Fort Walton Beach Council agenda — 05-20-08 special agenda - budget policy issues — reading text

CITY OF FORT WALTON BEACH City Council Special Meeting Agenda - May 20, 2008 - 5:30P.M. City Council Chambers 107 Miracle Strip Parkway, SE Fort Walton Beach, FL 32548 CALL TO ORDER PLEDGE OF ALLEGIANCE APPROVAL OF AGENDA AGENDA 1. Consideration of major budget policy issues to guide the development of the Fiscal Year 2008 -09 Operational Budget and Capital Improvements Program. Report and presentation. Slide presentation will be available at the meeting) ( City Manager) (See Backup). ADJOURN Any person who decides to appeal any decision made with respect to any matterat this meeting will need a record of the proceedings, and for such purpose may 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 based. (FS28& 0105). The City of Fort Walton Beach adheres to the American with Disabilities Act and will make reasonable modifications for access to this meeting upon request. Please call City Clerk Helen Spencer at 850 -833 -9509 to make a request For Hearing Impaired dial the City Hall TDD #850 -833- 9925 or 1- 800 -955 -8771 ( TDD) or 1- 800-955 -8770 ( Voice). Requests must be received at least 48 hours in advance of the meeting in order to allow the City time to provide requested service.  CITY COUNCIL SPECIAL MEETING May 20, 2008 Special Meeting Agenda Consideration of major budget policy issues to guide the development of the FY 2008 -09 Operational Budget and Capital Improvements Program City Manager) Agenda Item Number: Sp - 1  CITY OF FORT WALTON BEACH Memorandum TO: Joyce Shanahan, City Manager THROUGH: Brandy Wunker, Interim Finance Director FROM: Charlotte Dunworth, Budget & Grants Manager RE: Budget Policy Meeting DATE: May 15, 2008 r Backaround During the January 2005 Strategic Plan, City Council established an objective under the goal of Economic Health and Financial Viability to provide City Council with earlier involvement in the budget process. As a result, the first annual Budget Policy Workshop was held in April 2005 to discuss critical issues impacting the development of the budget. DISCUSSION The Budget Policy Meeting is intended to determine the framework within which the FY 2008 -09 budget, to be distributed to City Council in July, will be prepared. It is not intended to be a detailed review of the budget and the decisions are not necessarily binding. However, if City Council's ultimate policy objectives can be built into the budget from the beginning, the entire budget process will be more efficient and effective. Staff has prepared the attached FY 2008 -09 Budget Policy Meeting document for informational purposes, as well as to outline policy decisions for which staff would like City Council consensus in order to guide preparation of the proposed FY 2008 -09 budget. This meeting has been advertised as a special meeting so that City Council may vote on the issues. RECOMMENDATION Staff respectfully requests that City Council reach a consensus on the policy decisions presented in order to guide FY 2008 -09 budget development. Concur Do not concur Hold for discussion 4W-a&,X-k J y e cManahan Manager UABudgehBudget 08- MBudget Meeting - Wyftdget Policy Memo.dcc  FY 2008w09 BUDGET POLICY MEETING May ZOO 2008 Pabfthe& May i6, 20" It is the MISSI09V ofthe City ofTort Walton Beach to 6e a leader among cities andin the region at large in delivering outstanding quality services to affcitizens through innovative andefficient use ofresources. FY 2008 -09 Budget Policy Meeting 2 of34 FY 2008 -09 Budget Policy Meeting INTRODUCTION The City of Fort Walton Beach is committed to providing quality services in a cost controlled manner, developing balanced sources of revenues to fund programs, improving and maintaining infrastructure, and maintaining prudent cash reserves for the betterment of the community' s citizens and businesses. Staff has prepared this informational BUDGET SCHEDULE document and will conduct a Budget Policy Meeting with City Council on May 20 at January 2008 Strategic Planning —Staff FY 2007 -08 Budget Kick -Off 5: 30pm. This meeting is intended to determine the framework within which the FY March 2008 Mid -Year FY 2007 -08 Budget Review Develop 5 -Yr Revenue /Expense Projections 2008 -09 budget, to be distributed to City Strategic Planning —Council Council in July, will be prepared. It is not April 2008 Draft Department Budgets Submitted intended to be a detailed review of the budget Fee Schedule Revenues • and the decisions are not necessarily binding. Personnel • Operating Expenses However, if City Council' s ultimate policy Computers • Equipment/Vehicles objectives can be built into the budget from Capital Improvement Projects the beginning, the entire budget process will May 2008 Strategic Planning —Council be more efficient and effective. Budget Policy Meeting June 2008 City Manager and Director Budget Review A major factor in preparing the FY 2008 -09 July 2008 Final Department Budget Submission budget will be Ad Valorem tax reform. The Current Year Accomplishments Florida Legislature passed legislation in June Budget Year Goals & Objectives 2007 limiting the millage rate the City may Performance Measures levy by simply majority vote of the governing June 24, 2008 City Council Meeting —Set Tentative Millage body. For FY 2008 -09, the maximum millage Rate for Ad Valorem Taxes ( if information is rate by majority vote is the roll -back rate available from the Property Appraiser) calculated exclusive of the impact of July 28, 2008 Distribute Proposed Budget to Council Amendment One on assessed value) plus a August 11 - 13 & Special City Council Meetings —Budget 4. 15% adjustment factor for growth in per August 18 -20, 2008 Workshops ( as needed) capita Florida personal income. 1st Reading of September 3, 2008 City Council Meeting — Budget Ordinance and Set Proposed Additionally, Florida voters in January 2008 Millage by Motion approved Amendment One providing September 17, 2008 City Council Meeting —2" d Reading and additional exemptions and limiting increases Adoption of Budget Ordinance and Set Final in property values. Amendment One Ad Valorem Millage by Motion provides 1) an additional $ 25, 000 exemption forfor homesteadhomestead properties,properties, 2)2) aa$$ 25,25, 000000 tangibletangible propertyproperty exemption exemption forfor businesses,businesses, andand 3)3) limitslimits thethe increaseincrease inin assessedassessed valuevalue forfor nonnon - - homesteadhomestead propertiesproperties toto 10% 10% annually.annually. TheThe impactsimpacts ofof thesethese changes changes willwill notnot bebe knownknown untiluntil thethe Property Property AppraiserAppraiser providesprovides thethe City'City' ss 20082008 assessedassessed valuevalue nono laterlater thanthan JulyJuly 1.1. Diversity Diversity inin thethe revenuerevenue structurestructure isis anan importantimportant indicatorindicator ofof economiceconomic healthhealth andand aa predictorpredictor ofof thethe City'City' ss abilityability toto copecope withwith changeschanges toto thethe economic economic andand financialfinancial environment,environment, andand isis