HomeMy WebLinkAboutStudy Session Minutes Budget 2015-10-21
Town of Estes Park, Larimer County, Colorado, October 21, 2015
Minutes of a Regular meeting of the TOWN BOARD BUDGET STUDY
SESSION of the Town of Estes Park, Larimer County, Colorado. Meeting
held at Town Hall in said Town of Estes Park on the 21st day of October,
2015.
Board: Mayor Pinkham, Trustees Ericson, Holcomb, Koenig,
Nelson, Norris and Phipps
Attending: All
Also Attending: Town Administrator Lancaster, Assistant Town Administrator
Machalek, Finance Officer McFarland, Directors Bergsten
Fortini, and Chilcott, Managers Mitchell and Salerno,
Coordinator Wells and Town Clerk Williamson
Absent: None
Mayor Pinkham called the meeting to order at 8:30 a.m.
Finance Officer McFarland reported a couple of additions to the proposed budget,
including funding for a temporary Administrative Assistant in Public Works to cover the
office while staff is on maternity leave. The Emergency Response fund would have a
fund balance in 2015 of $21,000 rather than $29,000 because there were additional
costs associated with the establishment of the EOC located in the second floor meeting
rooms.
COMMUNITY DEVELOPMENT
The department provides planning services for the entire Estes Valley and building
safety services for properties within Town limits. The Planning division would develop a
Downtown Plan integrating floodplain management, economic development and land
use planning in 2016; continue to support the Watershed Coalition’s planning and
project implementation efforts; continue multi-year flood mitigation planning, including
short and long term objectives; strive to maintain current levels of service for
development review given the significant increase in development activity; develop a
revised fee schedule; complete sign code revision started in 2015; and identify options
for development review, permitting and code compliance software given Larimer
County’s delay with implementing Energov.
Staff has budgeted $30,000 in consulting staff to provide assistance with possible
development in 2016. Board discussion followed on the need to budget an
appropriate amount for consulting services to address the staffing shortage
during this period of increased development. The Board agreed to increase
funding to $60,000 for contract services. Director Chilcott stated the department
would develop a fee schedule that rewards developers who submit complete
applications, thereby charging additional fees to developers who use more staff time.
Trustee Ericson stated the department needs to recover costs and should not be a lost
leader. The proposed budget does not address revenues or costs associated with
vacation homes and code enforcement to address regulations for such businesses. If
the Town Board and County Commissioners approve the proposed changes to vacation
home regulations and the licensing fees, staff would provide a supplemental budget
amendment in 2016. Revenues increase with the department receiving additional grant
funds which correspond to an increase in O&M.
Protective Services (Building) has budgeted a revenue increase to fund a new Plans
Examiner position, which is dependent on the revised fee schedule being approved by
the Town Board. The new fees are estimated to increase revenues by approximately
Town Board Budget Study Session – October 21, 2015 – Page 2
$100,000. The budget includes $75,000 in floodplain management consulting services,
$105,800 for a grant funded hydrology study, $20,000 for contract plan review and/or
inspections and $10,000 to remodel the office to create an additional work space.
Discussion followed on the number of reinspections being completed and the lack of
fees being charged. An analysis should be completed to determine if there are issues
with the codes or the way in which work is being completed. Trustee Norris stated
concern with the adoption of the Dangerous Building Code and the increase in staff time
the code would create. He questions if additional funds to contract out services should
be included in the budget. Trustee Holcomb commented the proposed budget does not
include room for additional services and he would prefer not to be reactive.
COMMUNITY SERVICES
Visitor Services – The Visitor Center operates with 6.35 FTEs and 50 volunteers.
The center would expand the size of the restrooms and add a family restroom in
collaboration with Public Works. The Center would purchase new touch screen
information kiosk with the financial support of the Local Marketing District in the
spring of 2016. Staff anticipates holding its third annual open house in April for
the community to learn more about the Visitor Services division. Expenses at the
Visitor Center would increase in 2016 with both personnel and O&M. O&M
increases include interior painting, hot water heater, wood trim, bird intervention,
and additional funding for wiring for the new kiosk, new museum display, RMNP
large format map, increase in utilities, purchase of premium wireless, and an
increase in sewer and water associated with the new restroom facilities.
Mayor Pinkham called for a five minute break at 10:07 a.m. and resumed the meeting at
10:15 a.m.
Senior Services – Operates the Estes Park Senior Center and its programs,
including onsite dining, Meals on Wheels, information and referrals, outreach,
facility rentals, public meetings, recreation and social opportunities, and health,
wellness and fitness programs. The 2016 budget includes a slight increase in
revenues and an increase in O&M due to programming, staff training, and adding
Via transit services to the professional services provided by the center. Staff
would continue to work with the Estes Valley Recreation and Park District as
plans evolve for the Community Center. Staff would achieve certification and
obtain licensure through the UCLA Longevity Center to conduct memory fitness
classes at the Senior Center. The division does not operate with a cost recovery
target at this time. Trustee Holcomb questioned if the center was in line with
other centers in the area as it relates to cost for programming. Manager Mitchell
stated municipally owned and operated centers do not operate with cost recovery
as a goal. Fees are kept as low as possible to allow participation by as many
individuals as possible. The center has served approximately 30% more visitors
in 2015.
Fairgrounds and Events – Director Winslow prepared the proposed budget prior
to his departure. Staff has reviewed the budget and the scope of the department
and proposes separating out responsibilities into two separate departments. The
Senior Center and Museum would create a new Cultural Resources department
and the Fairgrounds, Events, Visitor Services and Conference Center would
remain in the Community Services department. The Fairgrounds and Event
Center would be combined into one budget. Trustee Nelson stated the
separation of responsibilities may need to go further and questioned if the Town
has the expertise to complete all the tasks. He commented staff may need to
contract out to complete tasks. Administrator Lancaster stated discussions
would take place with the new Director to review the skill set of employees, hire
new staff, contract out services or change the contractual relationships to
Town Board Budget Study Session – October 21, 2015 – Page 3
address work flow. The Town would reach out to the private sector to see what
might be available to provided services.
The Town works in partnership with Western Heritage to conduct the Rooftop
Rodeo and the Town continues to work on trade marking the logos. Staff has
been working on documenting its relationship with a number of the partnership
such as Western Heritage, Local Marketing District and the Conference Center to
clarify roles and responsibilities.
The 2016 budget contains an increase in charges for services provided and an
increase in rentals for the Event Center. Manager Lynch has focused her
marketing efforts on shows that produce revenues such as sporting events,
associations, online and tradeshows. Trustee Holcomb questioned who is
responsible for marketing the tradeshows. Manager Lynch stated the tradeshow
would market their event; however, she directs them to the Local Marketing
District to coordinate marketing efforts. Mayor Pinkham questioned how food
services have affected the use of the Event Center. Food service has been an
issue with past events. Staff has a list of preferred catering vendors along with
Rocky Mountain Park Inn. An RFP would be produced next year for a catering
company to operate the food vending services at the center.
As the department moves forward and addresses issues such as formal
contracts for every event, there may be an increase in complaints on fees
associated with events. The Town would review the return of each event,
including how the event affects the community as a whole, to determine if the
event should continue. The Scotsfest for example does not rent the fairgrounds
or pay any fees associated with the use of the fairgrounds. The Town spends
over $100,000 in waived fees, staff support and funding for housing. Events
need to be reviewed to determine if it is a good return on investment. Mayor Pro
Tem Koenig stated an invoice should be produced for the Town’s in-kind
investment in events.
Trustee Holcomb questioned what upgrades to the Conference Center have
been budgeted. No funds have been budgeted in 2016 as a strategic plan for the
center needs to be developed. The Town has lost business because of the size
of the Conference Center and the need for an upscale hotel and ballroom. The
center needs a commitment to invest by both the Town and Forever Resorts.
Manager Lynch stated transportation between the Conference Center and the
Event Center has also become a major issue. A hotel next to the Event Center
would help sell the facility as conference coordinators are not accustomed to
addressing transportation or providing transportation to their attendees.
Visit Estes Park has requested the Town fund marketing efforts in 2016 at
$94,000 and the district would match the funds. Administrator Lancaster stated
staff would have to cut the budget to provide the funding being requested. The
proposed budget has been prepared with a lot of unknowns related to the flood
recovery. Trustee Norris stated the decision would be a return on investment
with a same year payback. Trustee Ericson stated he agrees with Trustee Norris
and we need to make intelligent investments. Mayor Pro Tem Koenig stated they
have a citizen directive to provide marketing to the community regardless if the
Town provides additional funding. Trustee Nelson commented the $94,000
would be used to get new events rather than promoting current events. He
would not support the funding request as it would not be an effective use of the
funds. He stated concern with excessive marketing. Administrator Lancaster
stated the Service Level Agreement continues to be addressed and the IGA
between the Town and the Local Marketing District. Mayor Pinkham stated if the
roles and responsibilities are still in discussion that should be concluded prior to
making a recommendation on funding marketing efforts.
Town Board Budget Study Session – October 21, 2015 – Page 4
Transportation – The budget funds the shuttle services providing 5 routes and 61
stops throughout the valley, operates 12 weeks during late June through early
September, and provides services from 8-9 a.m. to 10 p.m. daily. The fund
provides special event services with the trolley throughout the year. The budget
includes minor shuttle stop modification to improve service, additional service
following the Rooftop Rodeo back to accommodations, and ADA accessibility on
all five routes. Expenses have been budgeted with a slight decrease in O&M
costs. Trustee Holcomb questioned the cost to add shuttle service for an
additional 8 weeks to begin services earlier in the year and run it longer in the fall
season. Staff estimates the cost at approximately $40,000.
Staff has reviewed the potential of developing a transit system in order to access
FTA funds. To acquire funds the Town would have to have a year-round transit
system, which equates to one day of service during the rest of the 40 weeks of
the year at a cost of approximately $35,000 with two buses. FTA would fund
50% of the operation and 80% to purchase capital assets such as a bus. The
Board expressed interest in reviewing the opportunities of acquiring FTA
funding.
Museum – The 2016 budget contains a slight decrease in revenues and
expenses. Personnel costs remain flat. The Museum staff would continue to
develop future plans for the Museum building, refine collection through
deaccession, develop an online collection to increase accessibility of archives
and photographs, take a leadership role in coordinating 2017 Centennial
Celebration of the Town, design and bid renovations to the Museum main
building, reestablish historic tour and collaborate with MacGregor Ranch for 2016
temporary exhibit. As construction of the collection building with Town funds
would not be feasible, staff has proposed using the $200,000 set aside in the
Community Reinvestment fund to remodel the current facility. The remodel
would provide a viable facility for the next 15-20 year by remodeling the exhibit
space, meeting room, and office space. Mayor Pro Tem Koenig stated
concern with the collection stored at the Elm Road facilities and the need
to address the issue. Director Fortini stated grant funds are not available for
exhibit space; however, funds may be available for the collection facility based on
how the Town may operate the facility.
UTILITIES
Light & Power – The projected fund balance would decrease with an increase in
expenses over revenues in 2016; however, the ending fund balance of $4 million
would meet debt services requirements. Revenues have been budgeted flat for
2016 with expenses increasing only slightly. Personnel costs would increase with
the addition of a crew lead, ground worker and equipment operator to address an
increase in workload. O&M has been increased with the replacement of
vehicles, addition of two full-time tree trimming crews year-round and the
seasonal decoration contract. Capital projects slated for 2016 include installation
of tree cable in Little Valley, underground/overhead service to Allenspark and
service along CR 43 in Glen Haven, installation of fiber for system automation in
the Little Valley and Allenspark areas. The Town’s cost to purchase power would
increase by 4.5% from PRPA and would be passed on directly to the rate payers.
Water – The division would increase expenses over revenues in 2016 to
complete project work, which would decrease the overall fund balance. The
division would replace the North Fish Creek corridor line extension, replace
process analyzer, complete automated meter reading installation, completion of
phase I pipeline replacement on North Court and 3rd and 4th Streets and begin
phase II, continue to review/design of treatment processes at Glacier Creek
Town Board Budget Study Session – October 21, 2015 – Page 5
water treatment plant, storage tank piping modifications at Glacier Creek Water
Treatment Plant, investigate pipeline bottleneck along the Hwy 34 corridor,
addition of a duty truck, continue the process to transfer three private water
systems to the Town, and add two additional water operators in 2016 to meet the
increased workload due to regulatory compliance and field operations. O&M
increases with the partial replacement of membranes at the Marys Lake Water
Treatment Plant and the implementation of Lucity, an automated work order
system.
THEATER FUND
The funds were to be dispersed in 2013; however, the distribution was delayed and the
funds continue to be held until such time a final decision has been made on how to
disperse the funds in 2017 if EPIC has not raised the required funding to build the
theater.
MISCELLANEOUS
Trustee Ericson proposed a merit pool for the employees funded with proposed STIP
funds. He stated the 1A sales tax Street Improvement fund has a healthy balance and
has collected more funds than anticipated with the increase in sales tax collection. He
recommended $235,000 of the STIP program be allocated for the merit pool.
Discussion followed on the use of STIP funds for a merit pool and the consensus
of the Board was not to move forward.
There being no further business, Mayor Pinkham adjourned the meeting at 12:19 p.m.
Jackie Williamson, Town Clerk