Some proposed revenue and exp. changes

Selected proposed revenue and expenditure changes

Solid Waste Fees (revenue): The monthly solid waste fee for roll out customers is recommended to increase from $4.95 to $6.95 per month. It is my ongoing recommendation to council that the solid waste division services (roll out garbage and yard waste) transition to a fee supported system. This recommended fee increase would generate approximately $176,000 annually.

Personnel costs (expenditure):

• A 3.5 percent performance pay allowance is provided for within the proposed budget. This amount has been allocated to each department but would be awarded on a performance basis under a new evaluation system now being developed. The total cost for this item is approximately $336,000. There is no recommendation for a market rate or cost of living adjustment in this budget.
  "Ultimately, that will be a fair way to go about retaining highly qualified employees and rewarding them for performance," said Howell told council members Tuesday.
• A 20 percent increase in health insurance is also expected based upon the stated renewal received from Blue Cross/Blue Shield. The approximate increase in cost for the provision of employee health insurance is $252,000. We continue to work toward an alternate plan that would maintain the current PPO plan but also offer a high deductible (HSA) plan. Under this option employees would for the first time, if they maintain the PPO plan, be subject to paying a monthly fee for their individual coverage. This option could lower this increase to 15 percent or approximately $189,000.

Source: City Manager’s 2007-08 Budget Message