06/30/1994 MINUTES - Laserfiche WebLink

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49 Mayor Shelton stated he felt the Board would find that the Council would try to work with the Board. City Attorney Haynes stated this was a compromise item. He said there would be a reserve put there that would be allowed to accumulate with no restrictions as to the rate. Mr. Haynes said the fact that it was there would not mean that the Board could never spend it but Council's approval would be required. Mr. Cecil stated the way the by-laws are written the amount could be zero. Chairman Cecil stated he it was consensus of the Board for the purposes of this initial budget for the number to be zero. Mr. Anderson stated fund balance as it is referred to in accounting is a line item that will show up on the balance sheet as money taken in and spent which could be either restricted or unrestricted. Chairman Cecil stated it was the consensus of the Board that it would all be unrestricted. Chairman Cecil stated he would like to address concerns he had about accumulating money in a fund to take care of any new projects that might be forthcoming. He said up to this point the Board is spending the money taken in, and if the Board had to fund a major project for a new industry there would be no money available. He said he felt the Board needed to continue to support existing industry, but also needed to accumulate some money for new projects. He said, if it was the consensus of the Board, rather than designating the whole amount difference available for projects that some be segregated as available to existing industry projects and part of it as available for other projects until a sufficient amount is accumulated then the requirement could be removed. He said what he is suggesting is 25% for existing industry and 75% for new projects until a certain amount of money is accumulated. Mr. Amis said the Board knows there are other projects beyond Soup Street which have to be dealt with, and a 25-75% split will not pay for all of them. Board member Bray questioned whether the Board wanted to be the one to fund those projects. He said he was not saying that the Board should not be willing to help existing industry, but there should be money available to attract new industries. He said he felt the Board should make a commitment to set so much money aside to attract new industry. Board member Amis noted the vehicles which are in place through the State to leverage cash flow. Board member Fendley said he thought the budget could be adjusted during the year if there was an emergency project and money was needed. Chairman Cecil stated this would be set up as a guideline. Chairman Cecil stated he felt it was the consensus of the Board to establish this concept and it was just a matter of the percentages. City Attorney Haynes said one of the primary tools for attracting new industry are the recommendations of existing industry regarding treatment. Board member Fendley suggested a 60% - 40% split with the carryover. Chairman Cecil stated he had no objection to a 50% 50% split. Chairman Cecil suggested that the Board go with a 50% 50% split, and if the Board sees they need to amend the budget during the year, this can be accomplished and would be a guideline for the Board. Chairman Cecil summarized the $100,000.00 will be added to the $205,000.00 plus the $275,000.00 and then that will be divided 50 50 and then the $70,000.00 will be left as it is. He also said the $25,000.00 for the City will remain as an estimate and the Chamber compensation is a fixed amount. After discussion, this was the consensus of the Board.