Finance Committee - 7/5/2018 Page 11
RECORD OF EXPENDITURES
MOTION BY ALDERWOMAN KELLY THAT THE FINANCE COMMITTEE HAS COMPLIED WITH THE CITY
CHARTER AND ORDINANCES PERTAINING TO THE RECORD OF EXPENDITURES FOR THE PERIOD
FROM JUNE 15, 2018 TO JUNE 30, 2018
MOTION CARRIED
GENERAL DISCUSSION
Mayor Donchess
| do have one which is this. | just want to get your reaction which you don’t have to give now, | just want to
mention this issue, think about it. Right now what you see on this agenda and the Board of Public Works sees
the same items are any expenditures or contracts above $10,000.00. So if it is $9,000.00 it is not on here on
the theory that compared with the more major purchases it is relatively small and therefore doesn’t come here.
Some of the departments, particularly Public Works, have suggested that we raise the threshold because they
say and you can hear it from them directly if you wish.
It takes a lot of person hours to put all these packets together, some of these items are small, sometimes it is a
commodity and they would like to raise the threshold to $25,000.00 instead of $10,000.00, which means
obviously on this agenda 3 of the items under $25,000.00 threshold would not have been on the agenda.
There are a couple for $19,000.00, $17,000.00 and one for $20,000.00. Their other argument is that the
$10,000.00 has been in place for a long time and has been kind of eroding as a result of inflation; $10,000.00
doesn’t buy what it used to, that type of thing.
Anyway, if the threshold were to be raised, this is an Ordinance, so it would require Aldermanic action so
obviously all members of the Board of Aldermen votes on it. And since they have mentioned it to me a couple
of times, | thought | would raise it with you and see if you have any thoughts now. But it doesn’t have to be
now, it could be later, this not urgent.
Alderman Laws
How long has the $10,000.00 threshold been in existence?
Mayor Donchess
We are looking into that, but itis at least 10 years | think.
Dan Kooken, Purchasing Manager
| can answer that, it was 2002. It was $15,000.00 at one point and got lowered back down to $10,000.00 in
2002.
Mayor Donchess
Now the other argument Public Works makes is that they have checked with other communities and more
typically there is a threshold of $25,000.00. | don’t know why it was lowered, | guess more scrutiny by the
Aldermen. Maybe it was Mr. Teeboom and one of his reforms, | don’t know.
Mr. Kooken
If | may, | have got quite a bit of data on this and we’ve done comparisons with Manchester and Concord and
where they are at, where we are at. | can e-mail those to the group if you'd like those. | also have more
spreadsheets that, | have copies | can e-mail those, they give breakdowns like percentages
