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2007-08-27 CITY COUNCIL PUBLIC HEARING MEETING MINUTESPUBLIC HEARING OF THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS, HELD ON MONDAY, AUGUST 27, 2007, AT 6:30 P.M., IN THE COUNCIL CHAMBERS, CITY HALL, 3519 LIBERTY DRIVE, PEARLAND, TEXAS. Mayor Reid called the meeting to order at 7:18 p.m. with the following present: Mayor Mayor Pro -Tem Councilmember Councilmember Councilmember Councilmember City Manager City Attorney City Secretary Tom Reid Steve Saboe Woody Owens Helen Beckman Felicia Kyle Kevin Cole Bill Eisen Darrin Coker Young Lorfing Others in attendance: Jon Branson Parks and Recreation Director; Danny Cameron Public Works Director; Jack Colbath Director of Fire Services; Roland Garcia Fire Marshal; Narciso Lira City Engineer; J.C. Doyle Police Chief; Trent Epperson Project Director; Nick Finan Assistant City Manager; Mary Hickling Director of Human Resources and Safety Management; Mike Hodge Assistant City Manager; Lata Krishnarao Planning Director; Claire Manthei Finance Director; Jeff Sundseth EMS Operations Director; June Ellis Budget Analyst; Pat Riffel Municipal Court Administrator; Mattie Culver Public Affairs Manager; Jay Chapman Police Captain; Shari Coleman Animal Control Supervisor; John Knight Information Technology Manager. PURPOSE OF HEARING — PUBLIC COMMENT AND TESTIMONY REGARDING THE PROPOSED 2007 TAX RATE FOR THE 2007 — 2008 BUDGET. Mr. Bill Eisen, City Manager. STAFF REVIEW OF THE PROPOSED 2007 TAX RATE FOR THE 2007 — 2008 BUDGET. Mr. Bill Eisen, City Manager. Presentation given by City Manager Bill Eisen in previous Budget Public Hearing: City Manager Bill Eisen stated his comments will refer to the Budget and the Tax Rate. The local and state laws require the City to hold Public Hearings regarding the budget and tax rate. The proposed budget includes request for 43 additional positions in the General Fund and 3 in the Utility Fund. Of the 43 positions in the General Fund, 18 are associated with the introduction of paid fire fighting positions in the City. Changes have also been made in increasing the employees' dependent insurance coverage benefits. Several pay plan adjustments were made based on market surveys of salaries the City pays compared to other government entities. The budget also acknowledges the first installment of a bond sale associated with the $162 million bond referendum approved Page 1 of 3 — 8/27/2007 by voters. The budget includes funds for several goals set by Council. The proposed tax rate of $0.6526/$100 in property value includes a slight reduction. Several discussions have been held by Council regarding the possibility of reducing the proposed tax rate and the discussions are ongoing. The number of personnel per thousand of population has dropped over the past few years. The Certified Taxable Value for the upcoming year is estimated to be $5.4 billion and the overall increase of the value of property in the City is projected to be $978 million. The current tax rate is $0.652659/$100 in property value and the proposed rate is $0.6526/$100 in property value with an effective rate of $0.616633/$100 in property value and a rollback rate of $0.707514/$100 in property value. The Debt Service Tax rate of $0.4023/$100 in property value and the expenditures coming out of that will be $14.2 million and $22.8 million of the $162 million in bonds approved by voters. The General Fund revenues will be $43.4 million and expenditures will be $45.5 million. The Water/Sewer Fund expenses are $22.9 million. These costs include basic services, 3 additional positions, changes in pay plans, needed equipment and capital improvement projects. The proposed budget also includes a 4% increase in the cost of water for residents. CITIZEN COMMENTS: None. COUNCIL/STAFF DISCUSSION: Councilmember Owens stated there needs to be clarification on the publications regarding the tax rate increase. City Manager Bill Eisen stated the required notices that need to be published regarding the overall changes in property tax revenue associated with operating costs. The City is required to specify a percentage increase in taxes. The number published is the aggregate of the overall increase but the individual increase by property owner will vary significantly. The required wording for the notices published is provided by the State and does not indicate any person over the age of 65, disabled, or has a homestead exemption will not be affected by the increase. ADJOURNMENT Meeting was adjourned at 7:21 p.m. Page 2 of 3 — 8/27/2007 Minutes approved as submitted and/or corrected this the 10th day of September, A.D., 2007. ATTEST: F-'Itllyn6dretary . X41/ � Oz'I?i Tom eid Mayor Page 3 of 3 — 8/27/2007 THIS PAGE LEFT BLANK INTENTIONALLY