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10-11-08 BWS Minutes BUDGET WORK SESSION SATURDAY, OCTOBER 11, 2008, 9:00 AM. Mayor Harding called the meeting to order at 9:05 am. Present: Don Miller, Bob Isom, Mike McGowan, Pat Fetterly, John Thompson, Russ Hendrickson. Staff: Shelly Badger, Tanya Robacker, Janine Schnepf. Mayor Harding started the meeting with an update on the JZ Knight Hearing judgment. Water will be available at building permit stage and final plat. Presentation; Tanya Robacker provided the General Fund Revenue and Expense Overview for 2007 and 2008 and the Budget forecast for the remainder of 2008 and the 2009-2010 budget year. Three members of the Council: Councilmember Isom, Councilmember Thompson and Councilmember Fetterly participated in the Finance Committee Budget Work Sessions for presentation and review today. Based on past year's history projections and the current economic downturn, affecting tax revenue and new building starts, the 2008 revenue in the General Fund is coming in under the projections. This will affect the 2008 year end carryover cash and the future revenue in the 2009-2010 biennial budget. Subsequently expenses must be cut including; any subjective expenses, equipment purchases that can wait and no new capital requests. Departments will be asked to cut expenses throughout the year and improve efficiency with no increases to Operation and Maintenance. Other recommendations included a reduction to the Lobbyist efforts in the Legislature for the Loop project and revisiting the total expense to Thurston Regional Planning Council. Accumulated Reserves will be depleted to meet current needs. Department Heads, City Administrator, Finance Director and Council are asked to find other areas to cut expenses as State, Counties and Cities nationwide are cutting back. Councilmembers inquired about transfer loans from other Funds. This 2009-2010 biennial budget will be revisited in September 2009 as City of Yelm moves forward cautiously with a scaled back budget. Terms of the budget hope to maintain current levels of service through 2010 with no cuts to staffing while maintaining salary and community contracts. The next Budget Work Session for Council will be Tuesday, October 28, 2008 at 5 pm prior to the Regular Council meeting. The Saturday, October 18, 2008 Budget meeting was cancelled. Adjourn: 12.30 pm ,---7 - r" ~#on ar , M yor Cit of Yelm Attest; G~~ Janine hnepf, City Clerk j s/h/council/08-27-08.doc