Okaloosa County BOCC — October 5, 2013 — 7-23-13 budget workshop — reading text

asked Walton County to contribute. Mr. Harris asked if Walton County residents are picked up and brought back to Okaloosa County. Mr. Kampert responded “anyone can ride.” Mrs. Lani Birchett, Transit Grant Coordinator, explained there is a formula for federal grant funding for Okaloosa, Walton, and Santa Rosa Counties. Mr. Parisot replied that he understands but the grant funding does not cover the full cost of the route and he does not care if that route goes away. He asked how the contribution from the Tourist Development Council (TDC) went down from $400,000 to $21,000. Mrs. Birchett explained how extra FDOT funding over the last year or two had played a role in the TDC allocation. Mr. Parisot asked questions about the fares paid by riders, saying he does not see that identified as a revenue source. Mrs. Birchett stated that money is collected by Okaloosa County Transit (OCT). She explained that OCT submits an invoice for services provided and the fare box money is deducted from the invoice. A lengthy discussion ensued. Mr. Kampert pointed out that discussions have been held with the Cities of Crestview and Destin. Each voiced support for tweeking the routes but offered no financial support. Mr. Amunds said he believes the costs need to be down in the $200,000 range and thought staff should already have been working on that. He said the proposed number in the budget for this service is not realistic. Mr. Harris reiterated his position as stated last year that if the people did not make it viable, they would lose the routes. Mrs. Birchett stated she anticipates more cuts in grant funding for FY 2015. Mr. Kampert commented the grant funding is a grim picture. Mr. Amunds suggested Mrs. Birchett and Mr. Kampert meet with the commissioners individually to discuss these issues. Mr. Harris asked for a fair market value to be given for the services which are provided, noting that a taxi ride to Wal-Mart costs $5.00. July 23, 2013 -6- Minute Book 69, Page 235 Okaloosa County Board of County Commissioners Clerk of Courts Mr. Don Howard, Clerk of Circuit Court, referred to the cover letter which accompanied transmittal of his budget request. He said the bottom line is the proposed budget reflects an increase of 11.44% or $144,355. Mr. Howard stated that on the surface that looks high but pointed out in the last four years this budget has been reduced by 10.83%. A large portion of the increase for the coming fiscal year can be attributed to three factors: 1. When the Board redesignated tourist development tax collections from the Clerk’s Office to the Tax Collector, it took away the TDC collection percentage incentive. The Clerk employee who managed that task will be assigned to the Finance Department. That salary and related costs for that position will total $65,277. 2. Additional costs for statutorily increased Florida Retirement contributions are $37,487. 3. A cost of living adjustment for employees ($26,812) is included. Upon inquiry, Mr. Howard clarified the only portion funded by the Board is County Finance, Internal Auditor, and Board Secretary. He stated page 3 shows a breakdown in those costs. Mr. Howard pointed out the budget includes allocations for administration, records management, and IS support. He advised the operating budget for all of his functions is more than $7 Million. Mr. Howard explained the funding for the court associated functions and recording department. He pointed out that from 2006 through 2012, his office returned $4.7 Million to the Board in excess fees. Last year $624,000 was returned and he believes a similar amount will be returned this year. Upon inquiry by Mr. Parisot, Mr. Howard stated his proposed budget does include a 3% cost of living allocation for employees. Mr. Boyles said during the discussion of moving the collection responsibilities from the Clerk’s Office, he supported retaining the Clerk's staff member as an addition to the Finance Department to make it more robust. He stated over the last few months a department head has mentioned more than once that the Finance Department is a “pain in the tail” with regard to getting invoices approved. He quickly added that makes him happy and it is a good thing. Mr. Boyles said they will have to July 23, 2013 -7- Minute Book 69, Page 236 Okaloosa County Board of County Commissioners adjust and he is glad to hear that commentary. Mr. Howard replied the Finance Department is simply complying with the newly created policies and procedures of the Board, as well as the policies in the Finance Department. He advised it is simple to solve-submit complete documents. Property Appraiser Mr. Pete Smith, Property Appraiser, told the commissioners they have a copy of the budget he submitted to the DOR which reflects an increase of $279,000 or 9.3%. He advised the budget is directed by Statute or the Constitution. Mr. Smith spoke of the problems with his server and his necessity to purchase a new one in the coming year. Additional expenses include costs associated with moving his office in Crestview from the Courthouse to the Brackin Building, worker’s comp and FRS increases, replacing two vehicles, and a 3% increase for his employees. Mr. Boyles pointed out that Mr. Smith’s budget has already been submitted and approved by DOR. Mr. Smith said any appeals on his budget would be made to the State, he noted that getting a budget approved by DOR is no cake walk. Mr. Boyles stated the Property Appraiser’s website is critical to his business and remarked the site is user friendly. Mr. Smith noted that his proposed budget includes one additional research person. He told the Board the new Combat Veterans issue will go on the books this year and said there are many veterans in our county. Mr. Smith said his office denied 1,400 homestead exemption applications and at this point there have only been 14 petitions filed to the Value Adjustment Board. He expressed his concern about the amount of fraud and said previously they assumed everyone was telling them the truth but learned that was not the case. Subsequently, Mr, Smith began to research applications on the front end of the process. He reported that $2,237,000 have been collected in liens, back taxes and interest. Mr. Windes thanked Mr. Smith for his work. Upon inquiry by Mr. Parisot, Mr. Smith stated only an increment of the money from back taxes is returned to the county and School Board. When asked about the 3% increase to employees, Mr. Smith replied that he has never given his employees any more than what the Board has given theirs. At Mr. Parisot’s request, Mr. Smith July 23, 2013 -8- Minute Book 69, Page 237 Okaloosa County Board of County Commissioners Stated he can supply a Schedule I showing employees’ salaries. Mr. Harris referred to the different property figures between Mr. Smith’s office and the State. Mr. Smith responded that it is important to remember that not everyone pays their property taxes. Also, he pointed out the information he provided is based on the certified roll from last October. Mr. Smith said he will not know the new roll until the Value Adjustment Board hearings have been completed. Supervisor of Elections Mr. Paul Lux, Supervisor of Elections, stated the budget before the Board includes expenses for the primary election in August of next year. Additional expenditures will be incurred to comply with HB 7013 which expanded voting hours, the purchase of two new servers for the voter registration system, repairs to the warehouse facility, additional retirement costs, and a 3% increase for employees. Mr. Lux stated his budget reflects a $13,000 or 1% overall increase from the current fiscal year. Mr. Lux stated the requirement to replace voting equipment has been extended from 2016 to 2020. He pointed out the voting machines currently being used were purchased in 1997 and have a 15-year life span. Mr. Lux said other counties have been setting aside funds for the purchases when the time comes. He stated we may make it to 2016 with the existing equipment but not to 2020. Mr. Amunds noted this budget includes a request to purchase a trailer for $3,700 to haul supplies. He asked Mr. Lux if he can reach out to Board departments or other Constitutional Officers to see if they have a trailer available. Mr. Lux answered that he spoke with Health Department staff about using one of their trailers but they are always stocked with medical supplies for emergency response. Mr. Amunds again encouraged Mr. Lux to reach out to other agencies for use of a trailer. Upon inquiry by Mr. Boyles, Mr. Lux stated the estimated cost for new voting equipment is $1.2 Million. Upon further inquiry by Mr. Boyles, Mr. Lux said some counties have begun to set money aside but noted the companies will allow you to amortize the purchase over a period of years. Mr. Parisot stated he does not see a reserve fund in the SOE budget. Mr. Lux replied that he can establish one. Mr. Boyles suggested in future years Mr. Lux should set aside $50,000 to $100,000 for voting machine purchases. July 23, 2013 -9- Minute Book 69, Page 238 Okaloosa County Board of County Commissioners RECESS - The meeting was recessed at 3:00 p.m. and reconvened at 3:07 p.m. Facilities Maintenance Mr. Don Turner, Facilities Maintenance Director, opened his presentation with a detailed explanation of the program-based budget covering the following areas: Administrative services unit Custodial services Grounds keeping unit Building maintenance unit Capital Outlay projects Mr. Turner used graphics and charts for deeper explanations of staff loads and repair expenditures. He addressed the salaries of the staff and the condition of their equipment and vehicles. Tax Collector Mr. Ben Anderson, Tax Collector, stated he is at the last minute getting the document completed. He said his office is a unique Constitutional Office and his budget is approved by DOR. Mr. Anderson said he will outline the role and responsibilities of his office and what the Board is responsible for funding. A series of charts provided the following details: e Statement of BCC funded expenditures from FY 2008 through FY 2014 e Statement of commissions and expenditures; actuals from October 1, 2011 through June 30, 2013; and estimated from July 1, 2013 through September 30, 2013 Summary of FY 2013-14 budget by category Detail of personnel services Detail of operating services and expenses Detail of operating capital outlay Mr. Parisot referred to a discussion last year regarding the inadequacy of the $6.25 charge per driver’s license to cover the expenses of the operation. Mr. Anderson replied the Statutes were clear that by 2015 the driver’s license operations would be 100% under the Tax Collector’s offices. He said their July 23, 2013 -10- Minute Book 69, Page 239 Okaloosa County Board of County Commissioners eprint association has been on top of that issue from Day 1. Mr. Anderson assured him they are working to bring that into balance Continuing, Mr. Anderson advised that he has not yet submitted this budget to DOR but will do so next week. Mr. Amunds asked what expenses have been added for taking over tourist development tax collections. Mr. Anderson answered that no new employees have been added but it will be necessary to purchase software costing about $23,500. He noted there will be three people in the field and travel expenses will increase. Mr. Parisot commented that it appears Mr. Anderson has programmed in a 3% cost of living increase for employees. He also asked if the impact to the county is yet known for the changes in the Business Tax Ordinance. Mr. Anderson replied that some numbers were approximated during the Equity Study Commission but he will provide a closer estimate. Mr. Boyles stated most of the Tax Collector’s revenue is from commissions and acknowledged that other entities do business with the Tax Collector than just the county. However, he said the