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07-22-09 SS Minutes YELM CITY COUNCIL. STUDY SESSION MINUTES WEDNESDAY, JULY 22, 2009 5:00 P.M. Mayor Ron Harding called the meeting to order at 5.05 pm. Present: Councilmembers John Thompson, Bob Isom, Russ Hendrickson and Mike McGowan. Staff; Shelly Badger, City Administrator, Sue Davis, Finance Director and Grant Beck, Community Development Director, and Lori Mossman, Deputy City Clerk. Councilmembers Joe Baker, Don Miller and Pat Fetterly were excused. Presentations: Finance Director, Sue Davis, distributed budget review handouts for the first half of 2009 of the general fund. Sue also presented a power point to council showing the revenues, expenditures and liabilities for this fund as of June 30, 2009. Discussion was held on ways to reduce expense for the 2009-2010 Budget and increase revenues to achieve the 2010 beginning fund balance target of $1,025,000. Personnel cuts already made would decrease the 2009 budget expenditures by $191,934.08. These six positions cut included one from the Police Department, two from Community Development, one from the Executive Department and two positions from Public Works. These employees were notified on July 21 and will be employed through September 30, 2009. All City Staff had been informed of the lay offs after the six employees had been notified. The department heads and staff made every effort to avoid these measures but were left with no other options. Due to the recent reduction in city staff, the current employees positions may be restructured to include of the duties of the laid off employees. Other cuts to help balance the General Fund budget included changes to the contracts with Thurston Regional Planning and the Care & Custody of Prisoners. One proposed revenue increase for the 2010 budget would be to increase the Utility Business & Occupation Tax from the current 4% to 6%. Discussion was held regarding the impact this would have on these utilities and the city residents. Staff was instructed to draft an ordinance with the increase from 4% to 6% and present it at the first council meeting in August. MayorlCouncil Initiatives. Councilmember Mike McGowan expressed concerns on the up coming proposed change to the Yelm Municipal Code 9.68 relating to the Park Rules. Councilmember John Thompson would like to set a meeting with Governor Chris Gregoire regarding the Department of Ecology and the water rights issue. Also, he asked about the status of the Regional Fire Authority (RFA). Councilmember Russ Hendrickson would like to see the house across from the High School cleaned up. Grant Beck, Community Development Director, stated that Gary Carlson, Yelm Building Inspector, had been in contact with the property owner. Adjourn: 7:25 pm f Attest U III on H ,Mayor of Ye Lori Mossman, Deputy City Clerk h/council/0~-27-09