19721206 City Council Minutes381
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to retain eleven of the E.E.A. personnel, which the council had modified to a
total of twenty-three. This, of course, made a great difference in the budget,
and when Congress initiated this program, one group was to be funded to August 18
and the other to November 9. At this time, the funding is on a month to month
basis. However, the City of Edmonds has never received any correspondence or
phone call to change these two dates, but the newspapers have mentioned a cutoff
time (probable) of June 30. This has in no way been verified. In establishing
our budget (11 versus 23 has a great impetus on dollars), June 30 may be a logical
date to use, and the wages of the E.E.A. personnel figured from June 30 to the end
of the year. If, however, the government uses a February cutoff date, which has
also been mentioned, the money will be even shorter. Councilman Tuson asked,
assuming only eleven are retained, how much money out of the revenue sharing
would it take to balance the budget? The CAO then gave a brief rundown on the
monies, listing the extra expenditures council had provided for at the budget
hearing, and noting that the revenue sharing funds yet to be received for 1972
would go into cash on hand in the 1973 budget and not show as revenue received.
Councilman Nordquist stated that it was his opinion that the E.E.A. program has
been an asset to the City of Edmonds; that we have spent money training these
people and he Moped they could be absorbed into the city employee family. He
said that he was unhappy with the way these people are referred to as E.E.A. and
should be called city employees. CAO Whaley concurred that they were valuable
employees and had contributed a great deal to the city.
Finance Director Allen Tuttle then reviewed a summary of budget figures and pro-
jected these figures on the screen. He then distributed summary sheets to council
• for their information and clarification. There was a great deal of discussion,
and CAO Whaley stated that he would like approximately four more hours to work on
the budget figures. It was therefore moved by Councilman Nordquist, seconded by
Councilman Gellert to recess the budget hearing again until 7:30 on Wednesday,
December 6, and the motion carried.
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Council meeting was adjourned, and budget hearing recessed at 9:05 P.M. until
the following evening.
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Irene Varney Mor n, City Clerk
BUDGET HEARING
December 6, 1972
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Harve H. Harrison, Mayor
Recessed hearing on the 1973 Final Budget for the City of Edmonds was called to
order by Mayor Harve Harrison. All council members were present except Nelson.
Councilman Haines, noting that he was speaking for himself, stated that council
had made some major changes from what the Mayor had proposed, but he thought they
were all quite closely in line with the questionnaire the Mayor had sent out, and
the priorities that were set up in that, and although the answers to the question-
naire didn't change his mind, it reinforced some of the things he believed prior
to that. Going down through the services mentioned, the first priority the people
said was for better street maintenance, and council reacted to this.via,extra.man-
power in the Street'Dept. On the animal control, the contract with ABC acted
upon last night takes care of this second priority. For sidewalks', they had made
extra allocation; and for both Police and Fire the extra E.E.A. help was pretty
much in line with the priorities in question, plus the majority of the people
seemed to feel taxes were about right. He said he hoped by this action council
hasn't cut off any possible communication with the Mayor by making some altera-
tions, and by doing so perhaps have helped in the long run, and he would like the
Mayor's input on what has been done so far, and carry through on a good basis
and establish something that will go a long way for a better operation of the
City. He added that we hoped we haven't made drastic changes that will not be
able to be followed with good conscience, and that if the,Mayor has some disa-
greements with what the council has done, he would bring those up and then all
go forward on the -same pleasant basis that we had in the past. He commended the
Mayor's suggestions and preparing his own budget as having been very wise and
useful.
Mayor Harrison called upon CAO Ron Whaley, who furnished each council member with
the revised summary sheets, including all items changed by council action. The
total resources, less unallocated revenues based on anticipated revenues required
and based upon present utility taxes remaining, amounted to net revenues required
for a balanced budget of $7,054,497. The total resources being $7,227.177 and
unallocated revenues $172,680. He noted direction of the council by motion for
allocation of the utility taxes. The additional 12 E.E.A. employees would be
$37,620; sidewalks and trails $20,000. street construction $14,000; for a
total of $71,620.- Mr. Whaley cautioned, council that since we do not know the
federal funding for the E.E.A. termination, there should be set aside $60,000
in the event the actual termination point is June 30 instead of the August and
November dates. This would come out of the $172,680 figure In answer to council
questions, the CAO said that the city is being run on regular city revenue,,, in-
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cluding $50,000 for undergrounding and $20,000 for park improvement.
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Councilman Tuson said he felt a fund should be set up for transportation, and
there followed discussion on this, including use of tax money and the availabilty
of matching funds if the money is used from a city owned utility or from house-
hold tax source.
In regard' to the Special Library Fund, amounting to a sum of $1124, City Attorney
Murphy suggested reducing the unallocated figure by that amount. He said the
original purpose of the money was not for maintenance and operation, but rather
for purchasing a painting, sculpture, or something along those lines. He advised
that it is a nuisance to keep book accounts on this.
One item CAO Whaley stated should be added to the general services was a blanket
insurance policy which the Attorney had urged and advised, for an additional
coverage of up to a million dollars for a premium of $2300 to $2600 per year.
Attorney Murphy said he had looked over the policy proposed by Hubbard, and felt
that the City has so much exposure both over and underground, and with rolling
stock, there were many risks. Mr. Murphy felt it was a cheap premium for the
amount of coverage and recommended it with no hesitation. Following some further
discussion, it was moved by Councilman Haines, seconded by Councilman Nordquist
to add'the one million dollar additional insurance coverage suggested by the City
Attorney at a cost of between $2300 - $2600 annual premium. Motion carried.
Councilwoman Shippen suggested that council consider sometime soon a couple
thousand dollars for the Senior Center hot lunch program. She said that other
cities�in'the-area..have contributed to this, and she felt there was a need. The
Mayor pointed out that we now have committed ourselves to three different expen-
ditures for the Center - a $10,000 to $12,000 debt service on the bonds; $17,000
in -kind service contribution; and a yearly expense for M & 0 on the Center. He
cautioned council to take all this into consideration when thinking of making
additional contributions, and he questioned since the Center is the South County
Center, Edmonds should not be expected to contribute 90% of the effort. Council-
woman Shippen commented that she felt this was a real bargain, with opportunity
to obtain it having come through the Senior Center; it was an enormous asset; and
the M & 0 would be investment in our own property. There was some further dis-
cussion and clarification of in -kind contributions, and a motion was then made
by Councilman Haines, seconded by Councilman Nordquist to pass proposed Ordinance
41629, being a balanced budget of the City of Edmonds for 1973, with $7,054,497
net revenue, and unallocated surplus of $172,680. Councilman Gellert then moved,
seconded by Councilman Nordquist to amend the motion to state for a total revenue
of $7,227,177; Contingency fund add $11.0,080; and E.E.A. labor reserve fund of
$60,000; and decrease of the general services to $153,934, which would make the
expenditures $7,227,177. At this point, Councilman Gellert said he wished to
commend the Mayor and Administration for having the City of Edmonds in excellent
financial position, where we have cash on hand of a million and a quarter, and a
budget where he believed we can really move forward and give the citizens of
Edmonds the services they want. Councilman Tuson asked the CAO for an explanation
and clarification of the TOPICS program, which Mr. Whaley explained as the traffic
safety study, and this was discussed briefly. There was then call for the
question, and the amendment carried. The motion as amended then also carried, and
the hearing was adjourned at 8:40 P.M.
Irene Varney Mor , City Clerk
December 1.2, 1972
ROLL CALL
Harve H. Harrison, Mayor
Regular meeting of the Edmonds City Council was called to order by Mayor Harve
Harrison with all council members present except Nelson.
APPROVAL OF MINUTES
Councilman Gellert asked for a correction in the Budget Hearing Minutes for
December 6th. On page 2, the 10th line from the bottom where it says "and
decrease of the general services", it should say "increase". Another item he
mentioned was on page 3 of the December 5th Minutes, the next to the last state-
ment. He wishes his remark regarding turn-arounds to be deleted.
COUNCIL PARTICIPATION
Councilwoman Shippen said she had read in the newspapers that a Community Develop-
ment Department had been created by executive order, and that it was her under-
standing that this department does not, in fact exist. She said further, that
according to the Optional Municipal Code, only the Council can define the functions
and powers of its officers and employees. The Mayor noted that this department has
not been established.
Councilman Haines asked if we had received a letter from I-1UD stating that we had
made no violations with regard to the submission of appraisals, etc. for the
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