Whitefish plans pay raises

With an improving economy and better-than-expected increases in resort-tax revenue last year, the city of Whitefish has proposed a 3.3 percent pay increase for city workers.

Non-union city employees had their pay frozen last year as Whitefish continued to struggle with recession-induced revenue shortfalls. The police and fire unions agreed to forego cost-of-living adjustments to avoid proposed layoffs. No city employees got raises in their base salaries last year.

In a budget transmittal message sent by City Manager Chuck Stearns to the City Council last week, Stearns recommended the city go ahead with the collective bargaining agreements’ required 1.3 percent cost-of-living adjustment and give employees a pay matrix step increase of 2 percent.

The council will discuss the proposed budget during a work session at 6:30 p.m. Monday at Whitefish City Hall. Comments from the public will be taken.

Whitefish historically has given non-union employees the same cost-of-living adjustment set forth in union contracts.

“Given that employees had a pay freeze last year and that the 1.3 percent COLA is more or less offset by higher employee medical insurance premiums this year, I believe that the 2 percent increase ... is a fair balance,” Stearns said.

Whitefish took a big hit financially when the recession was at its worst. The city laid off five employees last year and raised property taxes 1.6 percent to squeak by.

The city is proposing a modest property tax increase of 0.8 percent in the budget year that begins July 1.

“If our tax base were to decrease significantly because of successful appeals or protests, we would have to take additional steps based on the extent of the effect on the tax base,” Stearns noted.

Whitefish is gingerly moving forward in the hiring arena. The city has two vacancies in the police department, but the proposed budget recommends filling just one of those vacancies and reducing sworn officers by one, to a total of 15 sworn officers.

The proposed police staffing level falls within the parameters in the 2006 emergency services plan because of lower-than-expected growth, but the city will need to negotiate the staffing decrease with the Whitefish Police Protective Association.

Police Chief Bill Dial has asked the city to allow the hiring of an additional clerk or office manager instead of the second police officer. The budget delays the start date of that position to April 1, 2012.

“We would not recruit or hire for that position until we are satisfied that our financial condition is good enough to add the staff,” Stearns said.

In the public works department, Stearns recommends not filling a current vacancy, but rather promoting internally to fill the supervisor vacancy and transferring an equipment operator to the crews that work on streets and utility lines.

Fire and ambulance services continue to cost more than the city’s anticipated revenues for those services, so the city will have to use up some existing cash balances if 100 percent of that budget is spent in either this year or in fiscal 2012, Stearns said.

Fire Chief Tom Kennally is preparing an analysis and proposed ambulance rate increases for responses outside city limits, but the city isn’t budgeting any revenue from the rate change because the City Council has not yet reviewed the proposal.

The proposed budget would levy the full 24 mills voters approved for around-the-clock fire and ambulance service, but increased resort tax revenues more than offset the mill increase.

The mill levy for fiscal 2012 is 120.4 mills, which is exactly the same as last year except for the transfer of 5.4 library mills from the county property tax to city property tax rolls.

“There is no net effect of library property taxes being paid by city property owners,” Stearns said.

Whitefish is breaking away from the county library system and will begin its own community library on July 1.

After last year’s general fund suffered a $9.1 million reduction, this year Whitefish is poised to slightly increase its general fund from $36.4 million to $38.1 million. Some of the increase is from incorporating the library into the city budget; some is for a 27th payroll period next year, and some is for capital expenditure increases.

The parks and recreation department has some upcoming capital outlays at the Stumptown Ice Den, where the cooling compressor system, roof and damaged sidewalks need attention; and at the Armory community center where the roof and flooring need to be replaced.

Features editor Lynnette Hintze may be reached at 758-4421 or by email at lhintze@dailyinterlake.com.

By LYNNETTE HINTZEThe Daily Inter Lake

With an improving economy and better-than-expected increases in resort-tax revenue last year, the city of Whitefish has proposed a 3.3 percent pay increase for city workers.

Non-union city employees had their pay frozen last year as Whitefish continued to struggle with recession-induced revenue shortfalls. The police and fire unions agreed to forego cost-of-living adjustments to avoid proposed layoffs. No city employees got raises in their base salaries last year.

In a budget transmittal message sent by City Manager Chuck Stearns to the City Council last week, Stearns recommended the city go ahead with the collective bargaining agreements’ required 1.3 percent cost-of-living adjustment and give employees a pay matrix step increase of 2 percent.

The council will discuss the proposed budget during a work session at 6:30 p.m. Monday at Whitefish City Hall. Comments from the public will be taken.

Whitefish historically has given non-union employees the same cost-of-living adjustment set forth in union contracts.

“Given that employees had a pay freeze last year and that the 1.3 percent COLA is more or less offset by higher employee medical insurance premiums this year, I believe that the 2 percent increase ... is a fair balance,” Stearns said.

Whitefish took a big hit financially when the recession was at its worst. The city laid off five employees last year and raised property taxes 1.6 percent to squeak by.

The city is proposing a modest property tax increase of 0.8 percent in the budget year that begins July 1.

“If our tax base were to decrease significantly because of successful appeals or protests, we would have to take additional steps based on the extent of the effect on the tax base,” Stearns noted.

Whitefish is gingerly moving forward in the hiring arena. The city has two vacancies in the police department, but the proposed budget recommends filling just one of those vacancies and reducing sworn officers by one, to a total of 15 sworn officers.

The proposed police staffing level falls within the parameters in the 2006 emergency services plan because of lower-than-expected growth, but the city will need to negotiate the staffing decrease with the Whitefish Police Protective Association.

Police Chief Bill Dial has asked the city to allow the hiring of an additional clerk or office manager instead of the second police officer. The budget delays the start date of that position to April 1, 2012.

“We would not recruit or hire for that position until we are satisfied that our financial condition is good enough to add the staff,” Stearns said.

In the public works department, Stearns recommends not filling a current vacancy, but rather promoting internally to fill the supervisor vacancy and transferring an equipment operator to the crews that work on streets and utility lines.

Fire and ambulance services continue to cost more than the city’s anticipated revenues for those services, so the city will have to use up some existing cash balances if 100 percent of that budget is spent in either this year or in fiscal 2012, Stearns said.

Fire Chief Tom Kennally is preparing an analysis and proposed ambulance rate increases for responses outside city limits, but the city isn’t budgeting any revenue from the rate change because the City Council has not yet reviewed the proposal.

The proposed budget would levy the full 24 mills voters approved for around-the-clock fire and ambulance service, but increased resort tax revenues more than offset the mill increase.

The mill levy for fiscal 2012 is 120.4 mills, which is exactly the same as last year except for the transfer of 5.4 library mills from the county property tax to city property tax rolls.

“There is no net effect of library property taxes being paid by city property owners,” Stearns said.

Whitefish is breaking away from the county library system and will begin its own community library on July 1.

After last year’s general fund suffered a $9.1 million reduction, this year Whitefish is poised to slightly increase its general fund from $36.4 million to $38.1 million. Some of the increase is from incorporating the library into the city budget; some is for a 27th payroll period next year, and some is for capital expenditure increases.

The parks and recreation department has some upcoming capital outlays at the Stumptown Ice Den, where the cooling compressor system, roof and damaged sidewalks need attention; and at the Armory community center where the roof and flooring need to be replaced.

Features editor Lynnette Hintze may be reached at 758-4421 or by email at lhintze@dailyinterlake.com.