Fort Walton Beach Council agenda — 08-24-2010 Regular — reading text

Helen Spencer, City Clerk; Toni Craig, City Attorney; and Department Directors PURPOSE The purpose of the Special Council meeting is to discuss the proposed Budget for Fiscal Year 2010 -11. CALL TO ORDER The Mayor called the meeting to order. PLEDGE The Mayor led in the Pledge of Allegiance. APPROVAL OF AGENDA Mr. Reeves moved to approve the agenda as the business of the day. Mr. Minich seconded motion and it carried unanimously with Holmes, gossom, Reeves, Minich, Nabors, and Rynearson in favor (Seat 6 vacant) PRESENTATION OF 2010 -2011 BUDGET The Finance Director went over the proposed budget for Fiscal Year 2010 -1 lthat totals $ 35, 708, 090 and is 358, 601 ( 1. 0 %) less than the prior year and which was developed based on the direction of Council to keep public safety whole, keep as many services as possible, keep as many employees as possible, provide an employee compensation incentive if possible, and keep the millage rate below 5 mills. She gave a brief outline on how the goals were achieved to keep public safety whole with no reduction in service levels or response time and not staffing reductions; to keep as many services as possible with no reduction in athletic or recreation programs, use of inmate labor for right -of w - ay maintenance, and library hours reduced 3 hours a week during non -peak times; to keep as many employees as possible with 19 employees that took advantage of the early retirement incentive program resulting in a decrease of 17.42 FTE' s or 5. 5 %, 2 new part- time positions in purchasing and utilities, with a payroll savings in salaries and benefits of $1. 4 million; to provide an employee compensation incentive if possible with vacation hours in lieu of pay increases on a sliding scale in 4 hour increments corresponding to an employees evaluation score, police bargaining unit members ineligible due to pending contract negotiations; and to keep the millage rate below 5 mills with the general fund balanced at the rolled back millage rate of 4. 5383 which will generate the same amount of ad valorem revenue as the prior year to provide the same program and service levels. The Finance Director then went over the use of General Fund Reserves to fund one -time, non -recurring expenses for the 1999 Golf Bond payoff, retirement payouts, inmate labor program start-up costs, automated minutes software, police department OSSI upgrade, police vehicles, LDC revisions, Hedrick Center improvements, City Hall Annex roof, Science Center roof, City Hall Energy Efficiency Lighting, Council Chambers HVAC, Butler Drive paving, and Howell Drive paving. iK  Special Council 8 - 16 - 10 PRESENTATION OF 2010 -2011 BUDGET cont. Charlotte Dunworth, Budget/Grants Manager went over the General Fund highlights with no support for Chamber, EDC, or Advocacy Group; no support for BMX Park; school crossing guards, police training transferred from LETF; computer replacements; police vehicle replacements; Seabreeze /Oakland Park door replacements; 72" riding mower replacement; Ferry Park tennis court resurfacing; library books and publications fund from Harvey Trust; utility body retrofit for truck; and the annual street resurfacing program. Ms. Dunworth went over the CRA Fund highlights with five funded positions; a focus on marketing and economic development; street resurfacing; Heritage Park improvements; sidewalk installation; nuisance abatement; economic incentive program; and Soundside demolition and infrastructure. Ms. Dunworth went over the Utilities Fund highlights for GIS mapping; water well maintenance; water tank maintenance; lift station rehabilitation; sewer system flow monitoring; and pump station maintenance. Ms. Dunworth went over the other Enterprise Fund highlights for the Sanitation Fund, the Golf Fund, and the Stormwater Fund. Ms. Dunworth went over the highlights for the Special Revenue Funds for the Law Enforcement Trust Fund, the Law Enforcement Training Fund, the CDBG Fund, the Debt Service Fund, and the Beal Memorial Fund. Ms. Dunworth concluded the presentation with the staff request that Council approve the proposed FY 2010- 11 budget ( any increase in spending in one area will require a reduction in another area or increase in the millage rate); to approve the Hedrick Center improvements ( water intrusion correction and gym cooling system are estimated at $ 100, 000 in FY 2010 -11; additional improvements estimated at $ 250,000 would extend the life of the building about 15 years and permit operations at the center to continue status quo); to approve the annual purchasing waivers for computers, library books, fuel, street, paving and sidewalk construction; and cost allocation plan waivers for the golf and stormwater funds. The Mayor opened the floor for public input. Richard Moak, 207 Wright Parkway and retired City firefighter, commended staff and City Council for reaching the rolled back :millage rate goal and to keep staff especially in the public service departments. He commented that the employees cannot perform at their maximum capability when worried about job cuts and expressed the hope that the rolled back millage rate will help to ease the fears of employees worried about job cuts. Nancy Reynolds expressed support for keeping the city services whole and her hope that the police and fire services will not be affected. David Cheek, 305 Cecelia Drive spoke in support of the rolled back millage rate that will keep staff and the services provided. Shane Stewart spoke in support of the rolled back millage rate and keeping as many public safety employees as possible. Sandy Stone, 328 Iva Place, expressed appreciation in the effort to keep the rolled back rate and being able to keep the police and fire services provided. Frances Mikulec, 321 Parkway Place SW, expressed appreciation for the effort of the rolled back rate without cutting jobs or decreasing services. 11  Special Council 8 - 16 -10 PRESENTATION OF 2010 -2011 BUDGET cont. Charlie Barber, 239 Brooks Street, mentioned his family' s need for the ALS services in the past year and expressed his hope there are no cut backs in the area of ALS. As no one further wished to speak public input was closed The Mayor invited the outside agencies to speak. Economic Development Council Larry Sassano, President of Economic Development Council ( EDC) discussed the activities being provided and how the EDC has used the City' s funding to support Fort Walton Beach companies and military partners. The EDC requested $ 14, 000 in public funding to continue to carry out those activities that benefit the City and its local business members. Paul Hsu, former Chairman of the EDC, strongly encouraged Council to support the EDC request for funding. Margaret McLemore with DRS discussed the assistance given by the EDC on the DRS expansion and urged Council to support the request for $ 14, 000. Jim Neal with InDyne voiced support for the EDC and recommended Council grant the request for $14, 000. Greg Britton with Fort Walton Machining on Jet Drive spoke in support of the EDC. Chamber of Commerce Ted Corcoran, President Chamber of Commerce, went through the number of services the Chamber provides for the promotion and benefit of the City which include tourism inquiries and complaints, creation of a relocation guide, organized the downtown area working, forming an uptown business committee, promoting businesses on Miracle Strip Parkway, organized an oil task force, a visioning initiative, a branding initiative, military affairs committee, government affairs committee, cultural awareness committee, health care committee, sponsoring festivals which bring tourism and increase the quality of life, candidate awareness campaign, the homelessness issue, a green initiative with emphasis on recycling, working with the Recreation Department for small events such as movies at the Landing, and they are receptive to hear anything the City would like the Chamber to do and help where they can. There were no further outside agencies who wished to address Council. Mr. Minich moved to add $ 12, 000 to the budget for the EDC. Motion failed for lack of a second. Mr. Minich moved to approve the proposed FY 2010 -11 budget. Mr. Reeves seconded motion. Mr. Reeves moved to amend the budget to take the $ 20, 000 budgeted for fireworks to use $ 14, 000 to fund the EDC. Motion failed for lack of a second. Mr. Holmes moved to amend the budget to 5 mills ( which will add around $ 400,000 to budget for an approximate cost of $35 a year on a $ 100, 000 home) and to look at a small incentive for employees ( 1% at 107, 000 from General Fund, $ 146, 000 Citywide) and address some of the critical needs for infrastructure in some of the buildings ( to include Hedrick Center improvements at $ 250, 000, police vehicle replacements at 450, 000, computer replacements at $ 24, 000, and various equipment at $ 50, 000). Motion failed for lack of a second. The Mayor called for the vote on the motion to approve the proposed FY 2010 -11 budget and it carried by a vote of 5 to 1 with Holmes, gossom, Minich, Nabors, and Rynearson in favor and Reeves opposed ( Seat 6 vacant). 12 Special Council 8 - 16 -10 HEDRICK CENTER IMPROVEMENTS The Finance Director reported there is $ 100,000 in the budget for the water intrusion correction and gym cooling system, and then there are additional improvements needed which is estimated at $ 250,000 with the additional estimated cost not known until they receive the final report. The Mayor opened the floor for public input. As no one wished to speak public input was closed. Ms. gossom moved to approve the Hedrick Center improvements. Mr. Rynearson seconded motion and it carried unanimously with Holmes, gossom, Reeves, Minich, Nabors, and Rynearson in favor Seat 6 vacant). PURCHASING WAIVERS Staff requests that City Council approve waiving the bid process to allow the City to procure computers, library books, fuel, and street paving at the most competitive prices. The Mayor opened the floor for public input. As no one wished to speak public input was closed. Mr. Reeves moved to waive the bid process for FY 2010 -11 for computer related purchases, for library books purchases, for gasoline and diesel fuel purchases and to replace the bid process with obtaining pricing information from multiple vendors and authorize the Finance Director to approve those procurements from the lowest priced vendors; and to waive the requirement for City Council approval of street resurfacing and sidewalk purchases in amounts equal to or greater than $ 20, 000 in FY 2010- 11 if the vendor was awarded the most recent bid and the work was approved in the annual budget and authorize the Finance Director to approve these procurements from the vendor awarded the most recent bid. Mr. Holmes seconded motion and it carried unanimously with Holmes, gossom, Reeves, Minich, Nabors, and Rynearson in favor (Seat 6 vacant). COST ALLOCATION Staff requests Council forgive a large portion of the Golf Fund' s share of the cost allocation plan for FY 2010 -11 to permit the Golf Fund to retain all revenues for operational use and to replenish net assets; and to also forgive a large portion of the Stormwater Fund' s share of the cost