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FINANCE COMMITTEE 2015/07/20 Minutes The City of Lake Forest FINANCE COMMITTEE Proceedings of the July 20, 2015 Meeting 6:30 p. m. – City Hall Council Chambers I. Call to Order and Roll Call Chairman Pandaleon called the meeting to order at 6:30 p.m. Present: Chairman Pandaleon, Mayor Schoenheider, Aldermen Waldeck, Beidler, Newman, Reisenberg, Tack, Adelman and Moreno. Absent: None. Quorum present. There were approximately 24 present in the audience. Staff present: Robert Kiely, Jr., City Manager; Elizabeth Holleb, Finance Director; Diane Hall, Assistant Finance Director; Michael Thomas, Public Works Director; Cathy Czerniak, Community Development Director; Dan Martin, Superintendent Public Works; Chuck Myers, Superintendent Parks and Recreation; Victor Filippini, City Attorney. Others present: There were sixteen people in the audience. II. Consideration of Minutes from the Finance Committee Meeting Held on April 20, 2015 Alderman Moreno made a motion to approve the minutes from the Finance Committee meeting held on April 20, 2015. The motion was seconded by Alderman Newman. The motion carried unanimously by voice vote. III. Annual cemetery Commission Report Mr. Dennis O’Brien, Cemetery Commission Chair stated the investment policy of the Commission requires an annual report to be presented to the Finance Committee as to the state of the Cemetery Commission investment portfolio. He stated the Cemetery is now debt free. He stated a Request for Proposals (RFP) was completed for Investment Manager Services. After review, the Committee selected William Blair. Mr. O’Brien reviewed a number of slides depicting the growth of the fund from 2008 to the present. He stated the Commission has addressed with their advisors active vs. passive asset management. He stated investments were moved in April 2015 to facilitate these changes. The Committee discussed the policies of not investing in under rated funds. This is reviewed quarterly. IV. Budget Calendar Ms. Elizabeth Holleb, Finance Director reviewed the proposed FY2017 budget calendar including two proposed dates for budget workshops to be held on off City Council nights. The Committee requested an email with the proposed dates and times. Alderman Newman made a motion to approve the FY2017 budget calendar. The motion was seconded by Alderman Beidler. The motion carried unanimously by voice vote. V. Ordinance Amending City Code Relating to Real Estate Transfer Taxes, Water Shutoff Valve (B-Box) inspections and Water Leaks Ms. Holleb stated a collaboration has been undertaken between the Finance, Public Works and Community Development Departments to improve the policies and procedures as it relates to the Real Estate Transfer Tax and water utility operations. She reviewed a number of slides depicting the background of the current process, proposed code and procedural changes and the proposed timeline for implementation. She discussed Public Works is in the process of identifying all of the B-Boxes in the City. In 2014 50% of the City was reviewed to locate residential b-boxes. Of those attempted, 3% of the b-boxes were not located by staff. Letters will be sent to those homeowners to notify them of the City’s inability to locate their b-box. This list has been Finance Committee Meeting Minutes – July 20, 2015 provided to Community Development to identify these locations in the event a building permit is requested. The Committee discussed the purpose of a b-box and how do homeowners know that they are responsible for the b-box location and functionality. Mr. Michael Thomas, Public Works Director explained the b-boxes are used for emergency water shut-off or for non-payment of water bills. The City owns the water main and the homeowner is responsible for anything after the main including the b-box. The Committee discussed concerns with placing the burden on the homeowner. Staff will only locate the b-box during the home inspection for Real Estate Transfer Tax procedures. Following discussion, the consensus of the Finance Committee was to bring the ordinance forward to the August 3, 2015 City Council meeting for consideration and the letter to homeowners to be brought to the City Council for review. VI. Other Business: 1) July 20 City Council agenda includes final approval of the FY2016 appropriation ordinance – Chairman Pandaleon stated the information was included in the packet. 2) Pension funding policy – Chairman Pandaleon stated this items has been moved to a special July 27 City Council meeting. 3) FY2016 Budget follow-up – Informational item. 4) June 2015 Flash Report – The report was included in the packet and revenues and expenses are tracking as expected. VII. Opportunity for the Public to Address the Finance Committee: None VIII. Adjournment There being no further business, Alderman Newman moved, seconded by Alderman Beidler, to adjourn the meeting at 7:27 p.m. The motion carried unanimously by voice vote. Respectfully Submitted, Diane Hall Assistant Finance Director