Loading...
HomeMy WebLinkAbout07-18-2022 BAC Minutes w/AttachmentCITIZENS BUDGET REVIEW ADVISORY COMMITTEE MINUTES OF REGULAR MEETING JULY 18, 2022 Chairman Napier called the Citizens Budget Review Advisory Committee meeting to order at 6:00 p.m. II. Pledae of Alleaiance was recited by all. III. Roll Call Present Mr. Newhart Mr. Napier Ms. Cards Ms. Reed Absent Mr. Hoffman — Excused Mr. McGinn — Excused Mr. Hall — Unexcused Mr. Sullivan — Unexcused Present Ken Killgore, Administrative Services Director/CFO Paul Carlisle, City Manager Joseph Perez, AV Technical Assistant Janet Graham, Technical Writer IV. ADDroval of Minutes A. Meeting of July 11, 2022 Mr. Napier asked if all Committee members had reviewed the Minutes of July 11, 2022. All indicated they had. Mr. Napier called attention to page 6 where in the third paragraph it is stated that, "A motion to move forward with the recommended draft budget was made..." He stated that it was his understanding that the recommendation was to approve the proposed millage rate at 3.0043 for trim purposes only. Mr. Killgore stated there is one other correction on page 2 in the first paragraph approximately halfway down it reads "...projection for next year down 50%" He stated that figure should be 15%. Ms. Reed mentioned that it was not clarified in the Minutes whether she was excused or unexcused from that meeting. She stated that Mr. Killgore had excused her from that meeting. With those corrections, a motion approving the Minutes of July 11, 2022 was made by Mr. Newhart, seconded by Ms. Reed, and approved unanimously via voice vote. Review of Third Quarter Financial Report — FY 2022 CITIZENS BUDGET REVIEW ADVISORY COMMITTEE PAGE 2 MINUTES OF JULY 18, 2022 Mr. Killgore stated that he has included the writeup for the City Council's meeting of July 2r to consider the Third Quarter Report. (SEE ATTACHED) He has included the Resolution that recommends that they adopt to amend the budget. He has shown the budget changes that were made for the quarter ending June 30' . He reviewed the report page by page. He pointed out that the balance of the General Fund Forecast is very good, and he expects that by the end of the year it will be well above the projected reserves for this year. He referred to the Stonnwater Fund Summary where there is a small error. The numbers show that the projected funds would be higher than what was projected in the FY 21-22 budget. In this report he showed that it would be lower. So that will be corrected. Referring to the Golf Fund Summary, the projected funds are stated to be greater than the FY 21-22 budget, and they are now projected to be less than what was projected. The remainder of the fund summaries are as they are shown. He reviewed the summary of the capital projects and where they stand. The balance of the report was reviewed. Mr. Killgore called for any questions/comments from the Committee members. Ms. Cerda — • Asked regarding the Sembler property. Mr. Carlisle stated the City has not made an official offer yet. That would come out of DST funds. A second appraisal will be obtained, and then an offer will be made. Mr. Napier — Asked if there are any grants available for the waterfront projects. Mr. Carlisle stated there may be some funds left in the Stan Mayfield fund. Regarding FRDAP money, once you use FRDAP funds, any Improvements made have to be approved by FRDAP. Regarding the capital project status reports, in fiscal '21 there is a tree protection plan with DST money and a stormwater master plan with DST and stonmwater money. He asked if those master plans are eligible to use DST money which is for capital improvements only. Mr. Carlisle stated if it is developed as part of a capital Improvement plan, it Is eligible for the DST funding because of the capital Improvement element. VI. Brief UDdate on July 11r" Power Point Mr. Killgore made a Power Point presentation (SEE ATTACHED) and stated he has not changed much from what was presented last week. He briefly reviewed the slides and called for questions/comments. He pointed out a slide that he had added to last week's slides which explained the rollback rate versus the 2.8658 which is what the draft budget is based on. He then called for questions/comments. CITIZENS BUDGET REVIEW ADVISORY COMMITTEE PAGE 3 MINUTES OF JULY 18, 2022 Mr. Napier — Regarding the Local Option Gas Tax funds listed on page 12 of the update, the $250,000.00 for annual reconstruction and the $600,000.00 for repaving, he recalls that several years ago we had a map that had the city streets on it that showed the roads that needed immediate work, etc. He asked about whether there is detail on where the $600,000.00 will be applied. Mr. Killgore stated the City has a pavement plan that is being developed. Mr. Carlisle stated the pavement plan when completed will dictate what streets get paving. That plan will evaluate every segment of the roadways. That will show where the most Improvement can be gotten with the funds that are available. Mr. Carlisle added that the City does a reevaluation every three years so that it is known whether the plan is working. A map will be revised which sets forth the paving plan. VII. Announce Next Meetina Date (Monday. August 8. 20221 Mr. Killgore stated that date is correct. Mr. Napier clarified other meeting dates as being Tuesday, September 13, which is the first public hearing, and the final millage meeting date has been set for September 28, 2022 on Wednesday and asked if those are the only changes in the originally adopted calendar. Mr. Killgore said yes. All the Committee members stated those dates are agreeable to them. Vill. General Discussion by Members — None IX. Public Comments — None X. Adjournment There being no further business, Chairman Napier adjourned the meeting at 6:25 p.m. Bv„ mil. ti) . `74 " f''" � Date: Ili ? 411:-3 Chairman Larry Napier fB 2023 Budget and Capital Program Presentation on Draft 2023 Budget Budget Review Advisory Committee Meeting Monday July 18, 2022 Prepared By: Ken Killgore Administrative Services Director/CFO i 2023 Budget and Capital Program o Summary of General Fund Budget. o Enterprise and Other Funds. • Capital Improvement Program • Property Values and Millage •Other Considerations. K Draft FY2023 General Fund Budget Versus Amended FY2022 Budget 5301685 Personnel Costs 243,817 Operating Expenditures 75,861 Capital Spending (392,708) Transfers to Other Funds 457,655 Increase in Budget — 3.18% 3 Draft FY2023 General Fund Budget Personnel Up $5301685 o Health Insurance At a 5% Increase. o All Personnel Cost at Current Pay Rates. (Negotiations Are Underway.) o Adding Six Full-time Positions. o Adding One Part-time Position. o Deleting One -Part-time Position Draft FY2023 General Fund Budget Personnel Additions/Deletions o Six Full-time Additions Assistant City Manager Human Resources Assistant Three Police Officers Construction Specialist o +One Part-time Mechanic o -One Part-time City Clerk Clerical Asst. Draft FY2023 General Fund Budget Operating and Interfund Transfers o Operating Up $243,817 Due To: $107,272 in MIS for P/W Complex and Software to Counter Cyber Threats. $131,163 in P/W for Complex ($76K Electric and $57K Rent). o Capital Up$75,861 From Parks Equipment. o $358,962 Decrease in Fund Transfers Due to 2022 Transfers for Yacht Club Seawall. [7 Draft FY2023 General Fund Budget Revenue Assumptions o Property Tax At a Millage of 2.8658 (6.8% Above Rolled -Back) to Balance Revenue to Expenditures. o Franchise Fees and Utility Taxes Looking to be $131,672 or 9.3% Above This Year's Budget. o State Revenues - $693,893 or 22.3% Above This Year's Budget, Due to Higher Half Cent Sales Tax and State Revenue Sharing. Using 3.5% for 2023. 0 32.7% of Property Tax, 10.7% of Franchise Fees, 21.8% of Utility Taxes and 26.2% of State Revenues Equals 91.4% of Total Revenues. Draft FY2023 Enterprise Funds: Golf Course o Enjoying Good Year. 2023 Budget Assumes This Continues. Long-term Forecast Adjusted Down 15% And Still Able to Cover Expenses. o Same $30,000 for Restaurant Lease. o Same $106,135 for Airport Rent. o $36,209 Principal and Interest on $700,000 Building Fund Loan. o $35,000 toward General Fund Loans. o Expecting Sixth Year on Golf Carts But Will Be Ordered in 2023 for Delivery in 2024. K Draft FY2023 Enterprise Funds: Airport o Property Rental Revenue Covering Operating Cost and Loan Payments to DST Fund. o Loans From Discretionary Sales Tax Fund: Hangar A $285,000 - $253,172 By 9/30/22. Hangar B $267,511 - $249,575 By 9/30/22. o Grant Matching From DST Fund: $579,273 in 2023 For Square Hangars and Half of Rehabilitation of Runway 05-23. $1,305,258 Over the Following Four Years For Rest of Runway 05-23, Taxiway Alpha Apron, Taxiway Golf, Shade Hangar and Runway 13-31. 01 Draft FY2023 Enterprise Funds: Building o Permit Revenue Continues at High Levels And Above Budget. o Covering Personnel and Operational Cost. o Adding Plans Examiner and Permitting Technician in Event They Can Be Hired. o Expecting $36,209 Principal and Interest Payment on Golf Course Loans: $700,000 Loan Will Be $553,963 By 9/30/22. $559,684 Loan To Be Paid After the $700,000. 10 Draft FY2023 Special Revenue Funds o American Rescue Plan Act Fund: Promised Funding Totally Received. Allocated to Gardenia Ditch, Schumann Drive, Concha Dam, Employee Retention Payments and Road Improvements. Must Be Obligated by December 31, 2024 and Totally Spent by December 31. 2026. Improvement Projects Need Plans and Permitting Which Require Some Time. 11 Draft FY2023 Special Revenue Funds o Local Option Gas Tax: Collections 3.03% Above Same Months of Last Year. Projecting 3% for Future Years. Road Improvements Are Pending Update to Road Assessment Study. o Providing $250,000 Annually for Reconstruction. o Providing $600,000 Annually for Repaving. o Providing $75,000 Annually for Sidewalks. Will Make Final Payment of $122,174 on Bank Notes December 1, 2022. 12 Draft FY2023 Special Revenue Funds o Discretionary Sales Tax: Collections Up 20.5%. Using Same as Last Year for Rest of This Year, Then 3%. Funding for: oMIS Infrastructure. oPolice Vehicles and Equipment. oRoads Division Heavy Equipment. oEmergency Generator & New A/C Units oStormwater Bulldozer/Infrastructure. o Matching Funds for FAA and FDOT Grants. 13 Draft FY2023 Special Revenue Funds: o Riverfront CRA Fund: Operating Expenditures: oAudit Fees, Administration, Landscaping, Waterfront Renovations, Other Facility Maintenance, and Submerged Land Leases. oTravel and Education Cost, Legal Ads, State Fee, Association Dues and Landfill Fee. Special Events. Kiosk Signs in 2023. Riverfront Event Space in 202S. 110 Draft FY2023 Special Revenue Funds: o Recreation Impact Fee Fund: Unspecified Improvements ($5K per Zone). Swing/Bench Park at Harbor Lights is Scheduled for 22-23. Future Playground/Park Improvements: o23-24 Creative Playground. o24-25 Bryant Court Park. o25-26 Hardee Park and Schumann Park. o26-27 Community Center and Friendship Park. o27-28 Riverview Park. 15 Draft FY2023 Special Revenue Funds: o Stormwater Utility Fund: Added Inspector; Cut Two Maint. Workers. Replacing Crew Truck. Scheduled Improvement Projects: oAeration Fountain at Cownie Pond. oStonecrop Drainage Phase II and Canal Restoration with Grant and DST Fund Match. oTulip Road Crossing, Bayfront Road Crossing and Ocean Cove with DST Funding. oGardenia Ditch, Schumann Drive and Concha Dam with American Rescue Plan Funding. 16 Draft FY2023 Special Revenue Funds: o Law Enforcement Forfeiture Fund: Used Only for Unbudgeted Items. Specific Items Need City Council Approval. Current Balance is $52,692. o Parking In Lieu Of Fund: Current Balance is $87,466. Expecting $97,665 Year End 2022 Balance. 17 Draft FY2023 Trust Fund o Cemetery Trust Fund: of Sales on Operations and Maintenance: oAllocation for Grounds Improvements. oReplacement of Chain Link Fencing. oReplacement of Mower. of Sales Expendable on Expansions or Cost Incidental to Adding Future Sites: o Funds Columbarium Niches in FY 24-25. Looking at Market Rate Adjustment. IN Draft FY2023 Debt Service o Stormwater Utility Note Final Payment by DST Fund Was Made in May 2022. o Paving Improvement Note Final Payment by Local Option Gas Tax Fund is Due on December 11 2022. o 60 Month Lease Purchase of Police Camera System to Mature on May 2025. o 60 Month Lease Purchase of Required Police VxRail Security System Software. 19 Capital Improvement Program o $55.1 Million Over 6 Years. $20.3 Million Next Fiscal Year. o Largest Items for Next Fiscal Year: • $1,460,586 Stonecrop Drainage. • $11,500,000 Canal Restoration. $1,000,000 Square Hangars. $1,585,455 Runway 05-23 (1st of 2 Years). o $14,265,631 to be Funded by Grants. all Property Values and Millage: Certified Taxable Values o Total Certified Taxable Property Values Increased $232,012,542 or 14.64% Above 2022. Additions Account for $47,981,095 or 3.03% of the Increase. Reassessments Account for $184,031,447 or 11.61% of the Increase. o Rolled -Back is 2.6834. Used 2.8658 for Draft Budget to Avoid Using $318,134 of Reserves. o Last Year's 3.0043 Millage Would Add $241,566 More Revenue Than the 2.8658 Millage. 21 Different Millages & Affecting Factors Millage Tax Revenues DR420 Rolled Equal to Last Year Back Expense 3.0043 2.6834 0.00% 2.8658 Same As Last Year 6.80% 3.0043 11.96% $ 4,621,435 $ 47680,267 $ 419981401 $ 5,239,967 Incremental Difference $ 58,832 $ 318,134 $ 241,566 Added Revenues Factors Affecting Added Revenues: From Additions From Reassessments From Millage Change From DR422 Final Adjustment in 2022* Added Revenues $ 58,832 $ 123,602 474,077 (488,543) 50,304 $ 58,832 $ 376,966 $ 132,004 $ 618,532 $ 138,384 5061301 530,770 (210,855) 50,484 $ 3761966 50,622 $ 618,532 * We budgeted Tax Revenues at $4,621,435 in 2022 based on the DR-420 Certified Tax Roll of $1,585,849,128. Tax Assessor issued the DR-422 Final Tax Roll for $1,584,816,281, a $1,032,847 reduction of (.15%). We may only receive $4,573,792 vs. the $4,621,435 in 202Z a $47,643 difference. This reduces 2022 by $47,643, plus the change due to the milloge. 22 Property Values and Millage: Taxable Value Additions Dollar Value of Tax Roll Additions: 2022 47.19811-095 2021 321-7161715 2016 25/763/700 2020 331-6851698 2015 25,492,245 2019 231351,814 2014 191-9141805 2018 15/998/366 2013 91435,090 2017 351,951,704 2012 7/462/986 Additions Yield in 2023: $123,602 at 2.6834, $132,004 at 2.8658 and $138,384 at 3.0043. 23 Property Values and Millage: 3.0043 in 2022 Versus 2.8658 and 3.0043 1. 03% On Homestead: 3.0043 2.8658 ASSESSED VALUES $200,000 $206,000 TAXABLE VALUES $150,000 $156,000 TAXES $451 $447 CHANGE ($4) ASSESSED VALUES $250,000 $257,500 TAXABLE VALUES $200,000 $207,500 TAXES $601 $595 CHANGE ($6) 3.0043 $206,000 $156,000 $469 $18 $257,500 $207,500 $624 $23 ASSESSED VALUES $300,000 $309,000 $309,000 TAXABLE VALUES $250,000 $259,000 $259,000 TAXES $751 $742 $778 CHANGE 10% On Others: 3.0043 2.8658 3.0043 $200,000 $220,000 $220,000 $200,000 $220,000 $220,000 $601 $630 $661 $29 $60 .............................................................................................. $250,000 $275,000 $275,000 $250,000 $275,000 $275,000 $751 $788 $826 $37 $75 .............................................................................................. $300,000 $330,000 $330,000 $300,000 $330,000 $330,000 $901 $946 $991 $45 $90 24 Millage Setting 16 Year History At or Below Rolled -Back 11 Years - 68.8% of the Time (22% Lower Than 2015 and Just 2% Above 2020) 4.0000 3.8000 3.6000 3.4000 - 3.2000 3.0000 - 2.8000 2.6000 2.4000 - 2.2000 - 2.0000 - 2007 2008 2GJ9 2r LO 2G11 ©1101led-Back 3.0519 3.2121 3.3646 3.8038 3.9019 1 N Final 3.0519 11 2.9917 1 3.3456 1 3.3456 13.3041 2012 2013 2G14 2015 2016 2017 3.7311 3.5646 3.7398 3.5446 3.6290 3.6700 3.3041 1 3.7166 3.7166 3.8556 3.8556 3.8000 I F a 2C18 1 211119 j 21520 12C21 2F22 3.4939 3.1514 2.9399 2.8090 3.0043 3.4000 3.1514 2.9399 3.1514 13.0043 25 Other Considerations o Labor Agreements Not Yet Negotiated. o Adding Six Positions in General Fund. o Cutting Two Positions in Stormwater. o Prices Continue to Increase. o How Long Will Current High Revenue Levels Continue? o Setting Proposed Millage for the Trim Notices at 3.0043 Will Be Advertised as an 11.96% Tax Increase . ►11