Min - City Council - 1986 - 06/28 - WorkshopALLEN CITY COUNCIL
CALLED - SPECIAL WORKSHOP SESSION
JUNE 28, 1986
Present:
Donald P. Rodenbaugh, Mayor
Council Members:
Joe Farmer, Mayor Pro Tem
Rex Womack
Jim Wolfe
Jim Pendleton
Absent:
Jerry Wilson
Jack Pennington
City Staff:
Jon McCarty, City Manager
Marty Hendrix, City Secretary
Charlotte Smith, Finance Director
Michael Stanger, Administrative Assistant to City Manager
The called - special budget workshop session was called
to order by Mayor Rodenbaugh at 9:23 a.m. on Saturday, June 28,
1986, in the Council Chambers of the Allen Municipal Annex,
One Butler Circle, Allen, Texas.
Budget Workshop
(Agenda Item II)
City Manager Jon McCarty provided background information
to the Council on the preparation of the city's budget in
accordance with state law and the city charter. He also
advised of the budget preparation process by city staff of
the materials that will be reviewed by the Council at this
meeting. The handout materials that had been provided to
the Council was reviewed by City Manager McCarty, using
overhead transparencies. The handout budget booklet contained
information on the 1986 bond sale; the capital improvement program
and bond program summary by year; key issues of the budget
for FY 1986 - 87; estimated FY 85 - 86 revenues compared to
FY 85 - 86 budgeted revenues in the general fund and water and
sewer revenue fund; projected FY 86 - 87 revenues compared to
FY 85 - 86 estimated revenues in the general fund and the
water and sewer revenue fund; FY 85 - 86 estimated expenditures
compared to budgeted expenditures; FY 86 - 87 projected budget
summary by department; general fund balance as percentage of
operation budget; five year tax rate distribution; status of
city's bonds; debt service requirements for FY B6 - 87; and
the five-year personnel and capital outlay projections per
department.
City Manager McCarty reviewed with the Council the portion
of the handout materials regarding the five-year personnel and
capital outlay projections per department and pointed out how
the departments will grow in the next five years.
Mr. McCarty then reviewed the key issues of the budget
with the Council. Those items being initiation and completion
of bond program projects, assessed value and tax rate, cash
reserves, water and sewer rates/developer impact fees, update
of comprehensive plan, additional personnel/new programs,
computerization, and pay plan/merit program.
ALLEN CITY COUNCIL
JUNE 28, 1986
Page 2
Budget Workshop (cont'd) (Agenda Item II)
The Council discussed with city staff various aspects
of the key issues in the budget. Areas of discussion included
city staff obtaining information on the number of adjustments
that have been made in the tax role for this year and the
last three or four years to see how it has effected the total
amount of estimated tax role, the increase that has been made
in the amount of fund balance for FY 85 - 86 as compared to
previous years, the amount of money really needed in the fund
balance for the city to feel comfortable, placing a time factor
on city staff as to when the $1,000,000 fund balance can be
achieved by the city, problems that other metroplex cities
are having with their revenues and the effects it has has on
their programs/services/salaries, if the City of Allen will
develop a contingency plan if such a short fall in revenues
was to occur here, the amount of water and sewer rate increase
anticipated by the city, and the amount of increase projected
in the developer impact fees. It was suggested by the Council
that other cities be surveyed as to the amount of developer
impact fees that they charge for a comparison.
Mr. McCarty explained to the Council about the need to
update the Comprehensive Plan and advised of work in that area
that would be presented later in the meeting. He also reviewed
the status of the computerization for FY 85 - 86, advised of some
proposed new personnel positions, and advised of plans for the
salary pay plan and of some benefit programs for employees.
There was further discussion by the Council with city staff
on the sales tax revenue and how it would be coming in under
the estimated amount budgeted for FY 85 - 86, how the developer
impact fees are used in the bond coverage factor by the city, getting
data collected from other cities on the percentage of total
budget that various departments represent for comparison with
the city's, and also provide comparison information on other
cities operating budgets and personnel.
Mr. McCarty distributed a schedule of new programs and
personnel for FY 86 - 87 and briefly reviewed it with the
City Council. The Council discussed with city staff the
need to develop an information process whereby the imple-
mentation of new programs and services is reported to the
Council, when new programs or services have to be delayed,
and what impact it has on the budget. It was pointed out
that this has not been done in the pass and needs to be
improved upon.
Mr. McCarty then reviewed the tax rate distribution
and the Council discussed what type of relationship there
should be between the amount of debt service compared to
the amount of the general fund.
The City Manager and the City Council then reviewed
the bond statistics and reviewed the debt service requirements
facing the city.
Mayor Rodenbaugh recessed the called - special workshop
session at 11:37 a.m. The meeting reconvened at 11:54 a.m.
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