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Finance Committee Minutes 20-08-13FINANCE COMMITTEE AUGUST 13TH, 2020 VIRTUAL ZOOM MEETING 1. ROLL CALL Present- Committee Members: Markian Fedeschuk, Craig Ferraro, and Linn Brooks Town Council: Mayor Sarah Smith-Hymes Staff: Finance Director Scott Wright, Executive Assistant to the Town Manager Ineke de Jong, Town Attorney Paul Wisor, and General Government Intern Charise Bishop Guest: Ryan Wilson from ClearGov Absent- Councilor Scott Prince, Dee Wisor, Steve Coyer, Town Manager Eric Heil Meeting called to order at 5:01 p.m. 2. APPROVAL OF MINUTES No comments were made. Linn Brooks moved to approve the July meeting minutes. Craig Ferraro seconded the motion and the motion passed unanimously. 3. PUBLIC COMMENT No public comments were made. Steve Coyer joined the meeting at 5:04 p.m. 4. STAFF UPDATES ON SALES TAX REVENUES THROUGH JUNE Finance Director Scott Wright presented the revenue data of 2020 through June and noted that revenues are down 5% compared to last year overall. Some industries are even exceeding their sales from last year. The town passed a budget amendment reducing the sales tax budget by 18%, or $1.6 million, and the Town has not met that threshold so far. Scott expects revenues to remain steady through the fall but is unsure about how the ski season will turn out. The Committee commented/inquired: A. What is construction related services: is that materials? B. I am confused about service-related industries because I did not think the Town charged sales tax for services. C. Besides Pier One, have we seen businesses close or leave town in the last few months? D. What is the total percentage difference between 2019 and 2020? E. Considering this positive outlook, what does this mean for the Town’s reduction in expenditures? F. What about the restaurants that are forced to reduce business or have their patrons dine outside? G. What is our ability to provide tax relief to restaurants through the winter? H. Depending on how bad things get this year, we should have a meeting to gather the restaurant owners and see how they are doing. Dee Wisor joined the meeting at 5:15 p.m. 5. STAFF UPDATES ON ACCOMMODATION TAX REVENUES THROUGH JUNE Finance Director Scott Wright presented the accommodation tax revenue data from 2019 and 2020: it is down about 25%. In the month of June, accommodation tax revenue is down 45%. The Town passed a budget amendment, reducing the expected accommodations tax by $658,000 or 45%. This 45% reduction has been accurate from March through June. The other revenue the Finance Department is concerned about is the recreation center. Recreation Director John Curutchet presented a 2020/2021 financial outlook to council on Tuesday and remains optimistic about the recreation center’s finances. FINANCE COMMITTEE AUGUST 13TH, 2020 VIRTUAL ZOOM MEETING The Committee commented/inquired: A. The Westin was reduced to 25% to 50% occupancy, but they are currently back to 100% occupancy. B. What is John’s optimistic outlook based upon? 6. REVIEW CLEARGOV BUDGET BOOK PRODUCTS Finance Director Scott Wright introduced Ryan Wilson from ClearGov. Mayor Sarah Smith-Hymes expressed how the Town is interested in this software because of its ability to increase Avon’s transparency. Ryan Wilson presented to the Committee about ClearGov’s software. He said it is an effective online tool in this environment where the public has to communicate with government electronically. Their company specifically works with local governments. The goal is to communicate financial data in an easily accessible format for the public. The Budget Book software should make creating the budget a more simplistic process. He walked the Committee through building a budget and how staff could customize it. He next explained how the user would interface with the budget. Ryan Wilson then showed the Committee ClearGov’s transparency profile, which would be a link through Avon’s website. After the presentation, Mayor Smith-Hymes and Finance Director Scott Wright discussed with the Committee how they felt about ClearGov’s software. The Committee commented/inquired: A. Would this software cause the staff any extra work? B. He saw the cost was around $10,000, is that annually? C. Not meaning to cut the presentation short, but this seems like a no-brainer. D. Budgets are projections and then they change. What happens when the Town amends the budget? E. Is your company involved in auditing? F. How would each department assure their information populates in the correct area of the site? Would they use tags? G. How many Colorado municipalities use this software? H. For the cost, this seems like a good value. You should give this software a try for a year and see how you like it. I. As a stakeholder, the transparency profile is very useful. J. I suggest trying it at least for two years because there will be a bit of a learning curve. K. This software will make the Committee obsolete, but we are happy to serve. 7. ADJOURNMENT The meeting adjourned at 6:16 p.m. Respectfully Submitted: Charise Bishop General Government Intern