The URL can be used to link to this page

Home My WebLink AboutMINUTES-1993-02-01-19931. CITY COUNCIL ��,�' OF E v9+P V 0 n00� yl�C Co. ri February 1, 1993 A PUBLIC HEARING was held by the Evanston City Council on Monday, February 1, 1993, at 7:40 P.M. in the City Council Chamber to'receive public comment the 1993-1994 City of Evanston Budget. ROLL CALL - Alderman Fiske Alderman Moran Alderman Newman Alderman Nelson Alderman Drummer Alderman Wollin Alderman Brady Alderman Engelman Alderman Esch Alderman Rainey Alderman Heydemann Alderman Lanyon Alderman Kent Alderman Feldman Alderman Warshaw A Quorum being present. ABSENT: Aldermen Paden and Washington TARDY: Alderman Davis PRESIDING: Mayor Joan W. Barr CITIZEN COMMENT: Timothy Schoolmaster, President of the Police Pension Board, said that the Evanston Police Pension fund has the highest unfunded accrued liability in the state and is funded at only 37 %. He pointed out that even East St. Louis is funded at a 47 % funding ratio. He also noted that the Fire Pension Fund also has the highest unfunded accrued liability in Illinois. He asked the Council to remember the burden they are passing on to future generations when they vote to adopt the current budget. He suggested that a balanced budget takes something from the needed Police Pension Fund levy. And while the approximately 160 members of the department go out and put their lives on the line for citizens, the first nickel has not yet been put aside for the retirement of most of those officers. He said that Council can decide whether they want to pay $1-5 or more for each dollar of benefits owed. He noted that in his budget message, the City Manager acknowledged that the Pension Fund was a serious problem that had to be addressed in the next fiscal year, and will require at least $2 million in increased revenues or will require service cuts. Mr. Schoolmaster agreed with the concept the City Manager presented, if not with the numbers, and said that he was pleased to see that the under -funding problem has been acknowledged and was more encouraged to know that Council would be dealing with it. Richard Stillerman, 2330 Park Place, said he had long been a student of the budget process and was pleased to see that this City Manager had proposed a budget that reversed the trend toward higher taxes and more staff. He said that the taxpayers appreciate those efforts. While a no tax increase levy is welcome, he felt the City was facing a calm before a storm. He suggested that Council needs to prioritize services and to make some painful decisions about cuts. He cautioned that major capital expenditures, such as the library and west -side fire station, will push up debt service requirements and user fees can't cover those costs, so increased taxes seem inevitable unless other costs are cut. He supported the long-range sewer project, built with funds raised from bonds because it is a basic 2 February 1, 1993 service that the City provides its citizens. Mr. Stillerman also noted that the City Manager has prepared Council for the necessary increased expenditures for Fire and Police Pensions and possible salary increases for union bargaining units, regardless of a desire to freeze staff salaries. He pointed out that current revenue sources appear static, and coupled with the property tax, seem to be unable to absorb the increases expected on the expenditure side. The City has three choices: 1) to cut expenses, 2) find additional sources of revenue, or 3) a combination of the two. It was his conviction that everything should be done to decrease expenses before increasing taxes or instituting new ones is considered. Per Council's instructions, the City Manager and staff came up with a proposed budget that did not raise taxes or reduce services, but the well is running dry. Council needs to prioritize services and to curtail the less essential ones. He noted that Council had tried to do that a few years ago but was not very successful. As an example, he asked whether tree planting was more important than advocacy for the elderly in long term care facilities, the improvement of parks more essential than drug prevention programs, or psychiatric counseling services for children more crucial that art in public places and suggested that these were the types of decisions that Council would face in the near future, because its first option should be to not increase taxes but to pare services. He opposed increasing parking meter fees or the sales tax, because tax increases are a poor last resort. He said that Council would have to make those decisions that protect citizens from -tax increases,.next:year,,;.-.: while enabling the City to serve the most crucial needs of the City. Linda Buch, 1112 Hull Terrace, said that she had been an observer of _ the budget process for a long time and this was the first time that she saw a ray of light in the process. She felt that this City Manager had taken some bold steps to reduce the budget, while working within the framework Council set. While there is a ray of hope, the City . is still not in good financial shape with major expenses looming before it. She said that citizens are largely unaware of the new user fees that will be put in place. She did not subscribe to the idea that you can't roll back taxes, and urged Council to change the tax structure and fund only those things that are important. She noted that when she was working on the referendum (to reduce the size of the Council), people all over Evanston were asking what services they get. She questioned whether the large number of services funded by the budget were services that the average citizen received. She felt that many of the core activities were not being funded, while the services being funded were not those citizens were really crying for. She urged Council to take new policy steps and to ■ restructure government. At this time Alderman Davis was here. R� Alderman Rainey announced that at the next regular meeting she would propose the elimination of twenty-five passenger vehicles from the Fleet Services budget. She noted that she had produced a spread sheet going back to 1988-1989, on the cost of these vehicles. She said that the charges to the Fleet Services Fund in 1988-1989, were $2,042,956 and in 1992-1993, they were $2,357,623. In 1988-89, the City had 312 vehicles and in 1992-1993, it had 326. The number of Full Time Equivalents (FTE's) have been reduced by 3, however the costs keep going up, especially the maintenance charges. She felt that cutting vehicles would result in real savings in replacement costs and maintenance. While this cut may place some burden on some employees, it would not cut one service to taxpayers. Twenty-five vehicles would be a significant number to cut, but it leaves eight passenger vehicles in a pool to be used by whomever the City Manager designates. She calculated that if each of the drivers of those twenty-five vehicles (she proposed to eliminate) averaged 100 miles a week each on City business, for fifty-two weeks a year, and were given twenty cents a mile, the auto allowance would amount to $35,100, which would be a considerable savings. She gave her spread sheet to the City Clerk for duplication and distribution to the rest of Council. She noted that in 1988-89, the City purchased three compact cars for $22,000; in 1990-91, it purchased eleven used compact cars for $95,700; and in 1992-93, it purchased sedans for $28,000. She felt that those purchases added up to real numbers, so she will move to remove those vehicles from the budget. Alderman Brady said that the Rules Committee minutes had mentioned a possible Public Hearing on the restructuring of Boards and Commissions on March 1. She asked if there was a agreement among the Council to hold the hearing on that date. Mayor Barr noted a general consensus and announced that Council would hold a Public Hearing to receive public comment on the proposed restructuring of Boards and Commissions. There being no further business to come before the public hearing, Mayor Barr declared it to be at an end at 8:00 P.M. KIRSTEN F. DAVIS CITY CLERK