The Bottom Line on Session 2005
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The Bottom Line Direct on Session 2005 (Plus a Forecast on Session 2006) A Kentucky League of Cities Publication KLC IN THIS ISSUE City Chronicles 2 From the President 4 Big Ideas/Innovations 6 May/June 2005 vol. 7 issue 4 CONTENTSMay/June 2005 Premium Option for Insurance Members FRONT PAGE NEWS FROM THE PRESIDENT In 2003, the KLC Insurance Agency The Bottom Line on Session 2005 1 Slowly, But Surely 4 formed the Kentucky League of Cities Premium Finance Company, specifically CITY CHRONICLES MEET ME AT KLC developed to benefit KLC insurance members. With it, KLCIS liability, property Direct Sylvia’s Diary for KLC Direct 2 Staff Profile: Matthew Parsons 5 and workers’ comp customers can choose customizable billing options for annual CITY POSTCARDS BIG IDEAS/INNOVATIONS insurance premiums. This helps cities, whose A Look at the City of Munfordville 3 COOL Way to Grow 6 budgets continue to shrink, benefit from flexible billing cycles, budget payments A Kentucky League of Cities Publication KLC throughout the year, enhance cash flow to help meet other financial obligations, and benefit from equitable, competitive rates, FRONT PAGE NEWS regardless of city size. It ultimately helps all KLCIS customers by dramatically increasing timely customer payments, keeping costs The Bottom Line on Session 2005 down for everyone. (Plus a Forecast on Session 2006) In the first two years of operation, the KLC In order to get new ideas and worsening threat to Premium Finance Company has successfully legislation passed in Frankfort, cities. We must financed 218 members’ insurance premiums. it often takes several sessions. address a dangerous, If you have cash flow concerns, please consider This year, although state issues continuing trend, as using this valuable member service. For more and tax modernization were the expenditures in Kentucky information on the premium finance options, focus, legislators did recognize cities outpaced revenues contact Amy Loftus at 800-876-4552, ext. 3783 the importance of key local by an average of three percent this year. Why? or email [email protected]. issues - for which KLC has Cities still don't have the options they need to been case building for years. generate revenue - and even worse; there are With the help of some key distressing signals that cities may even lose autonomy legislators, cities have benefited in choices such as provision of health insurance. AIL: By Neil Hackworth, KLC from positive legislation during We all want to help promote the Kentucky THE CHECK’S IN THE M Deputy Executive Director the 2005 session. Much of this “Unbridled Spirit” brand around the country and Please update KLC was the result of some long term effort by the around the world in order to attract wealth to our Payment Addresses Kentucky League of Cities, KLC members and city state. But here at home, cities, like businesses, need leaders. In particular, KLC has been working on to be “unbridled” and unburdened of the many KLC changed their lock box brownfields and historic tax credits issues for years. restrictions they have, and be given the tools to address last year. Please Now, laws allowing real, locally based solutions for thrive and create wealth from the inside to achieve make sure your records are brownfield development, as well 1as real incentives quality of life for citizens today - and for the future. updated to ensure proper crediting for your KLC for rehabilitating historic property can begin to In the meantime, hopefully, what is happening in payments! work for our cities. This legislation takes a broad Frankfort is a sign that our efforts are indeed “global” view of the issue - addressing an age old working. We are thrilled to see results in areas such All payments relating to problem with a solution that will not only help cities as historic tax credits and brownfield legislation. KLC, KLC Insurance orkers' preserve and redevelop their unique or older areas, And, we are encouraged that Democratic and Services, KLC W but also and more importantly, build on what's Republican legislators, as well as our executive Compensation Trust and already there. It was common sense in action. branches, are realizing that the overwhelming KLC Unemployment Bigger changes are also on the horizon. With the majority of Kentuckians live in incorporated cities. Trust should be mailed to: guidance of our board of directors, KLC is working They are making the critical connection that the Kentucky League of Cities with our members, our legislative committee and success of the Commonwealth overall is directly PO Box 34128 legislators to create options that will address the tied to the success of its cities. Lexington, KY 40588-4128 Please send ONLY KLC Premium Finance payments to: See all the Legislative Session Summaries on the special KLC flap! Direct KLC Premium Finance >>> PO Box 73100 Cleveland, OH 44193 Financial Options for Your City Don't get caught sending your check As city needs continue to increase while revenue "Like the rest of the League, our goal in financial to the wrong address. Thanks for your sources remain limited, the resources of KLC services is to help cities thrive in every way we can," assistance! Finance remain an attractive option. says Nancy Wylie, KLC's municipal finance The reason is twofold. KLC Finance offers advisor. "Giving them the best possible rate not competitive rates that are routinely better than what only allows them to begin needed projects, the banks offer, and the interest earned is reinvested in savings can help them take on more projects than serving Kentucky cities rather than applied to profit they might otherwise be able to assume." margin. KLC offers both variable and fixed rates with In 2004, KLC: terms up to 30 years. NLC NEWS Issued $10 million for two housing "We also have low closing costs, and often none authorities through the Capital Funds Loan whatsoever," notes Garrett Drakeford, director of Take Advantage of a Program. financial services. "Add such things as rapid turnaround time on loans and no prepayment Special NLC Issued $50 million in tax-exempt bonds for penalties on most loans, and we think we offer the last KLC bond pool, which provided advantages for cities that few if any outside Membership Offer! borrowers with an average interest rate of institutions can provide." under 2 percent. Join for one year at 25 percent off or two For additional information on KLC financial services, years at 35 percent off! Loaned $24.5 million to 21 cities and call 1-800-876-4552 or 859-977-3700. Information, The National League of Cities (NLC) agencies. a contact form, and online applications are also available provides Kentucky leaders with the Financed projects that included a city-owned online at www.klc.org. opportunity to share and learn with cities of cable system, utility projects, water and sewer all sizes across the nation on meeting the projects and city hall renovations. needs of their communities and addressing the day-to-day challenges of municipal governance. As your city prepares its FY 2006 budget, please consider joining the National League of Cities and remember to include your NLC dues. The difficulty in life is the choice. Visit www.nlc.org for a membership application “ -- George A. Moore, from The Bending of the Bough (act” IV) or to view NLC's dues scale. CITY CHRONICLES KLCDirect Sylvia’s Diary for KLC Direct OFFICERS David W. Cartmell This monthly column is not necessarily new, just recast in an ever evolving effort Mayor of Maysville, President to communicate better with all of you. Each month we’re doing our best to bring Bradley H. Collins you news of events and happenings and a glimpse of upcoming milestones. Mayor of Morehead, First Vice President Mayor David L. Willmoth April was a great month and one in which many of KLC’s annual initiatives really Mayor of Elizabethtown, Second Vice President began to pick up speed. The planning for the annual convention, the budget and the Karen L. Cunningham board meeting in June is keeping us quite busy. The board meeting is June 10 and Mayor of Madisonville, Immediate Past President Sylvia L. Lovely 11 in the city of Maysville, home of KLC President Mayor David Cartmell. Executive Director/CEO, KLC In April, we celebrated the Governor’s Tax Modernization plan and the fact that EXECUTIVE BOARD Bill Nighbert has been named secretary for the Transportation Cabinet, Ellen Jerry E. Abramson Williams as vice-chair of the Kentucky Public Service Commission and Darrell Mayor of Louisville Metro Brock as chairman of the Republican Party of Kentucky. Each have attained new status in their roles with Charles Beach, III Mayor of Beattyville state government and we thank them for their many contributions. Additionally we met with Teresa Hill, Glenn V. Caldwell the new executive director of Boards and Commissions - Office of the Governor. Mayor of Williamstown Robert A. Coleman I’ve been speaking on behalf of KLC and the NewCities Foundation to spread our message among Commissioner of Paducah others. These engagements have taken me to Campbellsville, Somerset, Owensboro, United Way of David C. Fowler Franklin and the city clerks annual conference in Lexington. City Attorney of Owensboro Thomas L. Guidugli Our NewCities Foundation board of directors met during April and considered several initiatives. We Mayor of Newport hope to make announcements of major initiatives in the near future. Mike Haydon Mayor of Springfield We celebrated Earth Day with winning entries from several of our cities. At this celebration we unveiled Teresa Ann Isaac the first KLC report on recycling titled The Good, the Bad, the Green: Recycling’s Impact and Potential for Mayor of Lexington Gregory T.