Agendas & Minutes


March 28, 29, 30, 2007 - SPECIAL MEETING

SPECIAL MEETING
PAHRUMP TOWN BOARD
TENTATIVE 2007/08 BUDGET HEARING
TOWN ANNEX
270 N. Highway 160
Wednesday, March 28, 2007, 7:00 PM
Thursday, March 29, 2007, 7:00 PM
Friday, March 30, 2007, 7:00 PM

 


Agenda

1.    Call to Order  

2.    Public Comment:  Action may not be taken on matters considered during this period until specifically included on an agenda as an action item - NRS 241.020 (2)(C)(3).

3.    Discussion and decision regarding Fiscal Year 2007/08 tentative Town of Pahrump and Pahrump Swimming Pool District budgets and matters properly related thereto.

4.    Adjournment

 A quorum of Nye County Board of Commissioners may be present at this meeting.

POSTED IN THE PAHRUMP TOWN OFFICE, COMMUNITY CENTER, COUNTY COMPLEX, FLOYD’S ACE HARDWARE, & CHAMBER OF COMMERCE

Any member of the public who is disabled and requires accommodations or assistance at this meeting is requested to notify the Pahrump Town Office in writing, or call 775-727-5107 48 hours prior to the meeting. Assisted listening devices are available at Town Board meetings upon request. 

 


Minutes


SPECIAL MEETING
PAHRUMP TOWN BOARD

    Present                                                                    Absent
    Laurayne Murray                                                      None
    John McDonald
    Don Rust
    Nicole Shupp
    Dan Sprouse

Call to Order  

    Chairperson Murray called the meeting to order at 7:00 p.m.

Public Comment:  Action may not be taken on matters considered during this period until specifically included on an agenda as an action item - NRS 241.020 (2)(C)(3).

    None

Discussion and decision regarding Fiscal Year 2007/08 tentative Town of Pahrump and Pahrump Swimming Pool District budgets and matters properly related thereto.

The Town Manager stated the budget adoption schedule was as follows:

Budget Hearing
March 28, 2007

March 26 – State Department of Taxation releases final revenue estimates for property and consolidation taxes, which represents over 85% of the General Fund revenues.  
March 28 – 30 – Town Board Public Budget Workshops and Adoption of Preliminary Budgets.  
April 15 – Town files Tentative Budget with the Department of Taxation.
May 17 – Town Board Public Hearing to Adopt Final Budget.
June 1 – Town files approved Final Budget with Department of Taxation.
    
The Town Manager provided highlights of the preliminary budget and his recommendations.  He stated the Town of Pahrump represents 82% of Nye County’s population and the Town’s assessed valuation increased 40% from approximately $973,000,000. to $1,360,427,099.  Also he noted that under the tax cap legislation, the property tax revenues related to residential parcels is limited to 3% after the first year a property is added to the tax rolls.  He stated in anticipation of the successful approval by the state legislature, a Public Safety Sales Tax Fund was added to the budget and recommended, in conjunction with the Fire Chief, that $711,000. of the proceeds be used to hire eight (8) additional Firefighter-EMT’s with the balance used to fund related equipment.  He recommended adding $150,000. to fund 7 additional intermittent Firefighter-EMT positions in the Ambulance Fund to supplement the existing staffing levels.  He stated as a result of the impact fee ordinance two new funds were created to account for the Parks and Fire Impact Fees.  The Town Manager added reasonable and conservative measures would be used with expenditures.  He stated the Town was in the process of developing a master plan for parks and fire services which comply with the legislative requirements and again mentioned the need to be prudent as to the size and timing of the projects.

Member McDonald questioned the outcome of the Tischler-Bice capital improvements plan for parks.  The Finance Director stated we were not abandoning the plan, just elaborating on it.

The Town Manager recommended, in conjunction with Buildings and Grounds, that $100,000. from the Parks Impact Fee fund was budgeted to assist in developing a master plan for parks.  He also recommended establishing a new disbursement category in the General Fund for Community Grants at $25,000.  He recommended, in conjunction with the external auditor’s advice on improving internal controls, that an additional financial assistant be added to implement his separation of duties recommendation related to financial matters.  He stated PETT grant requests totaling $2,356,700. had been submitted to Nye County for consideration.  He stated the goal should be to develop a budget that was financially sustainable based on the available economic assumptions which were reasonable and provide projections which were conservative, and avoid creating
Budget Hearing
March 28, 2007

unfunded liabilities.  The Town Manager recommended that the Town Board approve the Preliminary FY 2007-08 Budgets as presented and amended, and directed that they be filed with the State Department of Taxation with the appropriate forms, and amend as necessary and directed by the Department of Taxation to comply with subsequent revised information and legislative action.

The Finance Director stated page 2 provided a summary of funds. He stated page 25 was the Public Safety Sales Tax Fund, subject to approval by the state legislature during the 2007 session.  He stated new staff member training for fire and rescue would begin in October and any remaining funding would go toward equipment.  The Finance Director agreed to correct the beginning fund balance in the Public Safety Sales Tax Fund to $0 from $255,000. Chairperson Murray stated the authority of implementation, if the tax bill was passed, rested with the County Commissioners and was to be distributed by population.  The Fire Chief explained the projected employee costs were based on 4 each; fire fighter/ EMT-I and fire fighter/paramedic.  Member McDonald noted if a new capital improvements plan (CIP) was developed the impact fees would be recalculated.  

The Finance Director stated the Fire Budget, page 17, reflected contractual obligations and recommendations from the Fire Chief. He stated the increases were related primarily to fuel based activities, repair, and maintenance.  The Fire Chief’s request was to acquire an additional fire engine for approximately $450,000. (PETT fund request item). The Finance Director stated for budgetary reasons $225,000. was allocated which could be used for other equipment (tanker truck) in the event the fire engine was fully funded and if not fully funded a two year purchase was an option.  The Fire Chief stated the equipment and staffing budget followed the CIP.  The Finance Director stated the Fire Budget contained 10 employees, 3 administrative and 7 line.  The Fire Chief stated the budget contained the existing staff and the recommendation for the additional eight staff members.  Chairperson Murray asked what the alternative was if the sales tax did not materialize and how many employees could be hired.  The Finance Director stated $711,000. was required and if the funds were available the employees would have been hired.  He stated the Town had $380,000. in new property tax this year and based on the consolidated tax (CTX) projections that the State made, the Town would be flat to less than last year.  He added the distribution formula was not in the Town’s favor with the bulk of the CTX going to the County.   Chairperson Murray stated being staffed to full capacity cost less than being short staffed and paying overtime.  Member McDonald stated employees on overtime cost less than additional employees when the cost of benefits was considered.  The Board members agreed additional staff was required and the funds must be located.   


Budget Hearing
March 28, 2007

The Finance Director stated the Fire Impact Fee fund, page 27, was a segregated fund based on current levels of service.  He stated he was aggressive with these fund figures which were designated for fire stations.
He stated the ambulance fund, page 9, showed increases for rising expenses and the purchase of two ambulances.  He stated the figures included no additional staffing.  The Fire Chief stated the high vehicle mileage and the problems with the Ford chassis would continue to affect the budget into FY-08.  He stated the Enterprise fund has been problematic and alternative ways to manage this fund were being considered.  Member McDonald stated the timeline for changes would be at least one year away.  Member Rust questioned collection efforts citing the $733,000. of uncollectible debt.  The Fire Chief assured the Board of enhanced collection efforts by the staff and explained a variety of obstacles in collection such as; non-reimbursement by the County for detention center calls, uninsured, and transients.  The Town Manager stated an ordinance could be passed to lien property for payment.  Chairperson Murray suggested an agreement to bill the hospital versus the customer. The Finance Director stated the Enterprise fund was estimated to take in 2.3 million dollars and spend 2.6 million dollars.  Tim Murray commented that a portion of the bad debt was the cost of doing business.  Member Rust stated without denying people service, action should be considered from the Board to reduce the uncollectible debts.  The Chief stated the employee fund contained 16 line staff, 3 administrative staff and 7 intermittent staff.  The Chief stated the Enterprise fund positions are as follows: 6 FF/EMT’s, 10 FF/EMT-I’s, 1 Training Coordinator, 2 billing staff, and the intermittent which are a combination of B’s, P’s, and I’s.  The General fund positions are:  Fire Chief, Assistant Fire Chief, Billing Manager, 3 Lieutenants, 3 EMT-I’s, and a Life Safety Inspector.  

Member McDonald stated, in the past, both funds were excessively pessimistic and the actual was a very different from the budgeted figures.  He stated in his opinion the Town was sitting on a lot of money and a realistic budget needed to be completed rather than building a huge fund balance.  The Finance Director stated the 2 million dollars was an enterprise fund, not a fund balance and indicated the assets, not the cash balance.   The Finance Director stated these were the Chief’s numbers for budgeting and payroll and stated it was the Chief’s responsibility to determine if the figures could be reduced.  The Chief stated the Enterprise fund was dependant on monies generated in that month, unlike the General Fund where if he did not spend the money it stayed in the fund.  Member McDonald stated his concern was that the Town has budgeted losses for the past couple of years but, actually experienced gains. The Town Manager stated the projections were based on the Fire Chief’s estimates.  Member McDonald stated the decision to budget closer rested with the Board.  The Fire Chief stated his concern was the upcoming expenses with ambulances and staffing.   
    
Budget Hearing
March 28, 2007

Tim Murray complimented the Board on their focus to find additional personnel and stated several months ago he offered his assistance, as a union representative, to find a staffing solution. He added several creative avenues were available to increase revenue.

The Finance Director suggested review of Buildings and Grounds at page 15.  He stated there were no additional funds requested for additional staffing in the General Fund.   The capital Fund request was increased by $15,000. Matt Luis stated the parks department has grown and additional staffing is required.  Chairperson Murray suggested volunteers and inquired about the position of Recreation Coordinator.  The Finance Director explained that this was a new position to include the previous Pool Manager position, stating the pool requires additional attention and the recreation needs of the parks requires additional coverage due the growth of both.  Chairperson Murray objected citing the arena work was done by volunteers.  Mr. Luis stated “burn out” has happened quickly on the Parks and Recreation Advisory Board.  The Finance Director stated the intent was to have a stable, full time employee to direct the parks schedule and manage the pool.   He added staffing had been increased at the pool.

The Finance Director stated Parks Impact Fees, page 29, were the preliminary concepts of where some of this money would be invested.  He added the impact fees were expansion of capacity but, they did not pay 100% of the capacity, the Town had to pay the balance.  He stated page 39 was the Parks Room Tax fund.  Chairperson Murray stated the Town Board had requested funding for additional staffing for the Fire Department.  The Town Manager stated the Parks Impact Fee fund was looked at in the past as a capital improvement fund.  Chairperson Murray stated she would like to see the Parks Room Tax Fund used for operations.

The Finance Director stated the General Fund Capital Projects Fund, page 56, has a substantial balance with considerable capital expansions remaining.    He also recommended addressing the PETT Fund.  Chairperson Murray read Resolution 2007-05.

Member Rust motioned to pass resolution 2007-05 as amended to state that it was a part of our budget review process and forward that resolution to the County Board of Commissioners.

Member Sprouse seconded.

Adjournment
Budget Hearing
March 28, 2007

The meeting was adjourned at 9:47 p.m.

Respectfully submitted,

    Don Rust
    Town Clerk

CC:    Town Board
    Nye County Treasurer
    Nye County Commissioners
    Nye County Planning
    Nye County Clerk
    Dan McArthur

/al

 


 



 

SPECIAL MEETING

     Present                                                                    Absent
    Laurayne Murray
John McDonald                                                         
    Don Rust
    Nicole Shupp
    Dan Sprouse

Call to Order  

    Vice Chairperson McDonald called the meeting to order at 7:00 p.m.

Public Comment:  Action may not be taken on matters considered during this period until specifically included on an agenda as an action item - NRS 241.020 (2)(C)(3).

    None

Discussion and decision regarding Fiscal Year 2007/08 tentative Town of Pahrump and Pahrump Swimming Pool District budgets and matters properly related thereto.

Member Sprouse motioned to accept the Nye County Treasurer’s Report dated November 30, 2006    as additional back up material.

Budget Hearing
March 29, 2007

Member Shupp seconded.

Motion carried 4/0 (Chairperson Murray arrived late and was absent for the vote).

Member McDonald stated this document contained the most recent financial figures he could locate.  He stated the Pahrump Town General Fund indicated an ending balance of $1,980,397.44 and did not match Dan McArthur’s balance of $2,134,576.62.  The Finance Director stated it was possible that the County had not completed their adjusting journal entries.  Member McDonald stated he was demonstrating the financial data provided was completely inadequate.  He stated the lack of current financial data made it impossible to create a budget that was tightly controlled. The Financial Director stated Dan McArthur’s data was the information he utilized and the most current.  Member McDonald stated this comment was in reference to adding employees to the Fire Department.  The Finance Director stated this was the Chief’s methodology and the numbers would be only what the Chief would be comfortable budgeting.  Member Rust suggested adding the personnel and not implementing the addition immediately.  Member McDonald stated his concern was when the addition would be implemented.  Member Rust suggested implementation upon receipt of the County’s audit budget.  The Finance Director stated he agreed that the Town could allocate the money or utilize the money presently allocated, if sufficient, for personnel from the fire department side.  He added this would require approval from the Chief.   

Member McDonald made a recommendation to the Board members to consider allocating additional resources, mainly personnel, to begin to develop and start the Board’s own accounting system which would not replace the County accounting system but, would require double entering all data.  He added this method was a suggestion to avoid the lack of current financial data and provide more accurate budgeting.  Member Rust stated this Board may need to approach the legislature to increase the tax cap.  The Finance Director stated the General Fund acquired $380,000 in new property tax on an increase of over $385 million in assessed valuation.  

The Finance Director moved to the General Fund Summary, page 2, and explained the CTX will be slightly less this year due to a variety of reasons.  He provided a summary of the general fund reviewing total expenditures, variance, and ending fund balance.  Additionally he reviewed page 4, the budget notes.  He reviewed the five year cash flow projection and added we often do not spend the entire budget we appropriate.  He stated the summary of general fund uses provided the divisions by operating departments and transfers.  He moved to page 7, the summary of special revenue funds.  He stated the fire and parks impact fee funds had been discussed however each of the other funds would be
Budget Hearing
March 29, 2007

discussed.  He moved to page 8, the summary of capital projects funds which were only used for capital type projects.  

The Finance Director moved to tab 3, the General Fund, Administration Division and reviewed a new column called Community Grant Program which would provide funding for various community events.  He added that in the salaries and wages for all the personnel in all divisions a COLA and merit at 4% each has been included.  Chairperson Murray clarified the 4% each was allotted but not necessarily what would be awarded.  She clarified that one employee was converted from ½ time to full time in Fire and Rescue from the ambulance fund and one person was added in business licensing last year.  The Finance Director stated consideration needed to be given to an additional employee for buildings and grounds for the master plan improvement project.  Chairperson Murray stated the Fire and Rescue was determined to be the current priority for staffing.  The Finance Director added that under group insurance for the employees was a figure of about $7000 per year per employee for the health care package and subsidy.  He advised the Board that this year there would be a request for an increase of $500. per person for a rate increase and that was included in the model.  Chairperson Murray stated she understood the increase in vehicle fuel but, questioned the other increases.  The Finance Director stated Nye County has requested we remove the Town from the County IT system.  He stated the Town would be required to obtain a new server, software, hardware, and professional services for technical support.  He added a place saver has been placed in professional services for legal services related to planning.  

The Finance Director reviewed the General Fund Arena and General Fund Television.  Following discussion from the Board regarding the Television fund, it was agreed $15,000 capital outlay and $5000 operating supplies would be removed and the new total would be $21,000 versus $41,000. The Finance Director reviewed the General Fund Transfers.  He reviewed the Business License Special Revenue Fund.  Chairperson Murray stated the professional services allotment was nice to have but not necessary.  The Finance Director stated the allotment was necessary due to increased enforcement and increased legal representation and reminded the Board that Business Licensing was a separate fund that could not fund any Fire and Rescue.  Chairperson Murray stated once again the projection was budgeted over and at a loss.  Member McDonald inquired where the enforcement fine money reentered as revenue.  The Town Manager stated that revenue went to the County.  Chairperson Murray stated her dissatisfaction with ordinance enforcement stating she had received no results from the information she relayed to the Code Enforcement Officer.   The Town Manager asked for a copy of the information from Chairperson Murray.  

Budget Hearing
March 29, 2007

The Finance Director reviewed the Swimming Pool Special Revenue Fund.  He reviewed the Tourism Room Tax Fund and Chairperson Murray explained the Board members usually attend the tentative budget hearing but, they were attending the Rural Round Up conference.  The Finance Director stated this was
a very active board and their proposed programs for FY 2008 were listed on page 36.  Chairperson Murray added that the Tourism Board was a great source for locating funding from other entities aside from the Town of Pahrump.  The Finance Director reviewed the State Room Tax Special Revenue Fund stating it was funded by 1% of the Room Tax and was traditionally used for cultural events.  He reviewed the Economic Development Room Tax Special Revenue Fund and stated the place savers may change between now and May.  He added some policies and guidelines would be an assistance regarding this fund.  He stated the Arena Room Tax Special Revenue Fund had very little activity.  He reviewed the Fairgrounds Room Tax Special Revenue Fund, the Cemetery Special Revenue Fund and Perpetual Fund.  The Finance Director stated the Road Special Revenue Fund was a fuel tax from the Town of Pahrump to the County in exchange for upkeep of the roads.    He reviewed the Airport Grant Fund and Fall Festival Fund.  He stated the General Fund Capital Projects Fund was summarized with a list of projects on page 57.  He stated the General Fund Special Ad Valorem Capital Fund was a unique fund and required use within a 5 year period.  He added the Arena Capital Fund was a savings fund in anticipation of a new fairground.  He reviewed the TV Construction Capital Projects Fund stating this fund was insurance proceeds.  The last two funds, Fire Vehicle Capital Fund and Ambulance Capital Project Fund, were to be closed and the information would be reflected in other areas of the budget.

The Finance Director stated the resolution would direct the Town to transfer, as amended these numbers to the State forms to be filed with the State before April 15, 2006.  He added the Town was required to meet again on May 17, 2007 to pass the final budget.  Chairperson Murray agreed to e-mail all action items to the Finance Director.  The Finance Director agreed to copy all Board members on the figures from the audit for their review.  

Member Rust motioned to adopt Resolution 2007-06, the preliminary 2007-08 fiscal year budget for the Town of Pahrump and the Pahrump Swimming Pool District.

Member McDonald seconded.                                                                                                              
Motion carried 5/0.
    
Adjournment
Budget Hearing
March 29, 2007

The meeting was adjourned at 9:07 p.m.

Respectfully submitted,

    Don Rust
    Town Clerk

CC:    Town Board
    Nye County Treasurer
    Nye County Commissioners
    Nye County Planning
    Nye County Clerk
    Dan McArthur

/al
 


 

 


Backup

There is no backup posted for this meeting.