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HomeMy WebLinkAboutMinutes - City Council - 04/10/1980BUDGET HEARING APRIL 10, 1980 The South Burlington City Council and the South Burlington School Board held a budget hearing at 7:30 pm in the High School auditorium on Thursday, April 10, 1980 Members Present City Council - Paul Farrar, Chairman; Kenneth Jarvis, Martin Paulsen, William Burgess, Michael Flaherty School Board - David Miller, Chairman; Viola Luginbuhl, Marilyn Meyer, David Gravelle, Dennis Snyder Others Present William Szymanski, City Manager; Fred Tuttle, School Superintendent; John Lucas, School Business Manager; James Godette, Brian Searles, Bruce O'Neill, Donald Whitten, Thomas Hubbard, William and Ethel Schdele, Marjorie Kneeland, Fred Maher, Frank Armstrong, H. Charles Hill, Margaret Picard, Karin Larson Mr. Farrar went through the city budget. He noted that the copy which had been printed and sent out had three changes which should be made. The revenue sharing figure in the highway department in the anticipated revenues budget should be $8,470 instead of $18,470. In the expenditures budget, for the highway department, the figure for equipment replacement should be $26,000 instead of $16,000 and the figure for the landfill should be $23,529, not $33,529 in the regular budget, and the revenue sharing figure for that item should be $18,371 instead of $8,371. This changes the total under revenue sharing to $55,371, not $45,371. Mr. Farrar explained that this was a mistake made at the last minute and that it did not change the basic budget. The main increases in the budget are due to inflation, he said. Salaries have increased 9.44% plus an average of 1% for longevity and merit. An assistant city manager has been added in the budget for this year. Mr. Farrar explained that the city started the year with revenue sharing funds in the bank and that it did not budget those funds until they had been received. Since South Burlington spends only money it has already received and has earned interest on, it is not concerned, this year anyway, about any changes which might be made in the federal formula for revenue sharing. This has been done every year since the city has received the funds. Mr. Farrar added that part of the revenue sharing budget would be put up for a vote because it would make the budget be in excess of the Charter allowed 10% increase, but that the extra money would not affect the Charter limitations for next year. Mr. Farrar noted that the rapid rise in gas prices had caught the city this year. The budget includes an estimated cost for gas next year at an average of $1.65 per gallon. Insurance costs have increased, partly because coverage was increased. The data processing figure has increased dramatically because the city does not have enough capacity for all its needs and some new equipment will be purchased. The shared system with the schools will probably continue. Mr. Farrar noted that any unexpended funds in the open space item would be put in an open space account from now on and would be held for that purpose, so they do not artifically inflate the budget. A full-time employee has been added at the community library. CETA was formerly paying this person. A motorcycle will be purchased for the police, as will two new cruisers. A mechanic has been added in the highway department. Mr. Farrar felt that next year the area sewer charge would have to be increased, for the first time in about 4 1/2 years. He also noted that although 3 new people had been added this year, the city fell behind by 3 people in terms of the growth of the city and the services provided per dollar of constant value. In other words, the growth in the city would have required the addition of 6-7 people to maintain the same level of employees for constant dollar value. Mr. Frank Armstrong felt that the Council had used the wrong figure to set the allowable tax rate this year. He felt that the Charter had been violated. Mr. Farrar told him that the Charter change language which had been voted on by the citizens last year, when the surplus was returned, was that in figuring the budget limitations for the next year, the city would use the tax rate which would have been allowed or the tax rate which had been used, whichever was greater. Mr. Armstrong felt that with that language, each year the city could impose an erroneous tax rate and then correct it, and the next year calculate the base on the first rate. Mr. Farrar explained that under the unchanged Charter, the city would have held the extra funds, applied them to this year's budget, and increased the budget and tax rate 5% over the existing tax rate figure. He said the city had followed the Charter language exactly as it was amended. Ms. Karin Larson asked about the pedestrian crossings. Mr. Farrar said the city had wanted to fund those out of Urban Systems funds, but that those funds would not be available until 1987-89. They have decided to fund them out of current revenues at 1 per year for the next 3 years. Mr. Farrar went on to say that many capital projects required state or federal funds, and that those projects were shown in the Capital Budget in the years that the city expects funds to be available. At this point, Mr. Miller spoke about the School District budget. He noted that they had tried to respect the Charter limitations this year. He added, however, that contract negotiations had not been completed yet. Mr. Tuttle went through the budget in detail. He noted that last year the schools had received $40,000 more in state aid than expected, and that had been used for this year's budget. He noted that the major cost figures for this budget were in the areas of salaries and inflation related items. A contingency amount for support staff has been included in the budget, since those contracts are under negotiation. Mr. Tuttle noted that the bulk of the budget was spent for instruction. This budget allows for 5 fewer teachers, but that is subject to change. There has been an increase in the in-service training, and health items. Data processing has been moved from the 200 to the 800 series. The schools will take a serious look at transportation this year to see if they can reduce costs. Two busses will be replaced. There have been and will be some improvements made for energy conservation. The food service has been self supporting, but costs have risen and the school is responsible for the item, so some money has been put in the budget. Two-way radios will be installed in the busses, and a tractor will be purchased to maintain the grounds. Mr. Tuttle felt that good opportunities existed for students in the vocational training programs. Mr. Tuttle went through the capital budget. He also noted that the tax rate used was less than the allowed rate. Mr. Tuttle asked if there were questions, and when there were none, he noted that Mr. John Lucas was retiring. He felt Mr. Lucas had contributed greatly to the district and said that he would like to acknowledge him and thank him for all he has done for the students and the district. He added that Mrs. Luginbuhl was also not planning to return to the school board and he said she had been on the board for 6 years and had always sought the best for the students. He had enjoyed working with her and was sorry to have her leave. The meeting was adjourned at 8:45 pm. Clerk Published by ClerkBase ©2019 by Clerkbase. No Claim to Original Government Works.