HomeMy WebLinkAbout08162011BUD MinutesCITIZENS BUDGET REVIEW ADVISORY COMMITTEE
MINUTES
5:00 P.!'.R. T�ESDAY — AtlGllST 16, 2011
CITY HALL
1225 MAIN STREET
SEBASTIAN, FLORIDA
1. Chairman Herlihy cailed the meeting to order at 6:03 pm.
2. The Pledge of Allegiance was recited.
3. Roil Caii
Members Present:
Ed Herlihy
Jerry Klenck
Brad White
AI Aivarez (alternate)
Members Not Present:
Dionna Farmer (excused)
William Flaherty (excused)
Harry Marshall {excused)
Christine Vicars (excused)
Staff Present:
City Manager, AI Minner
Administrative Services Director, Debra Krueger
Finance Director, Ken Killgore
City Clerk, Sally Maio
4. Approval of Minutes:
A. Meetinq of JuIV 19, 2011
MOTION by Mr. Klenck and SECOND by Mr. White to approve the July 19, 2011
minutes passed on a voice vote of 4-0.
5. Approval of Draft 3`d Quarter Financial Report to the Citv Council
The Finance Director briefly explained the 3`d quarter report, noting it was in the same
format as in the past year, explained a small error in the report which he had corrected in
the Council packet having to da with a bond in the Redevelopment Trust Fund. He said
he made a special effort to explain any changes that have been made from original
project budgets.
In response to Mr. Klenck's question as to why cost was going back up for Police
vehicles, the Finance Director referenced page 205 which shows $276,50� for FY 11
$185,000 projected for FY 12, $250,000 in FY 13 and $300,000 for FY 14 and on.
Mr. Klenck asked why this was and recommended that it be left up to the Garage
Manager to determine the need for replacement based on vehicle condition rather than
the five year age of the vehicle. The City Manager responded that this would be
considered but the effect may be that it could drive up the price rather than lower it.
Citizen Budget Review Board Meeting
August 16, 2011
Page Two
MOTiON E�y Mr. White and SECOND Mr. Kienck t� ap�rave fhe 3�d quarter financiaf
report and send it to Council passed on a voice vote of 4-0.
6. Reports or Comments bv Citv ManaQer ar Staff
7. Discussion of 2012 BudQet Report to the Citv Council
A. Update on Capital Improvements Plan
The City Manager briefly addressed the general fund which he said has been "beat up
pretty good" and said most everyone knows our strengths and weaknesses and where
we are, noted that we are currently in the black in the amount of aboui $70,000 due to
health care changes, and out of that we will fund $50,000 from Local Option Gas Tax
toward the Go-Line, leaving us about $20,000 in the black.
He then gave a powerpoint presentation (see attached) on the proposed Capital
Improvements Program (CIP), noting it had been reviewed by other City committees as
well. He stated that some of the projects used to be CRA projects; i.e., Cavcorp parking
lot, presidential streets, and US 1 improvements, but because the CRA budget has been
pinched, staff has shifted some of the prajects to discretionary sales tax funds (DST).
He continued the powerpoint presentation on the CIP projects utilizing various funds: 1}
Local Option Gas Tax which can be utilized for street maintenance programs; 2)
Recreation Impact Fees for which revenues are currently coming in at approximately
only $20,000 annually; 3) Community Redevelopmen# Agency, which revenues will be
used for Cavcorp engineering in the amount of $75,000 and should take six to nine
months with construction to begin in FY 13 at a cost of $750K to $1 M; and 4}
Stormwater.
The City Manager briefly went over the Enterprise Funds: 1) Golf Course, keeping
expenses low and hoping for more play, noting they are $86K in the black; 2) Airport,
which is status quo; and 3) Building Fund, which continues to deficit spend, noted the
resignation of a key staff person, Karen Park, which position will not be filled at this time
to further reduce the deficit and for which the responsibilities of the position will be
shifted #o Linda Lohsl in Building and Ginny Sieferd, who is moving from Engineering to
Community Development. He said as the industry takes off again we may have to
replace the position.
Mr. Klenck asked for an update on the issue of the additional one cent gas tax. The City
Manager said it is required to send notice between January and June, Council had
discussed it at a recent meeting but no definitive decision was made and they will review
it again in January. He said Council was hesitant to increase taxes and concerned as to
whether the County would agree to share the tax with the City, so they took a wait and
see approach. He suggested that when the Budget Board meets iater for the 4th Quarter
Budget Amendment, they look at forwarding it to Council again.
Mr. White asked the City Manager how the reduction in management staff was affecting
morale. The City Manager said for the most part it has been reasonable, did not want to
sugar coat it, that his style was to expect more for less money but he knows you can't
get blood out of a turnip, however, with 15°10 unemployment in Indian River County there
is an understanding of current conditions. He said on the management side, we see a
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Citizen Budget Review Board Meeting
August 16, 2011
Page Three
diff�rence with the changes macie in �rowth Nlanagen�ent to �ommunity a�vefopment,
reduction in PD command staff, noting the top earners have to take on more workload
and are feeling some stress, but we need to make sure we are providing service and he
believed we were. He asked for patience, noting some little things are missed but the
big stuff is not, and that morale is where it is to be expected under the circumstances.
The City Manager cited the remaining schedule as follows: Council Budget Workshop
8/22/11, first budget hearing on 9/19/11, second budget hearing and adoption on 9/28/11,
hopefully getting the health care issues wrapped up at the 8/24/19 Regular Council Meeting,
and nated the Collective Bargaining Agreements need to be wrapped up.
Mr. Klenck asked for an update on the policy of police vehicles leaving the City, and the
City Manager responded that the policy was one of ten items addressed in negotiations
with PBA, that PBA's position is they want everything the same and we are getting close
to the middle, though there is no policy on the table right now to change the take home
policy. He said the annual cost is $30,000, provides for take home within a 20 mile
radius, provides for requests beyond that distance which the City has allowed for five
officers, described the deterrent factor for vehicles parked in residential driveways, and
the said the Chief's argument is that it expedites response time in an emergency.
Mr. Herlihy asked when it would be appropriate ta report to City CounciL The City
Manager recommended the Monday, August 22�d City Council Budget Workshop.
Mr_ Herlihy asked for and received Budget Board consensus on the following issues as
presented for his report to City Council:
'1) Approval of the proposed General Fund
2) Approval of the CIP
3) Approval of the Enterprise Funds
4) The idea that sooner or later it will be tough to hold the line on property taxes but
that is aur goal.
Public Comment - None.
MOTION by Mr. Klenck and SECOND by Mr. Herlihy to request a letter be sent to FPL
requesting they turn off street lights from 3 am to 5 am and provide us a written
response.
The City Clerk left the meeting for an emergency phone call at 6:46 p.m. and notes were
taken by the Finance Director for the remainder of the meeting.
Discussion followed, and it was decided that the City Manager would look into it, and a
motion was not necessary.
9. Being no further business, Chairman Herlihy adjourned the meeting at 6:50 p.m.
Approved at the`:/f-� l�'L�-�ens Budget Review Advisory Board meeting.
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