08/13/1992 Meeting - Laserfiche WebLink

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e had done a reasonable job in estimating the costs of the systems development charge associated with low-income housing and favored retaining the $500,000 figure. Ms. Ehrman asked if the $200,000 was an annual cost. Mr. Boles clarified that the $300,000 figure was not to build housing, but rather to leverage about $1 million in private funds. He indicated that the $200,000 figure was based upon $1 million in total construction costs. Mr. Nicholson maintained that in order to adjust the figure for affordable housing to $500,000, the shortfall would need to be reduced by $200,000. Tony Mounts of the Administrative Services Department said that the System Develop~ ment Fund is a separate fund and assumptions about the fund were not included in the financial forecast. The General Fund has contributed little to the fund as the policy to subsidize low-income SDCs had been adopted recently. There was a brief discussion about the relationship of the Systems Development Fund to the General Fund. Mr. Nicholson asked how the revenue from SDCs was recognized in the shortfall. Mr. Boles stressed that the fund was not a General Fund. Mr. Mounts said that when a developer pays for a permit with an SDC, the permit money goes to one fund and the SDC goes to another fund. Ms. Bascom asked if the money to offset the property tax exemption and SDC subsidy would come from the Contingency Fund in the current fiscal year. Mr. Boles said yes. Ms. Bascom suggested that the component cost be established at $500,000 until the council has more experience with such requests. The motion failed, 8:0. e Mr. Boles moved, seconded by Mr. Robinette, to place the component at a cost of $500,000 into the enhancements category. Ms. Ehrman moved, seconded by Ms. Bascom, that those items categorized as enhancements in the past continue to be catego- rized as enhancements, and to eliminate the shortfall and consider it part of the base. The motion passed 5:4; Mr. Miller broke the tie by voting yes. Ms. Ehrman moved, seconded by Mr. MacDonald, that all compo- nents be considered part of the base. The motion failed, 3:5. Mr. Boles moved, seconded by Mr. Robinette, to add community policing at a cost of $2.15 million into the base. Ms. Ehrman objected to the addition of the component to the base due to its low ranking in community surveys. Mr. Nicholson responded that community policing is not well-understood in the community. He said that the council should use its own judgment due to its understanding of the issue. Ms. Bascom pointed out that public safety was a protected category in the first round of public input. She maintained that the community objected to large increases to the area of public safety while the council "gutted" the e MINUTES--City Council Work Session August 13, 1992 Page 2 5:30 p.m.