05132002MM
MINUTES
CITY OF DUNN
DUNN, NORTH CAROLINA
THE CITY COUNCIL OF THE CITY OF DUNN HELD A SPECIAL CALL BUDGET
WORKSESSION ON MONDAY, MAY 13, 2002, AT 6:00 P.M. IN THE DUNN MUNICIPAL
BUILDING. PRESENT WAS MAYOR ABRAHAM OUDEH, MAYOR PRO -TEM MIKE
WOMBLE, COUNCILMEMBERS GEORGE ROBINSON, JOEY TART, TOBY SUMNER, AND
PAUL BASS. ALSO PRESENT WAS INTERIM CITY MANAGER RONNIE AUTRY, INTERIM
HUMAN RESOURCES OFFICER MOSES GALLION, FINANCE DIRECTOR RENEE'
DAUGHTRY, CAPTAIN MORRY DENNING, CAPTAIN RONNIE RADCLIFFE, RECREATION
DIRECTOR PERRY HUDSON, PUBLIC UTILITIES DIRECTOR JOE CAMPBELL, PUBLIC
WORKS SUPERINTENDENT THOMAS JERNIGAN, CHIEF BUILDING INSPECTOR SHANE
HUDSON, FIRE CHIEF AUSTIN TEW, CITY PLANNER/CODE ENFORCEMENT OFFICER
KELLY BOLLINGER, CITY ATTORNEY P. TILGHMAN POPE, DEPUTY CLERK DEBRA
WEST, AND DAILY RECORD REPORTER LISA FARMER.
INVOCATION
MAYOR OUDEH OPENED THE MEETING AT 6:01 P.M. AND ASKED CAPTAIN MORRY
DENNING TO GIVE THE INVOCATION. AFTERWARDS, THE PLEDGE OF ALLEGIANCE WAS
REPEATED.
INTERIM CITY MANAGER AUTRY REVIEWED THE HIGHLIGHTS OF THE PRELIMINARY 2002-
03 BUDGET.
REVENUES! GENFRAT,
A. AD VALOREM TAXES: FIGURES ARE BASED ON A 98% COLLECTION RATE WITH AN
APPROXIMATE TAX BASE OF $424,016.251.00 WITH A TAX RATE OF .46 PER $100.00
VALUATION.
B. THE PROJECTED STATE REVENUES ARE $747,000.00: IT APPEARS THAT NONE OF
THESE FUNDS WILL BE AVAILABLE AND HAVE NOT BEEN BUDGETED AT THIS TIME.
C. $339,119.00 HAS BEEN OBLIGATED FOR THE TRANSFER FROM THE WATER FUND TO
THE GENERAL FUND TO COVER JOINT COSTS OF PERSONNEL, MATERIALS,
INSURANCE AND ASSOCIATED COSTS.
D. $1,018,193.00 HAS BEEN APPROPRIATED FROM PRIOR YEAR'S UNAPPROPRIATED
FUND BALANCE TO COVER OPERATING EXPENDITURES.
E. $187,000.00 HAS BEEN OBLIGATED FROM AVERASBORO FIRE DISTRICT REVENUES
FOR OPERATING AND CAPITAL COSTS FOR FIRE SERVICE.
REVENUES: WATER
A. WATER AND SEWER RATES FOR RESIDENTIAL AND BULK WATER CUSTOMERS WILL
NOT BE INCREASED NEXT YEAR.
EXPENDTTURF.S: GENERAL
A. GENERAL FUND OPERATING HAS BEEN REDUCED COMPARABLE TO THE FY 01 -02
BUDGET.
B. EMPLOYEE HOSPITALIZATION INSURANCE HAS BEEN BUDGETED AT $275.00/
EMPLOYEE WHICH IS AN INCREASE OVER OUR CURRENT $254.00/EMPLOYEE.
THIS INCREASE IS PROBABLY NOT ADEQUATE. UPDATED FIGURES ARE SUPPOSE
TO BE AVAILABLE DURING THE MONTH OF JUNE. THE HOSPITAL INSURANCE LINE
ITEM FOR THE GOVERNING BODY HAS BEEN ELIMINATED. UPDATED INSURANCE
INCREASES FOR ALL OTHER INSURANCE POLICIES ARE EXPECTED IN SEVERAL
WEEKS.
C. ALL CAPITAL EXPENDITURES HAVE BEEN REMOVED FROM THIS BUDGET.
D. ALL DEBT SERVICE REQUIREMENTS HAVE BEEN APPROPRIATED IN THIS BUDGET TO
MEET OUR DEBT OBLIGATION. OUR STATEMENT OF DEBT IS ATTACHED FOR YOUR
REVIEW.
EXPENDTTTIRES: WATER.
A. ALL DEBT SERVICE REQUIREMENTS HAVE BEEN OBLIGATED IN THE FY 2002 -2003
BUDGET TO MEET OUR DEBT RESPONSIBILITIES.
MR. AUTRY STATED THE PROPOSED BUDGET DOES NOT PROVIDE FOR A COST OF LIVING
INCREASE, BUT FUNDS HAVE BEEN APPROPRIATED FOR THE LONGEVITY SUPPLEMENT.
HE ADDED THIS IS A PRELIMINARY BUDGET THAT WILL REQUIRE EXTENSIVE DISCUSSION
BY THE MAYOR AND COUNCIL. HE FURTHER STATED OPTIONS WILL HAVE TO BE
DISCUSSED TO LOWER THE FUND BALANCE APPROPRIATION, WHETHER IT IS BY (I)
REDUCTION IN SERVICES, (2) REDUCTION IN WORK FORCE, (3) PROPERTY TAX INCREASE
OR (4) A COMBINATION OF ALL OR SOME OF THE ABOVE.
INTERIM CITY MANAGER AUTRY STATED WITH THIS BUDGET, THREE (3) VACANT
POSITIONS IN THE POLICE DEPARTMENT HAVE BEEN DELETED, TWO (2) FULL TIME AND
b41
ONE (1) PART -TIME POSITION IN THE PUBLIC WORKS DEPARTMENT HAS BEEN DELETED
AND ALSO SUMMER HELP MONIES FOR WEED EATING AND MOWING LOTS HAVE BEEN
DELETED.
COUNCILMEMBER BASS ASKED MR. AUTRY WHAT WAS THE CITY GOING TO DO ABOUT
CUTTING ALL THE WEEDY LOTS IN TOWN. MR. AUTRY RESPONDED CREWS WILL HAVE
TO BE TAKEN OFF OTHER JOBS TO CUT LOTS. MR. BASS SUGGESTED MAKING THE LOT
OWNERS PAY TO HAVE THESE LOTS CUT. MR. AUTRY STATED THAT CITY ATTORNEY
TILGHMAN POPE IS WORKING ON MODIFYING THE LETTER THAT IS SENT TO PROPERTY
OWNERS OF WEEDY LOTS AND WITH THE COLLECTION PROGRAM SET UP BY THE
FINANCE OFFICE, THE CITY SHOULD START RECEIVING PAYMENT FOR MOWING THESE
LOTS.
COUNCILMEMBER ROBINSON ASKED MR. AUTRY HOW MANY MECHANICS DID THE CITY
HAVE. MR. AUTRY STATED THAT ONE MECHANIC POSITION WAS ELIMINATED LEAVING
TWO MECHANICS AT THE GARAGE. MR. ROBINSON STATED THAT THE CITY NEEDED
ANOTHER MECHANIC. COUNCILMEMBER BASS AGREED.
MAYOR PRO -TEM WOMBLE STATED THAT HE AGREED WITH MR. AUTRY'S SUMMARY
THAT DIFFICULT DECISIONS WOULD HAVE TO BE MADE BUT AT THIS POINT HE
SUGGESTED WORKING BACKWARDS ON THE BUDGET. HE ADDED THAT IF THE COUNCIL
COULD DECIDE ON THE AMOUNT OF DEFICIT THE BUDGET COULD END WITH, THEN THEY
COULD WORK BACKWARDS FROM THERE AND DETERMINE WHAT KIND OF COST TO CUT
AND /OR TAXES THAT MAY NEED TO GO UP TO BRIDGE THAT GAP.
MAYOR PRO -TEM WOMBLE STATED THEY NEEDED TO PROJECT WHAT THE MINIMUM
FUND BALANCE SHOULD BE ON JUNE 30, 2004. HE ADDED THAT WOULD BE BASED ON
WHAT THE STATUTORY MINIMUM FUND BALANCE IS PLUS WHATEVER ADDITIONAL
CUSHION THE COUNCIL THINKS IS NECESSARY. HE FURTHER STATED THEN THEY COULD
SEE WHERE THE FUND BALANCE IS NOW AND THAT GIVES THEM THE MAXIMUM
AMOUNT THAT THE FUND BALANCE COULD GO DOWN. HE STATED THAT AMOUNT
COULD BE PLUGGED INTO THE BUDGET AND THAT WOULD HELP DETERMINE THE
MAGNITUDE OF CUTS THAT NEED TO BE MADE.
MR. WOMBLE STATED IF ESTIMATED EXPENDITURES WERE 6.5 MILLION, THE STATUTORY
MINIMUM FUND BALANCE IS 8% OF ANNUAL REVENUES. HE ADDED IF WE HAD ANOTHER
HURRICANE, THEN 8% WOULD NOT BE ADEQUATE. HE FURTHER STATED IT WOULD BE
FAVORABLE TO HAVE 20% MINIMUM.
MR. WOMBLE ASKED FINANCE DIRECTOR RENEE' DAUGHTRY WHAT THE FUND BALANCE
WOULD BE AT THE END OF THIS YEAR. SHE RESPONDED 2.8 MILLION. MR. WOMBLE
STATED WITH 20% BEING THE MINIMUM, THEN 1.8 MILLION DOLLARS WOULD BE THE
MOST THE FUND BALANCE COULD GO DOWN.
MR. WOMBLE STATED THAT IF WE COULD WORK BACKWARDS TO DETERMINE WHAT THE
TOTAL OF EXPENDITURES NEEDS TO BE, THEN WE COULD BACK UP AND THEN SAY IF
THE POLICE DEPARTMENT IS 20% OF THE TOTAL BUDGET, HOW CAN THEY REDUCE 20%
OF THE DEFICIT. HE ADDED THIS IS ONE METHODOLOGY TO HELP US DETERMINE HOW
WE WILL GET TO WHERE WE NEED TO BE.
MR. WOMBLE STATED THE BEST WAY TO PROCEED IS BY THE COUNCIL DECIDING WHAT
PERCENTAGE OF REVENUES THEY WANT TO REMAIN IN THE FUND BALANCE ON JUNE 30,
2004 AND IF THEY CAN DECIDE UPON THAT FIGURE, THEN THEY CAN TAKE THAT
DIFFERENCE, DIVIDE BY TWO AND THAT WILL BE THE MAXIMUM DEFICIT THAT CAN BE
ON THIS BUDGET. HE ADDED FOR AN EXAMPLE, IF THE DIFFERENCE CAME TO $700,000.00,
THEN TAXES WOULD HAVE TO BE RAISED OR CUT SPENDING BY $400,000.00. HE FURTHER
STATED THEN DISCUSSIONS COULD BEGIN ON HOW TO DO THAT, WHICH WILL BE MOST
DIFFICULT.
COUNCILMEMBER BASS STATED THAT WITH PEOPLE OUT OF WORK, THEY NEED NOT
EVEN THINK ABOUT RAISING TAXES.
MR. WOMBLE STATED IF THE CONSENSUS WAS NOT TO RAISE TAXES, THEN $400,000.00
WORTH OF PAYROLL WOULD HAVE TO BE CUT.
INTERIM CITY MANAGER AUTRY STATED IN REFERENCE TO YEAR 2004, THEY ARE NOT
TAKING INTO CONSIDERATION THE %, CENT SALES TAX REVENUE THAT THE STATE WILL
START GIVING MUNICIPALITIES NEXT JULY. MAYOR PRO -TEM WOMBLE STATED HE DID
NOT WANT TO SEE THEM REPEAT THE MISTAKES OF THE GENERAL ASSEMBLY IN TAKING
IN ACCOUNT REVENUES THEY DO NOT HAVE.
FINANCE DIRECTOR RENEE' DAUGHTRY STATED SHE HAD PROJECTED THAT ON JUNE 30,
2004, THE CITY MAY HAVE APPROXIMATELY $600,000.00 AT THE CURRENT RATE THEY
ARE GOING. SHE ADDED THAT GENERAL STATUTES WOULD REQUIRE APPROXIMATELY
$550,000.00. SHE FURTHER STATED IF A HURRICANE OR FLOODING OCCURRED, FUNDS
WOULD NOT BE THERE AND CASH FLOW WOULD BE DEPLETED.
842
MAYOR PRO -TEM WOMBLE STATED BECAUSE OF THE FUND BALANCE ON HAND DURING
HURRICANE FRAN, THE CITY WAS ABLE TO RESPOND QUICKLY AND THE COUNCIL CAN'T
LOSE SIGHT OF THAT.
MR. AUTRY STATED THAT JUNE 30, 2001 THEY HAD 3.6 MILLION. HE ADDED THAT THE
PROJECTED BALANCE FOR JUNE 30, 2002 WILL BE 2.8 MILLION.
MR. WOMBLE STATED THAT WHAT HAPPENS IS YOU CAN GO INTO THE HOLE ABOUT
$588,000.00 EACH YEAR, THAT WOULD LEAVE 1.625 MILLION IN FUND BALANCE ON JUNE
30, 2004. HE ADDED IF THAT'S THE CASE HERE, THEN WE HAVE $509,000.00 TO DEAL WITH,
WHICH WE EITHER HAVE TO REDUCE SPENDING OR INCREASE REVENUES.
MAYOR PRO -TEM WOMBLE STATED THAT THE COUNCIL NEEDS TO DECIDE IF THEY
AGREE ON 25% OF EXPENDITURES OF FUND BALANCE TO REMAIN AT JUNE 30, 2004. HE
ADDED THIS WILL BE THE FUND BALANCE LEFT FOR THE CITY WHEN THIS COUNCIL
LEAVES OFFICE.
COUNCILMEMBER BASS STATED HE AGREED WITH MR. WOMBLE, BUT YOU IIAVE TO
KNOW THE AMOUNT NEEDED TO OPERATE WITH.
COUNCILMEMBER TART STATED THAT CUTS HAVE ALREADY BEEN MADE FROM THIS
BUDGET AND THEY WILL HAVE TO GO BACK TO EACH DEPARTMENT FOR ADDITIONAL
CUTS IF TAXES ARE NOT RAISED.
INTERIM CITY MANAGER AUTRY STATED IF THIS BUDGET WAS CUT ANOTHER $400,000.00
TO $500,000.00, THEN THEY ARE TALKING ABOUT CUTTING BIG NUMBERS WHICH MAY
INCLUDE CUTTING PROGRAMS, SERVICES, PAL PROGRAM, ETC. HE ADDED HOW WERE
THEY GOING TO DO IT. HE FURTHER STATED IF CITIZENS ARE PAYING MORE TAXES,
THEN THEY EXPECT THE SAME OR MORE SERVICE.
FINANCE DIRECTOR RENEE' DAUGHTRY STATED THAT ALL CAPITAL REQUESTS WERE
CUT FROM THIS BUDGET, BUT THERE WOULD BE ITEMS THAT WILL HAVE TO BE
PURCHASED IF THE NEED ARISES. SHE ADDED THIS BUDGET DOES NOT HAVE SUFFICIENT
APPROPRIATIONS.
COUNCILMEMBER BASS STATED HE COULD FIND $7,000.00 TO $10,000.00 SAVINGS BY
CUTTING OUT THE INSURANCE COVERAGE FOR COUNCILMEMBERS. MR. AUTRY STATED
THAT HAS BEEN DONE.
COUNCILMEMBER ROBINSON STATED HE WOULD BE WILLING TO FORFEIT HIS COUNCIL
✓ PAY. COUNCILMEMBER BASS AND MAYOR OUDEH AGREED. MAYOR PRO -TEM WOMBLE
STATED THE PROBLEM HE HAS WITH THIS IDEA IS THAT IN THE FUTURE PEOPLE THAT
WANT TO RUN FOR OFFICE WILL INCUR EXPENSES TO RUN AND SHOW UP FOR MEETINGS.
HE ADDED THIS PAY AFFORDS THOSE PEOPLE WHO GET PAID BY THE HOUR, THE
OPPORTUNITY TO SERVE THE PUBLIC. HE ADDED THAT WHEN TALKING ABOUT HEALTH
INSURANCE AND PAYMENTS TO VOLUNTEERS, HOPEFULLY THIS IS A SHORT TERM
PROBLEM, AND THEY SHOULDN'T CUT OFF THEIR ARM TO MOVE FORWARD.
MAYOR OUDEH ASKED MR. WOMBLE TO FORFEIT HIS PAY FOR THE NEXT TWO YEARS.
MR. WOMBLE RESPONDED IT WOULD BE POLITICALLY IMPOSSIBLE FOR THE NEXT
BOARD TO GET IT BACK. HE ADDED HE WOULD LIKE TO SEE THE PLANNING BOARD AND
BOARD OF ADJUSTMENTS RECEIVE COMPENSATION BUT RIGHT NOW IT WAS NOT
POSSIBLE.
MAYOR PRO -TEM WOMBLE STATED HE KNEW COUNCILMEMBER BASS DISAGREED, BUT
THEY NEED TO GET A CONSENSUS ON WHAT THE FUND BALANCE SHOULD BE ON JUNE
30. 2004 SO THEY CAN WORK BACKWARDS TO KNOW EXACTLY WHAT KIND OF NUMBERS
THEY'RE DEALING WITH.
COUNCILMEMBER BASS STATED HE WASN'T AGAINST THIS AND AGREED WITH MR.
WOMBLE. HE ADDED THAT RAISING TAXES WAS NOT IN HIS MIND. HE FURTHER STATED
TO RAISE TAXES WOULD BE SUICIDE AND HE FELT THEY NEEDED TO WORK THEIR OWN
PROBLEMS OUT WITHOUT RAISING TAXES.
COUNCILMEMBER SUMMER STATED THAT MR. AUTRY AND MS. DAUGHTRY IIAVE CUT
THE BUDGET AS MUCH AS THEY POSSIBLY COULD AND IT WOULD BE UP TO THE
COUNCIL TO CUT LINE ITEM BY LINE ITEM.
COUNCILMEMBER ROBINSON STATED WHEN YOU START CUTTING THE POLICE
DEPARTMENT, PUBLIC WORKS AND FIRE DEPARTMENT, IT'S BAD.
COUNCILMEMBER TART STATED HE DID NOT WANT TO RAISE TAXES. HE ADDED THEY
ALL MAY BE AGAINST RAISING TAXES, BUT STILL HAVE TO DO IT.
MAYOR OUDEH ASKED MR. WOMBLE TO EXPLAIN WORKING BACKWARDS.
843
MR. WOMBLE STEPPED TO THE BOARD AND EXPLAINED TO THE COUNCIL THIS
APPROACH: 7 -1 -01 (3.6M FUND BALANCE)
6 -30 -02 (- 800,000.00)
7 -1 -02 (2.8M FUND BALANCE)
6 -30 -03 (MUST DETERMINE THIS #) ($588,000.00)
7 -1 -03 (2.2M FUND BALANCE)
6 -30 -04 (MUST DETERMINE THIS #) ($588,000.00)
7 -I -04 (25 %= 1.625M FUND BALANCE)
BASED ON THESE FIGURES, THE CURRENT DEFICIT OF $1,018,193.00 WOULD HAVE TO BE
REDUCED TO $588,000.00 WHICH WOULD MEAN $430,000.00 MUST BE FOUND BY
ADDITIONAL CUTS IN SPENDING OR BY RAISING TAXES.
COUNCILMEMBER BASS STATED 25% WOULD BE GOOD BUT THEY MUST ALSO BE
REALISTIC. HE ADDED HE AGREED WITH 25% AS LONG AS TAXES WERE NOT RAISED. HE
FURTHER STATED YOU CANNOT CUT THIS BUDGET BY ANOTHER $430,000.00.
MAYOR PRO -TEM WOMBLE STATED HE WAS ONLY ASKING IF THIS IS THE PROCESS THE
COUNCIL WOULD LIKE TO USE, AND IF SO THEY MUST COME UP WITH THIS PERCENTAGE.
INTERIM CITY MANAGER AUTRY STATED HE THOUGHT MR. WOMBLE'S CONCEPT WAS
DEFINITELY GOOD AND 25% IS NOT UNREALISTIC. HE ADDED HIS THOUGHTS ARE WHEN
YOU LOOK AT THE DIFFERENCE BETWEEN THE TWO YEARS EVEN THOUGH YOU CAN'T
TAKE MONEY TO THE BANK THAT'S NOT THERE, THAT HE DOESN'T SEE HOW THIS
BUDGET CAN BE REDUCED MUCH MORE. HE FURTHER STATED BY USING MIKE'S
CONCEPT, IF THEY TOOK 75% OF THE MONIES THIS YEAR AND 25% OF THE MONIES NEXT
YEAR, THEN THE MONEY THEY WOULD USE FOR THIS YEAR'S FUND BALANCE WOULD BE
AROUND $881,000.00 VERSUS 1 MILLION.
COUNCILMEMBER TART ASKED MR. AUTRY WHEN WOULD PROPERTY RE- EVALUATIONS
TAKE EFFECT. MR. AUTRY RESPONDED JULY I, 2003.
COUNCILMEMBER TART ASKED MS. DAUGHTRY IN CASE OF A NATURAL DISASTER, WHAT
DID SHE THINK THE MINIMUM FUND BALANCE SHOULD BE. SHE RESPONDED 25% IS A
GOOD NUMBER BUT THE COUNCIL WILL HAVE TO MAKE THAT DECISION. SHE STATED AS
YOU DEPLETE THE FUND BALANCE, INTEREST INCOME STARTS TO FALL DRASTICALLY
AND EVERYTHING BECOMES COMPACTED.
CAPTAIN RONNIE RADCLIFFE STATED MR. AUTRY AND MS. DAUGHTRY HAD WORKED
VERY HARD ON THIS BUDGET. HE ADDED THEY HAD BEEN TO EACH DEPARTMENT HEAD'
AND HAD CUT THEIR BUDGETS AND IT WILL BE HARD FOR THE COUNCIL TO GET THIS
MONEY FROM THE POLICE OR PUBLIC WORKS. HE FURTHER STATED THAT HIS
DEPARTMENT HAS SEEN A DECREASE IN SPENDING SINCE THEY STARTED USING A PRE -
APPROVAL FORM FOR EACH PURCHASE. COUNCILMEMBER BASS AND MR. WOMBLE
THOUGHT THIS WAS A GREAT IDEA.
MAYOR PRO -TEM WOMBLE STATED THIS COUNCIL MUST DECIDE WHAT KIND OF FUND
BALANCE THEY ARE WILLING TO FACE THE PUBLIC WITH. HE ADDED THIS IS THE
NUMBER THEY MUST START AT AND HE DOESN'T KNOW ANYONE ON THE COUNCIL WITH
INTENTIONS OF RAISING TAXES OR CUTTING SPENDING BECAUSE THEY HAVEN'T GOT
THAT FAR YET. HE FURTHER STATED ALL THEY ARE TRYING TO DECIDE IS AT THE END
OF TWO FISCAL YEARS, WHAT WILL THE FUND BALANCE BE.
COUNCILMEMBER BASS STATED HE UNDERSTOOD WHAT MR. WOMBLE WAS SAYING BUT
HE COULDN'T SEE 25% MORE BEING CUT FROM THIS BUDGET.
MAYOR OUDEH ASKED MR. WOMBLE WHY WAS IT MORE LOGICAL TO HAVE 25% VERSUS
20% SUGGESTED BY COUNCILMEMBER TART.
MAYOR PRO -TEM WOMBLE STATED THE REASON HE SAID 25% WAS THAT IF WE HAD A
NATURAL DISASTER, HE DID NOT WANT THERE TO BE LESS THAN THE STATUTORY
MINIMUM WHICH IS $480,000.00 LEFT IN THE FUND BALANCE. HE ADDED IF $480,000.00
ADDED TO I MILLION (WHICH IS WHAT WAS SPENT DURING HURRICANE FRAN) THEN
THAT GIVES YOU I MILLION, 480 THOUSAND DOLLARS AND SO 25% IS 1.5 MILLION.
FINANCE DIRECTOR RENEE' DAUGHTRY STATED THE OTHER THING TO KEEP. IN MIND
WITH 25 %, IS IT IS ONLY ABOUT THREE MONTHS OF CASH FLOW.
COUNCILMEMBER TART REMINDED THE COUNCIL THAT 25% IS ONLY A GOAL AND IF
THIS GOAL CAN'T BE REACHED THEN THEY WILL HAVE TO BACK UP.
844
i
s ,
MOTION BY MAYOR PRO —TEM WOMBLE, SECONDED BY COUNCILMEMBER ROBINSON TO
ADOPT AS A PLANNING GOAL TO HAVE A MINIMUM 25% FUND BALANCE BASED ON
ANTICIPATED EXPENDITURES OF 6 MILLION JUNE 30, 2004. MOTION CARRIED 4 -1.
AYES NOES
WOMBLE BASS
ROBINSON
TART
SUMNER
INTERIM CITY MANAGER AUTRY STATED IF THIS IS THEIR GOAL AND PLANNING FOR
TWO YEARS WITH THE DIFFERENCE OF 1.3 MILLION USING 6 MILLION. HE ADDED THEN
HOW DO THEY SPLIT THESE TWO YEARS UP. HE FURTHER STATED WITH THIS LARGE
AMOUNT OF MONEY, HE DID NOT SEE HOW THEY COULD SPLIT THIS AMOUNT 50150.
MAYOR PRO —TEM WOMBLE STATED HE WOULD OFFER 60140.
MR. AUTRY STATED THAT WOULD MEAN AN ADDITIONAL $240,000.00 MUST BE CUT FROM
THIS YEARS BUDGET AND $520,000.00 FROM NEXT YEAR.
MR. WOMBLE STATED THAT ONCE FINANCE DIRECTOR RENEE' DAUGHTRY CONFIRMED 6
MILLION AND FROM THERE HAVE MR. AUTRY GO BACK TO THE DEPARTMENT HEADS
FOR THEM TO MAKE ADDITIONAL CUTS AND THEN BRING THIS BACK TO THE COUNCIL.
HE ADDED THE DEPARTMENT HEADS CAN COME UP WITH THIS NUMBER BETTER THAN
THE COUNCIL. HE FURTHER STATED THE DEPARTMENT HEADS WILL HAVE TO BE
INNOVATIVE IN FINDING CUTS,
MAYOR PRO —TEM WOMBLE STATED HE DID NOT WANT THE COUNCIL TO FORGET THE
DISPATCH ISSUE AND A SUBSTANTIAL AMOUNT OF THIS MONEY COULD BE GAINED
FROM THIS ONE ISSUE. HE ADDED THAT IN MOVING FORWARD THEY DO NOT NEED TO
FORGET ABOUT THIS. HE FURTHER STATED DUNN WAS THE ONLY CITY IN THE COUNTY
THAT FUNDS DISPATCH AT THEIR OWN EXPENSE WHICH INCLUDES HELPING TO PAY FOR
EVERYONE ELSE IN THE COUNTY. HE STATED HE THOUGHT AN EXCESS OF $150,000.00
COULD BE SAVED.
COUNCILMEMBER BASS DISAGREED BECAUSE THEY DO NOT KNOW YET WHAT THE
COUNTY WILL CHARGE FOR THIS SERVICE.
MAYOR PRO —TEM WOMBLE STATED HE CALLED THE COUNTY TODAY TO ASK ABOUT THE
DISPATCH ISSUE AND WAS TOLD A RESPONSE WAS FORTH COMING.
INTERIM CITY MANAGER AUTRY ASKED IF THE COUNCIL WOULD LIKE FOR RENEE' AND
HIMSELF AND THE DEPARTMENT HEADS TO LOOK AT THE 60140 SPLIT AND COME BACK IN
THE NEXT WEEK OR TWO. HE ADDED A FORMAL BUDGET MUST BE PROPOSED BY JUNE 1,
2002.
RECREATION DIRECTOR PERRY HUDSON ASKED WITH THE MONEY CUTS, WOULD THIS
MEAN THEY NEED TO CUT BACK ON SERVICE ALSO. MAYOR PRO —TEM WOMBLE
RESPONDED AT THIS POINT, THE DEPARTMENT HEADS NEED TO BE INNOVATIVE WITH
THE DIRECTION OF MR. AUTRY IN MAKING FURTHER CUTS. HE STATED THAT WITH
THERE BEING NO INTEREST IN INCREASING TAXES, IT WILL HAVE TO COME FROM
REDUCTION IN SPENDING. HE ADDED THAT DURING THIS FIRST ROUND, THE
DEPARTMENT HEADS WILL HAVE TO EXPLAIN WHAT THEY HAD TO TRIM TO GET THEIR
FIGURE AND THEN THE COUNCIL WILL HAVE TO DECIDE IF THIS IS WHAT THEY WANT.
MOTION BY COUNCILMEMBER BASS, SECONDED BY MAYOR PRO —TEM WOMBLE TO
RECESS THIS BUDGET WORKSESSION TO THURSDAY, MAY 23, 2002 AT 6:00 P.M. MOTION
UNANIMOUSLY APPROVED.
WITH NO
DISCUSS, THE MEETING WAS ADJOURNED AT 7:41 P.M.
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DEBRA G. WEST
DEPUTY CLERK
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