City Council met Monday afternoon for a mid-year workshop where Finance Director Lonnie Clark presented an amended budget. At the next regular meeting the amended budget will be submitted to council for a resolution approval.
Overall, the amendment as submitted reduces the city’s potential revenue reserves by $105,663 primarily due to Fire & EMS budget increases. Since Fire & EMS were not the only departments making amendments to the budget, Clark explained each line item amendment increasing expenditures by $391,418.
He also explained how the finance department has offset these increases as best they can with the use of either available reserve funds or allocation changes within each fund. The primary contributing factors increasing the expenses were the $40,000 lawsuit settlement payout, the $12,000 roof repair for the Auditorium, higher-than-expected workers compensation insurance payments, $110,931 administrative and operating costs for the Fire & EMS department primarily concerning the employee overtime payments, and the $200,000 expanded projects for street repairs.
Clark said that the street department has $200,000 in reserves, and that the lawsuit and roof repair totaling $52,000 was also taken out of the city’s reserve funds. He said the Fire & EMS budget did not have reserves to use, however, they made some budgetary adjustments to offset the expenses in the amount of about $20,000 by reducing the expenses for building maintenance and the Employee Health Insurance & Protection.
Still, Fire & EMS is asking council for $90,667 additional funds for the remaining year.
When asked if Clark believes the city is in the best control of Fire & EMS expenses, Clark stated that there may be some better ways to schedule overtime. He will be working with the Fire & EMS in the next couple weeks and encourages changes to the current procedures of scheduling overtime to reduce expenses.
Alderman Mickey Schneider suggested an analysis of hiring more employees, whether full-time or part-time, to reduce overtime expenses. Clark stated while he has no control over the city’s tax revenue, he gives considerable attention to what he can help control – expenses. He expressed his genuine dedication to the city’s budget, saying these are not his funds but he is the watchdog over them. “I am going to do a damn good job doing it,” he said.