Additional tax dollars allocated for tourism efforts
Managing editor
Money was a topic that took the most time for Marion City Council to discuss Monday evening, particularly when it came to appropriating funds in the 2010 budget.
In the past, the city had given Marion Chamber of Commerce $7,000 per year because the chamber took care of city tourism. This year, the chamber was asking for an additional $5,000, for a total of $12,000.
Executive director Margo Yates said most of the city’s money goes for marketing.
Last year there were 125 members. Yates said she wasn’t sure how many businesses currently are members.
Councilman Gene Winkler, who serves as the chamber’s treasurer, said the chamber has been just “squeaking by” the past five years.
“Each year we have more year than money,” he said, forcing the chamber to ask members to pay their dues before the first of the year in order to make payroll.
“If we keep doing this year after year, we’ll get deeper in the hole,” Winkler said. “We can’t make more money.”
Mayor Mary Olson said her comments had nothing to do with Yates and her position but the city already is paying for one full-time economic development person.
“We may get to the point when we might need two people,” she said.
Councilman Steven Smith said he didn’t think an additional $5,000 was the answer.
“The recreation commission is where we need to apply that,” he said.
Earlier in the meeting, the council had approved a $17,000 appropriation for 2010 to REC, the same amount as the previous year.
It was clarified that if the city would give the chamber an additional $5,000, it would not be used for Yates’ salary.
“It’s up to the chamber board to give Margo a raise,” Winkler said.
Yates and Winkler said that Yates hasn’t had a raise in three or four years.
“I will not accept any kind of raise that results in dues being increased,” Yates said.
Olson made a motion to earmark $7,000 for now with discussion later when the council reviews the budget. No one else agreed and the motion died for a lack of a second.
City economic development director Doug Kjellin said his focus was to support local businesses and bring new ones to town.
“Margo is the key to that,” he said. “I strongly urge you to be pro-active in compensating Margo. She needs to be supported by this council.”
Councilman Bill Holdeman then made a motion to give the requested amount of $12,000 to the chamber.
“I reiterate what Bill is saying but I do not think this is the way to do it,” Smith said. “If we’re talking about $5,000 for Margo, that’s one thing. (The money) $5,000 is a drop in the bucket of what she deserves.”
He continued that USD 408 board of education needed to be involved and make the REC position a higher-paid position.
“If we’re going to compensate, that’s the way to do it,” Smith said.
The motion made by Holdeman died for a lack of a second.
Todd Heitschmidt, a chamber member and chairman of Marion Economic Development Inc., said there are other issues facing the business community.
“I, as a taxpayer, have no problem with you using taxes for Margo,” Heitschmidt said. “Somebody needs to get her some benefits and not just a salary increase.”
He continued that if MEDI had the funds to pay Kjellin and assist Yates, they would do it.
Smith asked if $3,000 would help the chamber. Winkler responded that right now, anything would help.
City administrator David Mayfield asked Winkler the amount of the shortfall. Winkler said probably about $3,000.
“Whether she’s a full-time employee of the city or the school, we need to rework the position,” Smith said.
With that, the motion passed with Councilman Stacey Collett opposed.
City employee raises
With the economy as it is, the council wasn’t unanimous on the amount to budget for raises in 2010.
In the past, up to six percent was available.
“I wasn’t a big fan of last year when everybody went to merit raises and everybody got the maximum percent,” Winkler said. “I think cost of living adjustment (COLA) is the way to go.”
Smith said he would like to see a step-pay increase rather than merit. He also wants raises based on years of service.
Olson suggested five percent, Holdeman wanted six percent, but the council finally came to consensus on a maximum of four percent, probably where all will receive the same percentage of pay increase, regardless of performance.
Date change for next meeting
Due to vacations and council members being unavailable to meet, the next city council meeting will be at 4:30 p.m. July 30 instead of July 27.