Fort Walton Beach Council minutes — 05-19-09 special minutes — reading text

II. 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. Special Council meeting 5 -19 -09 191 t. iliminations 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 E nd right to ask to do it. He said it was agreed if they have a credible 23rd solution to bring to Cit Council at the June meeting. The Mayor opened the floor for public input. As there was none public input was closed. Mr. Reeves move to endorse the proposed reorganization and position eliminations effectiv immediately with the exception of the on -going negotiations with the IAFF Barga ning Unit and the City Manager on the Fire Inspector position, 23rd. to be addressed by June Mr. Garvie seconded motion and it carried unanimously with Holmes, Miller, Reeves, Garvie, Nabors, Patterson, and Rynearson in favor. General Fund Res( Policy Decision: S Id General Fund reserves be used to balance the FY 2009 -10 budget? The presentation incl ded information that the Fund balance is a measure of the financial resources available; in May 2008 City Council endorsed maintaining a minimum unreserved /undesign led fund balance of 30% of total annual expenditures; the undesignated fund b dance in the General Fund is anticipated to be $ 6. 364 million on September 30, 2009, his is about $489 thousand higher than the balance required to meet the 30% minimum et by policy; and recurring revenues should fund recurring expenditures, fund t ilance 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. 1 92 Special Council meeting 5 -19 -09 BUDGET POLICY ISSUES cont. Outside Agency 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 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 funding from the School Board for the programs held in the schools, or from Okaloosa 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.  Special Council meeting 5 -19 -09 193 BUDGET POLICY ISSUES cont. Outside Agency 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. W 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, andhave 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. 194 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