Agendas & Minutes


March 29, 30, 31, 2006

SPECIAL TOWN BOARD TENTATIVE BUDGET HEARING MEETING
PAHRUMP TOWN ANNEX
270 NORTH HIGHWAY 160
WEDNESDAY – MARCH 29, 2006
THURSDAY – MARCH 30, 2006
FRIDAY – MARCH 31, 2006
6:00 P.M.
 

 


Agenda

1,         Call to order

2.         Announcements.

3.         Public comment.

4.         Discussion, action and decision regarding fiscal year 2006-2007 tentative Town of Pahrump and Pahrump Swimming Pool District budget.   Town Board

5.         Adjournment.

A quorum of Nye County Commissioners may be present at any Town Board meeting but they will not take any formal action.

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 prior to the meeting.  Assisted listening devices are available at Town Board meetings upon request.

POSTED IN THE TOWN OFFICE, COMMUNITY CENTER, COUNTY COMPLEX, FLOYD’S ACE HARDWARE, ANDTOWN ANNEX

 


Minutes

SPECIAL TOWN BOARD TENTATIVE BUDGET HEARING MEETING
PAHRUMP TOWN ANNEX
270 NORTH HIGHWAY 160
WEDNESDAY – 6:00 P.M.
MARCH 29, 2006

MINUTES

PRESENT:                    ABSENT:
Richard Billman                Ed Bishop
Paul Willis                    Ron Johnson
Laurayne Murray

CALL TO ORDER

Richard Billman called the meeting to order and led in the Pledge of Allegiance.

ANNOUNCEMENTS

Mr. Billman called for announcements.  There were none.

PUBLIC COMMENT

Mr. Billman called for public comment.  There was none.

DISCUSSION AND DECISION REGARDING FISCAL YEAR 2006-2007 TENTATIVE TOWN OF PAHRUMP AND PAHRUMP SWIMMING POOL DISTRICT BUDGETS

Dave Richards stated that it was Town staff’s responsibility to provide the Board with a balanced budget, which they had done based on projected revenues and expenditures.  He said this was a tentative budget and he invited comments, questions and suggestions for programs, projects or capital improvements from the Board and Public.  Mr. Richards said the demands of such a rapidly growing community outpace the revenues, so the County initiated impact fees and development agreement fees for the Town, which were reflected in the budget.  He added that these fees had very specific purposes so could not be included in the General Fund to provide services.  Mr. Richards said the fees were primarily for capital expenditures, but wouldn’t be used until some necessary planning for the future took place and we knew better how much to expect.
 
Mr. Richards referred to the Preliminary Budget Update, stating there would be the same level of staffing as had been used in the last two years, with the exceptions of making the Ambulance Billing Clerk a full-time position, switching an administrative position from the General Fund to the Business License fund and adding another Buildings & Grounds employee for Cemetery and Pool maintenance.  

Mr. Richards turned the meeting over to Michael Sullivan.


SPECIAL TOWN BOARD MEETING
MARCH 29, 2006

Michael Sullivan said page one gave an overview of the four sets of funds; General, Revenue, Capital and Enterprise.  He said all of the funds maintain a positive balance, except the two “holding funds”; 1) the Airport grant fund, which uses the exact amount of money that is transferred in, leaving a zero balance, and 2) the Road Tax, which comes from the State and that traditionally has been transferred back to the County for use in projects in the Pahrump area.  Mr. Sullivan said they had been working with the Joint Town Boards and the Commissioners to develop MOUs detailing how these funds will be used, when they’ll be received, when they’ll be expended, and for what purposes.  He said they hoped that would be clarified this year.

Mr. Sullivan said there would be another Public Hearing on May 18th before the Final Budget was adopted by the State, but that the Tentative Budget would be filed by April 15th.  He explained that it was a lengthy process for the State to review the budget, especially to ensure the Consolidated Taxes (CTX) and Property Taxes are in order.  Mr. Sullivan said there would be adjustments, some identified at this meeting and others brought by the Department of Taxation.  He further stated that the 3% tax cap had caused them some indigestion, with the seven year unintended consequences having just been revealed.  He said the State had to change software and make other adjustments to make the cap work which may result in new Property Tax numbers.  He said another significant change, though he doubted it would impact the Town much, was that the County had operated under the County Guarantee, which meant the CTX generated was sent to the State, then distributed back to the counties.  When they implemented new formulas some years ago, they guaranteed that the rural counties would receive at a certain level and never slip below that.  Nye County generated income in excess of the guarantee, so petitioned the State to allow them to go by the formula based on the POS, although they could never again fall under the County Guarantee.  Michael said the bulk of those revenues went to the County, but the Town received about $41,000 (which he’s trying to confirm with the Department of Taxation).  He said that amount increased substantially because the CTX went up, as well as a substantial jump in Property Taxes due to growth.

Mr. Billman asked if the projections took into account the 3% tax cap.

Michael said yes, that it showed on the tax bill as fully taxable with a “rebate” which brought it down to the 3% cap.  He said only new construction was assessed at full rate, and that was for the first year only.

Mr. Sullivan explained that lines 15 and 16 were funds created to contain and disburse the impact fees collected by Nye County on behalf of the Town since September 2005.  He said they were not adopted in the previous year’s budget because it was unknown when they would be implemented.

He said items A and B spoke to the population growth, adding some 2877 people in one year with the assessed value jumping almost 32%.


SPECIAL TOWN BOARD MEETING
MARCH 29, 2006

Michael said page two was a summary of the General Fund by the five departments, but in reality the TV building and arena were maintained from the Buildings and Grounds budget.  

Mr. Sullivan continued, saying lines 7 – 11 showed proposed transfers out of the General Fund, into the Cemetery, Ambulance and Capital funds and that line 12 was the allowable contingency, which would revert back to the total fund balance if unused.  He said page 3 showed the General Fund summary, including prior year actuals for ’04-’05, last year’s budget, and what was proposed for next year.  He said Property Tax increased $4.5 million and CTX increased $163,000.

Michael briefly explained the Governmental Functions categories, including Administration, Buildings & Grounds, Public Safety (Fire-Rescue) and Cultural and Recreational (TV and Arena).  He said column E showed the difference between what was adopted and expended last year and what was budgeted for next year.  He said the comparison between lines 15-20 in column E showed very little change from the prior year, other than the debt service increased $3910.  He added that while the ending fund balance in 24C showed about $425,000 that number traditionally ended higher because there was not always enough time to complete the projects scheduled or the materials may cost less.

Laurayne Murray asked if the Property Tax line included the Consolidated Tax (CTX).  Michael said no, that the Consolidated Tax was on line 6.  She asked where that number came from and he replied that both numbers were projections received from the State, based on the POS formula and the 3% tax cap discussed earlier.  She said the numbers from the Assessors Office and Treasurers Office were significantly higher for the Property Tax a couple of days ago, but that she assumed the State reduced them somehow.  Michael said he received numbers that day via email, and those numbers had changed already.  He added that the State released a preliminary number on April 15th but told everyone not to even bother with it.

Paul Willis asked if the Ending Fund Balance would change because of encumbrances that weren’t reflected.  Michael said yes, but if the funds weren’t expended the balance would go up.  Ms. Murray said historically the bottom line usually went up.  Michael said yes, but as Mr. Richards mentioned in the memo, it would be challenging because we were operating under the 3% tax cap for the second year.  

Mr. Sullivan stated that the revenue had been holding at about $1.3 million and the ending fund balance was about $200,000, but expected this year would end at about $700,000 with maybe three or four hundred thousand rolling in.  He said line 23 showed we were appropriating more in expenditures than we received in revenues.  He said they aimed high on expenditures, but would watch it as they went along.  Laurayne Murray asked if column B was based on actual accruals.  Michael said it was based on State projections.  He said it was difficult to predict what would happen in the next three months but currently we were on target at about the 75%.
SPECIAL TOWN BOARD MEETING
MARCH 29, 2006

Michael stated that there was a five-year projection on page four, which included where we were in ’05, where we think we’ll be in ’06 and where we proposed to be in ’07.  He said his focus was on personnel to see if we could maintain our fund balance and he thought we could.  Mr. Sullivan said he expected we would be growing our fund balance based on projections of 1,000 new units per year and increased CTX funds.

Michael said a conservative projection for the Fire Inspection fees would be $80,000 after the first year.  There was discussion of the General Fund Administration and Buildings and Grounds budgets, including an increase of $40,000 in Capital for park improvements and extra projects.

Regarding Parks Room Tax, Mr. Sullivan said $35,000 was allocated toward the purchase of Last Chance Park, which would occur at the end of the five-year lease from BLM.  He added that a site improvement Master Plan was underway.  He said Buildings & Grounds was also improving sidewalks at the parks.

Laurayne asked if these projects would be paid from impact fees.  Michael said we hadn’t received any yet.  He said development fees were not restricted for usage but since they were a one-time fee, they couldn’t be used to fund positions.

Ms. Murray said those fees could be used to repair the roof on the Community Center if the PETT funds didn’t come through.  Michael said he was not expecting any development fees in the near future.

Mr. Sullivan stated that the programs and events listed on page 33 had been approved by the Tourism Board.  He mentioned that there were two tourism funds, one from the State and the other was from Room Tax.  

Mr. Sullivan said the link failed for the Fire Department Professional Services, but that it should be $40,750.  He mentioned the addition of a Medical Director, Dispatch fees and Legal services, physicals and general Administrative fees.  

Mr. Richards stated that the County was trying to take $35,000 from the Town for Dispatch fees but that we were not going to pay it.  He said he didn’t expect a resolution for at least six months.

Ms. Murray said the bill should be split among all the communities.  

Mr. Sullivan discussed the five year projection on page 9, transfers and the 10 year Debt Service loan for the ladder truck.  

Ms. Murray asked about the interest income, saying Nye County invests the money, not the Town.  Michael said the Town shares in the interest allocation.  


SPECIAL TOWN BOARD MEETING
MARCH 29, 2006

Mr. Sullivan said, based on Dan’s (McArthur) recommendation we needed to address long-term capital replacement, so per the Fire Chief’s request, he added a line to replace two ambulances for $200,000.  

Laurayne Murray said that $25,000 was budgeted last year was for Dispatch Services, and asked if the amount increased this year to cover a Medical Director, physicals and the attorney.  Michael said yes.

Michael talked about the need to capture the Room Tax for “comped” rooms and RV memberships.    

Regarding the Pool, Michael said it had taken creativity, sweat and plumbing to improve the 30 year old Pool, adding that staffing and training had also improved.  

Mr. Richards stated that bringing the lifeguards to an acceptable pay level resulted in the return of almost all of the lifeguards this year.  He credited Elona (Skadberg) too, adding that she’s a good manager.  He further stated that Matt (Luis) had done a lot out there, and suggested that the Board tour the facilities before opening day to see all the improvements.  There was mention of added programs to better market the pool.

Ms. Murray asked if the Uniform Allowance was increased for Ambulance, as well as Fire.  Michael said yes, that it should read $12,000.

Regarding the Road Tax on page 23, Mr. Sullivan said Dave Richards was negotiating the use of this $300,000 for something tangible, like a traffic signal or pavement.  

Mr. Richards added that they’d been working on an MOU because the money should not be given to Public Works without a written understanding, but that would never happen if we gave them the money first.  He said the Town was not trying to “steal” the money, but that the County had not been entirely fair with the Town regarding Brothel and Dispatch fees.  Mr. Richards said this was the Town’s money and they can’t take it from us; we would have to give it to them, but said he was unwilling to do that unless they give us an MOU or the Board instructed him to.

Paul Willis mentioned there was talk about a round-about intersection being installed on Homestead.  He suggested the Town should have some say in the types of intersections in town.  Laurayne said she thought the intersections were engineered out. He said he hated the intersections in town because they lacked consistency.

Michael added that the County gets Road Tax from this community that the Town never sees; that this was just a small portion of the Road Tax.



SPECIAL TOWN BOARD MEETING
MARCH 29, 2006

Mr. Sullivan discussed Economic Development Room Tax and upcoming projects, including the Annual Clean-Up Day.

An unidentified member of the audience asked if people could put their junk out.  Mrs. Murray said they don’t go door-to-door, but dumpsters would be available.  The audience member said they should consider doing that for those who were unable.  Laurayne said she would pass the suggestion on to the Coordinators.

Michael touched on the Fairgrounds, Parks Room Tax and the Cemetery and Perpetual funds.  He said there were high operating costs at the Cemetery and once the lots were sold, there’d be no more income.  He also touched on the Fall Festival on page 39, saying he thought they estimated high enough to keep the State Department of Taxation happy.

Michael recommended that the impact fees, $160,000 from last year and $250,000 expected this year, be appropriated as Capital Outlay, with specifics to be determined later.

Michael said the Parks Impact fee, at $359 per single family unit, would generate $400,000 by the end of this fiscal year and $500,000 next.  He recommended hiring professionals to develop a Master Plan.  Mr. Sullivan said these fees were being generated from the south where there were no facilities to speak of, and though the Tischler project said these fees would benefit the community as a whole, he recommended looking at improving services at the south end. He lamented the lack of Parks Impact fees from AmeriWest’s 5,000 homes, stating that their subdivision could add another 10,000 kids over the next 10 years and the Town didn’t even get a ball field out of it.  

Laurayne mentioned the $93,000 Parks and Fire impact fees collected by Planning through January.  

Mr. Sullivan said the Summary page on 42, the General Fund Capital, had $400,000 a year added in the past, but was $200,000 this year.  He said new project recommendations were listed on page 43, as well as the continuing projects.

Michael touched on pages 44 and 45, mentioning the grant for the Senior Center bus.  An unidentified audience member asked for an explanation, stating that the town was in desperate need for transportation for disabled people.  Ms. Murray stated that a couple of groups that she knew of were working on public transportation proposals, but that anyone who was disabled could contact the Senior Center for transportation.

Mr. Sullivan said there was $15,000 in the TV Construction fund and that the Arena Capital project fund was collecting approximately $2,000 a year toward the new arena construction.



SPECIAL TOWN BOARD MEETING
MARCH 29, 2006

Regarding pages 49 & 50 Capital funds, Mr. Sullivan recommended that the CPR fees be moved to the General Fund since the Town was appropriating hundreds of thousands of dollars to address the Capital needs of Fire-Rescue. He said it would have a separate revenue line item for contributions and donations and a separate expenditure line to show that something specific was purchased according to any grants received.  He said traditionally we’d accumulate the fees and eventually buy an ambulance.  Mr. Billman said we didn’t get one last year.  Ms. Murray said we actually did, or at least the County shows they gave it to us, but we say we never got it.  Michael said this needed to be worked out with the new County Manager.

Mr. Sullivan said that ended his presentation and that the Final Budget Hearing was set for 18th of May.  He suggested the Board tag on an agenda item if they still wanted to hold workshops.  Mr. Sullivan added that he’d have another set of budgets available with the adjustments discussed prior to May 18th.  

ADJOURNMENT

Richard thanked everyone for coming.  The meeting was adjourned at 8:00.

Respectfully submitted,



Paul Willis, Town Board Clerk


cc:    Town Clerk                    
Nye County Treasurer            
Town Board                    
Nye County Planning
Nye County Commissioners            
Nye County Clerk    
Carl Joerger                
Dan McArthur        

 

 

 


 


Backup

There is no backup posted for this meeting.