Fort Walton Beach Council agenda — 06-09-09 regular — reading text

transition between the employer and employee; the positions recommended for elimination or reduction in hours are those that would least impact the operation and service delivery to the community; employees will be required to sign a severance agreement in order to receive severance benefits; and accrued sick and vacation leave would be paid consistent with current personnel rules and regulations. 6- Special Council meeting 5 -19 -09 BUDGET POLICY ISSUES cont. Severence/ Termination Pav cont. Staff recommendation is to endorse severance pay through a severance agreement for employees who positions are eliminated as a result of improvements to organizational efficiency and effectiveness, to include 1) eight weeks of regular wages; 2) 100% payment of dental and medical premiums through September 30, 2009; and 3) accrued sick and vacation leave ( consistent with current personnel rules and regulations). The Mayor opened the floor for public input. Missy McKim, 342 Brook Street SE, asked Council to recognize the loyalty and work of the individuals terminated, said the severance pay is the minimum that needs to be done to show appreciation and respect for the work done, and spoke about the successes in turning a floundering CRA and a failing downtown around and other programs initiated during her ten year employment. She requested Council first, extend the administrative leave for two weeks from tomorrow for each of them to review the document they will be signing; second, waive the early retirement penalty of 3% per year; and third, vest Kelly Scott for retirement who is 13 months short of being vested. Kelly Scott, 415 Sherry Circle, said she has worked for the City for nine years as a loyal, dedicated employee and is disappointed that her future is being taken away. She asked Council to think about it and give them something, especially their retirement they have worked so hard for their future. Millie Thrush, 316 Sudduth Circle, described her involvement with the City over the years, stated she understood why the CRA and MPB should not be one and the same, and expressed her hope that the CRA is not abolished. She spoke highly of Ms. McKim and Ms. Scott and expressed hope that they will be treated fairly. Samantha Abell, Sr. Planner, spoke highly of Ms. McKim' s integrity and expressed her pleasure with having worked with Ms. McKim and Ms. Scott Glenda Glover, 115 Waynell Circle, mentioned there are rules and laws. at the state, county and federal level that the planning department has to follow and the City is going to lose a huge part of what they have to know to carry out those laws. She spoke highly of the service Joe Menda and all employees have given the City. As no one else wished to speak, public input was closed. Mr. Miller moved to endorse the following severance pay through a severance agreement for employees whose positions are eliminated as a result of improvements to organizational efficiency and effectiveness, to include 1) eight weeks of regular wages; 2) 100% payment of dental and medical premiums through September 30, 2009; and 3) accrued sick and vacation leave (consistent with current personnel rules and regulations). Mr. Rynearson seconded motion. Mark Wiltsie, Administrative Services Director, clarified that the individuals receiving the severance agreement will have 45 days to review the agreement and following execution of the agreement, they will have seven days to rescind their execution of the document, so they will have a total of 52 days to make a decision. 7-  5- 19 -09 Special Council meeting BUDGET POLICY ISSUES cont. Severence/Termination Pay Cont. Mr. Wiltsie also explained in order to consider the request to waive the 3% a year penalty requirement and to provide additional credited service for Ms. Scott would require an ordinance amendment to the current General Employee' s Pension Plan. He confirmed it would be difficult to amend the Plan for one individual. The Mayor called for the vote on the motion to endorse the following severance pay through a severance agreement for employees who positions are eliminated as a result of improvements to organizational efficiency and effectiveness, to include 1) eight ( 8) weeks of regular wages; 2) 100% payment of dental and medical premiums through September 30, 2009; and 3) accrued sick and vacation leave ( consistent with current personnel rules and regulations). and it carried unanimously with Holmes, Miller, Reeves, Garvie, Nabors, Patterson, and Rynearson in favor. . Reorganization and Position Eliminations Policy Decision: Should a reorganization and position eliminations occur to improve efficiency and reflect current economic conditions? The presentation included information that reorganizing the Public Services Department into the Engineering Services and Utility Services Departments would result in position eliminations ( Public Services Director, Development Services Director, Current Planning Manager, Planning and Zoning Clerk, and Facilities Superintendent), and one position, the Neighborhood Improvement Coordinator would be reclassified to a Staff Assistant ll. Other General Fund position eliminations include 1 vacant police sergeant, 1 vacant police officer, and a fire inspector; Sanitation Fund changes include elimination of the Sanitation Coordinator and reduce the Staff Assistant II to 30 hours per week; and Golf Fund changes include reclassifying the Golf Club Administrator to Golf Club Manager and reclassification of the Administrative Coordinator to a part -time Staff Assistant. Staff recommendation is to endorse the proposed reorganization and position eliminations effective immediately. Discussion included explanation that the membership functions at the Golf Club will be moved over to Finance from the duties of the Administrative Coordinator, thus reducing the hours of the Administrative Coordinator; and a question on the status of the fire services consolidation study and how consolidation will impact the reorganization of the City. The City Manager said the IAFF is conducting the study, and believed most of the study has been completed, it will be sent to the International Headquarters who will have 4 -6 weeks to evaluate it before they send it back Larry DiAmco, President of the Fort Walton Beach Professional Firefighters Local 2601, explained the Presidents of the three entities involved, Mary Esther, Ocean City -Wright, and Fort Walton Beach, came together to have the 'Plan put into motion and the IAFF will take everything involved with the three entities, look at it as a whole on how it will benefit the City and future of the area, they will come up with a plan to incorporate the existing entities into one group, how to best fund it, and whether it needs to add or subtract people to bring it up to a certain level. He said everyone has turned in the paperwork to the IAFF and once completed it will be sent back to the locals who will review it then it will be presented to the City. He expected it to be the summer before it is returned. 8- Special Council meeting 5 -19 -09 BUDGET POLICY ISSUES cont. Reorganization and Position Eliminations cont. The City Manager mentioned other areas the City is exploring for partnerships is purchasing, insurance, the creation of a data base on what can be exchanged with other communities; and a mutual aid agreement for building services. He further reported that the IAFF would like time to review the Fire Inspector position then come back with a suggestion equal to the recommendation made by staff or better, and he would like to give them an opportunity to do it. He said the IAFF is a recognized bargaining unit and they do have the opportunity and right to ask to do it. He said it was agreed if they have a credible 23rd solution to bring to City Council at the June meeting. The Mayor opened the floor for public input. As there was none public input was closed. Mr. Reeves moved to endorse the proposed reorganization and position eliminations effective immediately with the exception of the on -going negotiations with the IAFF Bargaining Unit and the City Manager on the Fire Inspector position, 23rd. to be by June addressed Mr. Garvie seconded motion and it carried unanimously with Holmes, Miller, Reeves, Garvie, Nabors, Patterson, and Rynearson in favor. General Fund Reserves Policy Decision: Should General Fund reserves be used to balance the FY 2009 -10 budget? The presentation included information that the Fund balance is a measure of the financial resources available; in May 2008 City Council endorsed maintaining a minimum unreserved /undesignated fund balance of 30% of total annual expenditures; the undesignated fund balance in the General Fund is anticipated to be $ 6. 364 million on September 30, 2009, this is about $489 thousand higher than the balance required to meet the 30% minimum set by policy; and recurring revenues should fund recurring expenditures, fund balance should only be relied upon for one -time outlays or capital projects. Staff recommendation is to appropriate up to $ 589 thousand from undesignated fund balance to fund one -time, non -recurring expenses in the FY 2009 -10 budget; and to appropriate a portion of designated fund balances to pay for medical insurance, pension contributions, and computer replacements as needed in FY 2009 -10 budget. The Mayor opened the floor for public input. Kabe Woods, 240 Brooks Street, expressed it is not a good idea to use a portion of designated fund balances to pay for recurring costs. As no one else wished to speak public input was closed. Mr. Reeves moved to appropriate from undesignated fund balance the excess over $ 30% to fund one -time, non -recurring expenses in the FY 2009 -10 budget. Mr. Rynearson seconded motion and it failed by a vote of 1 to 6 with Rynearson in favor and Holmes, Miller, Reeves, Garvie, Nabors, and Patterson opposed. 9- Special Council meeting 5 -19 -09 BUDGET POLICY ISSUES cont. Outside Agencv Funding Policy Decision: Should the current level of funding to outside agencies be continued? The presentation included information that the following agencies receive City funding: PAWS $ 95, 000. 00, Chamber $ 40,000.00, EDC $ 22, 000.00, and CBA $ 26,000.00; in addition to cash funding, the City provides in -kind services of about $ 30, 000.00 annually to Chamber events; Council has in years past expressed an interest in decreasing funding to outside agencies; and reducing funds to outside agencies would free revenues to maintain funding for existing City programs and services. Staff recommendation is to reduce PAWS funding to the requested amount of $ 88, 330. 00; reduce General Fund support to the Chamber by 8% or $ 2, 000 as well as the value of in- kind services above and beyond baseline coverage; reduce EDC