Annapolis Finance Committee Special Meeting – July 16, 2025

The Finance Committee of the Annapolis City Council held a special standing committee meeting on Wednesday, July 16, 2025, in the City Council Chambers. The official minutes list the call to order at 9:30 AM, while the transcript indicates 9:36 AM; this discrepancy is noted. The meeting adjourned at 10:53 AM. Committee members present were Alderwoman O'Neill, Alderman Huntley, and Alderwoman Finlayson. Also present were Alderman Arnett (sponsor of O-12-25), Acting City Manager Buckland, Finance Director Moran, and Central Services Director Flinner.

Consent Calendar

• The committee approved the regular meeting minutes of July 2, 2025 (FC 7.2.25) on a voice vote.

Supplemental Appropriation SA-1-26

• The committee recommended approval of supplemental appropriation SA-1-26, a $2,500 state grant from The American Trauma Society for 'Stop the Bleed' training kits for the Fire Department. No matching funds are required. The motion carried on a voice vote.

Fund Transfer FT-1-26

• The committee recommended approval of fund transfer FT-1-26 by a roll call vote of 2 to 1 (Aye: Alderwoman O'Neill, Alderman Huntley; Nay: Alderwoman Finlayson). The transfer moves an approved but unfilled administrative assistant position from the City Manager's Office to Central Services. Acting City Manager Buckland explained that the position had been vacant because of space constraints and that Central Services has an immediate, demonstrable need. Central Services Director Flinner said the department plans to fill the position immediately for administrative support. Alderwoman Finlayson opposed the transfer, stating that the position was originally created to build the City Manager's Office and that the move would diminish it; she voted no, while supporting the broader need for Central Services staffing. Discussion also addressed the possibility of sharing staff and future budget requests.

Legislation O-12-25 – Spending Affordability

• The committee voted to reconsider its prior action on O-12-25, then voted to postpone the legislation to the next meeting on September 3, 2025. Sponsor Alderman Arnett presented the bill, which would add a 'spending affordability' function to the Financial Advisory Commission (FAC). He emphasized that it is a revenue forecasting tool used by the state and all Maryland counties. He estimated the cost at $25,000 to $50,000 annually, comparing it to the city's $201.4 million operating budget and $409 million in outstanding bonds. He also noted that property taxes make up over 60% of city revenue versus 17% for the county, so a county-specific forecast may not fit the city. Finance Director Moran expressed concerns about the ordinance's restrictive nature, timing, and unknown consultant costs, noting that the finance department can already procure forecasts with budget authority. Alderwoman O'Neill questioned whether a resolution would be more appropriate than an ordinance. Alderwoman Finlayson moved to reconsider and postpone, requesting an updated fiscal impact note with at least a cost range. Both motions passed by voice vote.

General Discussion – Finance Department Update

• Finance Director Moran reported that the department is finalizing the FY26 budget, beginning work on FY27, improving utility billing processes, preparing a bond ordinance, and conducting the annual audit. She noted that the department is physically split, with three full-time and one contractual vacancy and no current space for new staff. Alderwoman Finlayson requested updated Finance Committee reports, pointing out that the attached reports only went through March.

Adjournment

• The meeting was adjourned at 10:53 AM.