BURLINGTON BOARD OF FINANCE

CITY HALL

BURLINGTON, VERMONT

MINUTES OF MEETING

January 22, 2019

                                                                                                APPROVED – 4/8/19

                                                   MEMBERS PRESENT:      Mayor Weinberger

                                                                                                  Council President Kurt Wright

                                                                                                  Councilor Jane Knodell

                                                Councilor Karen Paul

                                                Councilor Sharon Bushor

OTHERS PRESENT:          Beth Anderson, CAO

                                                Rich Goodwin, DFO

                                                Olivia LaVecchia, Mayor’s Office

                                                Jordan Redell, Mayor’s Office

                                                Eileen Blackwood, City Attorney

                                                Kirsten Merriman Shapiro, CEDO

                                                William “Chip” Mason, City Councilor

 

1.0       CALL TO ORDER and AGENDA

 

Mayor Weinberger called the meeting to order at 5:06 PM on January 22, 2019.

 

1.01 Agenda

MOTION by Councilor Bushor, SECOND by Councilor Paul, to approve the agenda as presented. VOTING: unanimous; motion carried.

 

2.0       PUBLIC FORUM

There were no comments from the public.

 

3.0       APPROVE AND RECOMMEND TO CITY COUNCIL

3.01 Preliminary FY18 General Fund Audit Results – C/T

Mayor Weinberger said the number in the unassigned fund balance ($9.7 million) has not changed, but the document is now more clear. The fund balance is over $2 million higher than expected.

 

MOTION by Councilor Bushor, SECOND by Councilor Knodell, to recommend City Council approve the preliminary FY18 General Fund audit results.  VOTING: unanimous; motion carried.

 

4.0       BUDGET COMMUNICATION

4.01 FY20 Budget Discussion

Mayor Weinberger said use of the fund balance to delay a tax increase and then ending up having a large tax increase in the future must be rectified.

 

CAO Anderson reported some budget lines are being adjusted to be more factual to actual use. More funding will not be requested if what is budgeted was not used in the past. For a 2% tax increase the budget must be reduced by $1.1 million. For a 3% increase the reduction is $835,000. For a 4% increase the reduction is $535,000. Options for saving money in the General Fund operating budget include using proceeds from the BT sale to offset networking technology costs, continuing to use funds for pilot funding or using unassigned fund balance. If this is done the need in the General Fund is reduced by $1.65 million and the tax increase is less than 1%.

 

Councilor Bushor mentioned BT proceeds are not guaranteed so the unassigned fund balance should be used as a one-time use. Councilor Paul urged finding ways to reduce costs, such as eliminating the paralegal position. Mayor Weinberger noted the requests for public records take tremendous staff time which would be relieved by having a paralegal. Mayor Weinberger stressed staff tried to pursue the issues raised with the budget and made modifications. Staff has proposed $1.65 million in cuts or funding through alternate means. Long term trends are concerning. Expenses rise with inflation, but the General Fund does not.

 

The Board of Finance will hold a special meeting to further discuss the FY20 budget numbers.

 

5.0       EXECUTIVE SESSION

5.01 BT Closing

MOTION by Council President Wright, SECOND by Councilor Knodell, to find that premature public knowledge of pending litigation relative to the BT closing would place the city at a substantial disadvantage. VOTING: unanimous; motion carried.

 

MOTION by Council President Wright, SECOND by Councilor Knodell, based on the finding of premature knowledge of pending litigation relative to the BT closing placing the city at a disadvantage to go into Executive Session and to invite the City Attorney, the Mayor, and Mayor’s Office, and Schurz representatives to attend. VOTING: unanimous; motion carried.

 

Executive Session was convened at 5:40 PM.

 

MOTION by Council President Wright, SECOND by Councilor Knodell, to adjourn Executive Session and reconvene the regular meeting. VOTING: unanimous; motion carried.

 

Executive Session was adjourned at 6:02 PM.

 

6.0       FINANCIAL COMMUNICATION

6.01 November Financial Report – C/T

6.02 November Sweep Report – C/T

Information provided to the Board of Finance.

 

7.0       ADJOURNMENT

MOTION by Council President Wright, SECOND by Councilor Knodell, to adjourn the meeting. VOTING: unanimous; motion carried.

 

The meeting was adjourned at 6:03 PM.

 

RScty: MERiordan