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HomeMy WebLinkAboutMINUTES Town Board Budget Study Session Morning 2024-10-09RECORD OF PROCEEDINGS Town ofEstes Park, Larimer County, Colorado, October 9, 2024 Minutes of a budget study session meeting of the TOWN BOARD of the Town of Estes Park, Larimer County, Colorado. Meeting held at Town Hall in said Town of Estes Park on the 9th day of October, 2024, Morning Session. Board: Mayor Hall, Mayor Pro Tem Cenac, Trustees Brown, Igel, Hazelton, Lancaster, and Younglund Also Attending: Town Administrator Machalek, Deputy Town Administrator Damweber, Finance Director Hudson, Directors Fortini, Hinkle, and Williamson, Managers Bucci, Garcia and Schlichtemier, and Deputy Town Clerk Beers Absent: None Mayor Hall called the meeting to order at 9:03 a.m. 2024 BUDGET PRESENTATION Finance Director Hudson stated the proposed budget would be structurally balanced with expenditures not exceeding conservative revenue projections, meets the 25% General Fund reserve, projected an ending fund balance of 25.4% in 2025, and addresses Town Board Strategic Plan Objectives. He reviewed the annual budget process, timelines for presentation to the Board, provided an overview of the budget decision packages and highlighted additional funding sources allocated within the budget, and the index and composite for recommended funding. He stated a number of decision packages for one- time expenditures were funded this year, however, many were not funded due to lack of available funding or due to the fact they required ongoing funding such as new positions. He highlighted the Parking Garage Maintenance Reserve at $26,000 and Capital Improvement Reserve at $1,500,000. In 2025, a significant change to the structure of the budget includes the establishment of a Facilities Internal Service Fund that impacts all department and division budgets with a new charge for facility use. He reviewed the 2025 sales tax allocation including a breakdown of the percentage allocations of the 1A funds. Board comment was heard regarding obtaining a detailed summary of 1A spending on mitigation and impacts of current sales tax projections. He reviewed reserves and restrictions included discretionary equipment replacement for Power and Communications, Water and vehicle replacement. CAPITAL IMPROVEMENT PLAN 2025 - 2029 Director Hudson reviewed the Capital Improvement Plan (CIP) which was developed with projects submitted by departments, the Town Board completing and setting the 2025 Strategic Plan, development of the operating budget, and project prioritization. The Town Board would consider the adoption of the updated CIP at the November 12, 2024 meeting. The CIP annual summary for 2025 was presented at $8.4 million in new projects and a total of $180.8 million over the next five years. Director Hudson stated future years are provided in the summaries in the packet for reference and may shift depending on need and availability of funding over the next several years. The Community Reinvestment Fund included a single project for the Town Hall restroom remodel. Fall River Trail funding has been secured provided through grants. COMPENSATION & BENEFITS Director Williamson stated the annual compensation survey was conducted by Graves Consulting LLC. The 2024 market study proposes adjustments to the pay families as follows: 2% increase for Labor & Trade, Technical & Professional, and Public Safety, 5% increase for Lineworkers, and a 1% increase for Management. The budget also includes a 2% merit pool to move employees through the pay range. Staff worked with the Town's insurance broker Brown and Brown to review the Town's benefit package for 2025. She stated the budget proposal reflected a 2% increase for medical in 2025 for both the Town and employee premiums. Spousal medical coverage would remain the same for 2025 with the inclusion of spouses that do not have access to RECORD OF PROCEEDINGS Town Board Budget Study Session - October 9, 2024 - Morning Session - Page 2 employer coverage. Dental insurance premiums would increase 16% in 2025. All other benefits remaining unchanged at the time of the meeting. GENERAL FUND Legislative: The division estimates revenues of $14,000 for 2025 and $472,901 in expenses. Judicial: The division estimates revenues of $2,000 for 2025 and $35,102 in expenses. Staff stated the personnel cost was not included due to staffing changes with the Municipal Court Clerk position being reallocated to the Town Clerk budget as it is a function of that department. Town Clerk: The division estimates revenues of $325,800 for 2025 and $397,474 in expenses. Items not funded in 2025 included digitizing Community Development planning and zoning records. Discussion ensued regarding future plans to develop a map for Town property record searching utilizing the Town's Laserfiche electronic records portal. Human Resources: The division estimates revenues of $24,000 for 2025 and $410,080 in expenses. New employee files will be digital in 2025. Discussion ensued regarding the amount of Town staff time it takes to provide administrative services for benefit management to the outside agencies and whether the 3% contracted fee on medical premiums covers the cost. Mayor Pro Tem Cenac left the meeting at 10:10 a.m. The Mayor called a break at 10:31 a.m. and returned to session at 10:42 a.m. Town Administrator's Office: There are no division revenues for 2025 and $570,059 in expenses. The training budget and other items were reduced in 2025, which was offset through the new facilities allocation. Items resourced included the development of a digital accessibility transition plan required by state law and the evaluation of creating a Climate Action Plan specific to Estes Park. Town Attorney's Office: There are no division revenues for 2025 and $454,088 in expenses. Discussion ensued regarding in house legal counsel and if it was common among other municipalities. Finance: There are no division revenues for 2025 and $860,240 in expenses. Implementation of the Enterprise Resource Planning (ERP) system would continue through 2025. COMMUNITY REINVESTMENT FUND The fund includes the remodel of the public restrooms at Town Hall in 2025 with a total expense in the fund at $1.2 million. It was recommended to consider changing the name of the fund because the Town recently Debruced. COMMUNITY CENTEFmJND The 1A Sales Tax Funds are accumulated and remitted to the Estes Valley Recreation and Parks District to fund the construction of the Community Center. This fund would sunset at the end of 2024 as the 1A renewal did not include future funding for the Community Center. EMERGENCY RESPONSE FUND This fund was not included in the 1A renewal and would not receive revenues in future years. Staff projected approximately $200,000 in fund balance with $46,836 expended in 2025. WILDFIRE MITIGATION ESTES VALLEY FIRE PROTECTION DISTRICT FUND This new fund was formed with the passing of the 1A sales tax renewal in April 2024 with a balance of $411,401 in revenues. Mayor Pro Tem Cenac returned at 11:11 a.m. RECORD OF PROCEEDINGS Town Board Budget Study Session - October 9, 2024 - Morning Session - Page 3 INTERNAL SERVICES The newly formed division comprised of Facilities, Fleet, IT, and Risk Management. Vehicle Replacement Fund: The fund has proposed revenues of $804,473 and expenses of $552,600 to maintain 89 units in 2025 including four purchases. Fleet Maintenance Fund: The fund has proposed revenues of $978,153 and expenses of $928,821 in 2025. Staff would continue to evaluate the feasibility of plug-in hybrid vehicles for use in the Police Department as identified in the strategic plan. Comments were heard regarding fleet partnership service costs and benefits. Facilities: The division estimates revenues of $1,683,377 for 2025 and $1,673,811 in expenses. The division maintains 96 Town-owned buildings. Staff would continue implementing recommendations identified in the ADA Transition Plan, the parking structure joint repair sealant, and Riverside restroom improvements, building repair audits for Town Hall and the Visitor Center, and explore the feasibility of solar panels and battery storage on the proposed new Police Department building. Discussion ensued regarding the Town Administrator's office mitigation due to water drainage complications. Additional repairs may be needed to replace the Administration conference room window as a result of the water damage. Discussion ensued regarding recycling and trash collection downtown, frequency of downtown businesses using Town waste receptacles and how to address the use. The Board requested the estimated completion of the relocation of the Riverside restrooms which was anticipated after the Big Thompson River restorations. IT: The internal services fund charges fees to each of the departments and has projected $1,213,483 in revenues and $1,304,233 in expenses for 2025. Decision packages comprised of Boardroom and media upgrades, switch replacements, public Wi-Fi updates, service/network, phone system and access control updates. The Board questioned whether parking fees reimburse IT for expenses to update and provide reliable internet for visitors. Discussion ensued on phishing exercises and training to help protect the Town network from risks. Risk Management: The fund has proposed revenues of $675,192 and expenses of $673,749. Premiums were estimated to increase by 5%. Staff would continue minimizing risk of becoming a victim of cybersecurity threats including the use of multi-factor authentication which can lower premium rates. Staff stated police liability continues to be the highest risk to the Town. POLICE The department has four divisions, including patrol, dispatch, support services and code enforcement. Revenues are estimated at $201,518 and expenditures of $8,151,263. The purchase of a system to manage internal affairs records, Blue Team/IA Pro Software, was a decision package included in the proposed budget. Staff spoke regarding Access Granted, a program for senior community members and Reachwell instant translations. Staff would research opportunities to build the program into the budget allowing for more channels for interagency public safety partners on radio channel sharing authorizations. Efforts would begin to pursue land acquisition necessary to relocate the Police Department out of Town Hall. Staff noted congressional directed spending may support design costs. At a previous Town Board meeting, discussion ensued on Denver's special forces unit whom handle noise concerns. Staff would do research on the cost to develop a team including devices, training and certification for decibel measurement. The Board asked staff if it would be a strain on the Department to implement a noise ordinance which includes decibel measurement which would be further discussed at a future meeting. OUTSIDE ENTITY FUNDING REQUESTS Analyst Simpson presented the 2025 funding for outside entities including base funding and community initiative funding at a total cost of $1,623,916. Funded items included an increase to base funding (chart provided below) and childcare reserve contributions. Entities are required to provide reports to the Town in May of each year to identify how Town funds were used. Board discussion ensued and has been summarized: The increase in funding requests, amounts and the benefits of partnering with these organizations to RECORD OF PROCEEDINGS Town Board Budget Study Session - October 9, 2024 - Morning Session - Page 4 provide services to the community; reconsideration requests received from entities; efforts to keep pace with inflationary expenses; the importance of the resources for seniors and organizations who provide life services to the community; and the benefits of annual reports from entities on how funds were utilized. There were no changes to the 2025 recommendation for Base funding allocations. Base Funding Allocations Entity Crossroads Ministry of Estes Park Estes Park Chamber of Commerce/EDWC Estes Park Nonprofit Network Estes Valley Crisis Advocates Estes Valley Investment in Childhood Success Estes Valley Watershed Coalition Estes Park Salud Foundation Via Mobility Services Estes Arts District TOTAL 2025 Request $40,000 $65,000 $65,000 $29,000 $40,000 $25,000 $50,000 $45,000 $46,000 $405,000 2025 Recommendation $40,000 $65,000 $25,000 $29,000 $30,000 $25,000 $30,000 $37,000 $15,000 $296,000 Discussion ensued on the increased number of Community Initiative Funding applications received and the allocated amount. After further discussion, it was determined the Bobcat Athletic Club/Bobcat Booster Club, Boulder Climbing Community, Crawford Child Advocacy Center and the Friends of Colorado Avalanche Information Center would not receive funding. The remaining funds were then equally distribution to the remaining entities as identified in the chart below. Community Initiative Funding Allocations Entity Bobcat Athletic Club/Bobcat Booster Club Boulder Climbing Community Crawford Child Advocacy Center Estes Land Stewardship Association Estes Park Education Foundation Estes Park Learning Place Estes Park Museum Friends & Foundation, Inc Estes Park Senior Citizens Center Inc Estes Park Sister Cities Association Estes Park Village Band and Jazz Big Band Friends of Colorado Avalanche Information Center Habitat for Humanity of the St. Vrain Valley Larimer County Partners Inc League of Women Voters of Estes Park: Community Recycling Committee TOTAL 2025 Request $17,082 $2,500 $5,000 $3,500 $1,500 $10,080 $1,198 $15,000 $4,000 $4,000 $5,365 $10,000 $5,000 $9,000 $93,225 2025 Recommendation $0 $0 $0 $3,104 $1,500 $6,641 $1,018 $3,889 $2,561 $2,746 $0 $1,775 $3,132 $3,632 $29,998 Mayor Hall recessed the morning session at 1:15 p.m., and the afternoon session would resume at approximately 1:45 p.m. i6toria Beers, DepUTy'Town Clerk