HomeMy WebLinkAbout02-02-2016413
FEBRUARY 2, 2016
At a Regular Meeting of the Board of Commissioners, held on Tuesday, February 2, 2016, at
5:30 p.m., in the Commission Chambers of City Hall located at 300 South 5th Street, Mayor
Kaler presided, and upon call of the roll by the City Clerk, the following answered to their
names: Commissioners Abraham, Gault, Rhodes, Wilson and Mayor Kaler (5).
WORKSHOP
CAPITAL FUNDING
City Manager Jeff Pederson and Finance Director Jon Perkins --With planning and budget
discussions underway for FY2017, Mr. Pederson and Mr. Perkins gave an overview of the
' 2013B General Obligations Bond Proceeds, General Fund Unreserved Fund Balance, Investment
Fund, and Capital Projects for FY2017.
At the end of the presentation, Mr. Pederson informed the Commission he would like to have
future workshops on the topics of funding for the stormwater study and floodwall rehabilitation.
For more details, read the City Commission Highlights prepared by Public Information Officer
Pam Spencer.
" Capital Projects Funding Workshop
Planning and budgeting discussions are underway to prepare for the fiscal year 2017 budget.
The City's budget -year begins July 1 with the budget approval occurring each June. At this
meeting, City Manager Jeff Pederson and Finance Director Jonathan Perkins provided an
overview of possible funding sources for several capital projects and an overview of the
Investment Fund. Pederson says, "The purpose of this meeting is to provide a stronger
foundation of understanding of how the City's capital funding is aligned in addition to
resource limitations."
In 2013, the City of Paducah issued a bond for the Macco project, an economic
development project that did not come to fruition. The bond funds totaling approximately
$1.272 million are proposed to be used to fund a portion of the Olivet Church Road
Improvement Project not covered by State funds, a small piece of the 432 Broadway
demolition project not covered by the CDBG grant, and approximately half of the services
by RATIO Architects for the City Hall Project.
Perkins also reviewed the City's General Fund Reserve. The City sets aside ten percent of
the General Fund as a reserve. At this time, the City has a $2 million balance in excess of the
ten percent reserve. Perkins says this amount has accumulated over several years through a
combination of spending less than projected and at times receiving more revenue than
estimated. Projects proposed to be funded are the equipment consultant for the E-911
operations, the other half of the services by RATIO Architects for the City Hall Project, and
a system -wide study of the City's storm water drainage system.
The next topic of discussion was an overview of the line -items expected to be funded
through the Investment Fund. The City has a 2 percent payroll tax; however, one quarter of
that amount is placed into a separate fund, the Investment Fund. The estimated Investment
Fund revenue for Fiscal Year 2017 is $4.94 million. Perkins divided the line items into five
categories.
❑ Debt Service ($1,828,150) — For the most part, there are payments for bond issues from
2003 through the current fiscal year.
❑ Streets and Sidewalks ($948,000) — These funds are in addition to funds provided by the
State that total nearly a half million dollars.
❑ One -Time Small Capital Projects ($575,000) - This category is for smaller projects that
usually need one-time appropriations. The line items for FY2017 include engineering and
design funding for the floodwall rehabilitation project and the upgrade to the City's software
system.
❑ Ongoing Commitments ($575,000) - These are items such as facility, property, and mural
maintenance and neighborhood revitalization.
❑ Balance of Resources ($1,094,500) — Items in this category include economic development
funding, arts agencies funding, the Community Scholarship Program, the operating subsidy
for Barkley Regional Airport, funding for demolitions, and downtown program incentives.
At this time, these categories total $80,650 more than the estimated revenue for the
Investment Fund for Fiscal Year 2017.
The next section of the presentation focused on 12 capital improvement projects totaling
more than $39 million. Projects on this list include the rehabilitation of the downtown
parking lot at 2nd Street and streetscape improvements, the City Hall construction or
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FEBRUARY 2, 2016
rehabilitation project with renovations to Dolly McNutt Plaza, the conversion of Broadway
and Jefferson to two-way streets with bike lanes, a fire training field and a new garage for fire
station #4, phase 2 of the Noble Park Lake bank stabilization project, improvements to the
ball fields at Stuart Nelson Park and to Stuart Nelson Road, the development of the former
Executive Inn site, floodwall rehabilitation, and the study of the City's storm water drainage
system.
As mentioned before, the storm water management study is proposed to be funded. City
Manager Jeff Pederson is planning a workshop this month to further discuss that project.
Another workshop is being planned to discuss floodwall rehabilitation. Regarding the
remainder of the projects on the list, Pederson says those projects need to be further
reviewed with direction provided by the City Commission."
MAYOR & COMMISSIONER COMMENTS
None were given.
PUBLIC COMMENTS
None were given.
Upon motion the meeting adjourned.
ADOPTED: February 9, 2016
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City Clerk
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