HomeMy WebLinkAbout05-05-2025 BAC MinutesSEBASTIAN BUDGET REVIEW ADVISORY COMMITTEE
MINUTES
6:00 PM MONDAY — MAY 5, 2025
CITY HALL
1225 MAIN STREET
a. Chairman Hall called the meeting to order at 6:00 p.m.
b. The Pledge of Allegiance was recited
C. Roll Call
Mr. Napier
Mr. Hall (Chair)
Mr. McGinn
Mr. Baker
Mr. Garton
Ms. Jacob
Absent
Ms. Reed (Vice Chair) — excused
Mr. Hoffman
Mr. Middleton
Also Present
Brian Benton (Zoom)
Brian Stewart, Finance Director/CFO
Jeanette Williams, Recording Secretary
d. Approval of Minutes: Meeting of March 10, 2025
A motion was made by Mr. Baker and seconded by Mr. Napier to approve the March 10, 2025
minutes which passed with a unanimous voice vote.
e. Review of FY2024 41h Quarter and FY2025 111 and 2"d Quarter Budget Amendment
Reports
The Finance Director explained the information they had in their packet was three different
quarters of budget amendments: the 4th quarter of FY2024, the 1 S' quarter of FY2025, and the
2nd quarter of FY2025.
He explained the first section in the new format are the budget amendments that affect fund
balance or reserves, which requires Council approval. (These have been previously reviewed by
the board.) The second half of each of the amendments would be adjustments not affecting fund
balance or reserves, only requiring the City Manager's approval.
He noted the information they are looking at includes a lot of project changes and some project
cleanups. Some of the changes include dipping into the reserves for repairs and maintenance.
At the end of FY2024, there were some project closeouts requiring additional funding leading to
the need for the budget adjustment. If money was taken from the reserves for a project, the
project is shown with a negative balance, the appropriation is added and the project will still be
shown in the negative for coding purposes.
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He said at the bottom of each report is a line for the net increase or decrease to the fund balance.
For the 41h quarter of FY2024 (September 30, 2024), there was a net increase of $450,824, then
on the 1 St quarter of FY2025 (December 31, 2024) there was a net decrease to the balance
reserves of a $159,448, and then for the 2nd quarter (March 31, 2025) there is a net increase of
$29,812.
Chair Hall noted this format gives the board information on the fund balances but not enough
information on how the current budget is doing and which direction the budget is going. The
Finance Director explained these were the amendments and adjustments to the original budget.
Chair Hall said previously, the board was provided information on why the items were increased
or decreased in an expenditure report that indicated where the City was percentage -wise.
The Finance Director said he could work with the board on formatting the reports that they would
find easier to review. Mr. Napier said what Mr. Hall and Mr. McGinn were looking for was an
income statement that shows the revenues from all departments, as well as all funds and the
expenditures associated therewith. Mr. Napier said the information presented tonight made sense
if they went back to the original budget and by his review, it appeared that the City was in good
financial shape.
Chair Hall asked the Financial Officer to provide information on the patrol vessel.
The City Manager joined via Zoom and explained the line item for Waste Management included
a transfer of funds to establish the account with funds collected from the tax collector payments
as it started out in a deficit; then within the first two or three months of collections, the solid waste
account was established.
The City Manager also explained the police boat was a $250,000 budgeted item: the City received
a FIND grant for $125,000 and matched that with DST funds however the account cannot be
closed until everything is paid for the vessel.
He reiterated that what was presented was only the budget transfers and what they will see in the
future is a shortened version of the full in-depth report. He offered to have another meeting for
the board to measure the financials in an easy, readable format.
Mr. Garton asked for more information on the grants. He noted that given the budget cuts at both
the federal and state level if there was a contingency plan. The City Manager said the City will
not expend funds until they are awarded and all signatures are on the grant documents; and if the
full award doesn't come through, Council would have to have to identify how much of the
improvements should be made or if the project should be eliminated.
The City Manager stated staff was asking the board to make a recommendation to City Council
to approve the budget amendments which are delayed because of the previous finance director's
retirement and staffs concentration on preparing the next budget.
Mr. Napier said he would like to see an income statement as well. Mr. McGinn said he has been
advised that they weren't there to change anything that happened within the City and he pointed
out that 50-80% of the items have already been discussed with City Council so as a committee
member when the Council meetings are watched, it makes a big difference. He suggested that
BUDGET REVIEW ADVISORY COMMITTEE
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the board make a recommendation that they accept what has been presented but request to see
more in the future.
Mr. Baker asked if there was an increase of $320,000 to the General Reserve. The Finance
Director explained that at the end of the 4th quarter, there was an increase of $450,008.24; and
then in the current year, 2025 budget, there was a decrease of the $159,448 and then a slight
increase of $29,812 which are changes to the budgeted fund balance but it doesn't change the
actual fund balance in any way.
It was the consensus of the board to request additional information on the budget amendments
going forward.
MOTION by Mr. Baker and SECOND by Mr. McGinn to approve the recommendation of the
FY2024 41" quarter budget amendment as presented to City Council passed with a unanimous
voice vote.
MOTION by Mr. McGinn and SECOND by Mr. Garton to approve the recommendation of the
FY2025 1st quarter budget amendment as presented to City Council passed with a unanimous
voice vote.
MOTION by Ms. Jacob and SECOND by Mr. McGinn to approve the recommendation of the
FY2025 2nd quarter budget amendment as presented to City Council passed with a unanimous
voice vote.
Announce Next Meetina Date of Julv 21, 2025
It was determined that Mr. Baker, Mr. Napier and Chair Hall would not be available for the July 21
meeting. Mr. McGinn said he could participate by Zoom.
In response to the question of moving up the meeting, the City Manager said staff could push it
back a week to give time to prepare the budget for the meeting. He offered to review the calendar
and get back in touch with the board members.
g. Being no further business, Chair Hall adjourned the Citizens Budget Review Advisory
meeting at 6:49 p.m.
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