01/21/1981 Meeting - Laserfiche WebLink

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e ~ e e Mr. Gleason stated that they will have to develop a program for a chart of accounts which will be about a six- to eight-month task, so that balances can be compared each month. This will not be available for about another six months. They will have to change the resource allocation to accelerate the plan. It can be done in approximately one year. It is high priority but is a very involved process. Ms. Wooten noted that she is glad to see it moving ahead. She asked what assurances there are that over-expenditures will not occur until this program is on-line. Mr. Gleason responded that this can be kept under control. The concern really is on the revenue side since they will be aware of expenditures now in the budget. He is very aware that this is a potential problem and he is comfortable that this will be weighed carefully. Mr. Lindberg noted that a year from now the City might have a few more bud- getary problems, but two years from now he assumes this program will be on-line. Mr. Gleason stated that by January 1982, enough management finan- cial data should be available so this does not occur again. In the mean- time, staff will take care of this by doing extra work to make sure it will not happen again. Mayor Keller asked in page 2 of the introductory section, regarding tax cO,l- lections, if the current tax collection rate of 85.3 percent is showing a trend and if that will cause problems for the City. Mr. Dietzler asked if that was the letter from the Finance Director. Mayor Keller responded that it was. Mr. Dietzler stated that this was not a letter from him but rather one from Bill McGuire. Mayor Keller asked him for his reaction to that letter and asked if that perspective is a good one to have. Mr. Dietzler responded that it is and that it is why this project being discussed is so very important. There is a great need to have good financial information on a timely basis. When information is not reported on a timely basis, the risk of getting into trouble is much higher. His recommendation would be to work hard on this project. Mr. Gleason asked how this year's revenues are perceived. Mr. McGuire stated that property tax collections will be greatly improved over last year. He noted that several people came up against the three-year limit last year and this year they will have to start making payments. Ms. Wooten asked why staff feels the tax collection rate will be better this year. Mr. Gleason stated that there are allowances as to when taxes can be paid with eight percent interest. After three years, the process of foreclosure starts and people start making their payments. The payment schedule should improve. This will not be within two percent, but within five percent. Mr. Dietzler interjected that the last tax payments are due in May this year rather than August. Mayor Keller asked Mr. McGuire if on page 3 of his letter the mention of col- lecting nothing is from a serial levy from a bond. Mr. McGuire responded that it is. Mayor Keller asked if Mr. McGuire is comfortable with the outstanding percentage of bonded indebtedness. Mr. McGuire responded that he is. The City is a long way from being near any problems with indebtedness because the MINUTES--Eugene City Council January 21, 1981 Page 4