HomeMy WebLinkAboutApril 4Finance and Investment Committee Meeting
Town of Los Altos Hills
Town Hall Council Meeting Room
Monday, April 4, 2011
Chairman, Allan Epstein called the meeting to order at 4 pm.
Members present: Allan Epstein, Stan Mok, Jean Mordo, John Radford,
Roddy Sloss and Lala Stark (4:45 pm)
Members absent: Jim Lai, Frank Lloyd, Bill Silver
Staff present: Nick Pegueros, Finance Director
Guests present: None
Public Present: None
Approval of minutes: Minutes of the March 7, 2011 meeting were approved as submitted.
Report by Jean Mordo on recent Council activities of interest:
The proposed Stanford sponsored bike path and related resident concerns are being addressed by Council.
Council has initiated a new online survey procedure and the initial discussion item is building square footage
limitations.
Report by Nick Pegueros on recent Finance Department Activities:
The Tyler software conversion is performing satisfactorily. Cal Pers will not change the investment return
assumption to 7.5% from 7.75%.
Prepayment of Town Hall Lease:
After discussion and review of a handout on the subject, the Committee decided to defer further consideration
until the Town 2011-2012 budget is completed.
Discussion of a project bidding policy is deferred to a future meeting.
Recommendations of the Ad Hoc Employee Compensation Committee:
A handout discussing two recommendations of the Committee was discussed. While the Committee concurred
with both recommendations it recommended that two further points be added to the presentation to Town
Council:
1. The Town’s share of pension expense be capped at the sum of the current year’s employer and
employee rates and that future pension cost increases be borne by the affected employees to the extent
of the statutory allowed employee contribution.
2. Proposed changes to employee medical plan contributions should be studied to determine the impact on
individual employees affected in order to make sure the cost increase is reasonable and a hardship is not
imposed on any employees.
Mid Year Budget Update
The Committee received the handout prepared by Nick Pegueros comparing annual budget line items to the
corresponding spending through February 2012. The Committee requested that similar future presentations
present known and reasonably expected variances with explanatory details.
Continued
FIC Minutes – April 4, 2011 page 2.
Mr. Pegueros noted that property tax revenue is on budget and that Franchise Fee revenue is down by $25,000
due to a settlement payment to the landfill operator because the Town is being more successful in recycling and
therefore isn’t disposing of sufficient garbage to meet its contracted minimum annual commitment. This
condition will probably continue and require the Town to make similar payments in the future and the cost will
be built into future garbage rates.
Proposed topics and dates for future meetings:
May 2, 2011, 4 pm: Preliminary budget review for 2011-2012 year – Nick Pegueros
May 12, 2011: 5 pm dinner, 6 pm meeting – Joint Council FIC Budget Study Session
June 6, 2011: meeting canceled.
Adjournment:
The meeting adjourned at 5:45 pm
Respectfully submitted by Roddy Sloss, Committee Secretary