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Minutes 2013-05-20 SPSPECIAL OF THE CITY COUNCIL N DAY, MAY 20 . ARROYO GRANDE, CALIFORNIA 1. CALL TO ORDER Mayor Ferrara called the Special Meeting of the City Council to order at 6:00 p.m. 2. ROLL CALL Mayor Tony Ferrara, Council Member Joe Costello, Council Member Jim Guthrie, Council Member Caren Ray, and Council Member Tim Brown were present. Staff members present were City Manager Steven Adams, Chief of Police Steve Annibali, Director of Legislative and Information Services /City Clerk Kelly Wetmore, Community Development Director Teresa McClish, Recreation Services Director John Rogers, Administrative Services Director Debbie Malicoat, Accounting Supervisor Ryan Cornell, and Information Technology Manager Walt Cuzick. 3. FLAG SALUTE Mayor Ferrara led the Pledge of Allegiance. 4. CITIZENS' INPUT. COMMENTS, AND SUGGESTIONS There were no public comments. 5. NEW BUSINESS 5.a. Consideration of Preliminary FY 2013 -14 /FY 2014 -15 Biennial Budget. City Manager Adams introduced Accounting Supervisor Cornell and acknowledged and thanked him for the tremendous amount of work that he put into preparing the preliminary budget. Accounting Supervisor Cornell presented a summary of the Preliminary Budget for FY 2013 -14 and 2014 -15 including General Fund revenue and expenditure projections, and Sewer and Water Fund revenue and expenditure projections. City Manager Adams presented an overview of General Fund budget shortfalls; Budget Goals; the Affordable Health Care Act; Capital Improvement Program projects; and the Long Range Financial Plan. Council questions and discussion ensued regarding unfunded liabilities; the Water Neutralization Fund; sidewalk repair; worker's compensation costs; General Fund reserves; discontinuing Quarterly Budget Reports and continuing with the Mid Year Budget Status Report and Year -End Budget Adjustment Report; clarification regarding projected increases in the Transient. Occupancy Tax (TOT) Fund; Assessment District fund balances; clarification regarding reduced costs reflected in the Recreation Services Soto Sports Complex Maintenance account; Fire Protection Impact Fees as it relates to an increase in development projects; and clarification regarding the PEG Fund, COPS Fund, Sales and Use Tax Fund, Police range special City Council Meeting Minutes May 20, 2013 Page 2 improvements, and the vehicle fleet leasing program. Following further discussion, Council directed staff to increase the sidewalk repair line item to $80,000 in FY 14 -15, and to prepare a Sidewalk Repair Management Plan. Mayor Ferrara invited public comment. No public comments were received. No formal action was taken. 6. ADJOURNMENT Mayor Ferrara adjourned the Special Meeting at 7:40 p.m.