HomeMy WebLinkAbout11/30/1993 Adjourned Meeting 4 7
CITY OF. r WASHINGTON
NOVEMBER 30, 1993
ADJOURNED MEETING - BUDGET REVIEW
The City Council met in session on this date at 9:15 A. M. in
the Council Chambers at Yakima City Hall, Yakima, Washington.
Council members present were Mayor Pat Berndt presiding,
Clarence Barnett, Henry Beauchamp, Bill Brado, and Lynn
Buchanan (present after 9:50 A. M.), Skip Semon (present
after 9:35 A. M.), and Bernard Sims (present after
9:50 A. M.). City Manager Zais (present after 10:10 A: M.),
Director of Finance & Budget Hanson, Accounting and Treasury
Manager Wheeler, Accountant Sanders, and Department Assistant
Moen were also present.
PUBLIC WORKS DEPARTMENT
Mayor Berndt opened the meeting and asked the Public Works
Director Jerry Copeland to introduce his staff; Refuse
Division Manager Nancy Gaudette, Transit Planner John Haddix,
Traffic Engineering and Street Manager Dave Hussell, Street
Division Supervisor Joe Jackson, Transit Division Manager
Bill Schultz, Equipment Rental Manager Don Toney, and Traffic
Engineering Supervisor Shelley Willson.
Transit
Council Member Barnett stated on Page 354 the ridership
between 1993 and 1994 projects are significantly increased
from 1992 to 1993. Is that because 1994 includes trolley
cars? Mr. Schultz explained the project is shown under
performance statistics and reviewed his calculation for that
figure.
Council Member Beauchamp asked how the fare box projections
concur with other cities? Mr. Schultz stated three systems
in Washington do not charge fares. Council Member Beauchamp
asked how long has it been since we had a fare increase?
Mr. Schultz stated that the last one was in 1979. Council
Member Beauchamp stated that may be something to think about.
Mr. Schultz stated when looking at the cost of the fare
boxes, the maintenance of the fare box, the cost of
I/ accounting for the funds, and handling the funds, you
question whether or not you are making any money based on
what you charge. Council Member Beauchamp asked how many
people are assigned to the responsibility of fare boxes?
Mr. Schultz stated staff has done a detailed cost accounting,
however, the Finance Department keeps track of the money.
Fare boxes run $5,000 for replacement cost. Mr. Hanson
stated he thinks the City tried to take a reasonable,
rational internal control and review of fare boxes. Staff
found the amount of control was a problem; no one wanted to
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do it. He stated he thinks if the City is looking at a new
system it might be a consideration and if you add the motor
vehicle excise tax match to the sales tax he doesn't think
there would be a question. Mr. Schultz commented the PTBA
has indicated a desire to at least consider a match.
Mr. Hanson stated the best control would be to take it out of
the buses, count it and deposit it.
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Council Member Barnett stated staff gave us the projected
cost of upgrading the trolleys and he asked. if the plan is to
bring them in to have one system? His concern is that the
figures do not include the replacements. He stated it
appears that should be a definite factor to those cars.
Mr. Schultz stated we don't factor in the cost of fixed route
buses in the budget, we generally do that in the capital
reserve.
Council Member Beauchamp asked if the revenues and transit
advertising are identified? Mr. Schultz stated it is a
printout summary and is added with other revenues. It is
roughly about $21,000 a year. Council Member Beauchamp asked
if it is about the same as it has been. Mr. Copeland stated
that is what we projected at the offset, it was $20,000 and
we went to contracting. Mr. Schultz stated it has increased
annually and appears to be leveling off at about $21,000.
Council Member Barnett pointed out in the Policy Issues that
a Transit Dispatcher is requested. He stated this issue came
up before and he thought it was approved at that time. He
asked how Dial -A -Ride is working. Mr. Schultz stated this
work is done through a contractor and explained some of the
special needs of individuals. Council Member Barnett stated
his concern is with the growing number of non - profit
organizations. Mayor Berndt stated when looking at this
budget she thinks the way the labor negotiations are going
the City may have to lay some people off. Mr. Schultz stated
it is the intention of staff to develop a cost- reduction
plan. Mr. Copeland stated staff reviewed which routes to cut
and the hours they operate. He asked the Council members to
let staff review this to see how and where to make
reductions.
Mr. Hanson told the Council members that an additional cost
is expected in next years budget due to adjustments for the
appropriations for this year. Mr. Schultz commented staff is
talking about transit operators, FTE and now about
Dial -A -Ride. Council Member Beauchamp asked, once the PTBA
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becomes a reality, what percent or how many dollars will the
City of Yakima lose in terms of staff and supportive revenues
to all the divisions. Mr. Schultz stated a half million
annually would be lost, comprised from Public Works
Administration, Public Works facilities, City services, and
the Street Division subsidy. Mr. Schultz stated a transition
improvement by PTBA is done with a contractual relationship
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between the City of Yakima and,PTBA. That is subject to
change when the Board gets involed; some point in time it
will shift over to the PTBA.
Council Member Brado is concerned with the $300,000 Grant
from the State to pave a parking lot on Nob Hill Boulevard
and feels it is a waste of money. He suggested the City sell
the property on Nob Hill and buy property by the railroad
tracks for a park and ride and a trolley stop to pick up
employees. He asked if that is possible? Mr. Schultz
explained the State liked this site for car pools to form as
well as for Transit's use for people to park their cars to go
downtown. Council Member Brado questioned whether the Nob
Hill Plaza could be used to park cars one or two days for
special events. He stated he thinks we are wasting money and
should consider the zoning aspect and develop something else
there. Mr. Copeland stated staff understood the City Council
was not interested in selling and thought this would be a way
of utilizing that property.
Council Member Beauchamp asked what would happen to fare
rates if we charged 25 cents for trolley rates. Mr. Schultz
stated he has no idea, however, the City would need fare
boxes. Council Member Beauchamp asked how much a fare box
costs? Mr. Schultz explained an electronic fare box is less
expensive, however, slows down the operation schedule. It
could impact the ridership; visitors are relieved not to
have to have the correct change. Mayor Berndt stated in bad
weather people use the trolley more. She asked to just leave
all the rates the way theare now:'and review this in a year
or so. Council Member Semon stated if you look at the
current budget, we are now returning less than ten percent in
fare box revenues. He questioned if there should be any
charge for the transit services? We need to look at the
whole system. Council Member Buchanan stated someone
attending a hearing at the Convention Center made a pitch for
the City of Yakima to have a vehicle available to run between
various motels. He stated he advised the speaker that
service is provided free of charge by the downtown trolleys.
Mr. Schultz stated staff will come back to the City Council
regarding the Dial -A -Ride issue. Staff needs an
appropriation to meet this year's projected expenditures and
an increase for 1994. Under the Americans Disabilities Act
la the City is required to increase the Dial -A -Ride to meet
demand for services. It created a problem of control and it
is increasing the costs. We have been budgeting more each
year and that has been insufficient. It would require staff
to review these regulations. Staff's current proposal for
$266,000 needs to be raised to $375,000. Staff has no way
to project realistically what the ridership will be.
Mr. Schultz commented all handicapped persons cannot access
the buses, so some services have to be provided for them.
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Refuse
Council Member Barnett stated staff informed him that the
automated collection program was indicated as a budget item
and that should be unbudgeted. He stated the City should go
to the pilot program first. Mrs. Gaudette stated she feels
the pilot program is very important. She stated Yakima
County is proposing an increase of their landfill rates and
the City needs to review that: Mrs. Gaudette spoke on the
biodegradable products and possible lower costs. She stated I/
staff has received input from the public expressing concern
about garbage being put out in plastic bags. The City
Ordinance indicates garbage cans are required and staff has
been putting information in with the utility billings. The
crews are concerned because of the lifting and not knowing
what the bags contain. Staff is proposing to no longer pick
up garbage not in cans. Mrs. Gaudette reviewed the types of
cans and regulations for the Council members. Mrs. Gaudette
stated she went out with one of the crews and was surprised
at the condition of the cans.
ENGINEERING & UTILITIES DEPARTMENT
The Engineering & Utilities Department staff present were
Engineering & Utilities Director Denny Covell, City Engineer
Fred French, Bruce Bates, Assistant Wastewater
Superintendent, Dueane Calvin, Water & Irrigation Engineer,
Doug Mayo Supervisor Sanitation Engineer, Chris Waarvick
Wastewater Treatment Superintendent, and Ty Wick Water
Division Superintendent.
Engineering
Mayor Berndt suggested staff wait to discuss adding a
position until after negotiations. Mr. Covell stated staff
is looking at a possible solution; to contract services to
document payments. He stated that is an option staff is
exploring for project compliances to review payrolls of
builders. Mayor Berndt asked why a middle -man is needed?
Mr. Covell stated it is needed to comply with requirements of
State laws.
Mr. Hanson referred to Page 447 of the Budget in which the
revenue coming in from the bond issue must be modified.
Mayor Berndt asked Mr. Covell to comment on what his
Department receives from the capital bond issues. Mr. Covell
stated the City receives about $430,000 a year from Gas Tax
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money for capital services. This money is used on arterial
streets, however does not build intersections. Half of this
money is for stress road projects. Mr. Covell stated due to
an exemption for gasohol, a problem is created in declining
gas tax revenues. This money does not go for I -82, that
money is locked in. Mr. Covell commented on State funding
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available and how the City matches.hat funding. The City
plans to submit two applications; one for the Gateway Project
and one for the Fair Avenue Project. Mr. French stated the
392 Fund on Page 451 of the Budget was used to manage money
for the First Avenue Project and it has been completed.
However, staff does not have all of the expenses completed
yet. City Manager Zais stated that has been our primary
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capital fund for the bond tax.
Wastewater
Council Member Barnett expressed concern that the sewer
operation fund is dropping so dramatically. Mr. Waarvick
stated staff is continuing implementation of the Biosolids
Management Plan. However, in 1994 staff was to implement a
second phase by bringing on two entry level positions. Then
the operators would be able to do more of the line work. The
second issue is for a Pretreatment Associate Position. Staff
would need this assistance for the City's Pretreatment
Program to meet our mandated programs. The Pretreatment
Program has been delegated to the City by Federal and State
enforcement orders. Mr. Waarvick stated in order to operate
the sprayfield fully and meet WAC Regulations and be sure
workorders are met staff is considering an additional nine
month position. Mr. Waarvick stated staff sees about a
millon dollar increase in expenses in 1993 and 1994. These
are debt service costs, general operating and maintenance
costs, and staffing. He explained debt services are used to
pay back a cash balance loan so we will have the significant
cash to work from. Mr:a'•Waarvick explained the cost of
service study being done by Doug Mayo. Staff will try to
have that information by early 1994 and the City Manager will
schedule it with the City Council.
Council Member Barnett asked what is the anticipated rate
increase? Mr. Waarvick stated it will probably be ten
percent over the next two years. Council. Member Beauchamp
asked why the industry generating this problem can't be
identified and be required to pay for improper discharge of
waste. Staff offered to bring information back to the
Council regarding the benefits for those who are paying for
this service. Council Member Brado stated he would rather
see the affected industries held liable for costs.
Water
Council Member Barnett asked when the City increases the
water rates where is that reserve reflected in staff's
summary on Page 122 in the 1994 Resources and Expenditures?
City Manager Zais stated that is under Fund 474 on Page 122
in the Operation reserve. It went from $1,088 at the
beginning of the year to $904 for an ending balance.
Mr. Wick stated next year we have some capital expenses we
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did not anticipate. Mr. Wick stated they are going to review
this question of financing in the Comprehensive Water Plan
Update, which may include a bond issue.
Council Member Beauchamp asked, to improve efficiency, why
can't we have someone from the Water Division know where to
locate utilities so three individual divisions do not show
up. Mr. Wick explained each division fits the duties in as
they can. Mr. Hanson asked what is the liability? How many
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hours do they have to respond? Council Member Beauchamp
stated if the City if going to hire one person that person
must learn where the markings are. Mr. Wick stated if we
cross train it impacts the Water Division because that person
would be working for the other departments. Council Member
Beauchamp stated he believes it could be done.
Mayor Berndt questioned the addition of a Water Quality
Technician Position for monitoring. Mr. Wick stated it is
not just the monitoring of water. Federal and State mandates
want quality for vent contamination. Dan Arnett,
Representative from the Yakima Chamber of Commerce, stated
these tests must now be performed. He stated businesses in
the area will support the municipal government.
Council Member Beauchamp asked if staff needs these extra two
temporary workers? Mr. Wick stated it would reduce the
increased backlog of work. Council Member Beauchamp asked
how much time will these workers work? Mr. Hanson explained
temporary workers may work for five months.
Mayor Berndt asked about future rate adjustments. Mr. Wick
stated it is included in the Water Rate Study. He will be
sure that the City Council members get that proposal.
Irrigation
Council Member Buchanan asked how the irrigation program is
affected when an area is annexed. Mr. Wick stated that is
domestic irrigation. Staff is instituting a Public Relations
Program on what the process is and what the costs are to be.
Council Member Buchanan stated these people were told the
City was giving lower rates on irrigation and now they are
not and they will pay additional costs and they are not
happy. Mayor Berndt asked how are we coming on the backflow?
Are we running as far behind? Mr. Wick stated absolutely.
We did the sewer district plan, the nursing homes, and the
hospitals, the high -risk first. Staff is moving down the
list. City Manager Zais asked in the Fall of 1994, staff
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will get a determination from the court on the status of our
water ruling, is that correct? Mr. Wick stated the judgment
will go through and it may be 1995 before anything happens.
Mr. Wick stated the Comprehensive Water Plan was only
approved based on a decision of 1989 and by the end of 1994
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NOVIIVIBhh , i ' 1993
we have to have comprehen s,ive pl;ans, place. They will not
approve them unless a ''decision '' has been made on the
irrigation. The problem is the leakage there. City Manager
Zais stated we are being driven now by another issue, the
Health District. We may not have that choice here based on
what Ty Wick is saying. Council Member Buchanan stated he
feels some of the money spent on leakage in irrigation lines
should be spent on pipelines. He feels that is a foolish
waste of money to use for one block of residential area.
Mayor Berndt, adjourned the budget meeting at 11:45 A. M., to
then resume the meeting at 2:00 P. M. for a City Council
Business Meeting.
READ AND CERTIFIED ACCURATE BY � ' /(
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CITY CLERK MAYOR
MINUTES PREPARED BY DEPARTMENT ASSISTANT MOEN"
An audio and video tape of this meeting are available in the City Cl,erk's Office
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