MINUTES

FINANCE COMMITTEE

Tuesday, June 8, 2010
City Hall, Room 604

5:00 p.m.

 

 

MEMBERS PRESENT:  Chairman Tony Theisen, Steven Deneys, Guy Zima and Patrick Buckley

 

OTHERS PRESENT:  Dawn Foeller, Angie Dart, Julie Van Oss, Rob Strong, Ald. Wery, Ald. Kocha, Dan Kryzanek, David DeNeil

 

1.    Roll Call. 

 

Roll call was taken and all were present, except Ald. Zima and Ald. Buckley, who arrived within five minutes.  In the meantime, Ald. Wery sat in.

 

2.    Approval of the Agenda.

 

A motion was made by Ald. Wery, seconded by Ald. Deneys, and carried to approve the agenda.

 

3.    Approval of the minutes of the Finance Committee meeting of May 25, 2010.

 

A motion was made by Ald. Deneys, seconded by Ald. Wery, and carried to approve the minutes of the Finance Committee meeting of May 25, 2010.

 

A motion was made by Ald. Deneys to take item #6 out of order, seconded by Ald. Wery, and carried.

 

6.    Request by Ald. Wery that the City split the cost with LZ Lambeau for City services provided to the LZ Lambeau event.

 

The LZ Lambeau event was held on May 21 – May 23 on and around the Lambeau Field grounds.  This was an event that the City did not know about at the time the budget was prepared, but LZ Lambeau organizers requested and received estimated values for the services the City was to provide shortly prior to the event.  These services included security through the Green Bay Police Department, fire and emergency services provided by the Green Bay Fire Department, sanitary collection provided by the Department of Public Works (DPW), and tables, chairs and garbage can rentals provided by the Park, Recreation & Forestry Department.  Currently, LZ Lambeau has only been billed for 1 day’s rental of $275.20 for the tables, chairs, and garbage cans that includes free delivery and pick up.   This bill has been paid.  The value of the actual services provided for 3 days plus delivery and pick up would have been $1,774.

 

David DeNeil, 1177 Wind Surf Drive, Luxemburg, spoke on behalf of the organization that organized the LZ Lambeau event.  He explained it was a unique and very special event for the community and the veterans, and they would like to see the City help support the cost.  If they were to hold the event again in the future, it would require less police protection and more paramedics given the age group and nature of the event.

 

Ald. Deneys asked what the organization intends to do if they are unable to generate enough money to cover the current costs.  Mr. DeNeil explained they intend to solicit contributions through fundraising efforts.

 

Ald. Buckley asked when the organization will have a solid accounting of all revenues.  Mr. DeNeil anticipates within the next couple of weeks.  Revenues are roughly estimated at $1.3 million with expenditures at $1.7 million which leaves approximately $350,000 outstanding.

 

Ald. Theisen clarified the request is to split the cost of City services provided.  So far the Parks Department is the only one to bill LZ Lambeau.  Ms. Foeller explained it is typical to bill for an event that is put on by an organization outside of the City.

 

Ald. Zima asked what preparations were involved in putting on this event.  Mr. DeNeil explained that he was not involved in the budgeting of the event.  John Miskowski was involved in those preparations, and Ms. Foeller spoke with him in preparation for this meeting.  He stated they budgeted approximately $20,000 for rescue and security purposes.   Mr. Miskowski will appear before Common Council on June15, 2010.

 

A motion was made by Ald. Theisen and seconded by Ald. Deneys, to open the floor to hear from the public.

 

Ald. Kocha commented on how well organized the event was.  The budget was probably put together at a time when they were estimating a smaller turnout.  The notoriety and benefits to the City as a result of this event were substantial, and she would like to see the City try to find a way to help this organization out.  It was a highly successful event that garnered national attention, and the City should be proud to participate in helping fund it.  Ashwaubenon waived their fees of approximately $10,000, which is smaller in comparison to the City’s $50,000 fees, but the City should consider doing the same.

 

Ald. Theisen stated he can understand LZ Lambeau’s difficulty in predicting turnout and the costs involved in putting on this one-time event.

 

Ald. Buckley asked if the City provided LZ Lambeau with an estimate.  Ms. Foeller stated the Police Department gave several scenarios and quoted them at $40,000 which came in close to actual cost.  Fire quoted them at $8,000 and the actual cost came to $7,815.  Park and Rec services have been billed and paid.  She is unsure if DPW provided them with an estimate.  Estimates were given sometime in April.  By splitting the cost, the City would waive approximately $24,000.

 

Ald. Zima asked what the typical procedure is for organizers of special events.  Assistant Fire Chief Rob Goplin stated the City refers to the Special Events ordinance to make sure taxpayers are not underwriting people’s events.  Taxes are collected to provide services to the City of Green Bay, not to help with charitable donations and nonprofit organizations.  He is concerned about setting precedents where people can put on special events and expect the City to help pay for them.  He recognizes the value and emotionality of this particular event, but there are a lot of good causes that people have sympathy for and you have to draw the line.  They were aware of the costs and decided to go ahead with the event, so they should honor their obligations.  He believes this should be put on hold until they have more information as to the planning and budgeting of the project and the policies followed by the City. 

 

A motion was made by Ald. Zima to hold the item over until the next committee meeting.  Motion was seconded by Ald. Deneys.

 

Ald. Theisen explained the item will go to Council on June 15 and those individuals that wish to speak on it may appear at that time and provide more information.  The other alternative is to bring it back to the next Finance Committee meeting on July 6.

 

Ald. Theisen would like to see the progress of the fundraising efforts before determining the City’s involvement.  The City’s policy also needs to be reviewed.

 

Ald. Kocha thinks the City’s taxpayers would welcome this kind of expenditure for their veterans.  If the City turns them away now, it looks like the City of Green Bay said no to financially supporting the event.

 

Ald. Theisen explained that the motion is to hold the item until they have done their fundraising.  Ald. Kocha responded that they have done a tremendous amount of fundraising to date, and asking the City to share in the cost is also part of their fundraising.  The City benefited from the event and should find a way to help with the cost of this one-time event.

 

Ald. Wery agreed with Ald. Kocha and believes this is a special event and the City of Green Bay should follow what the Village of Ashwaubenon has done, and at the very least, waive half the fees.

 

Ald. Theisen explained that the committee is not denying the request but simply wants more detailed information. 

 

Ald. Deneys wants to make sure the City is following policy and does not want to open the floodgates for potential future requests of this kind. 

 

Ald. Kocha reiterated that the LZ Lambeau event was a one-time event honoring our veterans, so that is what differentiates it from others.  The City should not have to justify this to other event organizers, nor should it expect those organizers to have a serious issue with the City’s decision to help out in this endeavor.

 

Ald. Buckley believes the City should not be making this decision based on emotions.  The committee wishes to obtain more information on the budget and City policy and make its decision based on that.  The key LZ Lambeau committee member, Jon Miskowski, needs to be present to offer such information, which is why the motion is to hold the item over until he can be present.  He does not see the urgency to get this done today.

 

Mr. DeNeil closed by stating the organization has raised approximately $1.2 million from revenues.  This is an emotional issue, and he understands the City has obligations to its taxpayers.  However, keep in mind that a veteran offers up his life to the people of his Country when inducted into the military.  When LZ Lambeau held a memorial ceremony, there were 1,244 blank chairs representing those that were killed or went missing in action.  He is asking the City to consider donating $40 for each blank chair to offset some of the expenses the event has incurred, whether or not it was a result of poor planning or the underestimated response by the community.

 

Ald. Zima believes the City gave LZ Lambeau a fair estimate.   There was a bigger turnout than they had originally thought, so it appears the event should have resulted in financial success.  If the event had not been such a success, then it appears they would have suffered even bigger losses.  An emotional appeal does not seem appropriate; understanding the original budget is what is important in making the decision to use taxpayer money to fund this event.  Whether or not the City followed policy and procedure is also relevant to this decision.  The City follows a budget, and funding for this event was not part of the budget. 

 

Ald. Theisen concluded that the City has not billed LZ Lambeau yet, so the City will verify its finances and revisit the item.

 

The motion to hold over the request carried.  (Attached to the minutes of this meeting is the City’s special events ordinance 6.15.)

 

4.    Report of the Purchasing Agent:

 

     a) Request approval to award Police Department Training Room Furniture to the low

responsive vendor, KI, for the amount of $44,312.55.  Funding source 101 General Fund Carry Over dollars.

 

Purchasing Agent, Julie Van Oss, provided the committee with the specifications and the quotation summary of the six vendors that responded to the quote.  KI was the lowest bidder to meet all specifications.  The three bidders that were lower did not meet specifications.  The specifications were detailed and are provided following the minutes.  The four main criteria were quality, functionality, durability, and appearance.  Some crucial components of the chairs that needed to be met are a flexible back, a mesh backrest, a chrome base, and foam padding.  Samples were demonstrated before the committee.

 

Ald. Zima stated it appears it was specked to one vendor that meets all criteria.  Ald. Theisen responded that two bidders met specifications but came in at a higher quote.   Because they were higher, they did not need to review their product.

 

The question as to the necessity of a chrome base was addressed and is based on the long term durability of the product.  This will be a heavily used training room.  The chrome will survive frequent moving and stacking. 

 

A motion was made by Ald. Deneys, seconded by Ald. Buckley, and carried to approve.

 

5.  Request by the Planning Director to adjust weights and measures fees.

 

The Planning Director, Rob Strong, handed out a list of fees and a comparative fee schedule of other municipalities.  He explained the City has not raised its fees in five years.  In determining the increases, they compared the current fees with those of other municipalities.   The final decision was to adjust the weights and measures fees with a $5 increase to the following categories effective July 2010: Annual Base Fee, Scales 1-50 lbs., LMD’s – per device or grade, and LMD’s – high output per device 20 GPM.  The proposed increases are to cover expenses, and these raises are in those areas that require more time.  Overall, there will be an approximate 12% increase in revenue for the fees being adjusted.

 

The City also contracts its weights and measures services to three other municipalities:  Bellevue, Howard, and Allouez.  It is looking into doing this for the Village of Suamico as well.  The City charges less than the State for these services and provides better service.

 

A motion was made by Ald. Zima, seconded by Ald. Theisen, and carried to approve the adjustment of the weights and measures fees with an amendment to increase the annual base fee to $30 rather than $35.

 

The next Finance Committee meeting will be held on July 6.

 

A motion to adjourn was made by Ald. Deneys, seconded by Ald. Buckley, and carried.  The meeting adjourned at 6:23 p.m.