From a Northern Star article this week:
City manager Anne Marie Gaura said the finance committee typically reviews the budget and looks at policy recommendations and general fund balance.
“The goal is to utilize the finance advisory committee in the most effective means of how to benefit the budget and the community,” Gaura said. “It’s an incredibly talented group, and we want to make sure we’re utilizing their talents to the maximum.”
If we REALLY want to utilize the talents of the city’s Financial Advisory Committee (FAC) to the max, we need to move it past budgets. Read the rest of this entry
– Aldermen Gallagher, Baker and Kammes should be ashamed of themselves for voting against receiving and filing the Hope Haven emergency shelter expansion proposal. Instead of saying “no,” maybe they could talk about what it would take to overcome their misgivings. But, that would be too much work, I guess, and most of all too much like right.
– Did I miss a vote on the City of DeKalb’s appointment of a new financial advisor? Where did he come from, and why on earth is the Financial Advisory Committee being excluded from the debt restructuring discussion?
I love being called “lunatic fringe” by a City Council member. I really do. Let them show the world how far this body has fallen in matters of decorum and discipline. Let them demonstrate how much they despise the people they are supposed to be representing. Folks ought to know exactly who’s responsible for running this city into the ground through ignorance, arrogance and denial.
My lunacy at last night’s Council meeting comes after the jump. Read the rest of this entry
In 2008, in the midst of a self-proclaimed fiscal crisis, City Council voted to allow the (former) Community Development Department to obtain a new SUV.
This is symbolic, see? The Police and Fire departments have had to put off replacing vehicles and some equipment since then. The Police Department, in particular, is getting nickel-and-dimed on old patrol cars that should have been retired last year, and the year before, and the year before that. But Community Development got exactly what it wanted.
And, as each new downtown brick paver is tamped into place, it must seem like a slap in the face. Read the rest of this entry
The proposed City of DeKalb FY 2011 budget has total expenditures going up by about $5 million over last year, mostly due to increased spending on the downtown TIF, health insurance and the airport.
The budget as drafted will be balanced IF:
there are cuts of 25-30 staff (or, alternatively, everyone takes a 12% pay cut)
the State pays its full share of the income tax
prices of commodities such as gas and road salt don’t go up
revenue projections are in the ballpark
they can continue to keep the lid on overtime
Read the rest of this entry
Committee of the Whole meeting agenda includes a discussion of establishing a line of credit (PDF p. 3).
Staff contacted eight banks located in DeKalb about submitting their terms and rates for a $2.5M line of credit for the City. We have received four quotes, of which Castle Bank had the lowest fixed rate at 4.95%, while Fifth Third Bank had the lowest variable rate at 1.75% + .25% of any unused principal. This line of credit will be necessary to maintain City operations while revenues continue to decline.
Um, no, I think rather the idea is to maintain cash flow for operations while the city is waiting for revenues to come in, not to make up for declining revenues. The wording here is a little troubling.
Where’s that debt policy?! Read the rest of this entry
Tuesday night at the joint City Council–Financial Advisory Committee meeting, staff announced they had researched several providers of liability insurance and had made a decision on a favorite, an outfit called the Municipal Insurance Cooperative Agency (MICA). There were three red flags when the MICA plan was laid out. One was that we were not allowed to hear from any of the other contenders. A second was hearing that the risk pool is very small, 23 I think they said. The third is that the premium sounds too good to be true: a premium of $1 million per year offered to a city with, currently, a $790,000+ per year indemnity plus legal and administrative costs.
Tuesday night I didn’t know what the red flags meant, exactly, but on Wednesday an insurance expert (who would like to remain anonymous, though I’d be glad to give credit) called me up and clued me in. After digesting the information I crafted an e-mail to the Council, which follows… Read the rest of this entry
–Holy cow. I wondered what “modified” accrual accounting is.* So, they use cash accounting for expenditures but accrual accounting for revenues? We need to talk about that some more.
–Grandstanding. Nobody said there would be a vote to eliminate the post-employment health insurance! It is, however, clear that the city can no longer continue to pay 87% of the premium. Kay pointed out that the premium seems to be too high.
–Mac (FAC) commenting on the fact that only 5 of 8 council members filled out the survey on EPI implementation priorities and we don’t know who did and who didn’t. No one from the Financial Advisory Committee was asked. Read the rest of this entry