Finance and Personnel Committee

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					Finance and Personnel Committee
of the

Lee‟s Summit City Council Minutes
Wednesday, March 12, 2003

3:00 p.m. Modular Executive Conference Room Councilmembers:
Councilmember Jim Hallam – Present
Councilmember Ron Williams – Absent Councilmember Joe Spallo – Present Councilmember Tess Hurley – Present

Staff:
Conrad Lamb – Finance Director Darlene Pickett – Assistant Finance Director Ellen Buhr – Budget Officer Shelley Kneuvean – Assistant City Administrator Chuck Owsley – Director, Public Works Bob Hartnett – Deputy Director, Public Works Brandy Best – Public Works Management Assistant Josh Buehre – Solid Waste Superintendent Randy Dickey – Chief Technology Officer Pam DeVault – Court Administrator Jeff Dunlap – Site Supervisor, Landfill Robert Handley – City Attorney Aimee Wenson – Management Analyst Steve Arbo – Assistant City Administrator Mark Schaufler – Water Utilities David Brock – Assistant Water Utilities Director Also attending were Mr. Mark Swope of the Kansas City Area Transportation Authority, Mr. Drew Blossem of KPMG LLP and Mr. Brad Homant of KPMG LLP. Chairman James Hallam opened the meeting at 3:08 p.m. Attendance was taken. Chairman Hallam announced that Item 3, the Audit Report, would be moved up so that the visiting auditors could make their report right away. Item 1 – Approval of Minutes from February 12, 2003 Chairman Hallam requested comments or adjustments to the minutes for February 12, 2003. Hearing none, he announced that the minutes would stand as noted. Item 3 – Discussion of Management Letter/Audit Report

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Mr. Drew Blossem referred the Committee to the KPMG audit report. “Required Communications” covered the audit conduct and results. The audit included highlights of the actual financial statements, an Industry Overview update and general purpose financial statements for the year ending June 30, 2002. KPMG‟s audits followed generally accepted and government auditing standards, for reasonable of accuracy. They conducted tests of accounting records, using samples; and the process did involve a risk that some things could be reported incorrectly. They looked at internal controls; but testing and giving opinions of them was not the objective. Mr. Blossem added that public company SCC rules had changed, with companies being asked to get their own internal controls audits, beyond what auditors have traditionally done. The auditors had cooperation and access to all records they wanted and thought appropriate, which was important to the result of an unqualified audit opinion of statements being fairly presented. Per their standard practiced they had presented items not recorded to management. They had agreed with management that these were not sufficient size to modify the opinion. They were related to property taxes, investments and accrued interest, and were put on the past adjustment summary. Most of these items corrected themselves naturally in the next fiscal year. Asked by Councilmember Hurley what were waived adjustments, Mr. Blossem explained that accounting rules indicated that investments when they were marketable securities should be recorded at fair market value. Some in the audit were recorded at what was paid for them so there was no accounting entry indicating their going up or down in value during the year. Generally they would accumulate these items and see at the end if any were big enough to fix. The two management judgments and accounting estimates covered were the length of depreciation of assets and how collectible receivables actually were. They judged the underlying assumptions to be reasonable. Mr. Blossem mentioned that accounting involved a number of judgments beyond looking at dollars and cents. Accounting policies were appropriate and the auditors had found no errors or fraud. The OMB Circular A-133 single audit report covered tests of the City‟s administration of federal monies, which was in compliance. The Water District audit showed no irregularities. Changes on the horizon, currently under development, would include requiring GASB statement 34 along with additional information in companion statements 37 and 38 and Interpretation 6. Another upcoming project involved accounting for post-employment benefits, such as payments for retirees‟ health insurance. Financial statements under GASB No. 34 would address assets such roads and determination of when they had been damaged or deteriorated enough to be written down in value. The 2002 Financial Statements highlights included $340-million in total assets across all funds compared to total liabilities of $92-million for an equity number of $248-million. Of this amount $15-million was in the general fund, a slight increase. Pension costs and net pension obligation, a disclosure about pension plan funding, were something to generally keep an eye on over time. Finally, referred to the overview of the 2002 Sarbanes-Oxley Act, which was applicable only to SCC publicly traded companies. It involved corporate rules change regarding audit and finance committees‟ responsibility for monitoring corporations‟ financial

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activities. The information could be helpful in answering questions from constituents. It was more informational than specific to the City. Mr. Lamb told Chairman Hallam that he could forward questions to the auditors if necessary, for response at a future meeting. Asked by Chairman Hallam how many years KPMG had done the City audit, Mr. Blossem explained that this was the first year in the current contract. He had worked on an earlier audit as well, around 1994. Item 2 – Approval of the contract for RFP 90-292 for Court Information System to InCode in the amount of $67,000 and a contract modification to remove Phase IV from a contract with Emergitech, Inc. Mr. Randy Dickey introduced Ms. Pam DeVault, Court Administrator, who was also present. He related that about 18 months before, the City had entered into an agreement with Emergtech, Inc. for police and court automation. One phase was to update the courts‟ computer system. The City had requested that the winning court vendor become a subcontractor, and Emergitech agreed to Professional Computer Software Services (PCSS) as sub. However, they had problems getting PCSS‟ software to function as requested. After a long but unsuccessful attempt to solve the problem, including some issues about having a third party involved, the City had decided to sever the subcontractor relationship. Their proposal was to eliminate PCSS as subcontractor and enter into a new agreement with InCode, the previous second choice. Councilmember Spallo asked if the City had paid Emergitech. Mr. Dickey explained that they were paid about 50 percent, upon signing for all the phases. The City would get a portion of that back, paying $23,100, out of an original total of $106,000. The payment represented some server installation, equipment and the network. Although switching software vendors, the City could still take advantage of the equipment it already had. Ms. Kneuvean explained to Councilmember Spallo that the $67,000 being paid to InCode was a contract with InCode; and the City did not have recourse over that. Councilmember Spallo pointed out that the InCode contract was a result of the subcontractor not performing. He felt the City should not be out additional money. Chairman Hallam asked if the problem might be unforeseen by Emergitech. The company might not find a subcontractor satisfactory but also not be willing to have the same contract with InCode. Mr. Dickey answered that they had certainly preferred not to play a third party role. In a sense, Emergitech was being let off the hook; however, the City also believed its own interests to be better served by a direct relationship with InCode. Ms. Kneuvean added that this was initially put out as an RFP for the police and court systems. Emergitech, not PCSS, had a court package that they had submitted and the City had not wanted to manage subcontractors. The software had not worked as effectively as expected; and they were trying to regroup, pay for what they could use but not for services not yet rendered. Emergitech would build on the interface with the new software package. In this area, the City was being generous as it was putting up additional funds for an interface for a second vendor. They had lost some time and were trying to move the project forward.

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Councilmember Hurley asked if Emergitech was being treated fairly as an innocent bystander. Ms. Kneuvean answered that she had met personally with them and it would be up to them to get back the other $20,000 they were owed from PCSS. The sequence had been that the City had paid Emergitech; they had paid PCSS and PCSS did not perform. The City‟s part of the agreement was to pay for the items it could reuse, for a sum of $23,100. Emergitech‟s legal dealings with PCSS were a contractor-subcontractor relationship. Councilmember Hurley observed that the City had forced a relationship that had not worked out and Mr. Handley answered that nevertheless, all the parties voluntarily entered into it with full knowledge. The RFP had made the arrangement clear. Mr. Dickey added that Emergitech sold court product and had hoped the City would use that; however, the City had wanted the other product as part of the package. Chairman Hallam asked if it would be close to a wash if everything subsequently went well. Mr. Dickey confirmed that it would be close. Councilmember Spallo made a motion to recommend to the City Council approval of the contract for RFP 90-292 for Court System to InCode in the amount of $67,000 and a contract modification to remove Phase IV from the contract with Emergitech, Inc. Councilmember Hurley seconded the motion. Chairman Hallam read the motion and asked for a vote. The motion passed – three ayes – Chairman Hallam, Councilmember Spallo, Councilmember Hurley. Chairman Hallam then commented that this brought up a point about possible safeguards, as there would now be a separate contract with no recourse if InCode did not perform. He was not sure if there was a good solution. Councilmember Spallo observed that there was a similar situation on Second Street; and he was not sure about a solution unless the City started requiring performance bonds. Item 4 – An Ordinance authorizing the City Administrator to execute a lease extension for 3 SE Third Street, Lee’s Summit, Missouri, with First Community Bank Mr. David Brock explained that this was a lease extension for the City‟s water utility facilities; taking the lease out to October 2005 plus a two-year period on a month-tomonth basis. Hopefully the move to the new City Hall would be complete by then. There would be no increase at present; the future month-to-month arrangement would be a four percent increase. Water Utilities had moved to this facility from the Public Works building on August 1. They had swapped spaces with Public Works. Mr. Owsley clarified that this had occurred shortly after the engineering functions from Water Utilities and Public Works had been combined. Councilmember Hurley made a motion to recommend to the full City Council an Ordinance authorizing the execution of a lease extension agreement between the City of Lee‟s Summit, Missouri and First Community Bank, a Missouri chartered bank. Councilmember Spallo seconded the motion. Chairman Hallam read the motion and asked for a vote. The motion passed – three ayes – Chairman Hallam, Councilmember Spallo, Councilmember Hurley.

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Item 5 – An Ordinance authorizing the City Administrator to Execute the KCATA Agreement for Metro-flex and Commuter Bus Services Ms. Kneuvean introduced Mr. Mark Swope of the Kansas City Area Transportation Authority. The commuter bus route issue had been introduced and discussed in January. The County did decide to fund the commuter bus route for at least the first year so this commitment was removed from the current contract, which was just for the Metro-flex. The City‟s obligation amount had gone down. According to the 2000 census, part of Lee‟s Summit became a “small urbanized area”, which qualified the City for Federal Transit Authority (FTA) grants. The City was then able to match the local funding; but had to do the capital portion of the contract differently. Previously, the capital portion went directly to ATA but because of the small urbanized area designation, the capital obligation was part of this contract. The funds went to the City from the FTA and then to the KCATA. As a result, the City‟s obligation from the half-cent transportation sales tax was reduced from about $30,000 to $21,000. The contract would be for the current year. Mr. Swope explained to Councilmember Hurley that this was an express route from Lee‟s Summit to Downtown Kansas City (Missouri), but went through Raytown. It was funded through December 2003; and they continued to seek out longer-term funding. Ms. Kneuvean added that the County proposed to participate, but at a lesser amount and to phase out their funding. The Mid-America Regional Council was looking into federal funding sources. Mr. Swope mentioned that KCATA put bulletins with updates on buses. Mr. Owsley clarified that 80 percent was already funded for a three-year period through the SEP funds that typically did not go to the transportation side. They had allocated it through the MARC Transportation Committee. The local match for the federal money was still up in the air. Councilmember Spallo made a motion to recommend approval of a contract between the City of Lee‟s Summit and the Kansas City Area Transportation Authority for Metro-flex Bus Services. Councilmember Hurley seconded the motion. Chairman Hallam read the motion and asked for a vote. The motion passed – three ayes – Chairman Hallam, Councilmember Spallo and Councilmember Hurley. Chairman Hallam then adjourned the meeting for a break at 3:44 p.m. The meeting reconvened at 3:49 p.m. Item – Review of the Fiscal Year 2003-04 Budgets Mr. Conrad Lamb explained that staff would review core expenditures that would be in every budget. Ms. Kneuvean suggested that Councilmembers keep the two-page handout for reference. She then reviewed the core expenditures listed. Short-Term Disability: Employees qualifying for medical leave who had exhausted sick leave could receive 60 percent of their pay for 12 weeks, after which they could apply for
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long-term disability. The City assessed $5.50 per employee per month to create a reserve, whose current balance was $68,000. Expenses last year were about $18,000. Health and Dental Insurance: Premium increases were expected to continue, at a rate of 20 to 25 percent. Ms. Kneuvean and Mr. Lamb were working with MARCIT; which had enacted some changes regarding prescriptions as well as renegotiating contracts. The City paid 100 percent for individual coverage and 40 percent of family coverage. The 25 percent calculated in the budget was based on the actual plan, a departure from the previous practice of budgeting for the most expensive plan. Worker‟s Compensation: The City was self-insured and they had figured what the rates would be with participation in a State program; and with the modifier added, the rates should go down. The City used the same tables as did the State program. Unemployment Insurance: The City had not contributed to the fund for several years but this year had put a lump sum into it. Mr. Lamb explained that an election in the late 1970s-early 1980s had allowed cities to opt out and Lee‟s Summit had done something similar on a per-employee basis. For a long time they had paid claims from the interest; however, $1 per employee was now necessary because of declining interest rates. As annual expenses averaged $8,000 to $10,000, the $85,000 balance should last 10 years. Retirement – LAGERS: LAGERS calculated how much money was needed based on factors such retirement age, to arrive at percentages of payroll. The percentages had declined in FY 2003. The Council had discussed budgeting at the FY 2002 rate, to protect the dollars putting toward retirement and upgrade the program without additional funding. Percentages would continue to fall in FY 2004. LAGERS had a very conservative investment portfolio and used a 10-year calculation. Mr. Lamb explained that LAGERS was covered by the Missouri legislature; so their investments were more restrictive than traditional pension plans. Ms. Kneuvean offered to provide the Committee with LAGERS‟ actuarial figures. Generally the City had a relatively young work force with an average age about 35. With Fire and Police reaching retirement age at 55 and others at 60, that meant several years of contributions. Staff might recommend upgrading the program as part of the budget process given the FY 2004 percentages. Insurance MARCIT: This included property insurance and general liability. Deductibles had been raised substantially, from $1,000 to $5,000 for automobiles. At the same time, MARCIT was going to increase rates; so 20 percent was budgeted. Staff would be looking into the reason for the increase at the same time as deductibles were raised. Water and Sewer charges were a new expense. Previously, only Parks had been charged for these services. However, the City had not been in compliance with an existing ordinance; and so all departments would be charged. Staff would be returning estimates. Computer Supplies: Previously the ITS department had paid and this had been disproportionate for departments like Engineering who had large printers. Staff had tracked costs over the last year; and individual departments were now budgeted according to actual use.

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Telephone, Mobile Phone and Mobile Communications: The latter included radios. Some frequencies had been upgraded; so there were some increases. Fuel and Lubricants: Average costs last year at wholesale rates were about 98 cents per gallon. Staff had figured in a 20 percent increase for next year and this could always be adjusted with a budget amendment. The 98 cent price was for calendar year 2002. Ms. Kneuvean told Chairman Hallam that staff would double-check on the current costs. Mr. Lamb stated that about $200,000 from the General Fund was spent on fuel currently. Damages and Claims: This again related to the Property and Casualty fund. Deductibles had risen from $2,500 to $5,000 for property and $1,000 to $25,000 for liability. Staff advocated budgeting amounts for these and in the General Fund these amounts would be in the Human Resources budget. Ms. Kneuvean added that the ITS and vehicle replacement programs would also appear in every department. Figures were based on actual equipment replacement costs over a life cycle and a savings account would ensure money to replace equipment at the end of its useful life. She summarized that all these figures might be „tweaked‟. Next, Mr. Chuck Owsley first introduced staffers Bob Hartnett, Deputy Director; Solid Waste Superintendent Josh Buehre, Landfill site supervisor Josh Buehre and Brandy Best, management assistant. He referred the Committee to the Solid Waste Management graph. Mr. Owsley that the landfill had been in the black for a few years. Revenues were expected to decrease from last year, as the tonnage was dropping off and their budget request for next year was $2,838,000. Operating expenses were up, at about $2,402,000, for a net operating income of about $436,000. The $250,000 transfer mentioned should be zeroed out; as it was a holdover from prior years and was double-counted. The City controlled volume coming into the landfill via pricing. About 18 months ago, with volume extremely high, they had raised the price 10 percent to about $10 a ton and volume decreased. A few months before, they had lowered the tonnage price. This had a small effect though tonnage was still down. A recently passed City ordinance provided some flexibility to adjust prices, within a 10 percent range, as necessary. The current tipping fee was a total $31 per ton. The weather and other factors were still keeping the volume down but the landfill was still profitable. In the last year the landfill had large numbers of „white‟ appliances such as refrigerators, stoves, dryers and water heaters. They had set up rolloff containers and the appliances were hauled off by an outside contractor. This had cost about $25,000 and the new procedure had raised costs about $30,000 yearly. About 1.8 appliances came in per hour, for a yearly total of close to 27,000. People dropping these off were charged a $15.00 fee and the hauler charged from $4 to $6 each. The landfill was still seeing the results of 2002‟s ice storm, with huge volumes of brush. As a result, they now had a $24,000 contract for grinding it to mulch, at about $1.32 per cubic yard. The mulch would be sold to the public, mostly in unstained form. Mr. Owsley continued that a major project had been regrading and seeding a section that was being reclaimed after stripping the soil out. It was hydroseeded by a private

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contractor. Maintenance of the site slopes was an ongoing issue. This was theoretically ongoing work but considerable manpower had been diverted for work on the new maintenance facility. It had been necessary to stockpile some soil as a result. They had been regrading slopes and made a significant improvement on part though there was still about 18 months more work. That was the source of much of the overtime expenditures. A clean wood diversion program was also new. If builders segregated clean wood out from sheet rock and other trash they could leave the wood free; and Solid Waste stained and ground it for resale, as a stained high-quality mulch in either bulk or bag form. This would defray the cost; perhaps not completely but the program was NDNR mandated. The upcoming gas collection system contract was part of the closure expense; as was putting in a gas collection system to draw off methane. They had run tests as well as monitoring that indicated a problem; and so they were implementing this phase early – within the next three or four months. Miscellaneous small trash always got scattered on windy days; and trash pickup was another use of labor expense, with about 1.4 laborers per day to pick it up. Finally, the landfill had acquired a rock crusher last year; which could decrease street maintenance costs in the form of lower landfill fees for concrete. The crushed rock was used to maintain roadways in the landfill. Mr. Owsley reviewed the expense items. Initial cost of the public disposal area was $335,000 with annual costs about $12,600. This would separate citizens in small vehicles from large haulers. Among the NDNR requirements were keeping the operating phase small and compacting trash. The project would provide a paved surface area with rolloff containers, which would satisfy the NDNR requirement and increase public safety and customer service. Councilmember Hurley asked if NDNR‟s “strong recommendation” was a mandate. Mr. Owsley and Mr. Buehre agreed that it was not but could well become that; as keeping the general public‟s traffic separate from commercial vehicles was a State requirement. The fees were the same; but citizens‟ cars and pickup trucks would stay on pavement. An alternative hydroseeder was the next item, at $19,000 first cost and $37,000 annual cost. The landfill was required daily to cover working space with soil; with an annual loss of air space of about $580,000. The landfill‟s closure date was 2014 and it currently had a soil deficit of 250,000 cubic yards. The hydroseeder sprayed a compound on trash to keep it from blowing around. The device could also be used for seeding soil areas that did not have cover; and could also be used by Parks and Streets for hydroseeding. The backhoe, formerly used by Streets, was an especially useful item, was being put back in the budget in anticipation of replacing it in about five years. Finally, Solid Waste was currently paying a maintenance worker to serve as an equipment operator, indicating a need to upgrade this position at $4,500 a year. They also wanted to add a probationary position for new tasks added over the past few years, such as mulch staining, transporting boxes from the dropoff points, and cleaning up around the rock crushing and disposal areas. The total cost would be $44,403.

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Mr. Mark Schaufler reported on Water Utilities. Their proposed budget was $17.8million, an increase of $313,000, or 128 percent. Those rate model projections would be re-evaluated, possibly in late summer. Some staff expansions of approximately $160,000 included two labor positions and one facility technical position. The labor positions were in response to Water Utility being required to join the Missouri One Call Program. They had been doing locates since the December trial period; and projected approximately 1,500 locates a month. Current employees had done some locates, about 200 or 300 a year. Water had pulled employees from the Operations division for locates; and they hoped the new hires would offset some of these needs. They did not anticipate hiring until they determined whether this could be outsourced more efficiently. Over the past six years, 17 new facilities had been added; and the facility tech position would do calibrations, check the facilities and do maintenance on lift stations. As need had increased, they requested to add one more facilities tech. Transition was still occurring with engineering services and maintaining communications. Obviously, Water Utilities has been without a director. Mr. Schaufler remarked that getting a director and looking at the fundamentals and core business needs of running a utility would be essential. A significant project over the next year was what Mr. Schaufler called a “transfer of knowledge.” He explained that knowledge and data in people‟s heads, on paper, and in software applications all should be pulled together and assimilated in a single database. This would involve collecting data from existing sources, including maps, and then assimilating it. Mr. Schaufler recommended that be a focus next year. Another major project was the Radio Read program: a device that could automatically read and transmit the meter reading to a collections receiver carried by the meter reader. The first focus was on routes that were more time-intensive this year, such as Woods Chapel Road, Hook and Pryor Roads and District 14. By July 1, 1,100 of these devices would be installed and another 1,500 by July of 2004. The initial 1,100 devices would save approximately 25 manhours a month; and another 25 with the additional 1,500. Mr. Schaufler explained meter readers are crunched. With all the recent growth, every new building required a new meter read and the staffing had remained static. Hopefully the Radio Read would relieve some of this situation. The sewer main under Lakewood lake had not been looked at since it was constructed, and some specialized equipment would be needed there. Emergency load testing needed to be done on emergency generators; and this item would be about $20,000. Another item was the Owner Ability Assessment Study, which was required by January 1, 2004. This related to Homeland Security issues. It was not certain whether Water could do the assessment in house in lieu of hiring a third party. Mr. Schaufler explained to Councilmember Hurley that Homeland Security had developed guidelines; and the program was based on the number of customers. The City planned to “piggyback” off Kansas City‟s experiences with it in a much bigger and more complex system; and see how they could apply it. Finally, Mr. Schaufler asked Mr. Lamb to address the reduction in interest rates. Mr. Lamb remarked that average interest on investment had gone from 4 or 5 percent to 1-2.5 percent. This had impacted the interest income in the Water/Sewer operating fund.

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Much of the accumulated balance had also been transferred into construction funds. On the positive side, the City had unprecedented rates on debt obligations. They would try to time refinancing for the best rates, possibly going through the arbitrage rebate process. Mr. Brock observed that the drought meant $1.5-million additional revenue this year. Mr. Schaufler added that if dry conditions persisted the revenue would keep increasing although there were expenses involved. Mr. Brock explained to Councilmember Spallo that the water rate increases had been factored in. Ms. Buhr added that the $100,000 decrease for sewer was offset by the $300,000 increase for water services. Finally, Ms. Ellen Buhr reported on the General Fund. Total taxes were 79% of the funds. Property taxes should increase about $800,000, based on both constructions and permits issued; a three percent increase. Regarding replacement tax, Mr. Lamb explained that it was the City‟s percentage of the County inventory tax in 1984. This was countywide and had no specific reference to Lee‟s Summit. A three-year average had yielded the ‟04 number. Ms. Buhr also mentioned the Chapter 100 payment in lieu of taxes, intangible tax which was also a three-year average, and cigarette tax which had increased by a projected three percent based on the City‟s growth. Mr. Lamb and Councilmember Spallo discussed the stamp policies. The State formerly had a single-metered stamp; however, now the State sent the City reports of who purchased cigarettes for sale and the City billed the wholesalers. With revenues not declining, the compliance record was probably good. Regarding local sales tax, Ms. Buhr remarked that Summit Woods not being operational a full year made this somewhat hard to project. A negative item referred to sales tax collected at Summit Woods and paid to the TIF fund. Franchise tax, including gas and telephone taxes, were also averaged over three years with inflation factored in. Finally, motor vehicle taxes including license fees were not projected to increase. The Committee discussed the proposed “sales tax holiday.” Mr. Lamb stated that exemptions would occur at Summit Woods, Wal-Mart or K-Mart. Statewide, the Municipal League was encouraging cities to opt out. If Lee‟s Summit did so, it would be only 2-3/8 percent of the total 7.5 percent tax. Ms. Kneuvean pointed out that opting out would be only for one year; however, there was a push to change the approach to “opting in” which would help with local politics issues. The City could figure the impact on the basis of daily sales tax. Councilmember Spallo felt strongly that the State should hold cities harmless. Ms. Kneuvean observed that Lee‟s Summit had been successful last year in getting amendment language to this effect into the bill but this year there was no interest in adopting it. Councilmember Spallo was in favor of a resolution asserting that the State should hold the City harmless. Ms. Kneuvean stated that Lee‟s Summit currently opposed the sales tax holiday and could reinforce that with the resolution. Chairman Hallam felt they needed to calculate the number of days it would impact, starting at a week and Ms. Kneuvean responded that the current proposal was two weekends. Councilmember Hurley understood it to be very limited; but Chairman Hallam pointed out that there were major items like computers and office furniture. Ms. Kneuvean remarked that the

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original intent was to help people with back-to-school purchases but it now applied to many other areas. Councilmember Spallo made a motion to recommend to the full City Council that they draft a resolution of the City‟s position that in the event the Legislature approved the sales tax holidays, municipalities be held harmless. Chairman Hallam seconded the motion. Councilmember Hurley remarked that she wanted to see what the language of the current bill was. Chairman Hallam read the motion and asked for a vote. The motion passed – three ayes – Chairman Hallam, Councilmember Spallo and Councilmember Hurley. Roundtable Mr. Lamb announced that next month‟s meeting would be on the third Wednesday, April 16. May would have three meetings, on the 7th, 14th and 21st. Chairman Hallam asked for further discussion. Hearing none, he adjourned the meeting at 5:10 p.m.
FPC031203

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