has continued to

1740
01:21:41,600 --> 01:21:44,239
identify need things that we're required

1741
01:21:44,239 --> 01:21:46,480
to make sure we take care of in the

1742
01:21:46,480 --> 01:21:49,199
cyber security realm primarily but um

1743
01:21:49,199 --> 01:21:51,280
any type of security that we may stand a

1744
01:21:51,280 --> 01:21:53,600
need of this person can help our staff

1745
01:21:53,600 --> 01:21:55,679
uh be able to identify and work upon

1746
01:21:55,679 --> 01:21:59,040
those as well.

1747
01:21:59,040 --> 01:22:01,840
And then various operational components.

1748
01:22:01,840 --> 01:22:04,159
Some of these um are related to just

1749
01:22:04,159 --> 01:22:07,600
cost increases. Um you know the Google

1750
01:22:07,600 --> 01:22:11,199
obviously continues to uh cost more. Um

1751
01:22:11,199 --> 01:22:13,280
and then there are some changes that

1752
01:22:13,280 --> 01:22:15,760
have to occur between us being not on an

1753
01:22:15,760 --> 01:22:19,840
say on an enterprise fund an enterprise

1754
01:22:19,840 --> 01:22:24,560
product. um versus a government product.

1755
01:22:24,560 --> 01:22:26,400
Um and so there's some changes that need

1756
01:22:26,400 --> 01:22:29,040
to occur there with our licensing um in

1757
01:22:29,040 --> 01:22:32,080
relation to that. And then um some

1758
01:22:32,080 --> 01:22:33,760
software

1759
01:22:33,760 --> 01:22:36,320
various software needs um as well as

1760
01:22:36,320 --> 01:22:39,120
some service in the uh air conditioning

1761
01:22:39,120 --> 01:22:42,000
uh components for our our backup systems

1762
01:22:42,000 --> 01:22:45,199
and things like that. So so um various

1763
01:22:45,199 --> 01:22:49,430
items related to their operations.

1764
01:22:49,440 --> 01:22:51,840
And just to I I moved this to the top

1765
01:22:51,840 --> 01:22:53,199
because I'm not going to touch on we

1766
01:22:53,199 --> 01:22:55,199
already did that in the tenative budget

1767
01:22:55,199 --> 01:22:57,360
for each of the utility funds, but just

1768
01:22:57,360 --> 01:23:01,920
as a reminder uh where we uh sit or what

1769
01:23:01,920 --> 01:23:03,920
where we think we sit in relation to all

1770
01:23:03,920 --> 01:23:05,520
of these other entities in relation to

1771
01:23:05,520 --> 01:23:08,719
our total utility cost. Um and that in

1772
01:23:08,719 --> 01:23:11,199
that again as a reminder that includes

1773
01:23:11,199 --> 01:23:14,719
our assumption of our increases that are

1774
01:23:14,719 --> 01:23:16,880
part of the budget as opposed to where

1775
01:23:16,880 --> 01:23:19,920
all of those entities sit currently. Um

1776
01:23:19,920 --> 01:23:21,840
and and sometime and many of those I

1777
01:23:21,840 --> 01:23:24,000
think it says at the bottom uh yeah

1778
01:23:24,000 --> 01:23:26,320
table assumes so we assumed a historical

1779
01:23:26,320 --> 01:23:29,040
average increase. So so I take that

1780
01:23:29,040 --> 01:23:32,239
slightly back. Those are taking what

1781
01:23:32,239 --> 01:23:34,159
they currently are and making a

1782
01:23:34,159 --> 01:23:36,560
projection of where we think that they

1783
01:23:36,560 --> 01:23:39,840
would end up. based on that 4.9%

1784
01:23:39,840 --> 01:23:44,950
utility increase.

1785
01:23:44,960 --> 01:23:47,600
Um, briefly run through the water fund.

1786
01:23:47,600 --> 01:23:51,679
Um, we we had a uh change to both the

1787
01:23:51,679 --> 01:23:54,239
base rate for all of the meters, but you

1788
01:23:54,239 --> 01:23:56,880
can see we've listed for the 3/4 meter

1789
01:23:56,880 --> 01:23:59,679
um as well as tier one um usage rates.

1790
01:23:59,679 --> 01:24:01,840
All the tiers will be changing, but uh

1791
01:24:01,840 --> 01:24:03,760
they all change approximately that same

1792
01:24:03,760 --> 01:24:07,120
percentage. Um and then uh there's some

1793
01:24:07,120 --> 01:24:09,199
changes over on the lefth hand side in

1794
01:24:09,199 --> 01:24:11,679
relation to the the fee that we was

1795
01:24:11,679 --> 01:24:13,840
started last year in relation to

1796
01:24:13,840 --> 01:24:18,480
Jordanell and Deer Creek um work and

1797
01:24:18,480 --> 01:24:20,960
then down at the bottom left uh a new

1798
01:24:20,960 --> 01:24:23,120
state regulatory fee that will be added

1799
01:24:23,120 --> 01:24:27,440
to uh the bill to pay for um regul that

1800
01:24:27,440 --> 01:24:29,199
regulations that the state has placed

1801
01:24:29,199 --> 01:24:32,239
upon us.

1802
01:24:32,239 --> 01:24:34,159
water reclamation,

1803
01:24:34,159 --> 01:24:36,159
um sewer, otherwise known as sewer.

1804
01:24:36,159 --> 01:24:39,280
Again, proposed base rate increases and

1805
01:24:39,280 --> 01:24:41,920
volume charge increases. Um you're all

1806
01:24:41,920 --> 01:24:43,520
well aware of all of the things that'll

1807
01:24:43,520 --> 01:24:45,040
be going on down at the treatment plant

1808
01:24:45,040 --> 01:24:46,560
and the improvements that need to happen

1809
01:24:46,560 --> 01:24:51,040
there. Um and so again this while not as

1810
01:24:51,040 --> 01:24:53,280
large as the prior two years in relation

1811
01:24:53,280 --> 01:24:55,120
to that increase still pretty large

1812
01:24:55,120 --> 01:24:58,159
increase as we and that should be um

1813
01:24:58,159 --> 01:25:02,000
continuing to as we bond for try to go

1814
01:25:02,000 --> 01:25:04,239
out for bonding in relation to making

1815
01:25:04,239 --> 01:25:07,679
those uh improvements happen. Um, we

1816
01:25:07,679 --> 01:25:10,320
have uh some uh cash that we're able

1817
01:25:10,320 --> 01:25:13,120
then to get those projects started and

1818
01:25:13,120 --> 01:25:16,080
then be able to use bond money to keep

1819
01:25:16,080 --> 01:25:20,950
the keep the ball rolling, if you will.

1820
01:25:20,960 --> 01:25:24,239
Uh, storm water. Um, again, you're all

1821
01:25:24,239 --> 01:25:26,400
well aware of the canal abandonments

1822
01:25:26,400 --> 01:25:28,000
that have been happening throughout the

1823
01:25:28,000 --> 01:25:31,280
city. Um, and the uh increase there is

1824
01:25:31,280 --> 01:25:33,760
to help us try to figure out ways to be

1825
01:25:33,760 --> 01:25:36,719
able to uh

1826
01:25:36,719 --> 01:25:39,040
do improvements to collect that storm

1827
01:25:39,040 --> 01:25:41,679
water now that those canals are are no

1828
01:25:41,679 --> 01:25:45,440
longer an option for us. And so uh you

1829
01:25:45,440 --> 01:25:47,600
see a rate increase in relation to the

1830
01:25:47,600 --> 01:25:52,790
storm water system as well.

1831
01:25:52,800 --> 01:25:56,239
Um recreation uh I think I mentioned

1832
01:25:56,239 --> 01:25:58,239
that the rate hadn't been incre Yeah.

1833
01:25:58,239 --> 01:26:00,320
right there in increase had no increases

1834
01:26:00,320 --> 01:26:02,800
to the annual there are no increases to

1835
01:26:02,800 --> 01:26:05,199
the annual membership the daily uh

1836
01:26:05,199 --> 01:26:06,960
admission it will increase for the first

1837
01:26:06,960 --> 01:26:10,400
time in three years. Um and just as a

1838
01:26:10,400 --> 01:26:12,800
side note our indoor classes those

1839
01:26:12,800 --> 01:26:15,040
continue to climb as people continue to

1840
01:26:15,040 --> 01:26:17,120
use the fitness center to to do those

1841
01:26:17,120 --> 01:26:20,709
classes.

1842
01:26:20,719 --> 01:26:23,600
uh our solid waste fund garbage. Um

1843
01:26:23,600 --> 01:26:26,400
we've renegotiated our contract with

1844
01:26:26,400 --> 01:26:30,320
waste management um and uh so uh we've

1845
01:26:30,320 --> 01:26:33,040
been putting off uh trying to have any

1846
01:26:33,040 --> 01:26:36,719
increases to citizens um and until now.

1847
01:26:36,719 --> 01:26:39,600
So and now we have a there will be an

1848
01:26:39,600 --> 01:26:42,960
increase in relation to uh those uh

1849
01:26:42,960 --> 01:26:45,600
solid waste charges um which you can see

1850
01:26:45,600 --> 01:26:48,239
the effect of that in the proposed uh

1851
01:26:48,239 --> 01:26:51,120
revenue increase because that's totally

1852
01:26:51,120 --> 01:26:55,360
based on uh what our expenditures are uh

1853
01:26:55,360 --> 01:26:58,000
going to be what we expect them to be.

1854
01:26:58,000 --> 01:27:02,080
So it's purely a pass through

1855
01:27:02,080 --> 01:27:04,560
and you can see that in relation to the

1856
01:27:04,560 --> 01:27:13,510
solid waste uh rate uh history here

1857
01:27:13,520 --> 01:27:16,960
and are there any questions after all of

1858
01:27:16,960 --> 01:27:17,520
that?

1859
01:27:17,520 --> 01:27:19,840
>> Thank you. Any questions? Council,

1860
01:27:19,840 --> 01:27:22,800
anything that you have that Okay,

1861
01:27:22,800 --> 01:27:24,560
council member Mikum.

1862
01:27:24,560 --> 01:27:26,320
>> Sorry I keep coming back to you. No

1863
01:27:26,320 --> 01:27:28,000
worries. It's just this is my first

1864
01:27:28,000 --> 01:27:30,239
budget rodeo and I'm excited to learn as

1865
01:27:30,239 --> 01:27:31,040
much as I can.

1866
01:27:31,040 --> 01:27:32,639
>> Sometimes I feel like it's my first one,

1867
01:27:32,639 --> 01:27:33,760
too.

1868
01:27:33,760 --> 01:27:36,480
>> Don't say that.

1869
01:27:36,480 --> 01:27:39,120
>> Um,

1870
01:27:39,120 --> 01:27:42,719
but transportation utility fund, we've heard about that. Uh, I'm not

1871
01:27:42,719 --> 01:27:44,960
seeing that in your presentation.

1872
01:27:44,960 --> 01:27:46,880
not included in our budget, our tenative

1873
01:27:46,880 --> 01:27:49,600
budget uh at the time when all of those

1874
01:27:49,600 --> 01:27:52,800
requirements around setting up that um

1875
01:27:52,800 --> 01:27:55,040
are in place and we would be coming

1876
01:27:55,040 --> 01:27:58,000
forward to you with a budget amendment.

1877
01:27:58,000 --> 01:28:00,320
um whatever time of year that happens to

1878
01:28:00,320 --> 01:28:03,520
fall in uh to see whe about adding that

1879
01:28:03,520 --> 01:28:07,280
as part of uh our budgeting and and that

1880
01:28:07,280 --> 01:28:08,960
potentially would also then not even

1881
01:28:08,960 --> 01:28:12,560
potentially it would have another I mean

1882
01:28:12,560 --> 01:28:15,440
another fund uh tied to that those

1883
01:28:15,440 --> 01:28:18,080
dollars as well. So that will occur when

1884
01:28:18,080 --> 01:28:19,840
that is ready to be brought forward. So,

1885
01:28:19,840 --> 01:28:21,360
we're not we're not trying to get that

1886
01:28:21,360 --> 01:28:25,040
through before the fiscal year. And uh

1887
01:28:25,040 --> 01:28:27,040
the any funds that come through if that

1888
01:28:27,040 --> 01:28:29,440
is approved would would be directed

1889
01:28:29,440 --> 01:28:31,760
primarily to transportation

1890
01:28:31,760 --> 01:28:34,480
improvements, right?

1891
01:28:34,480 --> 01:28:37,520
Uh and given that the fiscal year starts

1892
01:28:37,520 --> 01:28:41,040
July 1st and that the timeline that you

1893
01:28:41,040 --> 01:28:43,440
uh showed to us says that we're still

1894
01:28:43,440 --> 01:28:45,760
going to be voting on budget items the

1895
01:28:45,760 --> 01:28:49,600
end of August. Um are you asking us to

1896
01:28:49,600 --> 01:28:52,239
approve an interim budget

1897
01:28:52,239 --> 01:28:55,520
um that covers that period of time

1898
01:28:55,520 --> 01:28:57,199
before we make final budgetary

1899
01:28:57,199 --> 01:28:59,440
decisions? What how how do July and

1900
01:28:59,440 --> 01:29:00,239
August work?

1901
01:29:00,239 --> 01:29:02,320
>> Yeah. So thank you for bringing that up.

1902
01:29:02,320 --> 01:29:03,920
So, the ordinance that you have before

1903
01:29:03,920 --> 01:29:08,560
you is basically approving um the budget

1904
01:29:08,560 --> 01:29:11,120
outside of those items we mentioned with

1905
01:29:11,120 --> 01:29:14,880
a property tax increase, a dedicated um

1906
01:29:14,880 --> 01:29:17,679
the dedication of the property tax. Um

1907
01:29:17,679 --> 01:29:21,199
as and so that budget, that tenative

1908
01:29:21,199 --> 01:29:22,800
budget

1909
01:29:22,800 --> 01:29:25,520
in the language is what the state then

1910
01:29:25,520 --> 01:29:28,320
refers to as an interim budget. And we

1911
01:29:28,320 --> 01:29:30,239
would then operate under that interim

1912
01:29:30,239 --> 01:29:33,920
budget from July 1st until August 27th

1913
01:29:33,920 --> 01:29:37,360
when on that TNT meeting in August you

1914
01:29:37,360 --> 01:29:40,159
would approve a final adopted budget at

1915
01:29:40,159 --> 01:29:45,510
that point.

1916
01:29:45,520 --> 01:29:48,400
It is kind of like being in we're kind

1917
01:29:48,400 --> 01:29:51,040
of dating you know and you know

1918
01:29:51,040 --> 01:29:52,480
>> we kind of think this is the budget we

1919
01:29:52,480 --> 01:29:54,159
want. We're getting we're getting a

1920
01:29:54,159 --> 01:29:56,080
little more serious. But you know what?

1921
01:29:56,080 --> 01:29:58,719
You going to pop the question on August

1922
01:29:58,719 --> 01:30:01,360
27th and see if it becomes

1923
01:30:01,360 --> 01:30:04,080
>> That's good analogy. Yeah. Never thought

1924
01:30:04,080 --> 01:30:06,400
of it that way, but it is good.

1925
01:30:06,400 --> 01:30:09,040
>> Got a little levity, man. [laughter]

1926
01:30:09,040 --> 01:30:11,679
>> You Brandon, you do an outstanding job.

1927
01:30:11,679 --> 01:30:14,159
You and your team, Trevor. Well done.

1928
01:30:14,159 --> 01:30:16,560
And so, yes, council. Any other

1929
01:30:16,560 --> 01:30:18,719
questions, comments on the budget before

1930
01:30:18,719 --> 01:30:22,080
I open a public hearing?

1931
01:30:22,080 --> 01:30:24,320
All right. Well, I gonna second what you

1932
01:30:24,320 --> 01:30:25,360
say. I know we've been talking about

1933
01:30:25,360 --> 01:30:26,719
this for weeks and weeks and weeks and

1934
01:30:26,719 --> 01:30:28,080
it takes you weeks and weeks and weeks

1935
01:30:28,080 --> 01:30:29,440
and basically the whole year to get

1936
01:30:29,440 --> 01:30:30,480
ready for this. So, just I really

1937
01:30:30,480 --> 01:30:31,600
appreciate it and I know our residents

1938
01:30:31,600 --> 01:30:33,199
appreciate it as well. So, to you and

1939
01:30:33,199 --> 01:30:34,080
your team, thank you.

1940
01:30:34,080 --> 01:30:34,400
>> Thank you,

1941
01:30:34,400 --> 01:30:36,480
>> Liz. Thank you.

1942
01:30:36,480 --> 01:30:36,960
>> All right.

1943
01:30:36,960 --> 01:30:39,280
>> I I do have one more comment. Sorry.

1944
01:30:39,280 --> 01:30:40,880
>> U

1945
01:30:40,880 --> 01:30:43,440
Thanks. Thanks for uh walking us through

1946
01:30:43,440 --> 01:30:48,960
this and and providing the detail and thought that you you've done. Uh, I

1947
01:30:48,960 --> 01:30:51,600
know all all of us up here really want

1948
01:30:51,600 --> 01:30:53,760
to be fiscally conservative in the way

1949
01:30:53,760 --> 01:30:58,239
that we approach this and I I feel like

1950
01:30:58,239 --> 01:31:00,000
uh you and other members of our staff

1951
01:31:00,000 --> 01:31:04,000
are doing your very best to to uh try to

1952
01:31:04,000 --> 01:31:06,239
make sure that every dollar spent is uh

1953
01:31:06,239 --> 01:31:08,560
spent very wisely. Uh we appreciate

1954
01:31:08,560 --> 01:31:10,639
that. That's something that I care a lot

1955
01:31:10,639 --> 01:31:13,120
about and I I know that my colleagues

1956
01:31:13,120 --> 01:31:16,880
care care a lot about. uh even though

1957
01:31:16,880 --> 01:31:19,440
the proposed property tax increase is is

1958
01:31:19,440 --> 01:31:22,400
very small, right? And we're going to

1959
01:31:22,400 --> 01:31:25,280
see really direct tangible benefits in

1960
01:31:25,280 --> 01:31:27,520
terms of of support from two additional

1961
01:31:27,520 --> 01:31:30,960
police officers, which we need.

1962
01:31:30,960 --> 01:31:34,000
um that you know that small increase

1963
01:31:34,000 --> 01:31:36,239
combined with some of the additional

1964
01:31:36,239 --> 01:31:38,719
rate increases that people might might

1965
01:31:38,719 --> 01:31:42,159
see in terms of storm water in terms of

1966
01:31:42,159 --> 01:31:42,560
um

1967
01:31:42,560 --> 01:31:43,679
>> water and sewer

1968
01:31:43,679 --> 01:31:46,320
>> uh sew you know sewer and solid waste

1969
01:31:46,320 --> 01:31:51,199
charges as well. U I I I think you know

1970
01:31:51,199 --> 01:31:53,120
many of our residents might not

1971
01:31:53,120 --> 01:31:54,639
necessarily

1972
01:31:54,639 --> 01:31:56,080
feel a pinch from that but there might

1973
01:31:56,080 --> 01:31:57,199
be some that do.

1974
01:31:57,199 --> 01:32:00,000
>> Sure. Um and

1975
01:32:00,000 --> 01:32:01,679
um so I just I just want us to be

1976
01:32:01,679 --> 01:32:04,800
sensitive to the the fact that

1977
01:32:04,800 --> 01:32:06,800
particularly for those that are are

1978
01:32:06,800 --> 01:32:08,800
barely surviving,

1979
01:32:08,800 --> 01:32:11,920
right? That um some of those fee

1980
01:32:11,920 --> 01:32:14,880
increases um may not feel completely

1981
01:32:14,880 --> 01:32:16,639
negligible

1982
01:32:16,639 --> 01:32:20,800
um and may be u

1983
01:32:20,800 --> 01:32:23,920
you know they they might feel it. And so

1984
01:32:23,920 --> 01:32:25,600
I I know that tonight's not the night

1985
01:32:25,600 --> 01:32:28,080
for this conversation, but uh I would

1986
01:32:28,080 --> 01:32:29,840
like us to have a conversation at some

1987
01:32:29,840 --> 01:32:34,960
point about uh how how do we help ensure

1988
01:32:34,960 --> 01:32:38,239
that those that really are living on u

1989
01:32:38,239 --> 01:32:41,760
low fixed incomes uh who might notice

1990
01:32:41,760 --> 01:32:44,080
and feel those differences

1991
01:32:44,080 --> 01:32:46,880
um how do we ensure that they have

1992
01:32:46,880 --> 01:32:48,480
opportunities

1993
01:32:48,480 --> 01:32:52,000
um to demonstrate you know need

1994
01:32:52,000 --> 01:32:55,679
um anytime that there is a fee or a tax

1995
01:32:55,679 --> 01:32:58,719
increase uh in a way that uh we have

1996
01:32:58,719 --> 01:33:00,560
their back and we can support them as

1997
01:33:00,560 --> 01:33:03,760
well. So, uh again, I think that you've

1998
01:33:03,760 --> 01:33:06,000
done a really great job in terms of

1999
01:33:06,000 --> 01:33:07,760
making sure that this is a conservative

2000
01:33:07,760 --> 01:33:10,239
budget. Um that it's a responsible

2001
01:33:10,239 --> 01:33:12,960
budget. Uh we are living in a world of

2002
01:33:12,960 --> 01:33:14,560
inflation.

2003
01:33:14,560 --> 01:33:17,040
uh and we need to be able to keep our

2004
01:33:17,040 --> 01:33:20,719
staff and we need to be able to uh pay

2005
01:33:20,719 --> 01:33:23,920
the the things we need to pay for. Um,

2006
01:33:23,920 --> 01:33:26,320
but I I I just hope that we will

2007
01:33:26,320 --> 01:33:28,480
continue to have a a conversation uh

2008
01:33:28,480 --> 01:33:30,480
between the staff and the city council

2009
01:33:30,480 --> 01:33:34,400
about how do we ensure that those who um

2010
01:33:34,400 --> 01:33:37,600
do feel pinched occasionally by this uh

2011
01:33:37,600 --> 01:33:42,400
have recourse and opportunities uh to to

2012
01:33:42,400 --> 01:33:44,639
um demonstrate that they may need some

2013
01:33:44,639 --> 01:33:45,520
additional support.

2014
01:33:45,520 --> 01:33:47,280
>> Yeah, we we welcome those conversations.

2015
01:33:47,280 --> 01:33:49,520
We we welcomed them in the past and we

2016
01:33:49,520 --> 01:33:52,159
certainly welcome them going forward.

2017
01:33:52,159 --> 01:33:54,719
I echo I echo that as well that I have

2018
01:33:54,719 --> 01:33:56,320
that concern and so I look forward to

2019
01:33:56,320 --> 01:33:57,920
that council member Millet.

2020
01:33:57,920 --> 01:34:02,080
>> So I and maybe just in just way to help

2021
01:34:02,080 --> 01:34:07,199
is you know use our our community um our

2022
01:34:07,199 --> 01:34:10,719
civic engagement director to put out

2023
01:34:10,719 --> 01:34:13,280
some of those programs on our social

2024
01:34:13,280 --> 01:34:15,679
media that are available. You know talk

2025
01:34:15,679 --> 01:34:18,320
about it at our senior center. We do

2026
01:34:18,320 --> 01:34:20,639
there are some things the county offers

2027
01:34:20,639 --> 01:34:23,440
um to assist with some of these

2028
01:34:23,440 --> 01:34:26,480
increases. So I don't think it hurts to

2029
01:34:26,480 --> 01:34:28,800
put that information out there again and

2030
01:34:28,800 --> 01:34:32,239
for those most vulnerable to help them

2031
01:34:32,239 --> 01:34:32,800
>> for sure.

2032
01:34:32,800 --> 01:34:35,840
>> And yeah, and I appreciate um Council

2033
01:34:35,840 --> 01:34:38,239
Member Mikum saying that we're all very

2034
01:34:38,239 --> 01:34:40,960
cognizant of that

2035
01:34:40,960 --> 01:34:44,480
um situation and we hear about it from

2036
01:34:44,480 --> 01:34:46,719
the residents. So

2037
01:34:46,719 --> 01:34:47,760
>> All right.

2038
01:34:47,760 --> 01:34:51,199
We we are genuinely happy to communicate

2039
01:34:51,199 --> 01:34:53,760
and educate on those programs and we we

2040
01:34:53,760 --> 01:34:56,960
do set aside funds for that uh for those

2041
01:34:56,960 --> 01:34:58,639
efforts every year and and it's part of

2042
01:34:58,639 --> 01:35:01,120
our sort of communications calendar to

2043
01:35:01,120 --> 01:35:03,360
get that information out. So, but yes,

2044
01:35:03,360 --> 01:35:04,880
we'll we'll follow up on it and make

2045
01:35:04,880 --> 01:35:06,080
sure we do so.

2046
01:35:06,080 --> 01:35:08,480
>> All right. Thank you. Right. If there

2047
01:35:08,480 --> 01:35:10,159
are no other comments from the council,

2048
01:35:10,159 --> 01:35:11,360
it's public hearing. We're going to open

2049
01:35:11,360 --> 01:35:13,760
the public hearing. Um if there's anyone

2050
01:35:13,760 --> 01:35:17,199
here to speak to uh the ordinance

2051
01:35:17,199 --> 01:35:21,920
adopting fiscal year 2026 20227 tenative

2052
01:35:21,920 --> 01:35:23,679
interim budget you're welcome to come up

2053
01:35:23,679 --> 01:35:31,110
and and share your thoughts.

2054
01:35:31,120 --> 01:35:34,239
Seeing nobody who who will be coming up

2055
01:35:34,239 --> 01:35:35,920
go ahead and close that public hearing

2056
01:35:35,920 --> 01:35:38,000
and bring it back to the council.

2057
01:35:38,000 --> 01:35:41,120
It does require this item does

2058
01:35:41,120 --> 01:35:45,600
require an action by us and it has a

2059
01:35:45,600 --> 01:35:47,120
rather uh if if you

2060
01:35:47,120 --> 01:35:47,760
>> pretty lengthy.

2061
01:35:47,760 --> 01:35:50,159
>> It's a long motion if you choose to make

2062
01:35:50,159 --> 01:35:52,560
a mo. Well, it says to approve or deny.

2063
01:35:52,560 --> 01:35:55,440
So, you know, is that all one sent? It

2064
01:35:55,440 --> 01:35:57,360
is all one sentence.

2065
01:35:57,360 --> 01:35:58,880
>> Wow. Breath in between.

2066
01:35:58,880 --> 01:36:01,280
>> You are an overachiever, Mr. Nelson.

2067
01:36:01,280 --> 01:36:03,040
>> Well, I got Steve involved, so that's

2068
01:36:03,040 --> 01:36:03,679
why.

2069
01:36:03,679 --> 01:36:04,719
>> Oh, okay.

2070
01:36:04,719 --> 01:36:06,480
>> This looks like a Steve sentence to me.

2071
01:36:06,480 --> 01:36:08,719
>> Okay. I'm sorry. I I give you credit. It

2072
01:36:08,719 --> 01:36:10,960
should the credit should go to Mr. Earl.

2073
01:36:10,960 --> 01:36:12,239
Okay.

2074
01:36:12,239 --> 01:36:14,560
>> Joint effort. And it was.

2075
01:36:14,560 --> 01:36:16,480
>> Mayor, I'll make a motion.

2076
01:36:16,480 --> 01:36:18,080
>> All right. Council member Lamson.

2077
01:36:18,080 --> 01:36:20,480
>> I move to approve and adopt the fiscal

2078
01:36:20,480 --> 01:36:24,080
year 2026 2027 tenative budget as shown

2079
01:36:24,080 --> 01:36:25,840
in exhibit A, which will serve as the

2080
01:36:25,840 --> 01:36:27,600
city's interim budget beginning July

2081
01:36:27,600 --> 01:36:30,239
1st, 2026.

2082
01:36:30,239 --> 01:36:32,000
And ending after the date, the city

2083
01:36:32,000 --> 01:36:34,960
council adopts a final budget. Adopt all

2084
01:36:34,960 --> 01:36:37,760
fees and charges shown in exhibit B.

2085
01:36:37,760 --> 01:36:40,159
Adopt the compensation programs as shown

2086
01:36:40,159 --> 01:36:43,360
in exhibit C. Adopt the franchise tax,

2087
01:36:43,360 --> 01:36:46,400
municipal energy sales and use tax,

2088
01:36:46,400 --> 01:36:48,480
telecommunications license tax,

2089
01:36:48,480 --> 01:36:51,920
transient room tax, E911 fee rate, and

2090
01:36:51,920 --> 01:36:54,560
adopt a proposed tax rate above the

2091
01:36:54,560 --> 01:36:56,400
certified tax rate with a truth and

2092
01:36:56,400 --> 01:36:58,960
taxation public hearing to be held on

2093
01:36:58,960 --> 01:37:03,760
Thursday, August 27th, 2026 at 6 p.m. at

2094
01:37:03,760 --> 01:37:05,600
which time a final budget will be

2095
01:37:05,600 --> 01:37:07,280
adopted.

2096
01:37:07,280 --> 01:37:08,719
>> All right, have a motion.

2097
01:37:08,719 --> 01:37:09,840
>> I second that.

2098
01:37:09,840 --> 01:37:11,360
>> Second. The only way you could have

2099
01:37:11,360 --> 01:37:12,960
improved that motion is if you did it in

2100
01:37:12,960 --> 01:37:13,600
one breath.

2101
01:37:13,600 --> 01:37:15,462
>> I thought about it and then

2102
01:37:15,462 --> 01:37:16,639
[clears throat] I thought better about

2103
01:37:16,639 --> 01:37:17,119
it.

2104
01:37:17,119 --> 01:37:18,159
>> Okay. [laughter]

2105
01:37:18,159 --> 01:37:19,840
>> All right, council. We have a motion in

2106
01:37:19,840 --> 01:37:22,480
a second to approve u an ordinance

2107
01:37:22,480 --> 01:37:25,600
adopting our fiscal 2627 tenative

2108
01:37:25,600 --> 01:37:26,880
interim budget. Is there any more

2109
01:37:26,880 --> 01:37:28,480
discussion?

2110
01:37:28,480 --> 01:37:29,920
Right. I'm going to go ahead and vote I.

2111
01:37:29,920 --> 01:37:31,840
Council member Mikum.

2112
01:37:31,840 --> 01:37:38,159
>> I Right. Motion carries unanimously.

2113
01:37:38,159 --> 01:37:40,320
Thank you. Thank you for all your your

2114
01:37:40,320 --> 01:37:42,560
work, all of you, on this. This was a

2115
01:37:42,560 --> 01:37:44,400
No, it's only a few more months until we

2116
01:37:44,400 --> 01:37:46,719
start the process over again.

2117
01:37:46,719 --> 01:37:49,280
>> I'm so discouraging tonight. I'm sorry.

2118
01:37:49,280 --> 01:37:52,080
I don't mean to be. [laughter]

2119
01:37:52,080 --> 01:37:55,199
All right. Our next item is uh just

2120
01:37:55,199 --> 01:37:56,960
council, if you would like to refer to

2121
01:37:56,960 --> 01:37:59,280
your packet to see the uh monthly

2122
01:37:59,280 --> 01:38:02,159
financial statement for April 2026. And

2123
01:38:02,159 --> 01:38:04,159
then we have item number six, our city

2124
01:38:04,159 --> 01:38:06,320
manager information items. to turn the

2125
01:38:06,320 --> 01:38:10,000
time over to our city manager, Bren By.

2126
01:38:10,000 --> 01:38:14,159
>> I just want to echo uh my my gratitude

2127
01:38:14,159 --> 01:38:17,119
um and and the alignment of us as as

2128
01:38:17,119 --> 01:38:20,880
staff with um uh your direction and

2129
01:38:20,880 --> 01:38:26,080
leadership in in um caring about every

2130
01:38:26,080 --> 01:38:28,560
dollar in in our budget. Thank you so

2131
01:38:28,560 --> 01:38:31,440
much for your trust, support, confidence

2132
01:38:31,440 --> 01:38:34,239
in us. I am very very confident in our

2133
01:38:34,239 --> 01:38:38,400
employees to be fully humble, hungry and

2134
01:38:38,400 --> 01:38:42,480
smart to uh that that they do each have

2135
01:38:42,480 --> 01:38:45,520
the the continuous improvement mindset

2136
01:38:45,520 --> 01:38:48,960
that they do sacrifice that they truly

2137
01:38:48,960 --> 01:38:54,159
want to do good beyond themselves. Um, I [clears throat] am super grateful for

2138
01:38:54,159 --> 01:38:56,560
the the team we have and and I I know

2139
01:38:56,560 --> 01:39:00,080
that they will continue to uh provide

2140
01:39:00,080 --> 01:39:04,400
the top highest uh uh standards of of

2141
01:39:04,400 --> 01:39:07,280
quality service and do it at the best

2142
01:39:07,280 --> 01:39:11,520
possible price to our residents. Uh so I

2143
01:39:11,520 --> 01:39:13,920
just want you to know that I am

2144
01:39:13,920 --> 01:39:17,040
completely confident in in our staff to

2145
01:39:17,040 --> 01:39:24,880
execute on the budget that you have. so uh well generously positively

2146
01:39:24,880 --> 01:39:28,000
um supported and and and the we do not

2147
01:39:28,000 --> 01:39:31,520
take for granted the trust you put in us

2148
01:39:31,520 --> 01:39:33,840
uh to to serve our our dear residents.

2149
01:39:33,840 --> 01:39:36,800
So thank you so much and echo my thanks

2150
01:39:36,800 --> 01:39:39,840
to um our financial department and our

2151
01:39:39,840 --> 01:39:41,520
executive team and and all of our

2152
01:39:41,520 --> 01:39:44,719
employees. Truly, there's not a level of

2153
01:39:44,719 --> 01:39:48,159
our organization where you you where we

2154
01:39:48,159 --> 01:39:51,280
have people that don't care or that

2155
01:39:51,280 --> 01:39:54,560
don't want to uh uh give our ORM

2156
01:39:54,560 --> 01:39:58,639
residents more. So, uh that's all that's

2157
01:39:58,639 --> 01:40:01,520
all I wanted to publicly represent this

2158
01:40:01,520 --> 01:40:02,480
evening.

2159
01:40:02,480 --> 01:40:04,960
>> Yeah. And city manager Bobby, can I also

2160
01:40:04,960 --> 01:40:06,639
just confirm that there's 20 minutes

2161
01:40:06,639 --> 01:40:10,320
left of the of the Ormfest pool party um

2162
01:40:10,320 --> 01:40:12,159
tonight and that you will try to make it

2163
01:40:12,159 --> 01:40:15,280
before 8 in cannonball into the pool as

2164
01:40:15,280 --> 01:40:17,600
a show of support uh for all of our

2165
01:40:17,600 --> 01:40:22,709
residents. [laughter]

2166
01:40:22,719 --> 01:40:25,920
» I will head there quickly and yes, let's

2167
01:40:25,920 --> 01:40:28,159
all please enjoy Ormfest. I'm sorry we

2168
01:40:28,159 --> 01:40:30,400
had this council meeting on our fun

2169
01:40:30,400 --> 01:40:32,639
week, but yeah, let's let's go enjoy

2170
01:40:32,639 --> 01:40:34,080
Ormfest.

2171
01:40:34,080 --> 01:40:36,400
>> All right. Thank you. On that note, I

2172
01:40:36,400 --> 01:40:39,760
would look for a motion to adjurnn.

2173
01:40:39,760 --> 01:40:41,280
>> I don't make motion. I don't think I've

2174
01:40:41,280 --> 01:40:42,880
ever made a motion since I've been

2175
01:40:42,880 --> 01:40:43,920
mayor. I'm going to make a motion that

2176
01:40:43,920 --> 01:40:45,600
we adjurnn. Do it. Yeah. I will second

2177
01:40:45,600 --> 01:40:47,840
it then. All right. All those in favor?

2178
01:40:47,840 --> 01:40:51,600
Bye. All right. Bye. Hey.