1 00:00:09,920 --> 00:00:11,920 Good evening and would like to welcome 2 00:00:11,920 --> 00:00:14,400 everyone to the SP the special city 3 00:00:14,400 --> 00:00:17,030 council meeting town hall meeting. 4 00:00:17,030 --> 00:00:18,720 [clears throat] Um we do have this 5 00:00:18,720 --> 00:00:21,840 televised as tonight as well. I'm happy 6 00:00:21,840 --> 00:00:24,400 that we have some participants here that 7 00:00:24,400 --> 00:00:26,160 came in person and brave the hot 8 00:00:26,160 --> 00:00:28,880 weather, but um this will be viewed 9 00:00:28,880 --> 00:00:30,960 online and we usually have lots of 10 00:00:30,960 --> 00:00:33,680 followers with that. So, uh we will go 11 00:00:33,680 --> 00:00:35,520 ahead and start out with the roll call, 12 00:00:35,520 --> 00:00:36,719 please. Connie 13 00:00:36,719 --> 00:00:37,280 >> B 14 00:00:37,280 --> 00:00:37,760 >> here. 15 00:00:37,760 --> 00:00:38,399 >> Mang 16 00:00:38,399 --> 00:00:38,879 >> here. 17 00:00:38,879 --> 00:00:39,440 >> Nichols 18 00:00:39,440 --> 00:00:40,000 >> here. 19 00:00:40,000 --> 00:00:40,640 >> Alson 20 00:00:40,640 --> 00:00:41,120 >> here. 21 00:00:41,120 --> 00:00:41,920 >> Sfield 22 00:00:41,920 --> 00:00:44,480 >> here. Swanson 23 00:00:44,480 --> 00:00:47,680 >> here. I will mention that council member 24 00:00:47,680 --> 00:00:49,920 Swanson is excused for the evening. 25 00:00:49,920 --> 00:00:52,559 She's at a trip overseas out of the 26 00:00:52,559 --> 00:00:55,120 country right now. She wishes to be here 27 00:00:55,120 --> 00:00:57,280 and will join us at the next quarterly 28 00:00:57,280 --> 00:01:00,000 meeting. So, I'd like to move on to 29 00:01:00,000 --> 00:01:02,160 agenda item two. It's the budget 30 00:01:02,160 --> 00:01:04,879 development process. We do have Rich 31 00:01:04,879 --> 00:01:07,680 Morgan here from our finance department. 32 00:01:07,680 --> 00:01:10,159 Um, Rich will update the public on the 33 00:01:10,159 --> 00:01:14,080 budget development process. 34 00:01:14,080 --> 00:01:17,040 >> Okay. 35 00:01:17,040 --> 00:01:18,320 No spitting. 36 00:01:18,320 --> 00:01:21,680 >> Yeah. none allowed. And by the way, for 37 00:01:21,680 --> 00:01:24,720 the others that are here to comment, um 38 00:01:24,720 --> 00:01:27,280 we'll take about a half hour with Rich. 39 00:01:27,280 --> 00:01:30,400 And um after that, it is open for some 40 00:01:30,400 --> 00:01:32,159 dialogue in case you're waiting for 41 00:01:32,159 --> 00:01:33,280 that. 42 00:01:33,280 --> 00:01:35,200 >> I thought I would just open with one 43 00:01:35,200 --> 00:01:37,680 caveat. I I am happy to be here, mayor, 44 00:01:37,680 --> 00:01:40,479 council, happy to talk with you 45 00:01:40,479 --> 00:01:43,600 generally about how a mu a municipal 46 00:01:43,600 --> 00:01:47,439 organization would budget. If I crack or 47 00:01:47,439 --> 00:01:49,840 start crying, don't worry. I'm a dad and 48 00:01:49,840 --> 00:01:51,439 my daughter's leaving for California 49 00:01:51,439 --> 00:01:53,600 tomorrow. We just finished our last 50 00:01:53,600 --> 00:01:55,920 supper and Yeah. 51 00:01:55,920 --> 00:01:56,399 >> Yeah. 52 00:01:56,399 --> 00:01:58,000 >> It's not the budget that's making me 53 00:01:58,000 --> 00:01:58,479 cry. 54 00:01:58,479 --> 00:02:00,560 >> No, I promise. You know what's important 55 00:02:00,560 --> 00:02:02,560 in life. 56 00:02:02,560 --> 00:02:04,399 >> Okay. 57 00:02:04,399 --> 00:02:08,239 So Idaho code 50 uh chapter 10 section 2 58 00:02:08,239 --> 00:02:10,080 says the city council of each city shall 59 00:02:10,080 --> 00:02:11,920 pri prior to passing the annual 60 00:02:11,920 --> 00:02:14,480 appropriation ordinance prepare a budget 61 00:02:14,480 --> 00:02:16,879 estimating the probable amount of money 62 00:02:16,879 --> 00:02:19,120 necessary for all purposes for which an 63 00:02:19,120 --> 00:02:21,840 appropriation is to be made. So, the 64 00:02:21,840 --> 00:02:26,000 reason or one of the reasons that you 65 00:02:26,000 --> 00:02:30,000 budget is because Idaho has staturally 66 00:02:30,000 --> 00:02:31,840 required you to. You're going to hear me 67 00:02:31,840 --> 00:02:34,800 say a lot about Idaho because we are 68 00:02:34,800 --> 00:02:36,640 regulated by Idaho. The very fact that 69 00:02:36,640 --> 00:02:39,920 we exist is because Idaho lets us or 70 00:02:39,920 --> 00:02:42,959 allows us to through statute. Idaho code 71 00:02:42,959 --> 00:02:46,239 67, which is also relied upon quite a 72 00:02:46,239 --> 00:02:48,239 bit in municipal finances, says budget 73 00:02:48,239 --> 00:02:49,680 information shall conform to the 74 00:02:49,680 --> 00:02:51,840 standards established in the uniform 75 00:02:51,840 --> 00:02:53,599 accounting manual for local government 76 00:02:53,599 --> 00:02:56,400 entities. This is where we're going to 77 00:02:56,400 --> 00:03:00,800 get um the authority to rely on GAP 78 00:03:00,800 --> 00:03:02,560 which is generally accepted accounting 79 00:03:02,560 --> 00:03:06,239 principles as promulgated by gazby which 80 00:03:06,239 --> 00:03:08,319 is the governmental accounting standards 81 00:03:08,319 --> 00:03:10,640 board. 82 00:03:10,640 --> 00:03:12,720 So why budget? We just talked about the 83 00:03:12,720 --> 00:03:16,560 statutoily required um what we have to 84 00:03:16,560 --> 00:03:18,959 do, but there are also some very very 85 00:03:18,959 --> 00:03:21,599 good reasons why even if it wasn't 86 00:03:21,599 --> 00:03:24,480 statutoily required, we should probably 87 00:03:24,480 --> 00:03:26,400 go through this process. And the first 88 00:03:26,400 --> 00:03:28,959 one is that it's a policy document. Uh 89 00:03:28,959 --> 00:03:31,760 the council and the mayor can use this 90 00:03:31,760 --> 00:03:35,920 process and this procedure to set policy 91 00:03:35,920 --> 00:03:38,319 simply by funding and not funding what 92 00:03:38,319 --> 00:03:41,840 you want to and not want to fund. It's a 93 00:03:41,840 --> 00:03:43,920 financial plan. They're guard rails. I 94 00:03:43,920 --> 00:03:46,480 use that analogy a lot. The budget is 95 00:03:46,480 --> 00:03:49,680 not actual. It's an estimate, but it 96 00:03:49,680 --> 00:03:52,159 sets those guard rails for department 97 00:03:52,159 --> 00:03:54,720 heads and for the city um where we're 98 00:03:54,720 --> 00:03:57,040 going to go. It's a legal appropriation. 99 00:03:57,040 --> 00:03:59,599 So, now we're back to statute. If we 100 00:03:59,599 --> 00:04:03,280 didn't pass the ordinance that we will 101 00:04:03,280 --> 00:04:06,239 uh coming in in August, we would not 102 00:04:06,239 --> 00:04:09,280 have the authority to spend any money. 103 00:04:09,280 --> 00:04:11,920 Um, so you guys really do hold those 104 00:04:11,920 --> 00:04:14,480 purse strings. Um, giving us that 105 00:04:14,480 --> 00:04:17,359 authority to to to 106 00:04:17,359 --> 00:04:19,759 cash a check. It's a communication tool. 107 00:04:19,759 --> 00:04:21,680 We have a few people in the room. We'll 108 00:04:21,680 --> 00:04:23,600 have people online. It's going to be 109 00:04:23,600 --> 00:04:25,280 available online. We get records 110 00:04:25,280 --> 00:04:27,680 requests for it. It's a very easy way to 111 00:04:27,680 --> 00:04:29,840 communicate what we're going to do with 112 00:04:29,840 --> 00:04:33,120 the funds that we receive. And it also 113 00:04:33,120 --> 00:04:35,280 allows accountability because we can 114 00:04:35,280 --> 00:04:37,520 compare what really happened, what 115 00:04:37,520 --> 00:04:42,790 actually happened with the plan. 116 00:04:42,800 --> 00:04:45,600 Idaho budget requirements. So first just 117 00:04:45,600 --> 00:04:47,440 to set this is this is a requirement 118 00:04:47,440 --> 00:04:49,360 that we have to to follow. We can't pick 119 00:04:49,360 --> 00:04:51,759 our own fiscal year. Our fiscal year is 120 00:04:51,759 --> 00:04:55,199 from October 1 to September 30 and that 121 00:04:55,199 --> 00:04:58,000 is also set by the state. 122 00:04:58,000 --> 00:05:00,320 What do we have to do or what are we 123 00:05:00,320 --> 00:05:03,120 required by statute to set the budget? 124 00:05:03,120 --> 00:05:05,360 Well, we need to estimate our revenues 125 00:05:05,360 --> 00:05:07,600 by fund. And you'll hear me say that a 126 00:05:07,600 --> 00:05:08,880 lot too because a lot of times we'll 127 00:05:08,880 --> 00:05:10,639 talk about departments, we'll talk about 128 00:05:10,639 --> 00:05:12,960 line items, we'll talk about specific 129 00:05:12,960 --> 00:05:15,039 commodities like fuel or something 130 00:05:15,039 --> 00:05:17,120 that's catching our attention. But the 131 00:05:17,120 --> 00:05:20,479 budget is always by fund. We need to 132 00:05:20,479 --> 00:05:23,520 estimate our expenditures by fund. They 133 00:05:23,520 --> 00:05:26,639 are required to balance. So when we 134 00:05:26,639 --> 00:05:29,120 publish, you'll see this time at our 135 00:05:29,120 --> 00:05:32,160 revenues are going to be 186 million and 136 00:05:32,160 --> 00:05:34,160 our expenses are going to be 186 137 00:05:34,160 --> 00:05:35,759 million. Now a lot of people say, "Well, 138 00:05:35,759 --> 00:05:37,120 what if you want to save or what if you 139 00:05:37,120 --> 00:05:38,880 don't want to spend all that?" Well, 140 00:05:38,880 --> 00:05:41,759 that's possible. You'd see a line item, 141 00:05:41,759 --> 00:05:44,240 a specific line item that would be 142 00:05:44,240 --> 00:05:47,199 called transfer to reserve. If you're 143 00:05:47,199 --> 00:05:49,039 going to spend down now, sometimes you 144 00:05:49,039 --> 00:05:50,800 spend some of your reserves. We have 145 00:05:50,800 --> 00:05:52,479 that happening in some of our funds as 146 00:05:52,479 --> 00:05:56,080 well. Uh the biggest one is the the uh 147 00:05:56,080 --> 00:05:58,320 water pollution control fund. This 148 00:05:58,320 --> 00:06:00,160 coming year they have an $8 million 149 00:06:00,160 --> 00:06:02,479 project. So they're going to use their 150 00:06:02,479 --> 00:06:04,319 reserves. Instead of transfer to 151 00:06:04,319 --> 00:06:05,759 reserves, you're going to see a transfer 152 00:06:05,759 --> 00:06:08,720 out of reserves and that becomes a 153 00:06:08,720 --> 00:06:12,160 revenue source. So 154 00:06:12,160 --> 00:06:14,160 then we have tenative approval before 155 00:06:14,160 --> 00:06:15,919 publishing the notice of public hearing 156 00:06:15,919 --> 00:06:19,120 and we just finished that. In fact, we 157 00:06:19,120 --> 00:06:21,360 took an extra step. We had tentative 158 00:06:21,360 --> 00:06:24,000 approval and then we actually found a 159 00:06:24,000 --> 00:06:25,680 little bit more revenue and because we 160 00:06:25,680 --> 00:06:27,919 hadn't published I thought it was a good 161 00:06:27,919 --> 00:06:30,560 idea to get it that in there and we 162 00:06:30,560 --> 00:06:34,319 again approved tenatively that 186 163 00:06:34,319 --> 00:06:36,160 million and then we published the notice 164 00:06:36,160 --> 00:06:39,280 of public hearing. I do have I'll a 165 00:06:39,280 --> 00:06:42,160 quick jump because I think I can go 166 00:06:42,160 --> 00:06:45,840 back. Whoops. 167 00:06:45,840 --> 00:06:47,360 This is the notice of public hearing 168 00:06:47,360 --> 00:06:48,720 that we've prepared. Now, I know you 169 00:06:48,720 --> 00:06:50,960 can't see the detail very well. There's 170 00:06:50,960 --> 00:06:53,440 55 funds here at the city, but that's 171 00:06:53,440 --> 00:06:56,319 what it'll look like. Um, if we go back 172 00:06:56,319 --> 00:06:58,560 now, that notice of public hearing, and 173 00:06:58,560 --> 00:07:00,800 it does, it needs to include the date, 174 00:07:00,800 --> 00:07:03,520 the time, the location. 175 00:07:03,520 --> 00:07:05,520 And in the notice of public hearing, you 176 00:07:05,520 --> 00:07:07,280 actually do have to split your revenues 177 00:07:07,280 --> 00:07:10,080 into two. You have to show the proposed 178 00:07:10,080 --> 00:07:14,880 tax revenues and then everything else. 179 00:07:14,880 --> 00:07:16,000 You have to have the proposed 180 00:07:16,000 --> 00:07:17,840 expenditures and then that comparative 181 00:07:17,840 --> 00:07:21,440 information. You are required to have 182 00:07:21,440 --> 00:07:24,560 two years plus the proposed. And I've 183 00:07:24,560 --> 00:07:27,039 always used budget, but I did learn just 184 00:07:27,039 --> 00:07:29,680 in the last couple of weeks that the 185 00:07:29,680 --> 00:07:34,080 oldest year where actuals are available, 186 00:07:34,080 --> 00:07:36,720 you could use actuals. So, for example, 187 00:07:36,720 --> 00:07:39,360 we're going to publish 27 as a proposed 188 00:07:39,360 --> 00:07:42,240 26 as a budget number because we don't 189 00:07:42,240 --> 00:07:44,720 know what our actual total is yet. And 190 00:07:44,720 --> 00:07:47,520 then 25 could be either what the budget 191 00:07:47,520 --> 00:07:49,759 was was set, which is what we've 192 00:07:49,759 --> 00:07:52,720 prepared, or the actuals. 193 00:07:52,720 --> 00:07:55,199 >> Can you remind us real quick, Rich, when 194 00:07:55,199 --> 00:07:57,599 the public hearing is the date of the 195 00:07:57,599 --> 00:07:59,039 budget public hearing? 196 00:07:59,039 --> 00:08:01,199 >> The actual one we're that's coming up. 197 00:08:01,199 --> 00:08:02,720 >> That's our next council meeting on 198 00:08:02,720 --> 00:08:03,680 August 6th. 199 00:08:03,680 --> 00:08:05,360 >> Okay. Thank you. 200 00:08:05,360 --> 00:08:07,120 >> And that's the opportunity. You know, 201 00:08:07,120 --> 00:08:09,520 most of the time government in a in a 202 00:08:09,520 --> 00:08:11,440 represent re representative republic, 203 00:08:11,440 --> 00:08:15,840 which we are, is um what I like to call 204 00:08:15,840 --> 00:08:19,440 a spectator sport. These guys get to 205 00:08:19,440 --> 00:08:21,360 come and watch. 206 00:08:21,360 --> 00:08:24,720 They're spectators. They've elected you 207 00:08:24,720 --> 00:08:28,639 to do their job and they get to watch. 208 00:08:28,639 --> 00:08:30,639 Every once in a while, they get to 209 00:08:30,639 --> 00:08:32,880 participate. This is one of those every 210 00:08:32,880 --> 00:08:35,440 once in a while where we're required to 211 00:08:35,440 --> 00:08:37,279 have a public hearing and they can 212 00:08:37,279 --> 00:08:39,599 actually come up and address you. I 213 00:08:39,599 --> 00:08:40,640 think there's a lot of heartburn 214 00:08:40,640 --> 00:08:42,159 sometimes in government because people 215 00:08:42,159 --> 00:08:43,519 don't realize that they always hear 216 00:08:43,519 --> 00:08:45,519 democracy, it's my government and those 217 00:08:45,519 --> 00:08:47,839 are all true, but it really is a 218 00:08:47,839 --> 00:08:51,360 spectator sport. So, okay. So, we'll 219 00:08:51,360 --> 00:08:55,519 hold the public hearing. Um, you could 220 00:08:55,519 --> 00:08:57,680 adopt the budget on the same day, but 221 00:08:57,680 --> 00:09:00,720 the city of Pocutello chooses to adopt 222 00:09:00,720 --> 00:09:03,600 the budget the next meeting so that you 223 00:09:03,600 --> 00:09:06,080 have time to think about the comments 224 00:09:06,080 --> 00:09:09,600 that were made in that public hearing 225 00:09:09,600 --> 00:09:13,120 and that would be August 20th 226 00:09:13,120 --> 00:09:15,600 is when we'll adopt that budget. Then we 227 00:09:15,600 --> 00:09:17,360 certify our property taxes to the 228 00:09:17,360 --> 00:09:18,800 county. So, we'll send everything. We 229 00:09:18,800 --> 00:09:20,080 have to send our notice of public 230 00:09:20,080 --> 00:09:22,080 hearing. We have to send the budget. We 231 00:09:22,080 --> 00:09:24,240 have to send what's called the L2. It's 232 00:09:24,240 --> 00:09:28,080 a form that specifies how much budget 233 00:09:28,080 --> 00:09:31,760 we're asking the county to levy. 234 00:09:31,760 --> 00:09:33,200 Everyone says, "What's the le what are 235 00:09:33,200 --> 00:09:37,839 you going to set the levy at?" Well, you guys don't set the levy. You set a 236 00:09:37,839 --> 00:09:40,720 budget. I don't want to be misleading. 237 00:09:40,720 --> 00:09:44,000 What you do affects the levy. Certainly 238 00:09:44,000 --> 00:09:46,160 it does, but you don't set a levy. You 239 00:09:46,160 --> 00:09:48,800 set a budget. And you're limited in 240 00:09:48,800 --> 00:09:51,839 being able to do that. the the the state 241 00:09:51,839 --> 00:09:54,880 says that you cannot exceed 3% of the 242 00:09:54,880 --> 00:09:56,880 highest of the last three years. That's 243 00:09:56,880 --> 00:09:59,920 usually the most current year, but if 244 00:09:59,920 --> 00:10:01,839 for some reason we had a year that was 245 00:10:01,839 --> 00:10:04,000 lower in front of that, you can go back 246 00:10:04,000 --> 00:10:05,839 three years, look at look at those three 247 00:10:05,839 --> 00:10:09,360 years and choose 3% of the highest, you 248 00:10:09,360 --> 00:10:10,800 cannot exceed when you're using 249 00:10:10,800 --> 00:10:15,839 foregone, which we are 1% for M or 3% 250 00:10:15,839 --> 00:10:19,440 for capital use. and we're choosing 1% 251 00:10:19,440 --> 00:10:24,240 or have proposed 1% with our M. And then 252 00:10:24,240 --> 00:10:27,040 just recently the legislature passed a 253 00:10:27,040 --> 00:10:30,399 new limit. So after all of that, they'll 254 00:10:30,399 --> 00:10:33,279 look at the total increase including 255 00:10:33,279 --> 00:10:34,880 annexation, 256 00:10:34,880 --> 00:10:39,519 new construction, the 3%. 257 00:10:39,519 --> 00:10:41,279 Wait a minute. I don't think it does 258 00:10:41,279 --> 00:10:43,200 include annexation or new construction. 259 00:10:43,200 --> 00:10:46,240 Those go on automatically. It's the 3%. 260 00:10:46,240 --> 00:10:49,839 It's your use of foregone and you can't 261 00:10:49,839 --> 00:10:53,839 exceed that 8% increase. 262 00:10:53,839 --> 00:10:56,480 Sorry, I got I got a little excited 263 00:10:56,480 --> 00:11:00,640 there and I didn't want to misspeak. 264 00:11:00,640 --> 00:11:03,200 >> Also, another one of the revenue sources 265 00:11:03,200 --> 00:11:05,279 that the city relies on very heavily are 266 00:11:05,279 --> 00:11:07,920 fees. Those are in our enterprise funds. 267 00:11:07,920 --> 00:11:09,680 All the taxes are in our governmental 268 00:11:09,680 --> 00:11:13,839 funds. The fees that we are most most um 269 00:11:13,839 --> 00:11:15,200 familiar with are water, sewer, 270 00:11:15,200 --> 00:11:17,279 sanitation. 271 00:11:17,279 --> 00:11:21,519 We send out one bill and everyone pays 272 00:11:21,519 --> 00:11:24,079 their hundred plus dollars, but it 273 00:11:24,079 --> 00:11:26,880 actually is three separate utilities. 274 00:11:26,880 --> 00:11:28,560 It's water 275 00:11:28,560 --> 00:11:29,519 >> sanitation, please. 276 00:11:29,519 --> 00:11:31,360 >> When you're done with your blanket of 277 00:11:31,360 --> 00:11:32,320 points whenever you're done with that 278 00:11:32,320 --> 00:11:32,640 point. 279 00:11:32,640 --> 00:11:36,240 >> No. Well, so those can those are not 280 00:11:36,240 --> 00:11:39,760 limited like the property tax increases. 281 00:11:39,760 --> 00:11:44,399 The only caveat there is there's a 5% 282 00:11:44,399 --> 00:11:46,880 line drawn. If you if you raise a fee 283 00:11:46,880 --> 00:11:49,440 under that 5%, 284 00:11:49,440 --> 00:11:51,920 you just have to pass it. We have to go 285 00:11:51,920 --> 00:11:53,680 through the process. We have to present 286 00:11:53,680 --> 00:11:56,880 why we want that fee raised and then you 287 00:11:56,880 --> 00:11:59,600 guys will decide yes or no. If the fee 288 00:11:59,600 --> 00:12:02,560 is over 5%, you do again have to go 289 00:12:02,560 --> 00:12:05,360 through a public hearing and have input 290 00:12:05,360 --> 00:12:08,720 from constituents and citizens on those 291 00:12:08,720 --> 00:12:10,320 fees. 292 00:12:10,320 --> 00:12:13,600 >> So, uh I if you could briefly uh give us 293 00:12:13,600 --> 00:12:15,120 a 294 00:12:15,120 --> 00:12:17,040 description on what foregone 295 00:12:17,040 --> 00:12:18,959 specifically is so that people at home 296 00:12:18,959 --> 00:12:20,800 when they hear the term foregone, 297 00:12:20,800 --> 00:12:22,079 they'll understand. 298 00:12:22,079 --> 00:12:23,839 >> You bet. 299 00:12:23,839 --> 00:12:27,279 Forgon is an accounting 300 00:12:27,279 --> 00:12:30,550 of 301 00:12:30,560 --> 00:12:34,079 the ability that you had to tax and 302 00:12:34,079 --> 00:12:37,990 chose not to. 303 00:12:38,000 --> 00:12:41,279 There's no money there. It's just 304 00:12:41,279 --> 00:12:43,360 tracking 305 00:12:43,360 --> 00:12:46,720 if that makes sense. You You could have 306 00:12:46,720 --> 00:12:52,880 you. So, let's say your budget is $1,000 307 00:12:52,880 --> 00:12:56,160 and you can increase it to 308 00:12:56,160 --> 00:12:58,399 $1,300, 309 00:12:58,399 --> 00:13:01,040 but you only choose to increase it to 310 00:13:01,040 --> 00:13:03,680 $1,200. 311 00:13:03,680 --> 00:13:07,279 We don't take that increment of $100, 312 00:13:07,279 --> 00:13:09,839 but we track it. 313 00:13:09,839 --> 00:13:12,560 and the state has so far preserved your 314 00:13:12,560 --> 00:13:16,399 ability to come back later 315 00:13:16,399 --> 00:13:19,920 and say yeah we need that now. 316 00:13:19,920 --> 00:13:21,040 >> So it's is that fair? 317 00:13:21,040 --> 00:13:23,040 >> So it's the number or the amount that we 318 00:13:23,040 --> 00:13:25,680 had foregone on collecting. 319 00:13:25,680 --> 00:13:28,279 >> That is correct. Uh currently 320 00:13:28,279 --> 00:13:30,399 [clears throat] the city has about $5 321 00:13:30,399 --> 00:13:32,160 million 322 00:13:32,160 --> 00:13:35,760 being tracked in their foregone amount 323 00:13:35,760 --> 00:13:38,720 >> and of that total balance of foregone we 324 00:13:38,720 --> 00:13:41,760 can only take up to 3% 325 00:13:41,760 --> 00:13:43,760 of that or a lot for 326 00:13:43,760 --> 00:13:48,000 >> well 1% of that is three I think our 327 00:13:48,000 --> 00:13:51,360 foregone is $375,000 328 00:13:51,360 --> 00:13:55,440 and that can be permanently placed into 329 00:13:55,440 --> 00:14:00,240 M into the levy and every year it will 330 00:14:00,240 --> 00:14:04,160 be a part of that taxing levy. You do 331 00:14:04,160 --> 00:14:07,920 have the opportunity to take another 3% 332 00:14:07,920 --> 00:14:10,079 which would be almost a million dollars 333 00:14:10,079 --> 00:14:12,959 or maybe just just barely over a million 334 00:14:12,959 --> 00:14:15,839 dollars. It's a onetime shot. It reduces 335 00:14:15,839 --> 00:14:18,000 your foregone by that million dollars, 336 00:14:18,000 --> 00:14:20,480 but you never see that again and it 337 00:14:20,480 --> 00:14:21,839 doesn't roll over. 338 00:14:21,839 --> 00:14:24,560 >> So those are the two ways you can use 339 00:14:24,560 --> 00:14:28,240 that foregone. Thank you, 340 00:14:28,240 --> 00:14:30,720 >> Rich. Um, this might be something for 341 00:14:30,720 --> 00:14:33,600 myself I don't always get as well as the 342 00:14:33,600 --> 00:14:36,160 audience at home and here. Um, there's 343 00:14:36,160 --> 00:14:40,160 that overall 8% limit and just how 344 00:14:40,160 --> 00:14:42,800 that's adding up. But it's hard to grasp 345 00:14:42,800 --> 00:14:45,680 that because you can get the 3% of the 346 00:14:45,680 --> 00:14:48,399 highest last years, last three years, 347 00:14:48,399 --> 00:14:50,639 and then your management and overhead 348 00:14:50,639 --> 00:14:54,160 can exceed 1% and you can exceed 3% for 349 00:14:54,160 --> 00:14:56,079 capital and foregone. Well, that only 350 00:14:56,079 --> 00:14:58,240 adds up to 7%. 351 00:14:58,240 --> 00:15:00,160 >> Right? 352 00:15:00,160 --> 00:15:02,240 I'd have to show you some examples, I 353 00:15:02,240 --> 00:15:06,480 think, to make that clear. Uh to to to 354 00:15:06,480 --> 00:15:08,639 show you the math of how that would 355 00:15:08,639 --> 00:15:10,079 actually happen 356 00:15:10,079 --> 00:15:11,440 >> and could happen. 357 00:15:11,440 --> 00:15:14,079 >> Okay. So, it's a possibility that could 358 00:15:14,079 --> 00:15:16,240 happen, but we never seem to bump into 359 00:15:16,240 --> 00:15:18,000 that scenario here. 360 00:15:18,000 --> 00:15:22,240 >> We haven't yet. That is correct. 361 00:15:22,240 --> 00:15:26,069 >> Okay. 362 00:15:26,079 --> 00:15:28,079 What that does, what the legislature was 363 00:15:28,079 --> 00:15:32,000 trying to do there is actually it is 364 00:15:32,000 --> 00:15:35,839 actually cap the increase and it forces 365 00:15:35,839 --> 00:15:38,399 because of the computation or the math 366 00:15:38,399 --> 00:15:41,760 it forces the levy down 367 00:15:41,760 --> 00:15:44,240 >> because it used to be that rather than 368 00:15:44,240 --> 00:15:47,040 1% on management and overhead we could 369 00:15:47,040 --> 00:15:49,279 take three 370 00:15:49,279 --> 00:15:50,560 or maybe I don't 371 00:15:50,560 --> 00:15:52,079 >> well it actually used to be when I 372 00:15:52,079 --> 00:15:53,839 started that you could take the whole 373 00:15:53,839 --> 00:15:56,399 >> whatever your gun amount is that is 374 00:15:56,399 --> 00:15:57,920 correct. Okay. But that's 375 00:15:57,920 --> 00:16:00,000 >> these limits are are fairly new. All of 376 00:16:00,000 --> 00:16:00,320 them. 377 00:16:00,320 --> 00:16:02,720 >> Yeah. The 1% really 378 00:16:02,720 --> 00:16:04,880 >> Yeah. The foregone may be sitting there, 379 00:16:04,880 --> 00:16:07,680 but you're you're really tight on what 380 00:16:07,680 --> 00:16:09,920 you can take is the crux of it, 381 00:16:09,920 --> 00:16:17,279 >> right? I think it's I think it's been I keep telling myself I shouldn't speak 382 00:16:17,279 --> 00:16:19,759 on the fly, but it's within five years 383 00:16:19,759 --> 00:16:21,759 that all of those limits have come into 384 00:16:21,759 --> 00:16:22,399 play. 385 00:16:22,399 --> 00:16:23,759 >> Mhm. 386 00:16:23,759 --> 00:16:26,399 And there was a lot of hubbhub on that 387 00:16:26,399 --> 00:16:28,720 year that they started them if city 388 00:16:28,720 --> 00:16:33,759 should go ahead and take the foregon 389 00:16:33,759 --> 00:16:35,519 before it's limited. 390 00:16:35,519 --> 00:16:36,240 >> Yeah. 391 00:16:36,240 --> 00:16:38,480 >> So, but we're way past that now. 392 00:16:38,480 --> 00:16:40,560 >> Okay. 393 00:16:40,560 --> 00:16:43,120 >> All right. 394 00:16:43,120 --> 00:16:46,790 Well, 395 00:16:46,800 --> 00:16:48,480 amending the budget. We get a lot of 396 00:16:48,480 --> 00:16:50,639 questions about that. the same exact 397 00:16:50,639 --> 00:16:52,240 process that you're [clears throat] 398 00:16:52,240 --> 00:16:55,759 going through now. Although 399 00:16:55,759 --> 00:16:58,160 I guess the difference is 400 00:16:58,160 --> 00:16:59,759 usually when you're amending the budget, 401 00:16:59,759 --> 00:17:02,079 you're specifically thinking about one 402 00:17:02,079 --> 00:17:03,600 revenue 403 00:17:03,600 --> 00:17:07,839 stream that that either is new uh we 404 00:17:07,839 --> 00:17:10,480 missed something reserves that we didn't 405 00:17:10,480 --> 00:17:12,400 include before and now we do want to use 406 00:17:12,400 --> 00:17:14,400 them for some reason. That's a revenue 407 00:17:14,400 --> 00:17:15,679 source that could be for amending the 408 00:17:15,679 --> 00:17:17,360 budget. So, it seems like it's more 409 00:17:17,360 --> 00:17:19,919 focused when you're amending the budget 410 00:17:19,919 --> 00:17:22,880 then than when we go through this 411 00:17:22,880 --> 00:17:27,199 process in August, but it's the exact 412 00:17:27,199 --> 00:17:32,320 same steps that we go through. 413 00:17:32,320 --> 00:17:33,919 What does the city budget pay for? I 414 00:17:33,919 --> 00:17:35,919 just threw up some of these numbers to 415 00:17:35,919 --> 00:17:38,320 show you. Police, there's two numbers 416 00:17:38,320 --> 00:17:42,160 there. Police is 44% of the general fund 417 00:17:42,160 --> 00:17:46,880 and 12% of the total budget of the city. 418 00:17:46,880 --> 00:17:49,039 Animal control which is under the police 419 00:17:49,039 --> 00:17:54,559 is 3% of the general fund and 8 and8% 420 00:17:54,559 --> 00:17:59,600 of the total city budget. Fire is 23% 421 00:17:59,600 --> 00:18:05,280 of the general fund and 6% of the total 422 00:18:05,280 --> 00:18:07,280 city budget. I think it's interesting to 423 00:18:07,280 --> 00:18:10,160 know and I think it's a good thing that 424 00:18:10,160 --> 00:18:13,840 if you look at the general fund 75% 425 00:18:13,840 --> 00:18:16,640 almost 75% of those funds are going to 426 00:18:16,640 --> 00:18:19,360 public safety and I think citizens 427 00:18:19,360 --> 00:18:23,120 support that. I really do. It's we're 428 00:18:23,120 --> 00:18:25,280 not 429 00:18:25,280 --> 00:18:29,360 um funding something that doesn't get a 430 00:18:29,360 --> 00:18:32,160 lot of their support. Parks is 2% of the 431 00:18:32,160 --> 00:18:35,039 total. Um, 432 00:18:35,039 --> 00:18:40,000 cemetery is 0.5%, streets is 5%. 433 00:18:40,000 --> 00:18:42,080 Transportation was three, water nine, 434 00:18:42,080 --> 00:18:44,320 wastewater eight, sanitation seven, and 435 00:18:44,320 --> 00:18:46,480 you can see libraries two, airport one, 436 00:18:46,480 --> 00:18:49,200 internal service was five. 437 00:18:49,200 --> 00:18:52,160 Just an interesting way to look at um 438 00:18:52,160 --> 00:18:55,679 how those 55 funds make up the total. 439 00:18:55,679 --> 00:18:57,280 These I picked these because these are 440 00:18:57,280 --> 00:18:58,559 the ones that are usually their 441 00:18:58,559 --> 00:19:00,640 operating funds and usually the funds 442 00:19:00,640 --> 00:19:03,840 that are that the citizen interacts with 443 00:19:03,840 --> 00:19:07,760 right the ones that they see. 444 00:19:07,760 --> 00:19:10,240 Where does the money come from? So 445 00:19:10,240 --> 00:19:13,280 property tax makes up 20% of the entire 446 00:19:13,280 --> 00:19:15,440 budget of the city. Shared revenue 447 00:19:15,440 --> 00:19:18,400 intergovernmental like sales gas. So 448 00:19:18,400 --> 00:19:20,799 sales tax the 6% you pay at the register 449 00:19:20,799 --> 00:19:23,120 when you're at Walmart. Gas tax when you 450 00:19:23,120 --> 00:19:25,840 fill up your car. the liquor tax. So, if 451 00:19:25,840 --> 00:19:28,720 my presentation is driving you to go 452 00:19:28,720 --> 00:19:31,440 across the parking lot here in a minute, 453 00:19:31,440 --> 00:19:34,720 you're helping the city budget. 454 00:19:34,720 --> 00:19:37,600 Uh, utility charges, 25%. That's all 455 00:19:37,600 --> 00:19:40,160 three of them. Franchise fees, those are 456 00:19:40,160 --> 00:19:43,120 those fees that we collect from um Idaho 457 00:19:43,120 --> 00:19:45,760 Power, Gas, it's one. Permits, permits, 458 00:19:45,760 --> 00:19:48,160 licenses, fees, leases. I added those 459 00:19:48,160 --> 00:19:50,799 all together. Kind of a catch-all, too. 460 00:19:50,799 --> 00:19:53,919 grants. 18% of our budget is from 461 00:19:53,919 --> 00:19:57,520 grants. We hear a lot of people saying, 462 00:19:57,520 --> 00:20:00,799 "Well, look for different ways to fund 463 00:20:00,799 --> 00:20:03,600 what's going on at city hall." And this 464 00:20:03,600 --> 00:20:05,200 one surprised me. I hadn't looked at 465 00:20:05,200 --> 00:20:07,919 that number and the mayor asked me to. 466 00:20:07,919 --> 00:20:12,000 That's almost as much as property tax. 467 00:20:12,000 --> 00:20:15,360 I I think that goes to show that we are 468 00:20:15,360 --> 00:20:19,200 trying to look for different ways, 469 00:20:19,200 --> 00:20:23,120 different revenue sources and that were 470 00:20:23,120 --> 00:20:24,960 successful. [clears throat] 471 00:20:24,960 --> 00:20:27,200 >> I was pretty happy with that number. 472 00:20:27,200 --> 00:20:29,760 Interest is 2%. We've had a lot of talk 473 00:20:29,760 --> 00:20:33,120 about that. reserves. A lot of people do 474 00:20:33,120 --> 00:20:35,919 not look as at reserves as a revenue 475 00:20:35,919 --> 00:20:37,440 source, but that's exactly what it is 476 00:20:37,440 --> 00:20:39,760 when it's budgeting is you bring it back 477 00:20:39,760 --> 00:20:44,240 in as a as a revenue stream. 478 00:20:44,240 --> 00:20:46,720 >> Are there other percentages, Rich? 479 00:20:46,720 --> 00:20:48,960 Because that didn't add up to 100. 480 00:20:48,960 --> 00:20:51,440 >> That is true. I only picked the ones 481 00:20:51,440 --> 00:20:52,559 that I thought were 482 00:20:52,559 --> 00:20:55,280 >> Okay, just in case someone's wondering 483 00:20:55,280 --> 00:20:57,679 why that doesn't add up to 100%. 484 00:20:57,679 --> 00:21:01,120 >> That's a really good point, Mayor. and it would have taken a couple of 485 00:21:01,120 --> 00:21:02,960 slides to get through them all. 486 00:21:02,960 --> 00:21:05,760 >> But so if the council is interested, it 487 00:21:05,760 --> 00:21:07,440 would be really easy, I think you've 488 00:21:07,440 --> 00:21:09,679 seen this report before, to put that 489 00:21:09,679 --> 00:21:15,679 percentage out on every single fund and get you that information and and 490 00:21:15,679 --> 00:21:17,520 maybe I should just make a note of doing 491 00:21:17,520 --> 00:21:19,760 that because it's good information to 492 00:21:19,760 --> 00:21:23,750 know. 493 00:21:23,760 --> 00:21:29,190 Oh, I went the wrong way. Sorry. 494 00:21:29,200 --> 00:21:31,600 So we're doing governmental accounting 495 00:21:31,600 --> 00:21:35,280 and it's by fund. Uh we have several 496 00:21:35,280 --> 00:21:37,919 fund types. Our governmental funds are 497 00:21:37,919 --> 00:21:39,840 the general. There are eight of them. 498 00:21:39,840 --> 00:21:43,360 Each fund that receives property tax is 499 00:21:43,360 --> 00:21:46,559 a governmental fund. We have a highway 500 00:21:46,559 --> 00:21:47,840 streets and roads fund. That's a 501 00:21:47,840 --> 00:21:49,440 governmental fund. It receives property 502 00:21:49,440 --> 00:21:53,039 tax. We have 11 enterprise funds. That's 503 00:21:53,039 --> 00:21:55,520 because we count their capital and their 504 00:21:55,520 --> 00:21:58,960 debt service. Each one of our enterprise 505 00:21:58,960 --> 00:22:01,120 uh funds has a capital fund and a debt 506 00:22:01,120 --> 00:22:03,760 service fund. We have eight internal 507 00:22:03,760 --> 00:22:06,159 service funds, seven capital projects 508 00:22:06,159 --> 00:22:10,240 funds, 20 special revenue funds, and one 509 00:22:10,240 --> 00:22:12,799 fudiciary fund. That fidiciary fund is 510 00:22:12,799 --> 00:22:15,440 the police retirement. I believe there 511 00:22:15,440 --> 00:22:17,360 are 15 512 00:22:17,360 --> 00:22:22,000 participants left in that fund. 513 00:22:22,000 --> 00:22:23,520 What's the budget calendar? Well, we're 514 00:22:23,520 --> 00:22:25,840 going to start in January. In fact, I 515 00:22:25,840 --> 00:22:26,640 think we've [laughter] talked about 516 00:22:26,640 --> 00:22:28,159 we're going to keep we're going to keep 517 00:22:28,159 --> 00:22:32,159 going. So, when I put this together, 518 00:22:32,159 --> 00:22:33,840 it's what we have done, but we are 519 00:22:33,840 --> 00:22:35,280 actually going to, I believe, have 520 00:22:35,280 --> 00:22:38,480 meetings either monthly or 521 00:22:38,480 --> 00:22:39,679 >> every other month or something. We're 522 00:22:39,679 --> 00:22:41,360 going to keep going and keep the 523 00:22:41,360 --> 00:22:42,880 conversation going and try to get some 524 00:22:42,880 --> 00:22:44,720 of the things we've talked about in the 525 00:22:44,720 --> 00:22:47,600 past budget strategic. But basically 526 00:22:47,600 --> 00:22:54,320 what you do is you sit down with the decision makers 527 00:22:54,320 --> 00:22:58,000 that are you and you find out what their 528 00:22:58,000 --> 00:23:00,000 goals are. You do some strategic 529 00:23:00,000 --> 00:23:04,240 planning and um we did that. Um one of 530 00:23:04,240 --> 00:23:05,840 the things that sticks in my mind that 531 00:23:05,840 --> 00:23:07,840 we always talk about is curb appeal. 532 00:23:07,840 --> 00:23:10,240 There were others. I I think we had five 533 00:23:10,240 --> 00:23:13,760 main 13 total. Um but we did that in 534 00:23:13,760 --> 00:23:15,760 March. I think it's important and and 535 00:23:15,760 --> 00:23:17,200 this was a little bit of a change for 536 00:23:17,200 --> 00:23:20,000 everybody here at the city is that you 537 00:23:20,000 --> 00:23:23,280 uh look at your revenues and wage and 538 00:23:23,280 --> 00:23:25,919 wage related expenses because those 539 00:23:25,919 --> 00:23:28,720 things really don't 540 00:23:28,720 --> 00:23:30,640 necessarily the wage and wage related 541 00:23:30,640 --> 00:23:33,039 expenses. We can pretty much h nail 542 00:23:33,039 --> 00:23:35,280 those down. We know who works for us. We 543 00:23:35,280 --> 00:23:37,120 know how much they make. We know what 544 00:23:37,120 --> 00:23:39,520 those related expenses are going to be. 545 00:23:39,520 --> 00:23:40,960 And the reason you want to do revenue 546 00:23:40,960 --> 00:23:42,640 first is because you need to know how 547 00:23:42,640 --> 00:23:44,960 big your pie is going to be when you 548 00:23:44,960 --> 00:23:48,240 start talking about adding um the 549 00:23:48,240 --> 00:23:51,440 department requests. Uh April, May, we 550 00:23:51,440 --> 00:23:53,840 have a lot of departments for those 551 00:23:53,840 --> 00:23:56,000 requests. June the council workshops 552 00:23:56,000 --> 00:23:58,400 when we get it all put together. July 553 00:23:58,400 --> 00:24:01,440 the tenative budget adoption. In August 554 00:24:01,440 --> 00:24:03,760 we'll have the public hearing. Now, in 555 00:24:03,760 --> 00:24:09,039 August, we're going to adopt our our um 556 00:24:09,039 --> 00:24:12,559 ordinance, but the drop dead is actually 557 00:24:12,559 --> 00:24:14,480 that first September, that first 558 00:24:14,480 --> 00:24:17,760 Thursday in September. The reason we 559 00:24:17,760 --> 00:24:20,080 build our calendar that way is because 560 00:24:20,080 --> 00:24:22,400 if for some reason you guys throw a loba 561 00:24:22,400 --> 00:24:25,919 bomb at us and we have to back up and do 562 00:24:25,919 --> 00:24:27,919 something different 563 00:24:27,919 --> 00:24:29,919 because you want to change direction or 564 00:24:29,919 --> 00:24:32,080 change your goals or whatever, we have 565 00:24:32,080 --> 00:24:34,720 that. We're nimble enough to do that. We 566 00:24:34,720 --> 00:24:36,240 have the opportunity and one more 567 00:24:36,240 --> 00:24:38,559 chance, one more meeting that we can 568 00:24:38,559 --> 00:24:42,000 make that um correction. 569 00:24:42,000 --> 00:24:44,640 What's a sound budget philosophy? 570 00:24:44,640 --> 00:24:46,799 spend with spend within reoccurring 571 00:24:46,799 --> 00:24:49,360 revenues. That means the ones that come 572 00:24:49,360 --> 00:24:51,760 back every year. Maintain adequate 573 00:24:51,760 --> 00:24:53,120 reserves. We've talked about this a 574 00:24:53,120 --> 00:24:55,200 little bit. Three months of operations 575 00:24:55,200 --> 00:24:57,279 and every single one of our funds has at 576 00:24:57,279 --> 00:25:00,400 least three months of operations. What 577 00:25:00,400 --> 00:25:01,840 happens after 3 months? Well, then you 578 00:25:01,840 --> 00:25:04,559 start building your capital plan. And uh 579 00:25:04,559 --> 00:25:07,120 we're actually moving into a formal 580 00:25:07,120 --> 00:25:10,159 process. We've had informal capital 581 00:25:10,159 --> 00:25:12,159 plans, but we're going to move into a 582 00:25:12,159 --> 00:25:14,159 formal process of that capital plan, 583 00:25:14,159 --> 00:25:16,480 which does include um deferred 584 00:25:16,480 --> 00:25:19,279 maintenance, prepare for emergencies, 585 00:25:19,279 --> 00:25:21,760 invest in infrastructure, and have a 586 00:25:21,760 --> 00:25:23,360 multi-year plan. I'm really excited 587 00:25:23,360 --> 00:25:25,279 about the opportunities we have with 588 00:25:25,279 --> 00:25:29,120 open gov. We have started entering 20 uh 589 00:25:29,120 --> 00:25:31,919 28 already. I'll be able to do the L2 590 00:25:31,919 --> 00:25:36,000 for four years ahead. we can um 591 00:25:36,000 --> 00:25:37,919 tenatively look at wage wage related 592 00:25:37,919 --> 00:25:40,320 expenses. It it's going to be great. 593 00:25:40,320 --> 00:25:41,600 We'll be able to give you a real 594 00:25:41,600 --> 00:25:45,039 snapshot of what it might look like for 595 00:25:45,039 --> 00:25:48,000 four years instead of one. I almost wish 596 00:25:48,000 --> 00:25:50,080 in Oregon you can adopt two years at a 597 00:25:50,080 --> 00:25:53,679 time. And I almost wish that we could do 598 00:25:53,679 --> 00:25:55,919 that, but I don't think we'll ever get 599 00:25:55,919 --> 00:25:58,880 the conservative cowboys in Idaho to 600 00:25:58,880 --> 00:26:01,520 >> loosen up those rains that much, which 601 00:26:01,520 --> 00:26:03,679 is probably a good thing. 602 00:26:03,679 --> 00:26:05,919 >> What are the challenges? 603 00:26:05,919 --> 00:26:07,919 Inflation might be the biggest one. And 604 00:26:07,919 --> 00:26:11,520 I looked up last month's or the or 12 605 00:26:11,520 --> 00:26:13,919 months ending May of 2026. That's the 606 00:26:13,919 --> 00:26:16,320 latest data that we've got. Inflation's 607 00:26:16,320 --> 00:26:18,000 4.2%. 608 00:26:18,000 --> 00:26:20,159 Well, I mean, that's a problem already 609 00:26:20,159 --> 00:26:23,120 because we can only go three, right? So, 610 00:26:23,120 --> 00:26:25,200 we're looking at less buying power. 611 00:26:25,200 --> 00:26:26,960 Employee wages are challenges. They're 612 00:26:26,960 --> 00:26:30,159 the largest part of the budget in any 613 00:26:30,159 --> 00:26:31,760 fund. 614 00:26:31,760 --> 00:26:34,159 Insurance, it's the largest individual 615 00:26:34,159 --> 00:26:37,039 annual increase. I looked up what is an 616 00:26:37,039 --> 00:26:38,720 average annual increase for health 617 00:26:38,720 --> 00:26:42,080 insurance for Idaho municipalities and 618 00:26:42,080 --> 00:26:46,400 it's 10 to 12%. That is that is what 619 00:26:46,400 --> 00:26:50,400 I've seen in my in in my past. It's what 620 00:26:50,400 --> 00:26:54,480 we saw this year. It's it's just it 621 00:26:54,480 --> 00:26:57,868 rings true that that is one of the 622 00:26:57,868 --> 00:26:59,120 [snorts] biggest challenges we have. 623 00:26:59,120 --> 00:27:01,600 Deferred maintenance I mentioned that 624 00:27:01,600 --> 00:27:04,880 infrastructure we are I think taking a 625 00:27:04,880 --> 00:27:07,360 great step towards that in the capital 626 00:27:07,360 --> 00:27:10,080 plan growth. 627 00:27:10,080 --> 00:27:14,559 I looked up the Pocutello metro area. I 628 00:27:14,559 --> 00:27:16,240 think that would probably just include 629 00:27:16,240 --> 00:27:19,279 like Portf Valley. Our growth is really 630 00:27:19,279 --> 00:27:23,269 small.5%. 631 00:27:23,279 --> 00:27:25,440 And so that's one of the challenges we 632 00:27:25,440 --> 00:27:27,440 have. We want we are going to have to 633 00:27:27,440 --> 00:27:30,159 provide not more with less, but we're 634 00:27:30,159 --> 00:27:32,640 going to have to provide what we're 635 00:27:32,640 --> 00:27:35,120 doing. We're going to have to try and 636 00:27:35,120 --> 00:27:38,640 maintain what we're doing with less. 637 00:27:38,640 --> 00:27:41,360 uh state legislation and you guys saw 638 00:27:41,360 --> 00:27:45,679 that clearly HB uh HB312 the funding 639 00:27:45,679 --> 00:27:48,960 evaporated and we had a $ 1.3 million 640 00:27:48,960 --> 00:27:51,120 hole in our highway streets and roads 641 00:27:51,120 --> 00:27:54,000 just economic uncertainty alto together 642 00:27:54,000 --> 00:27:56,399 what's the council's role in governance 643 00:27:56,399 --> 00:27:58,880 well you set priorities you set service 644 00:27:58,880 --> 00:28:03,679 levels you adopt tenative and final 645 00:28:03,679 --> 00:28:06,399 budgets meeting statutory requirements 646 00:28:06,399 --> 00:28:08,159 you monitor our performance with our 647 00:28:08,159 --> 00:28:11,440 reports back. Uh you make adjustments as 648 00:28:11,440 --> 00:28:13,200 needed. And I think that's why it's so 649 00:28:13,200 --> 00:28:14,559 important that we keep some of these 650 00:28:14,559 --> 00:28:18,320 meetings going and the discussion going. 651 00:28:18,320 --> 00:28:20,000 Really, what you guys do is protect the 652 00:28:20,000 --> 00:28:22,720 city's long-term financial health. 653 00:28:22,720 --> 00:28:24,880 That's that's what you're supposed to 654 00:28:24,880 --> 00:28:27,760 do. I thought I'd slide in really quick. 655 00:28:27,760 --> 00:28:29,279 I don't even know. Oh, I'm way over 656 00:28:29,279 --> 00:28:31,039 time. I better hurry. 657 00:28:31,039 --> 00:28:33,279 >> You're okay. Yeah, just a few minutes is 658 00:28:33,279 --> 00:28:33,600 fine. 659 00:28:33,600 --> 00:28:34,880 >> I thought this was I thought this would 660 00:28:34,880 --> 00:28:36,080 be really good for those who are 661 00:28:36,080 --> 00:28:38,000 listening. These are the things that I 662 00:28:38,000 --> 00:28:40,720 have gleaned from you as we've talked 663 00:28:40,720 --> 00:28:43,120 about the budget. Build a better 664 00:28:43,120 --> 00:28:44,799 Pocutello. 665 00:28:44,799 --> 00:28:48,000 Be proactive versus reactive. Be 666 00:28:48,000 --> 00:28:50,799 accurate, timely, understandable. 667 00:28:50,799 --> 00:28:52,640 What do you want to pay for and not want 668 00:28:52,640 --> 00:28:56,399 to pay for? If this was a new request, 669 00:28:56,399 --> 00:28:59,360 would you fund it and stop keeping 670 00:28:59,360 --> 00:29:02,480 score? I think those are all really good 671 00:29:02,480 --> 00:29:05,200 and it shows the the flavor of the 672 00:29:05,200 --> 00:29:08,720 council that we have. 673 00:29:08,720 --> 00:29:10,399 It shows that you guys are really trying 674 00:29:10,399 --> 00:29:13,039 hard to put something together that's 675 00:29:13,039 --> 00:29:15,360 meaningful when it comes to the budget 676 00:29:15,360 --> 00:29:17,840 and and doing your due diligence and I 677 00:29:17,840 --> 00:29:19,520 appreciate that. What's management's 678 00:29:19,520 --> 00:29:22,080 role? develop a calendar, prepare the 679 00:29:22,080 --> 00:29:24,240 estimates, draft the budget, review for 680 00:29:24,240 --> 00:29:26,960 accuracy, report performance, carry out 681 00:29:26,960 --> 00:29:30,240 adjustments, and in the end, it's to 682 00:29:30,240 --> 00:29:32,240 protect the city's long-term financial 683 00:29:32,240 --> 00:29:35,919 health. I highlighted that because 684 00:29:35,919 --> 00:29:39,679 we have the same role in the end. We 685 00:29:39,679 --> 00:29:41,760 just get there together in a different 686 00:29:41,760 --> 00:29:45,990 way. 687 00:29:46,000 --> 00:29:47,760 So, in the end, what makes a healthy 688 00:29:47,760 --> 00:29:50,399 budget? balanced revenues and 689 00:29:50,399 --> 00:29:53,039 expenditures, healthy reserves, three 690 00:29:53,039 --> 00:29:54,640 months of operations, realistic 691 00:29:54,640 --> 00:29:57,760 revenues, those those based projections 692 00:29:57,760 --> 00:29:59,840 in revenues. We had a little bit of that 693 00:29:59,840 --> 00:30:01,919 happened last year where maybe some of 694 00:30:01,919 --> 00:30:04,720 the projections were 695 00:30:04,720 --> 00:30:06,960 op a little too optimistic. It's not bad 696 00:30:06,960 --> 00:30:09,440 to be optimistic, but maybe in budgeting 697 00:30:09,440 --> 00:30:11,120 we should dial it back just a little 698 00:30:11,120 --> 00:30:13,279 bit. Sustainable staffing, good 699 00:30:13,279 --> 00:30:15,200 management because it's our biggest 700 00:30:15,200 --> 00:30:17,440 expense. capital investment, long-term 701 00:30:17,440 --> 00:30:20,080 planning. We're taking a step there and 702 00:30:20,080 --> 00:30:22,640 timely financial reporting. 703 00:30:22,640 --> 00:30:25,600 And I want to tell you that today we 704 00:30:25,600 --> 00:30:29,679 started disseminating our fiscal year 24 705 00:30:29,679 --> 00:30:32,960 financial report. It's old news, but 706 00:30:32,960 --> 00:30:35,919 it's still exciting to have it done. And 707 00:30:35,919 --> 00:30:39,760 we're well on our way to 25. So, I do 708 00:30:39,760 --> 00:30:42,000 believe we can be caught up for the 709 00:30:42,000 --> 00:30:44,240 current year when it's due in March of 710 00:30:44,240 --> 00:30:47,039 2017. Yeah, kudos to you and your staff 711 00:30:47,039 --> 00:30:48,080 for that. That's 712 00:30:48,080 --> 00:30:49,200 >> my staff's been a big part of 713 00:30:49,200 --> 00:30:50,880 >> accomplishment and I know you've been 714 00:30:50,880 --> 00:30:52,240 laser [clears throat] focused on that 715 00:30:52,240 --> 00:30:54,159 since [laughter] you've gotten here. 716 00:30:54,159 --> 00:30:57,039 >> Thank you. I am going to quickly slip 717 00:30:57,039 --> 00:31:00,159 this in. This is kind of making a right 718 00:31:00,159 --> 00:31:02,000 turn, but we have an audit committee. 719 00:31:02,000 --> 00:31:04,320 It's not something that we had uh at the 720 00:31:04,320 --> 00:31:06,320 city of Chubik. It's really important. 721 00:31:06,320 --> 00:31:08,480 Doran actually at Deon wanted the city 722 00:31:08,480 --> 00:31:10,880 of Chvik to set one up. Uh what is the 723 00:31:10,880 --> 00:31:12,720 role of the audit committee? And and one 724 00:31:12,720 --> 00:31:14,159 of the reasons I want to slip it in is 725 00:31:14,159 --> 00:31:16,240 because during our final interview for 726 00:31:16,240 --> 00:31:19,919 fiscal year 24, Dorne thought or Deon 727 00:31:19,919 --> 00:31:21,600 and company thought Dorne's our auditor, 728 00:31:21,600 --> 00:31:23,600 I probably should say Deon and company 729 00:31:23,600 --> 00:31:25,440 suggested that we do some training and 730 00:31:25,440 --> 00:31:27,760 education on the role of the audit 731 00:31:27,760 --> 00:31:30,640 committee, especially on uh bullet 732 00:31:30,640 --> 00:31:32,480 number five, but audit committee, they 733 00:31:32,480 --> 00:31:34,240 they're financial reporting oversight. 734 00:31:34,240 --> 00:31:35,760 They're the ones that reviewed the 735 00:31:35,760 --> 00:31:37,760 financials and they accepted them. that 736 00:31:37,760 --> 00:31:39,519 the financials were actually accepted in 737 00:31:39,519 --> 00:31:41,760 May 26th, but there were some things 738 00:31:41,760 --> 00:31:43,440 change in my department and there are 739 00:31:43,440 --> 00:31:44,880 some things happen with the financials 740 00:31:44,880 --> 00:31:46,559 that we had a little bit of cleanup to 741 00:31:46,559 --> 00:31:49,039 do. So, that took us about 55 days to 742 00:31:49,039 --> 00:31:50,640 get that through and get her done. 743 00:31:50,640 --> 00:31:52,880 Oversight of the external audit, they 744 00:31:52,880 --> 00:31:54,960 take care of what's happening with Deon. 745 00:31:54,960 --> 00:31:57,279 Internal control oversight, risk 746 00:31:57,279 --> 00:31:59,440 management oversight. I'm going to skip 747 00:31:59,440 --> 00:32:01,200 that ethics one because I'd like to just 748 00:32:01,200 --> 00:32:02,720 point it out at the end. Monitoring, 749 00:32:02,720 --> 00:32:04,240 corrective actions, and communications 750 00:32:04,240 --> 00:32:05,840 with the governing body. And there are 751 00:32:05,840 --> 00:32:08,000 two council members on that audit 752 00:32:08,000 --> 00:32:09,840 committee. Council member Mangum and 753 00:32:09,840 --> 00:32:11,679 council member Swanson are both on 754 00:32:11,679 --> 00:32:15,200 there. So, but pointing out ethics and 755 00:32:15,200 --> 00:32:17,760 fraud. So, if there's something going on 756 00:32:17,760 --> 00:32:20,880 at the city that you thought that's not 757 00:32:20,880 --> 00:32:25,519 right or could even be maybe fraud or 758 00:32:25,519 --> 00:32:26,880 you're like, "Where did all that money 759 00:32:26,880 --> 00:32:29,679 go?" and you're uncomfortable in either 760 00:32:29,679 --> 00:32:31,360 talking to your supervisor, which is 761 00:32:31,360 --> 00:32:33,200 regular chain of command, that's what we 762 00:32:33,200 --> 00:32:37,360 usually do, or um 763 00:32:37,360 --> 00:32:40,880 there's another way for you to uh get 764 00:32:40,880 --> 00:32:43,679 your concern taken care of, and that's 765 00:32:43,679 --> 00:32:45,679 the audit committee. You can tell the 766 00:32:45,679 --> 00:32:46,880 audit committee what you're thinking 767 00:32:46,880 --> 00:32:48,240 about, what you've seen, what you've 768 00:32:48,240 --> 00:32:50,559 heard, what's your concern, and they 769 00:32:50,559 --> 00:32:52,080 will, I know they will take it 770 00:32:52,080 --> 00:32:54,960 seriously, and they'll investigate it, 771 00:32:54,960 --> 00:32:56,720 report back. at the end it's going to 772 00:32:56,720 --> 00:32:59,760 come back to the mayor and you guys, but 773 00:32:59,760 --> 00:33:03,919 um and we need to get that word out 774 00:33:03,919 --> 00:33:05,760 so that it's one of our internal 775 00:33:05,760 --> 00:33:07,519 controls 776 00:33:07,519 --> 00:33:10,080 and we do have every once in a while and 777 00:33:10,080 --> 00:33:11,679 sometimes it's baseless, 778 00:33:11,679 --> 00:33:13,360 >> but we do have someone ask, well, 779 00:33:13,360 --> 00:33:14,960 where's the money go? 780 00:33:14,960 --> 00:33:16,240 >> You know, 781 00:33:16,240 --> 00:33:18,640 >> what about me members of the public that 782 00:33:18,640 --> 00:33:21,039 they're feeling that there's just some 783 00:33:21,039 --> 00:33:24,320 shenanigans going on? I I want there to 784 00:33:24,320 --> 00:33:27,440 be a someone to look into this. Is that 785 00:33:27,440 --> 00:33:29,360 going to the audit committee as well or 786 00:33:29,360 --> 00:33:31,039 is that more 787 00:33:31,039 --> 00:33:33,760 >> both internal and external folks? 788 00:33:33,760 --> 00:33:35,200 >> I'm sorry that I did not make that 789 00:33:35,200 --> 00:33:37,600 clear. In fact, 790 00:33:37,600 --> 00:33:39,519 um 791 00:33:39,519 --> 00:33:42,480 I would like to make sure that that we 792 00:33:42,480 --> 00:33:45,360 do enough education that our that our 793 00:33:45,360 --> 00:33:46,799 public know that 794 00:33:46,799 --> 00:33:48,480 >> and that they realize there's that 795 00:33:48,480 --> 00:33:51,840 avenue that they could take to report 796 00:33:51,840 --> 00:33:53,840 that. Yeah, the audit committee is huge 797 00:33:53,840 --> 00:33:56,960 and I think getting that word out as 798 00:33:56,960 --> 00:33:59,039 much as we can in that spirit of 799 00:33:59,039 --> 00:34:00,799 transparency. 800 00:34:00,799 --> 00:34:03,120 You know, you think something is going 801 00:34:03,120 --> 00:34:05,600 on that's, you know, that there there is 802 00:34:05,600 --> 00:34:08,720 a method that it will be looked into. 803 00:34:08,720 --> 00:34:10,560 You know, I think it's very critical to 804 00:34:10,560 --> 00:34:13,280 get that word out. 805 00:34:13,280 --> 00:34:17,679 Thank you. Okay. Key takeaways. Budget's 806 00:34:17,679 --> 00:34:19,839 planning. Budget reflects community 807 00:34:19,839 --> 00:34:23,040 priorities. Every dollar has a purpose. 808 00:34:23,040 --> 00:34:25,679 Financial stab sustainability requires 809 00:34:25,679 --> 00:34:28,079 discipline and that's one thing I would 810 00:34:28,079 --> 00:34:29,679 thank you guys for because I think you 811 00:34:29,679 --> 00:34:32,639 do have that and I appreciate it. 812 00:34:32,639 --> 00:34:34,639 Today's decision affect tomorrow's 813 00:34:34,639 --> 00:34:36,399 taxpayers. 814 00:34:36,399 --> 00:34:38,560 >> And back to the audit committee, Rich, 815 00:34:38,560 --> 00:34:40,960 did you say there there are external 816 00:34:40,960 --> 00:34:43,440 people that belong to that as well? 817 00:34:43,440 --> 00:34:44,079 >> Yes, there are 818 00:34:44,079 --> 00:34:46,720 >> internal and external folks that 819 00:34:46,720 --> 00:34:48,480 >> on the committee. Yep. 820 00:34:48,480 --> 00:34:50,079 >> Mhm. [snorts] 821 00:34:50,079 --> 00:34:50,560 And then 822 00:34:50,560 --> 00:34:51,919 >> there are two employees, there are two 823 00:34:51,919 --> 00:34:54,960 council members, and there is one uh 824 00:34:54,960 --> 00:34:58,880 he's a financial um provider in our 825 00:34:58,880 --> 00:35:01,760 town. So, he brings some real expertise. 826 00:35:01,760 --> 00:35:02,800 >> Yeah. 827 00:35:02,800 --> 00:35:04,320 >> For the financial part, but 828 00:35:04,320 --> 00:35:07,920 >> Okay. So, you you mentioned open.gov or 829 00:35:07,920 --> 00:35:10,560 kind of the bigger question that this is 830 00:35:10,560 --> 00:35:13,359 a a great broad level overview like if 831 00:35:13,359 --> 00:35:15,520 I'm a citizen now and I really want to 832 00:35:15,520 --> 00:35:17,839 dig into these numbers, where do I go? 833 00:35:17,839 --> 00:35:19,200 How do I do that? 834 00:35:19,200 --> 00:35:21,119 >> Well, and I'll have to apologize. I 835 00:35:21,119 --> 00:35:22,720 think in the last meeting I told you 836 00:35:22,720 --> 00:35:26,640 open gov was available and I since 837 00:35:26,640 --> 00:35:28,480 learned like about 5 minutes after that 838 00:35:28,480 --> 00:35:31,599 meeting that I was wrong that it's not. 839 00:35:31,599 --> 00:35:33,680 And so we're going to take care of that 840 00:35:33,680 --> 00:35:37,839 this week. and and my vision is that you 841 00:35:37,839 --> 00:35:42,160 would go to the city's website and under 842 00:35:42,160 --> 00:35:45,040 budgeting you would see a link to our 843 00:35:45,040 --> 00:35:47,359 open gov software and be able to go in 844 00:35:47,359 --> 00:35:51,280 and look. I do I think that's correct. 845 00:35:51,280 --> 00:35:54,800 Um but again that link is not there. I 846 00:35:54,800 --> 00:35:56,720 checked with it. I've checked with my 847 00:35:56,720 --> 00:36:01,040 staff and we've got to set that up. So, 848 00:36:01,040 --> 00:36:03,040 >> and we're looking hopefully by the end 849 00:36:03,040 --> 00:36:05,839 of the month to get that going. Yep. You 850 00:36:05,839 --> 00:36:06,480 know, 851 00:36:06,480 --> 00:36:08,320 >> I think that'd be generous. I want to 852 00:36:08,320 --> 00:36:09,760 have it done before then. So, 853 00:36:09,760 --> 00:36:10,800 >> yeah. Yeah. 854 00:36:10,800 --> 00:36:12,480 >> Yeah, for sure. 855 00:36:12,480 --> 00:36:15,760 >> What What does Open Gov do that our last 856 00:36:15,760 --> 00:36:18,240 system didn't do? Because Open Gov's 857 00:36:18,240 --> 00:36:20,480 less It's only about a year old. We've 858 00:36:20,480 --> 00:36:22,320 only had that for about a year, haven't 859 00:36:22,320 --> 00:36:22,960 we? 860 00:36:22,960 --> 00:36:24,640 >> It really the biggest thing is provide 861 00:36:24,640 --> 00:36:29,520 access, I think. um and maybe more 862 00:36:29,520 --> 00:36:31,680 trusted access. Although we're putting 863 00:36:31,680 --> 00:36:37,119 in the numbers, we're not we're not um 864 00:36:37,119 --> 00:36:39,280 we don't have a period of time between 865 00:36:39,280 --> 00:36:42,880 the request and delivery to look at it 866 00:36:42,880 --> 00:36:45,599 and massage it or change it, right? The 867 00:36:45,599 --> 00:36:46,880 numbers are there. They're right there. 868 00:36:46,880 --> 00:36:48,240 >> The numbers are matched. They can go in 869 00:36:48,240 --> 00:36:51,599 and look at them. So, I don't think 870 00:36:51,599 --> 00:36:53,839 anything untrustworthy was working, but 871 00:36:53,839 --> 00:36:56,640 I think that system allows the person to 872 00:36:56,640 --> 00:36:59,920 feel that it's more trustworthy, if that 873 00:36:59,920 --> 00:37:00,960 makes sense. 874 00:37:00,960 --> 00:37:01,440 >> Okay. 875 00:37:01,440 --> 00:37:03,040 >> I think that's the biggest thing. 876 00:37:03,040 --> 00:37:03,599 >> Great. 877 00:37:03,599 --> 00:37:05,119 >> They'll see the stories that were 878 00:37:05,119 --> 00:37:06,480 presented. They'll see the total 879 00:37:06,480 --> 00:37:10,079 budgets. Um, 880 00:37:10,079 --> 00:37:13,920 and they can see those now as static 881 00:37:13,920 --> 00:37:16,320 entries under 882 00:37:16,320 --> 00:37:19,359 like the council's packets. And they do 883 00:37:19,359 --> 00:37:23,200 look like they will look in open gov, 884 00:37:23,200 --> 00:37:26,000 but we want to get them live. 885 00:37:26,000 --> 00:37:28,320 >> Okay, great. 886 00:37:28,320 --> 00:37:33,280 Okay. Well, well, thank you. It's it's a tad awkward how we set this up 887 00:37:33,280 --> 00:37:35,520 because I know Rich is presenting to the 888 00:37:35,520 --> 00:37:38,160 council. Um, but the way this was set up 889 00:37:38,160 --> 00:37:40,560 was really to let the folks here know 890 00:37:40,560 --> 00:37:44,079 and members of the public. So, 891 00:37:44,079 --> 00:37:45,520 >> next time we'll have you flip around 892 00:37:45,520 --> 00:37:47,839 toward the audience. But um that that 893 00:37:47,839 --> 00:37:50,079 was the target. This was a 894 00:37:50,079 --> 00:37:52,160 >> more of learning for us too, but we 895 00:37:52,160 --> 00:37:54,079 wanted the members of the public to see 896 00:37:54,079 --> 00:37:55,280 this. 897 00:37:55,280 --> 00:37:57,200 >> I didn't realize I was so chatty. I they 898 00:37:57,200 --> 00:37:58,880 told me 30 minutes 899 00:37:58,880 --> 00:38:01,440 >> and I thought I'd take 20 and look, I 900 00:38:01,440 --> 00:38:02,480 doubled that. 901 00:38:02,480 --> 00:38:04,160 >> We could have told you it was going to 902 00:38:04,160 --> 00:38:05,200 go longer. [laughter] 903 00:38:05,200 --> 00:38:07,520 >> Yeah. Always does. 904 00:38:07,520 --> 00:38:08,000 >> Thank you. 905 00:38:08,000 --> 00:38:08,960 >> Okay. Thank you, Rich. 906 00:38:08,960 --> 00:38:11,040 >> Thanks, Rich. 907 00:38:11,040 --> 00:38:14,160 >> Okay. At this time, we will accept some 908 00:38:14,160 --> 00:38:17,119 comments from the audience. We didn't 909 00:38:17,119 --> 00:38:19,280 have anyone sign in at the start of the 910 00:38:19,280 --> 00:38:22,079 meeting, but the sign-in sheet is at the 911 00:38:22,079 --> 00:38:24,480 podium. And so, if you'd like three 912 00:38:24,480 --> 00:38:26,880 minutes to speak on any topic that's on 913 00:38:26,880 --> 00:38:29,839 your mind, we welcome that. Um, I do 914 00:38:29,839 --> 00:38:32,160 need to remind everyone that regarding 915 00:38:32,160 --> 00:38:36,160 the the appeal and the appeal for the uh 916 00:38:36,160 --> 00:38:38,400 hearing examiner for that conditional 917 00:38:38,400 --> 00:38:41,440 use permit for the data center, there's 918 00:38:41,440 --> 00:38:43,760 a good chance that that's going to be 919 00:38:43,760 --> 00:38:47,200 appealed by the applicant. And so where 920 00:38:47,200 --> 00:38:50,240 it's an ongoing and the the council is 921 00:38:50,240 --> 00:38:53,760 on under exparte, it's an exparte or 922 00:38:53,760 --> 00:38:57,599 quas judicial matter, I should say. that 923 00:38:57,599 --> 00:38:59,839 same rules govern that before where 924 00:38:59,839 --> 00:39:02,000 we're still probably in that appeal 925 00:39:02,000 --> 00:39:04,400 process. It's kind of like what I told 926 00:39:04,400 --> 00:39:06,640 the public at council meeting last 927 00:39:06,640 --> 00:39:08,960 Thursday night that if your your 928 00:39:08,960 --> 00:39:11,280 comments pertain to something about that 929 00:39:11,280 --> 00:39:14,160 appeal that uh we're not able to take 930 00:39:14,160 --> 00:39:16,160 comments or hear comments like that 931 00:39:16,160 --> 00:39:18,720 tonight, but any other subject is wide 932 00:39:18,720 --> 00:39:21,520 open. And at this time, I'd invite you 933 00:39:21,520 --> 00:39:23,280 to come to the podium if you'd like and 934 00:39:23,280 --> 00:39:39,632 sign in. Hear what you got. 935 00:39:39,642 --> 00:39:45,527 » [snorts] 936 00:39:45,537 --> 00:40:06,390 [clears throat] 937 00:40:06,400 --> 00:40:09,760 » Lydia Noble from Pocutello. I have three 938 00:40:09,760 --> 00:40:11,920 things that I think um I would just like 939 00:40:11,920 --> 00:40:14,400 the council to consider and I appreciate 940 00:40:14,400 --> 00:40:16,880 your service and I'm glad that all of 941 00:40:16,880 --> 00:40:18,640 you are doing it because it is a lot of 942 00:40:18,640 --> 00:40:20,079 work and I want you to know that I 943 00:40:20,079 --> 00:40:24,880 appreciate what you do. Um, first one is 944 00:40:24,880 --> 00:40:27,359 I think that there's there are some 945 00:40:27,359 --> 00:40:30,320 things that can be done that may not 946 00:40:30,320 --> 00:40:33,040 maybe should be done. Just because it 947 00:40:33,040 --> 00:40:35,440 can be done, maybe it shouldn't be being 948 00:40:35,440 --> 00:40:37,040 done. And that has to do with the 949 00:40:37,040 --> 00:40:39,359 interest. The fact that the interest 950 00:40:39,359 --> 00:40:41,599 from most of the city departments seems 951 00:40:41,599 --> 00:40:44,640 to be being swept into the general fund. 952 00:40:44,640 --> 00:40:47,200 Whereas in other places, it's more that 953 00:40:47,200 --> 00:40:49,920 those interest incomes are kept within 954 00:40:49,920 --> 00:40:52,320 funds or departments so that those 955 00:40:52,320 --> 00:40:54,400 departments have their own source of 956 00:40:54,400 --> 00:40:56,960 income, source of revenue. So I know 957 00:40:56,960 --> 00:40:58,880 this is not something that can be fixed 958 00:40:58,880 --> 00:41:01,599 overnight. It's taken years to get here. 959 00:41:01,599 --> 00:41:03,280 So it's just something I want you to 960 00:41:03,280 --> 00:41:04,880 consider that as a member of the public 961 00:41:04,880 --> 00:41:07,200 who has some financial background, I 962 00:41:07,200 --> 00:41:09,440 would like to see us get back to that. 963 00:41:09,440 --> 00:41:12,720 The next thing is the right of way. I 964 00:41:12,720 --> 00:41:15,520 recently put in a public record request 965 00:41:15,520 --> 00:41:18,960 to try to understand if the city has any 966 00:41:18,960 --> 00:41:23,119 logical breakdown of how the row charges 967 00:41:23,119 --> 00:41:25,280 that are buried into the budgets for the 968 00:41:25,280 --> 00:41:27,680 enterprise departments water sanitation 969 00:41:27,680 --> 00:41:33,599 WPC those kinds of things if there's a method to how those charges 970 00:41:33,599 --> 00:41:36,240 are determined the answer I got was the 971 00:41:36,240 --> 00:41:38,480 raftellis 972 00:41:38,480 --> 00:41:41,520 rate study that we do every five years 973 00:41:41,520 --> 00:41:44,720 I'm Not sure that's exactly correct. So 974 00:41:44,720 --> 00:41:46,480 that brings me back to the initial 975 00:41:46,480 --> 00:41:48,960 question. How are the row charges 976 00:41:48,960 --> 00:41:50,880 determined? What is the methodology? 977 00:41:50,880 --> 00:41:53,200 Because I believe Raphelis may just be 978 00:41:53,200 --> 00:41:56,640 given that as part of the budget. So if 979 00:41:56,640 --> 00:41:58,640 they're already given that, of course, 980 00:41:58,640 --> 00:42:00,000 they're going to build the rate study 981 00:42:00,000 --> 00:42:01,839 with th those numbers built into the 982 00:42:01,839 --> 00:42:04,160 budget like they would build a budget, 983 00:42:04,160 --> 00:42:07,200 you know, with salary information in it. 984 00:42:07,200 --> 00:42:10,560 So my concern is in other cities, two 985 00:42:10,560 --> 00:42:12,720 other cities, Lewon and Moscow have 986 00:42:12,720 --> 00:42:15,680 already removed those kinds of charges 987 00:42:15,680 --> 00:42:18,240 because they have been viewed as an 988 00:42:18,240 --> 00:42:21,599 unconstitutional additional tax because 989 00:42:21,599 --> 00:42:23,839 sanitation, water, you know, these 990 00:42:23,839 --> 00:42:25,680 enterprise departments, they have 991 00:42:25,680 --> 00:42:27,119 nothing to do with street maintenance 992 00:42:27,119 --> 00:42:29,920 and the public already pays taxes, 993 00:42:29,920 --> 00:42:32,960 levies, county taxes, state taxes for 994 00:42:32,960 --> 00:42:34,960 the maintenance of our roads. So by 995 00:42:34,960 --> 00:42:36,640 burying it in the budget of the 996 00:42:36,640 --> 00:42:38,560 enterprise departments, I believe we 997 00:42:38,560 --> 00:42:42,160 could be artificially inflating our fees 998 00:42:42,160 --> 00:42:44,960 that we pay for city services. So I'd 999 00:42:44,960 --> 00:42:46,800 like to see us get back to maybe not 1000 00:42:46,800 --> 00:42:48,720 doing that. It may take a few years to 1001 00:42:48,720 --> 00:42:51,119 get back to that. I understand, but I 1002 00:42:51,119 --> 00:42:53,040 just think it's not a good practice. And 1003 00:42:53,040 --> 00:42:54,800 just because we can do it, I don't think 1004 00:42:54,800 --> 00:42:56,880 we maybe should be doing it. Two other 1005 00:42:56,880 --> 00:42:58,480 cities have removed it. 1006 00:42:58,480 --> 00:43:00,319 >> And the last thing that I had, and I'm 1007 00:43:00,319 --> 00:43:00,880 running out of time, 1008 00:43:00,880 --> 00:43:02,640 >> I don't mind you going an extra minute. 1009 00:43:02,640 --> 00:43:04,000 There's not 1010 00:43:04,000 --> 00:43:06,240 >> and this last one is easy. 1011 00:43:06,240 --> 00:43:07,839 >> I've been watching the growth of the 1012 00:43:07,839 --> 00:43:09,520 city budget, but again, I'm looking at 1013 00:43:09,520 --> 00:43:11,520 total numbers and I know a lot of that 1014 00:43:11,520 --> 00:43:14,800 sometimes has the grants buried into it. 1015 00:43:14,800 --> 00:43:16,720 So, there's no easy way because the 1016 00:43:16,720 --> 00:43:18,079 city's never been really good about 1017 00:43:18,079 --> 00:43:19,920 advertising how much of that portion 1018 00:43:19,920 --> 00:43:22,000 comes out because it's simply the grants 1019 00:43:22,000 --> 00:43:23,760 that the city received that need to be 1020 00:43:23,760 --> 00:43:25,440 spent over one year, two years, five 1021 00:43:25,440 --> 00:43:27,920 years, whatever. But I would like to see 1022 00:43:27,920 --> 00:43:30,400 a comparison over let's say the last 1023 00:43:30,400 --> 00:43:33,200 decade of how the budget has grown, the 1024 00:43:33,200 --> 00:43:36,000 base budget, the budget that is the base 1025 00:43:36,000 --> 00:43:38,640 of the city over a 10-year period. I 1026 00:43:38,640 --> 00:43:41,119 would love to see a graphic of that or 1027 00:43:41,119 --> 00:43:42,560 something to that effect because that 1028 00:43:42,560 --> 00:43:44,480 would help the public understand the 1029 00:43:44,480 --> 00:43:46,160 budget isn't growing exponentially, 1030 00:43:46,160 --> 00:43:47,760 which is what I'm seeing when I'm 1031 00:43:47,760 --> 00:43:49,119 looking at it when the grants and 1032 00:43:49,119 --> 00:43:51,680 everything are put into it, but just how 1033 00:43:51,680 --> 00:43:53,359 we've been growing our budget. 1034 00:43:53,359 --> 00:43:56,160 >> Yeah. because the city the city itself 1035 00:43:56,160 --> 00:43:59,359 isn't growing by population that much. 1036 00:43:59,359 --> 00:44:01,280 So that's my concern that we need to 1037 00:44:01,280 --> 00:44:03,359 start looking at that type of a thing. 1038 00:44:03,359 --> 00:44:05,200 I've talked to other cities that have 1039 00:44:05,200 --> 00:44:07,680 told me, two other cities have told me 1040 00:44:07,680 --> 00:44:10,079 that they base the number of city 1041 00:44:10,079 --> 00:44:13,599 full-time positions on their population. 1042 00:44:13,599 --> 00:44:15,920 And they have between four and five city 1043 00:44:15,920 --> 00:44:19,200 employees for every 1,000 population 1044 00:44:19,200 --> 00:44:21,680 size. So, if they have an explosion in 1045 00:44:21,680 --> 00:44:24,640 population, that helps them to justify 1046 00:44:24,640 --> 00:44:27,119 additional full-time and I ask them, 1047 00:44:27,119 --> 00:44:28,880 "What do you do when your city isn't 1048 00:44:28,880 --> 00:44:30,800 growing and yet you see something 1049 00:44:30,800 --> 00:44:33,119 unusual come up as far as workload?" 1050 00:44:33,119 --> 00:44:35,119 They handle it with part-time workers is 1051 00:44:35,119 --> 00:44:36,640 what both cities told me. And that was 1052 00:44:36,640 --> 00:44:38,800 Twin Falls and Caldwell, I believe, that 1053 00:44:38,800 --> 00:44:40,640 I spoke with. So, I'm just giving you 1054 00:44:40,640 --> 00:44:42,319 that as it's something to to think 1055 00:44:42,319 --> 00:44:43,359 about. 1056 00:44:43,359 --> 00:44:43,920 >> Okay. 1057 00:44:43,920 --> 00:44:45,520 >> All right. Thank you. 1058 00:44:45,520 --> 00:44:47,760 >> Thank you. And I'll allow an opportunity 1059 00:44:47,760 --> 00:44:49,839 for council to whatever comments you 1060 00:44:49,839 --> 00:44:52,240 have. Like one quick one I have Lydia 1061 00:44:52,240 --> 00:44:54,079 is, you know, I understand what you're 1062 00:44:54,079 --> 00:44:56,160 saying. Duly noted about that interest. 1063 00:44:56,160 --> 00:44:57,760 Like we have all of our funds and 1064 00:44:57,760 --> 00:45:00,079 they're accumulating interest and it's 1065 00:45:00,079 --> 00:45:02,480 been practice to put that in the general 1066 00:45:02,480 --> 00:45:05,599 fund. Um you're right. It's a hard thing 1067 00:45:05,599 --> 00:45:08,160 to resolve overnight. You know, one 1068 00:45:08,160 --> 00:45:10,079 thing you probably know about this, but 1069 00:45:10,079 --> 00:45:12,240 with the street department this year, 1070 00:45:12,240 --> 00:45:15,200 like incremental step number one, that 1071 00:45:15,200 --> 00:45:17,760 we we did transfer that out of the 1072 00:45:17,760 --> 00:45:20,000 general fund and into the street 1073 00:45:20,000 --> 00:45:22,000 >> fund. And that that was part of the way 1074 00:45:22,000 --> 00:45:25,359 we were able to overcome that $1.3 1075 00:45:25,359 --> 00:45:30,960 million shortfall from the state. So, so hear what you're saying. I agree 1076 00:45:30,960 --> 00:45:34,560 that it's a a longer process and we we 1077 00:45:34,560 --> 00:45:37,440 we've talked much um you know with 1078 00:45:37,440 --> 00:45:39,680 finance staff and amongst ourselves on 1079 00:45:39,680 --> 00:45:41,040 what we can do to 1080 00:45:41,040 --> 00:45:44,960 >> to chip away at that and um you know and 1081 00:45:44,960 --> 00:45:46,960 then the rate study on the the 1082 00:45:46,960 --> 00:45:52,319 enterprise funds for the utilities. I I think that makes sense. Let's get some 1083 00:45:52,319 --> 00:45:55,680 logistics there. and um it got what 1084 00:45:55,680 --> 00:45:57,280 you're saying about take the grant 1085 00:45:57,280 --> 00:45:59,520 portion out too cuz sometimes that does 1086 00:45:59,520 --> 00:46:02,480 artificially inflate. Yeah. 1087 00:46:02,480 --> 00:46:04,480 >> So that those are my quick comments. 1088 00:46:04,480 --> 00:46:07,359 Just be happy if you you all have any 1089 00:46:07,359 --> 00:46:09,839 more. 1090 00:46:09,839 --> 00:46:10,319 >> Thank you. 1091 00:46:10,319 --> 00:46:11,520 >> So thank you. 1092 00:46:11,520 --> 00:46:14,079 >> Thank you. 1093 00:46:14,079 --> 00:46:16,960 >> All right. Be be happy to hear from some 1094 00:46:16,960 --> 00:46:21,910 others out there. 1095 00:46:21,920 --> 00:46:23,599 Otherwise, this might be the shortest 1096 00:46:23,599 --> 00:46:28,790 town hall meeting in history. [laughter] 1097 00:46:28,800 --> 00:46:31,200 » Yeah. 1098 00:46:31,200 --> 00:46:33,119 >> Okay. Well, appreciate you all being 1099 00:46:33,119 --> 00:46:35,280 here. Hopefully, you'll learn some 1100 00:46:35,280 --> 00:46:38,240 basics about budget formation and how we 1101 00:46:38,240 --> 00:46:42,079 put that all together. Um, we all have 1102 00:46:42,079 --> 00:46:44,640 email addresses. Our email addresses are 1103 00:46:44,640 --> 00:46:47,040 on the city's website. Mine is 1104 00:46:47,040 --> 00:46:49,680 mayorpocatello.gov. 1105 00:46:49,680 --> 00:46:52,319 I believe there's a council at 1106 00:46:52,319 --> 00:46:57,040 pocatello.gov that reaches everyone. So, 1107 00:46:57,040 --> 00:46:59,440 um, always happy to chat. Um, if you 1108 00:46:59,440 --> 00:47:02,240 want to talk with the mayor one on one, 1109 00:47:02,240 --> 00:47:05,680 I do accept appointments and I can get a 1110 00:47:05,680 --> 00:47:07,760 half hour. You may have to wait for two 1111 00:47:07,760 --> 00:47:11,280 or 3 weeks or so to get in, but um, just 1112 00:47:11,280 --> 00:47:14,240 know that we're all contactable and 1113 00:47:14,240 --> 00:47:18,000 please feel free to reach out. 1114 00:47:18,000 --> 00:47:20,560 Okay. And with that uh thank you and we 1115 00:47:20,560 --> 00:47:24,760 are adjourned for the evening.