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Minutes 2003-05-29 SP MINUTES SPECIAL MEETING OF THE CITY COUNCIUREDEVELOPMENT AGENCY THURSDAY, MAY 29, 2003 COUNCIL CHAMBERS, 215 EAST BRANCH STREET ARROYO GRANDE, CAUFORNIA CALL TO QRDER The City CounciVRedevelopment Agency qf the City of Arroyo Grande met in special session at 6:30 p.m. to consider the Fiscal Year 2003-04 and 2004-05 Preliminary Bi- Annual Budget, with Mayor/Chair Tony M. Ferrara presiding. ROLL CALb I Mayor/Chair Ferrara, Mayor Pro TemNice-Chair Dickens, CounciVBoard Member Runels, CounciVBoard Member Lubin, and CounciVBoard Member Costello were present. Staff members present were City Manager Adams, Chief of Police TerBorch, Director of Administrative Services Wetmore, Director of Building and Fire Fibich, Public Works Director Spagnolo, Parks, Recreation, and Facilities Director Hemandez, Community Development Director Strong, and Financial Services Director Snodgrass. FLAG SALUTE Mayor/Chair Ferrara led the Pledge of Allegiance. 4. CITIZ~N~ INPUT. COMMENTS. ANp SUGGE~TIQ..N.s None. ON IDERATI N FFY2 PR I Y . City Manager Adams presented the proposed FY 2003-04 and FY 2004-05 inary Bi-Annual Budget to the City CounciVRDA Board Members. Staff recommended the Council review, discuss, and obtain public input on the preliminary budget and provide direction to staff on any changes. City Manager Adams provided an outline of staff's budget presentations which would include a summary of revenue and expenditure projections, an overview of budget strategies and recommendations; an overview of departmental key goals and accomplishments; and an overview of the Capital Improvement Program. I Financial Services Director Snodgrass presented a summary of revenue and expenditure projections; reviewed General Fund Revenues & Appropriations; and presented proposed revisions to the City's Fiscal Policy. City Manager Adams gave an overview of budget strategies and recommendations; presented budget goals; reviewed other service level changes; reviewed previously approved and proposed future cost control measures; and highlighted suggested revenue increases. ---- - ..------- ------- ------------.------ SPECIAL CITY COUNCIUREDEVELOPMENT AGENCY MEETING MINUTES MAY 29, 2003 PAGE 2 City Manager Adams and Directors of the Administrative Services, Financial Services, Community Development, Police, Building & Fire, Parks, Recreation & Facilities, and Public Works highlighted FY 2002-03 Department Accomplishments and FY 2003-04 and FY 2004-05 Department Goals. Director of Public Works Spagnolo gave an overview of the City's FY 2003-08 Capitql Improvement Program (CIP). He stated that for' FY 2003-04 and 2004-05, there are 35 capital projects budgeted totaling $10,714,044. He gave a brief overview of FY 2003-04 CIP Proposed Funding Sources, FY 2003-04 CIP Expenditures by Project Type; an overview of the five-year funding plan for pavement management and street improvement projects; an overview of the funding plan for the Reservoir No. 1 replacement project; an overview of the major projects for FY 2003-04 & 2004-05; and projects that may be funded by future grant funding. Mayor/Chair Ferrara invited comments from those in the audience who wished to address the Council regarding the preliminary budget. Mike Bvrd, Arroyo Grande resident, expressed concern regarding the elimination of economic development efforts and the potential impacts to the business community. He suggested that the elimination of the full-time position be reconsidered and spoke of the importance of an ongoing, vigorous economic development program. Hearing no further public comments, Mayor/Chair Ferrara closed the floor to public comments. Council/Board Member discussion and questions of staff ensued regarding proposed amendments to the City's Fiscal Policy and support for increasing the City's General Fund Reserves to 20% of Appropriations; support for creating Sewer and Water Fund Reserve accounts; support for the City's proposed Work Program; support for funding the third Fire Engineer position; the financial status of the Redevelopment Agency; support for continuation of economic development programs and focusing efforts on small businesses; support for the establishment and implementation of a citywide vehicle replacement fund; acknowledgment of the City's decrease in debt service; and the City's travel and training costs. The City Council supported the Preliminary FY 2003-04 & FY 2004-05 Bi-Annual Budget as presented. There was no formal action taken on this item. 6. ADJOURNMENT Mayor/Chair Ferrara adjourned the Special Meeting at 8:45 p.m. to the next Regular Meeting on Tuesday, June 10, 2003 at 7:00 p.m. SPECIAL CITY COUNCIUREDEVELOPMENT AGENCY MEETING MINUTES MAY 29, 2003 PAGE 3 -- TOnY~~ ATTEST: ~P- Kelly W m e, Director of Administrative Services/ Deputy City Clerk/Agency Secretary