Loading...
HomeMy WebLinkAboutminutes.council.19710827 1197 Study Session Aspen Meeting was called to order by Mayor Eve Homeyer ~at 5:00 P. M~ with Councilmen ScOtt Nystrom, Ramona Markalunas, Jack Walls, Francis Whitaker, City Manager Leon Wurl and Finance Director Dennis Veeder. ; Retirement Retirement Program - Mr. James Markalunas, Chairman of the Employee Retirement COmmittee Program was present to answer any question s of the Council, City Manager Wurl reported the initiation of a retirement program is affected by the wage and price freeze and could· not be initiated until such time as the freeze is lifted. Mr. Markalunas stated while in Denver, tie contacted the pension trust department of the IRS on the proposed City of Aspen plan. The committee is at the point at this time, that until Council decides what they are willing to do, approval of the formal document cannot be obtained. IRS repre- sentatives state that any governmental pension program consideration must be·given for past service, private pension programs do not have to consider past service. In addition IRS states that when a program is initiated to take the place of social security, the minimum that IRS would gpprove would be 670, under a voluntary program would allow a minimum of 3%. The IRS will look at the plan in light of no discrimination against the low paid employee or .towards the high paid employee. Discussed a fixed contribution vs option of contributions. Mr. Markalunas further re-. ported in order not to be discriminatory, a vesting schedule has to be included and a percentage given back to the employees prior to retirement, at retirement must give 100% of the City's contribution back. City Manager Wurl reported the pa-st service could be picked up over 10 to 15 years. Mr. Markalunas reported the IRS would approve this as long as the past service was picked up so that no benefits would be deprived of any empoyee. City Manager Wurl reported City Attorney Kern states the City can obligate for a pension program over a number of years. Councilman Ross Griffin arrived. Discussed the City starting their contribution at the minumum for the first year and then perhaps increasing the contribution in future years. Councilman William ComcoWich arrived. Mr. Markalunas stated that even if the City goes a flat 3%, some of the employees may want to go 4 and 5% as relates to their contribution. Councilman Nystrom moved to set this program up on a 3% city contribution and option to the employees of 3, 4 or 5%. Seconded by Councilman Whitaker. Roll call vote - Councilmen Nystrom aye; Comcowich aye; Griffin aye; Markalunas abstain; Walls aye; Whitaker aye; Mayor Homeyer aye. Motion carried. Revenues Revenues - General Fund- City Manager Wurl reported there will be a total deficit in the General Fund 1971 budget for the City of $87,002.00 which includes paying off of the anticipated warrant and motor grader. Outline of where proposed cuts could be made was submitted to cover this deficit. Projected revenues for 1972 and anticipated revenues for 1971 were submitted.. City Manager Wurl reported the City anticipates less revenue in 1972 than budgeted for in Councilman Comcowich, with permission left the meeting. Engineering Engineering - Total budget submitted in the amount of $77,955.45 with the major increase being in t&mporary salaries. Outline of projects handled by engineeri~ng was submitted. City Manager Wurl reported without some additional revenues, all capital-improvements in proposed budgets will have to be eliminated~ " C0U.ncilman Griffin stated in order to even provide what we are now providing, will need to raise taxes in someway. ~ Councilman Griffin mo%ted tO give tentati~m approval of the engineering budge~. ~SeConded by Priorities City Manager Wurl reported there are two items which he feels are of top priority - what ever it takes to solve the financial problems in the finance department and annexation to provide for a large ad valorem base and sales taxes~that the City needs. Further reported the City hall employees feel another priority is the bathrooms in City Hall. Ail in favor, motion carried. Police Police Pension - Total budget proposed $6,000. Councilman Whitaker moved to give tentative Pension approval of this budget. Seconded by Councilman Griffin. Ail in favor, motion carried. 1198 Study Session Aspen City Counil August 27, 1971 Parks and Recreation - It was reported the RSA tentatively decided to cut this budget Parks and by $50,000 and leave the specific cutting up to the City and the.director. Recreation The following cuts were tentatively decided by Council: fencing of Rub~ y Park $3,000; Fred Iselin Memeorial Park landscaping betweeen the pool and remminder of the Park,S8,000; lighting of Fred Iselin Memorial Park about $28,737.03. Also discussed cutting the im- provements to the south end Of Wagner of $2500. Council reqoest the City Manager'submit to .Council an outline of the phases on bikeways and this budget be reviewed again by Council. Councilman Francis Whitaker,-wit.h permission, left the meeting. Health and Sanitation - It was reported the RSA gave tentative approval of this budget as Health and submitted. Sanitation Finance - Finance Director Veeder submitted a proposal for 1971 to establish a general ledger system for the new computer. Cost $14,300 which would be a one time cost. City Council request Mr. Veeder submit on Monday how the financing could be handled for this program. Councilmmn Griffin moved to adjourn at 7:40 P. M., seconded by Councilman Markalunas. All in favor, meeting adjourned.