HomeMy WebLinkAbout2004-06-01 City Council Special MinutesCITY COUNCIL
SPECIAL MEETING
JUNE 1,2004
The special meeting of the City Council of the City of Apache Junction,
Arizona,was held on June 1,2004,at the Apache Junction City Council
Chambers pursuant to the notice required by law.
CALL TO ORDER
Mayor Coleman called the meeting to order at 6:00 p.m.
ROLL CALL
Councilmembers Present:Mayor Coleman
Vice Mayor Eck (arrived at 6:57 p.m.)
Councilmember Dietz
Councilmember Insalaco
Councilmember Sippel
Councilmember Waldron
Staff Present:
Others Present:
(Councilmember Milkey was absent.)
City Manager George Hoffman
Assistant City Manager Bryant Powell
City Clerk Kathleen Connelly
City Attorney Joel Stern
Interim Public Safety Director Steve Campbell
City Engineer Ron Grittman
Parks & Recreation Director Jeff Bell
Library Director Pam Loui
Finance Director Keith Lewis
Public Works Director Doug Dobson
Development Services Director Rudy Esquivias
Assistant to the City Manager Amy Malloy
Business Advocate Roy Hunt
Grants Specialist Roger Hacker
Finance Manager John White
Administrative Secretary Carlena Lawson
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JUNE 1,2004
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Development Services Manager John Petroff
Administrative Assistant Janine Solley
Human Resources Analyst/Interim Human Resources
Director Jackie Trevino
Multi -Media Producer Matt McNulty
Police Sergeant Bob Nye
Police Dispatcher Candi Nilles
Presiding Judge David Alexander
Recreation Superintendent Liz Langenbach
DISCUSSION ON TENTATIVE BUDGET FOR FISCAL
YEAR 2004-2005
)City Manager George Hoffman
briefed the council on the item.The front summary of the budget describes
all the changes that were made.He added additional resources to the
overtime budget in the police department in the amount of $65,000.
Finance Director Keith Lewis stated
he believes they have covered every item,getting the information from the
departments.The chief gave the amount on the overtime,development services
asked for an additional $15,000 and provided a narrative on that,and they
have provided the narrative on the degrees people were getting.There is
also information on what will be needed to put the new buildings into
operation.
Mayor Coleman requested the
presentation of the recommendations from the Employee Insurance and
Compensation Committee.
Development Services Manager John
Petroff briefed the council on the item.He commented the committee's
purpose was to develop recommendations that reflect employee suggestions on
how to utilize $325,000 to address projected increases in medical insurance,
dental insurance,fund merit raises or fund cost of living adjustments.The
committee was formed by an invitation to become involved,extended to all
city employees.The committee was analyzed to insure a balanced cross
section of employees.Resource people were provided to help address issues
and facilitate with coordination and guidance.The group used consensus to
make decisions.If there was not consensus,they voted.Four meetings were
used,during which four other issues were developed and forwarded to the city
manager for further research.The committee recommended that the employee
SPECIAL MEETING OF THE CITY COUNCIL
JUNE 1,2004
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contributions for medical and dental insurance be entirely paid for by the
city for employees only;the rationale being that the city has historically
covered these expenses 100%in the past,it will keep the city competitive in
the job market,and i t is a valued employee perk.The committee recommended
the employee contribution for dependent coverage be increased.For dental
insurance for employee plus one,it be increased from $13.36 to $16.00 per
month;the rationale being the annual cost to employees is small being at
less than $32.00.The savings will allow the group to put more resources
towards a cost of living increase.The percentage rate paid by the employee
remains the same.For dental insurance for employee plus two or more,i t be
increased from $33.60 to $41.00 per month;the rationale being the annual
cost to the employee is small,less than $89 per year allowing group savings
and allotting more resources towards a cost of living increase.The
percentage rate paid by the employee remains the same.The committee
recommended the employee contribution for medical insurance for employee plus
dependents be increased from $180.20 to $216.00 per month;the rationale
being an attempt to balance a cost of living increase with the cost of family
insurance.It will minimize the impact on the average family of the
employees working for the city while providing everyone with at least some
cost of living adjustment.The percentage rate paid by the employee remains
the same.The committee recommended that a merit increase not be considered
as an option this year:the rationale is that it does not benefit everyone,
it does not adjust the range,and i t does not go into effect at the beginning
of the new fiscal year.The committee recommends giving all employees a 1.75
percent cost of living adjustment added to the employee's base salary;the
rationale is that i t benefits all employees,will keep the city competitive,
helps raise base pay and therefore benefits retirement.This meaningful
increase to the employees will help defray the insurance costs increase.
Councilmember Sippel commented
there is a holiday that falls on a Thursday this year.As the city is only
giving a 1.75 increase,he requested they look into giving the employees that
Friday off also and make it a four day weekend.He asked if the group had
looked into that.
Development Services Manager John
Petroff stated the group had not.
Councilmember Sippel asked if they
could talk about it.
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JUNE 1,2004
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City Manager .George Hoffman stated
it was not'something.within the committee's purview.He commented it would
be greatly appreciated..
There was general discussion as to
what holiday it was.
City Manager George Hoffman asked
staff what they would need to do to make that happen.
City Clerk Kathleen Connelly .stated
they would -need=to do the same thing that they did for last Christmas.I t
would be a-tempprary holiday.
City Attorney Joel Stern stated i t
wouldte a.temporary holiday for November 12..It would have to go on:anottler.
agenda.
Councilmember Sippel asked if the
other members of the council were alright with that.The consensus was they
were.
Mayor Coleman asked how many people
were on the committee.
Development Services Manager John
Petroffstated there were 28 members with 4 advisors and two facilitators.
The two facilitators,Roger Hacker and Liz Langenbach,kept them on track -.
.Mayor Coleman asked if those
numbers were already built into the budget.
City Manager George Hoffman stated
they are.
Councilmember Dietz commented they
did a great job with what they had to work with.He is aware it was very
tough and he thanked everyone who was on the committee.
Development Services Manager John
Petroff stated it was a team effort.
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JUNE 1,2004
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Councilmember Waldron commented he
likesthe:approach as it gives ownership to staff:
City Manager George Hoffman stated
Roger Hacker and Lizlangenbach facilitated the event and have his sincere
thanks.These.arehard issues and what -benefits one person may not benefit
another.To think ,about .the larger good is a real challenge.From what he
has heard it was a very productive process.
Councilmember Dietz commented he
wishes they could have done more.
Mayor Cbleman closed the discussion
and moved on to discussion and possible direction on health insurance
participation for 20,Lyearcity emplbyee ,retirees.
City Manager George HOffman stated
Councilmember Insalaco had inquired about the possibility of Considering the
provision of *health insurance for those who, retired.:He has -invited Jim
Loeb the health insurance consultant,to address the topicitonight.
Mr Jim Loeb gave the council some
handouts.He stated-there_are ,two primary issues they are dealing with.One
is a long: term policy issue of committing :future city funds to fund retirees.
A foundation in California has found that of large companieswith over 200
employees,66t provided retiree health insurance in 1988.As of 2003,i t is
only 38%.The reason i t is going downward is because the baby boomers are
approaching the retirement ,age and healthcare costs were fairly stable when
these policies were put in place.The inflation rate on health care has been
in double digits in the teens and the prediction for the next 5 to 10 years
is 11%.No one has any answers as to when it might peak.There are more
baby bOomers retiring and with technology there is a smaller,work force to
support the higher utilizers of the healthcare benefits:The life span is
increasing,there is higher technology in medical care,and retiree needs are
greater than the:younger employees.By law,the city has to offer COBRA
benefits which extend coverage for 18 months from the date of .separation or
retirement.In addition,the Arizona State Retirement Plan has a health
insurance plan available to all public employee retirees.That plan is out
to bid'right now.Thejnitial indications are:that the -rates are favorable;
they are notHadvisirog if they are going down until after the bid award has
been made.Industry experience indicates that retirees under age 75 incur
SPECIAL MEETING OF THE CITY COUNCIL
JUNE 1,2004
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about 70%greater health care costs than the average employee,caused by more
severe health care issues where the treatment is much more expensive.There
are currently 18 employees that have over 20 years of employment.Of these,
5 will be eligible to retire next year.The financial impact on the smaller
numbers will not be great on the overall health care costs.As those numbers
increase,it will become a larger portion of health care dollars.Projecting
the rates,using those 5 employees at their age level and the consumption
rate for retirees in general,shows that they would be using 1.67 of the
health care premium for employee coverage.The percentage will increase as
the number of retired employees increases.If the city grows to 400
employees,with 20 retirees,it will obviously be a smaller percentage.I f
there is not a growth rate of employees,it does not keep up with the growth
rate of the retirees,consuming a higher percentage of the health care
dollars.Assuming an 11%inflation rate on medical care,the city is looking
at a doubling of health care costs in under 7 years.With cost of living
raises between 1.5% to 2%,and medical care inflation at 11%.the issues
facing the committee will be more challenging.The Arizona State Retirement
System has a supplement in place.I t is $150 per month for employee and $260
per month for family for those living in Apache Junction and Maricopa County.
If that subsidy is applied to the current city rate for those retirees,i f
they continue to stay on the city plan,the coverage would be $73 per month.
The renewal rate would increase by another $50 to $123,versus a cost of $254
a month with the state retirement.I t boils down to financial resources.I t
is also philosophical,as more people are coming back to work because they
cannot afford health care coverage.More people are working longer.
Councilember Insalaco commented he
was looking for information on employees who retire before 65 and do not go
out and get another job.He does not know how many employees there would be.
He is looking for information on an employee who retires at 58 and cannot get
Medicare until he is 62.He would like these people to be able to pay their
fair share and still stay on the plan so that they can have something that
they can afford.He stated he cannot seem to get that answer.
Mr.Jim Loeb stated some groups
with a large base of retirees carve out a separate retiree rate and employees
can stay on that retirement plan.The elected officials or corporation
officials then decide separately how much they will subsidize the retiree
coverage.The smaller groups tend to blend that rate into the regular
employee rate.Next year the city will be paying $275 per employee per
month.If the retirees are using a 70% more consumption rate,than those
SPECIAL MEETING OF THE CITY COUNCIL
JUNE 1,2004
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working or the city will pick up that consumption rate.Dollarwise,if the
five people retired next year,it would be 1.62 of $275 of each employee,or
200 employees,times $275 times 12 months,and then take 1.6%of that,would
be the approximate cost.If the city pays 1002 of the employee cost,than
that additional cost would come out of the budget.It might mean a little
less cost of living adjustment,but it would be spread over the whole group.
The employees could contribute a dollar amount,such as $10 per month for the
coverage,it would be spread out between the employee base and the city.He
cannot give a flat dollar amount.
City Manager George Hoffman stated
he had talked to Mr.Loeb about being able to apply the 702 amount to the
rate and charge the retiree 1.7% times whatever that amount was.
Mr.Jim Loeb stated the difficulty
is that i t is not an absolutely determined number.The person paying the
1.7%rate could come back and state they were being discriminated against
because they have no data within the retirees of the city to base the 1.7%
on.He suggested 1.72 from studies that have been done when carving out the
utilization of retirees that has become an industry -wide figure.You cannot
support an industry -wide figure when i t is applied to the city.
City Manager George Hoffman stated
it makes sense for large numbers but to say i t is valid for our group size
there is no basis.
Mr.Jim Loeb stated the group is
too small:a sample of 5 is not a large enough sample.Even 200 is not a
large enough sample.
Councilmember Insalaco stated he
would like for the person to be able to stay on the plan but let them pay
their way 100%.
Mr.Jim Loeb stated if they did
that,it would be the $270 versus the $400 rate at state retirement.I t is
not known if they will utilize more than $270 dollars a month in health care.
Retirees tend to consume 70% more than others.
City Manager George Hoffman
commented we know that Corvettes cost more to insure than Chevy Luminas.I f
SPECIAL MEETING OF THE CITY COUNCIL
JUNE 1,2004
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the city is willing to let them pay their cost,does the city charge at the
Lumina rate and subsidize the difference of the Corvette.If we charge them
the Corvette rate because the sample size is so small,the city has no
defense other than that is the industry average i f i t is challenged.
Councilmember Dietz asked if it was
something they could challenge.This is a benefit that the city would be
offering them.He asked if there is a policy that they can just do.
City Manager George Hoffman asked
if this is something that could be made an elective thing.The city will
offer i t at 1.7 times the employee rate so it would be there if they wanted
it.
City Attorney Joel Stern stated i t
would be a voluntary thing on the part of the employee.He does not believe
it would be a discrimination issue.It would be a benefit.
Councilmember Dietz commented i t
would be a policy set forth that would be there for them.
City Attorney Joel Stern stated
they then could pay for it.
Councilmember Insalaco commented i t
does not mean that every employee is going to take it.It would be offered
if they wanted it.
Mr.Jim Loeb stated if they took
the 1.7 times the $275 rate for next year,it would come out to $460 per
month.The state rate on HMO is about $404:if the rate holds,it would be
less expensive on the state plan,depending on the program.The PPO would be
less expensive here based on the city's PPO pricing.
Mayor Coleman commented the 20
years of service does not necessarily mean all 20 years were here at the
city.
Mr.Jim Loeb stated it would depend
on how they couch what the eligibility is,whether i t is 20 years of service
with the city.
SPECIAL MEETING OF THE CITY COUNCIL
JUNE 1,2004
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Mayor Coleman commented they could
set it to where they would have to have 20 years of service with the city.
Councilmember.Insalaco stated that
is what he was thinking.
City Attorney Joel Stern commented
they create the benefit and they create the option:I t is an option;i t does
not have to be taken.
Mayor Coleman commented he is
saying i t is no better than what the state retirement is.
Mr.Jim. Loeb stated if this was
multiplied. at 1.7,the state rate would currently be less.The 1.7 is a
figure that could be changed.
Councilmember Waldron commented he
was .concerned -about discussing only those.emplOyeesthat .have 20 years.
There could be some with 30 years or only 18 years.
Councilmember Dietz stated they
would be -eligible with a minimum amount of 20 years.
Councilmember Waldron stated he
hoped that if they did it that they would include: those people as well.I t
needs to be spelled out.
Councilmember.Insalaco stated i t
should be a minimum of 20 years.
Councilmember Waldron- stated i t
appears.to him that the city could be taking aikind:of. gamble on this.If a
lot of people take advantage of this,the city could be looking at .some
pretty serious financial considerations,dependingion how the base grows.
Councilmember Sippel commented he
is -saying that the 1.7%could change in five years to 1.9%.
Mr.Jim-Loeb:stated i t is an
unknown.He has tracked a group-of 200 with the amount actually being 170%
SPECIAL MEETING OF THE CITY COUNCIL
JUNE 1,2004
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on the people extending the 18 month policy with COBRA.Sometimes you will
find the well people will go to:another job and work somewhere else and have
health insurance.The ones staying on the plan would be high utilizers.The
impact will be minimal ,when starting.The difficulty occurs with the growth
in five to ten years from now.,Of the 17 employees with over 20 years in
service,some of them are in the early to mid -50's.They do not have their
80 points yet and they will notJor another 5 to 10 years.I t is a number
that grows after starting out,small.
Councilmember Waldron asked -if he
knows why: the first number he gave is down 66%from what he gave in 1988.He
asked why they opted out of it.
Mr.Jim Loeb Stated it is because
of affordability.They cannot afford to do i t anymore.I t is a national
survey of: private corporations.More public entities,percentage -wise,will
provide retiree coverage than private corporations.If they say 38%are
offering retiree health care coverage,it would probably be:fbund that closer
to 60%of the public entities in Arizona offer it.
Mayor Coleman commented he is not
sure if this would be,a benefit they could offer if they will be charging a
higher rate than what the state would be charging.
Councilmember Sippel commented
Councilmember Insalaco was looking for a figure.If it comes out higher,
then it comes. out higher.
Councilmember Insalaco commented he
was just looking for somethingto offer them if they were not going tO work
any place else.This is for if they retire from this job,whether i -Lis 22,
25,28 or 30 years and they are not able to get on Medicare.This is so they
can pick up those 2 to 3 years.
Councilmember Waldron commented he
is concerned that they could offer i t now but they could not later and i t
would have to be taken away.That is hard to do.
Councilmember Sippel stated this
would be before Medicare goes through.
SPECIAL MEETING OF THE CITY COUNCIL
JUNE 1,2004
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Mayor Coleman commented with that
as additional he thinks they would be better without it.
City Manager George Hoffman stated
they had asked if they knew what the additional amount would be.He added i f
they had said as long as it can be made revenue neutral to the insurance
system for the other employees,then go ahead and do it,the challenge would
then be to come up with that number.He is not sure the national average is
relevant for our employees.The number is unknown.The statistical folks
would have to figure it out.You typically need larger numbers to make valid
actuarial projections.The challenge for the council is they have
contemplated a scenario tonight where they are not funding merit increases
and many of the competitors are,they funded a cost of living adjustment
probably close to what the market is doing,and they have looked at a
proposal on health insurance.He believes the market is grappling with those
kinds of things.They did not fund merit tonight.One of their challenges
is to do right by the employees that are already here.Councilmember
Insalaco was trying to provide an additional choice for retirees yet keep i t
revenue neutral.He thinks i t is a good goal.
Councilmember Dietz commented he
believes the State of Arizona offers their employees medical benefits after
they retire.They may be able to look into that to find an average or cost
within the state instead of federally.
City Manager George Hoffman stated
he believed that was what Jim was talking about in terms of the insurance
that is available and the subsidy that is afforded towards that system.
Mr.Jim Loeb stated it would be
$150 on the state retirement plan,but different cities might have different
member requirements.Councilmember Insalaco stated 20 years;there are some
employers that may give it at 10 years.Some of them have already blundered
and have tremendous liabilities on the way they couched their requirements
and eligibility.The state retirement rate would be a good bench mark as i t
is comprised of retirees.The cost is from the generation of the claims
developed;i t is pure retirees under age 65.
Mayor Coleman asked how many of the
17 employees have all 20 years of service with the city.
SPECIAL MEETING OF THE CITY COUNCIL
JUNE 1,2004
PAGE 11 OF 19
City Manager George Hoffman stated
all of them do.
Interim Human Resources
Director/Personnel Analyst Jackie Trevino stated there will be 54 people
eligible in the next 5 years.
Mayor Coleman asked if all 20 years
were for the city.
Interim Human Resources
Director/Personnel Analyst Jackie Trevino stated that is correct.
City Manager George Hoffman asked
what the status is on the federal thinking on medical savings accounts.
Mr.Jim Loeb stated there are some
new twists that are called health savings accounts.The federal government
has tied them to a $1,000 deductible with a minimum $2,000 deductible for a
family,so there is risk -taking.You have to set up your medical plan or
have a medical plan option of $1,000 or $2,000 deductible;those employees
can then fund in to a health savings account.If they do not use that money
to pay for their deductible and co -pays,it then rolls over from year to year
into a savings account.They are also thinking of having health care IRA's
so that people can pay for some of these costs with pre-tax dollars.The one
that no one has been able to tackle yet is how to curtail the inflation on
health care prescription drugs.
Councilmember Insalaco stated he
was not trying to get this in for this year's budget.He wanted i t brought
up to find out if there was anything that they could do.
Mayor Coleman commented he would
like to do something.
Councilmember Dietz commented he
would like to look into it to see if they can come up with some kind of
figure.
Mayor Coleman commented he would
like to do something for those who have made their career here.
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JUNE 1,2004
PAGE 12 OF 19
City Manager George Hoffman asked
if their goal is to make this cost neutral:they are not looking for one
group to subsidize another group.They would like to know that number.
Councilmember Insalaco stated that
is correct.
City Manager George Hoffman stated
they could do some research and get an opinion from Joel to see if they can
come up with a number that they could charge differently.
Mayor Coleman asked if the city
could offer health savings accounts.
City Manager George Hoffman stated
the city is not structured that way.The city has a Section 125 Program
where one can set money aside and use it.The money is pre-tax and the
employee can get reimbursed for medical expenses.He believed the maximum
that could be set aside is $2,500.
Finance Director Keith Lewis stated
that is correct.
Mr.Jim Loeb commented there is now
a bill in Congress to allow $500 to be rolled over in the flexible spending
account into the future year.Right now you have to use i t or lose it.
Mayor Coleman closed the discussion
on the item and moved on to a discussion on city membership in Williams
Gateway Authority.
City Manager George Hoffman stated
i t is a tough issue.There are many advantages to joining.The airport will
only continue to grow and it will be important to Pinal County from an
employment standpoint.Overflights will be important in terms of how we can
grow and where.He offered a couple of other thoughts as they contemplate
this.I t appears there is going to be movement on the issue of the Maricopa
County Flood Control easement.I t has been the primary obstacle to the
growth of the city to the south.If it is resolved,there still remains the
issue of drainage.There are structures there and they need to determine how
much land needs to be reserved behind the structures for water that will back
SPECIAL MEETING OF THE CITY COUNCIL
JUNE 1,2004
PAGE 13 OF 19
up from them.They need to determine if those structures are the best way
for managing storm water runoff.Some on staff believe there Are some other,
more urban models that exist,such as the Reach 11:System,that do not rely
on the dam structures as a means of managing the water.The issue will
require drainage studies.It will not be resolved by any one entity;it will
require a partnership.He believes it will be critical for the city to play
a partnership role in the ,resolution of those structures and the drainage
issues.It is a.core concern that he sees for realistically opening the land
to the south for development.Another issue is the Superstition Vistas
Growth Area Study concerning 385 square miles of Pinal County.The mayor and
Supervisor Smith have worked very hard to insure the city and county have a
seat at that table.One scenario would have the city and county share
approximately a third of the cost of the study.The study is contemplated at
$750,000.If it!is split;it would_be $125,000 each.He believes the study
is very important and that the:city and county need to continue to play a key
role in the steering committee level of that study:Williams Gateway is
important and great arguments could be made for funding it.However,he
encouraged them:to consider the drainage issue and .the study as funding
priorities.He believes the drainage issue is critical.
Mayor Coleman asked if the drainage
and the hydrology study are included in this budget.
City Manager George Hoffman stated
there is $400,000 in the proposed budget ,for growth issues.As these issues
arise; council has those funds with whichto address them.He is not sure
when the_hydrolOgy study will occur;but he thinks they Are facing a rapidly
changing environment regarding, the easement issue.Within the last 3. weeks
they have seen substantial 1movement:
Mayor Coleman asked how much money
had been set aside.
City Manager George, Hoffman stated
there:is $400,000 in this year's budget.
Mayor COleman commented ,he-thought
it would be: importantforAhe.city -to.participatejn the:WilTiams --.Gateway
Authority, 'but i t has: been his intent that when they. do :join,that they be:
able to commit' long ternto-it HeAculd like to -seeAhe-new city'hali and
multi -generational center:online,know exactly what those are going tO -cost
SPECIAL MEETING OF THE CITY COUNCIL
JUNE 1,2004
PAGE 14 OF 19
to operate and maintain,before they commit.He believes Mr:Hoffman's
priorities are correct;Williams Gateway would fall third to the other two in
his opinion.
Councilmember Insalaco agreed.
Mayor Coleman commented he does not
believe that Williams Gateway has been included in the budget.
City Manager George Hoffman stated
the tentative numbers will include whatever the council wants them to
include.He believes i t is a false dichotomy to view Williams Gateway as all
or none.They could have representation at each and every public.meeting
that they have and that the city avail itself of every opportunity to be
informed and to communicate that arises.Bryant Pbwell has 'actively been
doing that.
Mayor Coleman commented betelieves
they should be doing that.He added be still feels bad about being able to.
give only a 1.75% cost of living adjustment.
City Manager .George, Hoffman added
and no -merit.This is very practical:..Gilbert needs as many as 30;police:
officers. and some cities have figured out_Jt-is easier to snag. police.
officers from: other agencies, than tb grow their own.:-I t is -a time honoret
tradition of the larger cities to try ancrrecrult -them -from the smaller
cities He does notAhink_Jt is honest .for him to suggest the city is immune.
from that;he does not think i t is
Mayor Cblemurcommented:they
have to wait another -year:andrthen look- at things.
CouncilMember Waldron commented he
thinks they should work -this year towards maybe joining Williams Gateway next
year on a lOng -term basis.He:first thoughtLthey should do it this year,but
withlthe rapid:changes with State Land and the Maricopa,County Flood Cbntrol
District, they do not*nowall of the ramifications or ,what -is involved.He
believes Williams Gatewayls important,but not as important as the growth to
the south.He,understands for -fiscal reasons it should notte done this
year,but he would like to see i t addressed next year.Hewould like to see
the city working towards:that -goal in the meantime.
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JUNE 1,2004
PAGE 15 OF 19
Councilmember Dietz commented he
believes all three are tied together:getting the hydrology study,the flood
issues and the control or the say so in the flight patterns,plus the growth
issues and everything to the south.
Mayor Coleman stated they will
realistically benefit from Williams,especially if the city is allowed to
expand to the south.The city should put up some of the cost.
Councilmember Waldron commented
that they would also not want to pull out after a couple of years.They
would want to be there for the long haul.
Mayor COleman closed the discussion
with no further comments.
City Clerk Kathleen Connelly stated
they can give direction on those three items at this time if council desires.
Mayor Coleman commented his,opinion
is to go with the committee's recommendation on Letter A and leave B and C
alone.
Councilmember Dietz agreed.
Councilmember Waldron MOVED THAT
THE RECOMMENDATIONS OF THE EMPLOYEE INSURANCE AND COMPENSATION COMMITTEE BE
ACCEPTED AS PRESENTED AND THAT THE CITY MANAGER BE DIRECTED TO IMPLEMENT
THESE RECOMMENDATIONS FOR FISCAL YEAR 2004-05.I FURTHER MOVE THAT THE CITY
MANAGER PROCEED WITH RESEARCH OF THE VISION-,DENTAL,AND MEDICAL COVERAGE AS
OUTLINED BY THE COMMITTEE IN THE MEMO TO THE CITY MANAGER DATED'MAY 21,2004.
There was general discussion about'
adding the November 12 temporary holiday.
Councilmember Sippel SECONDED THE
MOTION.
VOTE:Unanimous-.
The motion carried.
SPECIAL MEETING OF THE CITY COUNCIL
JUNE 1,2004
PAGE 16 OF 19
Council consensus was to take no
action on the health care for retirees.
Councilmember Waldron MOVED THAT
STAFF BE GIVEN THE FOLLOWING DIRECTION REGARDING CITY MEMBERSHIP IN THE
WILLIAMS GATEWAY AUTHORITY:THAT WE WORK THIS YEAR TOWARDS LOOKING AT A LONG
TERM MEMBERSHIP BEGINNING WITH THE NEXT FISCAL YEAR,TO COMMUNICATE THE SAME
THINKING TO WILLIAMS GATEWAY,AND THAT WE MAINTAIN A PRESENCE AT THEIR
MEETINGS.
Councilmember Dietz SECONDED THE
MOTION.
VOTE:Unanimous.
The motion carried.
PUBLIC HEARING ON TENTATIVE BUDGET FOR
FISCAL YEAR 2004-2005
)Mayor Coleman opened the public
hearing on the item.There being no one wishing to speak,he closed the
public hearing and moved on to the next item.
PROPOSED RESOLUTION NO:04-09, .ADOPTION ,OF
TENTATIVE BUDGET FORFISCAL YEAR 2004-2005
AND GIVING NOTICE OF FINAL BUDGET ADOPTION)
)Mayor Coleman opened the item to
Vice Mayor Eck asked if there were
Finance Director Keith Lewis stated
Mayor Coleman closed the discussion
with no further comments and called for a motion.
council discussion.
any major revisions to the budget.
there was not.
Councilmember Dietz MOVED THAT
RESOLUTION NO.04-09,A RESOLUTION OF THE MAYOR AND CITY COUNCIL OF THE CITY
OF APACHE JUNCTION.ARIZONA,FOR THE ADOPTION OF THE TENTATIVE BUDGET FOR THE
SPECIAL MEETING OF THE CITY COUNCIL
JUNE 1,2004
PAGE 17 OF 19
CITY OF APACHE JUNCTION,ARIZONA,FOR FISCAL YEAR 2004-2005,HEREWITH SETTING
FORTH THE TENTATIVE ESTIMATES FOR THE MONIES NECESSARY FOR THE PUBLIC
EXPENSES OF THE CITY OF APACHE JUNCTION,ARIZONA,FOR THE FISCAL YEAR 2004-
2005 AND GIVING NOTICE OF THE TIME AND PLACE FOR HEARING TAXPAYERS FOR THE
ADOPTION OF THE FINAL BUDGET,BE APPROVED.
I FURTHER MOVE THAT THE PUBLIC HEARING FOR FINAL BUDGET ADOPTION BE HELD ON
TUESDAY,JUNE 15,2004,BEGINNING AT 6:00 P.M.IN THE CITY COUNCIL CHAMBERS.
Councilmember Waldron SECONDED THE
MOTION.
VOTE:Unanimous.
The motion carried.
City Manager George Hoffman thanked
Keith Lewis,John White,Bryant Powell,and Amy Malloy -for bringing the
budget process forward to the council sooner than has been done for many
years.
ADJOURNMENT
)-Mayor Coleman adjourned the
meeting at 7:02 p.m.
ACCEPTED THIS 6TH DAY OF JULY ,2004,BY THE MAYOR AND
CITY COUNCIL OF THE CITY OF APACHE JUNCTION,ARIZONA.
SIGNED AND ATTESTED TO THIS 6TH DAY OF JULY ,2004.
DOUGLAS COLVMAN
Mayor
SPECIAL MEETING OF THE CITY COUNCIL
JUNE 1,2004
PAGE 18 OF 19
ATTEST:
KATHLEEN CONNELLY
City Clerk
CITY COUNCIL MINUTES
CERTIFICATION
I .hereby. certify that the foregoing minutes are a true,and correct copy of
the minutes of the special meeting • of the City Council of the:City:of Apache
Junction_Arizona held on the 1st day of June,2004.I furthercertify that,
the meeting:was .duly•calTed and:held:and -that a quorum was present.
Dated this llth day of June,2004.
KATHLEEN CONNELLY
City Clerk
SPECIAL MEETING OF THE CITY COUNCIL
JUNE 1,2004
PAGE 19 OF 19