Budget Worksession Minutes
March 31, 2008

The meeting was called to order at 7:02 p.m. Present were Mayor Calvo, Mayor Pro Tem (MPT) Jewitt, CMs Dennison, Gourley and Lofgren. Also present were TA Murphy, Clerk Harper and citizens.

1. Mayor

Announcements: Legislation authorizing municipalities to install speed cameras has been passed by the both chambers of the General Assembly, but differences still must be resolved, and legislation authorizing Berwyn Heights to join the State Pension at 1/3 credit for prior year service has been voted out of committee to be approved on the House floor. The Town Council will seek to complete an amendment to the Clean Lot Ordinance to tighten up enforcement of parking on grass violations. Delegate Gaines has provided the Council with a map of the proposed boundaries pertaining to the re-establishment of 9 single-member Board of Education districts. A hearing on this legislation will be held tomorrow. It is considered likely to pass. The Maryland Municipal League (MML) Public Works Group has revised a mutual aid agreement, which it hopes to adopt at the upcoming MML conference. The date for the next Berwyn Heights Historical Committee (BHHC) meeting was announced incorrectly in the Bulletin. The correct date is April 22.

2. Budget

Mayor Calvo explained that the budget is not yet balanced, even after adjustments made at the March 10 meeting. However, some increases to revenues, which were discussed but not voted on, have not been incorporated in TA Murphy's revisions. These include $2,000 in code fines, $1,000 in building permits and $200 for POD permits, on which the Council will need to make decisions tonight. An approved $1,400 increase in rental license revenues was incorporated in the revisions. In the Public Safety Taxing District (PSTD) budget, adjustments were made based on a 7 cent increase in the PSTD personal property tax rate rather than the approved 5 cent increase. After correcting for these inconsistencies, the general fund deficit stands at $3,034 and the PSTD deficit at $4,374 for a total deficit of $7,408. MPT Jewitt said that his calculations yielded a different result. After checking of calculations, Council agreed that the shortfall is $7,426.

Mayor Calvo asked the Council to first review revenues to identify additional resources. MPT Jewitt proposed the following adjustments:

• POD permit fees: On a motion by MPT Jewitt and second by CM Gourley, this line was increased by $500.

• Building permit fees: MPT Jewitt moved to increase this line by $1,000. CM Dennison seconded. CM Gourley thought that this line item safely could be raised by another $500. The $1,000 increase was approved 4 to 1, with CM Gourley opposed.

• Code fines: MPT Jewitt proposed to raise the appropriation by $2,000. Mayor Calvo recommended leaving this line unchanged because it would balance out Police fines, which are likely to be less than budgeted. No motion was made.

• Town Center rental: CM Gourley moved to increase this appropriation by $700.  MPT Jewitt seconded. The motion passed 5 to 0.

• Bulletin advertising fees: Mayor Calvo suggested raising the annual Bulletin advertising fees for residents, which reflects a 36% discount over the monthly advertising fee. The discount should be around 25%. There were no objections but no motion was made.

At 7:56 p.m., the Council took a 10 minute break.

Mayor Calvo asked if Councilmembers had any proposals for further cuts in expenditures.

Parks & Recreation
CM Dennison moved to reduce the Historical Committee appropriation by $210. MPT Jewitt seconded. The motion passed 3 to 0 with CM Gourley and Lofgren opposed.

CM Gourley said that he has a package of cuts that are spread throughout the budget.

Administration
CM Gourley moved to reduce legal expenses by $400. MPT Jewitt seconded. Mayor Calvo objected saying that this appropriation is highly variable and if legal services are needed the money has to be spent, whether it is appropriated or not. The motion failed 2 to 3 with Mayor Calvo, CMs Dennison and Lofgren opposed.

CM Gourley moved to reduce network software support by $500. CM Dennison seconded. TA Murphy said that this line is also highly variable but has stabilized in the last 2 years. Mayor Calvo said that actual expenditures were unusually high in FY '06 but then went down to more normal levels. The motion passed 5 to 0.

Code
CM Gourley moved to reduce communications by $300, which went up by 23%. MPT Jewitt objected saying that this appropriation reflects the part time officers cell phone use, which is likely to increase with increased code activity. The appropriation also includes the wireless service for a notebook. The motion failed for lack of a second.

Police
CM Gourley moved to reduce capital outlay > $500 by $800. CM Lofgren seconded. CM Dennison asked which items, funded by this appropriation, CM Gourley would cut. CM Gourley said that some of the capital items listed have been purchased fairly recently, such as radios, laptops and firearms, and would not need to purchased this year  The 800 Mhz radios will be paid out of the capital projects budget and not this line item. Mayor Calvo objected that Chief Murphy has been very frugal with capital expenditures and would not spend this money without Council approval at the end of a fiscal year. He does not want to punish the Police for being circumspect. The motion passed 3 to 2 with Mayor Calvo and CM Dennison opposed.

CM Gourley moved to reduce the telephone appropriation by $400. The motion failed for lack of a second.

CM Gourley moved to reduce the travel appropriation by $100. The motion failed for lack of a second.

Public Works
CM Gourley moved to reduce dues & conferences by $300. CM Lofgren seconded. Mayor Calvo said that this line covers expenses for attending the MML conference. If the Director does not plan to attend this year, the entire cost of the conference should be cut. CM Lofgren moved to amend the motion to reduce the appropriation by $500. CM Gourley seconded. The motion to amend passed 5 to 0. The original motion passed 5 to 0.

CM Gourley moved to reduce training & seminars by $200. CM Lofgren seconded. The motion passed 5 to 0.

CM Gourley moved to reduce equipment rental by $500. CM Lofgren moved to amend the motion to reduce the appropriation by $1,000. CM Gourley seconded. The motion to amend passed 4 to 1 with MPT Jewitt opposed. He said that the Council has considered renting a slice seeder for the renovation of the Pontiac Street field after cutting its purchase. CM Lofgren said that the Town may be able to borrow this equipment from the County rather than pay for the rental. CM Dennison said that she had hoped to make progress on the restoration of the field. The main motion passed 4 to 1 with CM Dennison opposed.

CM Gourley moved to reduce street projects & repairs by $1000. The motion failed for lack of a second. CM Gourley moved to reduce this appropriation by $500. The motion failed for lack of a second.

Mayor Calvo said that CM Gourley's cuts totaled $3,210, leaving a remaining $2,016 in cuts to be found to balance the budget. He suggested reducing the Cost of Living Adjustment (COLA) from 2.5% to 2.3%. CM Lofgren proposed to instead cut $2,000 from Public Works' storm drains appropriation and so moved. CM Gourley seconded. The motion passed 5 to 0. MPT Jewitt moved to increase code fines revenues by $16. CM Gourley seconded. The motion passed 4 to 0 to 1 with CM Lofgren abstaining.

Kerstin Harper, Town Clerk

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