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

funding by 8% or $ 1, 778; and eliminate support to the CBA. The City Manager explained that staff recommended eliminating support to the CBA because there is staff that can take on the functions of the CBA. John Hofstad, Utilities Director, explained his department does not have the revenues to fund the CBA and he does have the staff capable of performing the work. The Mayor opened the floor for public input. Glenda Glover, 115 Waynel Circle, questioned what the Chamber does for the City. The City Manager stated the Chamber represented to him that they are the main entity people go to who relocate here, they promote the City at every opportunity, and they represent the best interest of the City, and they put on events that draw people downtown. Tula Terrell, Director of CBA, stated the CBA is dependent on the financial support, went over the work they do for the City, and urged Council to reconsider eliminating total support of the CBA as complete elimination would immobilize them in their work. She verified they receive funding from the City of Destin and Walton County but no other entity. Glenda Glover, 115 Waynel Circle, received verification that the CBA does not receive schools, or from Okaloosa funding from the School Board for the programs held in the County. As no one further wished to speak public input was closed. Mr. Reeves moved to reduce General Fund support to PAWS to the requested amount of $88, 330.00. Mr. Holmes seconded motion and it carried unanimously with Holmes, Miller, Reeves, Garvie, Nabors, Patterson, and Rynearson in favor. Mr. Miller moved to reduce General Fund support to the Chamber of Commerce by 2, 000.00, as was well as the value of in -kind services above and beyond baseline coverage ( e. g. additional police support to monitor parking). Mr. Garvie seconded motion and it carried unanimously with Holmes, Miller, Reeves, Garvie, Nabors, Patterson, and Rynearson in. favor. 10- Special Council meeting 5 -19 -09 BUDGET POLICY ISSUES cont. Outside Aqency Funding cont. Mr. Holmes moved to eliminate funding to the EDC. Mr. Reeves seconded motion and it failed by a vote of 3 to 4 with Holmes, Reeves, and Nabors in favor and Miller, Garvie, Patterson, and Rynearson opposed. Mr. Patterson moved to reduce General Fund support to the EDC to $ 18, 000. Mr. Miller seconded motion and it carried by a vote of 4 to 3 with Miller, Garvie, Patterson, and Rynearson in favor and Holmes, Reeves, and Nabors opposed. Mr. Reeves moved to eliminate all General Fund and Stormwater Fund support to the CBA. Mr. Holmes seconded motion and it carried unanimously with Holmes, Miller, Reeves, Garvie, Nabors, Patterson, and Rynearson in favor. RECESS The meeting recessed at 7:58 p. m. RECONVENE The meeting reconvened at 8:08 p. m. Legislative Support Policy Decision: Should the contract for legislative support services be continued? The presentation included information that the City began contracting with The Advocacy Group ( TAG) in December 2007 at an annual cost not to exceed $ 40,000. 00; TAG provides regular, detailed updates on legislative issues, regular and punctual conference calls, and have proven to be effective; staff believes TAG' s assistance resulted in the City receiving funding for two Community Budget Issue Request ( CBIR) grants totaling 400, 000.00; and with grant funding decreasing due to budget constraints, it continues to be important that the City have an advocate in Tallahassee to channel as much money as possible to the City. Staff recommendation is to continue to budget $ 40,000.00 annually for legislative support services. The Mayor opened the floor for public input. As no one wished to speak public input was closed. Mr. Garvie moved to endorse budgeting legislative support services for the period December 2009 through November 2010 at an annual cost not to exceed $ 40, 000.00. Mr. Nabors seconded motion and it carried unanimously with Holmes, Miller, Reeves, Garvie, Nabors, Patterson, and Rynearson in favor., Interfund Transfers Policy Decision: Should the current interfund transfer policy be continued? The presentation included information that the Cost Allocation Plan is currently being updated; in addition to reimbursing shared expenses, the Utilities and Sanitation Funds contribute a portion of their resources to support the General Fund, the transfer of operating surplus should not result in a net loss for the enterprise fund. Special Council meeting 5 -19 -09 BUDGET POLICY ISSUES cont. Interfund Transfers cont. The presentation continued with the information that due to declining revenues, it is not anticipated the enterprise funds will be able to transfer surplus to the General Fund in FY 2009 -10; and the Golf Fund does not reimburse $ 417, 000. 00 per the Cost Allocation Plan in order to permit the fund to begin to rebuild net assets. Staff recommendation is to continue the current interfund transfer policy; and continue to forgive the Golf Fund' s share of the Cost Allocation Plan in FY 2009 -10. The Mayor opened the floor for public input. As no one wished to speak public input was closed. Mr. Rynearson moved to continue the current interfund transfer policy. Mr. Reeves seconded motion and it carried unanimously with Holmes, Miller, Reeves, Garvie, Nabors, Patterson, and Rynearson in favor. Mr. Miller moved to continue to forgive the Golf Fund' s share of the Cost Allocation Plan in FY 2009 -10, if necessary. Mr. Garvie seconded motion and it carried unanimously with Holmes, Miller, Reeves, Garvie, Nabors, Patterson, and Rynearson in favor. Water Meter Replacement Policy Decision: Should Utilities Fund reserves be used to fund water meter replacement? The presentation included information that the unrestricted net assets balance in the Utilities Fund is anticipated to be $ 6.237 million on September 30, 2009; that the water loss ratio has increased from an average of 13% between FY' s 1998 to 2007 to 19% YTD in FY 2009; that replacing all 9,860 water meters with current revenues would take up to seven years; that staff estimates $ 1. 5M to replace the existing touch -wand meters with radio -read meters; and benefits include accurate readings and increased revenues, decreased maintenance costs, elimination of one meter reader position, and all meters being under warranty for the same time. Staff recommendation is to appropriate up to $ 1. 31VI from reserves ( in addition to the FY 2007 -08 carryover and FY 2008 -09 budget funds) to fund replacement of all touch -wand water meters with radio -read water meters in the current year, with staff performing the installation. The Mayor opened the floor for public input. As no one wished to speak public input was closed. Mr. Garvie moved to appropriate the appropriate amount from reserves ( in addition to the FY 2007 -08 carryover and FY 2008 -09 budget funds) to fund replacement of commercial customers of all touch -wand water meters with radio -read water meters in the current year, with staff performing the installation. Mr. Patterson seconded motion and it carried a vote of 5 to 2 with Miller, Reeves, Garvie, Patterson, and Rynearson in favor and Holmes and Nabors opposed. 12- Special Council meeting 5 -19 -09 BUDGET POLICY ISSUES cont. GIS Asset Management cont. Policy Decision: Should the GIS Asset Management program be completed in- house? The presentation included information that in FY 2008 -09 City Council approved a budget of $ 300,000.00 to begin the field data collection phase of the GIS Mapping project - the first phase of the 5 -year, $ 1, 5M project, Staff can perform the project in -house with the purchase of 2 GPS units with sub -centimeter" accuracy and 2 GPS handheld units with sub -meter accuracy at a cost of $ 80, 000. 00 ( from existing $ 300,000.00 budget funds), another $ 100,000. 00 ( from existing $ 300, 000.00 budget funds) would be used in FY 2009- 10 for equipment/software maintenance and aerial photography,. and the project would require future funding in the amount of $ 50,000.00 annually for software and equipment training and maintenance, as well as $ 50,000. 00 to update the aerial photography every three years. Staff recommendation is to appropriate up to $ 80, 000 of the FY 2008 -09 $ 300,000. 00 budget for CIP 5114 GIS Asset Management to purchase GPS equipment in the current year to collect the required field data for the potable water, sanitary sewer, and stormwater infrastructure systems; and appropriate $ 100, 000.00 of the FY 2008 -09 $ 300,000. 00 budget for CIP 5114 GIS Asset Management in FY 2009 -10 for maintenance of the software and equipment and to partner with Okaloosa County to update the aerial photography as part of a recurring partnership. The Mayor opened the floor for public input. As no one wished to speak public input was closed. Mr. Garvie moved to appropriate up to $80,000 of the FY 2008 -09 $ 300,000. 00 budget for CIP 5114 GIS Asset Management to purchase GPS equipment in the current year to collect the required field data for the potable water, sanitary sewer, and stormwater infrastructure systems; and appropriate $ 100, 000.00 of the FY 2008 -09 300,000. 00 budget for CIP 5114 GIS Asset Management in FY 2009 -10 for maintenance of the software and equipment and to partner with Okaloosa County to update the aerial photography as part of a recurringpartnership. Mr. Miller seconded motion and it carried unanimously with Holmes, Miller, Reeves, Garvie, Nabors, Patterson, and Rynearson in favor. Tipping Fees Policy Decision: Should the tipping fee component of sanitation rates be increased January 1, 2010? The presentation included information that the City's transfer and disposal agreement with BFI Waste Services stipulates the disposal prices per ton will increase 3% in January 2010; that according to the adopted fee schedule for garbage rates, " The Tipping Component of Fees will be adjusted automatically for any CPI adjustments passed onto the City "; the Enterprise funds should be self-sustaining with user fees covering the cost of providing the service; and the impact of this change for a typical residential customer with one container would be $ 0. 15 per month. Staff recommendation is to increase the tipping fee component of sanitation rates by 3% effective January 1, 2010 per our contract with BFI and in accordance with existing fee schedule language. 13- Special Council meeting 5 -19 -09 BUDGET POLICY ISSUES cont. Tipping Fees cont. The Mayor opened the floor for public input. As no one wished to speak public input was closed. Mr. Reeves moved to increase the tipping fee component of sanitation rates by 3% effective January 1, 2010 per the contract with BFI and in accordance with existing fee schedule language. Mr. Garvie seconded motion and it carried unanimously with Holmes, Miller, Reeves, Garvie, Nabors, Patterson, and Rynearson in favor. Compensation Alternative Policy Decision: Should a lump -sum payment be offered to general employees in lieu of a wage adjustment? The presentation included information that the cost of living adjustment is intended to ensure wages keep pace with inflation, the March 2009 CPI is 0.4% lower than a year ago, which means the cost