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HomeMy WebLinkAbout08-27-2025 CC AgendaCITY OF SEETIA N HOME OF PELICAN ISLAND CITY COUNCIL REGULAR MEETING AGENDA W EDNESDAY, AUGUST 27, 2025 - 6:00 PM CITY COUNCIL CHAMBERS 1225 MAIN STREET, SEBASTIAN, FLORIDA ALL AGENDA ITEMS MAYBE INSPECTED IN THE OFFICE OF THE CITY CLERK OR ON THE CITTS WEBSITE 1. CALL TO ORDER 2. MOMENT OF SILENCE 3. PLEDGE OF ALLEGIANCE - Led by Council Member Dodd 4. ROLL CALL 5. AGENDA MODIFICATIONS Modifications for additions require a unanimous vote of City Council 6. PROCLAMATIONS. AWARDS. BRIEF ANNOUNCEMENTS Presentations of proclamations, certificates and awards, and brief timely announcements by Council and Staff. No public input or actions under this heading. Proclamation Honoring the Students of Sebastian Charter Junior High School for Their Excellence at the Future Business Leaders of America National Leadership Conference Brief announcements: Monday, September I - City Hall will be closed for Labor Day Thursday, September 11 - Patriot Day - 8:30am at Veterans Memorial in Riverview Park Saturday, September 13 - Touch and Tour Open House Event - IOam to 2pm at City Hall Complex Saturday, September 20 - International Coastal Cleanup - 9am to Ham - Meet up at Riverview Park or Main Street Boat Ramp or Moore's Point (North Sebastian) (772) 226-0133 for more info Saturday, October 4 - Sebastian Kids Fest - l0am to 4pm in Riverview Park 7. PUBLIC INPUT The heading on Regular Meeting agendas "Public Input"provides and opportunityfor individuals to bring NEW INFORMATION OR REQUESTS TO CITY COUNCIL NOT OTHERWISE ON THE PREPARED AGENDA. Individuals are asked to resolve matters with staff prior to meetings. Individuals are asked to provide copies of materials for Council one week prior to the meeting if they intend to refer to specific material. City Council will not debate an issue during Public Input but may by consensus direct a Charter Officer in regard to the item if necessary or place a requested item on a future agenda. 8. CONSENT AGENDA All items on the consent agenda are considered routine and will be enacted by one motion. There will be no separate discussion of consent agenda items unless a member of City Council so requests; in which event, the item will be removed and acted upon separately. If a member of the public wishes to provide input on a consent agenda item, he/she should request a Council Member to remove the item for discussion prior to start of the meeting or by raising his/her hand to be recognized. pgs 5-39 A. Consider Draft July 16, 2025, and July 17, 2025, FY 2025-2026 Budget Workshop Minutes Staff Report 07-16-2025 Budget Workshop Minutes 07-17-2025 Budget Workshop Minutes pgs 40-48 B. Consider Draft July 23, 2025 City Council Minutes Staff Report July 23, 2025 City Council Minutes pgs 49-51 C. Alcohol Beverage Approval - Kenny Family Staff Report Kenny Family Application & Receipt pgs 52-54 D. Alcohol Beverage Approval - Sebastian Fitness / Micki Discepolo Staff Report Sebastian Fitness Application & Receipts.pdf pgs 55- E. Consideration of a purchase order for Alan Jay Automotive Management Inc., in the 140 amount of $33,019.00 to purchase a 2026 Nissan Frontier King Cab for the Building Department and provide authorization to the City Manager or designee to execute. Staff Report Procurement Justification Alan Jay Automotive Management, Inc. Quote National Auto Fleet GroupaETms Sourcewell Cooperative Contract #032824-NAF National Auto Fleet GroupaEms Sourcewell Cooperative Contract #091521-NAF 9. COMMITTEE REPORTS & APPOINTMENT City committee reports and Council Member regional committee reports. No public input or action except City committee member nominations and appointments under this heading. 10. PUBLIC HEARINGS pgs 141- A. First Reading of Ordinance 0-25-13 — Establishing a Retirement Plan and Trust for the 241 General Employees of the City of Sebastian, and to Set the Date for Second Reading on September 10, 2025. Staff Report Ordinance No. 0-25-13 Business Impact Analysis 0-25-13 Plan Adoption Agreement City of Sebastian GE Plan Trust 2 FMPTF DB Plan Document Amended and Restated 9.21.2023 Trust Joinder Agreement pgs 242- B. First Reading of Ordinance 0-25-14 — Establishment and Creation of The Board of 248 Trustees for the Retirement Plan and Trust for the General Employees of the City of Sebastian, and to set the Date for the Second Reading on September 10, 2025. Staff Report Ordinance No. 0-25-14 Business Impact Analysis 0-25-14 11. UNFINISHED BUSINESS 12. NEW BUSINESS pgs 247- A. Consideration of proposed FY 25-26 Sebastian Municipal Golf Course Rate Adjustments 251 Staff Report Proposed Rates FY25-26 Resolution No. R-15-07 pg 252 B. Consider Holding One Council Meeting in November and Rescheduling the December Council Meeting Dates Staff Report 13. CITY ATTORNEY MATTERS 14. CITY MANAGER MATTERS 15. CITY CLERK MATTERS 16. CITY COUNCIL MATTERS Mayor McPartlan Council Member Nunn Council Member Dodd Vice Mayor Jones 17. ADJOURN(All meetings shall adjourn by 9:30 pm unless extended for up to one half hour by a majority vote of City Council). NO STENOGRAPHIC RECORD BY A CERTIFIED COURT REPORTER WILL BE MADE OF THE FOREGOING MEETING. ANY PERSON WHO DECIDES TO APPEAL ANY DECISION MADE BY THE CITY COUNCIL, BOARD OR AGENCY WITH RESPECT TO ANY MATTER CONSIDERED AT THIS MEETING OR HEARING WILL NEED TO ENSURE THAT A VERBATIM RECORD OF THE PROCEEDINGS IS MADE, WHICH RECORD INCLUDES THE TESTIMONY AND EVIDENCE UPON WHICH THE APPEAL IS TO BE HEARD. (F.S.286.0105) IN COMPLIANCE WITH THE AMERICAN WITH DISABILITIES ACT (ADA) OF 1990, ANYONE WHO NEEDS A SPECIAL ACCOMMODATION FOR THIS MEETING SHOULD CONTACT THE CITY ADA COORDINATOR AT 388-8226 — ADA@CITYOFSEBASTIANORG AT LEAST 48 HOURS IN ADVANCE OF THIS MEETING H Regular City Council Meetings Public input is ALLOWED under the headings: • Consent Agenda • Public Hearings • Unfinished Business • New Business • Public Input Public input is NOT ALLOWED under the headings: • Proclamations, Awards, Brief Announcements (except for individuals giving or accepting proclamations or awards) • Committee Reports and Appointments (except for committee members giving reports and applicants being interviewed for committee appointments) • City Council Matters • Charter Officer Matters • Council may, by majority vote, call upon an individual to provide input if desired. Workshops and Special Meetings Public input is limited to the item on the agenda Time Limit Input on agenda items where public input is permitted on agendas is THREE MINUTES; however, City Council may extend or terminate an individual's time by majority vote of Council members present. Input Directed to Chair Speakers shall address the City Council IMMEDIATELY PRIOR TO CITY COUNCIL DELIBERATION of the agenda item and ALL INPUT SHALL BE DIRECTED TO THE CHAIR, unless answering a question of a member of City Council or City staff. Individuals shall not address City Council after commencement of City Council deliberation on an agenda item after public input has concluded, providing, however, the Mayor and members of City Council may recall an individual to provide additional information or to answer questions. Certain Remarks Prohibited Personal, impertinent, and slanderous remarks, political campaigning, and applauding are not permitted and may result in expulsion from the meeting. The Chair shall make determinations on such remarks, subject to the repeal provisions below. Appealing Decisions of Chair Any member of Council may appeal the decision of the Chair to the entire Council. A majority vote of City Council shall overrule any decision of the Chair. Public Input Heading on Agenda The heading on Regular Meeting agendas "Public Input" provides an opportunity for individuals to bring NEW INFORMATION OR REQUESTS TO CITY COUNCIL NOT OTHERWISE ON THE PREPARED AGENDA. Individuals are asked to attempt to resolve matters with staff prior to meetings. Individuals are asked to provide copies of material for Council one week prior to the meeting if they intend to refer to specific material. City Council will not debate an issue during Public Input but may by consensus direct a Charter Officer in regard to the item if necessary or place a requested item on a future agenda. 4 CITY OF SEBASTIAN CITY COUNCIL STAFF REPORT DATE August 27, 2025 TO Honorable Mayor and City Council THRU Brian Benton, City Manager FROM Jeanette Williams, City Clerk Consider Approval of Draft July 16, 2025 and July SUBJECT 17, 2025 FY 2025-2026 Budget Workshop Minutes EXECUTIVE SUMMARY Draft minutes of the July 16 and July 17, 2025 FY 2025-2026 Budget Workshops are presented for review. RECOMMENDATION Request changes if necessary. Consider approval of both sets of minutes. ATTACHMENTS: 1. July 16, 2025 FY 2025-2026 Budget Workshop 2. July 17, 2025 FY 2025-2026 Budget Workshop FUNDING SOURCE: Expenditure required Amount Budgeted: Funding source N/A N/A N/A Additional Funds Needed: $ 0.00 CITY OF Sf J3ASTJ AN lop HOME OF PELICAN ISLAND SEBASTIAN CITY COUNCIL FY 2025-2026 BUDGET WORKSHOP MINUTES WEDNESDAY, JULY 16, 2025 - 9:00 A.M. CITY COUNCIL CHAMBERS 1225 MAIN STREET, SEBASTIAN, FLORIDA Mayor McPartlan called the Budget Workshop to order at 9:00 a.m. 2. A moment of silence was held. 3. The Pledge of Allegiance was recited. 4. ROLL CALL Mayor McPartlan Vice Mayor Jones Council Member Dodd Council Member Nunn Also Present: City Manager Brian Benton City Clerk Jeanette Williams 5. BUDGET OVERVIEW BY CITY MANAGER The City Manager welcomed everyone and thanked the Finance Department for all of their hard work on this budget, especially the Assistant Finance Director Jen Smith for getting the proposed budget document finalized. The City Manager said the proposed budget does show a deficit in the general fund of $943,178 based on the current millage rate of 3.1955. The discussions will allow staff to receive feedback from City Council to finalize the millage rate to present to the Citizens Budget Advisory Review Board on Monday, July 21 and then back to Council on July 23. The millage rate will need to be set at the July 23 meeting to send to the property appraiser. He said the budget has a few unknowns such as the police and supervisor union negotiations and property and liability insurance amounts. He said the health insurance would only increase 7% based on the contract the City entered into last year. He said the dental has a decrease and the vision will have a nominal increase. The possible change in the employee retirement account is also an unknown. The withdrawal amount is currently included as well as the 9% contributions for employees. 6 FY 2025-2026 Budget Workshop July 16, 2025 Page 2 He said there were three options: continue to contribute to the CWA; contribute to hourly employees as the City does for salaried employees with Mission Square; or develop a defined pension plan similarly to the police pension plan. He said the last item to consider is a Notice of Intent to Proceed from the Florida East Coast (FEC) Railway for doing rail work on the Barber Street and Schumann Drive crossings for deteriorating conditions. The proposed budget does not include funding for this and based on agreements dated from 1984 and 1959, the cost of the crossing maintenance is the responsibility of the City. The proposed cost for Barber Street is $232,818.12 and the proposed cost for Schuman Drive is $90,548.30 with a total proposed cost of $323,366.42 to address the concrete panels that are in between the tracks. He said staff was in discussions with them and we are looking at Local Option Gas Tax or Discretionary Sales Tax. He said FEC could close the railroad down if the City doesn't pay. He said the budget shortfall now goes up $1.2M. The estimated certified property values provided by the Indian River County Property Appraiser for the City in fiscal year 2026 is $2,494,261,853 which equates to an 8.4% increase in collections of ad valorem taxes. Any increase to the millage rate would be in addition to the 8.4%. If the City goes above the 3.1955, that would be an addition to the 8.4%. Some millage rate options include keeping it the same at 3.1955; or going to the rolled back rate of 3.0148; or going with 3.3305 which brings in an additional collection of $761,000. The departments have really reduced their operating costs and while going to a higher millage rate can be considered, it will only mean that the City can continue to operate the way it has for the past two years. The proposed Fiscal Year 26 General Fund Budget is proposed to increase by $734,691 compared to the amended Fiscal Year 2025 and does include one full time position reduction in the City Clerk's office due to reorganization. Staff continues to move the City forward with the vision set forth by City Council. The City Manager went over the grants that have recently been applied for and pointed out that if the City doesn't apply for the grant, another City will get that money. 6. DEPARTMENT PRESENTATIONS A. Citv Manaaer / Non -Departmental He said the City Manager's overall budget has a decrease of 3% with no capital requests but there is $2,450 included for the newly proposed Citizens Academy. He explained that while the Special Projects Director/City Engineer's salary comes out of his budget, there are two stormwater conferences that will continue to be paid from the Stormwater Line Item. 7 FY 2025-2026 Budget Workshop July 16, 2025 Page 3 He shared a list of R & R funding that covers unexpected expenses. He noted these funds are typically spent later in the year. He said in reserves, there is the additional fireworks tariff and a percentage for employee payouts. He said there were some positives from projects that came in under budget that will go back into the Reserve Account. The proposed FY 26 General Fund Budget is proposed to increase by $734,691. compared to the amended FY 25 budget, a 3.9% increase. He noted that quite a few operating increases are related to objectives in the Strategic Plan that will be discussed during those department presentations. Staff continues to apply for grant funding so projects continue to progress with minimal impact to the General Fund. He distributed a list of the grants noting the City has been awarded about $5M and it has cost the City $107K to apply. The City Manager said there are about 76 employees covered by the retirement plan that is in trouble right now. He said the City continues to fund 9% for the hourly and salaried employees. Citv_ Manaaer's Office He said his budget has a decrease that doesn't include any kind of an increase for him at this time. He doesn't have any capital requests. There is an increase in the operating budget on page 17 to help kick off a Citizens Academy. On page 19, the increase was explained for his new assistant. He said travel and per diem was cut by eliminating some conferences and training. The promotional line was increased to accommodate the Citizens Academy and the increased number of sympathy messages needed. He said a new management software will help keep track of all of the projects in one location and his training budget was reduced by moving two stormwater conferences to the Stormwater Division. Non-Deaartmental He said this was increased due to the CWA pension withdrawal payment which will need to continue for the next 20 years and depending what Council decides to do in the future, there is an earmark of 9% for the continuation of Mission Square or a different plan. Extensive discussion followed on changing the retirement plan by October 1 with the Finance Director, Brian Stewart. The City Manager said the police retirement insurance was reduced due to an officer leaving the system. There is also a reduction in the health savings account, unemployment, additional compensation, and other contractual services line items. Water and sewer indicate a 5% increase. He said he did buy some permanent float decorations to save money on the parade expenses. He placed more money in the 8 FY 2025-2026 Budget Workshop July 16, 2025 Page 4 annual awards banquet line item to have a bigger venue. And finally, the Florida League of Cities increased their annual dues which is paid out of non -departmental. Mayor McPartlan called for a break at 10:31 and upon return at 10:37, all members were present. B. Stormwater Deaartment The City Manager stated the deficit in the 2026 budget is $160,773 but at the amended 2025 budget, there was a deficit of $102,000 that is projected to put some funds back into the stormwater reserve leaving us with an overage of $160,773 that will cover the deficit. Lee Plourde, Stormwater Director, said they will see some maintenance costs for the stormwater pumps. He plans to continue with the roadway paying and drainage improvements to zones 4,5 and 6. He also plans to continue developing field maps, slip -lining, ditch and canal trimming. The City Manager said the total revenues are a little over $2.8M and as of today there is $160,773 being used from reserves for a total budget of $3M. The Stormwater Director said they do have three operators that can retire at any moment so there is some succession training happening. He described the equipment he plans to purchase in the upcoming year. The City Manager said the master stormwater plan called for two vac trucks. They still have a vac truck that is used 1-2 weeks a month and then it goes into the shop for repair. A new truck is planned to be delivered this summer. Previously staff thought to refurbish the old truck but it was decided they could use one full size truck and a vac trailer to get the job done. The Stormwater Director said they plan to move to the upper Stonecrop drainage with culvert pipes as opposed to the armoring. The City Manager said he gave the division $50,000 to do a fifth ditch cut but there isn't enough to do the whole City so this will be a test area. To help with the funding, staff will be mowing the right of ways and vacant lots to reduce the contractor cost. The Stormwater Director said there will be some training costs. He said all of the concrete is being recycled for rip rap. He has an employee that is a heavy equipment operator by trade that he would like to reclassify. He stated he would like to purchase a shoring box to protect staff. Council Member Dodd and Vice Mayor Jones said they would be in favor of funding the deficit out of reserves because of the division's great progress. Mayor McPartlan agreed, saying they can see the moving water when it rains. 0 FY 2025-2026 Budget Workshop July 16, 2025 Page 5 C. Roads and Maintenance For Fiscal Year 2026, the Public Works Director said staff plans to continue with roadway and pot hole maintenance, inspection of sidewalks, repainting stop signs and stop bars, widen roadway approaches and aprons; and mowing the vacant lots. They will pave roads as needed, continue bridge inspections, and do the PCI this year. The division plans to purchase a breaker hammer for the concrete, a midblock crosswalk for Powerline Road, and continue sidewalk replacement. The City Manager said staff is watching out for driveway culverts that might need to be repaired as they proceed with the road repaving. He said staff is planning to apply for a Safe Streets for All Grant and seeking reimbursement, going back 3 years for road preservation grants. The City Manager stated this budget is about $17K less than last year's budget. The meeting recessed as 12:02 p.m. for lunch and all member returned at 12:52 p.m. D. Fleet Manaaement The Public Works Director said they plan to continue to update and enhance the work order and asset management system. He hopes to have the reclassification of the heavy equipment operator happen to service all of the vehicles. The City Manager said the wage and insurance cost is the largest increase in this division. The Public Works Director said in the past year, inspections were not in the line -item budget but they have been completed and will now bean annual recurring cost. Anew a/c unit is needed along with a hose assembly. He said the heavy equipment technician saved $3,150. The City Manager said a lot of the heavy equipment is in stormwater so this line might be changed from stormwater to general fund to help fund the technician's salary. E. Golf Course The City Manager said they do have revenues exceeding expenses however, he would like to continue to have the discussion to build a fund at the golf course for capital projects. If they continue to get by on the $15,000 annual profit they will be in trouble when it comes to capital items such as a new golf cart building and the front nine greens. He said last year the daily and membership rates were increased and now is an opportunity to find a medium of increasing the numbers of rounds vs. increasing revenue. 10 FY 2025-2026 Budget Workshop July 16, 2025 Page 6 He said general revenues are projected at a 3.8% increase and as they get to the expenses, there is an increase of $27,172 which is a 2.77% increase in the budget. Greg Gardner, Golf Pro, said the annual memberships and club storage should stay the same but on page 3, the comparison does show some room for increases. Council Member Dodd said they could go up close to the Sandridge rates and he asked if that would reduce the play. The Golf Pro said the City did receive a lot of play and broke a record in March 2025. Council Member Dodd said if they approached Sandridge rates and it reduced the play in March it would be beneficial to the course. Council Member Dodd said he didn't see how they could concentrate on paying back the debt to the City and create a capital improvement fund at the same time. He asked if they should pay back the debt knowing they will have to take a loan again to do a capital improvement. One of the capital items is the replacement of the cart barn to which the City Manager said staff is showing the replacement scheduled for 2027. The City Manager said staff would bring the daily rates increase to them later this summer. The Golf Pro reported that the sales in the pro shop did go down somewhat. He said the contractual services such as internet, electric, postage and departmental supplies are pretty set numbers. He said a considerable expense is the airport rent and insurance. He is trying to hold the line on repairs and maintenance in the buildings. The City Manager said the general fund loan is $500,000 and the Building Fund loan was $559,684. During last year's budget workshop, it was decided that they should decide on an annual basis if they should forego the $500,000 loan. Council Member Dodd said he would be willing to forego the loan if they would begin a capital improvement fund. The City Manager said staff was planning to make a payment from the 2024-2025 budget and do it again at the end of the fiscal year. Council Member Nunn said he didn't think they should put the golf course before what is needed in the general fund right now. The City Manager said they would be using golf course funds in the amount of $240,000 which includes the $15,000 annual profit. Vice Mayor Jones was excused from the meeting at 1:37 p.m. 11 FY 2025-2026 Budget Workshop July 16, 2025 Page 7 Council Member Dodd noted they could do the cart barn with existing funds. The City Manager said staff does push things off to see if they can get by. Council Member Dodd said he would like to pay $100,000 a year until the loan is paid off. The Golf Pro said the golf course maintenance is set with the renewal of the contract. The City Manager explained that $26,650 was used to air inject the greens. The Golf Pro said they are keeping $50,000 in the capital line item in case something comes up such as a fertigation system that they might want to try. He said golfers like to see things continually improve. The Golf Pro said the carts are set for the next year. The City Manager said he would look at moving up the cart barn; bring back a daily rate increase in a couple of months and continue to make loan repayment to the general fund. Solid Waste Collection The City Manager said he received the latest report on the collection which shows an overage of $86,000 which includes the franchise fee and commercial collection so he will have funds for first payment for the next fiscal year. F. Community Development / CRA Alix Bernard, Community Development Director, said the biggest expense will be for consultants and other contractual services to rewrite the land development code that hasn't been updated since 2000. The estimate is $170,000 that will be split over 21h year period. The City Manager said the budget for Earth Day was increased to $2,500; an additional $2,500 was funded for anything that might come from the action plan. Council Member Dodd called for a break at 2:05 pm and upon return at 2:09 pm, Council Members Dodd, Nunn and Mayor McPartlan were present. The City Manager said four pedestrian crossing signs will be installed along Indian River Drive; there will be a grant match to design the Working Waterfront docks. There are also funds dedicated to move forward for the plan at Fisherman's Landing. He also said there is money for the North Central Avenue Catalyst Site that will transfer over the Fisherman's Landing site. 12 FY 2025-2026 Budget Workshop July 16, 2025 Page 8 The Community Development Director said the budget is standard as last year with funds earmarked for Fa4ade, Sign and Landscape Grants, sewer connections and other contractual grant writing. The City Manager said there have been some discussions with FDEP regarding sewer connections. He noted that the County has made an agreement to waive connection fees but still charge the impact fees but the state will pay for impact fees but not connection fees so there is an amount included for impact fees. G. City Clerk Jeanette Williams, City Clerk, said the City Council budget is the same as the current year. She said the City Clerk's budget will also stay the same with the exception of travel and training for her new assistant and the stand-alone election. H. City Attornev Jennifer Cockcroft, City Attorney, said her budget reflects an increase in the contractual services given the recent lawsuit activity along with the special magistrate expense. Cemetery Richard Blankenship, Parks and Recreation Director, said an additional irrigation pump will be added next year, they're designing a new administration building and they're in the process of developing an on-line mapping system so that individuals may look up their loved ones in the cemetery. The capital purchases will include a dump trailer, the irrigation pump, and a zero -turn mower. Council Member Nunn was excused from the meeting at 2:40 p.m. Vice Mayor Jones had rejoined the meeting at this point. Parks and Recreation Richard Blankenship, Parks and Recreation Director, said they plan to dredge the Main Street Boat Ramp, complete phase 1 of Riverview Park, and they expect to host more sports programs. His capital projects include the replacement of the park's restroom doors and the allotments to make playground improvements as identified by the parks committee. 13 FY 2025-2026 Budget Workshop July 16, 2025 Page 9 He said improvements are planned for Hardee Park, Schumann Park, and the Friendship Park Tennis Courts. He said once the shoreline is stabilized in Riverview Park the design can begin on the swing and bench park that will include ADA access to the park. The Parks and Recreation Director said to combat the budget cuts, his staff has implemented the See My Legacy Program to help sponsor some of the programs that might have needed to be cut. Facilities Maintenance Richard Blankenship, Parks and Recreation Director, said he planned to replace the roof of the Police Department in addition to the Art Center. He said his budget also included the purchase of another vehicle; funding to replace air conditioning units as needed; and the hardening of the roof over the dispatch center. He said one item they might notice is the considerable expense for the maintenance of the AED's located throughout the City. The City Manager advised Council that was all of the departments scheduled for July 16 and invited everyone to return the following day for the remaining departments. 7. Being no further business, Mayor McPartlan adjourned the workshop at 3:22 p.m. Approved at the August 27, 2025 Regular City Council meeting Mayor Bob McPartlan ATTEST.• Jeanette Williams, City Clerk 14 CITY OF Sfj3ASTIAN00 *IliHOME OF PELICAN ISLAND SEBASTIAN CITY COUNCIL FY 2025-2026 BUDGET WORKSHOP MINUTES WEDNESDAY, JULY 17, 2025 - 9:00 A.M. CITY COUNCIL CHAMBERS 1225 MAIN STREET, SEBASTIAN, FLORIDA Mayor McPartlan called the Budget Workshop to order at 9:00 a.m. 2. A moment of silence was held. 3. The Pledge of Allegiance was recited. 4. ROLL CALL Mayor McPartlan Vice Mayor Jones Council Member Dodd Council Member Nunn Also Present: City Manager Brian Benton Recording Clerk Bridget Eakins 5. BUDGET OVERVIEW BY CITY MANAGER The City Manager greeted everyone and immediately began budget presentations. 6. BUDGET PRESENTATIONS A. Police Department The City Manager initiated the discussion on the Police Department budget, beginning on Page 45 of the FY2025-2026 Annual Budget Draft. The City Manager stated that the proposed FY26 budget for the entire Police Department totals $9,077,500, marking a 12% increase over Fiscal Year 2025. This increase, the City Manager explained, amounts to $968,925. Regarding the budget allocation by category, the City Manager noted that Personnel Services account for the largest percentage, with an increase of $858,830 and operating expenses are projected to increase by a small amount of $4,040. He said capital outlay totals 15 FY 2025-2026 Budget Workshop July 17, 2025 Page 2 were $106,055. The cost allocation by division, as presented by the City Manager on page 45 of the budget draft, breaks down as follows: police operations at 57%, investigations at 18%, police administration at 12%, dispatch at 10%, and code enforcement at 3%. Chief Acosta presented the police administration budget, which encompasses his executive assistant, the records department, and the part-time quartermaster. Chief Acosta explained that $2,700 of the overall $4,000 operating expense increase for the entire department is specifically attributable to accreditation services, including the costs associated with housing assessors and related fees. Chief Acosta informed that repair and maintenance (R&M) of Buildings decreased from $2,500 to $1,500, and R&M of office equipment saw a reduction from $23,000 to $13,115, as some items were appropriately reallocated to other budgets. He said departmental supplies decreased from $7,000 to just over $6,000, and small tools and equipment went down from $1,600 to $1,000. Chief Acosta explained that training and education increased from $6,000 to $8,000, partly to accommodate Public Information Officer (PIO) training for the communications and social media manager. Chief Acosta also confirmed that the captain's position was reclassified to a lieutenant's position in the previous year's budget as part of a reorganization. Chief Acosta provided an update on patrol staffing, noting that there are currently 25 active officers out of 31 budgeted positions in patrol. He explained that three officers are awaiting transfer to detective positions due to one detective retiring and two existing vacant detective spots, which will subsequently result in three officer openings in patrol. Additionally, Chief Acosta stated that five officers are currently in training, and one recruit is in the academy. The City Manager recalled the FY24 budget discussion, where two officers were added, bringing the total to 31. Last year, the Council discussed budgeting for 33 officers to ensure even shift distribution, but only 31 FTEs were funded. The City Manager reiterated that the department is still operating with 31 budgeted positions and would approach the Council for additional funding if opportunities arise to fill the two additional positions (to reach 33) with experienced officers. Regarding the overtime budget, which is proposed at $275,000 for FY26, an increase from $240,000 in FY25, Council Member Dodd questioned its necessity given the unfilled positions. Chief Acosta and the City Manager clarified that overtime is essential to cover current vacancies, special events, and operations that necessitate additional officers, such as arrests extending beyond regular shifts or targeted speeding enforcement. They said overtime for outside details is not included in this budget, as it is covered by vendors. The City Manager explained that the increase in the overtime budget is primarily attributed to anticipated pay increases, which will affect the cost of overtime hours. The City Manager emphasized that overtime is meticulously tracked and not disbursed without justification. Chief Acosta confirmed that Sergeants possess the authority to approve overtime, with accountability extending up to Lieutenants. Council Members Dodd and Nunn expressed a desire to fund 33 officers if that is indeed the number required for full manning, even if positions are not immediately filled, to prioritize public safety. The City Manager stated he 16 FY 2025-2026 Budget Workshop July 17, 2025 Page 3 wanted to maintain the current approach of not budgeting for positions not expected to be filled within the fiscal year to avoid holding unneeded funds, while assuring the Council of readiness to request funding for experienced officers should such opportunities arise. Chief Acosta detailed the proposed capital purchases for the Police Department. He stated that the North Gate is slated for an upgrade to an electric gate to facilitate easier access for larger vehicles, including trailers, boats, and the armored vehicle. A carport is planned, Chief Acosta explained, to protect wrapped vehicles, armored vehicle windows, and the boat from prolonged sun exposure. He said tasers are on an ongoing replacement schedule of five per year and noted patrol rifles are also scheduled for replacement due to the previous vendor going out of business and general wear and tear. Chief Acosta listed Night Vision Binoculars and an SRT Rifle Shield, which were previously cut from the budget, have been pushed forward to this year. He said the department is also requesting Flock Safety 911 software, a new system requested by officers for dispatch and radio, enabling real-time listening to 911 calls; Chief Acosta clarified that while from the same company as Flock cameras, it is a distinct system for dispatch. Chief Acosta further explained that the majority of SRT Gas Masks are being replaced due to being outdated and deteriorated by heat. Chief Acosta added SRT Rifles are being switched out sooner due to their high liability and previous vendor issues, with 10 designated for patrol and 10 for SRT. Chief Acosta explained that the capital outlay, funded by the discretionary sales tax, includes annual vehicle purchases, body cameras, and the CAD and RMS system maintenance fee. He reported that old vehicles are being aggressively sold, and the backlog from previous years has been cleared. Council Member Dodd raised concerns regarding potential increases in vehicle costs due to market conditions, prompting a suggestion for quicker ordering. Chief Acosta outlined several changes in the Police Operations operating expenditures. He noted that the repair and maintenance (R&M) of vehicles budget decreased by $2,000, attributed to the department's newer fleet. Chief Acosta explained that R&M of radios doubled from $2,000 to $4,000 due to a tripling of labor costs from their vendor, Communications International. He noted canine expenditures increased by $1,500 due to rising costs, and departmental supplies saw an increase from $66,000 to $83,000, primarily driven by higher ammunition costs and the necessity to purchase more for training with new firearms. Chief Acosta added small tools and equipment decreased from $25,000 to $7,000, as new firearms and sights were purchased this year. Chief Acosta concluded that training and education costs increased due to the gun range raising fees. Chief Acosta provided an update on the investigations division, which has five investigators/detectives assigned. He stated that one detective is retiring, creating two current vacancies that will be filled by transferring three officers from patrol. Chief Acosta noted that there is no capital outlay planned for investigations this year. Regarding the operating expenditure changes on page 58, Chief Acosta explained that professional 17 FY 2025-2026 Budget Workshop July 17, 2025 Page 4 services decreased by $3,000-$4,000, a fee established by the crime lab based on population and the number of submissions. Internet access decreased significantly from $3,000 to $465, as Chief Acosta stated that detectives will now utilize cell phone hotspots instead of laptop internet. He added that R&M of office equipment increased from $16,000 to $19,000, due to software being transferred from the administration budget and R&M Radios increased from $500 to $2,000, reflecting a labor cost increase from Communications International. Lastly, Chief Acosta indicated that dues and memberships increased from $700 to $1,350, as photo lineup software was moved from operations to investigations. Chief Acosta reported that the dispatch division is fully staffed, as are records (which falls under the administration budget). Chief Acosta noted that there is no capital outlay planned for dispatch this year. Reviewing the operating expenditure changes on Page 62, Chief Acosta explained that R&M office equipment increased from $20,000 to $30,300 due to an increase in Criticall software. Chief Acosta also stated that R&M of radios saw an increase due to labor costs. Departmental supplies, however, decreased due to a chair purchase made this year, Chief Acosta concluded. For the Code Enforcement Division, Chief Acosta highlighted a $16,000 fee for new software as a capital outlay. He explained that this software is a key component of the strategic plan, designed to enhance citizen access to code enforcement activities by allowing them to log in, submit reports, and track the status of their complaints. Chief Acosta added that it will also track cases through the entire enforcement process, including hearings and decisions. Council Member Dodd noted a significant increase in salaries for code enforcement. The City Manager clarified that this represents an increase of approximately $36,000 from the amended budget, primarily due to a code enforcement specialist position being filled and potential pay adjustments for the new hire. Regarding operating expenditure changes on Page 65, Chief Acosta explained that other contractual services increased from $550 to $900 due to higher court reporter fees and travel and per diem increased from $500 to $800 to accommodate staff training. He stated postage saw a substantial increase from $38 to $4,500, reflecting both increased costs and volume. Chief Acosta noted departmental supplies rose from $800 to $1,580, largely due to marketing supplies necessary for the strategic plan. Chief Acosta concluded that training and education costs also doubled due to the code enforcement specialist training. Chief Acosta expressed confidence that current staff can train new hires, particularly with the Lieutenant's oversight and close collaboration with the records department. He believes the current two officers can manage the caseload, and the new software will further enhance efficiency through improved communication. Council Member Dodd raised concerns about the process for repeat offenders, suggesting that current procedures allow offenders to comply just enough to avoid penalties before re -offending. This issue, Council Member Dodd proposed, could be a potential agenda item for a future Council meeting. Council Member Nunn inquired about adding a third position for nighttime enforcement. 18 FY 2025-2026 Budget Workshop July 17, 2025 Page 5 The City Manager indicated that the current workload does not necessitate a full-time nighttime officer but confirmed that plans are being developed for nighttime operations to address specific issues, such as RVs on properties. Council Member Jones expressed appreciation for the department and stated that he believes they are doing a good job. Council Member Nunn remarked that not everyone will be satisfied with every decision, but noted that maintaining a fully staffed department is a strong reflection of leadership. Following the conclusion of the Police Department budget review, the City Manager thanked Chief Acosta and Deputy Chief Wood for their presentation. The City Manager then announced the transition to the Building Department budget, noting that the Finance Department's meeting with the Finance Manager had been moved to after the Management Information Services (MIS) presentation, anticipating a more lengthy discussion for Finance. The City Manager expressed his intention to complete the remaining department reviews before lunch, with Finance closing out the meeting afterward. B. Buildina Department The City Manager commenced the Building Department budget presentation, starting on Page 138. The City Manager highlighted that anticipated revenues for the budget are decreasing to a certain extent, indicating that while building activity continues, it has slowed. He emphasized that the department is anticipating the use of reserves to fund the Building Department budget, explaining that the city has been cited in audits for two consecutive years for holding excess funds in reserves within this department. He said that as a result, reducing this surplus has become a priority, with succession planning and certain software and capital purchases playing a role in this reduction. The City Manager stated that the proposed revenues for FY26 are $1,109,650, representing an increase of approximately 6.4%from the projected figures for the current year, a difference of just over $65,000. He further noted that the budget currently shows expenses in the amount of $1,585,407, an increase of 25% in the budget. The City Manager clarified this increase is largely due to succession planning, including the reclassification of a position, and additional operating expenses aimed at aligning the department's reserves with auditor recommendations. The City Manager then turned the presentation over to the Building Director to elaborate on positions, capital outlay, and the operating budget. The Building Director began by discussing the department's accomplishments this year, particularly in succession planning. He reported the successful implementation of a remote video inspection (RBI) program, seamlessly integrated with their My Government Online building department program. The Building Director explained that this program is proving highly successful, especially for roofing, air conditioning, and some plumbing inspections, with an average of 60 to 80 RBI inspections conducted monthly. He highlighted that roofers 19 FY 2025-2026 Budget Workshop July 17, 2025 Page 6 particularly appreciate the efficiency of RBI, as it allows them to complete portions of a roof and receive timely inspections without waiting for an inspector on -site, thus facilitating quicker progression to the next construction step. Council Member Dodd inquired if an electronic device was used for transmission, to which the Building Director affirmed. Council Member Jones asked if the inspector was in the office during these virtual inspections, and the Building Director confirmed this. The Building Director acknowledged that while connectivity issues occasionally arise, the city's compact size allows them to dispatch a field inspector promptly if an RBI fails. He expressed positive feedback on the program and confirmed its continued use as part of their strategic plan objectives, which the City Manager complimented as a great addition and commended the Building Director for thinking outside of the box. The Building Director added that they had explored several vendors, and this particular system's connectivity proved effective, having been fully installed for about three months. The Building Director further elaborated on succession planning, stating that the department hired another Building Inspector III this year. He emphasized the new inspector's extensive experience and licensed certifications, which are crucial as only licensed personnel can conduct structural, electrical, mechanical, and plumbing inspections. The Building Director explained that obtaining these certifications is a lengthy process involving experience, state approval, and exams. He noted the difficulty in finding multi -certified individuals and expressed hope that this individual would fill significant upcoming retirement vacancies and contribute substantially to the department's succession planning. The City Manager highlighted that this hiring was a reclassification of an existing open position, not a new one, and was expedited to secure the candidate given their availability. The City Manager explained that he and the Building Director had previously discussed succession planning and concerns about departmental experience, formulating a plan to act quickly when a suitable candidate was found. The Building Director then discussed contractual services, noting an extra fund of approximately $78,000 allocated for part-time private provider help, available as a contingency for unforeseen circumstances like injuries, given the necessity of licensed personnel for inspections. He also addressed the virtual inspections, explaining that there is a $20 fee per inspection, which the department is currently absorbing as a service to builders and the community. The Building Director indicated that they might consider adding this cost to permit fees in the future. Council Member Dodd sought clarification on where this cost appeared in the budget, and the City Manager confirmed it was under Other Contractual Services. Council Member Nunn questioned the cost-effectiveness, asking if the $20 fee outweighed the savings in manpower and gas. The Building Director clarified that while there are savings in vehicle use and manpower (as one office -based inspector can conduct multiple virtual inspections compared to field inspectors' travel time), the primary benefit is the service provided. The City Manager acknowledged that the virtual inspections result in a slight financial loss for the city but emphasized the value of the service, 20 FY 2025-2026 Budget Workshop July 17, 2025 Page 7 particularly for homeowners who no longer need to take a second day off work for inspections. The Building Director added that the department's permit fees are among the lowest, at $79 for the entire process of issuing a permit and conducting an inspection, and they are not generating profit from these. He reiterated that the decision not to charge for virtual inspections initially was partly due to the existing excess funds, which auditors had questioned. The Building Directorthen moved to capital outlay, stating the purchase of an HP DesignJet printer/copier for large-scale maps and printing, which will be shared with Community Development. Council Member Dodd inquired if this was included in an increase for R&M office equipment. The Building Director clarified that it was a capital outlay. He also discussed the recently purchased Forerunner software and described it as crucial for floodplain management and mandatory FEMA-required substantial improvement/damage inspections, a process currently lacking a computer -based program. The City Manager confirmed that this software cost $20,000 and was the primary reason for an increase in the R&M office equipment line item, which would not have been fully reflected in the initial budget document, as the purchase was approved recently. The Building Director stressed the software's importance for rebuilding in floodplains and tracking compliance with regulations. Council Member Jones inquired about permitting and turnaround times, specifically the state -mandated seven-day period for certain projects. The Building Director confirmed that the department is not behind and is keeping up, especially with the new hire, as three people are now dedicated to plan review full-time, with field inspections as needed. Council Member Nunn stated that in his five and a half years, every complaint he received about delays was attributed to contractors failing to submit proper documentation or being unlicensed, never the city. The Building Director affirmed that the department receives similar calls and that most of their processes are now online, making them virtually paperless through the My Government Online portal. He also mentioned adding another clerk this year for scanning old documents to achieve full archiving and paperless operations. Council Member Nunn praised the virtual inspections as a benefit for everybody. The City Manager thanked Wayne for his presentation. Following the conclusion of the Building Department budget review, the City Manager announced the transition to the Airport Department budget, introducing the Airport Manager to present on revenues and expenses. The City Manager called for a break at 10:19, and upon return at 10:33, all members were present. C. Airport The City Manager highlighted that total revenues projected for FY26 are $861,315, representing an increase of approximately 6.2% over the previous year. 21 FY 2025-2026 Budget Workshop July 17, 2025 Page 8 The Airport Manager then presented on the airport's accomplishments over the past year. He reported the completion of three new medium -square hangars, which are almost ready for tenants. The Airport Manager stated that the department is still evaluating the five remaining properties to determine if they should be filled before bringing in tenants, to avoid creating a large construction site. Hangar D, the Airport Manager noted, had its north and south office build -outs completed, and a majortenant is now operating there, servicing aircraft and conducting simulator training. He further informed the Council that the automated weather system has been updated with brand new sensors, tracking information that uploads to the National Network, thereby enhancing safety and ease of access to local information for pilots. The Airport Manager also mentioned that the design phase for the new taxiway golf, located on the northwest side of the airport, has been completed, and the project went out to bid, with results expected that afternoon. Additionally, he said the netting between Hangar D and the golf course has been installed. Looking ahead to the coming year, the Airport Manager outlined the Airport's future plans. He stated that they will begin the design phase for changing the apron in front of the terminal building to gain more parking spaces. The Airport Manager informed that preliminary exhibits suggest an increase from six to at least 12 parking spaces, which will provide more transient parking and opportunities to serve both local pilots and visitors using Sebastian for fueling and temporary storage. He also mentioned an incoming grant for runway 1028, designated for crack repair and sealing. The Airport Manager explained that while runway 1028 is in much better condition than runway 523 (which underwent total rehabilitation last year), this repair and seal coat will postpone any major work for at least two to three years, preventing major projects from occurring too close together. The Airport Manager indicated that once these design phases are complete, they will seek construction funding and grants to build the terminal apron and perform the work on runway 1028. He also looked towards future goals, including the design of the Gulf apron adjacent to the new Gulf taxiway on the northwest corner, and the design of the infrastructure for that same area, which will involve bringing in roads and related utilities along the fence line. This, the Airport Manager explained, will allow for the delineation of parcels in that area, enabling ground leases and facilitating building by the city or prospective tenants to increase airport revenues from rent and operations. Regarding capital projects, the Airport Manager detailed the city's share of some of these initiatives for the current year. He said for designing the golf apron, the City's match to the grant is $50,000 and the construction of the terminal apron expansion, an FAA grant was secured, reducing the City's exposure cost to just under $28,000. The Airport Manager stated that the construction of taxiway golf, is just shy of $198,000, funded by two grants (an initial grant and an amendment), with construction now able to commence as the second funding is in hand. He noted a $50,000 design phase for the Northwest access this year, aimed at laying out the infrastructure and road. 22 FY 2025-2026 Budget Workshop July 17, 2025 Page 9 The Airport Manager then discussed the various line items within the operating budget. He noted that "other contractual services" increased by just under $1,000, primarily due to price increases for services like fire alarm monitoring. He mentioned a brief reduction in contractual services for the Automated Weather System due to its one-year maintenance plan being absorbed by this year's renovation and being under warranty, with costs expected to return next year. Other contractual services, the Airport Manager explained, are confined to items such as backflow testing, fire extinguishers, and storage tank permits and inspections. Under equipment leases, the Airport Manager stated that due to the dependability of their equipment, they reduced this line item from $1,000 to $750, hoping it won't be needed but keeping it as a contingency. Regarding buildings, the Airport Manager clarified that the amended budget for R&M on buildings, at $43,200, was a one-time increase for emergency air conditioner repairs at the terminal building, which is now complete. He noted that they need to monitor aging building issues like carpeting and roof work to prevent larger future costs. Council Member Jones inquired if the emergency operations room in the terminal building was included in this work. The Airport Manager responded that they can now access it minimally, and while he is not seeing technical changes, the room has been cleaned, and bids are in for carpeting to make it more presentable. The Airport Manager continued, stating that operating equipment decreased by $3,000 to $29,000 due to a fortunate lack of breakdowns. He reported an increase in R&M for fencing due to concerns about large stretches of security fence where galvanizing has failed and the fence is rusting. The Airport Manager explained that they plan to piece in new netting as needed and perform gate motor upgrades, aiming for one per year to ensure functionality. He confirmed that each gate access point has two cameras (one for the driver, one for the license plate), and while the keypad entry system works well, they are using a separate grant for camera upgrades and replacements at strategic locations to improve clarity and definition, as some older cameras were antiquated. Council Member Jones asked if the new cameras would have infrared for nighttime viewing, and the Airport Manager confirmed their nighttime capability and the shift from motion -sensor activation to constant recording where possible to avoid missing events. The City Manager highlighted that the fencing repairs are proactive measures, identified during annual inspections, to address issues before they escalate. The Airport Manager added that R&M for runways and taxiways saw a $500 drop, as the new runway and refurbished taxiways are in good shape, and the upcoming repairs and sealing of runway 1028 should reduce major work. This line item also covers weed control and lighting repairs. Promotional activities were completely zeroed out, and gas and oil saw a $900 increase to provide a buffer against fluctuating fuel costs due to mowing and operations. The City Manager then highlighted a reclassification recommendation. He explained that when the Airport Manager was initially hired, his role was limited to airport operations, with maintenance falling under the Leisure Services Director's responsibilities. Over the past two 23 FY 2025-2026 Budget Workshop July 17, 2025 Page 10 years, the City Manager has shifted airport maintenance entirely under the Airport Department, making the Airport Manager responsible for overseeing all airport maintenance and facilities. Given the airport's future expansion, the City Manager's recommendation is to reclassify his position from Airport Manager to Airport Director. The City Manager noted that the Airport Manager had additional responsibilities without a pay increase over the past two years and stated that this reclassification is his recommendation for the budget. Council Member Dodd confirmed that this reclassification is the reason for the difference in the largest budget totals, to which the City Manager affirmed. Council Member Dodd then raised a general question regarding the Airport Fund, noting that it ends the budget period with approximately $500,000 in remaining funds (Page 195), while the City is currently funding about $230,000 in matching funds for capital improvements from Discretionary Sales Tax (DST). Council Member Dodd questioned whether the Airport's own funds could be used for these matching funds instead of DST, allowing DST to be redirected elsewhere, especially since the Airport is an enterprise zone. The City Manager responded that they could evaluate this possibility and look at potentially removing some funds from DST, though he would be hesitant to pull the full $325,000. Council Member Dodd then clarified his figure was for capital. The City Manager noted that the Airport has approximately $465,000 unappropriated after this fiscal year and agreed to evaluate the suggestion. Council Member Dodd reiterated that the City pays the Airport rent for land use (e.g., pickleball courts) and then uses DST to cover grant matching funds, suggesting the Airport's money could recoup some of these costs. The Airport Manager clarified that the Airport is federally mandated to seek fair market value for land, even when the city is the tenant, though some rates are heavily discounted. He expressed that he does not want to raise rent to balance the other side. The Airport Manager reported that the Airport is currently operating "in the black" and anticipates increased revenues, which will contribute to greater self-sufficiency. The City Manager acknowledged the positive outlook and referred to the recommendation as a great suggestion, noting that adjustments would be considered in future versions of the budget. Council Member Dodd concluded the discussion by expressing appreciation for the work being done at the Airport, describing it as a great asset to the city. Following the conclusion of the Airport Department budget review, the City Manager initiated the Human Resources Department presentation. The City Manager noted that discussions from the previous day had covered benefits related to health insurance, dental, and vision, all falling under the Human Resources Director's purview. He informed the Council that a presentation from the Gearing Group regarding these benefits would be provided at the upcoming Council meeting on Wednesday. 24 FY 2025-2026 Budget Workshop July 17, 2025 Page 11 D. Human Resources The Human Resources Director started by stating that the overall Human Resources budget had not changed significantly, with a total increase of about $5,500. She pointed out that a notable change in operating expenses was the doubling of the employee background testing line item, mainly due to higher costs for physical exams. She explained that Rivers Edge in Sebastian, the medical facility used for employee physicals, has upgraded its office to better serve the city's employees, now handling all drug testing, including random tests. The Human Resources Director added that if an employee is involved in a vehicle accident, they are directed to this facility for drug testing, and the office is available even on closed days for workers' compensation cases. This budget line item also covers psychological testing for police officers and third -party background checks, which the Human Resources Director said are obtained at the lowest possible cost, with Janice having conducted these checks for the past five years. The Human Resources Director then discussed health benefits, referencing the Blue Value program and the new dental plan with MetLife. She commended the Benefits Committee, now in its second year, for its effective work, noting its involvement from every department and productive discussions. She mentioned that the committee had selected all prizes for the Blue Value program this year, funded by a $10,000 allocation from Florida Blue to the City. This money, the Human Resources Director explained, is used not only for prizes but also for quarterly meetings with employees to provide updates on health metrics, such as adult physical completion rates and engagement with care pathways, while adhering to HIPAA regulations. She highlighted the Peloton stationary bike as a significant prize from last year, alongside Fitbits and earbuds, all health -related items. The Human Resources Director announced the Health Fair for August 14th, from 10 AM to 2 PM, at Public Works, where appointments are scheduled for Florida Blue -affiliated employees for biometric screening and personal health assessments. The Human Resources Director stated this process contributes three points to the City's percentage increase at year-end. Council Member Dodd inquired about participation rates, to which the Human Resources Director responded that it is approximately 95% for scheduled appointments, a figure Florida Blue recognizes as exceptional. She also noted the strong cooperation from department heads, particularly the Police Department, in scheduling officers for these screenings. The Human Resources Director stated the upcoming health fair will host over 30 vendors, offering flu shots, other vaccinations, and various testing, including Bureau Orthopedics, financial planning, and veterans' services. Regarding open enrollment, the Human Resources Director stated that the process is transitioning from Benetek to ADP, which also handles the city's payroll, to streamline data entry. She explained that a significant benefit of using the ADP platform is that MetLife will credit the city 2% of its dental and vision premium quarterly, providing additional savings. The Human Resources Director also commended the Events Committee, noting that due to 25 FY 2025-2026 Budget Workshop July 17, 2025 Page 12 increased attendance at the annual awards banquet, the venue has been moved to Vero Beach. The Human Resources Director then addressed the new policy and procedure manual, necessitated by the general unions disbanding. She stated that she had drafted policies based on existing contracts and updated older policies from the employee handbook. The Human Resources Director explained, this will be the primary reference document, currently under review by the City Manager and City Attorney, and is set to take effect on October 1st, upon the contract's conclusion. Council Member Dodd asked if this would apply to all non -police union employees. The Human Resources Director clarified that anything not covered by their union contract would fall under this new policy. The City Manager added that it is a city-wide document, but union contracts take precedence. Council Member Dodd requested a copy once the process is complete, which the City Manager affirmed. The Human Resources Director mentioned that the manual will be available on a website where departments house their policies and also on ADP, emphasizing a paperless approach for employees to access policies. Council Member Nunn inquired if the manual would require internal or council approval. The City Manager stated that policy matters would be internal, with major changes (none anticipated) brought before the council, and confirmed that the document would be shared with the council. Addressing positions, the Human Resources Director stated that while there were 35 vacant positions this year and 40 people were hired. She noted that HR participates in every interview, estimating approximately 160 interviews for those 35 positions, and reviewed over 450 applications. The Human Resources Director explained that some applicants might not have been suitable for the roles, citing an example of an individual who completed paperwork but never returned. The Human Resources Director provided an update on the performance review committee's work from last year, stating that the new performance review is being used without negative feedback. Additionally, a Performance Improvement Plan (PIP) has been implemented and utilized a few times this year to assist employees with performance. The Human Resources Director also detailed a new initiative with the Florida League, where all employee email addresses have been added to their website, enabling HR to assign mandatory online courses (e.g., safety for maintenance workers, ergonomics for office staff, sexual harassment for all) and track completion. Council Member Jones asked if training assignments could be sent via ADP. The Human Resources Director responded that they could use ADP or send emails to directors with reports from the Florida League on employees who haven't completed classes. The Human Resources Director then discussed changes to employee position titles, explaining that titles like maintenance worker would be changed to groundskeeper for Parks and Recreation and equipment operator for Public Works, with different levels, to 26 FY 2025-2026 Budget Workshop July 17, 2025 Page 13 provide a clearerjob description. She noted that a groundskeeper might not require a CDL license, as CDL training has become very expensive. Regarding city vehicles, the Human Resources Director stated that she monitors employee accidents from a risk management perspective and, due to a slight increase in accidents this year, a defensive driving course has been implemented. This course is mandatory for employees involved in accidents and for all Public Works and Parks personnel. It is also open to any city employee and is offered twice through the Florida League at no cost to the city. Council MemberJones asked if this would help reduce insurance costs, to which the Human Resources Director expressed hope. The Human Resources Director then addressed succession planning, a topic discussed by other department heads. She reported on a leadership course with 23 participants, noting that in -person training was more effective than work followed by discussion without a trainer, as evidenced by survey responses. The Human Resources Director stated that she has developed a succession planning survey for directors to identify critical roles and potential successors, including their preparedness. She has also established a succession plan outlining key positions and incumbents, and proposes forming a succession committee of directors to create a program where identified successors would rotate through various departments to gain a broader understanding of city operations. The Human Resources Director believes this would be invaluable for higher -level positions. She also mentioned her succession planning within her department, having hired a new assistant with HR management background from a sheriff's department, and is now planning her training given her own approaching retirement. Council Member Dodd clarified that this initiative aims to produce a training plan for identified individuals in the succession plan, extending beyond just director -level succession to career planning for individual employees. Council Member Jones inquired how this new succession planning approach would affect department heads already working on their own succession plans. The City Manager responded that succession planning extends beyond individual departments, especially at higher levels, requiring cross -departmental communication and understanding of processes. He emphasized that in a small municipality like Sebastian, employees cannot operate in silos and must collaborate across departments. Providing opportunities for individuals to observe operations in other departments, he stated, broadens their horizons and better prepares them for higher -level positions by giving them a comprehensive understanding of city operations. The City Manager acknowledged that while not every identified individual will necessarily achieve the target position, the goal is to set them up for success. He also noted that several department heads are expected to retire in the coming years, and discussions are ongoing to ensure robust succession plans are in place to avoid significant gaps. Council Member Dodd added that succession planning also serves as career planning for individual employees, even if they do not remain with the city, and that HR should centralize this process, with departments feeding in data to manage 27 FY 2025-2026 Budget Workshop July 17, 2025 Page 14 training schedules and identifications. The Human Resources Director confirmed she has plans for individual development, matrices, and competencies. Council Member Jones then asked about the application process, noting that many applicants for jobs are often unqualified or apply without serious intent. The Human Resources Director confirmed this, stating that out of over 450 applications for positions like police officers, they and the Police Department must sift through them. She estimated that she sits in on approximately 95% of the 160 interviews conducted for the 35 positions, with typically four or five candidates interviewed perjob. The City Manager highlighted the current low vacancy rates across the city, noting only three in stormwater, two in roads, and three in the police department. The Human Resources Director added that the 911 department is also fully staffed, which has not been the case for many years. F. Manaaement Information Services (MIS) The City Manager introduced MIS Manager to present her department's budget. The City Manager stated that the proposed budget for FY26 for MIS is $814,215, which represents a $28,956 increase, or 3.69%. He noted that Personnel Services increased by $44,720 due to wages and insurance costs, and operating expenses increased by $10,120. The City Manager mentioned that capital outlay showed a decrease. He concluded by stating that the MIS Manager had no changes in staffing, no new positions, and no reclassifications to discuss, before turning the presentation over to her to discuss capital and operating expenditures. The MIS Manager began by addressing capital projects. She stated that the department maintains a $15,000 allocation for AV equipment, specifically to replace an aging scheduling software and carousel system used for city-wide slideshows and information. The MIS Manager explained that this system is eight years old, has had its hard drives replaced once, and no longer receives support, necessitating its replacement. For city-wide computers, the MIS Manager stated that this line item represents the annual budget for keeping computers in rotation and up-to-date. She noted an increase in this budget because the MIS department has taken on the responsibility of replacing road patrol laptops for new police vehicles, a cost previously borne elsewhere. The MIS Manager explained that they evaluate and purchase computers in bulk to maintain a seven-year rotation for desktops and laptops whenever possible. Council Member Dodd commented that a seven-year rotation was commendable, noting that typical lifespans are often shorter. The MIS Manager acknowledged that they are pushing the limits of equipment longevity by replacing aging hard drives with solid-state drives and ensuring that specialized machines come with five-year warranties, aiming for standardization to facilitate replacements. For network infrastructure, the MIS Manager stated that this project focuses on the annual replacement of switches to continuously improve the network and replace failing or aging 28 FY 2025-2026 Budget Workshop July 17, 2025 Page 15 devices. She clarified that this does not include more specialized equipment, which is noted in the Capital Improvement Plan (CIP), but it covers all connections for the airport, police department, and all city infrastructure, making it a constantly evolving project. Regarding outdoor security updates, MIS Manager explained that the department collaborates with the police department and parks to provide coverage at parks, enhancing public safety. She highlighted that they prioritize parks with ongoing issues or those requiring closer monitoring, which necessitates installing entire infrastructures, including internet and hardware. Their goal, she stated, is to cover at least three parks per year. Council Member Dodd sought clarification, asking if this meant placing networks and cameras in parks and integrating them into the city's real-time system, and if most major parks currently have this. The MIS Manager confirmed that most major parks are equipped with cameras. Council Member Dodd then asked if the $30,000 annual allocation was for anticipated replacement costs or for installing new equipment. The MIS Manager clarified that it covers new installations, but also includes the replacement of cameras reaching their end -of -life, as replacing them is more cost-effective than buying additional licenses. Council Member Dodd asked if this budget included anything related to the City Hall campus, to which the MIS Manager responded that it does not, but it would include locations like Friendship Park. The City Manager added that boat ramps, the Sports Complex, pickleball courts, and Schumann Park also have cameras, and some locations will see increased coverage. He highlighted that two cameras, one overlooking the twin piers at Riverview Park and another at the pickleball courts, are publicly accessible on the city's website. Council Member Dodd suggested making boat ramp cameras visible for boaters to check traffic and lamented the necessity of spending $3,000 annually for park surveillance, calling it a sign of the times. The MIS Manager emphasized that it helps ensure public safety, as one bad apple can ruin the experience for others. The City Manager provided an example from the Creative Playground, where cameras installed in response to past lawsuits and vandalism have helped track individuals and incidents, such as a fire at the skate park, demonstrating the strategic placement of cameras. The MIS Manager then discussed the campus security program, specifically for City Hall and the Police Department. She stated that their security infrastructure is over 20 years old, with cameras and other components nearing failure, and parts are no longer available for interior and exterior systems. She informed that the first phase of City Hall's security upgrade is in progress, budgeted for the current fiscal year, but it did not include interior infrastructure due to prioritization. For the upcoming year, the MIS Manager explained, they will complete City Hall's interior security and begin upgrading the Police Department's infrastructure, which is of similar age. She stated the final year of this project will involve upgrading the Airport's administration building, which also has aging infrastructure. The MIS Manager noted that core security upgrades are pushed out several years because recent upgrades were completed last year, ensuring future budget coverage. 29 FY 2025-2026 Budget Workshop July 17, 2025 Page 16 Transitioning to operating expenditures, Council Member Jones noted that MIS's budget increase was lower (3.9%) compared to other departments (6.2-6.3%). The City Manager affirmed this, stating that the operating budget's increase of only about $10,000 was their goal, reflecting reductions across the board. Council Member Dodd observed that dues and memberships were the only line item with major increases. The MIS Manager explained that Laserfiche is a major contributor to their cost updates. She also highlighted a significant investment in RGIS implementation, requiring a $12,000 increase to the RGIS program, which accounts for almost the entire increase in dues and memberships. This MIS Manager stated that this is to facilitate the Police Department's initiative for enhanced crime analysis. To offset this, the MIS Manager indicated that MIS has cut several other programs, for which she is seeking alternative solutions. Internet access, she noted, continues to rise. The MIS Manager stated that they plan to acquire Starlink connections for emergency management, hoping they will function during storms when other internet services may fail, and to provide a backup connection for the Public Works compound, which currently lacks one. R&M, she explained, remains stable due to a strategic review of current maintenance projects to minimize costs and absorb increases. The MIS Manager said Laserfiche, which falls under this line item, has announced a 5% increase this year. She then informed that small tools and equipment are also increasing, as MIS plans to replace the carpet in one of their rooms, a small but necessary expenditure. The MIS Manager then clarified that computer supplies decreased from the original budget due to shifting some costs to memberships and dues, where they properly belong. She emphasized that this line item covers all miscellaneous computer supplies for the entire city, including UPS units, keyboards, mice, and tables. The MIS Manager stated that they strive to ensure new computer orders include keyboards, monitors, and mice, which are under warranty and should last the lifetime of the machine. She acknowledged that the city-wide computer budget is very tight this year due to unplanned expenditures, such as specific requests from Community Development for expensive monitors, and they are working to manage this better for the next fiscal year. The MIS Manager affirmed her commitment to ensuring the city's operations run smoothly, even if it means saying "no" more often, as part of fiscal responsibility and staff care. Council Member Dodd expressed appreciation for the MIS team's work, acknowledging their ability to operate effectively despite limited space. The MIS Manager confirmed that while they lack space, they make it work, as breaking up the team into compartmentalized areas was not desired. Council Member Dodd suggested utilizing the large room previously used for physical plans by the Building Department. The MIS Manager stated that they are working on utilizing their space more efficiently, which contributes to the perceived bedlam in MIS as items come and go. She also mentioned plans to revitalize existing infrastructure for other uses to cut costs, particularly for expensive server infrastructure, as another measure of fiscal responsibility. 30 FY 2025-2026 Budget Workshop July 17, 2025 Page 17 Council Member Dodd inquired if the MIS Manager had explored Al packages designed for municipal governments, which integrate Al concepts with overall municipal software. The MIS Manager responded that she is not opposed to Al packages and already has a policy drafted, awaiting final training completion before its release. She explained that the policy will outline guidelines for appropriate Al use, specifically prohibiting its use in police reports. Regarding server requirements, Council Member Dodd expressed concern about potential increases if people migrate to Al. The MIS Manager clarified that they do not host large language models locally, and much of their software is cloud -based or individual, moving away from server -based models. She does not foresee a significant need for increased server space, but anticipates a draw on internet connection bandwidth. The MIS Manager stated that she did not budget for a bandwidth increase this year, having determined they could manage for another year, emphasizing strategic planning. Council Member Dodd then mentioned that services like Laserfiche might introduce Al search facilities. The MIS Manager responded that Laserfiche runs on its own hardware with ample processing power and room for growth. Their current limitation, she explained, is being at maximum licenses, which she did not budget to increase for another year, requiring strategic usage. Council Member Dodd noted that he had been denied Laserfiche access a couple of times, but could get in after 30 minutes when another user signed off. The MIS Manager confirmed that public utilization of their 25 users and web link is increasing, but turnover is quick. Council Member Nunn asked if the introduction of Clearwave to the area would offer new internet access options for the City. The MIS Manager stated they had not inquired. Council Member Nunn noted that Clearwave is installing fiber directly in front of the building and in neighborhoods where AT&T fiber is not present. The City Manager added that they are receiving weekly inquiries from multiple fiber companies currently working in the city. Council Member Jones expressed approval of Starlink for the storm season, asking if it would be ready for the current storm season. The MIS Manager confirmed they have Starlink access through other means for emergencies and are working through an extended process with the state for a state contract and restrictions. The meeting recessed as 12:45 p.m. for lunch and all member returned at 12:30 p.m. E. Finance Department The City Manager welcomed everyone back from lunch, announcing the transition to the Finance Department budget. The City Manager stated that the proposed budget for the Finance Department for this fiscal year is $903,975, which represents an increase of $179,203. The City Manager directed attention to page 31 of the budget document, reiterating a point discussed in numerous other departments regarding the difference in salaries and personnel services. He explained that this significant difference is largely due 31 FY 2025-2026 Budget Workshop July 17, 2025 Page 18 to the Chief Financial Officer's (CFO) salary, as the Finance Director was brought on board closer to the beginning of the calendar year, meaning his full salary was not initially projected. Additionally, the previous Finance Director, who was part-time, had very few hours during the initial period of the fiscal year. The City Manager stated that operating expenses are showing an increase of $54,432, before turning the presentation over to the Finance Director. The Finance Director began by confirming that, in addition to the CFO position, a vacant Finance Assistant position has also been filled, contributing to the personnel changes. The City Manager further clarified that this Finance Assistant position was new two years prior, but remained unfilled until the past fiscal year. He explained that an employee from Human Resources had been working in HR until this position was filled, which accounts for a large portion of the salary difference in the Finance Department's personnel services, as both the CFO and Finance Assistant positions were not initially filled. The Finance Director then discussed other items added to the operating budget. He stated that they contracted with ADP for additional services that overlap with HR, such as employee onboarding for benefits selection and a system for surveying and polling employees, leveraging ADP's existing data and payroll services. The Finance Director also highlighted a new procurement software in the budget, as the procurement officer seeks to upgrade to a more integrated and interactive system, with OpenGov and Una among those being considered. The Finance Director noted that the procurement officer is currently holding off on a decision because he also wants to evaluate budgeting software, as the current budgeting process is manual and spreadsheet -based. He explained that data is manually compiled from spreadsheets, reports are manually generated, and the budget book is a physical compilation of these spreadsheets. The Finance Director provided the Council with a handout detailing some items from his wish list that were not included in the original budget. He specifically highlighted OpenGov, which is being considered for both procurement and budgeting, and which Code Enforcement is also looking to contract with for permitting and licensing. The City Manager confirmed that currently, only the Finance Department and Code Enforcement are actively evaluating OpenGov. The City Manager emphasized that bundling modules, such as procurement and budgeting, with a single company like OpenGov, could lead to better pricing, potentially a 30-35% discount. He noted that the procurement module alone costs $22,000, including a $14,900 implementation fee, with an annual cost of about $8,000. The Finance Director agreed on the advantages of a single platform, stating that they are currently evaluating OpenGov and Una, both of which offer budgeting, online budget books, and procurement options. He mentioned that while procurement is already budgeted for, the budgeting platform, including implementation and annual costs, is estimated to be between $40,000 and $60,000 for the first year, with ongoing costs of $20,000 to $30,000. The Finance 32 FY 2025-2026 Budget Workshop July 17, 2025 Page 19 Director explained that this platform would centralize all budgeting activities, allowing for requests for performance management, operating and capital budgets, and workforce planning. He stated the final product would be an online, dynamic budget book that can tie budget initiatives to strategic plan objectives and comply with GFOA award programs. The Finance Director offered to provide references to other government websites utilizing similar online budget books. Council Member Jones inquired if the software would provide flexibility for specific requests from the Budget Advisory Review or individual Council Members. The Finance Director confirmed that it offers extensive flexibility for drilling down into information, with features like interactive maps for capital projects. The City Manager affirmed this, stating that the software allows users to drill down to specific areas of interest. Council Member Nunn asked about implementation costs if modules were added separately. The Finance Director explained that while a bundle offers a 35% discount, individual components would incur separate implementation costs. Council Member Dodd clarified that implementation primarily involves migrating existing data into the new system. The Finance Director added that the procurement module also includes contract management, providing dynamic tracking of contract renewals, thereby modernizing their technology. The City Manager noted that the software tracks financial accounts against the budget, providing real-time allocation and spending data. Finance Director Stewart confirmed that OpenGov and Una both integrate with Tyler, their current financial system, which is a key reason for their consideration. Council Member Dodd suggested that the software implementation could be funded off budget after the current budget process. The City Manager responded by acknowledging the tedious manual process currently handled by the Assistant Finance Director, involving numerous Excel spreadsheets and manual compilation. He stated that he has challenged the team to accelerate the budget process for next year, aiming for a June meeting, which would necessitate greater efficiency. The City Manager recognized that this is a tough budget year for new initiatives, but noted that Code Enforcement's strategic initiative is moving forward. He suggested a discussion on whether to prioritize the procurement or budgeting module, or if a combined approach with the 35% discount would be more feasible. The City Manager emphasized that any decision would need to be implemented shortly after October 1 st to allow for data compilation for the January -February timeframe. The City Manager stated that, based on discussions, changes would be made to the current budget document. Council Member Dodd expressed his personal view that implementing such software is a given and aligns with the strategic plan's focus on efficiencies. He suggested adding the cost of the software package for budgeting, purchasing, and code enforcement to the current budget, even if it means an additional $60,000 to $90,000, believing the savings in staff time would justify the cost. Council Member Nunn, from an IT perspective, expressed surprise that Excel spreadsheets are still being used for such critical functions, due to 33 FY 2025-2026 Budget Workshop July 17, 2025 Page 20 corruption issues. He strongly advocated for adding the software to the budget, considering it the most impactful item. Council Member Jones agreed, emphasizing the time savings and efficiency. Council Member Nunn stressed the importance of a single, updatable application, rather than relying on manual compilation by staff. Council Member Jones added that relying on one person for such extensive manual work invites inefficiencies and potential issues. Council Member Nunn urged serious consideration for including this in the budget. The City Manager affirmed their commitment to doing what is best for the city and exploring options. The Finance Director agreed, stating that while the new system costs more money upfront, it offers greater efficiencies. Council Member Nunn countered that the current manual process likely costs more in man-hours, making the new system potentially cost -neutral in the long run while offering significant improvements. The Finance Director then introduced additional items from Tyler, their current system, that the Finance Department needs. He highlighted a reporting service, which would cost approximately $7,200 for the first year, including implementation. The Finance Director explained that current data extraction for reports, such as the commission report, is difficult and time-consuming, requiring manual pulling into Excel. He also presented a Content Manager, which he described as the best feature Tyler has. This system centralizes all financial documents (e.g., purchase orders, invoices, checks) into one searchable location, allowing users to find related documents easily. Council Member Dodd clarified if this was a records management function or for the financial system itself. Finance Director Stewart confirmed it was for the financial system, integrating all Tyler documents, but clarified that it does not replace the records management function handled by Laserfiche. He stated that the Content Manager would cost $10,580 for the first year with implementation. The Finance Director discussed the PACE program, a $9,300three-year contract (cancellable anytime), where Tyler would assess the City's utilization of its software and identify opportunities for greater efficiency and integration, including live training and conference passes. He concluded that these four items would significantly advance the Finance Department. Council Member Nunn added that Tyler also integrates with Laserfiche for document management. The City Manager then opened the floor for questions on the Finance Department budget. The Finance Director noted that the budget includes funds for training and conference attendance, emphasizing the importance of staying updated with technology and earning continuing education units. The City Manager then shifted the discussion to the retirement option, stating that he and the Finance Director had met to gather data. He clarified that a spreadsheet provided to the Council with options, but the dollar amounts were based on the rollback rate, whereas the current document shows the increase/decrease in general fund reserves, which is crucial for covering the proposed budget. 34 FY 2025-2026 Budget Workshop July 17, 2025 Page 21 The Finance Director then presented on retirement options, having researched FRS, independent agencies, and the Florida League of Cities. He found the Florida League of Cities offered better options and lower administrative costs, making it the preferred choice, with FRS's only benefit being transferability. The Finance Director noted that 489 independent plans exist in Florida, indicating the popularity of custom plans. He explained that the study provided to the Council shows actuary -derived costs based on parameters given by the city, which are negotiable. He stated plan they chose mirrored an existing one, with assumptions including a three-year final average pay of base pay only for benefit calculation. The Finance Director explained that the factor, which varies by plan, determines the monthly benefit (e.g., FRS has a 1.6 factor, while the current CWA plan has a 1.0 factor with zero employee contribution, unlike FRS's 3%). The Finance director informed that assumptions for the proposed plan include normal retirement at 55 with 25 years of service, or 60 with five years (five-year vesting), and early retirement at 55 with five years (actuarially reduced). He said normal payment form is a 10-year certain and life annuity, with other options available and a pre -retirement death benefit is included, and there is 100% vesting in five years. The Finance Director explained that the plan does not include disability benefits or automatic cost -of -living adjustments (COLAs), which can be costly (e.g., the police plan has a 1 % automatic COLA). The Finance Director then presented a variable contribution rate based on a sliding scale, designed to appeal to both young and older employees. He explained that employees choosing a 0% contribution would have a factor of 1.0, mirroring their current CWA plan. The City Manager clarified, stating that this 0% contribution option was a recent consideration, allowing employees to maintain their current factor without contributing if they choose. The Finance Director explained that this effectively offers 11 different plans, allowing employees to choose their factor and contribution level. Council Member Dodd asked if this was a one-time choice. The Finance Director stated that this has not yet been defined, but suggested that if an employee chooses a higher rate later, they would need to actuarially "buy up" to that rate for previous years, as it would be unfair to the plan otherwise. Council Member Dodd agreed that employees should not be able to change their factor just before retirement. The Finance Director noted that while actuaries prefer fewer assumptions, employees appreciate the flexibility. The City Manager suggested a one-time selection on October 1, 2025, with new hires making their choice, and possibly allowing a change after five years of vesting, provided they buy back previous years. Council Member Dodd expressed concern about the actuarial management cost of such flexibility but supported giving employees the most flexibility possible within reason. Council Member Jones agreed that employees should have the opportunity to choose based on their financial situation. The Finance Director stated that this would need to be clearly defined in the plan document. Council Member Dodd suggested that buybacks typically occur during anniversary windows, not annually. The Finance Director clarified that actuaries calculate buy -ups as of the request date. 35 FY 2025-2026 Budget Workshop July 17, 2025 Page 22 The Finance Director then presented the ongoing city cost of 13.71%, based on the plan assumptions and a mix of employee contribution choices. He explained that this is the cost for all employees to switch to this plan, compared to the current 9% budgeted. The additional 4.71 % would cost approximately $278,000 for the general fund. Council Member Dodd clarified that the $278,000 would be the increase to their budget. The Finance Director explained that the 13.71% is an actuarial number based on employee data and assumed contribution choices, acknowledging that actual choices would affect the rate. He had erred on the high side for employee contributions. The City Manager stated that a survey could be conducted to get realistic employee feedback on contribution choices, but he believed the Finance Director's assumptions were good, with an average employee contribution likely around 5-6%. The City Manager also stated that employees retiring in less than five years would be given a one-time option to remain with their current 9% Mission Square amount, as they would lose out by entering the new plan, especially higher - salaried employees. The City Manager stated that if they proceed with this plan, the City needs to be prepared to budget an additional $280,000 against the general fund, or $378,000 against the total fund balance accounts. The Finance Director clarified that the $378,000 includes other funds like airport, building, golf, and stormwater. Council Member Dodd sought to confirm the total budget increase. The Finance Director confirmed $378,000 for all funds and $280,000 for the general fund only. Council Member Nunn asked if the other funds had the money to cover their portion, to which the City Manager replied that they would need to make adjustments only in stormwater, as it carries a larger deficit. The Finance Director calculated the stormwater's portion based on its payroll. Council Member Nunn clarified that the millage would not need to cover the entire $300,000, as other funds have their portion, but the general fund would need to cover its $280,000. The City Manager affirmed this. Council Member Dodd reiterated that the total budget impact is $378,000, which impacts all accounts. The Finance Director clarified that only the general fund gets the millage. Council Member Dodd acknowledged the total budget impact of $378,000, which would add to the existing $900,000 deficit for the general fund. The City Manager clarified that the $923,000 deficit for the general fund does not include other funds, so the addition would be $280,000, not $380,000. Council Member Dodd sought to confirm the total budget revenue and expenses, but the City Manager stated that enterprise funds are separated and that the number is not in the current book. Council Member Nunn asked about the increase for next year, assuming the numbers are accurate. The City Manager stated it would be $380,000, with the Finance Director adding possibly. The Finance Director then explained that the actuary's valuation for the police plan, done on October 1, 2024, is for contributions applicable to the fiscal year ending September 30, 2026, meaning contributions start a year later. He stated that the first year of the plan does not require contributions, a common setup in Florida. The Finance Director explained that the downside is that an inherent factor (around 6-6.5%) is added to the liability, increasing 36 FY 2025-2026 Budget Workshop July 17, 2025 Page 23 future contributions, effectively like an interest charge. He said if money is contributed upfront as an advanced contribution (like the police plan's $200,000 advanced contribution), it prevents the actuary from charging this interest. Council Member Nunn likened this to a savings account. The City Manager expressed his concern about not funding the plan from day one, fearing a compounding effect of higher percentages, despite being told it would only be a 6% back charge. He presented two options: fully funding the 13.7% this year and putting it into an advanced payment, or only funding the 9% and using reserves for the difference. The City Manager expressed concern that if they don't fully fund it this year, they will face the same $380,000 request next year. He stated he is fine with whatever decision is made, but emphasized his uneasiness with the compounding effect of not increasing the budget this year. Council Member Dodd agreed that funding retirement plans is a fundamental responsibility and that it should be funded from reserves (general fund or enterprise funds), as a millage rate increase to cover the full amount is unattainable. He stated that the entire $378,000 additional dollars should come from reserves, hoping future years can fund it from the revenue stream. The City Manager asked the Finance Director if fully funding this year from reserves would go into an advanced payment. The Finance Director confirmed this, stating it would be listed as advanced contributions in the actuarial report and would reduce future contributions by earning investment income. He clarified that any amount can be advance - funded. The City Manager then asked if employee contributions, starting October 1, 2025, would also earn interest. The Finance Director confirmed that every dollar put into the Florida Trust would earn investment dollars, helping in future years. Council Member Dodd clarified that in future years, the budget would reflect the 13.71 % number, assuming employee selections align with the assumptions. The City Manager explained that once the plan is in place, an actuarial report for the following year would be received around October 1 st, similar to the police department's budgeting process, where the 18.8% (down from 21.9% previously) is budgeted a year in advance. He clarified that the police plan's actual cost is 28.2%, but state funding reduces the City's portion to 18.8%. The City Manager reiterated that an advance payment would allow them to cover budget deficits in lean years without dipping into general reserves. Council Member Dodd stated that future years would properly fund the plan through the actuarial statement. He expressed his personal preference to fund it now, whether it's an additional $378,000 or $150,000, noting that enterprise fund reserves and general fund reserves have enough money to cover their portions without impacting the millage rate. Council Member Dodd emphasized that this money is being moved into a retirement plan, not spent. The Finance Director clarified that it would not affect the general fund balance, as it's a cash transfer, reducing liability. Council Member Dodd agreed that it's a cash movement, not spending. The City Manager stated that they would proceed with withdrawing documents from the CWA, conducting an actuarial study, and surveying employees to gauge anticipated 37 FY 2025-2026 Budget Workshop July 17, 2025 Page 24 contribution rates. He confirmed that when the budget is presented in September, the general fund budget will not be increased beyond the current 9%, with reserves utilized for any additional amounts, and funding of the account will begin this year. Council Member Dodd and Council Member Jones affirmed this approach. The City Manager asked if there were any issues with the employee contribution options, which he believed offered a wide range of choices, and stated that multiple meetings would be held with employees to explain the process. Council Member Dodd's only concern was ensuring the plan document spells out how employees can move between contribution levels. The Finance Director acknowledged this need for clear direction, noting that forcing buybacks for higher rates might deter employees. Council Member Dodd believed this was an actuarial issue and that the City should offer the most flexibility possible. Council Member Jones agreed that flexibility and choice are important. The Finance Director stated that this would need to be defined in the plan document. Council Member Dodd suggested that buybacks typically occur on anniversary windows, not annually. The Finance Director noted that actuaries can calculate buy -ups at any time. The City Manager stated that these were some options discussed. He clarified that a pension board would need to be established, and that a lot of work would be involved over the next two months with the League of Cities, attorneys, and actuaries. He assured the Council that all documents, parameters, and ordinances would be fully disclosed and discussed at multiple meetings for their approval. Council Member Dodd expressed that he believes this is a good deal for our employees. The City Manager then provided a clearer picture of how the budget would be affected by different millage rates. He stated that if the city were to go to the rollback rate, there would be a $1.35 billion deficit in the current proposed general fund budget. The City Manager informed that the current millage rate of 3.1955, the deficit would be $923,178. He displayed that as the millage rates increase, the deficit decreases. Mayor McPartlan asked if this included the $300,000 for the railroad. The City Manager explained that the $223,000 for Barber Street is scheduled for August 3rd or 9th and will fall into this fiscal year. He stated that they are looking into Local Option Gas Tax or other options, but if not, they will come to the Council for reserves. The City Manager informed that the $90,000 for November will be covered by funds outside the general fund, so, neither of these will need to be covered in this budget, though the $223,000 might require general fund reserves if other allocations are not possible. The City Manager also noted a $200,000 cushion from last year's R&R account. Mayor McPartlan asked if the budget included salary increases. The City Manager confirmed that it does, with a varying range, and that the current across-the-board number is 6%. Council Member Nunn asked for the millage rate for a "zero" deficit. The City Manager estimated it would be close to 3.5455 to 3.5955. He emphasized that the budget workshops provide comprehensive information to the Council, detailing line -item breakdowns. He noted that while further operating cuts are possible, they would be noticeable. The City 38 FY 2025-2026 Budget Workshop July 17, 2025 Page 25 Manager assured the Council that staff is already working on identifying areas for further reductions, even small ones, to contribute to the overall goal. Council Member Dodd stated that the choice on Wednesday would be between funding the deficit through tax increases or reserves. He expressed his opinion that there is "not a whole lot of fat" in the budget, perhaps only $100 here or $1,000 there, and that it would be impossible to reduce the budget by $900,000 or even $78,000. He hoped that the public watching the sessions would gain a better understanding of the budget's constraints. Council Member Nunn agreed that they had already cut "some of the meat off." The City Manager confirmed that he had cut department budgets more than they needed. Mayor McPartlan added that the public has seen the improved level of service from the city in recent years, indicating there is nothing left to cut. Council Member Jones asked about the total general fund reserve balance. The City Manager stated it is approximately $8.6 million, with $200,000 recently spent on retirement. He clarified that the $8.6 million includes restricted funds and assigned funds, totaling about $1.5 million in liabilities, including an estimated $389,000 for employee payouts this fiscal year. Council Member Jones noted that the agreed -upon reserve was $7 million. Council Member Dodd emphasized that the decision on Wednesday would be about how to fund the deficit. He reminded the Council of the demographic of older, retired residents with limited cash flow, and that even small tax increases can impact them. Council Member Nunn added that every change affects residents, and they do not want more taxes. The City Manager concluded by stating that he and Finance Director Stewart would finalize their budget recommendations, which would likely include some one-time expenditures from reserves. He cautioned against using reserves for ongoing expenses, as this could create long-term financial issues. He confirmed that the meeting packets for the City Council and the Budget Advisory Committee would be ready the following day. The Budget Advisory Committee is scheduled to meet on Monday, followed by the Parks and Recreation meeting on Tuesday, and the City Council meeting on Wednesday. 7. Being no further business, the City Manager adjourned the workshop at 1:40 p.m 39 CITY OF SEBASTIAN CITY COUNCIL STAFF REPORT DATE August 27, 2025 TO Honorable Mayor and City Council THRU Brian Benton, City Manager FROM Jeanette Williams, City Clerk Consider Approval of Draft July 23, 2025 City SUBJECT Council Minutes EXECUTIVE SUMMARY Draft minutes of the July 23, 2025 City Council meeting are presented for review. RECOMMENDATION Request changes if necessary. Consider approval of minutes. ATTACHMENTS: 1. July 23, 2025 City Council Minutes FUNDING SOURCE: Expenditure required Amount Budgeted: Funding source N/A N/A N/A Additional Funds Needed: $ 0.00 40 CITY OF Sfj3ASTIAN ;ii� HOME OF PELICAN ISLAND SEBASTIAN CITY COUNCIL REGULAR MEETING MINUTES WEDNESDAY, JULY 23, 2025 - 6:00 P.M. CITY COUNCIL CHAMBERS 1225 MAIN STREET, SEBASTIAN, FLORIDA Mayor McPartlan called the Regular City Council meeting to order at 6:00 p.m. 2. Pastor Grant Foster, Riverside Church, gave the invocation. 3. Vice Mayor Jones led the Pledge of Allegiance 4. ROLL CALL Mayor Bob McPartlan Vice Mayor Fred Jones Council Member Ed Dodd Council Member Chris Nunn (via Zoom) Staff Present: City Manager Brian Benton City Clerk Jeanette Williams City Attorney Jennifer Cockcroft Finance Director/CFO Brian Stewart Community Development Director Alix Bernard Community Development Manager Dorri Bosworth Senior Planner Michelle Faulkner Parks and Recreation Director Richard Blankenship Procurement and Contracts Manager Jessica Graham Public Works Director Lee Plourde Human Resources Director Cindy Watson Human Resources Assistant Kristen Sullivan MIS Manager Barbara Brooke -Reese Police Chief Daniel Acosta Deputy Police Chief Tim Wood 5. AGENDA MODIFICATIONS - None 6. PROCLAMATIONS, AWARDS, BRIEF ANNOUNCEMENTS 25.007 A. Certificate of ADDreciation to Paul Dovell, Natural Resources Board Service 41 Regular City Council Meeting July 23, 2025 Page 2 Mayor McPartlan read and presented a certificate of appreciation to Mr. Dovell for his Natural Resources Board service. Mr. Dovell said it was an honor to serve. Vice Mayor Jones announced there would be a Sebastian Police Department Back to School Fun Day in Riverview Park on Friday, July 25". There will also be a Treasure Coast Waterway Cleanup on Saturday, July 261h and invited those interested to meet at the Main Street Boat Ramp at 8:00 a.m. He also announced the Chamber of Commerce's Grill Out would be held August 8th from 5:30 p.m. to 8:00 p.m. 7. PUBLIC INPUT Jim Clifton, 817 Cain Street, said yesterday, staff did a mark -out on Cain Street and he asked to see the plans for the work because as it was explained, the likely outcome of the work will be an impaired, not an improved ditch. He said he is available most of the time to discuss the work. The Public Works Director gave him his card to set up a meeting. 8. CONSENT AGENDA A. Consider Approval of June 9, 2025 City Council Minutes B. Consider Approval of June 25, 2025 City Council Minutes 25.111 C. Alcohol Beverage Approval - Jennings Family 25.112 D. Alcohol Beverage Approval - Shephard Family 25.113 E. Consideration of Road Closures and the Use of the Mobile Stage (without Fees) for the Sebastian River High School Homecoming Parade MOTION by Council Member Dodd and SECOND by Vice Mayor Jones to approve Consent Agenda Items A-E. Roll call: Vice Mayor Jones - aye Council Member Dodd - aye Council Member Nunn - aye Mayor McPartlan - aye Motion carried. 4-0 9. COMMITTEE REPORTS & APPOINTMENTS 25.114 A. Consider Citizen Appointment to Construction Board The City Clerk said she has been contacted by Sonja Pedretti who isn't a contractor but would like to serve her community on the Construction Board as a non -contractor. 42 Regular City Council Meeting July 23, 2025 Page 3 Council Member Dodd and Council Member Nunn suggested that she could serve in the alternate member position that expires on September 2025 but extend her position until 2027. Council Member Dodd asked the City Attorney if a citizen could fill a contractor position. The City Attorney asked for a moment to pull up the code. 25.007 B. Consider the Appointment of Three Expired Natural Resources Board Rea_ ular Member Positions The City Clerk said the three incumbents would like to serve another term and pointed out the she was currently advertising to fill the vacant regular member position. MOTION by Vice Mayor Jones and SECOND by Council Member Dodd to have the three incumbents serve another term passed with a unanimous voice vote. Council Member Nunn asked to waive the advertising requirements to fill the regular member position with one of the alternates. The City Attorney advised that since the position is currently being advertised, they should fill it at the next meeting. In reference to the Construction Board appointment, the City Attorney advised that the code provides the board shall be comprised of seven members and, as far as practical, shall consist of two licensed or certified contractors, one electrical contractor, one heating and ventilation contractor, one architect or engineer, one plumbing contractor, and one concerned citizen. The City Council may also appoint one or two alternate members for a term of three years. She said they could waive those requirements but since the code does say the term is three years, they should allow for a three-year term. MOTION by Council Member Nunn and SECOND by Council Member Dodd to appoint Ms. Pendretti to the alternate contractor position with a term to expire September 30, 2028. 10. PUBLIC HEARINGS 25.115 A. Consideration of Communitv Development Block Grant (CDBG) Five -Year Consolidated Plan and Annual Action Plan - Public Hearina_ and Adoption of Resolution No. R-25-26 The Community Development Director said this five-year plan requires City Council approval. There was a 30-day comment period to which they did not receive any comments. 43 Regular City Council Meeting July 23, 2025 Page 4 Joseph Sheets, Anser Consulting, gave a PowerPoint presentation describing how the program has rehabilitated 25 housing units and replaced the sidewalk along North Central Avenue to date. (See attached) The City anticipates receiving $116,320 this year. MOTION by Vice Mayor Jones and SECOND by Council Member Dodd to approve Resolution No. R-25-26. There was no public input. Roll call: Council Member Dodd - aye Council Member Nunn - aye Mayor McPartlan - aye Vice Mayor Jones - aye Motion carried. 4-0 11. UNFINISHED BUSINESS - None 12. NEW BUSINESS 25.116 A. Emalovee Benefit Renewal Presentation Louis Centano, Gehring Group, displayed a PowerPoint going over the recommendations for renewal; the medical rate history; the 2025 renewal and RFP process for the dental and vision lines of coverage. (See attached) He described the Blue Value Solutions point attainment system that correlates to the percentage increase that will be experienced by the employees for their health insurance. For the dental and vision, he recommended a carrier change from Humana to MetLife; and, remaining with Lincoln Financial for the life insurance, voluntary life insurance, short-term disability, long-term disability, and employee assistance program. MOTION by Vice Mayor Jones and SECOND by Council Member Nunn to approve the employee benefit renewals as recommended by the Gehring Group. Roll call: Council Member Nunn - aye Mayor McPartlan - aye Vice Mayor Jones - aye Council Member Dodd - aye Motion carried. 4-0 25.035 B. Consideration of a Motion to Set the Proaosed Millaae at 3.5455 for FY2026 and Direct the Citv Manaaer to Execute and Transmit the Reauired Forms The Finance Director thanked Council and staff for their hard work in putting the budget together. He said some current factors affecting this year's budget are that the consumer price index inflation is up 2.4% for the year ending May 2025; interest rates remain high; the Fed's target rate at 4.25% to 4.5% is causing housing prices to decline 44 Regular City Council Meeting July 23, 2025 Page 5 but it helps with interest revenue in the excess fund balance funds. The Florida unemployment is trending higher, up to 4% year over year in May and the Florida housing prices are down 2% year over year and 3.4% in Sebastian. However, a recent report just came out showing Sebastian housing prices are down 7.9%, which of the cities that were surveyed by Consumer Affairs across the United States, Sebastian was number 5 with the highest percent of decline in housing prices. The Sebastian taxable assessed value is up 8.4% for FY '26. Some unknown budget variables include the ongoing police and supervisor union negotiations and the non- union employee pay increases. The General Fund is expected to increase 3.8% due to personnel costs and operating expenditures, and he went over the Enterprise Funds. (Slides 6-8) He then went over the Special Revenue Funds. (Slides 9-15) He said the certified taxable values increased by $193,311,991 or 8.4% above 2025. This was made up of additions which account for $58,569,929 or 2.55% of the increase and the reassessments were $134,7420,062 or 5.86% of the increase. This makes the rolled - back rate at 3.0148 and staff is proposing a millage of 3.5455 which is an increase of 0.35 mils. To use the rolled -back rate to fund this budget it would require using $1,300,000 of the General Fund Reserves. He displayed slide 21 showing the millage impact on various home values. Setting the proposed millage for the trim notices at 3.5455 will be advertised as a 17.60% tax increase and he asked for Council approval of the tentative millage rate at 3.5455. Lance Lunsford, President of the Taxpayers Association of Indian County, thanked Council and staff for their collaboration and openness. He said the association is recommending flexibility in the assessment of millage rates because of the unprecedented wave of growth here in Indian River County and they would like to make sure the City is prepared to handle the demand. Council Member Dodd said he had concerns over the many unknowns which are going to impact the budget such as the new retirement plan. They will have to either use reserves or tax increases to cover them. There are some small things that they can do, but there's nothing major enough for us to be able to not increase taxes. The City Manager said he has already dipped into the reserves for about $300,000 and there were many places that he has already squeezed but if Council wanted to set the millage a quarter mill, he would make it work. He said he was concerned about the property and liability increase because it wouldn't come in until early September. The only two funds that have sizable reserves are the Discretionary Sales Tax (DST) Fund and the Stormwater Fund. The DST Fund could fund the three airport projects but not the railroad crossing maintenance or salaries. The DST fund could also pay mill and overlay road paving but not preservation. 45 Regular City Council Meeting July 23, 2025 Page 6 Discussion followed on keeping the quality of life where it is so the City doesn't have to catch up later and let staff find opportunities for additional savings. Mayor McPartlan said the Budget Review Committee was in support of the staff recommendation and with that, he made a MOTION to set the proposed trim at 3.5455 which was SECONDED by Vice Mayor Jones. Roll call: Mayor McPartlan - aye Vice Mayor Jones - aye Council Member Dodd - aye Council Member Nunn - aye Motion carried. 4-0 The Finance Director said the two budget hearings are scheduled for September 15 and 24, 2025. 25.117 C. Consideration of Resolution No. R-25-25 to Accer)t FAA Grant Aareement - Desian Rer)air and Reseal of Runwav 10-28, Givina ADr)roval for Citv Manaaer to Execute and Allocate 55,400 from Airaort Reserves for the Matchina Funds The City Manager said in a recent PCI study, the runway was getting close to the bottom of the satisfactory rating. He said the FAA is willing to fund the design and hopefully they will be on board with helping with the construction. He requested approval. MOTION by Council Member Dodd and SECOND by Vice Mayor Jones to approve Resolution No. R-25-25. There was no public input. Vice Mayor Jones - aye Council Member Dodd - aye Council Member Nunn - aye Mayor McPartlan - aye Motion carried. 4-0 13. CITY ATTORNEY MATTERS The City Attorney said there was some recent legislation enacted regarding local government restrictions on comprehensive plan amendments, development orders, and the like. She was contacted by Weiss, Serota, Helfman, Cole and Bierman who are willing to take this on for a fee of $10,000, with an additional $5,000 for each appellate level. She distributed a sample resolution for Council to review to determine if they would like to join the lawsuit. It was the consensus of Council to have the City Attorney investigate what other cities have joined the lawsuit and bring back the resolution to their August meeting. 46 Regular City Council Meeting July 23, 2025 Page 7 14. CITY MANAGER MATTERS The City Manager said every municipality has received a DOGE request for information from the Florida Governor's Office on July 11 in regards to fiscal years '21, '22, '23, and '24, and all of the revenue sources those municipalities have and how they have expended those funds amongst their departments. He has asked the auditing firm, Carr Riggs and Ingram, for their assistance in responding to the request before Monday's deadline. Stonecror) Pro iect The current plan was to be finished by the end of July but when the contractor was beginning to grade the sides of the ditches for the sod, it was noticed that some of the mats have started to fail indicating erosion from the underside causing the mats to lift up and ripple. He said he has requested a plan of action from the contractor on how to correct the issue. Laconia Street Pro iect He reported that the Laconia project did require a little bit of a redesign because water was running off to the sides which could undermine the backside of the wing walls. Staff is looking into installing a portion of curb to force the water down into the ditches. Board Member Polo Shirts The City Manager said historically, the City has provided board members with a green polo shirt with the City's logo and at times, it has caused some issues with members of the public and businesses who think the board member is an employee of the City. In moving forward, he asked Council if they would like to add the word volunteer underneath the logo or add the board name and the word volunteer. He added there has been some discussions by board members about the fit of the shirt itself since it is a standard male polo shirt. He asked for Council feedback going forward. It was the consensus of Council to add the word volunteer to a green dry -fit shirt and provide a ladies cut for the ladies. The City Manager will look into the length of the various board names to see if it will fit on the shirt. 15. CITY CLERK MATTERS - None 16. CITY COUNCIL MATTERS Council Member Dodd - None Vice Mayor Jones - None Mayor McPartlan said staff did a fantastic job with the two-day budget workshop. He said he knows the budget is as tight as possible and staff will find more savings. He thanked everyone for their work on that. 47 Regular City Council Meeting July 23, 2025 Page 8 Council Member Nunn invited the public to watch the two-day budget workshop to understand more about the business of the City because it goes through every single department and what they need to operate the City. 17. Being no further business, Mayor McPartlan adjourned the Regular City Council meeting at 7:33 p.m. Approved at the August 27, 2025 Regular City Council meeting Mayor Bob McPartlan ATTEST Jeanette Williams, City Clerk 48 CITY OF SEBASTIAN OF 5EBgr V _ �. O �FPFIICP� CITY COUNCIL STAFF REPORT DATE August 27, zoz5 TO Honorable Mayor and City Council THRU Brian Benton, City Manager FROM Ron Paul, Parks and Recreation Administrative Asst. SUBJECT Alcohol Beverage Approval — Kenny Family EXECUTIVE SUMMARY The Kenny Family is having a Birthday Party at the Community Center on November 22nd, 2025 and they are requesting permission to serve alcoholic beverages. RECOMMENDATION Staff recommends approval ATTACHMENTS: i. Rental Application 2. Payment Receipt FUNDING SOURCE: Expenditure required Amount Budgeted: Funding source N/A N/A N/A Additional Funds Needed: 49 ADOPTION AGREEMENT FOR THE RETIREMENT PLAN AND TRUST FOR THE GENERAL EMPLOYEES OF THE CITY OF SEBASTIAN b) Five or ten years certain basis: A Participant may elect to take a reduced benefit on a basis providing that such benefit shall be payable for a period of life and five or ten years certain in any event. c) Joint Pensioner option: Monthly income payment for the life of the Participant and after his death, a joint pensioner benefit payable for the life of the joint pensioner equal to, 100%, 75%, 66 2/3%, or 50% of the amount payable to the Participant. I. DEATH BENEFITS 1) Death Prior to Vesting: If a Participant dies prior to retirement, and they are not vested, their beneficiary shall receive a refund of one hundred percent (100%) of the Participant's accumulated contributions without interest, including any service credit buy back payments. 2) Death After Vestinq: In the event of the death prior to retirement of a vested Participant, the Participant's named beneficiary will receive a monthly annuity for 10 years certain beginning on the date the Participant would have reached normal retirement age equal to the Participant's monthly accrued benefit. If at the time of death, the Participant's named beneficiary is the Participant's legal spouse, then such surviving spouse may choose to receive a portion of the Participant's monthly accrued benefit payable for his or her lifetime in lieu of receiving the 10-year certain annuity otherwise described in this section. The surviving spouse's benefit will be equal to the amount that would have been payable to the surviving spouse calculated as if the deceased Participant had survived to his or her normal retirement age without earning any additional service or benefits under the Plan and had elected a 100% joint and survivor annuity with the surviving spouse as the joint annuitant. Furthermore, the surviving spouse may elect to convert the monthly annuity that would otherwise be payable at the Participant's normal retirement age into an actuarially equivalent monthly annuity payable for life to the surviving spouse beginning at any time after the Participant's death. RM94 S lyy II►/_AIIs] ► to] a4kviI�WeyjLVi1:11►111i_1►1B1TJ:&,]IIzW If a Participant's employment is terminated either voluntarily or involuntarily the following benefits are payable: 1) If the Participant is not vested upon termination of employment, the Participant shall be entitled to a refund of his accumulated contributions without interest, including any service credit buy back payments, or the Participant may leave the accumulated contributions deposited with the Fund. 2) If the Participant is vested upon termination of employment, the Participant shall be entitled to their accrued monthly retirement benefit starting at the Participant's otherwise normal or early retirement date, provided he does not elect to withdraw his contributions, without interest, and provided he survives to his normal or early retirement date. Early and normal retirement dates are based on actual earned years of credited service and attainment of applicable age. K. EMPLOYEE CONTRIBUTIONS Upon Plan enrollment, Participants must choose a Pre-tax contribution rate per Section G)(2) above, which will determine their Plan factor upon retirement. This election may be changed 5 151 ADOPTION AGREEMENT FOR THE RETIREMENT PLAN AND TRUST FOR THE GENERAL EMPLOYEES OF THE CITY OF SEBASTIAN effective 10/1/2030 and may be irrevocably changed every five (5) years after this date to be effective October 1. Changes must be requested prior to September 15 of the corresponding year. L. ONE-TIME OPT OUT OPTION: At Plan implementation, there will be a one-time irrevocable opt out option for eligible general employees under which eligible general employees may elect to participate in the City's 401(a) plan currently with Mission Square. If the Employee chooses to opt out, the Employer will contribute 9% of the Employee's Pensionable Earnings for a maximum of five (5) years, at which point no further contributions will be made. M. COST OF LIVING ADJUSTMENT: Not applicable unless otherwise stated. N. DEFERRED RETIREMENT OPTION PROGRAM -"DROP": Not applicable unless otherwise stated. This Adoption Agreement may be used only in conjunction with the Basic Defined Benefit Plan Document. This Adoption Agreement and the Basic Defined Benefit Plan Document shall together be known as the Retirement Plan and Trust for the General Employees of the City of Sebastian. The Adoption Agreement and the Basic Defined Benefit Plan Document are furnished for the consideration of the Employer and its legal and financial advisors. The Florida Municipal Pension Trust Fund advises the sponsoring Employer to consult with its own attorney and financial advisors on the legal and tax implications of the Defined Benefit Plan and the Adoption Agreement. Nothing herein should be construed as constituting legal or tax advice. We understand that the Employer may amend any election in this Adoption Agreement by giving the Trustee written notification of such Amendment as adopted. The Employer hereby agrees to operate under the provisions of the Master Trust Agreement creating the Florida Municipal Pension Trust Fund, which is incorporated in full into this Agreement and attached hereto as Exhibit A to the Basic Defined Benefit Plan Document and the Adoption Agreement. [REMAINDER OF PAGE LEFT INTENTIONALLY BLANK; SIGNATURE PAGE TO FOLLOW] 6 152 ADOPTION AGREEMENT FOR THE RETIREMENT PLAN AND TRUST FOR THE GENERAL EMPLOYEES OF THE CITY OF SEBASTIAN IN WITNESS WHEREOF, the Employer and Trustee hereby cause this Agreement to be executed on this day of 120 ATTEST: Jeannette Williams, MMC City Clerk EMPLOYER: CITY OF SEBASTIAN Bob McPartlan, Mayor APPROVED AS TO FORM & LEGALITY: Jennifer Cockcroft, Esq., City Attorney 7 153 ADOPTION AGREEMENT FOR THE RETIREMENT PLAN AND TRUST FOR THE GENERAL EMPLOYEES OF THE CITY OF SEBASTIAN EXHIBIT A: 154 ='� FMPTF FLORIDA MUNICIPAL PENSION TRUST FUND FLORIDA MUNICIPAL PENSION TRUST FUND DEFINED BENEFIT PLAN DOCUMENT RESTATED AND AMENDED AS OF September 21, 2023 Sponsored and Administered by: FLORIDA LEAGUE OF CITIES, INC. 301 S. Bronough Street, P.O. Box 1757 Tallahassee, FL 32302-1757 (850) 222-9684 Fax (850) 222-3806 00239131-I 155 ARTICLE 1 Section 1.01- Section 1.31 ARTICLE 2 TABLE OF CONTENTS DEFINITIONS Definitions PARTICIPATION 5 Section 2.01 Conditions of Eligibility 15 Section 2.02 Participation 15 Section 2.03 Change in Designation of Beneficiary 16 ARTICLE 3 BOARD OF TRUSTEES Section 3.01 Board of Trustees 17 ARTICLE 4 FINANCES AND FUND MANAGEMENT Section 4.01 Establishment and Operation of Fund 20 ARTICLE 5 CONTRIBUTIONS Section 5.01 Participant Contributions 25 Section 5.02 State Contribution 25 Section 5.03 Employer Contributions 25 Section 5.04 Other 26 /_1:4111IWI3=1LI=1akr_1LTi[oll]kik16V_1►I07=11111lei l 314kwo Section 6.01 Normal Retirement Date 27 Section 6.02 Normal Retirement Benefit 27 Section 6.03 Normal Form of Benefit 28 Section 6.04 Cost of Living Adjustments to Benefit Payments 28 Section 6.05 Early Retirement Date 28 Section 6.06 Early Retirement Benefit 29 Section 6.07 Deferred Retirement Option Program or "DROP" 29 Section 6.08 Required Distribution Date 30 Section 6.09 Defined Contribution Plan Component — Share Plan 30 ARTICLE 7 PRE -RETIREMENT DEATH Section 7.01 Death Prior to Vesting In -Line -Of -Duty 34 Section 7.02 Death After Vesting In -Line -Of- Duty 34 Section 7.03 Death Prior to Vesting Off -Duty 34 Section 7.04 Death After Vesting Off -Duty 34 Section 7.05 Beneficiaries in Receipt of Payment 34 2 DB PLAN RESTATED and AMENDED as of September 21, 2023 156 Section 7.06 Distribution of Benefits 34 Section 7.07 Benefit for Firefighters with Cancer 35 ARTICLE 8 DISABILITY Section 8.01 Disability Benefits In the Line of Duty 36 Section 8.02 Disability Benefits Off -Duty 37 Section 8.03 Conditions Disqualifying Disability Benefits 37 Section 8.04 Physical Examination Requirement 38 Section 8.05 Disability Payments 39 Section 8.06 Disability Payments and Workers Compensation 39 Section 8.07 Benefit for Firefighters with Cancer 40 ARTICLE 9 VESTING 41 ARTICLE 10 OPTIONAL FORMS OF BENEFITS 43 ARTICLE 11 BENEFICIARIES 46 ARTICLE 12 CLAIMS PROCEDURES 47 ARTICLE 13 REPORTS TO DIVISION OF RETIREMENT 48 ARTICLE 14 ROSTER OF RETIREES 49 ARTICLE 15 BOARD ATTORNEY AND PROFESSIONALS 50 ARTICLE 16 MAXIMUM PENSION Section 16.01 Basic Limitations 51 Section 16.02 Adjustment to Basic Limitation of Form of Benefit 51 Section 16.03 Less Than Ten (10) Years of Service 55 Section 16.04 Participation in Other Defined Benefit Plans 56 Section 16.05 Ten Thousand Dollar ($10,000) Limit 56 Section 16.06 Reduction of Benefits 56 Section 16.07 Service Credit Purchase Limits 57 Section 16.08 Additional Limitation on Pension Benefits 60 Section 16.09 Benefit Restoration Plan & Trust 60 ARTICLE 17 DISTRIBUTION OF BENEFITS 65 ARTICLE 18 MISCELLANEOUS PROVISIONS Section 18.01 Interest of Participants in Pension Plan 69 Section 18.02 Summary Plan Descriptions 69 Section 18.03 Gender and Number 69 Section 18.04 Headings and References 69 3 DB PLAN RESTATED and AMENDED as of September 21, 2023 157 Section 18.05 Benefit Improvements 71 Section 18.06 Procedures for Unclaimed Benefit 71 Section 18.07 Qualified Military Service 71 Section 18.08 Domestic Relations Order Submission 72 Section 18.09 Prohibited Transaction 72 Section 18.10 Qualification of Plan 72 Section 18.11 Plan Amendments 72 ARTICLE 19 REPEAL OR TERMINATION OF PLAN 74 ARTICLE 20 EXEMPTION FROM EXECUTION, NON ASSIGNABILITY 78 ARTICLE 21 FORFEITURE OF PENSION: CONVICTION AND FORFEITURE 79 ARTICLE 22 PENSION VALIDITY 82 ARTICLE 23 SIGNATORIES 83 EXHIBIT A MASTER TRUST AGREEMENT 84 EXHIBIT B ACTUARIAL EQUIVALENT 85 4 DB PLAN RESTATED and AMENDED as of September 21, 2023 158 ARTICLE 1 DEFINITIONS As used herein, unless otherwise defined or required by the context, the following words and phrases shall have the meaning indicated: 1.01 "Accumulated Contributions": shall mean a Participant's own contributions without interest. For those Participant's who purchase Credited Service with interest or at no cost to the Plan, only that portion of any payment representing the amount attributable to the Participant's contributions based on the applicable Participant contribution rate shall be included in Accumulated Contributions. 1.02 "Accrued Benefit": shall mean a fraction of the benefit to which a Participant would be entitled at their Normal Retirement Date. The numerator of the fraction is the years of participation completed to date and the denominator is the years of participation in the Plan that would have been earned if the Participant continued employment until their Normal Retirement Date. 1.03 "Actuary": shall mean an actuary that is a member of the Society of Actuaries or the American Academy of Actuaries and who is enrolled under subtitle C of Title III of the Employee Retirement Income Security Act of 1974. 1.04 "Actuarial Equivalent": Actuarial Equivalent is defined in the attachment marked Exhibit B. 1.05 "Adoption Agreement": shall mean the document outlining the specific benefits of the Plan, as executed by the Employer and attached to and made part of the Plan. 5 DB PLAN RESTATED and AMENDED as of September 21, 2023 159 1.06 "Average Final Compensation": shall mean one -twelfth (1/12) of the average annual compensation of the five (5) best years of the last ten (10) years of Credited Service prior to retirement, termination or death, or the career average, whichever is greater, unless otherwise specified in the Adoption Agreement. A year shall be defined as the twelve (12) consecutive months immediately prior to death, disability or retirement. In the case of a Volunteer Firefighter, Average Final Compensation shall mean the average salary of the five (5) best years of the ten (10) best contributing years prior to change in status to a permanent full-time Firefighter or retirement as a Volunteer Firefighter or the career average of a Volunteer Firefighter, whichever is greater. 1.07 "Beneficiary": shall mean the person or persons entitled to receive benefits hereunder at the death of a Participant who has or have been designated in writing by the Participant and filed with the Board. If no such designation is in effect, or if no person so designated is living, at the time of death of the Participant, the beneficiary shall be the estate of the Participant. 1.08 "Board": Shall mean the Board of Trustees, which shall administer and manage the Plan herein provided and serve as Trustees of the Fund. 1.09 "Code": shall mean the Internal Revenue Code of 1986, as amended from time to time. 1.10 "Credited Service": shall mean the total number of years and fractional parts of years as a Participant during which the Participant made required contributions to the Plan, omitting intervening years or fractional parts of years when such Participant is not employed by the Employer. Credited Service may be given for years of employment as a Police 6 DB PLAN RESTATED and AMENDED as of September 21, 2023 160 Officer, Firefighter or Public Safety Officer, prior to plan inception at the discretion of the Employer and as stated in the Adoption Agreement. A Participant may voluntarily leave his Participant contributions in the Fund for a period of five (5) years after leaving the employ of the Employer pending the possibility of being rehired in a position eligible for participation in this Plan, without losing credit for the time that he was a Participant in the Plan. If a vested Participant does not become reemployed within five (5) years, then the Accumulated Contributions will be returned to the Participant without interest, unless otherwise specified in the Adoption Agreement, upon receipt of written request of the Participant. If a Participant who is not vested is not reemployed with the Employer within five (5) years, his Accumulated Contributions shall be returned without interest. Upon return of a Participant's Accumulated Contribution, all rights and benefits under the Plan are forfeited and terminated. Upon any reemployment in a position eligible for participation in this Plan, a Participant shall not receive credit for the years and fractional parts of years for which he has withdrawn his Accumulated Contributions from the Plan unless the Participant repays into the Fund the contributions he has withdrawn, with interest, as determined by the Board, within ninety (90) days after reemployment. A Participant shall receive Credited Service for all purposes, including vesting, for the years or fractional parts of years that he performs "Qualified Military Service" including voluntary or involuntary service in the armed forces of the United States as defined in the Uniformed Services Employment and Reemployment Rights Act (USERRA) (P.L. 103-353), after separation from employment with the Employer, to perform training or service, provided that: (A) The Participant must return to his employment with the Employer within one (1) year following the date of military discharge or his release from active service. (B) The Participant is entitled to reemployment under the provisions of USERRA, 7 DB PLAN RESTATED and AMENDED as of September 21, 2023 161 (C) The maximum credit for military service pursuant to this paragraph shall be five (5) years. (D) This section is intended to satisfy the minimum requirements of USERRA, as may be amended from time to time. To the extent that this section does not meet the minimum requirements of USERRA, the provisions of USERRA shall govern. If a participant dies on or after January 1, 2007 while performing Qualified Military Service as defined by USERRA, the participant's beneficiaries shall be entitled to any benefits the participant would have been entitled to had he or she resumed employment and then died while employed. Beginning January 1, 2009, to the extent required by section 414(u)(12) of the Code, an individual receiving differential wage payments, as defined under section 3401(h)(2) of the_Code, from an employer shall be treated as employed by that employer, and the differential wage payment shall be treated as compensation for purposes of applying the limits on annual additions under section 415(c) of the Code. This provision shall be applied to all similarly situated individuals in a reasonably equivalent manner. 1.11 "Deferred Retirement Option Plan" or "DROP": shall mean a local law plan retirement option in which a Participant may elect to participate. A Participant may retire for all purposes of the plan and defer receipt of retirement benefits into a DROP account while continuing employment with his employer. However, a Participant who enters the DROP and who is otherwise eligible to participate shall not thereby be precluded from participating or continuing to participate in a supplemental plan in existence on, or created after, the date of adoption of a DROP by the Employer pursuant to Section M, "DROP," of the Adoption Agreement. 1.12 "Eariv Retirement Date": 8 DB PLAN RESTATED and AMENDED as of September 21, 2023 162 shall mean the date which is specified in the Adoption Agreement - Section G3, Early Retirement Date. 1.13 "Effective Date": shall mean the date of this Plan as specified in the Adoption Agreement - Section Al. 1.14 "Emplovee": shall mean the classes of employees designated as eligible to participate in this Plan as specified in the Adoption Agreement - Section B., except as otherwise provided in the Adoption Agreement. 1.15 "Emplover": shall mean the municipality, governmental entity, public agency or political subdivision established within the State of Florida that adopts this Plan. 1.16 "Firefighter": shall mean any person employed solely by a constituted fire department or public safety department of any municipality or special fire control district who is certified as a Firefighter as a condition of employment in accordance with the provisions of Section 633.35, FI. Stat., and whose duty is to extinguish fires, to protect life, and to protect property. The term includes all certified, supervisory, and command personnel whose duties include, in whole or in part, the supervision, training, guidance, and management responsibilities of full-time firefighters, part-time firefighters, or auxiliary firefighters but does not include part-time firefighters or auxiliary firefighters. 1.17 "Fund": shall mean the Trust Fund established herein as part of the Plan. 1.18 "Limitation Year": 9 DB PLAN RESTATED and AMENDED as of September 21, 2023 163 shall mean the calendar year, or the 12-consecutive month period elected by an Employer in the Adoption Agreement and approved by the FMPTF Master Trustee or its designee. All qualified plans maintained by the Employer must use the same Limitation Year. If the Limitation Year is amended to a different 12-consectuvie month period, the new Limitation Year must begin on a date within the Limitation Year in which the amendment is made. 1. 19 "Normal Retirement Date": shall mean the date as specified in the Adoption Agreement - Section G1 Normal Retirement Date. 1.20 "Participant or Member" shall mean the actively employed Employees who are eligible to participate in this Plan as specified in the Adoption Agreement - Section B, Plan and Section C, Eligibility. Benefit improvements which, in the past, have been provided for by amendments to the Plan adopted by the Employer by ordinance or resolution, and any benefit improvements which might be made in the future shall apply prospectively and shall not apply to Participants who terminate employment or who retire prior to the effective date of any ordinance or resolution adopting such benefit improvements, unless such ordinance or resolution specifically provides to the contrary. 1.21 "Plan": shall mean the pension Plan as herein set forth and as may be amended from time to time. 1.22 "Plan Year": shall mean the Plan's accounting year of twelve (12) consecutive months commencing on October 1 of each year and ending the following September 30, or the Plan Year as specified in the Adoption Agreement. 10 DB PLAN RESTATED and AMENDED as of September 21, 2023 164 1.23 "Police Officer": shall mean any person who is elected, appointed, or employed full time by any municipality, who is certified or required to be certified as law enforcement officer in compliance with s. 943.1395, FI. Stat., who is vested with authority to bear arms and make arrests, and whose primary responsibility is the prevention and detection of crime or the enforcement of the penal, criminal, traffic, or highway laws of the State. This definition includes all certified supervisory and command personnel whose duties include, in whole or in part, the supervision, training, guidance, and management responsibilities of full-time law enforcement officers, part-time law enforcement officers, or auxiliary law enforcement officers, but does not include part- time law enforcement officers or auxiliary law enforcement officers as the same are defined in s. 943.10(6) and (8), FI. Stat., respectively. A Police Officer classification shall also include a public safety officer who is responsible for performing both police and fire services. 1.24 "Public Safety Officer": shall mean an actively employed person who is responsible for performing both firefighter and police officer services. A Public Safety Officer shall be considered a "police officer" for the purposes of this Plan. 1.25 "Salarv/Compensation": Notwithstanding any provision of this Plan or Adoption Agreement, "Salary/Compensation" for all Participants participating under the Plan shall be limited as follows: For noncollectively bargained service earned on or after July 1, 2011, or for service earned under collective bargaining agreements entered into on or after July 1, 2011, when calculating a Participant's retirement benefits, the Plan may include up to 300 hours per year of overtime compensation as noted in the Adoption Agreement, but may not include any payments for accrued unused sick leave or annual leave. For those Participants whose terms and conditions of employment are collectively 11 DB PLAN RESTATED and AMENDED as of September 21, 2023 165 bargained, this provision is effective for the first agreement entered into on or after July 1, 2011. For Firefighters, "compensation" or "salary" means, for noncollectively bargained service earned before July 1, 2011, or for service earned under collective bargaining agreements in place before July 1, 2011, the fixed monthly remuneration paid a Firefighter; where, as in the case of a Volunteer Firefighter, remuneration is based on actual services rendered, the term means the total cash remuneration received yearly for such services, prorated on a monthly basis. For noncollectively bargained service earned on or after July 1, 2011, or for service earned under collective bargaining agreements entered into on or after July 1, 2011, the term has the same meaning except that when calculating retirement benefits, up to 300 hours per year in overtime compensation may be included as noted in the Adoption Agreement, but payments for accrued unused sick or annual leave may not be included. For Police Officers, "compensation" or "salary" means, for noncollectively bargained service earned before July 1, 2011, or for service earned under collective bargaining agreements in place before July 1, 2011, the total cash remuneration paid to a Police Officer for services rendered, including overtime payments which may be limited to not less than 300 hours per calendar year, but not including any payments for extra duty or a special detail work performed on behalf of a second party employer. For noncollectively bargained service earned on or after July 1, 2011, or for service earned under collective bargaining agreements entered into on or after July 1, 2011, the term has the same meaning except that when calculating retirement benefits, up to 300 hours per year in overtime compensation may be included as noted in the Adoption Agreement, but payments for accrued unused sick or annual leave may not be included. For a firefighter or police officer supplemental plan operating under either section 175.351(4) or 185.35(4), Florida Statutes, the definition of compensation or salary may be as provided under the referenced sections of law. 12 DB PLAN RESTATED and AMENDED as of September 21, 2023 166 Compensation in excess of the limitations set forth in Section 401(a)(17) of the Code as of the first day of the calendar year shall be disregarded for any purpose, including employee contributions or any benefit calculations. The annual compensation of each member taken into account in determining benefits or employee contributions for any calendar year beginning on or after January 1, 2002, may not exceed $200,000, as adjusted for cost -of -living increases in accordance with Section 401 (a)(1 7)(B) of the Code. See Section D of the Adoption Agreement for further details. 1.26 "Spouse": shall mean the Participant's spouse under applicable law at the time benefits become payable. 1. 27 "Total and Permanent Disability": shall mean a physical or mental condition of a Participant resulting from bodily injury, disease, or mental disorder which renders him incapable of employment as a Firefighter, Police Officer or Public Safety Officer, and which condition constitutes total disability as determined by the Board. 1.28 "Trust Fund or Trust": shall mean the Trust Fund established under this Plan to hold Plan assets and to which contributions are to be paid and benefits held. Nothing herein shall preclude the establishment of more than one trust fund as may be required by law or adopted by the Employer. 1.29 "Trustee": shall mean the person or persons named as and making up the Board of Trustees or Board, who shall administer and manage the Plan. 13 DB PLAN RESTATED and AMENDED as of September 21, 2023 167 1.30 "Valuation Date": shall mean the first day of the Plan Year. 1.31 "Volunteer Firefighter": shall mean any person whose name is carried on the active membership roll of a constituted volunteer fire department or a combination of a paid and volunteer fire department of any municipality or special fire control district and whose duty is to extinguish fires, protect life, and to protect property. Compensation for services rendered by a Volunteer Firefighter shall not disqualify him as a volunteer. A person shall not be disqualified as a Volunteer Firefighter solely because he has other gainful employment. Any person who volunteers assistance at a fire, but is not an active member of the department described herein is not a Volunteer Firefighter within the meaning of this paragraph. 14 DB PLAN RESTATED and AMENDED as of September 21, 2023 168 ARTICLE 2 PARTICIPATION 2.01 Conditions of Eliqibilitv A Participant shall become eligible to participate in this Plan as specified in Section C of the Adoption Agreement. As a condition of eligibility, the Employee participants shall be required to complete a medical examination as prescribed by the Board, and provide complete and accurate information concerning their health status as requested by the Board. Any material misstatements or omissions of required health or medical information by an applicant or Participant shall be grounds for denial of benefits. Based upon medical evidence of any pre-existing adverse health condition, resulting from the prescribed examination or other medical records or history, the Board may determine ineligibility for disability benefits hereunder, as related to such pre-existing condition. A Participant may be declared ineligible for disability benefits only at the time of the initial examination provided in this section, or at a later date if the Board established that a condition existed at the time of the Participant's employment or date of participation, and the condition was known to the employee. A determination of pre- existing condition shall be recorded on the Participant's record of membership, a copy of which shall be provided to the Participant, and shall be reflected in the minutes of the Board meeting at which such determination was made by the Board. The procedures followed and the determination of the Board as to a pre-existing condition shall be considered on a uniform, non-discriminatory basis. 2.02 Participation Each Participant shall complete a form prescribed by the Board providing the following information: (A) enrollment in the Plan (B) designation of a beneficiary or beneficiaries, 15 DB PLAN RESTATED and AMENDED as of September 21, 2023 169 (C) a certified statement as to prior medical history, and a waiver to release and access medical records. 2.03 Change in Designation of Beneficiary A Participant may from time to time change his designated beneficiary by written notice to the Board upon forms provided by the Board. Upon such change, the rights of all previously designated beneficiaries to receive any benefits under the Plan shall cease. A change of beneficiary shall not require consent of the beneficiary. Notwithstanding the provisions of this paragraph, a police officer retiree or firefighter retiree may change his or her designation of beneficiary up to two times without the approval of the Board or the current beneficiary. The retiree is not required to provide proof of the good health of the beneficiary being removed, and the beneficiary being removed need not be living. 16 DB PLAN RESTATED and AMENDED as of September 21, 2023 170 ARTICLE 3 BOARD OF TRUSTEES 3.01 Board of Trustees (A) The sole and exclusive administration of and responsibility for the proper operation of the Plan is hereby vested in a Board of Trustees. For plans participating in Chapter 175 or 185, Fl. Stat., these trustees shall be selected according to Section 175.061 (1)(b), Fl. Stat., and Section 185.05, (1)(b), Fl. Stat. For plans not participating in Chapter 175 or 185, Fl. Stat., these trustees shall be selected according to municipal ordinance, or resolution adopted by the governing body of the special fire control district. Each Board of Trustees shall be a legal entity with, in addition to other powers and responsibilities contained herein, the power to bring and defend lawsuits of every kind, nature, and description. Accurate and detailed accounts of all Board meetings must be kept. All accounts, books and records relating thereto shall be open to inspection and audit in accordance with general law. The Board shall issue such reports as are requested and make available to the same for inspection any and all records and accounts which are deemed appropriate in order to comply with governmental regulations issued thereunder. (B) The Board members shall, by a majority vote, elect a Chairman and a Secretary. The Secretary of the Board shall keep a complete minute book of the actions, proceeding, or hearings of the Board. The Board members shall not receive any compensation as such, but may receive expenses and per diem as provided by law. (C) Each Board member shall serve as trustee for a period of 2 years, unless he or she sooner leaves the employment of the Employer, whereupon a successor shall be chosen in the same manner as an original appointment. However, the terms of office of the appointed and elected 17 DB PLAN RESTATED and AMENDED as of September 21, 2023 171 members may be amended by municipal ordinance, or resolution adopted by the governing body of the special fire control district to extend the terms from 2 years to 4 years. The length of the terms of office shall be the same for all board members. (D) Each Board member shall be entitled to one vote on the Board. A majority of the Board shall be necessary for any decision of the Board. A Board member shall have the right to abstain from voting as the result of a conflict of interest provided that Board member states in writing the nature of the conflict and complies with the provisions of Section 112.3143, FI. Stat. (E) The Board of Trustees shall engage such actuarial, accounting, legal, and other services as shall be required to transact the business of the Plan. The compensation of all persons engaged by the Board and all other expenses of the Board necessary for the operation of the Plan shall be paid from the Fund at such rates and in such amounts as the Board of Trustees shall approve. (F) The duties and responsibilities of the Board of Trustees shall include, but not necessarily be limited to, the following- (1) To construe the provisions of the Plan and determine all questions arising thereunder. (2) To determine all questions relating to eligibility and participation. (3) To determine the amount of all benefits hereunder. (4) To establish uniform rules and procedures to be followed for administrative purposes, benefit applications, and all matters required to administer the Plan. (5) To distribute to Participants, at regular intervals, information concerning the Plan. (6) To receive and process all applications for participation and benefits. is DB PLAN RESTATED and AMENDED as of September 21, 2023 172 (7) To authorize all payments whatsoever from the Fund, and to notify the disbursing agent, in writing, of approved benefit payments and other expenditures arising through operation of the Plan and Fund. (8) To have performed actuarial studies and at least triennial valuations, as required by law, and make recommendations regarding any and all changes in the provisions of the Plan. (9) To perform such other duties as required to administer the Plan. (10) To arrange for and select physicians for medical exams and review and advise on medical disability eligibility issues. (11) To invest and reinvest the assets of the Fund. (G) At least once every three (3) years, the Board shall retain a professionally qualified independent consultant who shall evaluate the performance of any existing professional money manager and shall make recommendations to the Board regarding the selection of money managers for the next investment term. These recommendations shall be considered by the Board at its next regularly scheduled meeting. 19 DB PLAN RESTATED and AMENDED as of September 21, 2023 173 ARTICLE 4 FINANCES AND FUND MANAGEMENT 4.01 Establishment and Operation of Fund (A) As part of the Plan, there is hereby established the Fund, into which shall be deposited all of the contributions and assets whatsoever attributable to the Plan, including any assets of any prior municipal trust fund(s). (B) The actual custody and supervision of the Fund (and assets thereof) shall be vested in the Board. Payment of benefits and disbursements from the Fund shall be made by the disbursing agent but only upon written authorization from the Board or its designee. (C) All funds of the Plan may be deposited by the Board with the Employer, acting in a ministerial capacity only, who shall be liable in the same manner and to the same extent as he is liable for the safekeeping of funds for the Employer. However, any funds so deposited with the Employer shall be kept in a separate fund by the Employer or clearly identified as such funds of the Plan. In lieu thereof, the Board shall deposit the funds in a qualified public depository as defined in Section 280.02, FI. Stat., which depository with regard to such funds shall conform to and be bound by all of the provisions of Chapter 280, FI. Stat. In order to fulfill its investment responsibilities as set forth herein, the Board may retain the services of a custodian bank, an investment adviser registered under the Investment Advisors Act of 1940, or otherwise exempt from such required registration, an insurance company, or a combination of these, for the purpose of investment decisions and management. Such investment manager shall have discretion, subject to any guidelines as prescribed by the Board, in the investment of all Fund assets. (D) All funds of the Plan may be commingled without limitation in governmental investment trusts, no-load investment funds or no-load mutual 20 DB PLAN RESTATED and AMENDED as of September 21, 2023 174 funds, and all such trusts or funds must comply with the Investment Policy as attached as Exhibit A. Accurate records are to be maintained at all times reflecting the financial composition of the Fund, including accurate current accounts and entries as regards the following- (1) Current amounts of Accumulated Contributions of Participants on both an individual and aggregate account basis, and (2) receipts and disbursements, and (3) benefit payments, and (4) current amounts clearly reflecting all monies, funds and assets whatsoever attributable to contributions and deposits from the Employer, and (5) all interest, dividends and gains (or losses), and (6) such other entries as may be properly required so as to reflect a clear and complete financial report of the Fund. (E) An independent audit shall be performed annually by a certified public accountant for the most recent fiscal year of the Employer showing a listing of assets and a statement of all income and disbursements during the year. Such income and disbursements must be reconciled with the assets at the beginning and end of the year. Such report shall reflect a complete evaluation of assets on a cost and market basis, as well as other items normally included in a certified audit. (F) The Board of Trustees shall have the following investment powers and authority: (1) The Board of Trustees shall be vested with full legal title to said Fund, subject, however, and in any event to the authority and power of the governing body of the Employer to amend or terminate this Plan, provided that no amendment or termination shall ever result in the use 21 DB PLAN RESTATED and AMENDED as of September 21, 2023 175 of any assets of the Fund except for the payment of regular expenses and benefits under this Plan, and except as otherwise provided in this Plan. All contributions deposited into the Fund, and the income thereof, without distinction between principal and income, shall be held and administered by the Board, or its agent, in the Fund, and the Board shall not be required to segregate or invest separately any portion of the Fund. (2) All monies paid into or held in the Fund shall be invested and reinvested by the Board. The Fund shall be invested in accordance with an established investment policy adopted by the Board. The adopted investment policy will be made part of this document and shall be attached as Exhibit A. (3) The Board may cause any investment in securities held by it to be registered in or transferred into its name as Trustee or into the name of such nominee as it may direct, or it may retain them unregistered and in a form permitting transferability, but the books and records shall at all times show that all investments are part of the Trust Fund. (4) The Board is empowered, but is not required, to vote upon any stocks, bonds, or securities of any corporation, association, or trust and to give general or specific proxies or powers of attorney with or without power of substitution to participate in mergers, reorganizations, recapitalization, consolidations and similar transactions with respect to such securities; to deposit such stock or other securities in any voting trust or any protective or like committee with the Trustee or with depositories designated thereby; to amortize or fail to amortize any part or all of the premium or discount resulting from the acquisition or disposition of assets; and generally to exercise any of the powers of an owner with respect to stocks, bonds, or other investments comprising the Fund which it may deem to be in the best interest of the Fund to exercise. 22 DB PLAN RESTATED and AMENDED as of September 21, 2023 176 (5) Any overpayments or underpayments from the Fund to a Participant or beneficiary caused by errors of computation shall be adjusted with interest at a rate per annum as utilized in the prior years' actuarial valuation. Overpayments shall be charged against payments next succeeding the correction. Underpayments shall be made up from the Trust Fund. (6) In any application to or proceeding or action in the courts, the Board and Employer shall be a necessary party, and no Participant or other person having an interest in the Fund shall be entitled to any notice or service of process. Any judgment entered in such a proceeding or action shall be conclusive upon all persons. (7) Any powers and functions of the Board may be performed or carried out by the Board through duly authorized agents, provided that the Board at all times maintains continuous supervision over the acts of any such agent; provided further, that legal title to the Fund always remain with the Board. (G) Notwithstanding any provision of this section to the contrary, for plans participating in Chapter 175 or 185, FI. Stat., the Board shall identify and publicly report any direct or indirect holdings it may have in any scrutinized company, as defined in section 215.473, Florida Statutes, and proceed to sell, redeem, divest, or withdraw all publicly traded securities it may have in that company beginning January 1, 2010. The divestiture of any such security must be completed as specified in Chapter 175 or 185, FI. Stat. The Board and its named officers or investment advisors may not be deemed to have breached their fiduciary duty in any action taken to dispose of any such security, and the Board shall have satisfactorily discharged the fiduciary duties of loyalty, prudence, and sole and exclusive benefit to the participants of the pension fund and their beneficiaries if the actions it takes are consistent with the duties imposed by s. 215.473, and the manner of the disposition, if any, is reasonable as to the means chosen. 23 DB PLAN RESTATED and AMENDED as of September 21, 2023 177 For the purposes of effecting compliance with that section, the pension fund shall designate terror -free plans that allocate their funds among securities not subject to divestiture. No person may bring any civil, criminal, or administrative action against the Board of trustees or any employee, officer, director, or advisor of such pension fund based upon the divestiture of any security pursuant to this paragraph. 24 DB PLAN RESTATED and AMENDED as of September 21, 2023 178 ARTICLE 5 CONTRIBUTIONS 5.01 Participant Contributions (A) Amount Participants in the Plan shall be required to make contributions to the Fund in the amount specified in the Adoption Agreement - Section K, Employee Contributions. (B) Method Participant contributions shall be made by payroll deduction. Participant contributions withheld by the Employer on behalf of the Participant shall be deposited in the Fund immediately after each pay period. (C) Pre -Tax Emplovee Contributions If pre-tax Employee Contributions are applicable, this provision will be noted within the Adoption Agreement - Section K as pre-tax contributions pursuant to Section 414(h) of the Code, otherwise the Plan will assume after tax contributions. Such designation is contingent upon the contribution being excluded from the Employees' gross income for federal income tax purposes. For all other purposes of the Plan, such contributions shall be considered Employee contributions. 5.02 State Contributions Any monies received or receivable by reason of laws of the State of Florida, for the express purpose of funding the Plan shall be deposited in the Trust Fund comprising part of this Plan immediately. Contributions must be deposited within five (5) days after receipt by the Employer. 5.03 Emplover Contributions So long as this Plan is in effect, the Employer shall deposit quarterly contributions for each Plan Year to the Trust Fund in an amount equal to the amount determined by the Actuary, taking into account Participant contributions, state contributions for such 25 DB PLAN RESTATED and AMENDED as of September 21, 2023 179 year, and the total cost for the Plan Year, as represented in the most recent actuarial valuation of the Plan. The total cost for each Plan Year shall be defined as the total normal cost plus the additional amount sufficient to amortize the unfunded past service liability as provided in Part VI of Chapter 112, Florida Statutes. 5.04 Other Private donations, gifts and contributions may be deposited to the Fund. 26 DB PLAN RESTATED and AMENDED as of September 21, 2023 180 ARTICLE 6 BENEFIT AMOUNTS AND ELIGIBILITY 6.01 Normal Retirement Date A Participant's Normal Retirement Date shall be as specified in the Adoption Agreement - Section G1, Normal Retirement Date. A Participant may retire on his Normal Retirement Date or on the first day of any month thereafter. Normal Retirement under the Plan is retirement from employment with the Employer on or after the Normal Retirement Date and completion of the required years of credited service. 6.02 Normal Retirement Benefit (1) A Participant retiring hereunder on or after his Normal Retirement Date shall receive a monthly benefit as specified in the Adoption Agreement - Section G2, Normal Retirement Benefit, which shall commence on the first day of the month coincident with or next following his termination of employment. In the event that a Participant does not begin to receive his Benefit at his Normal Retirement Date, such Participant shall be entitled to a deferred benefit equal to the benefit he was entitled to receive at his Normal Retirement Date, adjusted to take into account his Average Final Compensation and years of Credited Service as of his actual retirement date. (2) The monthly Normal Retirement Benefit of a Volunteer Firefighter who changes status from a Volunteer Firefighter to a full-time Firefighter shall be as provided below. (A) The amount of monthly retirement income payable to a full—time Firefighter who retires on or after his or her Normal Retirement Date shall be an amount equal to the number of his or her years of Credited Service as a full-time Firefighter multiplied by the Normal Retirement Benefit multiplier specified in Section 27 DB PLAN RESTATED and AMENDED as of September 21, 2023 181 G2 of the Adoption Agreement multiplied by his or her Average Final Compensation as a full-time Firefighter. (B) The amount of monthly retirement income payable to a Volunteer Firefighter who retires on or after his or her Normal Retirement Date shall be an amount equal to the number of his or her years of Credited Service as a Volunteer Firefighter multiplied by the Normal Retirement Benefit multiplier specified in Section G2 of the Adoption Agreement multiplied by his or her Average Final Compensation as a Volunteer Firefighter. (C) The sum of the Firefighter's monthly retirement income as determined under (A) and (B) shall be the Firefighter's Normal Retirement Benefit. 6.03 Normal Form of Benefit The normal form of benefit shall be a single monthly retirement benefit for life, ceasing upon death, except as otherwise provided for plans operating under Chapter 175 or 185, Fl. Stat. 6.04 Cost of Livinq Adiustments to Benefit Pavments A cost -of -living increase, if applicable, shall be as specified in the Adoption Agreement, Section L - COLA Adjustments. 6.05 Early Retirement Date A Participant may retire on the Early Retirement Date as specified in the Adoption Agreement - Section G3, Early Retirement Date. Early retirement under the Plan is termination from employment with the Employer on or after the Early Retirement Date and prior to the Normal Retirement Date and the actual completion of the required years of credited service. 28 DB PLAN RESTATED and AMENDED as of September 21, 2023 182 6.06 Early Retirement Benefit A Participant retiring hereunder on or after his Early Retirement Date may receive either a deferred or an immediate monthly retirement benefit payable for life, or as otherwise provided for plans operating under Chapter 175 or 185, FI. Stat. as follows: (A) A deferred monthly retirement benefit which shall commence on what would have been his Normal Retirement Date had he remained a Participant, determined based upon his actual years of Credited Service. The amount of such deferred monthly retirement benefit shall be determined in the same manner as for retirement at his Normal Retirement Date, as determined based upon his actual years of Credited Service, except that Credited Service and Average Final Compensation shall be determined as of his Early Retirement Date; or (B) An immediate monthly retirement benefit which shall commence on his Early Retirement Date. The amount of the Early Retirement Benefit shall be determined in the same manner as for Retirement at his Normal Retirement Date, except the benefit shall be actuarially reduced to take into account the Participant's younger age and the earlier commencement of retirement income payments as specified in Section G4 of the Adoption Agreement for each year before the Normal Retirement Date that benefit payment commenced. 6.07 Deferred Retirement Option Program or "DROP" A Deferred Retirement Option Program or "DROP", if applicable, shall be as specified in the Adoption Agreement, Section M — DEFERRED RETIREMENT OPTION PROGRAM, "DROP" An Employer or Board may establish a DROP distribution option to be administered by the Florida Municipal Pension Trust Fund ("FMPTF") Master Trustee whereby DROP funds are invested through the FMPTF Master Trustee or to allow retirees to 29 DB PLAN RESTATED and AMENDED as of September 21, 2023 183 direct the investment of DROP funds through the FMPTF Master Trustee. Such an arrangement may be provided for by separate agreement. 6.08 Required Distribution Date Distribution of a participant's benefit under this article must commence no later than April 1 of the calendar year following the later of the calendar year during which the participant attains the applicable age required by IRC § 401(a)(9) or the calendar year in which the participant terminates employment with the Employer. [Note: Under SECURE 2.0 Act the applicable age requirements are as follows: • 70'/Z for Participants born June 30, 1949, or earlier • 72 for Participants born on July 1, 1949, through and including December 31, 1950 • 73 for Participants born on January 1, 1951, through and including December 31, 1959 • 75 for Participants born January 1, 1960, or later] 6.09 Defined Contribution Plan Component -- Share Plan (A) For plans participating in Chapter 175 or 185, Florida Statutes, in accordance with sections 175.351(6) and 185.35(6), Florida Statutes, there is hereby established a defined contribution plan component ("Share Plan") to provide special benefits to Firefighters, Police Officers and Public Safety Officers who are Members of the defined benefit plan, as set forth in this section unless a Share Plan has been created and is operational through an Adoption Agreement, in which case the provisions of the Share Plan under the Adoption Agreement shall prevail. The Share Plan shall be funded solely and entirely by Chapter 175 and 185 premium tax monies that are allocated to the Share Plan, either by (1) mutual consent of the Employer and the plan members' collective bargaining representative, or if there is no collective bargaining representative a majority of plan members; or (2) operation of sections 175.351(1)(a)-(f) and 185.35(1)(a)-(f), Florida Statutes. The Board shall provide documentation to the plan administrator of the manner in which premium tax monies are to be allocated to the Share Plan on or before 30 DB PLAN RESTATED and AMENDED as of September 21, 2023 184 December 31, 2015 and on or before each September 30 thereafter. It is not required that any premium tax monies be allocated to the Share Plan. (B) Eligible Share Plan Participants. Eligible Share Plan participants shall be determined through collective bargaining between the Employer and the plan members' collective bargaining representative, or if there is no collective bargaining representative, by the Employer. The Employer or Board shall provide a description to the plan administrator of the eligible Share Plan participants on or before December 31, 2015, and upon any change in such description thereafter. (C) Individual Share Accounts. For accounting purposes only, an individual share account shall be created for each eligible Share Plan participant as of the date that premium tax monies are first allocated to the Share Plan. Thereafter the plan administrator shall maintain appropriate records showing the share account balance of each participant. Once funds have been credited to participant share accounts, an annual statement shall be provided to each participant setting forth their share account balance as of the end of the preceding plan year. (D) Share Account Funding. Individual share accounts shall be established as of December 31, 2015 for all eligible Share Plan participants, or at a later date when premium tax monies are first allocated to the Share Plan. Individual share accounts shall be credited with a portion of any premium tax monies allocated to the Share Plan for the plan year beginning October 1, 2015, and each plan year thereafter in which premium tax monies are allocated to the Share Plan, as follows- (1) Initial Credit from Unallocated Premium Tax Monies (if applicable). If any accumulation of additional premium tax monies which have not been allocated to fund benefits in excess of the 31 DB PLAN RESTATED and AMENDED as of September 21, 2023 185 minimum benefits are to be credited to participant share accounts, such monies shall be credited in the same proportion that each participant's completed months of Credited Service has to the combined completed months of Credited Service of all participants. (2) Annual Credit. As of October 1 following the initial credit of unallocated premium tax monies in accordance with paragraph (1) above, any annual premium tax monies allocated to the Share Plan shall be credited to participant share accounts, with each participant's account receiving an equal share of the total amount allocated. (E) Allocation of Investment Gains and Losses. As of October 1 each year in which premium tax monies have been or are credited to participant share accounts, each individual share account shall be adjusted to reflect the net investment earnings or losses for the Trust for the immediately preceding plan year. The net investment earnings or losses for the Trust shall be the percentage earned or lost by the total Trust investments, including realized and unrealized gains or losses, net of brokerage commissions, transaction costs and management fees, as determined by the Plan's investment advisor. (F) Forfeiture. A Share Plan participant who terminates employment with less than the minimum number of years of credited service specified in the Adoption Agreement for vesting shall forfeit his/her share account. Forfeited amounts shall be reallocated to the other participant share accounts at the end of the plan year in which a forfeiture occurs, unless a different allocation is required by law. A participant whose share account is forfeited shall not thereafter be entitled to any portion of the amount forfeited, and if subsequently reemployed in an eligible position shall participate in the Share Plan as a new participant. 32 DB PLAN RESTATED and AMENDED as of September 21, 2023 186 (G) Distribution of Share Account. A participant's share account balance shall be distributed to the participant or his/her designated beneficiary within 180 days following the participant's retirement, death, or termination of employment after obtaining the minimum number of years of credited service specified in the Adoption Agreement for vesting and reaching the normal retirement date. The share account distribution shall reflect one hundred percent of the participant's share account balance as of October 1 preceding the participant's retirement, death, or termination of employment and meeting the conditions specified herein, and shall be paid in one lump sum payment. No optional forms of payments shall be permitted. (H) Internal Revenue Code Limitations. Notwithstanding any other provision of this section, credits to a participant's share account and the share account distribution shall be subject to the applicable limits contained in section 415(c) of, and any other applicable limitations set forth in, the Internal Revenue Code. 33 DB PLAN RESTATED and AMENDED as of September 21, 2023 187 ARTICLE 7 PRE -RETIREMENT DEATH 7.01 Death Prior to Vesting - In -Line -Of -Duty Prior to retirement, if the Participant dies in -line -of -duty, and he is not vested, his beneficiary shall receive benefits as specified in the Adoption Agreement - Section 11, Death Prior to Vesting - In -Line -Of - Duty. 7.02 Death After Vestinq - In -Line -Of -Duty Prior to retirement, if a vested Participant dies in -line -of -duty, having completed the required years of Credited Service, his beneficiary shall receive benefits as specified in the Adoption Agreement - Section 12, Death After Vesting - In -Line -Of -Duty. 7.03 Death Prior to Vestinq - Off -Duty The beneficiary of a deceased Participant who was not vested and who dies prior to retirement from causes other than in -line -of - duty shall receive a refund of one hundred percent (100%) of the Participants' Accumulated Contributions as specified in the Adoption Agreement Section 13, Death Prior to Vesting- Off Duty. 7.04 Death After Vesting - Off -Duty If a vested Participant dies prior to retirement from causes other than -in -line -of -duty, having completed the required years of Credited Service, his beneficiary shall receive the benefit otherwise payable to the Participant at the Early or Normal Retirement Date as specified in the Adoption Agreement Section 14, Death After Vesting - Off -Duty. 7.05 Beneficiaries Receipt of Payment A Beneficiary may not elect an optional form of benefit, however, the Board may elect to make a lump sum payment pursuant to Article 10(G) to a beneficiary of the death benefits payable hereunder. 7.06 Distribution of Benefits Distributions to the beneficiary shall commence by a date selected in accordance with this Article and the Adoption Agreement; however in no 34 DB PLAN RESTATED and AMENDED as of September 21, 2023 188 event shall distribution commence later than December 31 of the calendar year in which the participant would have attained the applicable age required by IRC § 401(a)(9). [See note to Provision 6.08 regarding applicable age requirements] 7.07 Benefit for Firefiqhters with Cancer As provided and subject to the limitations in section 112.1816, Florida Statutes, effective July 1, 2019 a firefighter (as defined in section 112.1816(1), Florida Statutes) who is a Participant is considered to have died in the line of duty if he or she dies as a result of cancer (as defined in section 112.1816(1), Florida Statutes) or circumstances that arise out of the treatment of cancer (as defined in section 112.1816(1), Florida Statutes). 35 DB PLAN RESTATED and AMENDED as of September 21, 2023 189 ARTICLE 8 DISABILITY 8.01 Disabilitv Benefits In -Line -Of -Duty (A) Benefits Each Participant who shall become Totally and Permanently Disabled while an active Participant of the Employer to the extent that he is unable, by reason of a medically determinable physical or mental impairment, to render useful and efficient service as a Firefighter, Police Officer or Public Safety Officer, respectively, which disability was directly caused by the performance of his duty as a Firefighter, Police Officer or Public Safety Officer, respectively, shall, upon establishing the same to the satisfaction of the Board, be entitled to a monthly pension which is as defined in the Adoption Agreement - Section H1, Disability Benefits In -The -Line -of Duty. (B) Presumption Pursuant to the provisions of section 112.18, FI. Stat., as amended from time to time, any condition or impairment of the health of a Firefighter, Police Officer or Public Safety Officer caused by tuberculosis, hypertension or heart disease, or hardening of the arteries for a Police Officer or a Public Safety Officer, shall be presumed to have been suffered in line -of - duty unless the contrary is shown by competent evidence, provided that such Firefighter, Police Officer or Public Safety Officer, shall have successfully passed a physical examination upon entering into employment with the Employer, which may include a cardiogram, which failed to reveal any evidence of such condition; and provided further, that such presumption shall not apply to benefits payable or granted in a policy of life insurance or disability insurance. (C) Additional Presumption Section 112.181, Fla. Stat., as amended from time to time, is hereby adopted and incorporated by reference and is applicable to those conditions described therein that are diagnosed on or after January 1, 1996. 36 DB PLAN RESTATED and AMENDED as of September 21, 2023 190 8.02 Disabilitv Benefits Off -Duty Every Firefighter, Police Officer or Public Safety Officer as defined in the Adoption Agreement - Section B, Plan who shall have become Totally and Permanently Disabled to the extent that he is unable, by reason of a medically determinable physical or mental impairment, to render useful and efficient service as a Firefighter, Police Officer or Public Safety Officer, respectively, as defined in Article 1, and which disability is not directly caused by the performance of his duties as a Firefighter, Police Officer or Public Safety Officer, respectively, shall, upon establishing the same to the satisfaction of the Board of Trustees, be entitled to a disability benefit as provided in the Adoption Agreement - Section H2, Disability Benefits Off -Duty. A disabled Participant that does not meet the credited years of service requirements in the Adoption Agreement - Section H2, Disability Benefits Off -Duty, will receive a return of his Accumulated Contributions without interest. 8.03 Conditions Disqualifvinq Disability Benefits Each Participant who is claiming disability benefits shall establish, to the satisfaction of the Board, that such disability was not occasioned primarily by: (A) Excessive or habitual use of any drugs, intoxicants or narcotics. (B) Injury or disease sustained while willfully and illegally participating in fights, riots or civil insurrections, or while committing a crime. (C) Injury or disease sustained while serving in any branch of the Armed Forces. (D) Injury or disease sustained after his employment as a Participant with the Employer had terminated. (E) For Police Officers and Public Safety Officers only: injury or disease sustained by the Participant while working for anyone other than the Employer and arising out of such employment. 37 DB PLAN RESTATED and AMENDED as of September 21, 2023 191 8.04 Phvsical Examination Requirement A Participant shall not become eligible for disability benefits until and unless he undergoes physical examination by a qualified physician or physicians and/or surgeons or surgeons, who shall be selected by the Board for that purpose. Any Participant receiving disability benefits under this Plan may be periodically re-examined by a qualified physician or physicians and/or surgeon or surgeons who shall be selected by the Board, to determine if such disability has ceased to exist. If the Board finds that the former Participant is no longer Permanently and Totally Disabled to the extent that he is able to render useful and efficient service as a Firefighter, Police Officer or Public Safety Officer, respectively, the Board shall recommend to the Employer that the former Participant be returned to performance of duty as a Firefighter, Police Officer or Public Safety Officer, respectively, and shall again become eligible to Participate in the Plan. In the event the former Participant so ordered to return to employment shall refuse to comply with the order within thirty (30) days from the issuance thereof, the Participant shall forfeit the right to his benefits hereunder. The cost of the physical examination and/or re-examination of the Participant claiming and or receiving disability benefits shall be paid by the Plan. All other reasonable costs as determined by the Board incident to the physical examination, such as, but not limited to, transportation, meals and hotel accommodations, shall be paid by the Plan. If a Participant recovers from disability and reenters the service of the Employer as a Participant, his service will be deemed to have been continuous, but the period beginning with the first month for which he received a disability retirement income payment and ending with the date he reentered the service of the Employer will not be considered as Credited Service for the purposes of the Plan. The Board shall have the power and authority to make the final decision regarding all disability claims. 38 DB PLAN RESTATED and AMENDED as of September 21, 2023 192 8.05 Disabilitv Pavments The monthly benefit to which a Participant is entitled in the event of the Participant's disability shall be payable on the first day of the first month after the Board determines such entitlement. Provided, however, the Participant may select, at any time prior to the date on which benefit payments begin, an optional form of benefit payment as described in Article 10, Optional Forms of Benefits, which shall be the Actuarial Equivalent of the normal form of benefit. The amount of the first disability payment shall include an amount payable from the date the Board determined such entitlement. Disability benefits shall cease: (A) If the Participant recovers from the disability prior to his Normal Retirement Date, the payment due next proceeding the date of such recovery, or (B) If the Participant dies without recovering from disability or attains Normal Retirement Date, the later of the payment due next proceeding his death, or as otherwise provided for plans operating under Chapter 175 or 185, FI. Stat. 8.06 Disabilitv Pavments & Workers Compensation If a Participant receives a disability benefit under the Plan and workers compensation benefits pursuant to Chapter 440, FI. Stat., for the same disability and the total monthly benefits received from both exceed one hundred percent (100%) of the Participants' average monthly wage determined in accordance with Chapter 440, Fl. Stat., the disability pension benefit shall be reduced so that the total monthly amount received by the Participant does not exceed one hundred percent (100%) of such average monthly wage. In no event shall a Participant's disability pension benefit be reduced to less than 42% of Average Final Compensation for in -line -of duty disability and 25% of Average Final Compensation for off -duty disability, as provided in Chapters 175 and 185, FI. Stat. In the event of a lump sum workers compensation 39 DB PLAN RESTATED and AMENDED as of September 21, 2023 193 settlement, the disability retirement income payable from the Plan shall be adjusted as follows: (A) The amount of the lump sum settlement shall be divided by the Participant's remaining life expectancy (in months) as determined using the actuarial assumptions represented in the last completed valuation of the Plan. (B) If the number obtained in paragraph (A) above, when added to the Participant's monthly disability retirement income from the Plan, exceeds the Participant's final monthly compensation on the date of disability, the amount of the excess shall be deducted from the Participant's monthly disability retirement income from the pension plan, for the duration of the Participant's remaining life expectancy as determined in paragraph (A) above. (C) If the number obtained in paragraph (A) above, when added to the Participant's monthly disability retirement income from the Plan, does not exceed the Participant's final monthly compensation on the date of disability, there shall be no reduction of the Participant's disability benefit from the plan. 8.07 Benefit for Firefiqhters with Cancer As provided and subject to the limitations in section 112.1816, Florida Statues, effective July 1, 2019 a firefighter (as defined in section 112.1816(1), Florida Statutes) who is a Participant is considered to be totally and permanently disabled in the line of duty if he or she meets the Plan's definition of Totally and Permanently Disabled due to a diagnosis of cancer (as defined in section 112.1816(1), Florida Statutes) or circumstances that arise out of the treatment of cancer (as defined in section 112.1816(1), Florida Statutes). 40 DB PLAN RESTATED and AMENDED as of September 21, 2023 194 ARTICLE 9 VESTING If a Participant terminates his employment with the Employer for reasons other than retirement, disability or death, the Participant shall be entitled to the following: (A) If the Participant has less than the number of years of Credited Service specified in the Adoption Agreement - Section J1, Termination of Employment and Vesting, the Participant shall be entitled to a refund of his Accumulated Contributions without interest. (B) If the Participant has the required number of years of Credited Service specified in the Adoption Agreement - Section J2, Termination of Employment and Vesting, the Participant shall be entitled to a retirement benefit that is the Actuarial Equivalent of the Accrued Benefit otherwise payable to him commencing at the Participant's otherwise Normal or Early Retirement Date, and determined based on actual years of Credited Service, provided he does not elect to withdraw his Accumulated Contributions and provided the Participant survives to his Normal or Early Retirement Date. (C) Any vested Participant of the Plan who is no longer eligible to participate in this Plan due to a change of employment, but who remains employed by the Employer in a class not eligible to participate under this Plan, shall have his Accrued Benefit to the date of such termination under this Plan preserved, provided he does not elect to withdraw his Accumulated Contributions from this Plan. Such Accrued Benefit shall be payable at his otherwise Early or Normal Retirement Date hereunder in accordance with the provisions of this Plan. (D) If a Participant who terminates employment prior to his Early Retirement Date or his Normal Retirement Date and elects to withdraw Accumulated Contributions, is subsequently reemployed and again becomes a Participant in this Plan, his Credited 41 DB PLAN RESTATED and AMENDED as of September 21, 2023 195 Service for purposes of vesting and benefit accruals shall not include any periods of employment prior to his reemployment date unless he repays to the Fund his Accumulated Contributions previously withdrawn with interest, as determined by the Board, within ninety (90) days after reemployment. If a Participant repays the foregoing amount to the Fund within the prescribed time period, the interest of the Participant in his Accrued Benefit previously forfeited shall be restored in full and the Participant's Credited Service shall be based on all periods of employment. 42 DB PLAN RESTATED and AMENDED as of September 21, 2023 196 ARTICLE 10 OPTIONAL FORMS OF BENEFITS (A) In lieu of the normal form of benefit as specified herein, a Participant's Early or Normal Retirement or Disability Benefit may be paid in an optional form as selected by the Participant. Subject to the approval of the Board or its designee, the Participant may elect to receive the Actuarial Equivalent of the benefit otherwise payable to the Participant in accordance with one of the following options: 1. Monthly income payments for the life of the Participant. 2. Monthly income payment for the life of the Participant and after his death, a joint pensioner benefit payable for the life of the joint pensioner equal to, 100%, 75%, 66 2/3%, or 50% of the amount payable to the Participant. 3. Such other amount and form of retirement benefit payment that, in the opinion of the Board, will meet the circumstances of the Participant and the Trust. (B) The Participant, upon electing any option pursuant to this Article, will designate the joint pensioner or beneficiary (or beneficiaries) to receive the benefit, if any, payable under the Plan in the event of Participant's death, and will have the power to change such designation from time to time. Such designation will name a joint pensioner or one or more primary beneficiaries where applicable. A Participant may change his Beneficiary at any time. If a Participant has elected an option with a joint pensioner and the Participant's retirement benefits have commenced, the Participant may thereafter change his joint pensioner twice without the approval of the Board or the current joint pensioner. A Participant is not required to provide proof of the good health of the joint pensioner being removed, and the joint pensioner being removed need not be living. (C) Upon change of a Participant's joint pensioner in accordance with this Article, the amount of the retirement income payable to the Participant shall be actuarially re- 43 DB PLAN RESTATED and AMENDED as of September 21, 2023 197 determined to ensure that the benefit paid is the Actuarial Equivalent of the present value of the Participant's then -current benefit at the time of change, and there is no impact to the Plan. Any such Participant shall pay the actuarial recalculation expenses. Each request for a change will be made in writing on a form prepared by the Board and on completion will be filed with the Board. In the event that no designated Beneficiary survives the Participant, such benefits as are payable in the event of the death of the Participant subsequent to his retirement shall be paid as provided in Section 11, Beneficiaries. (D) Benefit payments shall be made under the option elected in accordance with the provisions of this Article and shall be subject to the following limitations: 1. If a Participant dies prior to his Normal Retirement Date or Early Retirement Date, the beneficiary will receive a benefit paid under the normal form of benefit in accordance with Article 7, Pre -Retirement Death. 2. If both the retired Participant and the beneficiary (or beneficiaries) designated by Participant die before full payment has been effected under any option providing for payments for a period certain and life thereafter, the value of the remaining payments shall be paid in such other amount and form of retirement benefit payment that, in the opinion of the Board, will meet the circumstances of the retiree and the Trust in accordance Article 11. 3. If the designated Beneficiary (or Beneficiaries) or joint pensioner dies before the Participant's retirement under the Plan, the option elected will be canceled automatically and a retirement income of the normal form and amount will be payable to the Participant upon his retirement as if the election had not been made, unless a new election is made in accordance with provisions of this Article or a new Beneficiary is designated by the Participant prior to his retirement. 4. If a Participant continues employment beyond his Normal Retirement Date pursuant to the provisions of the Normal Retirement Date provided in the Adoption Agreement, and dies prior to his actual retirement and while an option made pursuant to the provisions of the Adoption Agreement is in effect, 44 DB PLAN RESTATED and AMENDED as of September 21, 2023 198 monthly retirement income payments will be made, or a retirement benefit will be paid, under the option to a Beneficiary (or Beneficiaries) designated by the Participant in the amount or amounts computed as if the Participant had retired under the option on the date on which his death occurred. (E) Unless otherwise allowed by law, a Participant may not change his benefit payment option after the date of cashing or depositing his first benefit check. (F) Distribution of a participant's benefit under this article must commence no later than April 1 of the calendar year following the later of the calendar year during which the participant attains the applicable age required by IRC § 401(a)(9). or the calendar year in which the participant terminates employment with the Employer. [See note to Provision 6.08 regarding applicable age requirements] (G) Notwithstanding anything herein to the contrary, the Board in its discretion, may elect to make a lump sum payment to a Participant or a Participant's Beneficiary in the event that the total commuted value of the monthly income payments to be paid do not exceed one thousand dollars ($1,000). Any such payment made to any person pursuant to the power and discretion conferred upon the Board by the preceding sentence shall operate as a complete discharge of all obligations under the Plan with regard to such Participant and shall not be subject to review by anyone, but shall be final, binding and conclusive on all persons. 45 DB PLAN RESTATED and AMENDED as of September 21, 2023 199 ARTICLE 11 BENEFICIARIES (A) Each Participant may, on a form provided for that purpose, signed and filed with the Board, designate a beneficiary (or beneficiaries) to receive the benefit, if any, which may be payable in the event of his death and each designation may be revoked by such Participant by signing and filing with the Board a new designation -of -beneficiary form. The consent of a Participant's beneficiary to any change of beneficiary shall not be required. (B) If a deceased Participant fails to name a beneficiary in the manner prescribed in Section A, or if the beneficiary (or beneficiaries) named by a deceased Participant predeceases the Participant, the death benefit, if any, which may be payable under the Plan with respect to such deceased Participant shall be paid by the Board to the estate of the Participant, and the Board, in its discretion, may direct that the commuted value of the remaining value of the remaining monthly income benefits be paid in a lump sum. Any payment made to any person pursuant to this Section shall operate as a complete discharge of all obligations under the Plan with regard to the deceased Participant and any other persons with rights under the Plan and shall not be subject to review by anyone but shall be final, binding, and conclusive on all persons ever interested hereunder. 46 DB PLAN RESTATED and AMENDED as of September 21, 2023 200 ARTICLE 12 CLAIMS PROCEDURES The Board shall establish administrative claims procedures to be utilized in processing written requests ("claims"), on matters which affect the substantial rights of any person ("claimant"), including Participants, retirees, Beneficiaries, or any person affected by a decision of the Board. 47 DB PLAN RESTATED and AMENDED as of September 21, 2023 201 ARTICLE 13 REPORTS TO DIVISION OF RETIREMENT Each year by no later than March 15th, the Board shall file an Annual Report with the State of Florida, Division of Retirement, and the Employer containing the documents and information contained in Sections 175.261 and 185.221, Florida Statutes. 48 DB PLAN RESTATED and AMENDED as of September 21, 2023 202 ARTICLE 14 ROSTER OF RETIREES The Secretary of the Board shall keep a record of all persons receiving a benefit or vested Participants who will receive a future vested benefit under the provisions of this Plan in which it shall be noted the time when the benefit became payable. Additionally, the Secretary shall keep a record of all Participants employed by the Employer in such a manner as to show the name, address, date of employment and date such employment is terminated. 49 DB PLAN RESTATED and AMENDED as of September 21, 2023 203 ARTICLE 15 BOARD ATTORNEY AND PROFESSIONALS The Board may employ independent legal counsel at the Fund's expense for the purposes contained herein, together with such other professional, technical, or other advisors as the Board deems necessary. 50 DB PLAN RESTATED and AMENDED as of September 21, 2023 204 ARTICLE 16 MAXIMUM PENSION 16.01 Basic Limitation Notwithstanding any other provisions of this plan to the contrary, the member contributions paid to, and retirement benefits paid from, the plan shall be limited to such extent as may be necessary to conform to the requirements of Code Section 415 for a qualified retirement plan. Before January 1, 1995, a plan member may not receive an annual benefit that exceeds the limits specified in Code Section 415(b), subject to the applicable adjustments in that section. On and after January 1, 1995, a plan member may not receive an annual benefit that exceeds the dollar amount specified in Code Section 415(b)(1)(A) ($160,000), subject to the applicable adjustments in Code Section 415(b) and subject to any additional limits that may be specified in this plan. For purposes of Code Section 415(b), the term "annual benefit' means a benefit payable annually in the form of a straight life annuity without regard to the benefit attributable to after-tax employee contributions (except pursuant to Code section 415(n)) and to rollover contributions (as defined in Code section 415(b)(2)(A)), and with the benefit attributable determined in accordance with Treasury Regulations located in 26 C.F.R. 1.415(b)-1. 16.02 Adiustments to Basic Limitation for Form of Benefit. If the form of benefit is other than the annual benefit defined in section 16.01, the benefit shall be adjusted so that it is the equivalent of the annual benefit using factors prescribed in Treasury Regulations. If the form of benefit without regard to any automatic benefit increase feature is not a straight life annuity or a qualified joint and survivor annuity then the preceding sentence is applied by either reducing the Code Section 415(b) limit applicable at the annuity starting date or by adjusting the form of benefit to an actuarially equivalent amount determined using the assumptions specified in 26 CFR 1.415(b)-1 that takes into account the additional benefits under the form of benefit as follows: 51 DB PLAN RESTATED and AMENDED as of September 21, 2023 205 (A) Benefit Forms Not Subject to § 417(e)(3): The straight life annuity that is actuarially equivalent to the member's form of benefit shall be determined under this section 16.02(A) if the form of a member's benefit is either a non -decreasing annuity (other than a straight life annuity) payable for a period of not less than the life of the member (or in the case of a qualified pre -retirement survivor annuity, the life of the surviving spouse), or an annuity that decreases during the life of the participant merely because of (a) the death of the survivor annuitant (but only if the reduction is not below 50% of the benefit payable before the death of the survivor annuitant), or (b) the cessation or reduction of Social Security supplements or qualified disability payments (as defined in Code Section 401(a)(11)). For a benefit paid in a form described in this Section 16.02(A), the actuarially equivalent straight life annuity is equal to the greater of: (1) The annual amount of the straight life annuity (if any) payable to the member under the plan commencing at the same annuity starting date as the member's form of benefit, or (2) the annual amount of the straight life annuity commencing at the same annuity starting date that has the same actuarial present value as the member's form of benefit, computed using a 5 percent interest rate assumption and the applicable mortality tables described in Code Section 417(e)(3)(B) (Notice 2008-85 or any subsequent Internal Revenue Service guidance implementing Code Section 417(e)(3)(B)); or (B) Benefit Forms Subject to § 417(e)(3): If a form of member's benefit is other than a benefit form described in section 16.02(A), the actuarially equivalent straight life annuity benefit that is the greatest of: (1) The annual amount of the straight life annuity commencing at the annuity starting date that has the same actuarial present value as the particular form of benefit payable, computed using the interest rate and mortality table, or tabular factor, specified in the plan for actuarial experience; 52 DB PLAN RESTATED and AMENDED as of September 21, 2023 206 (2) The annual amount of the straight life annuity commencing at the annuity starting date that has the same actuarial present value as the particular form of benefit payable computed using a five percent interest assumption for the applicable statutory interest assumption and (i) for years prior to January 1, 2009 the applicable mortality tables for the distribution under 26 CFR 1.417(e)-1(d)(2) (Revenue Ruling 2001-62 or any subsequent Revenue Ruling modifying the applicable provisions of Revenue Ruling 2001-62) and (ii) for years after December 31, 2008 the applicable mortality tables described in Code Section 417(e)(3)(B) (Notice 2008-85 or any subsequent Internal Revenue Service guidance implementing Code Section 417(e)(3)(B)); or (3) The annual amount of the straight life annuity commencing at the annuity starting date that has the same actuarial present value as the particular form of benefit payable computed using the applicable interest rate for the distribution under 26 CFR 1.417(e)- 1(d)(3) the 30-year Treasury rate prior to January 1, 2007 using the rate in effect for the month prior to retirement and on and after January 1, 2007 using the rate in effect for the first day of the plan year with a one-year stabilization period and (i) for years prior to January 1, 2009 the applicable mortality tables for the distribution under 26 CFR 1.417(e)-1(d)(2) (the mortality table specified in Revenue Ruling 2001-62 or any subsequent Revenue Ruling modifying the applicable provisions of Revenue Ruling 2001-62) and (ii) for years after December 31, 2008 the applicable mortality tables described in Code Section 417(e)(3)(B) (Notice 2008-85 or any subsequent Internal Revenue Service guidance implementing Code Section 417(e)(3)(B)), divided by 1.05. (C) The actuary may adjust the 415(b) limit at that annuity starting date in accordance with paragraphs (A) and (B) above. 53 DB PLAN RESTATED and AMENDED as of September 21, 2023 207 (D) Benefits Not Taken into Account. For purposes of this Section, the following benefits shall not be taken into account in applying these limits: (1) Any ancillary benefit which is not directly related to retirement income benefits; (2) Survivor benefits payable to a surviving spouse under a qualified joint and survivor annuity to the extent such benefits would not be payable if the participant's benefit were paid in another form. (3) Any other benefit not required under §415(b)(2) of the Code and Regulations thereunder to be taken into account for purposes of the limitation of Code Section 415(b)(1); (E) COLA Effect. Effective on and after January 1, 2003, for purposes of applying the limits under Code Section 415(b) (the "Limit"), the following will apply: (1) A member's applicable limit will be applied to the member's annual benefit in the member's first limitation year of benefit payments without regard to any automatic cost of living adjustments; (2) thereafter, in any subsequent limitation year, a member's annual benefit, including any automatic cost of living increases, shall be tested under the then applicable benefit limit including any adjustment to the Code Section 415(b)(1)(A) dollar limit under Code Section 415(d), and the regulations thereunder; but (3) in no event shall a member's benefit payable under the plan in any limitation year be greater than the limit applicable at the annuity starting date, as increased in subsequent years pursuant to Code Section 415(d) and the regulations thereunder. Unless otherwise specified in the plan, for purposes of applying the limits under Code Section 415(b), a Member's applicable limit will be applied taking into consideration cost of living increases as required by Section 415(b) of the Code and applicable Treasury Regulations. (F) Other Adjustments in Limitations. 54 DB PLAN RESTATED and AMENDED as of September 21, 2023 208 (1) In the event the member's retirement benefits become payable before age sixty-two (62), the limit prescribed by this section shall be reduced in accordance with regulations issued by the Secretary of the Treasury pursuant to the provisions of Code Section 415(b) of the Code, so that such limit (as so reduced) equals an annual straight life benefit (when such retirement income benefit begins) which is equivalent to an annual benefit in the amount of the applicable dollar limitation of Section 415(b)(1)(A) of the Code (as adjusted pursuant to Section 415(d) of the Code) beginning at age sixty-two (62). (2) In the event the member's benefit is based on at least fifteen (15) years of credited service as a full-time police officer or firefighter, the adjustments provided for in (F)(1) above shall not apply. (3) The reductions provided for in (F)(1) above shall not be applicable to disability benefits or pre -retirement death benefits. (4) In the event the member's retirement benefit becomes payable after age sixty-five (65), for purposes of determining whether this benefit meets the limit set forth herein, such benefit shall be adjusted so that it is actuarially equivalent to the benefit beginning at age sixty-five(65). This adjustment shall be made in accordance with regulations promulgated by the Secretary of the Treasury or his delegate. 16.03 Less than Ten (10) Years of Service. The maximum retirement benefits payable under this section to any member who has completed less than ten (10) years of credited service shall be the amount determined under section 16.01 multiplied by a fraction, the numerator of which is the number of the member's years of credited service and the denominator of which is ten (10). The reduction provided by this section cannot reduce the maximum benefit below 10% of the limit determined without regard to this 55 DB PLAN RESTATED and AMENDED as of September 21, 2023 209 subsection. The reduction provided for in this section shall not be applicable to pre -retirement disability benefits or pre -retirement death benefits. 16.04 Participation in Other Defined Benefit Plans. The limit of this section with respect to any member who at any time has been a member in any other defined benefit plan as defined in Code Section 4140) maintained by the Employer shall apply as if the total benefits payable under all Employer defined benefit plans in which the member has been a member were payable from one plan. 16.05 Ten Thousand Dollar ($10,000) Limit. Notwithstanding anything in this article to the contrary, the retirement benefit payable with respect to a member shall be deemed not to exceed the limit set forth in this article -if the benefits payable, with respect to such member under this plan and under all other qualified defined benefit pension plans to which the Employer contributes, do not exceed ten thousand dollars ($10,000) for the applicable limitation year and for any prior limitation year and the Employer has not at any time maintained a qualified defined contribution plan in which the member participated; provided, however, that if the member has completed less than ten years of credited service, the limit hereunder shall be a reduced limit equal to ten thousand dollars ($10,000) multiplied by a fraction, the numerator of which is the number of the member's years of credited service and the denominator of which is ten. 16.06 Reduction of Benefits. Reduction of benefits and/or contributions to all plans, where required, shall be accomplished by first reducing the member's benefit under any defined benefit plans in which member participated, such reduction to be made first with respect to the plan in which member most recently accrued benefits and thereafter in such priority as shall be determined by the board and the plan administrator of such other plans, and next, by reducing or allocating excess forfeitures to defined 56 DB PLAN RESTATED and AMENDED as of September 21, 2023 210 contribution plans in which the member participated, such reduction to be made first with respect to the plan in which member most recently accrued benefits and thereafter in such priority as shall be established by the board and the plan administrator for such other plans provided, however, that necessary reductions may be made in a different manner and priority pursuant to the agreement of the board and the plan administrator of all other plans covering such member. 16.07 Service Credit Purchase Limits. (A) Effective for permissive service credit contributions made in limitation years beginning after December 31, 1997, if a member makes one or more contributions to purchase permissive service credit under the plan, then the requirements of this section will be treated as met only if: (1) the requirements of Code Section 415(b) are met, determined by treating the accrued benefit derived from all such contributions as an annual benefit for purposes of Code Section 415(b), or (2) the requirements of Code Section 415(c) are met, determined by treating all such contributions as annual additions for purposes of Code Section 415(c). (3) For purposes of applying subparagraph (A)(1), the plan will not fail to meet the reduced limit under Code section 415(b)(2)(C) solely by reason of this subparagraph (3), and for purposes of applying subparagraph (A)(2) the plan will not fail to meet the percentage limitation under Section 415(c)(1)(B) of the Code solely by reason of this subparagraph (3) (B) For purposes of this subsection the term "permissive service credit" means service credit— (1) recognized by the plan for purposes of calculating a member's benefit under the plan. (2) which such member has not received under the plan, and (3) which such member may receive only by making a voluntary additional contribution, in an amount determined under the plan, 57 DB PLAN RESTATED and AMENDED as of September 21, 2023 211 which does not exceed the amount necessary to fund the benefit attributable to such service credit. Effective for permissive service credit contributions made in limitation years beginning after December 31, 1997, such term may, if otherwise provided by the plan, include service credit for periods for which there is no performance of service, and, notwithstanding clause (13)(2), may include service credited in order to provide an increased benefit for service credit which a member is receiving under the plan. (C) For purposes of applying the limits in this Section 16.07 only and for no other purpose, the definition of compensation where applicable will be compensation actually paid or made available during a limitation year, except as noted below and as permitted by Treasury Regulations located in 26 CFR 1.415(c)-2, or successor regulations. Unless another definition of compensation that is permitted by Treasury Regulations Section 1.415(c)- 2, or successor regulation, is specified by the plan, compensation will be defined as wages within the meaning of Code Section 3401(a) and all other payments of compensation to an employee by an employer for which the employer is required to furnish the employee a written statement under Code Sections 6041(d), 6051(a)(3) and 6052 and will be determined without regard to any rules under Code Section 3401(a) that limit the remuneration included in wages based on the nature or location of the employment or the services performed (such as the exception for agricultural labor in Code Section 3401(a)(2). (1) However, for limitation years beginning after December 31, 1997, compensation will also include amounts that would otherwise be included in compensation but for an election under Code Sections 125(a), 402(e)(3), 402(h)(1)(B), 402(k), or 457(b). For limitation years beginning after December 31, 2000, compensation will also include any elective amounts that are not includible in the gross income of the employee by reason of Code Section 132(f)(4). (2) For limitation years beginning on and after January 1, 2007, compensation for the limitation year will also include compensation 58 DB PLAN RESTATED and AMENDED as of September 21, 2023 212 paid by the later of 21/2 months after an employee's severance from employment or the end of the limitation year that includes the date of the employee's severance from employment if: a. the payment is regular compensation for services during the employee's regular working hours, or compensation for services outside the employee's regular working hours (such as overtime or shift differential), commissions, bonuses or other similar payments, and, absent a severance from employment, the payments would have been paid to the employee which the employee continued in employment with the employer; or b. the payment is for unused accrued bona fide sick, vacation or other leave that the employee would have been able to use if employment had continued. (3) Back pay, within the meaning of Treasury Regulations Section 1.415(c)-2(g)(8), shall be treated as compensation for the limitation year to which the back pay relates to the extent the back pay represents wages and compensation that would otherwise be included under this definition. (D) Notwithstanding any other provision of law to the contrary, the Board may modify a request by a member to make a contribution to the plan if the amount of the contribution would exceed the limits provided in Code Section 415 by using the following methods: (1) If the law requires a lump sum payment for the purchase of service credit, the Board may establish a periodic payment deduction plan for the member to avoid a contribution in excess of the limits under Code Sections 415(c) or 415(n). (2) If payment pursuant to subparagraph (D)(1) will not avoid a contribution in excess of the limits imposed by Code Section 415(c), the Board may either reduce the member's contribution to an amount within the limits of that section or refuse the member's contribution 59 DB PLAN RESTATED and AMENDED as of September 21, 2023 213 (E) If the annual additions for any member for a plan year exceed the limitation under Code Section 415(c), the excess annual addition will be corrected as permitted under the Employee Plans Compliance Resolution System (or similar IRS correction program). (F) For limitation years beginning on or after January 1, 2009, a member's compensation for purposes of this section shall not exceed the annual limit under Code Section 401(a)(17). 16.08 Additional Limitation on Pension Benefits. Notwithstanding anything herein to the contrary: (1) The normal retirement benefit or pension payable to a retiree who becomes a Participant of the Plan and who has not previously participated in such Plan, on or after January 1, 1980, shall not exceed one hundred percent (100%) of average final compensation. However, nothing contained in this section shall apply to supplemental retirement benefits or to pension increases attributable to cost -of -living increases or adjustments. (2) No Participant shall be allowed to receive a retirement benefit or pension which is in part or in whole based upon any service with respect to which the Participant is already receiving, or will receive in the future, a retirement benefit or pension from a different employer's retirement system or plan. This restriction does not apply to social security benefits or federal benefits under Chapter 67, Title 10, U.S. Code. 16.09 Benefit Restoration Plan & Trust (A) An Employer may fund a Benefit Restoration Plan as permitted under Code Section 415(m) as specified in this Section (B) Definitions (1) "Information Sheet": is the document executed by the Employer providing specific information as to that Employer. 60 DB PLAN RESTATED and AMENDED as of September 21, 2023 214 (2) "Participant": means an employee of the Employer who is eligible to receive benefits under this Benefit Restoration Plan, under (C). (3) "Pensioner": means a former employee of the Employer who is retired and receiving retirement benefits. (4) "Benefit Restoration Plan": means the provisions of section 16.09, which is hereby established for the payment of retirement benefits supplementing the Plan benefits as permitted under Code Section 415(m). (5) "Benefit Restoration Plan Year": means the limitation year of the Plan under Code Section 415. (6) "Plan": means the plan identified in the Adoption Agreement which is a Florida Municipal Pension Trust Fund Defined Benefit Plan maintained by a participating employer, and with respect to which this Benefit Restoration Plan will provide supplemental benefits. (7) "Trust": means the trust fund established in subsection (E) (2) of this Benefit Restoration Plan, which shall constitute a separate trust fund from the trust fund maintained under the Plan. (8) "Board": means the Board of Trustees of the Plan, serving in the separate capacity as trustees of this Benefit Restoration Plan. (C) PARTICIPATION (1) All Participants, Pensioners and Beneficiaries of the Plan whose retirement or survivor benefits from that Plan for a Plan Year have been limited by Code Section 415 are eligible to participate in 61 DB PLAN RESTATED and AMENDED as of September 21, 2023 215 this Benefit Restoration Plan, unless excluded by category under the terms of the Information Sheet. (2) Participation in the Benefit Restoration Plan is automatic. Any Participant, Pensioner or Beneficiary who is eligible for benefits is entitled to such benefits without the necessity of enrollment. Participation in the Benefit Restoration Plan will cease for any Plan Year in which the retirement benefit of a Pensioner or Beneficiary is not limited by Code Section 415. (D) BENEFITS (1) Benefit Amount A covered Pensioner or Beneficiary shall receive a monthly benefit equal to the difference between the participant's monthly retirement benefit otherwise payable from the Plan prior to any reduction or limitation because of Code Section 415 and the actual monthly retirement benefit payable from the Plan as limited by Code Section 415. The monthly benefit shall be subject to withholding for any applicable income or employment taxes. (2) Payment of Benefit Benefits under the Benefit Restoration Plan shall be paid only if the Pensioner or Beneficiary is receiving retirement benefits from the Plan. (3) Form of Benefit The form of the benefit paid to a Pensioner or Beneficiary from the Benefit Restoration Plan shall be the same payable under the Plan. (4) Re -calculation of Benefits The maximum benefit under the Plan shall be increased as permitted by Internal Revenue Service regulations to reflect cost -of -living adjustments above the base period, and from August 1, 2000, the benefit paid to any Participant or Beneficiary who is in payment status will be adjusted as the first day of each limitation year for the increase, if any, in the dollar limitation indexed under section 415(d) of the Code. (E) CONTRIBUTIONS AND FUNDING 62 DB PLAN RESTATED and AMENDED as of September 21, 2023 216 (1) Contributions (a) The Board, upon the recommendation of the actuary, shall determine the required contributions to pay plan benefits in accordance with (3) below. The required contribution for each Plan Year shall be the total amount of benefits payable under (D) to all Pensioners and Beneficiaries, plus such amount as determined by the Board to pay the administrative expenses of the Benefit Restoration Plan and the Employer's share of any employment taxes on the benefits paid from the Plan. (b) The required contribution as determined by the Board, upon the recommendation of the actuary, shall be paid into the Trust from an allocation of the Employer contribution amounts paid under the Plan. (2) Benefit Restoration Plan Trust Fund Contributions to the Benefit Restoration Plan shall be deposited in the separate Trust established and administered by the Board. This Trust is intended to be exempt from federal income tax under Code Sections 115 and 415(m)(1). The Trust assets shall be subject to the claims of general creditors of the Employer in the case of bankruptcy. (3) Funding Assets The benefit liabilities of the Benefit Restoration Plan shall be funded on an as -needed basis. The Trust established under (2) above shall not be accumulated to pay benefits payable in future years. Accordingly, any assets of the Trust shall be invested by the Board in short-term investments as the Board may determine to assure preservation of principal rather than the generation of income. (4) Non -assignability of Benefits The benefits payable under this Benefit Restoration Plan may not be assigned or alienated, except as otherwise permitted for benefits payable by the Plan. (5) Amendment and Termination The Employer reserves the right to amend this Benefit Restoration Plan at any time. No modification or amendment of the Benefit Restoration Plan shall make it possible for any part of the income or assets of the fund to be used for, or diverted to, purposes other than for the exclusive benefit of the Participants, Pensioners and Beneficiaries, except as set forth in section (2) above. 63 DB PLAN RESTATED and AMENDED as of September 21, 2023 217 The Employer reserves the right to discontinue or terminate this Benefit Restoration Plan in whole or in part. Upon a termination of the Benefit Restoration Plan, the Board shall take such steps as the Board determines to be necessary or desirable to comply with applicable laws and to apply any remaining assets. If, after satisfaction of all liabilities, there is any balance remaining in the fund, such balance shall be refunded to the Employer if not otherwise prohibited by law. (F) ADMINISTRATION (1) Benefit Restoration Plan Administration The Benefit Restoration Plan shall be administered by the Board. The Board shall have the same authority to administer the Benefit Restoration Plan as exists for the Plan. The Board may delegate any or all of the Board's administrative authority. (2) Compliance Authority The Board may make modifications to the benefits payable under the Benefit Restoration Plan as may be necessary to maintain its qualified status under Code Section 415(m). (3) No Liability for Benefits Since this Benefit Restoration Plan is not intended to accumulate funds, the Benefit Restoration Plan shall not be liable for the payment of any benefits except to the extent of funds actually received from the Employer and not previously distributed or applied to pay Benefit Restoration Plan expenses. (4) This Benefit Restoration Plan shall be construed, administered and governed in all respects by the laws of the State of Florida. (G) EFFECTIVE DATES The Board shall pay benefits under the Benefit Restoration Plan beginning on or after the date specified on the Information Sheet. 64 DB PLAN RESTATED and AMENDED as of September 21, 2023 218 ARTICLE 17 DISTRIBUTION OF BENEFITS As of the Effective Date, this Plan shall pay all benefits in accordance with a good faith interpretation of the requirements of Code Section 401(a)(9) and the regulations promulgated thereunder, as applicable to a governmental plan as defined in Code Section 414(d). Notwithstanding any other provision of this Plan to the contrary, a form of retirement income payable from this Plan shall satisfy the following conditions: (A) If the retirement income is payable before the Participant's death, (1) It shall either be distributed or commence to the Participant not later than April 1 of the calendar year following the later of the calendar year in which the Participant attains the applicable age required by IRC § 401(a)(9), or the calendar year in which the Participant retires; and, (2) the benefit shall be paid over the life of the Participant or over the lifetimes of the Participant and designated beneficiary and shall be paid over the period extending not beyond the life expectancy of the Participant and designated beneficiary Where benefit payments have commenced in accordance with the preceding paragraphs and the Participant dies before his entire interest in the Plan has been distributed, the remaining portion of such interest in the Plan shall be distributed no less rapidly than under the form of distribution in effect at the time of the Participant's death. (B) If the Participant dies before distributions begin, the Participant's entire interest will be distributed, or begin to be distributed, no later than as follows: (1) If the Participant's surviving spouse is the Participant's sole designated beneficiary, then, except as provided in the adoption agreement, distributions to the surviving spouse will begin by December 31 of the calendar year immediately following the calendar year in which the 65 DB PLAN RESTATED and AMENDED as of September 21, 2023 219 Participant died, or by December 31 of the calendar year in which the Participant would have attained the applicable age as required under IRC § 401(a)(9), if later. [See note to Provision 6.08 regarding applicable age requirements] (2) If the Participant's surviving spouse is not the Participant's sole designated beneficiary, then, except as provided in the adoption agreement, distributions to the designated beneficiary will begin by December 31 of the calendar year immediately following the calendar year in which the Participant died. (3) If there is no designated beneficiary as of September 30 of the year following the year of the Participant's death, the Participant's entire interest will be distributed by December 31 of the calendar year containing the fifth anniversary of the Participant's death. (4) If the Participant's surviving spouse is the Participant's sole designated beneficiary and the surviving spouse dies after the Participant but before distributions to the surviving spouse are required to begin, this subsection (B), other than B(1), will apply as if the surviving spouse were the Participant. For purposes of this subsection, unless this provision B(4) applies, distributions are considered to begin on the Participant's required beginning date. If this provision B(4) applies, distributions are considered to begin on the date distributions are required to begin to the surviving spouse under B(4). If distributions under an annuity meeting the requirements of this article commence to the Participant before the Participant's required beginning date (or to the Participant's surviving spouse before the date distributions are required to begin to the surviving spouse under B(1)), the date distributions are considered to begin is the date distributions actually commence. (C) Direct Transfers of Eliqible Rollover Distributions (1) This paragraph applies to distributions made on or after January 1, 1993. Notwithstanding any provisions of the Plan to the contrary that would otherwise limit 66 DB PLAN RESTATED and AMENDED as of September 21, 2023 220 a distributee's (as defined below) election under this paragraph, a distributee may elect, at the time and in the manner prescribed by the Plan Administrator, to have any portion of an eligible rollover distribution (as defined below) that is equal to at least $500 paid directly to an eligible retirement plan (as defined below) specified by the distributee in a direct rollover (as defined below). If an eligible rollover distribution is less than $500, a distributee may not make the election described in the preceding sentence to rollover only a portion of the eligible rollover distribution. (2) For purposes of this paragraph, the following terms shall have the following meanings: (i) An "eligible rollover distribution" is any distribution of all or any portion of the balance to the credit of the distributee, except that an eligible rollover distribution does not include: any distribution that is one of a series of substantially equal periodic payments (not less frequently than annually) made for the life (or life expectancy) of the distributee or the joint lives (or joint life expectancies) of the distributee and the distributee's designated beneficiary, or for a specified period of ten years or more; any distribution to the extent such distribution is required under Code Section 401(a)(9), and the portion of any distribution that is not included in gross income (determined without regard to the exclusion for net unrealized appreciation with respect to employer securities); and any other distribution(s) that is reasonably expected to total less than $200 during a year. A portion of a distribution shall not fail to be an eligible rollover distribution merely because the portion consists of after-tax employee contributions which are not includible in gross income. However, such portion may be transferred only to (1) a traditional individual retirement account or annuity described in § 408(a) or (b) of the Code (a —traditional IRA) or a Roth individual retirement account or annuity described in § 408A (a —Roth IRA); or (2) to a qualified defined contribution, defined benefit, or annuity plan described in § 401(a) or § 403(a) or to an annuity contract described in § 403(b), if such plan or contract provides for separate accounting for 67 DB PLAN RESTATED and AMENDED as of September 21, 2023 221 amounts so transferred (including interest thereon), including separately accounting for the portion of such distribution which is includible in gross income and the portion of such distribution which is not so includible. (ii) An "eligible retirement plan" is an eligible plan under § 457(b) of the Code which is maintained by a state, political subdivision of a state, or any agency or instrumentality of a state or political subdivision of a state and which agrees to separately account for amounts transferred into such plan from this plan, a traditional IRA, a Roth IRA, an annuity plan described in § 403(a) of the Code, an annuity contract described in § 403(b) of the Code, or a qualified defined benefit or defined contribution plan described in § 401(a) of the Code, that accepts the distributee's eligible rollover distribution. The definition of eligible retirement plan shall also apply in the case of a distribution to a surviving spouse, or to a spouse or former spouse who is the alternate payee under a qualified domestic relations order, as defined in § 414(p) of the Code. (iii) A "distributee" includes an Employee or former Employee. In addition, the Employee's or former Employee's surviving spouse is a distributee with regard to the interest of the spouse. For distributions occurring in plan years beginning after December 31, 2009 (or in any earlier plan year beginning after December 31, 2006), a distributee also includes the Participant's non - spouse designated beneficiary. In the case of a non -spouse beneficiary, the direct rollover may be made only to a traditional IRA or Roth IRA that is established on behalf of the designated beneficiary and that will be treated as an inherited IRA pursuant to the provisions of § 402(c)(11). Also, in this case, the determination of any required minimum distribution under § 401(a)(9) that is ineligible for rollover shall be made in accordance with Notice 2007-7, Q&A 17 and 18, 2007-5 I.R.B. 395. (iv) A "direct rollover" is a payment by the Plan to the eligible retirement plan specified by the distributee. 68 DB PLAN RESTATED and AMENDED as of September 21, 2023 222 ARTICLE 18 Ikyi16*4149W_1ZI=101k ia:Z•1ky/6*1[•]zM 18.01 Interest of Participants in Plan All assets of the Fund shall be held in trust and at no time prior to the satisfaction of all liabilities under the Plan with respect to Participants and Beneficiaries, shall any part of the corpus or income of the Fund be used for or diverted to any purpose other than for their exclusive benefit. No plan amendment or ordinance shall be adopted by the Employer which shall have the effect of reducing the then vested accrued benefits of Participants or Participants' beneficiaries under the Plan. 18.02 Summary Plan Descriptions The Summary Plan Description outlining the provisions of this Plan was designed only to give a brief description of the benefit provided and does not include all the provisions or exclusions in the Plan Document. If the Summary Plan Description disagrees with the Plan herein in any way, the Plan Document will govern. 18.03 Gender and Number Wherever any words are used in the masculine, feminine or neutral gender, they shall be construed as though they were also used in another gender in all cases where they would apply. Whenever any words are used herein in the singular or plural form, they shall be construed as though they were also used in the other form in all cases where they would apply. 18.04 Headinqs and References All headings and references to sections, subsections, paragraphs, etc., in this Plan are inserted for convenience only and shall not affect the construction or interpretation of this Plan.18.05 Benefit Improvements Benefit improvements which, in the past, have been provided for by amendments to the Plan adopted by the Employer by ordinance or resolution, and any benefit improvements 69 DB PLAN RESTATED and AMENDED as of September 21, 2023 223 which might be made in the future, shall apply prospectively and shall not apply to Participants who terminate employment or who retire prior to the effective date of any ordinance or resolution adopting such benefit improvements, unless such ordinance or resolution specifically provides to the contrary. 18.06 Procedure for Unclaimed Benefit If the Board is unable, within three years after any benefit becomes due to a Participant or Beneficiary under the Plan, to authorize payment because the identity or whereabouts of such person cannot be ascertained, the Board may direct that such benefit and all further benefits with respect to such person shall be forfeited and all liability for the payment thereof shall terminate. 18.07 Qualified Military Service: Notwithstanding any provision of this Plan to the contrary, contributions, benefits, and service credit with respect to qualified military service will be provided in accordance with § 414(u) of the Code. To the extent that the definition of "credited service" sets forth contribution requirements that are more favorable to the participants than the minimum compliance requirements, the more favorable provisions shall apply. Consistent with the Heroes Earning Assistance and Relief Tax (HEART) Act, a deceased person's period of qualified military service will be credited service under the Plan. If a Participant dies while engaged in qualified military service, the Participant's beneficiaries shall be entitled to any benefits the Participant would have been entitled to as if the Participant had resumed employment immediately prior to his or her death in accordance with the Heroes Earning Assistance and Relief Tax (HEART) Act, and any regulations promulgated thereunder. 18.08 Domestic Relations Order Submission: (A) Prior to the entry of any domestic relations order which affects or purports to affect the Fund's responsibilities in connection with the payment of benefits, that order should ro DB PLAN RESTATED and AMENDED as of September 21, 2023 224 be submitted through the Fund's administrator for review as to whether the Fund may honor it. (B) If the domestic relations order is not submitted to the administrator for review prior to entry, and the Fund is ordered to take action that it may not legally take, and the Fund expends administrative or legal fees in resolving the matter, the Participant who submitted the domestic relations order will be required to reimburse the Fund its expenses in connection with the order. (C) The administrator may develop rules or regulations concerning what the Fund will consider to determine if a domestic relations order may be complied with by the Fund. 18.09 Prohibited Transaction Effective January 1, 1989, the Board may not engage in any transaction prohibited under Section 503(b) of the Code. 18.10 Qualification of Plan It is intended that this plan shall constitute a qualified public pension plan under the applicable provisions of the Code for a qualified plan under Code Section 401(a) and a governmental plan under Code Section 414(d), as now in effect and as may be amended from time to time. Any modification or amendment of this Plan may be made retroactively, if necessary or appropriate to maintain qualification. 18.11 Plan Amendments The Employer acknowledges the FMPTF Defined Benefit Plan document may be amended from time to time by the FMPTF Master Trustee to comply with applicable federal or state laws or regulations, and to make ministerial or administrative changes to the Plan, without the consent of the Employer or of Participants or any Beneficiaries thereof. Any amendment of the Plan, made in accordance with this provision, may be made retroactively, if deemed necessary or appropriate by the FMPTF Master Trustee. A copy of any Plan amendment shall be delivered to the Plan administrator, and the Plan shall be amended in the manner and effective as of the date set forth therein, and the Employers, Employees, Participants and Beneficiaries shall be bound by the amendment. 71 DB PLAN RESTATED and AMENDED as of September 21, 2023 225 The FMPTF Master Trustee shall not make any amendment to benefits under the Plan unless the amendment is necessitated to comply with applicable federal or state laws or regulations. Employers shall receive copies of any Plan amendments made by the FMPTF Master Trustee. 72 DB PLAN RESTATED and AMENDED as of September 21, 2023 226 ARTICLE 19 REPEAL OR TERMINATION OF PLAN (A) This Plan and Fund may be modified, terminated, or amended, in whole or in part at any time by the Employer; provided that if this Plan or any subsequent ordinance or resolution shall be amended or repealed in its application to any person benefiting hereunder, the amount of benefits which at the time of any such alteration, amendment, or repeal shall have accrued to the Participant or beneficiary shall not be affected thereby, except to the extent that the assets of the Fund may be determined to be inadequate. (B) If this Plan shall be repealed, or if contributions to the Plan are discontinued, or if there is a transfer, merger or consolidation of government units, services or functions as provided in Chapter 121, Fl. Stat., the Board shall continue to administer the Plan in accordance with the provisions of this Plan, for the sole benefit of the then Participant's, any beneficiaries then receiving retirement allowances, and any future persons entitled to receive future benefits. In the event of repeal, termination or permanent discontinuance of contributions due to transfer, merger or consolidation of government units, services or functions, or for any other reason, there shall be full vesting (100%) of benefits accrued to date of repeal and the assets of the Plan shall be allocated as follows: (C) General Employees Benefits for General Employees shall be distributed in an equitable manner to provide benefits on a proportionate basis to the persons so entitled in accordance with the provisions of this Plan. The following shall be the order of priority for purposes of allocating the assets of the Plan as of the date of repeal of this Plan, or if contributions to the Plan are discontinued with the date of such discontinuation being determined by the Employer. (1) Apportionment shall first be made in respect of each retired Participant receiving a retirement or disability benefit hereunder on such date, each person receiving a benefit on such date on account of a retired or disabled (but since deceased) Participant, and each Participant who has, by such date, become eligible 73 DB PLAN RESTATED and AMENDED as of September 21, 2023 227 for normal retirement but has not yet retired, an amount which is the actuarial equivalent of such benefit, based upon the actuarial assumptions in use for purposes of the most recent actuarial valuation, provided that, if such asset value be less than the aggregate of such amounts, such amounts shall be proportionately reduced so that the aggregate of such reduced amounts will be equal to such asset value. (2) If there be any asset value remaining after the apportionment under paragraph 1, apportionment shall next be made in respect of each Participant in the service of the Employer on such date who has completed at least ten (10) Years of Credited Service and who is not entitled to an apportionment under paragraph 1, in the amount required to provide the Actuarial Equivalent, as described in paragraph 1 above, of the accrued Normal Retirement Benefit, based on the Credited Service and Salary as of such date, and each vested former Participant then entitled to a deferred benefit who has not, by such date, begun receiving benefit payments, in the amount required to provide said Actuarial Equivalent of the accrued Normal Retirement Benefit, provided that, if such remaining asset value is less than the aggregate of the amounts apportioned hereunder, such latter amounts shall be proportionately reduced so that the aggregate of such reduced amounts will be equal to such remaining asset value. (3) If there be any asset value after the apportionments under paragraph 1 and 2 above, apportionment shall be made in respect of each Participant in the service of the Employer on such date who is not entitled to an apportionment under paragraphs 1 and 2 above in the amount equal to Participant's Accumulated Contributions, provided that, if such remaining asset value be less than the aggregate of the amounts apportioned hereunder, such latter amount shall be proportionately reduced so that the aggregate of such reduced amounts will be equal to such remaining asset value. (4) If there be any asset value remaining after the apportionments under paragraphs 1, 2, and 3 above, apportionment shall lastly be made in respect of each participant included in paragraph 3 above to the extent of the Actuarial Equivalent, 74 DB PLAN RESTATED and AMENDED as of September 21, 2023 228 as described in paragraph 1 above, of the accrued Normal Retirement Benefit, less the amount apportioned in paragraph 3 above, based on the Credited Service and Average Final Compensation as of such date, provided that, if such remaining asset value be less than the aggregate of the amounts apportioned hereunder, such amounts shall be reduced so that the aggregate of such reduced amounts will be equal to such remaining asset value. (5) In the event that there be asset value remaining after the full apportionment specified in paragraphs 1, 2, 3, and 4 above, such excess shall be returned to the Employer, less return of the State's contributions to the State if applicable, provided that, if the excess is less than the total contributions made by the Employer and the State to the date of termination such excess shall be divided proportionately to the total contributions made by the Employer and the State. The allocation of the Fund provided for in this subsection may, as decided by the Board and the Employer be carried out through the purchase of insurance company contracts to provide the benefits determined in accordance with this subsection. The Fund may be distributed in one sum to the persons entitled to said benefits or the distribution may be carried out in such other equitable manner as the Board and the Employer may direct. The Trust may be continued in existence for purposes of subsequent distributions. (6) After all the vested and accrued benefits provided hereunder have been paid and after all other liabilities have been satisfied, then and only then, shall any remaining funds be reverted to of the Employer. (D) Police Officers and Firefighters Benefits for Police Officers and Firefighters for plans participating in Chapters 175 or 185, FI. Stat., shall be distributed in accordance with the following procedure: 75 DB PLAN RESTATED and AMENDED as of September 21, 2023 229 (1) The Board shall determine the date of distribution and the asset value required to fund all the nonforfeitable benefits, after taking into account the expenses of such distribution. The Board shall inform the Employer if additional assets are required, in which event the Employer shall continue to financially support the plan until all nonforfeitable benefits have been funded. (2) The Board shall determine the method of distribution of the asset value, that is, whether distribution shall be by payment in cash, by the maintenance of another or substituted trust fund, by the purchase of insured annuities, or otherwise, for each participant entitled to benefits under the plan as specified in paragraph (3). (3) The Board shall distribute the asset value as of the date of termination in the manner set forth in this subsection, on the basis that the amount required to provide any given retirement income shall mean the actuarially computed single - sum value of such retirement income, except that if the method of distribution determined under paragraph (2) involves the purchase of an insured annuity, the amount required to provide the given retirement income shall mean the single premium payable for such annuity. The actuarial single -sum value may not be less than the employee's accumulated contributions to the plan, with interest if provided by the plan, less the value of any plan benefits previously paid to the employee. (4) If in the event that there is asset value remaining after the full distribution as specified in paragraph (3), and after the payment of any expenses incurred with such distribution, such excess shall be returned to Employer, less return to the state of the state's contributions, provided that, if the excess is less than the total contributions made by the Employer and the state to date of termination of the plan, such excess shall be divided proportionately to the total contributions made by the Employer and the state. 76 DB PLAN RESTATED and AMENDED as of September 21, 2023 230 ARTICLE 20 EXEMPTION FROM EXECUTION, NON -ASSIGNABILITY The pensions, annuities, or any other benefits accrued or accruing to any person under the provisions of this Plan, the Accumulated Contributions and the assets in the Fund created under this Plan are exempt from any state, county or municipal tax of the state and shall not be subject to execution, attachment, garnishment or any legal process whatsoever and shall be unassignable. 77 DB PLAN RESTATED and AMENDED as of September 21, 2023 231 ARTICLE 21 FORFEITURE OF PENSION: CONVICTION AND FORFEITURE Any Participant who is convicted of the any of the following offenses committed prior to retirement, or whose employment is terminated by reason of his admitted commission, aid or abetment of the following specified offenses, shall forfeit all rights and benefits under this Plan, except for the return of his Accumulated Contributions as of the date of termination. (A) Specified offenses are as follows: (1) the committing, aiding or abetting of an embezzlement of public funds; (2) the committing, aiding or abetting of any theft by a public officer or employee from the employer; (3) bribery in connection with the employment of a public officer or employee; (4) any felony specified in Chapter 838, Florida Statutes; (5) the committing of an impeachable offense. (6) the committing of any felony by a public officer or employee who willfully and with intent to defraud the public or the public agency, for which he acts or in which he is employed, of the right to receive the faithful performance of his duty as a public officer or employee, realizes or obtains or attempts to obtain a profit, gain, or advantage for himself or for some other person through the use or attempted use of the power, rights, privileges, duties or position of his public office or employment position. (7) the committing on or after October 1, 2008, of any felony defined in Section 800.04, Florida Statutes, against a victim younger than sixteen (16) years of age, or any felony defined in Chapter 794, Florida Statutes, against a victim younger than eighteen (18) years of age, by a public officer or employee through the use or attempted use of power, rights, privileges, duties, or position of his or her office or employment position. 78 DB PLAN RESTATED and AMENDED as of September 21, 2023 232 (B) Conviction shall be defined as follows: An adjudication of guilt by a court of competent jurisdiction; a plea of guilty or a nolo contendere; a jury verdict of guilty when adjudication of guilt is withheld and the accused is placed on probation; or a conviction by the Senate of an impeachable offense. (C) Court shall be defined as follows: any state or federal court of competent jurisdiction, which is exercising its jurisdiction to consider a proceeding involving the alleged commission of a specified offense. Prior to forfeiture, the Board shall hold a hearing on which notice shall be given to the Participant whose benefits are being considered for forfeiture. Said Participant shall be afforded the right to have an attorney present. No formal rules of evidence shall apply, but the Participant shall be afforded a full opportunity to present his case against forfeiture. (D) Any Participant who has received benefits from the Plan in excess of his Accumulated Contributions after Participant's rights were forfeited pursuant to this section shall be required to pay back to the Fund the amount of the benefits received in excess of his Accumulated Contributions. The Board may implement all legal action necessary to recover such funds. (E) As provided in the Florida Statutes, it is unlawful for a person to willfully and knowingly make, or cause to be made, or to assist, conspire with, or urge another to make, or cause to be made, any false, fraudulent, or misleading oral or written statement or withhold or conceal material information to obtain any benefit from the Plan. A person who commits a crime is punishable as provided in Section 775.082 or Section 775.083, Florida Statutes. (F) In addition to any applicable criminal penalty upon conviction for a violation described in subsection (E), a Participant or Beneficiary of the Plan may, in the discretion of the Board, be required to forfeit the right to receive any or all benefits to which the person would be otherwise be entitled under the Plan. For purposes of 79 DB PLAN RESTATED and AMENDED as of September 21, 2023 233 this subsection (F) "conviction" means a determination of guilt that is the result of a plea or trial, regardless of whether adjudication is withheld. Of DB PLAN RESTATED and AMENDED as of September 21, 2023 234 ARTICLE 22 PENSION VALIDITY The Board shall have the power to examine and investigate into the facts upon which any pension shall heretofore have been granted under any prior or existing law, or shall hereafter be granted or obtained erroneously, fraudulently or illegally for any reason. The Board is empowered to purge the pension rolls or correct the pension amount of any person heretofore granted a pension under prior or existing law or any person hereafter granted a pension under this Plan if the same is found to be erroneous, fraudulent or illegal for any reason, and to reclassify any person who has heretofore under any prior or existing law been or who shall hereafter under this Plan be erroneously, improperly or illegally classified. Any overpayments or under payments shall be corrected and paid or repaid in a reasonable manner determined by the Board. 81 DB PLAN RESTATED and AMENDED as of September 21, 2023 235 ARTICLE 23 SIGNATORIES This agreement is effective on the date specified in the Adoption Agreement. EMPLOYER AUTHORIZED SIGNATURE TITLE DATE 82 DB PLAN RESTATED and AMENDED as of September 21, 2023 236 EXHIBIT A MASTER TRUST AGREEMENT (INCLUDING INVESTMENT POLICY) S3 DB PLAN RESTATED and AMENDED as of September 21, 2023 237 EXHIBIT B ACTUARIAL EQUIVALENT Actuarial Equivalent for benefit calculations under the Plan: Actuarial Equivalent shall mean a benefit of equivalent current value to the benefit that would otherwise have been provided to the Participant. At the time of calculation of the actuarially equivalent benefit, the calculation shall not include possible future benefit increases which have not been adopted by the Employer and which are not in effect as of the calculation date. Actuarial equivalence will be based on an interest or discount rate and mortality table as set forth in this paragraph. The interest rate will be equal to the post -retirement rate of interest that was used to determine the minimum funding requirement pursuant to Chapter 112, Florida Statutes, for the plan year that precedes the plan year during which the benefit is being determined. The mortality table will be the unisex mortality table that is promulgated by the Commissioner from time to time for purposes of determining lump sum values pursuant to Code section 417(e)(3). DB PLAN RESTATED and AMENDED as of September 21, 2023 238 Citv of Sebastian General Emplovees Retirement Plan TRUST JOINDER AGREEMENT FOR THE DEFINED BENEFIT TRUST UNDER FLORIDA MUNICIPAL PENSION TRUST FUND MASTER TRUST AGREEMENT THIS TRUST JOINDER AGREEMENT between the City of Sebastian, Florida (herein referred to as the "Participating Employer"), a municipal corporation of the State of Florida, and the Master Trustees of the Florida Municipal Pension Trust Fund (herein collectively referred to as the "Master Trustee"). WITNESSETH: WHEREAS, the Participating Employer is establishing or currently maintains a retirement benefit plan for the sole and exclusive benefit of its Participating Employees and their Beneficiaries (herein referred to as the "Plan"); and WHEREAS, the Participating Employer is authorized to vary the investment procedures of the plan thereby permitting the assets of the plan to be invested in accordance with the Master Trust Agreement and the investment policy of the Florida Municipal Pension Trust Fund (herein referred to as the "FMPTF"), and is further authorized to participate in the FMPTF as a Participating Employer in accordance with the procedures, policies and methods outlined in the FMPTF Master Trust Agreement; and WHEREAS, FMPTF, in accordance with the FMPTF Master Trust Agreement, provides a wide array of administrative, custodial and investment services to the Participating Employers in the FMPTF; and WHEREAS, the Participating Employer intends to avail itself of the services offered by FMPTF in connection with the plan; and WHEREAS, the Participating Employer desires to submit this Trust Joinder Agreement to the Master Trustee to become a Participating Employer in the FMPTF and a party to the FMPTF Master Trust Agreement. THEREFORE, in consideration of the mutual covenants and agreements flowing to each of the parties hereto, it is agreed as follows: 1. Both parties to this Trust Joinder Agreement agree that the City of Sebastian, Florida is a Participating Employer as provided in the FMPTF Master Trust Agreement. Page 1 of 3 239 2. The Participating Employer shall cause the assets of the Participating Employer's plan to be deposited into a depository designated by the FMPTF. 3. The Participating Employer shall make timely contributions in accordance with the provisions of the plan and shall deposit its contributions and any contributions made by Participating Employees into a depository designated by the FMPTF. 4. The Participating Employer shall timely remit, or timely approve the remittance of, administrative fees as may be due under the Master Trust Agreement into a depository designated by the FMPTF. 5. The Participating Employer shall provide to the Administrator designated by the Master Trustee all relevant Participating Employee information, and shall promptly update all such information, required under the plan. The Participating Employer shall certify said information to be correct to the best of its knowledge, and the FMPTF and the Administrator shall have the right to rely on the accuracy of said information in performing their contractual responsibilities. 6. The Participating Employer shall be responsible for providing the Administrator, in a timely manner, all information concerning the termination of any Participating Employee (e.g., death, disability, retirement, resignation or dismissal). If the reason for the termination is disability and the Participating Employee is claiming disability benefits, then the Participating Employer shall be responsible for ascertaining eligibility through procedures adopted by the Participating Employer. The Participating Employer shall certify said information to be correct to the best of its knowledge, and the FMPTF and the Administrator shall have the right to rely on the accuracy of said information in performing their contractual responsibilities. 7. The FMPTF shall provide administrative, custodial and investment services to the Participating Employer in accordance with any Resolution or Ordinance relating to the plan and in accordance with the FMPTF Master Trust Agreement. 8. The FMPTF, in accordance with the policies and procedures established by the Master Trustee and the FMPTF Master Trust Agreement, shall periodically report its activities to the Participating Employer on a timely basis. 9. The parties to this Trust Joinder Agreement agree to abide by and be bound by the terms, duties, rights and obligations of the parties as set forth in the FMPTF Master Trust Agreement, as may be amended by the Master Trustee, which is attached hereto and is made a part of this Trust Joinder Agreement. Page 2 of 3 240 10. The Participating Employer elects to have the plan assets invested in accordance with the FMPTF Investment Policy with an equity to fixed income ratio of: 50% Equities/ 40% Fixed Income/ 10% Real Estate 60% Equities/ 30% Fixed Income/ 10% Real Estate 70% Equities/ 20% Fixed Income/ 10% Real Estate 11. Either party may terminate this Trust Joinder Agreement by giving at least 60 days prior notice in writing (electronic means are allowable) to the other party. Any termination shall be governed by the provisions of the FMPTF Master Trust Agreement and the Plan. IN WITNESS WHEREOF, the Participating Employer has caused this Trust Joinder Agreement to the Florida Municipal Pension Trust Fund Master Agreement to be executed and the signature of its authorized officer affixed this day of 120 ATTEST: City of Sebastian, Florida, a Florida municipal corporation in Signature Bob MacPartlan, as Mayor ACCEPTANCE I9to] V197_llTil1Jilk 1[y1VA10w21►69Is] ►09ZY&3rall 0191 in Secretary - Treasurer Page 3 of 3 241 CITY OF SEBASTIAN OF 5 E B, *00*0 O 2i Q �v �FPELIr CITY COUNCIL STAFF REPORT DATE August 27, 2025 TO Honorable Mayor and City Council THRU Brian Benton, City Manager FROM Brian Stewart, CFO First Reading of Ordinance 0-25-14 — Establishment and Creation of The Board of Trustees for the SUBJECT Retirement Plan and Trust for the General Employees of the City of Sebastian, and to set the Date for the Second Reading on September 10, 2025 EXECUTIVE SUMMARY The General Employees Union has been dissolved, and the current retirement contributions will end on September 30, 2025. The City Council has given consent to move forward with developing a new pension plan for General Employees. Ordinance 0-25-14 will create Section 2-136 of the City of Sebastian, Florida Code of Ordinances, titled "Retirement Plan and Trust for the General Employees of the City of Sebastian's Board of Trustees." The Board of Trustees will be solely responsible for administering the Retirement Plan. RECOMMENDATION Hold first reading on Ordinance 0-25-14. If approved, schedule a second reading hearing on September 10, 2025. ATTACHMENTS: 1. Ordinance No. 0-25-14 2. Business Impact Analysis Form FUNDING SOURCE: Expenditure required Amount Budgeted: Funding source N/A N/A N/A Additional Funds Needed: $ 0.00 242 ORDINANCE NO. 0-25-14 AN ORDINANCE OF THE CITY OF SEBASTIAN, FLORIDA PROVIDING FOR THE ESTABLISHMENT AND CREATION OF THE BOARD OF TRUSTEES FOR THE RETIREMENT PLAN AND TRUST FOR THE GENERAL EMPLOYEES OF THE CITY OF SEBASTIAN; CREATING A NEW SECTION 2- 136 OF THE CITY OF SEBASTIAN, FLORIDA CODE OF ORDINANCES, TITLED "RETIREMENT PLAN AND TRUST FOR THE GENERAL EMPLOYEES OF THE CITY OF SEBASTIAN'S BOARD OF TRUSTEES"; PROVIDING FOR THE REPEAL OF ALL ORDINANCES OR PARTS OF ORDINANCES IN CONFLICT HEREWITH; PROVIDING FOR SEVERABILITY; PROVIDING FOR THE CODIFICATION OF THIS ORDINANCE AND FOR INCORPORATION IN THE ADOPTION AGREEMENT FOR THE RETIREMENT PLAN AND TRUST FOR THE GENERAL EMPLOYEES OF THE CITY OF SEBASTIAN, ADMINISTERED BY THE FLORIDA LEAGUE OF CITIES; PROVIDING FOR AN EFFECTIVE DATE. BE IT ORDAINED by the Mayor and City Council of the City of Sebastian, Florida, that: Section 1. A new Section 2-136 of the City of Sebastian, Florida Code of Ordinances, titled the, "Retirement Plan and Trust for the General Employees of the City of Sebastian's Board of Trustees" is proposed to be created as follows: Section 2-136 RETIREMENT PLAN AND TRUST FOR THE GENERAL EMPLOYEES OF THE CITY OF SEBASTIAN'S BOARD OF TRUSTEES. (a) Creation; Puruose. There is herebv created, pursuant to the Retirement Plan and Trust for the General Emplovees of the Citv of Sebastian (hereinafter "Retirement Plan"), a Board of Trustees (hereinafter "Board of Trustees"), for the Retirement Plan, which shall be solely responsible for administerinu the Retirement Plan. The Board of Trustees shall be a legal entity with, in addition to other powers and responsibilities outlined in the Florida Municipal Pension Trust Fund Defined Benefit Plan Document, as may be amended from time to time, the power to brims and defend lawsuits of every kind, nature and description. The Citv Council shall have the power to amend said Retirement Plan at such time, or times as considered in the best interest of the Citv of Sebastian and its izeneral emplovees. (b)Membership. The Board of Trustees shall consist of five (5) members as follows: Two (2) of whom, unless otherwise prohibited by law, must be legal residents of the Citv of Sebastian and must be appointed by the Citv Council of the Citv of Sebastian, and two (2) of whom must be General emplovees and active participants in the Retirement Plan, who are elected by a maioritv of the General employees who are active participants in the Retirement Plan. The fifth (5th) member shall be chosen by a maioritv of the previous four (4) members, and such person's name shall be submitted to the Citv Council of the Citv of Sebastian. Upon receipt of the fifth (5th) member's name, the City Council shall, as a ministerial duty appoint such 1 243 person to the Board of Trustees. (c) Board of Trustees' Terms. Each Board of Trustees' member shall serve as trustee for a period of three (3) vears. If a vacancv occurs in anv position of trustee, the vacancv shall be filled for the unexpired term in the same manner as the position of the trustee was previously filled. Section 2. CONFLICTS. This Ordinance hereby repeals all Ordinances in conflict herewith. This Ordinance shall remain in full force and effect until supplemented, amended, repealed or otherwise altered. Section 3. SEVERABILITY. If any section, subsection, sentence, clause, phrase of this Ordinance, or the particular application thereof shall be held invalid by any court, administrative agency, or other body with appropriate jurisdiction, the remaining section, subsection, sentences, clauses, or phrases under application shall not be affected thereby. Section 4. CODIFICATION. Specific authority is hereby granted to codify and incorporate this Ordinance in the existing Code of Ordinances of the City of Sebastian, Florida. Section 5. PUBLICATION/NOTICE. This Ordinance shall be published as required by the Code of the City of Sebastian and applicable provisions of Florida law. Section 6. EFFECTIVE DATE. This Ordinance shall become effective upon its adoption. PASSED ON FIRST READING, this _ day of PASSED AND ADOPTED ON SECOND READING, this _ day of 2025. ATTEST: Jeanette Williams, MMC City Clerk 2 CITY OF SEBASTIAN Bob McPartlan, Mayor , 2025. Approved as to form & legality: Jennifer Cockcroft, Esq. City Attorney 244 r� FPELICP� Business Impact Estimate Exemption This form should be included in agenda packet for the item under which the proposed ordinance is to be considered, and must be posted on the City's website by the time notice of the proposed ordinance is published. Proposed Ordinance's title/reference: AN ORDINANCE OF THE CITY OF SEBASTIAN, FLORIDA PROVIDING FOR THE ESTABLISHMENT OF A RETIREMENT PLAN AND TRUST FOR THE GENERAL EMPLOYEES OF THE CITY OF SEBASTIAN; AUTHORIZING THE PARTICIPATION OF THE PLAN IN THE FLORIDA MUNICIPAL PENSION TRUST FUND AS A PARTY THERETO; PROVIDING FOR CODIFICATION; PROVIDING FOR PUBLICATION; PROVIDING FOR SEVERABILITY; PROVIDING FOR CONFLICTS; PROVIDING FOR AN EFFECTIVE DATE. This Business Impact Estimate is provided in accordance with Florida Statute §166.041(4). If one or more boxes are checked below, this means the City of Sebastian is of the view that a business impact estimate is not required by state law, for the proposed ordinance, but the City of Sebastian is, nevertheless providing this Business Impact Estimate as a courtesy and to avoid any procedural issues that could impact the enactment of the proposed ordinance. This Business Impact Estimate may be revised following its initial posting. 10 The proposed ordinance is required for compliance with Federal or State law or regulation; ❑ The proposed ordinance relates to the issuance or refinancing of debt; ❑ The proposed ordinance relates to the adoption of budgets or budget amendments, including revenue sources necessary to fund the budget; ❑ The proposed ordinance is required to implement a contract or an agreement, including, but not limited to, any Federal, State, local, or private grant, or other financial assistance accepted by the municipal government. ❑ The proposed ordinance is an emergency ordinance; ❑ The ordinance relates to procurement; or ❑ The proposed ordinance is enacted to implement the following: a. A development order or development permit, as defined in s. 163.3164, F.S.; a development agreement as authorized by ss. 163•3220-163.3243, F.S.; or a comprehensive plan amendment or land development regulation amendment initiated by an application by a private party other than the municipality; b. Sections 190.005 and 190.046, Florida Statutes, regarding community development districts; c. Section 553.73, Florida Statutes, relating to the Florida Building Code; or 'See Section 166.041(4)(c), Florida Statutes. 1 245 d. Section 633.202, Florida Statutes, relating to the Florida Fire Prevention Code. In accordance with the provisions of controlling law, even notwithstanding the fact that, an exemption noted above may apply, City of Sebastian hereby publishes the following information: i. Summary of the proposed ordinance (must include statement of the public purpose, such as serving the public health, safety, morals, and welfare): To establish a Retirement Plan for General Employees 2. An estimate of the direct economic impact of the proposed ordinance on private, for -profit businesses in the City, if any: (a) An estimate of direct compliance costs that businesses may reasonably incur; (b) Any new charge or fee imposed by the proposed ordinance, or for which businesses will be financially responsible; and (c) An estimate of the City's regulatory costs, including estimated revenues from any new charges or fees to cover such costs. N/A 3. Good faith estimate of the number of businesses likely to be impacted by the proposed ordinance: N/A 4. Additional information the governing body deems useful (if any): The proposed ordinance is a generally applicable ordinance that applies to all persons similarly situated (individuals as well as businesses) and, therefore, the proposed ordinance does not affect only businesses. 2 246 CITY OF SEBASTIAN A� U OF 5 E Bqs �,I _ C 0 �FPELICP�` CITY COUNCIL STAFF REPORT DATE August 27, 2025 TO Honorable Mayor and City Council THRU Brian Benton, City Manager FROM Greg Gardner, Director of Golf Consideration of proposed FY 25-26 Sebastian SUBJECT Municipal Golf Course Rate Adjustments EXECUTIVE SUMMARY During the Sebastian City Council's Budget workshops held earlier this year, there was notable discussion surrounding the current rate structure at the City of Sebastian Municipal Golf Course. While Resolution No. R-15-07 gives the City Manager and the Golf Course Director the authority to set rates and fees at the City of Sebastian Municipal Golf Course at their discretion, the volume and nature of Council's input prompted Staff to bring forward proposed changes for Council review and feedback. This step is being taken in the interest of transparency and to ensure alignment with Council's expectations prior to implementing any adjustments. RECOMMENDATION Staff requests input from Council on the proposed rate adjustments. ATTACHMENTS: 1. FY 25-26 Sebastian Municipal Rate Changes 2. Resolution No. R-15-07 FUNDING SOURCE: Expenditure required Amount Budgeted: Funding source N/A N/A N/A Additional Funds Needed: $ o.00 247 FY 2025-26 Sebastian Municipal Golf Course Rates. All rates are subject to a 7% sales tax. Renewal of existing memberships, discount cards, locker rentals and USGA Golf Handicaps are due at the beginning of each Fiscal Year, which is October 1st. Annual Single Membership Annual Family Membership 18 hole Member Cart Fee 9 hole Member Cart Fee 18 hole Member walk 9 hole Member walk AM Times Section 1 Annual Memberships Fiscal 2024-25 $1,050 $1,750 $18 $12 $0-7 $0-5 Section 2 Proposed Fiscal 2025-26 $1,050 $1,750 $18 $12 $0-$7 $0-$5 Fall & Spring Non -Members Rates October 1 through December 20 & April 16 through Mav 31 Fiscal 2024-25 Ride 18 holes $44 Ride 18 holes w/ Disct. Card $38 PM Times Ride 18 holes $38 Ride 18 holes w/ Disct. Card $32 Ride 9 holes $27 Ride holes w/ Disct. Card $23 Walk 18 holes $27 Walk 18 holes w/ Disct. Card $22 Walk 9 holes $17 Walk 9 holes w/ Disct. Card $13 Proposed Fiscal 2025-26 $48 $40 $42 $34 $29 $25 $30 $24 $20 $15 248 Non -Member Winter Rates December 21 through April 15 Fiscal 2024-25 Proposed Fiscal 2025-26 AM Times Ride 18 holes $58 $63 Ride 18 holes w/ Disct. Card $47 $50 PM Times Ride 18 holes $52 $55 Ride 18 holes w/ Disct. Card $41 $45 Ride 9 holes $32 $34 Ride 9 holes w/ Disct. Card $27 $28 Walk 18 holes $34 $36 Walk 18 holes w/ Disct. Card $28 $30 Walk 9 holes $19 $21 Walk 9 holes w/ Disct. Card $16 $17 Non -Member Summer Rates June 1 through September 31 AM Times Fiscal 2024-25 Proposed Fiscal 2025-26 Ride 18 holes $34 $38 Ride 18 holes w/ Disct. Card $27 $30 PM Times Ride 18 holes $26 $26 Ride 18 holes w/ Disct. Card $22 $22 Ride 9 holes $22 $24 Ride 9 holes w/ Disct. Card $19 $21 Walk 18 holes $18 $18 Walk 18 holes w/ Disct. Card $13 $13 Walk 9 holes $13 $13 Walk 9 holes w/ Disct. Card $11 $11 249 Club Rental —18 holes Club Rental — 9 holes Club Storage Discount Card Golf Lesson Junior Golf Lesson Junior Walk Green Fee Range Balls (per token) Range Balls Junior Rider Fee (non-playing) USGA Handicap Section 3 Other Annual Rates Fiscal 2024-25 $35 $18 $90 $80 $50 $20 $3 $4 $2 $12 $30 Section 4 Adiustments Proposed Fiscal 2025-26 $35 $18 $90 $80 $50 $20 $3 $5 $2 $12 $30 The dates and hours set forth may be adjusted at the discretion of the Director of Golf, due to amount of play and area competitive conditions. The City Manager is authorized to establish the rate due to overall financial position of the enterprise fund, amount of play and area competitive conditions. The Director of Golf is authorized to advertise and promote the use of the Golf Course within the promotions and advertising budget account, and with the approval of the City Manager, offer special promotional rates and match special rates being promoted by competitors within the area. Section 5 Golf Course Capital Proiects Fund Accounts will be established for a Golf Course Capital Projects Fund and 5% of the revenues received from the rates in Section 1, 2 & 3 may be transferred to this fund. These transfers, including investment earnings, shall be committed to the cost of major capital repairs or improvements needed to provide a quality public facility. Section 6 Membership Refund Policv Membership refunds will only apply to medical disabilities and loss of life, prior to January 1 st, full proration of membership fee and taxes (i.e., December 1st refund equals 10/12 of membership fees and taxes.) After January 1 st, and prior to April 1 st, 50% refund of unused balance (i.e., February refund shows four (4) months used, 50% of 8 months fees and taxes refunded.) After April 1 st, no refunds. 250 RESOLUTION NO. R-15-07 A RESOLUTION OF THE CITY OF SEBASTIAN, INDIAN RIVER COUNTY, FLORIDA, REPEALING RESOLUTION R-12-04 PERTAINING TO RATES AND FEES AT THE SEBASTIAN MUNICIPAL GOLF COURSE; PROVIDING FOR CONFLICTS; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, on January 25, 2012, City Council adopted Resolution No. R-12-04 which established rates and fees for the Sebastian Municipal Golf Course; and WHEREAS, City Council concurred with a recommendation by the City Manager to give the City Manager and Golf Course Manager discretion in setting rates and fees for the Sebastian Municipal Golf Course; and WHEREAS, City Council considered and adopted Ordinance No. 0-15-04 on March 25, 2015 following a public hearing thereon, repealing provisions which required that rates and fees for the Sebastian Municipal Golf Course shall be adopted by City Council resolution following a public hearing. NOW THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF SEBASTIAN, the City of Sebastian as follows: Section 1. REPEAL. Resolution No. R-12-04 is repealed in its entirety. Section 2. CONFLICTS. All resolutions or parts of resolutions in conflict herewith are hereby repealed. Section 3. EFFECTIVE DATE. This resolution shall take effect immediately upon adoption. The foregoing Resolution was moved for adoption by Council Member McPartlan . The motion was seconded by Council Member Adams and, upon being put into a vote, the vote was as follows: Mayor Richard Gillmor aye Vice Mayor Jerome Adams aye Council Member Andrea Coy aye Council Member Jim Hill absent Council Member Bob McPartlan aye The Mayor thereupon declared this Resolution duly passed and adopted this 25" day of March, 2015. C=Gillmor, ORIDA B R ATTE v , Approved as to Form and Legality for O Reliance by the City of Sebastian Only: Sally A. Mai , MC City Clerk PobertGinsburg, City Attorney 251 CITY OF SEBASTIAN A� V of 5 EBgs �,I '92 0 5F 6FPELICP�` EXECUTIVE SUMMARY CITY COUNCIL STAFF REPORT DATE August 27, 2025 TO Honorable Mayor and City Council THRU Brian Benton, City Manager FROM Jeanette Williams, City Clerk Consider Holding One Council Meeting in SUBJECT November and Rescheduling the December Council Meeting Dates The second regularly scheduled City Council meeting in November falls on Wednesday, November 26th, which is the day before Thanksgiving. In consideration of the holiday and potential scheduling conflicts, staff respectfully recommends eliminating the November 26th meeting. To maintain continuity in City operations and minimize delays in Council actions, staff further recommends adjusting the December meeting schedule. Specifically, the first Council meeting in December would be moved up to Wednesday, December 3rd, with the second meeting held on Wednesday, December 17th—avoiding a conflict with Christmas Eve (December 24th). RECOMMENDATION Staff requests City Council consider a motion to: Eliminate the November 26th Council meeting; and Reschedule the December Council meetings to December 3rd and December 17th, in lieu of the regular December 10th and 24th meeting dates. ATTACHMENTS: FUNDING SOURCE: Expenditure required N/A Additional Funds Needed: $ 0.00 Amount Budgeted: Funding source N/A N/A 252