Loading...
05/04/1989 - Minutes Pla Sel �� MINUTES: Committee of the Whole Thursday, May 4, 1989 5:00 - 8:00 p.m. City Council Conference Room City & County Building, 325 451 South State Street In Attendance: Florence Bittner, Wayne Horrocks, Sydney Fonnesbeck, Alan Hardman, Torn Godfrey, Roselyn Kirk, Willie Stoler, Cindy Gust-Jenson, Christine Richman, Lee King, Cam Caldwell, Mayor Palmer DePaulis, Mike Zuhl, Linda Hamilton, Kerni Christenson Nakamura, John Williams, Barbara Bennett, Scott Bond, Jim Jewkes, Nancy Tessman, James Hall, Sgt. Mac Connole, Press l., Council Chair W.M. "Willie" Stoler, introduced the SLACC budget committee and said that they would be presenting the SLACC budget recommendations for the 1989-90 fiscal year. Ms. Virginia Byrd said that she would be the spokesperson for the group. Ms. Byrd said that the SLACC committee focused on fewer areas this year, looking at the needs of the City and the revenues available. She said that they looked for ways to increase revenues and the idea of user fees was discussed. She said that the SLACC committee supported the findings and goals of the R/UDAT study and wanted to see a shift in Community Development Block Grant (CDBG) funds to funds geared toward low income residential housing. She said that the committee also supported the sale of excess City property to help fund the acquisition of land for neighborhood parks. Council Member Alan Hardman asked if they had specific parcels of property in mind. Ms. Byrd said that they didn't but that the idea could be applied to specific situations later. Ms. Byrd said that the committee supported joining a nationwide computer network which tracks delinquent out-of-state parking and moving violations and helps in collections. Ms. Byrd said that they supported efforts to raise the monthly garbage collection fee in order to make the fund self-sufficient. Council Member Roselyn Kirk asked for an explanation of the recommendation concerning paramedic fees. Ms. Byrd said that the City could charge county residents for the services provided by the Salt Lake City paramedic squads. Ms. Byrd said that the SLACC committee also supported an increase in fees charged at the animal shelter, Ms. Byrd said that the challenge was to take the message to the people that the City should be seen as a long term investment and that the money need to be put in now, to reduce costs in the long run. Council Member. Florence Bittner said that she would like to see a fee structure developed to charge sports organization for the use of City facilities. She said that the City puts up all the land and that the City needed to regain some of the costs. Council Member Tom Godfrey asked if she thought that the neighborhoods would support the garbage fee increase. Ms. Byrd said that she had taken the idea to the community councils, and had not received an negative response. She said she felt that, if the fee increase was combined with a public education effort to explain the need for the increase, the neighborhoods would support it. Mayor Palmer DePaulis said that if the people understood that a raise in garbage fees frees up money to be used in other places, that it would be easier to support. Ms. Byrd said that the SLACC budget committee also supported a cost-of- living-adjustment (COLA) and merit pay increases not to exceed a total of 3%. She said that the employees were the key part to investing in the City. She said that the SLACC budget committee had worked hard on the recommendations and that they had met with representative of each department in a budget seminar to generate questions and get the idea of what effect the recommendations would have if implemented. Council Member Kirk said the list of recommendations contained some very good ideas. Council Member Sydney Fonnesbeck said that the business licence fees are based on a per/person rate but that they are capped at 300 employees. She said that revenue could be increased by raising the cap and charging the larger companies more. 2. Council Member Godfrey moved and Council Member Wayne Horrocks seconded a motion to enter. Executive Session to receive a briefing from Mayor DePaulis concerning collective bargaining. Council Members Godfrey, Horrocks, Bittner, Fonnesbeck, Hardman, Kirk and Stoler voted aye. Mayor Palmer DePaulis, Cindy Gust-Jenson, Mike Zuhl, John Gisler, and Lee King were present in the room. Council Member Godfrey moved and Council Member Hardman seconded a motion to adjourn Executive Session. Council Members Bittner, Horrocks, Fonnesbeck, Hardman, Godfrey, Kirk, and Stoler voted aye. 3. Lee King, Council Budget Analyst/Auditor, reviewed the Central Business Improvement District budget with the City Council. Mr. King indicated that there are two areas of interest in the budget. The first is the line item for downtown promotions for $9,000. He indicated that the money will be used to fund an administrative staff for the Regional/Urban Design Assistance Team project for six months. Mr. King stated that the CBID committed $30,000 to the R/UDAT project at the outset, and the $9,000 budgeted for in Fiscal Year 1989-90 fulfills that commitment. The remaining funding in the downtown promotions line item is for the hanging and removal of banners. The second item of interest in the CBID budget is $12,500 in a contingency line item. Mr. King stated that the placement of this funding in the contingency fund is a result of a dispute between the CBID board of directors and the routing of the Trolleys. John Williams, Chair of the CBID Board of. Directors stated that the CBID board had nothing against the trolleys themselves, and in fact feel that they add a lot to the area. He indicated that the problem is that if the CBID is going to partially fund the trolleys at least one route should be dedicated to the downtown district so that the members of the CBID can fully assess the benefit they are receiving from their investment. The City Council conducted a straw poll of the staff recommendation to approve the CBID budget as proposed. They voted 7-0 in favor of the recommendation. 4. The City Council reviewed the proposed Fiscal Year 1989-90 Library Fund budgeto Jim Jewkes, Chair of the Library Board of Directors, indicated that the budget as approved by the board includes no tax increase while still maintaining the cautious Capital Improvement Program discussed in the Fiscal Year 1988-89 budget consideration meetings. Mr. Jewkes stated that there is a slight salary parity adjustment proposed for library staff. He indicated that it is his understanding that the Mayor is proposing a 2% COLA for. City employees, so if the Library adjusts staff salaries by 2% as well, they will only be keeping even with City employees as opposed to gaining on the parity issue. He stated that although the Board would like to see library personnel paid more equitably, everyone understands that these are tough budget times, and a 2% parity adjustment will have to do. Mr. Jewkes stated that the Board had budgeted a $20,000 contingency which does not allow a lot of room for emergency needs. On the CIP, Mr. Jewkes indicated that renovations at the Sprague Branch will probably be completed in January of 1990. The renovations scheduled at the Anderson Branch are delayed pending a decision on the disposition of Firestation No. 10. Pertaining to the CIP as whole, Mr. Jewkes stated that the board is beginning their review process and will have a new 3-year plan ready for presentation to the Council in the near future. Mr. Jewkes stated that the major issue facing the libraries is that use is increasing while funding available for operations is decreasing. He indicated that eventually the service level will have to be reduced. Council Member Kirk asked if the Library were planning on purchasing firestation no. 10 when it becomes available or if they were negotiating for a denotation from the City. Mr. Jewkes stated that the board's preference would be a donation, but that if the City preferred selling the station, the board would assess the asking price and their resources when the information became available. Council Member Fonnesbeck asked if the library had received realistic numbers from the Redevelopment Agency on the amount of rollback money they could expect in FY 1989-90. Nancy Tessman, Assistant Director of Libraries, stated that the library will be held harmless from the impact of funding for the arena for two years. Lee King, Council Budget Analyst/Auditor, indicated that there are two specific issues pertaining to the Library's operating budget he would like the Council to be aware of. The first is that because there is no growth in the Library's budget, they will not be able to purchase as many books this year because the price of books has increased. The second is that the salary parity adjustment will not be effective until. January 1, 1990, because the Library could not afford a full-year parity adjustment. Mr. King indicated that an addi.ti.onal issue which must be taken into account when the Library develops its 3-year plan is the fact that in two years the RDA will take the full increment thereby reducing funding to the Library. The City Council conducted a straw poll on the staff recommendations pertaining to the Library budget. The Council. voted 7-0 to approve the Library's requested budget. The Council voted 7-0 in favor of asking the Board to address funding issues such as the fee and fine structure when developing their new long-range plan. 5. Cam Caldwell, Council. Budget Analyst, presented the City Council with an overview of the Mayor's requested Fiscal Year 1989-90 General Fund budget. A copy of Mr. Caldwell. 's report is attached. Council Member Hardman asked if the 25% reduction in car allowances the Council had adopted last fiscal year had been maintained in Fiscal Year 1989- 90. Steve Fawcett stated that the full funding for executive car allowances had been restored by the Departments making cuts in their budgets internally. Council Member Hardman asked if the reductions in travel budgets had been maintained. Mr. Caldwell stated that all of the reductions in travel had been maintained except for the reductions in the Attorney's Office budget because of some travel required by their current case load. Council Member Hardman asked if a decision had been made concerning the possible relocation of fire station no. one to the public safety complex, thereby allowing the City to sell the current structure rather than paying for a seismic upgrade. Mayor. DePaulis stated that his real property agents are currently reviewing the issues pertaining to firestation no. one and will return with a recommendation in the near future. The funds designated for seismic upgrade would be used on another station if station one is sold. Council. Member Bittner asked if the issue of parking at the public safety complex had been addressed. Mayor. DePaulis indicated that he is still waiting for a report, but will. get back to the Council on the issue as soon as possible. Council Member Hardman asked what the status of funding for the Sunnyside Recreation Center is. Scott Bond, Director. of Policy and Budget, stated that a financing plan is currently under. review. At this stage in the process, it appears that the City will be bonding jointly with the School District for the remaining contribution amount. Council Member. Hardman asked if the new firestation no. 1.0 will be ready in Fiscal Year 1989-90. Council Member Kirk stated that the citizens committee is still negotiating for a site. She indicated that the committee had set out to find a location which would not require the City to purchase the land, and are still pursuing that goal. Council Member Hardman asked if the proposed $800,000 is solely for construction costs. Mayor DePaulis stated that that is the case, there are no land acquisition costs currently associated with firestation no. 10. 00 ,leillriedi„ ATTEST: W. N. "Willie" Stoler, Chair e0f10 ty SLACC BUDGET COMMITTEE, MARCH 30, 1989 Virginia Byrd, Chairperson Gary Banks, Vice Chairperson Barbara Bennett, Vice Chairperson Kim Anderson, SLACC Mary Iliddenham, Sugar House Diana Smoot, Sugar House Vincent Shepherd, Greater Avenues Craig Standing, Weotside Annette Cumming, Greater Avenues Dave Little, East Central Don Tucker, East Central Norm Dean, Rose Park Wesley Lang, North Redwood The SLACC Budget Committee identified Revenue, Housing, Capital Improvements and Arts,Entertainment as priorities. REVENUE Revenue is critical. Current and new user fees represent the only real potential for immediate revenue to fund the Committee's recommendations. We recognize that raising property taxes this year is not politically expedient. The committee encourages the Mayor, City Council and staff to take the case to the public to ensure that future needs, particularly mounting CIP needs, can be met. The case must be made to the public that Salt Lake City must invest in itself in order to prosper. Groundwork must be laid for the State Legislature and the County to support measures necessary to increase future city revenue. HOUSING The committee supports the housing initiatives proposed by R/UDAT and a shift of CDBG funding from programs presently supported to residential low-income area improvements. We also recommend funding for the rewrite of the City Zoning Ordinance. CAPITAL IMPROVEMENTS Dire consequences are predicted for the city if capital improvements continue to fall short of identified needs. We recommend two outside consultants. The first would evaluate citywide capital improvement needs and spearhead an effort to educate citizens about the importance of making CIP investments in the city. The second would complete phase II of the downtown development plan. ARTS AND ENTERTAINMENT Arts and entertainment are essential to the vitality of city life. While increased expenditures are unlikely, the Committee supports city plans for incorporating art in the City and County Building. We also support the Salt Palace expansion. STACC Budget Committee March 30, 1989 Page 2 REVENUE RECOMMENDATIONS SHORT TERM: 1. Hire a Grants and Gifts Development Officer to solicit donations for items such as police officers in the schools, parks improvements, minor capital improvements. 2. Sell surplus property made available from the move to the City & County Building at a public auction or a giant garage sale. 3. Accept County offer for reimbursement of three paramedic units. 4. Investigate reimbursement for City costs of supporting the Days of '47 parade which may include bleacher ticket sales, TV rights, etc. 5. Join a national computer network to collect tickets from out-of-state residents. This would be much like the "OJICHA" program currently used in state. 6. Miscellaneous user fees: a) Increase the garbage fee to $6-$7 per month in order to make the service self supportive and to cover the cost of the neighborhood cleanup program. Also increase the cost of extra cans proportionately. Also consider instituting a special pickup dumpster that would be paid for by the users. b) Increase retrieval fees at the animal shelter to $15 for the first time and $25 for the second time. c) Investigate reimbursement for police service required by special business needs or special events. d) Charge for used vehicle inspections performed by the police. e) Charge for response to false burglar alarms and burglar alarm licenses. f) Charge organized sports leagues for maintenance of playing fields. LONG TERM: 1. Explore a commuter or payroll tax to help defer the expense of providing services to nonresident workers. 2. Seek compensation for assuming responsibility for state roads. 3. Seek redress for the population distribution formula of the state sales tax. 4. Seek reimbursement for providing fire protection to Emigration Canyon. 5. increase xater rates which will fund capital replacement of the water system. h c v.444 fi peox 4-o y14 Gc c ew.z 6. Explore new development impact fees to cover costs to streets, sewers, etc. BUDGET RECCMIENEATICNS 1. Consolidate and update print shops. 2. Investigate cheaper computer time. 3. Establish a system to provide financial rewards for employees for cost saving ideas. 4. Increase city support for the urban forestry program. 5. Support construction of the Jazz Arena. 6. F.ind combined employee COLA and merit increases, not to exceed 3%. CENTRAL BUSINESS IMPROVEMENT DISTRICT Prepared by Lee King I have attached a summary review of the CBID budget for 1989/90 submitted by the Office of Local Business Advocacy. As they did excellent job of summarizing the budget I will not repeat their review. I would like to point out two areas that Council may have additional questions or comments on. The first item is R/UDAT support listed under downtown promotion. This request is for $9,000 to fund a staff member for six months who will provide administrative support to the R/UDAT Committee. This amount will also pay for leased office space and supplies. There has been some discussion by the CBID Board as to who will exercise supervisory control over the staff - position. The options discussed were the CBID Board and the R/UDAT Committee. At the time of this report the question had not been fully resolved. The second item is that the CBID Board has expressed some concerns with the annual $12,500 grant to the Trolley Advisory Committee. CBID 's initial position was to delete this funding. Further discussions resulted in the board placing $12,500 in a contingency fund pending further discussions with UTA on how best to fund the trolleys. I should point out that the Administration has requested an appropriation of $23,500 as the City's grant to the Trolley Advisory Committee. This is consistent with previous year's budget requests. Several of you recently raised the question as to the proper role of the Council in the budget process as it pertains to the CBID. The City Attorney has provided a legal opinion which is attached. It is their opinion that the "City Council and Mayor each have those respective powers relating to the CBID budget as each has relating to the regular' City budget and that the Council may place policy restrictions upon proposed expenditures, however such restrictions may not impinge upon the executive's power to execute or implement such policy. " STAFF RECOMMENDATION Approve the Central Business Improvement District budget in the amount of $145, 107. 1 SALT 011t G�DRP� `rIO � DEPARTMENT OF DEVELOPMENT SERVICES Office of Local Business Advocacy 324 SOUTH STATE STREET, ROOM 201 SALT LAKE CITY, UTAH 84111 535-6230 April 24, 1989 W.M. "Willie" Stoler, Chairman Salt Lake City Council 324 South State Strcet, Suite 300 Salt Lake City, Utah 84111 Dear Chairman Stoler: Attached please find the proposed 1989-90 budget for the Central Business Improvement District. The proposed budget is $145,107.56 which is up `from the 1988-89 proposed budget of $127,500.00. Projected revenues for 1989-90 are $145,107.56. Business license foes are projected to provide $115,000.00 while interest income is projected to be $10,000.00. The CBID Board requests a transfer of $20,107.56 from the fund balance in order to achieve projected revenues. Business license revenues are projected to be $10,000 higher than in 1988- 89 due to aggressive enforcement guidelines recently implemented by City enforcement officials. The most dramatic increase in expenditures is in the Christmas budget. The 1988-89 Christmas budget was $50,000. The proposed 1989-90 Christmas budget is 65,706.56. The board approved expected replacement of light strands and light bulbs. The board also approved the replacement of certain electrical plugs, garlands for State street and Main street, and deteriorated winches and cables. It is not necessary to replace the plugs, garlands, and winches and cables every year, however, it is necessary to replace them this year. Another major expense in the Christmas budget is the increased air time for commercials. The proposed downtown promotions budget increased from $50,000.00 in 1988-89 to $54,600.00 in 1989-90. The annual newsletter was removed from the budget while allocations to R/UDAT and a special non-Christmas media promotion were added. The budget also allows the acquisition of an addition set of "generic" banners as well as cleaning fees for all banners. Proposed budgets for City Administration costs and Administration and Special Projects remained unchanged from 1988-89 at $4,800.00 and $7,500.00 respectively. The CBID board has some concerns with the traditional $12,500.00 allocated for funding the UTA trolley cars. The board has agreed to place $12,500.00 in contingency until further discussions concerning the UTA funding have been held. Thank you for consideration of the proposed CBID 1989-90 budget. Sincerely, Kerri Christenson Nakamura Office of Local Business Advocacy cc: Mayor Palmer DePaulis Craig Peterson, Development Services Director Jill Remington, Local Business Advocacy CBID Board Members Proposed Budget for Central Business Improvement District - 1989-90 R• • D.: Business Licenses: $115,000.00 Interest Income: 10,000.00 Transfer from Fund Balance: 20,107.56 TOTAL: $145,107.56 EXPFND1TtJRE 3: CHRIS`IMAS DECORATIONS 28 Garland @320.00 Replacement of plugs on State Street 32 poles @ 87.58 280 Strands - Multi Color @ $9.00 50 Strands - White Lights @ $7.50 6,000 C-7 Clear bulbs @ $.25 • 5,000 C-9 Multi bulbs @ $.35 • Inspection and repair of winches and cables Christmas Parade Christmas Coitiir rcial - Air Time Installation of Christmas Decorations TOTAL 65,707.56 DOWNTOWN PROMOTION Banners Banner Cleaning New bracket replacement Brownbag Series Sumner in, the City Downtown Merchants Labor of Banners R/UDAT Special Media Promotions TOTAL 54,600.00 CITY ADMINISTRATION COSTS License Collection Foos lUi'AL 4,800.00 ADMINISTRATION AND SPECIAL • D Carol Dibblcc • Postage Supplies Update Park and Shop CBID Newsletter TOTAL 7,500.00 CXNr ea 12,500.00 GRAND TOTAL $145,107.56 • /p T ny.� y� T ,v CC: l Il (,c,nq ZI {i(e ROGER F. CUTLER SALT TI Al Q ' C I 1 �II,y�� W° •t 1 NM �+ Il 1 �3JhJ. 1` 1„ ASSISTANT ATTORNEYS CITY ATTORNEY ...� .r �5�� vim. + RAY L. MONTGOMERY STEVEN W. ALLRED LAW DEPARTMENT - -- GREG R. HAWKINS DEPUTY CITY ATTORNEY 324 SOUTH STATE STREET, FIFTH FLOOR LARRY V. SPENDLOVE BRUCE R. BAIRD CHERYL D. LUKE SALT LAKE CITY, UTAH 84111 •, FRANK M. NAKAMURA CITY PROSECUTOR -- _(8O]) 535-7788 - FAX (801) 535-7640 ASSISTANT PROSECUTORS DONALD L. GEORGE CECELIA M. ESPENOZA RICHARD G. HAMP GLEN A. COOK April 24, 1989 Willie Stoler Salt Lake City Council 324 South State Salt Lake City, Utah 84111 Re: CBID Budget Dear Council Member Staler: Attached please find the Opinion of this Office pursuant to your request of March 1, 1989 . Subsequent to your letter, I conferred with the Council Executive Director and concluded the questions responded to in this Opinion accurately reflected your inquiry. If you have any questions, please feel free to contact me. est personal regards, . I S VEN W. AL ED Deputy City Attorney SWA:cc Enclosure • QUESTIONS: 1 . Can the City Council review the budget of the Central Business Improvement District? 2. Can the City Council place restrictions on the expenditure of District funds? ANSWERS: 1 . Yes. 2 . Yes, but see below. BACKGROUND The City is granted authority to create parking and business improvement districts pursuant to §11-24-1, et seq. Utah Code. On February 2, 1982, the City passed Resolution 19 of 1982 whereby the Central Business Improvement District (CBID) was formed and an administrative .advisory board consisting of 9 members was created. Inasmuch as the Resolution did not specifically relate to the powers and duties of the Board, the City passed §2.36.010 et seq. Salt Lake City Code ( formerly §8-2-1 et seq. R.O.S. L.C. ) . ANALYSIS • Section 11-24-11, Utah Code, provides that budgetary, accounting for and disbursing of funds of the CBID shall be governed by the general laws relating to the municipality creating the district; provided, however, such funds may only be used for district purposes. The budget may be adopted as part of the City' s general budget or as a separate budget. The budget shall be adopted and administered in the same manner as the City' s general budget. Expenditures are likewise to be made in the same manner as other City expenditures are made. Accordingly, it is appropriate to review the general powers of the municipal branches of government relevant to the regular budget process. Section 10-3-1210, Utah Code, provides, inter alia, that the City Council shall appropriate funds. Section 10-6-106( 15 ) , Utah Code, (Fiscal Procedures Act) defines "appropriation" as the allocation of money for a specific purpose. Subsection ( 10) provides that "budget" means a plan of financial operations which contains an estimate of proposed expenditures for given purposes. On the other hand, the executive is also involved in the process. Section 10-3-1219, Utah Code provides, inter alia, that the Mayor shall ( 1 ) appoint a budget officer for the purposes of conforming to the requirements of the Uniform Municipal Fiscal Procedures Act; and (2 ) furnish the Council with information regarding (a) the amounts of all budget appropriations, (b ) the total disbursement to date from those appropriations, (c) the amount of indebtedness incurred or contracted against each appropriation and (d) the percentage of the appropriation encumbered to date. Section 10-6-111( 2 ) , Utah Code, required that the budget officer ' s tentative budget submitted to the Council shall contain specific work programs and such other data as the Council may request. Subsection (3 ) provides that the Council may make such amendments or revisions as it deems advisable. • • Section 10-3-1214 provides that the Mayor may veto all or any part of the budget which veto may in turn be overridden by a two-thirds vote of the Council. The budget process is not, in its mechanics, significantly different from the standard ordinance process, i.e. each branch is vested with certain powers and responsibilities and each is vested with certain checks and balances within that process. Utah' s Supreme Court has set forth the basic statement regarding the relative responsibilities of the legislative and executive branches of municipal government in the council-mayor form when it held: . . . the council-mayor form of government . . . is a true separation of powers form of government. . . . Simply stated, legislative powers are policy making powers, while executive powers are policy execution powers. Legislative powers, as distinguished from executive power, is the authority to make laws, but not to enforce them or appoint the agents charged with the duty to make such enforcement. The latter are executive functions. They are the acts necessary to carry out legislative policies and purposes and are deemed acts of administration. (Emphasis added ) . -2- It is within that framework that this Office has reviewed the questions raised herein and concluded that the powers of the Mayor and Council relative to the CBID are not readily distinguishable from other matters of municipal business, that is, the power of the Council to appropriate for specific purposes in the context of its policy-making powers and the power of the Mayor to implement that policy pursuant to his administrative discretion. • This separation of powers has been considered previously by the Council and, in the opinion of this Office, appropriately resolved when Section 2.36 .010 et seq. Salt Lake City Code was enacted. _ Section 2.36 .030 Salt Lake City Code provides that the Mayor shall appoint, subject to the advice and consent of the Council, members to the CBID Board. and members may be removed by the Mayor for cause. Section 2.36. 120 Salt Lake City Code provide& that the- CBID Board shall recommend, to the Mayor, appropriate rules`, regulations and budget and to review with the Mayor, revenue and expenditures. • Clearly, it was the intent of these ordinances to reflect that separation of powers. Accordingly, it is the view of this Office that the CBID budget is subject to all the standard budgetary powers of the Council. Specifically stated, the Council has the opportunity to review and adopt, subject to the Mayor' s veto, the budget for the CBID. As a part of that review and approval the Council may choose to place restrictions upon the use of budget funds. Within its policy-making function it is appropriate that it do so. That policy-making restriction must, however, be fashioned with great caution so as to avoid that intangible line of demarcation which separates the policy-making (legislative) from the policy-executing (executive) . To be illustrative, clearly the Council could restrict fund to be used for a general purpose, i.e. for the evaluation of parking needs necessary for the improvement of the downtown business district. Such an expenditure would be a given purpose as contemplated by the Fiscal Procedures Act. Just as clearly, the Council could not appropriate funds specifically to the ABC Company to perform such study inasmuch as the means by which policy is implemented is an -3- executive function. The policy restriction may not be so limiting as to preclude the executive from exercising its discretion. It is not possible for this Office to clearly enunciate a rule which can be uniformly applied regarding the boundaries of budget restrictions. Each restriction must necessarily be viewed individually in light of the circumstances attendant to that restriction. The very give and take nature of the budget process must also be weighed in that case specific review. Accordingly, it is the opinion of this Office that the City Council and Mayor each have those respective powers relating to the CBID budget as each has relating to the regular City budget. Further, it is the opinion of this Office that the Council may place policy restrictions upon proposed expenditures, however such restrictions may not impinge upon the executive's power to execute or implement such policy. Specifically, if the Mayor believed the addition of staff was necessary to implement the policy, it would be within his authority to expend funds for that purpose. STEVEN W. ALLRED Deputy City Attorney SWA:cc -4- Salt Lake City Public Library Operating and Capital Budget Fiscal Year 1989-90 Salt Lake City Public Library OPERATING AND CAPITAL BUDGET Fiscal Year 1989-90 TABLE OF CONTENTS EXECUTIVE SUMMARY 1 THE CITY LIBRARY IS A WELL-USED COMMUNITY RESOURCE 2 PLAN FOR 1989-90 GOALS AND OBJECTIVES . Introduction 3 . Library Operations Goals 4 . Administrative Goals 5 BUDGET REVENUE OPERATING AND CAPITAL . Summary of General Property Tax Request 6 . Revenue Sources Operating Fund 6 . Revenue Sources Capital Fund 6 OPERATING BUDGET EXPENDITURES . Summary Operating Expenditures 9 . Buildings, Grounds and Equipment 10 . Materials 14 . Personnel 21 . Services 23 CAPITAL BUDGET EXPENDITURES . Summary Capital Expenditures 27 . Main Library 29 . Anderson/Foothill Branch 30 . Avenues Branch 31 . Chapman Branch 32 . Rose Park Branch 33 . Sprague Branch 34 SALT LAKE CITY PUBLIC LIBRARY EXECUTIVE SUMMARY The 1989-90 budget of the Salt Lake City Public Library represents an acknowledgment of the no-growth mandate determined at both the state and local levels of government In Utah. The Library Is experiencing record growth In use at all locations. Costs for services and materials are escalating while operating revenues are remaining level . A continuation of this stationary situation will result in a noticeable reduction in buying power and a subsequent reduction In service. The tax Increase levied last year enabled the Library to proceed with Its Ten Year Capital Improvements Program. This increase of approximately $247,000 annually will support much needed projects throughout the system. Plans for 1989-90 include completion of the renovation and elevator addition at the Sprague Branch Library, the initial phase of construction for the expansion of the Anderson/Foothill Branch Library, and the replacement of the floor covering on the first floor of the Main Library. During the fall of 1989, the City Library will complete a revision of the Long-Range Goals and Service Plan for the next three years. Increasing use, technological changes and austere budget conditions must be recognized as the Library staff and Library Board of Directors plan for the future. The Library looks forward to evaluating its current service and planning the most effective and cost-effective service directions for the next three years. The 1989-90 budget Is presented by highlighting the specific plans and objectives for the coming year. Then each budget revenue source and expenditure center is reviewed. [ 1 ] IMt Mt CUT KUIIC Usual Mal CII .M,. THE CITY LIBRARY IS A WELL-USED )7165.94 COMMUNITY RESOURCE 1"" um mu um Over one-half million people `r°' used the Main Library and over 1 111 0 1 1 .655 million Items were checked IOW out of the City Library System ""I during 1988, both record `"°I um numbers! 1rr um The City Library continues to set the pace In circulations per um 1N71 capita among libraries In the um Intermountain West and libraries um in Megatrend clues. "'I um um um 411& not The City TRW •� Library System n91 L. t.....0 AM ' MI ire Nit Mt 1=I "r IId ISM 1111 ism COIPARISON OF SALT LAKE CITY PLFLIC LIBRARY TO LIBRARIES SERVING 100,000 OR WIRE POPULATION CIRCULATION PER CAPITA IN CONTIGUOUS STATES YEGJITREND CITIES CIRCULATION PER CAPITA 1976 CURRENT SALT LAKE CITY 10.03 T1X2 '- - 6.54 DENVER 6.17 SALT LAKE CITY 10.03 PHOENIX 6.02 ' COLORADO SPRINGS 6.14 RESX_ - 7.48 AUSTIN 5.28 RENO 5.97 TUCSON 6.54 SAN JOSE 5.22 BOISE 5.63 BOISE 6.23 ALBUOUEROUE 4.75 TUCSON 5.01 PHOENIX 6.02 SAN DIEGO 4.56 MESA 4.51 AURORA 5.87 TAMPA 3.26 PHOENIX 4.44 DENVER 5.37 SAN ANTONIO 2.69 SALT LAKE CITY 4.44 ALBIAUEROUE 4.75 4.07 PUEBLO 4.49 LAS VEGAS 3.49 LAS VEGAS 4.05 SDIAiCES- ALBU UEROUE 3.26 COLORADO SPRINGS 3.54 1988-89 AMERICAN LIBRARY PUEBLO 2.92 RENO 3.46 DIRECTORY 1988 SALT LAKE CITY PU3LIC LIBRARY CIRCULATION SOURCES - 1976-77 AMERICAN LIBRARY DIRECTORY REPORT - 1988-89 AMERICAN LIBRARY DIRECTORY [ 2 ] INTRODUCTION TO GOALS AND OBJECTIVES The Salt Lake City Public Library remains committed to a continual planning process which identifies future needs and strives to determine improved service strategies. The objectives established for the 1989-90 year represent the final tasks outlined as a part of the Library's Long Range Plan for 1984-1989. This long-range planning tool is currently being revised for the 1990-91 budget planning period and will be presented to the City Council by January of 1990. The Library will face considerable challenges during the coming year . Economic forces continue to erode the tax base and revenue Increases due to growth are minimal . At a time when the Library should increase salaries to equitable levels, health Insurance costs will increase dramatically, thereby limiting the Library's ability to deal with a serious parity problem. Costs of library materials continue to rise, while the materials budget cannot be increased. Use at all locations continues to increase, while limited funding and a recognition of cost containment prevents the Library from allocating the additional staff needed throughout the system. This budget plan is a very conservative one. Expenditures for buildings and grounds, services and materials will remain at current levels. Increases to the Personnel budget are due to a 27% increase in employer health Insurance costs, minimal increases in support of the Library's performance plan system, and a small increase to continue efforts to reach parity with other City employees. Last year , the Library abided by the conditions established by the City and did not award any merit Increases. Another subsequent year without the potential for increases based on exemplary performance could destroy an honorable system which the Library and its staff have worked to build. The Library's emphasis for 1989-90 will be the successful continuation of the Capital Improvements Program and the completion of a responsible planning document for the coming years. The administration and staff will continue to do whatever Is possible to provide sustained, high quality library service during a difficult period of fiscal restraint . [ 3 ] LIBRARY OPERATIONS GOALS FISCAL YEAR 1989-90 1 . IMPROVE ACCESS TO THE LIBRARY'S RESOURCES In order for users to have accurate bibliographic Information, we must continue updating and Improving our catalog system. During 1989-90 we will accomplish the following: - Continue upgrade of the computer system to a more user-friendly system with an average response time of less than two seconds - Convert 80% of the database to full MARC records 2. EXTEND THE AVAILABILITY OF LIBRARY RESOURCES This goal focuses on community involvement and outreach efforts. We will place an emphasis on maintaining high visibility with local groups and organizations, and develop contacts needed to support fund-raising efforts for the Capital improvements Plan. During 1989-90, we will accomplish the following: - Continue regular meetings with local community councils and other appropriate organizations - Improve communications with targeted groups which will include youth service providers, local business groups, senior citizens and literacy groups 3. EVALUATE, DEVELOP AND MAINTAIN COLLECTIONS IN RESPONSE TO IDENTIFIED AND ANTICIPATED NEEDS OF THE COMMUNITY. This goal focuses on our materials collection, the heart of our business. During 1989-90, we will accomplish the following: - Maintain percentage of operating budget spent on materials - Maintain vigorous evaluation programs to provide current and attractive collections - Revise collection development plans in response to long-range goals and community needs 4) MAINTAIN ADEQUATE NUMBERS OF QUALIFIED STAFF The Library continues to experience growth in service demands. We will seek to meet this demand without adding additional staff whenever possible. During 1989-90, we will accomplish the following: - Adjustments In staffing levels to respond to identified needs - Maintain level of staff support and development programs - Continue staff incentive program [ 4 3 ADMINISTRATIVE GOALS FISCAL YEAR 1989-90 1 . EXPAND, DIVERSIFY AND ENSURE AN APPROPRIATE FINANCIAL BASE FOR THE SALT LAKE CITY PUBLIC LIBRARY. The operating and capital budgets need to continue to grow In order to meet the challenge of providing library service In future years. During 1989-90, we will accomplish the following: - Pursue viable alternative funding sources - Continue development of fund-raising programs to meet the goals outlined in the Capital Improvements Program - Continue cost reduction programs 2. EXTEND THE AVAILABILITY OF LIBRARY RESOURCES We must provide the public with adequate facilities for quality library service. All library facilities need attention and during 1989-90 we will begin work on the Ten-year Capital improvements Program. - Begin construction on the addition to the Foothill Library during 1989-90 - Begin construction on the elevator addition and renovation for the Sprague Branch during 1989-90 3. RECRUIT AND MAINTAIN ADEQUATE NUMBERS OF QUALIFIED STAFF The Library will continue its efforts to obtain equitable and competitive salaries for library employees. During 1989-90, we will accomplish the following: - Continue effort to upgrade salaries - Evaluate and increase volunteer activity - Continue effective recruitment of qualified staff 4. ORGANIZE AND IMPROVE THE COLLECTION OF MANAGEMENT INFORMATION NEEDED FOR DECISION MAKING The Library continues to need current and accurate evaluative Information to assist In making good decisions. During 1989-90, we will accomplish the following: - Complete Long-Range Goals Plan - Conduct performance measures for reference and materials availability - Develop a plan for improved and automated acquisitions functions and serials control [ 5 ] SALT LAKE CITY PUBLIC LIBRARY SUMMARY OF GENERAL PROPERTY TAX REQUEST 1989-90 BUDGET 1988-89 1989-90 BUDGET BUDGET Operating $4,546,779 $4,634,511 Capital 426,900 366,900 TOTAL GENERAL PROPERTY TAX $4,973,679 $5,001 ,411 REVENUES SOURCES OPERATING FUND AND CAPITAL FUND 1989-90 BUDGET 1988-89 1989-90 BUDGET BUDGET OPERATING REVENUE General Property Tax $4,546,779 $4,634,511 Copy Machines Revenue 45,500 45,500 Fines and Collections 75,000 90,000 Interest 120,000 127,500 Grants-MURL 30,000 25,000 Grants-Literacy 10,000 8,000 Utah Library Development 21 ,000 24,500 Utah Interlibrary Loan 2,000 5,000 Donations 2,500 2,500 TOTAL OPERATING REVENUES $4,852,779 $4,962,511 CAPITAL REVENUE General Property Tax $ 426,900 $ 366,900 Interest 55,000 57,900 1987-88 Capital Fund Balance 265,636 --- 1988-89 Capital Fund Balance (est) --- 596,484 Donations and Grants 125,000 20,000 TOTAL CAPITAL REVENUES $ 872,536 $1 ,041 ,284 [ 6 GENERAL PROPERTY TAX The City Library requests a tax rate of .00083 to fund this year 's budget request. The budget request provides for continuation of the Capital Improvements Program and performance Increases for staff. COPY MACHINES REVENUE The Library provides copy machines at each of its locations both as a service to the public and to reduce vandalism, destruction and loss of library materials. This Is especially relevant in the case of reference books and periodicals which may not be checked out of the Library. The copy service provides a valuable protection for heavily used, expensive and frequently irreplaceable reference material . Through the purchase of Its copiers, the Library has been able to significantly reduce the cost of providing this service. The monthly purchase price remains constant over the five-year purchase period which provides an inflation shelter. In addition, it has been shown that the monthly purchase payment is lower than comparable monthly rental costs. In compliance with the audit, revenue received from the Library's copiers are now reported as a gross revenue amount ; and supplies and maintenance costs are included in budgeted expenditures. FINES AND COLLECTIONS Fines and collections are projected to Increase because of the continuing increase In use of the City Library System. INTEREST In the volatile Investment market , this account is impossible to project precisely with any real assurance. The projection is a conservative one based upon the estimated 1988-89 investable funds at 8 1/2 percent interest . [ 7 ] GRANTS The Library will continue its campaign to raise funds for capital items, programs, and special library materials. UTAH LIBRARY DEVELOPMENT The Utah Library Development revenue center Is now In its third year . This center Is funded by the Utah State Library as a partial recognition of the role of the Salt Lake City Public Library. UTAH INTERLIBRARY LOAN The Salt Lake City Public Library Is compensated as a net lender by the Utah State Library for interlibrary loans to other Utah libraries. DONATIONS The Library currently has donation boxes at all locations. [ 8 ] SALT LAKE CITY PUBLIC LIBRARY SUMMARY OPERATING EXPENDITURES 1988-89 1989-90 BUDGET BUDGET BUILDINGS AND GROUNDS Bldgs & Equip-Maint $ 53,000 $ 63,000 Bldgs & Equip-Contract Sery 189,585 177,613 Equipment Purchases 18,000 18,000 Heating, Cooling and Fuel 46,000 46,000 Lights and Power 106,500 106,500 Motor Equipment-Sery & Malnt 3,500 3,500 Rent-Property and Equipment 1 ,400 2,000 Water 7,900 7,900 TOTAL BLDGS AND GROUNDS $425,885 $424,513 MATERIALS Binding $ 10,500 $ 7,500 Books 600,392 603,582 Cassettes-Audio 29,300 29,300 Cassettes-Video 7,500 10,000 Compact Disc 27,300 27,300 Framed Art 900 900 Microforms 15,800 15,800 Online Reference 13,000 11 ,000 Pamphlets and Maps 750 650 Periodicals 66,500 69,360 Prints 1 ,500 1 ,500 Recordings 11 ,000 8,050 Slides 1 ,500 1 ,000 TOTAL MATERIALS $785,942 $785,942 PERSONNEL Salaries and Wages $2,678,592 $2,763,735 Employees' Insurance 150,420 208,403 Social Security 201 ,162 209,491 Retirement 218,013 210,163 State Unemployment Compensation 10,000 2,500 Contingency 5,000 --- TOTAL PERSONNEL $3,263,187 $3,394,292 SERVICES Cataloging Charges $ 49,700 $ 38,126 Copy Machine Supplies 10,000 10,000 Insurance and Surety 39,000 39,000 Library Supplies 48,000 52,000 Office Supplies 7,500 9,000 Postage 27,500 28,500 Processing Charge/City 15,000 15,000 Professional and Technical 14,900 18,950 Programs 5,025 5,025 Publicity and Printing 25,976 27,000 Staff Development 4,000 4,000 Sundry Expense 9,400 9,400 Telephone 53,000 53,000 Travel 14,700 14,700 TOTAL SERVICES $323,701 $323,701 TOTAL OPERATING EXPENSES 4,798,715 4,928,448 DEBT SERVICE (XEROX CONTRACTS) 14,064 14,063 CONTINGENCY 40,000 20,000 TOTAL $4,852,779 $4,962,511 [ 9 ) SALT LAKE CITY PUBLIC LIBRARY BUILDINGS, GROUNDS AND EQUIPMENT BUDGET 1988-89 1989-90 BUDGET BUDGET Bidgs & Equip-Maint $ 53,000 $ 63,000 Bidgs & Equip-Contract Sery 189,585 177,613 Equipment Purchases 18,000 18,000 Heating, Cooling and Fuel 46,000 46,000 Lights and Power 106,500 106,500 Motor Equipment-Sery & Maint 3,500 3,500 Rent-Property and Equipment 1 ,400 2,000 Water 7,900 7,900 TOTAL BLDGS AND GROUNDS $425,885 $424,513 BUILDINGS AND EQUIPMENT - MAINTENANCE - $63,000 - Increase $10,000 The Buildings and Equipment-Maintenance budget center was developed to permit better tracking of ongoing maintenance costs. The Increase In this budget center Is a direct result of reclassifying lawn care, snow removal and supplies from Steiner Corporation as general maintenance Instead of contracted services. BUILDINGS AND EQUIPMENT - CONTRACTED SERVICES - $177,613 - Decrease $11 ,972 The Library regularly reviews its maintenance contracts and contracted services. The reduction in this budget center Is from reclassifying certain services as noted above, a reduction in computer maintenance costs, and exchanging the cost of building cleaning contracts for Sprague and Rose Park Branches for part-time custodians on each site. Security and improved maintenance of these older buildings can be achieved more adequately by the appointment of dedicated staff . Several other service contracts were canceled in 1988-89. The following is a total list of all service and maintenance contracts. [ 10 ] SERVICE CONTRACTS VENDOR 1989-90 NUMBER VENDOR BUDGET 10450 ADVANCED SYSTEMS [JAN] 1 ,810 FUJI Reader/Printer #2711372 510 Minolta RP405 *167852 295 NMI 2020 (4 machines) 580 B&H Micro Copy 10 (5 ® $85.00) 425 11053 ALPHA NUMERIC (5 CPT word processing systems) [APR] 6,426 21600 BIG VALLEY WASTE (155/mo) 1 ,860 Main 75/mo Chapman 20/mo Rose Park 20/mo Avenues 20/mo Foothill 20/mo 30100 CACTUS AND TROPICALS (679.75/mo) 8,157 Main Library 250/mo Anderson/Foothill 85/mo Avenues 85/mo Chapman 92/mo Rose Park 75/mo Sprague 92.75/mo 30600 CCI SERVICE (Rose Park heating/air conditioning) [SEP] 642 31900 CL SYSTEMS, INC. 52,000 80950 HONEYWELL (temp control/Main) 535/mo 6,420 100250 J.B.M. Service (5600 mailing machine) [FEB] 200 130510 MCINTYRE (dumpster at Sprague) 25/mo 300 130700 MERCHANTS BLDG MAINT CO 42,000 (Main Library public area contract cleaning) 3,500/mo 131900 MONTGOMERY ELEVATOR (Main Library) 14,575 4 escalators; 2 elevators 3,643.80/gtr 131900 MONTGOMERY ELEVATOR (Chapman) 725 160200 PEAK ALARM (304.62/mo) 3,655 Main 49.00/mo Main (fire alarm) 43.00/mo Chapman 38.24/mo Rose Park 42.86/mo Sprague 45.84/mo Avenues 42.84/mo Foothill 42.84/mo [ 11 3 160950 PIANO SHOP (40/qtr piano tuning) 160 161280 PITNEY BOWES (postage scale SOFT-GUARD agreement) 175 162200 PROFESSIONAL BUSINESS MACHINES 1 ,583 maintenance on IBM typewriters 30 0 39.50 - 1 ,185.00 2 e 199.00 - 398.00 (electronic memory typewriters) 190087 SALT LAKE BUILDING MAINTENANCE (maintenance) 9,480 Avenues 395.00 Anderson/Foothill 395.00 190087 SALT LAKE BUILDING MAINTENANCE (window washing) 5,000 192500 SIMPLEX (clocks) [JUL] 237 200600 3-M (security gates) 2 0 750 1 ,500 231440 WICAT (hardware/printer) 368.95/mo 4,427 240100 XEROX copy machines 16,000 240100 XEROX (memory typewriters) 2 0 35.09/qtr 281 $177,613 EQUIPMENT PURCHASES - $18,000 - No Change The amount of this budget center deals with a minimal amount of current equipment needs. HEATING, COOLING AND FUEL - $46,000 - No Change This budget center reflects the cost of heating and cooling the Main Library and five branch libraries. LIGHTS AND POWER - $106,500 - No Change This budget center reflects the cost of power for the Main Library and five branch libraries. MOTOR EQUIPMENT - $3,500 - No Change This account reflects the anticipated costs of maintenance and operational costs on the delivery and maintenance vans. [ 12 ] RENT - $2,000 - Increase $600 This account is used for rental of the postage meter and special equipment , such as the scaffolding used for painting and for replacing fluorescent lights in the high bays of the Main Library. The slight Increase Is projected based on actual expenditures. WATER - $7,900 - No Change This account reflects the anticipated costs of sewer and water usage for the City Library System. [ 13 ] SALT LAKE CITY PUBLIC LIBRARY MATERIALS BUDGET 1988-89 1989-90 BUDGET BUDGET Binding $ 10,500 $ 7,500 Books 600,392 603,582 Cassettes-Audio 29,300 29,300 Cassettes-Video 7,500 10,000 Compact Disc 27,300 27,300 Framed Art 900 900 Mlcroforms 15,800 15,800 Online Reference 13,000 11 ,000 Pamphlets and Maps 750 650 Periodicals 66,500 69,360 Prints 1 ,500 1 ,500 Recordings 11 ,000 8,050 Slides 1 ,500 1 ,000 TOTAL MATERIALS $785,942 $785,942 The Library fulfills its primary mission by providing materials and sources of information to the community. The Library strives to provide community residents with timely and cost-effective access to information, knowledge, and Ideas. Since 1985, the Library has been dealing with funding that has limited the ability to fully meet the community's informational needs. The 1988-89 budget resulted In allocations accounting for 16.2 percent of the operating budget . Although this was less than the proportions achieved In 1984 and 1985, the increased percentage was a significant Improvement. Compliance with the taxpayers' mandate for no new taxes means that the Library will allocate 15.8 percent of the operating budget for materials to achieve a no-growth budget In 1989-90. Because of the 11 percent increase in the cost of books over last year, the materials allocation means that the Library will purchase fewer books for patrons during the coming year. The no-growth mandate and loss of purchasing power come at a time when the Library System continues to increase service and circulation to patrons. During 1988, users of the City Library checked out 1 ,655,212 Items, an increase of 5 percent over 1988-89 and a new circulation record for the Library. The consequences of the Increase In the use of libraries and services and the decrease in buying power require astute purchase planning to effectively meet patron demands. [ 14 ] PERCENTAGE OF OPERATING BUDGET SPENT ON MATERIALS (BOOKS, MAGAZINES, RECORDS, PRINTS) 1976 1977 1978 1979 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 11.6 12.1 12.1 13.2 13.4 13.9 15.8 16.9 17.0 16.3 15.0 15.7 16.2 15.8 BINDING - $7,500 - Decrease $3,000 This budget center reflects the amount required to minimally bind back Issues of well-used magazines. The decrease is required to fund a magazine and newspaper reference system that provides subject access to articles in over 1200 magazines and Journals. Reduced funding will slow the library's ability to bind and protect its comprehensive magazine collection which helps Insure that specific issues of magazines are available for patron use. BOOKS - $603,582 - increase $3,190 Growth in demand and regular Increases in publishing costs impact the Library's service standards, particularly the ability to purchase current books that meet the expressed Interest and demands of library patrons. The proposed book budget represents a flat or decreased allocation for all agencies except Humanities which houses the domestic telephone book collection. The Library Is faced, for the first time, with purchasing the telephone books at a cost of approximately $9,000 from US West . The communications company, prior to the breakup of the American Telephone and Telegraph Company, agreed to supply the telephone books free of charge to public libraries as a civic service, but no longer honors that agreement . Because the telephone book collection is the only source In the City for certain directory information, the Library feels an obligation to shift funds earmarked for other materials to keep the telephone book collection up to date for patron use. The City Library has Joined with other library organizations In the State to protest US West 's policy of charging public libraries for telephone books and to urge the company to return to its previous agreement not to charge public libraries for the telephone books. [ 15 ] BOOKS SCHEDULE 1988-89 1989-90 BUDGET BUDGET Anderson/Foothill $ 71 ,150 $ 71 ,150 Avenues 49,100 49,100 Business Science (Main) 92,792 90,962 Chapman 42,100 42,100 Children's (Main) 46,900 46,483 Fiction/Young Adult (Main) 67,300 66,883 Fine Arts/AV (Main) 37,500 37,083 Humanities (Main) 59,600 66,688 Large Print 5,500 5,500 Professional Collection 2,800 2,800 Professional Tools 1 ,200 1 ,200 Rose Park 44,100 44,100 Special/Periodicals (Main) 3,800 3,083 Sprague 74,750 74,750 Technical Services 1 ,800 1 ,700 $600,392 $603,582 CASSETTES-AUDIO - $29,300 - No Change The audiocassette collection remains a popular collection with circulation increasing nine percent over 1988-89. The zero growth request for this budget is compensated for In part by new security measures which have greatly reduced the loss rate of popular music cassettes. CASSETTES-AUDIO SCHEDULE 1988-89 1989-90 BUDGET BUDGET Children's $ 3,300 $ 3,300 Fine Arts/AV 9,000 9,000 Anderson/Foothill 4,500 4,500 Avenues 2,500 2,500 Chapman 2,500 2,500 Rose Park 3,000 3,000 Sprague 4,500 4,500 $29,300 $29,300 [ 16 ] CASSETTES-VIDEO - $10,000 - Increase $2,500 The Increase Is proposed for replacement of damaged or worn out videos in a collection that is now four years old. Because of the Library's limited funds and other priorities in this year 's budget , the requested Increase was absorbed by decreases In other materials budget categories. CASSETTES-VIDEO SCHEDULE 1988-89 1989-90 BUDGET BUDGET Children's $ 2,500 $ 2,500 Fine Arts/AV 5,000 7,500 $ 7,500 $10,000 COMPACT DISC - $27,300 - No Change The Interest expressed and demonstrated by library patrons for compact discs remains phenomenal . Other system priorities do not allow for an Increase in this format, although the compact disc format has proven to be a particularly appropriate format for listening collections due to its excellent sound quality and durability. COMPACT DISC SCHEDULE 1988-89 1989-90 BUDGET BUDGET Anderson/Foothill $ 4,000 $ 4,000 Avenues 3,000 3,000 Fine Arts/AV 12,000 12,000 Chapman 2,000 2,000 Children's 800 800 Rose Park 1 ,500 1 ,500 Sprague 4,000 4,000 $27,300 $27,300 [ 17 ] FRAMED ART - $900 - No Change This limited amount will enable the Library to maintain its minimal collection of circulating framed art . FRAMED ART SCHEDULE 1988-89 1989-90 BUDGET BUDGET Fine Arts/AV $ 900 $ 900 MICROFORMS - $15,800 - No Change Items purchased for the Library collection in this format Include the popular military specifications, magazine indexes, abstracts, and microfilm copies of local and out of town newspapers. Branches will continue to provide Improved access to articles In magazine literature through magazine indexes on microfiche. MICROFORMS SCHEDULE 1988-89 1989-90 BUDGET BUDGET Business Science $ 4,300 $ 4,300 Periodicals 8,000 8,000 Anderson/Foothill 700 700 Avenues 700 700 Chapman 700 700 Rose Park 700 700 Sprague 700 700 $15,800 $15,800 ONLINE REFERENCE - $11 ,000 - Decrease $2,000 The Library continues to provide access to literally millions of Items of information through online databases which store, update and make Information available economically through complex communications networks. in addition to online databases, other evolving formats, such as laser technology, provide some of the reference sources available through online databases enabling the Library to reduce this budget category without sacrificing patron service. [ 18 ] PAMPHLETS AND MAPS - $650 - Decrease $100 This category can be reduced because of changing patron demands In Business Science. The Library will continue to provide Humanities with adequate funding to maintain their map and pamphlet collections. PAMPHLETS AND MAPS SCHEDULE 1988-89 1989-90 BUDGET BUDGET Business Science $ 100 $ -0- Humanities 650 650 $ 750 $ 650 PERIODICALS - $69,360 - Increase $2,860 Magazines and newspapers remain a very Important source of current and historical information. Use of the magazine collections throughout the City Library system has Increased through purchase of better article indexing tools. The Increase In this budget allows for unanticipated Increases in subscription costs during the budget year . To meet the no-growth requirement In this year 's budget request , no new magazine titles were added and less frequently used subscriptions were deleted from the collection. PERIODICALS SCHEDULE 1988-89 1989-90 BUDGET BUDGET Anderson/Foothill $ 2,987 $ 3,065 Avenues 3,037 3,553 Chapman 2,373 2,635 Periodicals 41 ,613 43,449 Rose Park 2,762 2,768 Sprague 3,228 3,390 Business Collection 10,500 10,500 $66,500 $69,360 [ 19 ] PRINTS - $1 ,500 - No Change This amount will cover replacement needs of standard Items In the collection. PRINTS SCHEDULE 1988-89 1989-90 BUDGET BUDGET Fine Arts/AV $ 1 ,500 $ 1 ,500 RECORDINGS - $8,050 - Decrease $2,950 The reduction in this account is a direct result of the shift in focus to audiocassette and compact disc in most locations. Current collections will be minimally maintained. RECORDS SCHEDULE 1988-89 1989-90 BUDGET BUDGET Anderson/Foothill $ 1 ,000 $ 750 Avenues 1 ,000 750 Chapman 1 ,100 1 ,100 Children's 400 200 Fine Arts/AV 5,000 3,000 Rose Park 1 ,500 1 ,500 Sprague 1 ,000 750 $11 ,000 $ 8,050 SLIDES - $1 ,000 - Decrease $500 The decrease in this budget category Is appropriate because of the project completed in 1988-89 which allowed for replacement of large numbers of slides In the current collection due to age and discoloration. SLIDES SCHEDULE 1988-89 1989-90 BUDGET BUDGET Fine Arts/AV $ 1 ,500 $ 1 ,000 [ 20 ] SALT LAKE CITY PUBLIC LIBRARY PERSONNEL BUDGET 1988-89 1989-90 BUDGET BUDGET Salaries and Wages $2,678,592 $2,763,735 Employees' Insurance 150,420 208,403 Social Security 201 ,162 209,491 Retirement 218,013 210,163 State Unemployment Compensation 10,000 2,500 Contingency 5,000 --- TOTAL PERSONNEL $3,263,187 $3,394,292 PERSONNEL The City Library continues to Implement staff utilization evaluations conducted in 1986-87 to determine how to most effectively use staff to serve the public. Through careful evaluation of each staff opening and use of part time nonbenefited staff , the Library continues to hold to a conservative staffing level . The Library utilizes Its staff and volunteers to the best of its ability. Small incentive awards are used to reward staff when they provide outstanding performance and cost-saving Ideas. Volunteers have proven to be valuable support for Library staff and services. They receive ongoing appreciation and training. The combination of a large volunteer program, along with the highest use of part time staff of any major public library in the United States, has permitted cost containment in this budget center . Salary parity with City departments continues to be a goal for the Library. However , In the interest of maintaining a no-growth budget , only a partial parity raise Is possible this budget year . Increases will be given for outstanding Job performance in accordance with the Library's performance appraisal system. [ 21 ] SALARIES - $2,763,735 - increase $85,143 Although the Library Is experiencing Increased use, the use of Library volunteers and part timers continues to help hold salary and benefit costs at lower levels. In 1988-89 the City Library had 65 volunteers who gave approximately 8,000 hours In support of library services. Currently, 55% of the paid staff Is part time with no or reduced benefits. EMPLOYEES' HEALTH AND ACCIDENT INSURANCE - $208,403 - Increase $57,983 Based on Information received from the City, In July 1989 there will be major Insurance premium Increases for health care. These Increases will be shared by the Library and employees. SOCIAL SECURITY - $209,491 - increase $8,329 The rate of 7.51% will Increase to 7.65% in January 1990. RETIREMENT - $210,163 - Decrease $7,850 The Library pays the rate of 6.8% for staff on noncontributory retirement . Approximately one-third of salaried staff are on the former contributing retirement which Is paid at the rate of 8.2%. In July of 1987, staff were offered an incentive to change from contributory to the lower noncontributory rate. This 401K plan results In an additional 2.65% contribution for some of the Library staff . UTAH STATE UNEMPLOYMENT COMPENSATION - $2,500 - Decrease $7,500 The Library chooses to employ the "pay-as-you-go" system of unemployment compensation, which proves to be a savings. CONTINGENCY - .00 - Decrease $5,000 Funds are not available this year to fund this budget center. [ 22 ] SALT LAKE CITY PUBLIC LIBRARY SERVICES BUDGET 1988-89 1989-90 BUDGET BUDGET Cataloging Charges $ 49,700 $ 38,126 Copy Machine Supplies 10,000 10,000 Insurance and Surety 39,000 39,000 Library Supplies 48,000 52,000 Office Supplies 7,500 9,000 Postage 27,500 28,500 Processing Charge/City 15,000 15,000 Professional and Technical 14,900 18,950 Programs 5,025 5,025 Publicity and Printing 25,976 27,000 Staff Development 4,000 4,000 Sundry Expense 9,400 9,400 Telephone 53,000 53,000 Travel 14,700 14,700 TOTAL SERVICES $323,701 $323,701 CATALOGING CHARGES - $38,126 - Decrease $11 ,574 The Library uses OCLC (Online Computer Center) , a nonprofit computer library service and research organization that provides the major support for library cataloging and interlibrary loan in the United States. The contract with OCLC through the regional network BCR (Bibliographical Center for Research) continues to give the Library a lower per unit cataloging charge because of the high volume of use. This budget center reflects a significant decrease in costs as a result of no longer ordering catalog cards and utilizing the equipment during nonpeak hours, all of which result In lower usage cost. COPY MACHINE SUPPLIES - $10,000 - No Change In compliance with the audit , revenue received from the Library's xerox copiers are now reported as a gross revenue amount ; and supplies and maintenance costs are Included in budgeted expenditures. [ 23 ] INSURANCE AND SURETY - $39,000 - No Change The City Library has been able to substantially Increase Its insurance coverage while maintaining a cost containment program due to the careful application of risk management principles and competitive bidding. The Library's insurance is negotiated for a three-year period of time which provides an inflation shelter . The Library also pays Its Insurance premium in three annual installments at no interest , and established a high standard deductible under the assumption that It Is able to self-Insure up to these amounts and with the recognition that it would be disadvantageous to file a claim for any lesser amount . The three-year period will be renegotiated In December 1989. LIBRARY SUPPLIES - $52,000 - Increase $4,000 The cost of processing and packaging supplies has increased. In addition, the special packaging needs for circulation and security of some audiovisual formats such as videocassettes, compact discs and audiocassettes for circulation and security necessitates an increase in this budget center . OFFICE SUPPLIES - $9,000 - Increase $1 ,500 Actual expenditures in this budget center show that an increase Is necessary. A continuing review is made of all office supplies to conserve wherever possible. At the same time, most supplies are purchased from the State Office Supply Center In order to take advantage of lower prices. POSTAGE - $28,500 - Increase $1 ,000 Postage rates Increased significantly in April 1988. The Increase in this budget center is based on projected postage costs for 1988-89. Efforts to conserve postage costs may require careful examination of the mall-a-book service. PROCESSING CHARGE/CITY - $15,000 - No Change This expense center reflects a request by the City Finance Department to compensate the City for running payrolls for the Library. [ 24 ] PROFESSIONAL AND TECHNICAL - $18,950 - Increase $4,050 A major expense in this budget center Is the annual audit . Other Items include consultation fees or technical studies required by the Library; membership and registration fees for library associations and professional conferences. Additional costs for consultation and professional fees related to the long-range goal planning process will also be Incurred during 1989-90. PROGRAMS - $5,025 - No Change In 1988, over 25,313 Individuals benefited from 732 programs for children, young adults and adults held at each City Library or throughout neighborhoods within the City. Through innovative programming, the City Library's goal to expand citizens' worlds through excitement about reading and use of vital information reaches to all areas of the community. The Library attempts to locate supplemental funding for programs through a variety of alternative sources such as the American Library Association, the National and Utah Endowment for the Humanities and other local groups and organizations. PUBLICITY AND PRINTING - $27,000 - increase $1 ,024 With the increase in business experienced throughout the system, the patrons of the Main Library and five Branches should continue to be well Informed of resources, services and programs available through the City Libraries. Also, important bibliographic tools are needed to give patrons an understanding of libraries and, therefore, make full use of them. Efforts continue to be made to be selective and frugal with all printing. STAFF DEVELOPMENT - $4,000 - No Change The staff development training programs increase in quality and effectiveness each year . Subjects to be covered by the programs are determined by surveying the staff and responding to the system's annual objectives. In addition to orientation programs and cosponsored programs with other Library committees, Staff Development programs this year will focus on subject reference and topical programming. [ 25 ] SUNDRY EXPENSE - $9,400 - No Change There are a number of expenses which cannot be categorized Into other budget centers. In an effort to reflect accurate expenditures for specific budget centers, more items are coded to this account . For example, programs during the year that are not part of the Programming Committee's budget , ads for library Job openings, or miscellaneous expenses for meetings held outside the Library. Current expenditures Indicate that this account needs to be Increased, but every effort will be made to stay within this budget amount . TELEPHONE - $53,000 - No Change The Library now owns the Dimension 100 telephone system from Mountain Bell which was installed in 1980 and purchased on contract in 1984. This system offers a number of features which have enabled the Library to serve its public better , facilitate reference assistance provided over the telephone, and increase the number of lines entering the Main Library building. TRAVEL - $14,700 - No Change 9 This account pays the expenses for workshops and conference attendance, which are continually increasing In cost . All mileage allowances are paid out of this account . The Salt Lake City Public Library currently has the lowest mileage reimbursement rate (20E per mile) of any government unit in the Salt Lake area. Since the Library has no automobile allowance for any employee nor any automobiles, there Is little flexibility in this cost center . [ 26 ] Anderson/Foothill Branch Expansion Plans for the expansion of the Anderson/Foothill Branch are prepared and construction of at least 6,000 added square feet is planned for the spring of 1990. The original construction plan has been modified to allow for the possible addition of 2,000 square feet of meeting space on the north side of the site. This additional service space will be added If the Library Is able to acquire the property soon to be vacated by Fire Station *10. Since the current schedule for moving the Fire Station indicates that the property will not be available before January of 1990, the Library has delayed construction plans until a final resolution on disposition of the property Is reached. Avenues Land Acquisition The Library plans to acquire the property necessary to expand the Avenues Branch Library as soon as possible. Negotiations are currently In progress to purchase the property in 1989 with annual payments to be made over 4 to 50 years. Main Library - First Floor The first floor of the Main Library is In desperate need of new floor coverings. The tile floor has deteriorated severely and poses serious maintenance and safety problems. A new floor will be Installed before June of 1990. Building Fund Balance This fund represents capital Income and excess operating revenues which will be applied towards future building projects specified in the Library's Ten-Year Capital improvements Program. [ 28 ] :.'".1..)P 1 : ..'9k4 ‘ ..rt.:::-.Z...4:p-e.---ftr-.-1,P.-4,440. $4-. • q A.r _- t-` L`-t t NAME : Avenues Branch `�'�a ,- .� ��-�r=.rs,:.r„-�_� w. d LOCATION. �_:::'it ' . , -_em _ __`� =__ "_ll.. s• !., r • 455 F Street 42i.;.. s. Salt Lake City, Utah 84103 •`•'`• \, ... ��.. • '. } /. lililr,- 4.\: 3. .�: _ • • 'A _ "'fit 1 , F.31 The mid-level of the upper rR-.Aa ,s,:..,,- Avenues Is the home of the first passive solar library —- -- .. In the intermountain West. - —`' .--- ._ ...� yam, v ' _.. ....,;, ,:r--r-. ...:-yi�'ae- ....r.-_ DESCRIPTION: The Avenues Branch Is the sister branch of Anderson/Foothill Branch using the same modular design. Opened for business December 1984. SUMMARY OF MAJOR BUILDING COMPONENTS: ENERGY VALUE OR YEAR COMPONENT TYPE SPECIAL FEATURE INSTALLED CONDITION carpet Antron IV anti-static, woven thru 1984 excellent back, yarn dyed, 24 oz. cooling Lennox air- high efficiency 1984 excellent conditioner electrical 110/220 use of natural light and 1984 excellent fluorescent lighting equal to sunlight spectrum heating Lennox pulse 96% efficient 1984 excellent plumbing low water usage toilet 1984 excellent roof wood shingle R-30 1984 excellent HANDICAPPED ACCESS: Meets all new building requirements. NEEDS: This busy branch needs to be expanded by at 4,100 square feet . [ 31 ] ff - .• � NAME : Chapman Branch 1` • LOCATION: ^�: 577 South 900 West ,.M,'.- ., ..,- ' }- .• rr :�«: - l i1: Salt Lake City, Utah 84104 •+4.-�� -was 0 `��_.•'. r �. . ? •� ►� h `- ,. mum,i. - b,3., Serving a multi-ethnic " 1 community on the west side, ''. -, .'-"!'� _*-•---T Chapman Is located on a te.•-�.' ;•',�.^ "--';"r`'h�.:. . -::. ill ill major street with a north- -�►.1",„„e„1 .,.,, _Ti south orientation. -- " - -_ - • - - -- - DESCRIPTION: Considered to be one of the finest Carnegie Libraries In the West , this 8,900 square foot library has two levels. Since Its opening In 1917, it has been an Important part of City services to westside residents. The Chapman Branch renovation is now In process. SUMMARY OF MAJOR BUILDING COMPONENTS: ENERGY VALUE OR YEAR COMPONENT TYPE SPECIAL FEATURE INSTALLED CONDITION carpet Antron IV anti-static, woven thru 1981 very good back, yarn dyed, 24 oz. cooling evaporative renovated fair 1984 electrical 110/220 fluorescent lighting partial fair equal to sunlight renovation spectrum 1985 heating gas fired replaced excellent L.P. water 1988 plumbing renovated very good 1983 roof Trocal PVC R-30 1984 excellent HANDICAPPED ACCESS: Elevator was added In 1983. The same year restrooms were renovated to permit handicapped access. NEEDS: Renovation needs to be continued. [ 32 ] %. . a ' F.. 1,, , .—Y L . �, ,+ '� �.' �_A• '-,`r,. ` NAME Rose Park Branch t {' 4+n r, 4 LOCATION: c Z►' "• =-'•. h jam' r. 1185 West 1000 North I r' - 1.:. :.�,. ..,-. • Salt Lake City, Utah 84116 V! `;'"‘ ' The Rose Park Branch Is � 1i° ,• i. :r,• ..v�'` ��_�''�`;: nest led in the major growth R , rd. , -. '• ,�':,---t-`wys;P area of Salt Lake City. ..__.._._, ,�.. .. or _ • , __ ,-. ., . wit 3. .•, pis *• .,+ j =,............_ . ..„---- .. . __„........„,...._ , .._:,.______ _..............__:_a__: - DESCRIPTION: In 1960 the Library Board of Directors agreed to a community drive to establish a branch library Is Rose Park. The 6,652 square foot single level facility was dedicated on April 6, 1965. The modern red brick building is surrounded by a grove of towering Elms and Russian Olives. SUMMARY OF MAJOR BUILDING COMPONENTS: ENERGY VALUE OR YEAR COMPONENT TYPE SPECIAL FEATURE INSTALLED CONDITION carpet Antron IV anti—static, woven thru 1985 excellent back, yarn dyed, 24 oz. cooling evaporative high savings 1982 good electrical 110/220 fluorescent lighting partial fair equal to sunlight renovation spectrum 1985 heating gas fired 1965 good L.P. water plumbing 1965 very good roof Johns— R-26 1979 very good Manville HANDICAPPED ACCESS: The building was brought up to handicapped access standards In 1981 . NEEDS: The branch needs to be expanded by at least 2,000 square feet. Remodeling needs to continue. [ 33 ] • a ;''.',ii—. ice' '. ' )y•am�1r �,... q. NAME : Sprague Branch �!,�F :t , * tr i; ��.. .,�.•• u ., •t pi. sum: t{ .i` •}` �. �, `S ;' LOCATION: ....1- xP.....�„a0 `. ` ti' r V2r 4 , 2131 South 1100 East '� •` ?: s;1,.: r 'M�;-�; .£•` .• Salt Lake City, Utah 84106 ..,:6cw"Ii7e , ma--. +�`y �y :,� 4 ' -. Igeozzelt% The library Is situated In 1 s ♦ M the very center of the `- ' - � l business area of Sugar House. S1-•. :+ • ii _ . . ,..., - 1 _;..;- Ill • -:.- i. V.T. yr s �{► 1 f ►�� • tii .iY .' - - DESCRIPTION: The high-gabled English Tudor style building has served the Sugar House community for three generations. The building was selected by the American Library Association In 1935 as the "Most Beautiful Branch Library Is America." The two level 8,200 square foot facility is In the process of renovation. SUMMARY OF MAJOR BUILDING COMPONENTS: ENERGY VALUE OR YEAR COMPONENT TYPE SPECIAL FEATURE INSTALLED CONDITION carpet Antron III anti-static, woven thru 1985 excellent back, yarn dyed, 24 oz. cooling evaporative noisy replaced fair 1976 electrical fluorescent lighting partial fair equal to sunlight renovation spectrum 1985 heating gas fired replaced good L.P. water 1970 plumbing repaired good 1971 roof slate R-12 replaced good 1975 Trocal PVC R-30 replaced excellent (flat area) 1986 HANDICAPPED ACCESS: A ramp was built In 1983 from ground level to the first floor . The same year the restroom was renovated to permit handicapped access. Access to lower level will be achieved In 1989. NEEDS: Projects identified below will be completed In 1989. Elevator between upper and lower level is essential . Renovation needs to be continued. Foundation has serious problems. [ 34 ] 1989-90 Fiscal Year Budget General Fund Overview Prepared by Cam Caldwell * The proposed 1989-90.General Fund budget totals $82,237,419, or 3. 16% more than the current year budget. Signifi-cant . increases include $1 .5 million for merit and cost of living adjustments, $800 thousand in additional health insurance costs, a $104,000 increase in the contribution to the Utah Economic Development Corporation, and a $100,000 increase in the Urban Forestry Program. * Service level cuts include an estimated $278,000 reduction through eliminating the Neighborhood Cleanup Program, $159,572 in Fleet savings, and other city-wide General Fund cuts making up about $1 million. * Revenue increases primarily "come from a $1.657 million, or 8.41%, increase in Sales Tax, a onetime $1 ,534, 155transfer from the Building Restoration Debt Service Fund, and $266,000 in new revenues from entrance and concession fees at the Tracy Aviary. * Employee benefits make up most of the increases ,in cost. The merit and cost of living increases will increase the General Fund by $1 .5 million and health insurance premiums will go up by an • estimated $800,000. * Capital improvements consume $4.98 million of General Fund revenues with 55% of the General Fund contribution, or about $2.727 million, going to pay the annual debt service for the City and County Building. Overall, $13.711 million is included in the Capital Improvement Budget. Construction of street improvements makes up $5.328 million of all improvements, with an additional $1.059 million going • for drainage projects. .The Sunnyside Recreation Center and Fire Station #10 are the two other largest individual projects in the Capital Improvement Program. * Although 14.5 full-time equivalent (FTE) positions are to be reduced as a result of the proposed elimination of the Neighborhood Cleanup Program, the total General . Fund staffing complement is proposed to decrease by only 6.2 FTE's overall. * The proposed budget does not address the issues which are included in the Peat Marwick study which evaluates the City's administrative service fees and the equity of charges to Enterprise Funds. -1- • 1989-90 Fiscal Year Budget General Fund Overview The proposed FY 89-90 General Fund budget submitted by the Mayor totals $82,237,419, a $2.521 million, or 3. 16 percent, increase over the approved current year budget and a $1 .578 Million, or 1 .96%, increase over the FY 88- 89 amended budget. Employee merit and cost of living increases account for $1 .5 million of this increase in costs. Health care premium increases account for a minimum of $800 thousand in additional costs. A $100,000 increase in the 'Urban Forestry Program, and a $104,000 increase in the City's contribution to the Utah Economic Development Corporation make up the other significant General Fund budget increases. Expenditure Reductions Service level cuts are proposed in the form of a reduction in the Neighborhood Cleanup Program, saving an estimated $278,000 and cutting the Streets and Sanitation division by 14.5 full-time equivalent (FTE) positions. Other city- - wide General Fund cuts make up about $1 million. A total of 6.2 full-time equivalent employees were reduced overall in the proposed budget compared to FY 1988-89, including the 14.5 positions resulting from the elimination of the Neighborhood Cleanup Program. Reductions in the Fleet Management budget are 3.3% less than the current year, or $159,572 less in FY 89-90. Projected Revenues The two major differences between projected revenues and current year revenues are a significant increase in Sales Tax, and a transfer from the Building .Restoration Debt Service Fund which represents a onetime accumulated fund balance. Sales Tax revenues for the current year have increased by 8.41%, or $1 ,657,156 compared to the FY 1988-89 adopted budget. The transfer from the Building Restoration Debt Service Fund totals $1 ,534,155. Excluding these two revenue increases and a onetime bond reserve transfer of $424,240 in the FY 88-89 budget, General Fund revenues for all other sources are projected to be $246, 138 less than the FY 88-89 approved budget. Tracy Aviary entrance fees and concessions are expected to generate $266,000 in new • revenues. Property, Sales and Franchise Taxes are projected to make up just under 74% of all General Fund revenues in FY 89-90. This percentage is comparable to prior years. Employee Benefits Although employees did not receive merit increases or cost of living allowances, a review of the staffing document indicates that an estimated 120 General Fund employees received reclassification adjustments in FY 88-89. In the coming fiscal year, the City's share of retirement costs for police officers will increase from 29 percent to 29.88 percent, costing the City an estimated $82,000. At the same time, non-contributory and contributory retirement costs will decrease for other City employees and save the City $190,000. -2- Substantial health insurance premium increases will be passed on to City employees. These costs will be shared with all full-time City employees covered by health insurance. All full-time employees will also be asked to participate in the health insurance premium costs for early retirees from the Police and Fire Departments who have remained in the employee insurance pool. The City's employee fitness incentive program, which pays for employee memberships in fitness centers in exchange for the forfeiture of employee sick days, is proposed to be cut as part of employee benefit cost savings efforts. Modifications in the health care benefit package will also limit existing benefit coverage. Capital Improvement Program General Fund capital improvements make up $4.98 million in the proposed budget with 55% of the General Fund contribution, or about $2.727 million, going to pay the annual debt service for the City and County Building. Overall, $13.711 million is included in the Capital Improvement Budget. Construction of street improvements makes up $5.328 million, with an additional $1 .059 million going for drainage projects. The Sunnyside Recreation Center and Fire Station #10 are the two other largest individual projects in the Capital Improvement Program. Department Reorganizations and Staffing Analysis The proposed budget includes a number of reorganizations from the current year to the coming fiscal year. A major reorganization is the reassignment of dispatch staff from the Police Department to the Fire Department, due, to the consolidatibn- of dispatching and the initiation of the E-911 program. Apart from these changes in dispatching personnel, the two departments are virtually the same in staffing levels. The reorganization of the Finance Department has also affected the staffing level in the Mayor's Office and the Department of Community and Economic Development. The change in the Neighborhood Cleanup Program impacted the Street and Sanitation Division, but otherwise left little impact on the Public Works Department. The Parks Department has expanded in staff due to the change in the Golf program and a modest increase in Recreation programming. In reviewing the proposed staffing complement, Council staff has asked that the Administration provide information about positions budgeted but currently vacant. The following is a comparison of department staffing for the current year and the proposed FY 89-90 budget. This staffing analysis includes General Fund departments and Internal Service Funds and Enterprise Funds where General Fund departments' have administrative review over staff. Administrative Services-There is one additional position in Support Services. In Information Management Services there are 1.95 FTE's added. These positions are hourly programmer analyst interns. Fleet Management shows a reduction in Impound Lot staff. Two positions in Fleet Towing were approved last year but actually weren't filled. The net increase for the department is 1 .25 FTE's, according to the staffing document. The General Fund impact is a reduction of one position in the Impound Lot. -3- City Attorney-There was no change in overall staffing in the City Attorney's Office. Community and Economic Development-A Building Inspector position was eliminated and two part-time License Enforcement Officers were added in Building and Housing. A Clerk position went from part- time to full-time in Capital Planning. Licensing was relocated from Finance to Planning and Zoning and 11.113 FTE's were transferred. Overall, 5.92 staff were added. Council-One position was reclassified and the Council Staff Assistant position was given full-time status. The FTE status increased 'by .2 of a position. Finance-The unfunded Internal Auditor position was reclassified and proposed to be filled. Four positions were transferred from the Treasurer's Office to Planning and Zoning as part of the relocation of the Licensing program. A Parking Clerk position was increased from part-time to full-time and Parking Meter Collector staffing increased by .5 FTE's. The Cash Operation/Revenue Specialist position was transferred to Policy and Budget. A • Parking Clerk position was added to assist with the additional workload as a result of the change in the warrant program. In the Purchasing division a part-time Property Control Clerk has been added to assist in the contract administration function. Nine positions, including five positions from the Mayor's Office, were consolidated into the Policy and Budget division. Overall, there is a net increase of 2.5 FTE's. Fire-Staffing assignments and allocation of administrative support personnel changed slightly in the Chief's Office. The Central Fire Dispatch Fund is being discontinued and the E-911 Special Revenue Fund is being created, with a net loss between the two funds of 11.17 positions. A total of 110 Police dispatchers, 11 Fire dispatchers, a Chief Dispatcher, and an Information Systems ' Supervisor were moved to the Operations Bureau. A Fire Secretary position was also added and several management staffing changes occurred in Operations. Overall, the General Fund staffing document increased by 112.58 positions in this department. Human Resource Management-A vacant Loss Control Coordinator position is proposed to be filled. A clerical position was reclassified and increased from part-time to full-time. Two Office Technician positions were created and a contractual position not shown on the staffing table was eliminated. Overall, FTE's increased by 2.5 positions. Mayor-The Volunteer Coordinator position was established as a full-time non-contract position and five positions were relocated to the Finance Department as part of the establishment of the Budget & Policy division in that department. A part-time Clerk position was reclassified to a part-time Office Technician position. Overall, FTE's decreased by 11.08 positions. • -4- • Parks-In Planning and Development several part-time staff were cut, but a full-time Urban Forest Technician position was created. In the Recreation program a part-time recreation position was . added. A Recreation Manager position was also created. In the Golf Fund 14.76 FTE's were added, including two Groundskeepers, two Assistant Course Superintendents, two Irrigation Supervisors, a Fleet Body Repair/Painter, a Golf Course Superintendent, and part-time Golf Marshals. The net General Fund FTE increase is 1.52 positions. - Police-In the Office .of Police Chief six Police Officers were transferred as a result of an internal reorganization of the Community •Affairs division. The former Crime Analysis Unit Director position is now vacant. In the Police Operations Bureau the Dispatchers have been moved out and the Crossing Guards have been transferred to this division. Thirteen Police Officers have been transferred out , six Lieutenants have been moved in, and the Crime Lab staff have been reassigned to the Investigative Bureau. In the Investigative Bureau, the Crossing Guards were transferred out and seven Police Officers were transferred-in. Overall, there • • are '46 fewer FTE's. Of that total, 44 were dispatching personnel who have been relocated to the Fire Department and one was the Crime Analysis Unit Director. • Public Works-In Transportation two part-time Transportation Maintenance Workers were converted to full-time Traffic Technicians. A Traffic Signal Worker position was eliminated. In Engineering three full-time Engineering Technician positions were eliminated, along with part-time Engineering Technician positions. • In Streets and Sanitation 14.5 part-time positions were cut as part of the Neighborhood Cleanup Program. Five concrete positions were added, along with a Weed Program Supervisor. Overall, the FTE's for the department have decreased by 14.8 positions. Council staff will provide detailed information comparing department budget totals as part of the individual department budget reviews. Staff will be glad to meet with Council to explain the budget document one-on-one. • Issues not Addressed The budget message does not address the possible implementation of the proposals being addressed in the Peat Marwick study analyzing the possibility of implementing equitable charges to Enterprise Funds to recover the cost of General Fund services. That study is also analyzing the administrative service fees. Council should have the information from this study in the next few weeks, with sufficient time to consider implementing budget modifications prior to the adoption of the new budget. Money for the statewide Olympics referendum, in the amount of $31 ,000, has not been included in the budget. The issue needs to be addressed with state election officials. -5- ' n Summary The proposed FY 89-90 budget is not significantly different than the current year budget, although it may be difficult to reach that conclusion without careful reading and comparison with the current year budget document. Service levels and staffing are proposed to change slightly. The most significant expenditure related issues in the budget are related to employee benefits. Council may wish to look hard for other cost savings rather than. eliminating the popular Neighborhood Cleanup Program. Alternative possible cost savings may be available, based upon the recommendations contained in the soon to be released Peat Marwick study. Revenues are virtually flat, with the exception of Sales Tax revenues which increase $1.657 million, and a onetime transfer payment. Council may wish to consider earmarking the $1 ,534, 155 transfer from the Building Restoration Debt Service Funds for capital improvements in preference to using it to balance _ the General Fund and pay for merit and cost of living increases. -6-