City of Laredo
City Council Annual Budget
Workshop
For Proposed Fiscal Year
2000-2001 Budget
M2000-W-004
City Council Chambers
1110 Houston Street
Laredo, Texas 78040
Thursday, August 10, 2000
Friday, August 11, 2000
Saturday August 12, 2000
5:30 p.m.
Call
to Order
With a quorum present Mayor
Elizabeth G. Flores called the meeting
to order.
Roll
Call
Elizabeth G. Flores, Mayor
Alfredo Agredano, Councilmember, District I
Louis H. Bruni, Councilmember, District II
John C. Galo, Councilmember, District III
Johnny Amaya, Councilmember, District IV
Eliseo Valdez, Jr., Councilmember, District V
Joe A. Guerra, Mayor
Pro Tempore, District VI
Jose A. Valdez, Jr. Councilmember, District VII
Juan Ramirez, Councilmember,
District VIII
Gustavo Guevara, Jr., City Secretary
Larry Dovalina, Acting City Manager
Cynthia Collazo, Acting City Manager
Jerry Cain, City Attorney
I. Introduction and Welcoming Remarks
Larry Dovalina, Acting City Manager
Cynthia Collazo, Acting City Manager
Larry Dovalina, Acting City Manager, opened the
workshop with the following remarks:
“The 2000-2001 has been prepared with the intentions
to meet the City’s needs that have been paralleled with the City Council’s
vision. The City’s growth rate over the
last five years has presented challenges to our capital improvement
program. These challenges have been met
by a positive and dedicated staff that is the strength of our organization.
Our capital improvement program (street improvements,
drainage, quality of life projects) has required that we consider innovative
financing methods that accelerate funding rather than the “pay as you go”
traditional method.
Another challenging area has been the growth
experienced by public safety, which is the last three years is 34% or $10
million in operational expenses. We should be proud of our police and fire
departments. The Council’s aggressive
funding leveraged by state and federal grants has ranked them among the top
compared to cities our size. The
challenge has been to contain these services in balance to our general revenue.
This proposed budget provides that balance.”
Cynthia Collazo, Acting City Manager, commented on
the Strategic Planning Conference held on August 11, 2000. The following areas were addressed:
Transportation
1 year Ensure
Bridge IV is constructed and operational.
World
Trade Bridge completed and operational April 15, 2000.
3 year Identify
a site for south Laredo Bridge.
Potential tract annexed. Coordination with TxDot will continue in the environmental study
and Nuevo Laredo. Identified in TIP for
2004-2005.
5 year All
City vehicles to operate on CNG.
Preparation
of CNG fueling station at DPW service center complete.
Public Safety
1 year Have
Fire Station # 12 operational.
Design
for construction of Fire Station # 12 underway.
3 year Each
district should have at least one substation.
One police substation in each district is in place
and contracts have been awarded for stations in District I, V, and VII.
3 year To
have Regional Fire Training Facility Operational.
Site
acquisition completed. Design is 95%
complete.
5 year Relocate
Railroad Bridge from Downtown Area.
Rail mobility comprehensive plan currently under
study and expected to be completed in September 2000.
3 year Each
district should have at least one substation.
Economic Development
1 year Work closely with L. D. F. in the development of policies that will
attract jobs to Laredo.
The implementation of a tax abatement program
has been adopted. Two businesses have
been assisted: M. S. Carriers and
Laredo Candle Company.
3 year Reconsider the economic sales tax
and emulate some of the successful projects and process what other cities have
done to attract jobs to our area.
The economic sales tax referendum is
currently being considered.
5 year To increase the Ad Valorem Tax Base
by increasing and retaining the number of businesses with environmental
friendly policies and better paying jobs.
Future plans for the development of an
improvement tax district and downtown improvement district.
Financial
1 year Conduct Franchise Audits.
Contracted with Navigant Consultant to
conduct audit of Entex.
3 year Conduct performance audits on all
City Departments.
Performance audits of three major
departmental functions were undertaken this fiscal year.
3 year Earmark funding to continue to
employ the police officers that were previously paid through grants.
General fund reserves have been earmarked to
maintain level of service.
5 year Economic development sales tax.
Proposed was a ¼ of a cent sales tax to
finance construction of a Laredo Entertainment Center.
Organizational Development
1 year Good pay, benefits, employee
development set aside money for incentive programs to be competitive with other
cities our size.
The current budget included a 1.6% cost of
living adjustment and a 2, 3, 4 % merit increase for all employees, excluding
the fire and police departments.
Compensation comparison analysis conduced.
Medical Benefit Rate Study accomplished.
Continuous employee training offered.
1 year Create incentive program and set
aside money to award employees of performance measures.
1999-2000 City Employee Pay Plan was adopted.
3 year Establish training/safety programs
and reward those who excel.
Department director, mid-management, and
first line supervisor training programs continued.
Program has budgeted a staff trainer for FY
2001.
Safety incentive program currently under
design.
Driver safety program instructor trained,
materials purchased and program under design.
5 year Have the very best trained,
well-paid employees in comparison with other cities our size.
Training and safety incentive program
enhanced.
Fourth class of Leadership program initiated.
Classification and compensation comparison
study conducted.
Customer Service
1 year Monitor customer service
representative and software data results.
The program continues to be implemented with
the completion of the I-Net providing remote access to the customer service
software.
Quality of Life
1 year Increased park maintenance personnel
by one office position and 6 groundskeeper positions.
Seasonal recreational positions increased by
three playground assistants, one playground leader and thirteen lifeguards.
Bruni Plaza established and staffed
accordingly.
Library operation hours extended six hours
weekly by providing overtime funds.
5 year Civic Center/ Multi Purpose Use
Center.
$3.8 million in reserve for Civic Center/Multi
Purpose Laredo Entertainment Center proposal.
Growth Management
1 year Review and update of land use plan.
Digitizing of zoning map 98% - complete.
Conducting current land use survey – 80%
complete.
Data collection and forecast study completed.
Comprehensive mobility plan 50% completed.
A corridor intersection analysis 50%
completed.
Parks Master Plan – Completed.
Update of Comprehensive plan initiated.
Laredo Metropolitan Transportation Plan for
2000 completed.
5 year Review fees imposed for development
and evaluate whether they’re promoting or stiffening growth.
Impact Fee Advisory Committee recently
extended.
Community Advocacy
1 year Get involved (take over) business
council.
The Mayor’s office has taken over the
business council and will initiate meetings in September.
3 year Continue to work with business and
community member as well as our legislature on issue affecting Laredo.
The City is also actively participating in:
Border Trade Alliance
Border Infrastructure Coalition
Texas Municipal League
National League of Cities
U. S. Conference of Mayors
Co-Rio
Tex-21
North American International Trade Corridor
Partnership.
The City continues to have legislative
consultants in Austin and Washington.
Water
1 year Identify a secondary source of
water.
Staff have identified three possible sources.
Staff is negotiating with firms for the
delivery of five to twenty million gallons groundwater per day.
3 year Identify and secure funding for
continued expansion of water and wastewater infrastructure.
Staff is working with the community on the
development of impact fees.
Project has been placed on hold in order to
incorporate the groundwater project.
5 year Identify and fund an off river
reservoir for storage and recreation.
Staff has made preliminary inquires regarding
possible funding sources.
II. Financing Alternative for Proposed
Capital Projects
Noe Hinojosa – Estrada Hinojosa
Noe Hinojosa, from Estrada-Hinojosa Investment
Bankers, gave a presentation on a plan of finance for proposed 2001 bond
issues.
A detailed Plan of Finance Proposed 2001 Bond Issues
may be viewed at the City Secretary’s Office.
III. City Manager’s Recommended Budge for
FY2000-2001
A. Ad-Valorem
Tax Rate
Phyllis
Colon, Tax Assessor-Collector
Phyllis Colon, Tax Assessor-Collector, gave a
presentation before the Council. The
following information was submitted:
Year
2000 Appraisal Roll Information:
Total
Appraised Value $ 5,587,394,005
Total
Assessed Value $ 5,445,459,623
Total
Taxable Value $ 4,700,652,717
Number
of Accounts 63,148
2000
Effective tax rate $ 0.559286
B. Personnel
Issues
Dan
Migura, Administrative Services Director
1. Pay Plan
2. Health and Benefits
Dan Miguara, Administrative Services Director, gave
a presentation before the Council. He
submitted the following information:
City of Laredo
Fiscal Year 2000/2001 Budget
Proposal
Pay Plan:
1. 2.2% Cost
of Living Adjustment on October 1, 2000.
2. Continue
Prior year Performance Based Pay Plan.
Health Benefits:
1. Propose a
10% Rate Adjustment for Health Plan Contributions.
2. Consider
health Benefit Plan modifications to encourage employees to make
good
health care decisions.
3. Reduce
the health Insurance Contributions by 15%.
Health Benefits
Fund Description Projected Budget Rec.
Revision Adjustment Percentage
|
Dependent
Health Ins. De. |
2,402,448 |
2,032,840.70 |
369,607 |
-15.38% |
|
Ins. Premiums – Cobra |
6,284 |
5,317.40 |
967 |
-15.38% |
|
Med.
Contributions Retire |
341,609 |
289,053.60 |
52,555 |
-15.38% |
|
Dep. Dental Ins. Deduct. |
67,373 |
67,373 |
0 |
0.00% |
|
Health
Ins. Contribution |
5,549,148 |
4,725,468.00 |
823,680 |
-14.84% |
|
Retirees
– City |
318,973 |
269,900.04 |
49,073 |
-15.38% |
|
Dental
Insurance |
120,503 |
120,503 |
0 |
0.00% |
|
|
8,806,338 |
7,510,455.74 |
1,295,882 |
-14.72% |
C. Proposed
General Fund Revenues
Beto
Ramirez, Budget Director
Heberto
Ramirez, Budget Director, gave the presentation before the Council.
Motion
to accept the General Fund Proposed Amendment.
Moved: Mayor Pro Tempore Guerra
Second: Cm.
Agredano
For: 8 Against: 0 Abstain: 0
Revenues Expenditures
Increase
Property Tax Revenues
58,909
Increase
Riverdrive Mall Lease Rents 6,107
Increase
Municipal Court Revenues
35,600
Increase
Sales Tax Revenues 71,319
Increase
Electric Franchise Revenues
31,547
Reduce
Airport Crash Crew Revenues (7,539)
Transfer-in
Fleet Management Fund 175,144
Reduce
Reserve Appropriation (100,629)
Reduce
Public Works Administration Exp (1,184)
Increase
Police Salaries (Survey) 379,471
Increase
Recreation Center Salaries
80,813
371,087
358,471
Surplus
(Deficit) 12,616
Unfunded
Requests
Increase
WCAD Expenditure 71,319
Motion to increase the employees Health Plan
Contributions by 10% for dependent coverage from a projected health benefits
budget of $ 8,806,338 to $ 7,510,455.74.
Moved:
Cm. Galo
Second:
Cm. Amaya
For: 8 Against: 0 Abstain: 0
D. Proposed
FY2000-04 – Capital Improvement Program
Keith
Selman, Planning Director
1. Video of Completed Projects
2. Proposed New Projects
Keith Selman, Planning Director, went over the
2001-2005 Capital Improvement Program.
A summary of the 2001-2005 Capital Improvement Program may be found at
the City Secretary’s Office.
E. Proposed
FY2000-02 Budget – Municipal Court
Thomas
Ochoa, Municipal Court Clerk
1. Municipal Court Operations
2. Proposed Municipal Court Building
Motion
to adjust the Municipal Court Judge’s salary to $72,000 per year.
Moved: Cm.
Bruni
Second: Cm.
Agredano
For: 8 Against: 0 Abstain: 0
Motion
to adjourn.
Moved: Cm.
Amaya
Second: Cm.
Bruni
For: 8 Against: 0 Abstain: 0
Friday,
August 11, 2000
F. Proposed
FY 2000-01 Budget – Engineering Services
Rogelio
Rivera, City Engineer
1. Engineering Operation Highlights
2. Status of Construction Projects
3. NPDES Fund
Rogelio Rivera, City Engineer, went over the
projects completed and the status of pending projects. He reported a total of 69 project complete
in FY2000 with a total cost of $71,666,223 and are working currently on 49
project with a total estimated cost of $47,097,086.65.
Motion to increase NPDES Fund Salary line item by
$73,352 for two positions which was inadvertently omitted. Total Budget will increase from $1,535,086
to $1,608,438.
Moved:
Cm. Amaya
Second:
Cm. Agredano
For: 8 Against: 0 Abstain: 0
G. Proposed
FY2000-01 Budget- Parks & Rec. Department
John Vidaurri, Parks and Recreation Director, made
the FY2000-01 budget presentation before the Council.
1. Park Issues
2. Recreation Center Programs
3. Cemetery Operations
4. Veteran’s Field
H. Proposed
FY2000-01 Budget – Library Department
Janice
Weber, Library Director
Jose
Vela III, Non-Profit and Volunteer Center Coordinator
Janice
Weber, Library Director, gave the presentation before the Council.
1. Library Operations
2. Third Party Agencies
Motion to adopt the time
schedule. (Main Library)
Moved: Cm.
Bruni
Second: Cm.
Galo
For: 8 Against: 0 Abstain: 0
Main Library Hours of
Operation
Current
70 Hours/ week Proposed
64 hours/week
Monday
Through Thursday Monday
9
a.m. to 9 p.m. 9 a.m.
to 6 p.m.
Friday Tuesday
through Thursday
9
a.m. to 5 p.m. 9 a.m.
to 8 p.m.
Saturday Friday & Saturday
10
a.m. to 7 p.m. 9 a.m.
to 6 p.m.
Sunday
1 p.m. to 6 p.m. Sunday
1 p.m. to 5 p.m.
Jose “Chito” Vela, Non-Profit Center Coordinator,
went over the Third Party Funding.
Motion to increase the 5% penalty to 10% Third Party
funding in General Fund and Hotel/Motel Fund.
Moved: Mayor
Pro Tempore Guerra
Second:
Cm. Amaya
For: 8 Against: 0 Abstain: 0
I. Proposed
FY 2000-01 Budget – C & VB Department
Don
Raulie, Convention & Visitors Bureau Director
Don Raulie, Covention & Visitors Bureau
Director, made the presentation before
the Council.
1. Hotel-Motel Fund Revenues
2. Mercado Fund
3. Civic Center Fund
4. Convention & Visitors Bureau
Fund
J. Proposed
FY2000-01 Budget – Bridge Department
Rafael
Garcia, Bridge Director
Rafael
Garcia, Bridge System Director, went over the bridge system budget.
1. Bridge Operations
Motion to add a Customer Service Center Manager
position to the budget and delete 4 cashiers/teller positions.
Moved:
Cm. Amaya
Second:
Cm. Bruni
For: 8 Against: 0 Abstain: 0
Traffic
Roberto Murillo, Traffic Director, reported on their
proposed budget on Traffic Safety and Parking Meter Fund.
Motion to amend the FY2000-01 decreasing opening
balance in the Parking Meter Fund in the amount of $99,190 due to under
estimating expenditures in FY99-00.
Moved:
Cm. E. Valdez
Second:
Cm. Amaya
For: 8 Against: 0 Abstain: 0
K. Proposed
FY2000-01 Budget – Airport Department
Jose
Flores, Airport Director, gave the presentation before the Council.
1. Airport Revenues
2. Proposed Airport Expenditures
3. Airport Projects
Motion
to increase the ARFF account by $12,339.
Moved: Cm.
Bruni
Second: Cm.
Amaya
For: 8 Against: 0 Abstain: 0
Motion to transfer proceeds of sale of land in the
amount of $2,007,000 from Airport Funds to the Airport Construction Fund.
Motion to adjourn.
Moved:
Cm. Galo
Second:
Cm. Amaya
For: 8 Against: 0 Abstain: 0
Saturday,
August 12, 2000
L. Proposed
FY2000-01 Budget – Fire Department
Tomas
Ramirez, Fire Chief
Mayor Flores asked Acting City Manager Dovalina to
get with Fire Chief Ramirez to work with the permit ordinance and bring back
recommendation to the council for the possibility of increasing the Haz-Mat
personnel.
1. Fire Prevention and Suppression
2. EMS & Ambulance Services
3. Status of Fire Training Facility
4. Status of Fire Station No. 12
Motion to form a committee of City Managers,
Firefighter Alarcon, Cm. Guerra,
Cm. Galo, Cm. Agredano to work on ideas for funding of an aerial truck, fire
equipment and personnel.
Moved: Mayor
Pro Tempore Guerra
Second: Cm.
Valdez
For: 8 Against: 0 Abstain: 0
Q. Proposed
FY2000-01 Budget – Laredo Municipal Housing
Mario
Maldonaldo, Laredo Municipal Housing Director
Mario Maldonado, MHC Manager, spoke on the Jose
A. Flores and the Tomas Flores
Apartments. He added that they are
proposing rental rate increases as follows:
Jose Flores Apt. – Occupied
Units
Current FMR FMR %
2
Bed $335 $485 69%
3
Bed $370 $606 61%
4
Bed $410 $682 60%
Proposed FMR FMR%
2
Bed $345 $485 71%
3
Bed $430 $606 71%
4
Bed $485 $682 71%
Additional
Revenues: $69,757
Rate
includes water, sewer, garbage & maint.
service.
Tomas Flores Apartments –
Occupied Unites
Current FMR FMR%
2
Bed $335 $485 69%
3
Bed $395 $606 65%
Proposed FMR FMR %
2
Bed $345 $485 71%
3
Bed $430 $606 71%
Additional
Revenues: $11,115
Rates
include water, sewer, garbage and maint. service.
Last
Rent Increase: 1-1-98
Low Income Program
CURR FMR FMR MAXIMUM
2
Bed $220 $485 45% $305
3
Bed $240 $606 40% $343
PROP FMR FMR% MAXIMUM
2
Bed $250 $485 52% $305
3
Bed $275 $606 45% $343
Additional
Revenue: $5,040
Rates
include water, sewer, garbage & Maintenance service
Last
Increase 1-1-98
1. Operations – Revenues and
Expenditures
M. Proposed
FY2000-01 Budget – Police Department
Agustin
Dovalina III, Police Chief
Agustin
Dovalina, Police Chief, made the presentation.
1. Police Operations
2. Status of Community Oriented
Policing Services (Substations)
N. Proposed
FY2000-01 Budget – Public Works Department
Joe
Guerra, Public Works Director
Jose
Guerra, Public Works Director, gave the presentation before the Council.
1. Solid Waste Management Fund
Operations
a. Vertical
Expansion
b. Landfill
Operations
c. Closure and
Post Closure Costs
2. Public Works Operations
3. Fleet Management
Motion to add a D & R Cat, Dozer with trade in
for Landfill Acct. No.
556-2760-535-9004 in the amount of
$235,00.
Moved: Cm.
Amaya
Second: Cm.
E. Valdez
For: 8 Against: 0 Abstain: 0
Motion to reinstate funding under contractual
services for Acct. No. 402-4315
Construction Crew for a total of $16,018 as follows:
402-4315-533-1000 Rental of Equipment $2,500
402-4315-533-1310 Professional Development $1,300
402-4315-533-2020 Vehicle maintenance $2,500
402-4315-533-3000 Uniforms $3,718
402-4315-533-5500 Purchased Professional Services $5,500
402-4315-533-5551 Diagnostic Services $ 500
Moved: Cm.
Amaya
Second: Cm.
Galo
For: 8 Against: 0 Abstain: 0
Motion to add $81,250 to Acct. No. 556-2710-535-9301
for furniture and equipment for the new Public Works Service Center.
Moved:
Cm. E. Valdez
Second:
Cm. Agredano
For: 8 Against: 0 Abstain: 0
A note to inform Council the amount allocated for
Waste Disposal under account number 101-2710-533-500 should have been $299,579
instead of $100,000 and that we may have to come back for additional funding
during the year.
Motion to add 1 garbage truck driver and 2 garbage
collectors from Solid Waste Management Fund.
Moved:
Cm. E. Valdez
Second:
Cm. Galo
For: 8 Against: 0 Abstain: 0
O. Proposed
FY2000-01 Budget – Utilities Department
Fernando
Roman, Utilities Department
Fernando
Roman, Utilities Director, gave the presentation.
1. Water Fund Revenues and Expenditures
2. Water Fund Capital Improvements
3. Wastewater Fund Revenues and
Expenditures
4. Wastewater Fund Capital Improvements
P. Proposed
FY2000-01 Budget – Laredo Metro, Inc.
Peter
Behrman, Laredo Metro, Inc. General Manager
1. Operations Revenues and Expenditures
2. Capital Improvements
Motion
to recess as City Council and reconvene as Mass Transit Board.
Moved: Cm.
Galo
Second: Cm.
Bruni
For: 8 Against: 0 Abstain: 0
Motion to authorize City Manager to accept grant no.
51122F1013 in the amount of $275,584 from State Public Transportation
Fund. (This action is for budget
purposes and will require formal action of a resolution by Mass Transit Board.)
Motion to adjourn as Mass Transit Board and
reconvene as City Council.
Moved:
Cm. Galo
Second:
Cm. Bruni
For: 8 Against: 0 Abstain: 0
Motion
to adjourn.
Moved: Cm.
Galo
Second: Cm.
Bruni
For: 8 Against: 0 Abstain: 0
I hereby certify that the minutes contained in pages
01 to 15 are true, complete and correct proceedings of the City Council held on
this the 10th, 11th, and 12th day of August,
2000.
________________________________
Gustavo Guevara, Jr
City Secretary