HomeMy WebLinkAboutDocumentation_Regular_Tab 06_01/11/007MINUTES
VIQ.LAGE OF TEQUESTA
VILLAGE COUAICIL WORKSHOP
THURSDAY, DECEIVIBER 14, 200b
L CALL TO ORDER AND ROLL CALL
The Village Council of the Village of Tequesta held a Council 1~Vorkshop Meeting
at the Tequesta Village Hall, 345 Tequesta Drive, Tequesta, Florida, on Thursday,
December i4, 2006. Mayor Humpage called the meeting to order at 6:00 p.m. A
roll call was taken by Recording Secretary Sharifa Tharpe. Council Members
present were: Mayor Jim Humpage, Vice Mayor Tom Paterno, Council Member
Geraldine A. Genco, and Council Member Pat Watkins. Also in attendance were:
Village Manager Michael R. Couzzo, Jr., and Recording Secretary Sharifa
Tharpe, and Departmeirt Heads.
II. APPROVAL OF AGENDA
1'~Q,~Q~: Council ll~ember Watkins moved to approve the agenda, as submitted;
seconded by Council Member Genco; motion passed 4-U.
1) Discusslnn of the 2006-2007 Village of Tequeata Budget
Mayor Humpage stated the Council had already gone through all the budget
hearings, the adoption of the budget, and set the millage rate. He stated one thing
Council spoke about was revisiting the budget because there were some concerns
about the revenues versus the expenditures, and Council warned to look at some
areas of the budget to see if they could make any adjustments, Mayor Humpage
mentioned he sent Village Manager Couzzo an a-mail about titres or four weeks
ago, and as & result they were now at the Workshop Meeting.
Mayor Humpage asked Council if anyone had anything in mind that they would
like to do to the budget. He mentioned he had conversations with staff over the
past month about some information and expressed appreciation for their diligence.
He stated Council was there to address any area of interest in the budget.
Council Member Genco stated she was curious because the sheet she received in
October 2006, was well over $1 million less than what this sheet showed and she
was wondering how that could be. Mayor Humpage asked if it was the initial
sheet she received. Counctil Member Genco explained the Fund $alance originally
came to $6 million and now it was showing $4,691,843. Mayor Humpage pointed
out that was December 11, 2006 and asked which one she was referring to.
Council Member Genco specified it wan the one received an August 2$, 2006.
Mayor l±iumpage asked Finance Director Jo-Ann Forsythe if she knew anything
about this.
Minutes -Village Council Workshop Meeting 12!14/04
Page 2
Finance Director Forsythe stated she knew Assistam Finance Director Patrice
Monaco worked on it, but that was not the final budget. She asked Council
Member Genco if that was correct. Council Member Genco stated no, because
that was and balance and the Fund Balance was as it is. Finance Director Forsythe
explained it was the beginning Fund Balance and it was what they had on
September 30, 2006 when they closed out the fiscal year. She stated she updated rt
a week and a half ago, and the beginning Fund Balance would be the ending
Fund Balance at $932,600 since they closed the year on November` 30, 2004. She
pointed out that included the AP run in which a lot of invoices were processed in
the two momhs following. She pointed out those invoices would have impacted it.
Finance Director Forsythe stated in addition, the others were projections and this
was real. She explained the other one before September 30, 2006 was a
projection, which they based on what staff estimated as the final amount. She
pointed out this was the actual Fxrnd Balance after they found out what the actual
expenditures were. Council Member Genco pointed the Fund Balance was
$3,901,647.
Finance Director Forsythe stated no, the beginning Fund Balance began on
Odaber 1, 2006 and was going to be $4,491,843. Council Member Genco stated
the Village had contractual commitments for $318,000. Council Member Genco
referred to capital outlay. Finance Director Forsythe explained ft was starting with
what they hed in the beginning Fund Balance beginning October 1, 2004; and
then she added what they budgeted for the government funds. She stated they
added those revenues, and then they took out the expenditures that were budgeted,
and the debt service.
Finance Director Forsythe ponated out rather than lump all the expenditures
together, she took out some areas of the expenditures that Council might want to
look at. She indicated down below was the Capital Outlay and in those different
funds there were other expenditures, which Dame to what the ending Fund
Balance, would be. She specified this meam the beginning was real, the rest was
planned, and if the Village stuck to the plan, that would be what the ending Fond
Balance would be.
Council Member Genco stated the ending Fuad Balance would be the $3,901,447.
She asked when she received the original cash Fund Balance on August 28, 2004,
which stated $2.404 million, if it was actually $2.2 million. Finance Director
Forsythe asked if it was the projected Fund Balance. Finance Director Forsythe
stated all she knew was when she went to update the first one, that was how she
got these numbers.
Mayor Humpage pointed out on August 28, 2004, they would not have known
what the ending Fund Balance would be. Vice Mayor Paterno stated the ending
Fund Balance would have been higher than lower. Finance Director Forsythe
Minutes- Village Council Workshop Meeting 12/14/06
Page 3
stated not if it was projected; and explained if staff estimated that they were going
to totally spend out the budget, then they would have had $1 million. She stated
she knew the Municipal Canter was not completed and they were actually going
to roll the funds forward and that could have been $2 million right there. She
stated she would have to look to see.
Council Member Genco asked if the Municipal Center was reflecting on the
Capital Outlay. Finance Director Forsythe stated that was correct. Council
Member Genco asked if that was $1,085, 210, which was fund 303. Mayor
Humpage stated no that was Parks. Council Member Genca stated if she was
looking at the beginning Fund 13alance, she had accounted for everything else
except one item, which was the real difference between the beginning Fund
Balance and the Fund Balance.
Finance Director Forsythe stated she did not lrnow where those numbers came
from; and she would have to go back and Look at it. She informed Council she
knew the numbers now were real. She stated she was thinking it could have been
a projection but she did net know. Council Member Genco commented she
thought they were fairly accurate but she guessed not. Finance Director Forsythe
stated na because what they had now was real; and she did not do it until they
actually closed the fiscal year. Council Member Genco stated she definitely
understood that the numbers changed a8er the closed fiscal year.
Finance Director Forsythe stated she suspected it was a projection of the Fund
Balance at the end of the fiscal year. She explained when they went through their
budget, they sent out to all the departments asking them if they expected to finish
the projects by the end of the fiscal year. She explained if for same reason thane
projects were not completed, they moved to the next fiscal year.
Council Member Genco stated anything that was rolled over from the beginning
Fund Balance would be roiled over into the expenditures which was higher. She
stated it was still in the check book but they would not have written the check yet,
so it would show in the Fund Balance and show in the expenditures and lower the
bottom number. Finance Director Forsythe stated that was correct. Council
Member Genca referred to the Capital Outlay. Finance Director Forsythe stated it
was what the Village had in the budget for this year. Council Member Genco
listed it was Cypress Drive, Street lights, Municipal Cesrter, the Bark, and the
embankment. She stated the total was roughly $1,318,570.
Finance Director Forsythe stated that should be calculated exactly like the total
341 and the tota1343. She pointed out all that was in those, were Capital. She
explained the total expenditure in 341 for this year should be $36,400, and for 303
it should be $2,485,210. Council Member Genco stated these numbers they were
seeing for 2007 have netted out the cost of the Village Hall. She specified she was
referring to the bottom number which was $ 3,901,57. Finance Directar Forsythe
stated yes, and commented as far as she was seeing they planned to complete the
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Minutes- Village Council Workshop Meeting 12/14/06
Page 4
building in 2007. She stated in the next January Regular Council Meeting, there
would be some Capital projects rolled forward, which they would be asking
Council to appropriate. She poixrted out that would be a larger number,
Council Member Genco verified they would be appropriating more capital
expenditures. She stated the reason for the budget forecast was based on the
Capital Outlay. She mentioned Palm Beach County and explained, they had a life
expectancy of different hard line items such as buildings, improvements other
than buildings, and infrastructure. She explained infrastructure would include
roads and streets. She pointed out all those things should be on a schedule of years
to be maintained. She explained these years were based on ROS depreciation
schedules; so they were solid and it was required to use that schedule for that
particular item. She suggested the Village do that for 2007 and specified they
would project what each item was so they knew what the cost was and prorate it.
Council Member Genca explained if it was prarated, then if they were using
I/30'~ ofthe road, the Village would pay for I/30s' ofthe road; and ifthey were
using equipment that had a life expectancy of 10 years then it would become user
designated. She stated she would like to see that, and it would be under Capital
Outlay. She pointed out they wanted to have a projection so they knew what to
put aside. She commented if they wanted to call the account a reserve, they could.
Mayor Rampage suggested they ca<li it 304, Maintenance Reserve. Council
Member Genco stated the bottom line was that was what they had to do because
they would know what they had left of their Fund Balance to spend. She pointed
out the difference between what they were accruing, which was the replacement
of infrastructure, and the difference between what the Village had in the ~,rnd
Balaneey was what they had to write checks an to do special projects. Mayor
f-Tumpage stand he understood, and indicated it could be a 304 called a
Mahrtenance Reserve for painting, roads and other projects.
Finance Director Forsythe stated the Village was set up to do those. She explained
the 301 was the Capital Improvement Fund and all they had to do was transfer
into that fund because it was only for capital improvements. Council Member
Genco stated they had to break it down, and the Village had to base it en the
depreciation. Finance Director Forsythe stated it was its own set of books and
they could designate it for specific items so the money would not be in the
General Fund to be spent. She specified it would only be in the Capital
Improvement. Council Member Genco stated every year they would know what
their load would be to keep the Village looking the way it does. She stated if they
had extra, they could use it for projects.
Council Member Watkins stated she understood Council Member Genco wanted
to identify a certain amount for the roads and other things. She pointed out it
would be difficult to have a projection that would show how much the Village
expected to spend far the year 24I6. Council Member Genco stated once they
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Minutes- Village Council Workshop 11~eeting 12/i4/06
Page 5
knew the cost of the equipment, using the depreciation schedule would not make
it difficult. She poimed out they could also add a 3% interest a year which would
be done on a spread sheet. Council Member Watkins stated she guessed Council
Member Genco was saying it would not be a hard number.
Council Member Genco stated it would never be perfect, but it would be a
reasonable projection. She explained they would be aiming to put aside money
every year that they needed to take care of those things. Council Member Genco
pointed out by doing that, the Village would be sharing in what they were using.
She stated this was the proper way of aecountin~g. She commented how nicely
Palm $each County had it done; and when she looked at the other municipalities
they had something very similar to what she was suggesting. She stated the
Village would come from mayhem to organization and financial accountability.
She pointed out the Village did not have the stability to do it years age, but they
had the ability to do it now.
Council Member Genco stated if would also help the Village avoid trouble by
helping to avoid thinking they had enough money to spend, when they did not.
She stated the Faster they did it, the better financial situation the Village would be
in, and that was her purpose for the budget meeting.
Council Member Watkins stated they had same of what Council Member Genco
was proposing and referred to the Village's S year Capital Plan. Village Manager
Couzzo stated the Village had a Capital Plan but it could be much more specific.
He asked if he was correct. Council Member Genco stated 10 years would be the
minimum goal. She pointed out the Water Plant may need a 30 year because the
Water Flant may have membranes that needed to be replaced every 20 years at
$1.5 million each. She specified the Village might need 20 years because of the
large infrastructure cost. She specified the majority of items could be captured in
a 10 year schedule. She pointed out there might be roads on a lQ year schedule
and others would be on a 20 year schedule; and that depended on the class of the
road.
She referred to Public Services Director Russell White and mentioned he could
explain that. Mr. White stated that was currently being evaluated. Council
Member Genco stated every year they would put away a little that would go into
the piggy bank, which covered those uses for the year. Mayor Humpage stated
that would be like creating another reserve which could be called 304, the
maintenance reserve for future repairs. Council Member Genco stated yes. She
stated they could allow the Finance Department to name it what ever they wanted,
as long as the schedule was easy to understand for future Council Members and
for the public. She explained the public could then look at it and understand it
would be a 10 year item and what the cost was based on.
Mayor Humpage asked if they would do it according to Departments or do it as a
percentage of the reserve to be transferred at the end of the year. Council Member
Minutes-~ Village Council Workshop Heating 12!14/06
Page 6
Genco explained it was broken down by line item, even though the general ledger
code that it was transferred to would be different, the accruing of the money
would be a cash Fund Balance. Finance Director Forsythe specified it wauid be a
designation of funds. She explained it would not have to be done by department
because when they actually paid far it, it would come out of a specific Capital.
Mayor Rampage poimed out it would have to crnme out of someone's budget.
Finance Director Forsythe stated they would designate far road service.
Vice Mayor Paterna suggested it be separated in same way so that everyone
understood it was for certain items and would not be mistaken for $xtra funds to
be used for something else. Finance Duector Forsythe stated it would not be by
departments, and they would say "designate for road resurfacing, or designate for
roof repairs." Vice Mayor Paterno stated as long as anyone could see that it was
far specific uses. Council Member Genoa poimed out it would be designated for
Storm Water 403. Mayor Humpage asked. if they could do that. Council Member
Watkins asked how it would be coordinated.
Finance Director Forsythe referred to when she made a recommendation
regarding the expansion of the Water Plant and the wells. She stated it was
$900,000 For one and $300,000 for the other. She stated they also restricted cash
so that they would not spend it. She explained just having Fund Balance
designation did not preverrt the Village from using the cash because they were
two separate things. She specified one was equity and the other was the cash
asset. She stated they co~ild restrict cash for a certain amount each year to be used
for specific purposes.
Council Member Genoo thought a good way of demonstrating it on the chart
would be to have the Fund Balance at the beginning of the year at the top, and
then what the Village accrued in debits for the particular items, and what that
Fund Balance would be if they spem that at the bottom. She explained every year
it would bean accumulative accrual. Finance Director Forsythe stated they had a
Repair 1Vlaintenance plan or a Capital Improvement Plan that they set out for 10
years then they would say estimated cost at the tap of every schedule and that
could be annually adjusted. She explained the estimated cost would be $100,400
over 10 years, sa the first year they would say "designate $10,000" so they knew
they had that.
She stated the second year they would expect the balance to be $20,000 unless the
next year Council revisited it and saw that it was now $200,000 to replace it. She
stated in this case the second year balance should be changed to match that
increase. Council Member Genco asked if they were to ask what the available
Fund Balance was, if the balance would be net or gross. Finance Director
Forsythe pointed out all they would have to say was unreserved, undesignated
Fund Balance which would mean the free Fund Balance. Council Member Genco
asked if Council was to ask her at the Council meeting what the designated Fund
Balance was, if Ms. Forsythe would give there the net number. Finance Director
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Minutes- Village Council Workshop Meeting 12/14/06
Page 7
Forsythe stated no, when they ask something specifically that was how it was
stated on their financial statements. She stated she kept track of it by designated
Fund Balance, Reserve Fund Balance, and Undesignated Unreserved.
Council Member Genco verified it would be i7ndesignated Unreserved Balance.
Village Manager Cauzzo stated that would be the net. Council Member Genco
staked that was what she was asking. Village Manager Couxza stated he knew that
was where she was headed. He stated what Council would have to do was
designate those fiends from what would normally be the Undesignated Unreserved
to specific designated projects; and then they could khow what the true net wags.
Council Member Genco painted out yea, and commented it had flexibility. She
explained if a designated item at a coat of $150,000 ended up being $100,000 they
could adjust the schedule. She stated they would lay out a road map and lay out
the user costs on an annual basis from the taxes and revenues to maintain the
Village. She suggested what ever monies left could be used for special
improvement projects.
Council Member Genco asked if they were supposed to have a 10% escalation in
Hurricane Reserves every year. Vice Mayor Paterno stated no, it was 1%. Council
Member Genoo thought it was 5%. Finance Director Forsythe stated Michelle
Glaad brought the roll forward, which was $999,000 and would raise the
expenses. She painted out this was not shown an the sheet. Ms. Forsythe stated
there was also $152,804 for expenditures, which were budgeted, but they did not
spend it. She explained they were starting out with Fund Balance, and they would
came with a certain number at the bottom based on what the Village had in the
budget right now. Council Member Genoa asked if the net number after the roll
over would be roughly $2,900,000. Finance Director Forsythe pointed out the
Village was at $3.9 million and if they rolled over into the budget it would be $2.9
million.
Council Member Genco stated they were actually at $2.9 million and when one
looked at approximately $1 million dollars far a hurricane that was not a lot. She
pointed out if they lowered each projected year, by the year 2010 they would be
down $2.6 million, which was $600,000 more than the Village had. Mayor
Humpage stated that was assuming they were spending $1 million. Council
Member Genco commented it was math, and that was the way it would come out.
Mayor Humpage poimed out Council Member Genoa was also saying in 303 they
were spending $1 million in every instance. He commented it was a wash unless
they spent the $1 million.
Vice Mayor Paterno painted out they would end up spending that and then same.
He commented that was a tat of money. Mayor Humpage stated he did not see
how they would spend $1 million dollars. Vice Mayor Paterno specified they
would reserve it. Mayor Humpage asked if it would be annually. Council Member
Genco stated if they looked at the $1 million dollars in reserve, it would be $2.6
million; and ifthey took $1 million dollars that would Leave $1.6 million. Mayor
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Minutes-'Pillage Council Workshop Meeting 12/14/06
Page 8
Rampage asked if it was $2 million dollars with the hurricane. Council Member
Genco pointed out when th®y looked at the Village's cost of aperation just for
salaries, electricity, and gas, they were looking at roughly $].8 million dollars in
three mornhs.
Mayor Humpage stated 25% ofthe budget was $2.S million. Vice Mayor Paterno
summarized that would be minimum and the $11 million on top would be $3
million plus the reserve. Council Member Genco stated the Village's cost of
operation was $600,000 a month. Village Manager Couzzo stated it was more
than that. Council Member Genco stated she was just looking at salaries, and
making sure the insurance was paid for, and that staff had electricity. She pointed
out, if they had a major disaster like Hurricane Katrina or Hurricane Andrew they
would need that at a minimum. She commented that was what she was trying sfl
hard to make everyone understand.
Village Manager Couzzo asked if it would take $lmillion dollars annually to do
an RJR account. Vice Mayor Paterno stated he did not know, and he was going
to ask Finance Duector Forsythe. He asked her the estimate the value of the
Village's assets. Finance Director Forsythe stated she would have to pull the
financial statements. Mayor Humpage pointed out some parts of infrastructure
and roads were still budgeted by departments every year. He asked how long was
the plan on the road.
Council Member Genco stated they did not do the projection yet. She commented
that was the problem. Council Member Watkins expressed concern about it.
Council Member Gencp stated they would address that and they had someone
wha was supremely experienced to know what class the roads were and what the
replacement schedules were. She stated the class of the roads determined what the
schedule should be. She poirned out this was something Palm Beach County and
the State have been using for the 40 years she knew of.
Council Member Watkins stated they had to be careful how it affected the entire
budget. She stated she understood they needed to pay attention to what was
coming, but she did not want to bind the Village. Council Member Crenco stated
the Village was not bound, and most people knew the amount of money they had
for their car, for their mortgage, and insurance. She stated the Village would be
doing the name type of thing. She stated the example of a pool, which needed to
be done every 10 years; that would be put on a 10 year schedule. Council Member
Genco pointed out when they added on top of that, there were things that were not
flexible. She stated those items was the pay roll, insurance, light fixtures, and
certain other items. She stated it was the things that were tangible that needed to
put on the schedule.
Council Member +Ci~enco stated additionally the Village was very generous in
using a 6% increase in personnel expenses, because the Village was also adding a
3% increase to Public Safety Pension. Council Member Genco stated they ware
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Minutes- Village Council Workshop Meeting 12/14/06
Page 9
actually at 10.5%. Council Member Genco explained she was trying to point out
the projections of 6% should be closer to 10% because they had increased pension
contributions and actual employee salaries. at Vice Mayor Paterno pointed out
when they gave that percent, they were pfrying the percent averaged over three
years.
Council Member Genco stated yes, Vice Mayor Faterno stated that estimate
would show it would be up for 3 years .Council Member Genco stated that took
advantage of the time when the stock market was up. She explained when they
averaged it in, it was during the down market; and in 2 years, if they had another
down market that 3.5% could be b% ar 7%. Vice Mayor Paterno pointed out the
General Fund was making more than enopgh and was doing better than 8%.
Council Member Genoa stated they based the performance on how well the
investment advisor was doing at 12%. She explained they decided to use a thee
year period with the amount of moctey the Village puts in, to smooth it so when
they had peaks in the stock market, it would even it out. She pointed out when
they had one good year and one bad year, the bad year averaged with the very
good year was still causing a 3.5%. Council Member Genco stated the
expenditures were much mare conservative than she thought they were because
personnel expenses would be closer to 10%.
Mayor Humpage asked Vice Mayor Paterno if he wanted to speak on anything.
Vice Mayor Paterno stated one thing he wanted to talk about was the five year
plan the Village had. He commented in his opinion, the five year plan was not
really a plan. He commented it was a wish list, and it had not really been thought
about.
Council Member Genco asked Village Manager Couzzo when they could have a
drafted projection. Village Manager Couxzo indicated in January. He stated that
would become the vehicle to develop the five year or the ten year plan or what
ever plan Council wanted. He pointed out it would give them more specifics than
they had in the past; and they could get to a position where they could do mare
effective planning. He mentioned it was possible that was a plan they could adapt
that fu#ure Council Members may not adhere to. Mayor Humpage commented that
did not mean Council could not do it.
Village Manager Couzzo stated he would give Council a 10 year plan and push
utilities and roads to a 20 year schedule, because most roads had a 20 year or a 30
year life cycle. He stated Council could look at the drafted projection. He
indicated they would have a work sheet and could work out the numbers. Vice
Mayor Paterno asked if they could go through each of the departments to see if
there were any assets that could Sa on that list. Village Manager Couzzo stated
they would do that. Vice Mayor Paterno stated the 5 year plan was very important
at this point.
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Page 10
Council Member Genco commented she understood that Vice Mayor Paterno was
saying, knowing short term was important at this paint. She emphasised that the
10 year plan was more functional. Vice Mayor Paterno stated they needed to have
the five year plan dawn Council Member Genco pointed out if the Village had a
five year depreciation right now, and they did not know it, and they were accruing
for it, that would not be goad. She stated the more details they had, and the easier
the charts were to understand, the better for future Council Members. Vice Mayor
Paterno stated they could adjust it as times change.
Vice Mayor Paterno stated the other thing he wanted was a percentage of the
budget put aside for Capital Impravemems to improve things. He pointed out
right now they put very little amount of money to improvigg the Community and
they needed to provide more to the residents. He stated that was another thing to
consider. He stated this was some of the things they were trying to shoot for.
Mayor Humpage stated like stre~ lights. Vice Mayor Humpage mentioned street
lights and suggested if they wanted to keep expanding street lights in the
neighborhood, that would be something a portion of the budget would go into. He
stated other examples included the park and whatever was best for the residents.
He commented they needed to serve the residents and that was what it was about.
Council Member Genco stated she agreed.
Mayor Humpage stated he thought they had bean doing that, but they needed to
plug in a continuation of that. Council Member Genco stated they had a huge
reserve of $7.S million reserve years ago. She specified part of it was for Village
Hall, and the rest of it was spent on Capital Projects. Vice Mayor Paterno
commented it would be good to budget so the Village did not go over the top with
capital projects. Council Member Genco stated she agreed.
Mayor 1Iurnpage pointed out they had not touched on the existing budget so that
would remain as it was. He specified the direction from the workshop meeting
was to have staffwork on the 10 year plan. Council Member Genco stated she
agreed whole heartedly and suggested the Village use more staffthan outside
consultants when ever possible because she Felt the Village had well educated,
well qualified staff. Vice Mayor Paterno asked if there was a time frame for this.
Village Manager Couzzo stated he would have a 10 year draft on the Capital
Improvement plan by the end of ranuary 2007 and for certain segments of Public
Works it would probably be about 20 years.
Mayor Humpage asked if they could have it before the next meeting. Village
Manager Couzzo asked ifthat would be by January 7, 2007. Vice Mayor stated it
was a month away. Village Manager Couazo stated it was possible. Vice Mayor
~aterno poimed out, otherwise it would be another two months before they could
talk about it. Mayor Humpage mentioned they could have a workshop on it.
Council Member Genco suggested it be closer to the middle of the month which
would be January 1 S, 2007. Village Manager Couzzo stated alright.
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Consensus of Council was to have Village Manager Couzzo and staff draft a 20
year Capital Improvement Plan, and a 20 year plan for utilities and other sections
of Public Works, which should be ready for Council by January 15, 2007.
Vice Mayor Pate~ao asked if they could back it up and see how they could put
that plan in this year, and if there was a way they could start, he stated Mr.
Couzzo could also look at that too. He pointed out what ever they found, it could
possibly be applied this year. Village Manager Couzzo stated they could apply
existing appropriations in the 200b/2007 budget to the Capital Draft. He verified
Vice Mayor Paterno was not speaking of reserve. He stated he thought he should
look at the existing budget to see if there were any monies that could be
appropriated from personnel operating capital to the capital improvement draft for
five years.
Council Member Genco stated they had roughly $2.9 million. Mayor Rampage
stated if they wanted to skinny $100,000 out of the 2006 budget, they would be
asking staff to go back and go through all those hurdles again and amend the
budge. He suggested they take the money from the reserve and put it in the
acxaunt.
Council Member Genoo stated she thought that was how it would be because staff
has already worked same into the existing 200'7 budget so they already had it as
an expenditure. She pointed out they could take out some of these appropriations
of the accumulated designated reserves and there would br 2.9 million left. She
emphasized that they should not forget the Villag was committed to maintaining a
cash reserve of 15% of the budget. Mayor Rampage asked if that included the
hurricane reserve. Council Member Genoa indicated it included the hurricane
reserve, which they agreed to,
Mayor Humpage asked if they had about 25% now. Council Member Genco
stated they would be ahead by about $400,000. Vice Mayor Paterno stated he
heard there was money on the table that they could tighten up on. Mayor
Rampage asked where. Vice Mayor Paterna stated he was not prepared today
because that was not the topic. He stated once they had the drafted plan, and
Council got ideas, they would be able to come up with potential changes and
make it start working earlier. Council Member Watkins commented Council
should be careful about bogging down staff.
Council Member Genco commented every time Council Member Watkins pointed
that out, she felt guilty, Council Member Watkins specified she was saying,
whenever Council got together they should make a decision as to what exactly
they were requesting. She stated staff needed a unified voice of what Council
wanted so they knew what they were doing.
Council Member Genoo asked Pinance Director Forsythe ifthis was a major load
on her staff Finance Director Forsythe commented it was easier if they were sure
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Minutes- Village Council Workshop Meeting 12/14/06
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what was wanted, because every staff member worked very hard and liked to be
successful in everythictg they did. She pointed out they sometimes found that one
person wanted one thing and another wanted something else. Ms. Forsythe
explained it was sometimes confusing for staff, and they had a problem with
knowing which request they should prioritize. She commented now she was
seeing that Council was clear as to what they wanted and time frame given was
helpful.
Mayor Humpage asked if there was any money rolled from the 2005/2006 budget
to the 200G/2007 budget. Finance Director Jo-Ann Forsythe stated that had not
been done yet and would be done in January. Mayor Hwnpage pointed out there
would be departments that did not use all the money or a or that had unfinished
projects. Finance Director Forsythe stated she would go over it with the Village
Manager tomorrow. Mayor Humpage commemed the 2006/2007 budget kept
being moving back and forth. He pointed out if Village Manager Couzzo found
money in Public Works, which did not mean that the four Council members
would take it out of Public Works. He suggested the 2006/2007 stand with out
trying to skinny it out. He explained if there was any money left over from the
2006/2007 budget, then they could put it in R&R fund at the end of the fiscal
year; and if they were uncomfortable with that, they could take 50,000 out of the
reserves and put it into the litnd. Council Member Genco pointed about a year
ago, if there was a budgeted item for $80,000 which turned out to be $75,000, a
the $5.,000 was rolled over imo the General Fund. Council Member Genco stated
they were doing exactly what Mayor Humpage was saying. Mayor Humpage
pointed out it was not designated it into a fund and was put in the General Fund.
Council Member Genco stated it was never designated. Mayor Humpage stated
they could do that. Council Member Genco stated they had been doing that all
along and whenever there was money that was not spent they put it back in the
balance.
Vice Mayor Paterno explained, it comes out of particular departments' budgets, it
lowers the budget, so they could not spend it, and it goes into the cash account.
Mayor Humpage asked why Choy could not move it to the R&R account. Vice
Mayor Paterno stated they could do that too. Council Member Genoa stated if
they do what they were talking about, that was where it would end up. She stated
they have already setup the process but they had to take a look at the money the
Village had, and ague and designate it. She pointed out whenever the
departments did not spend the money, they worn not allowed to keep it. She
explained it went back into the pot because they already bought what they needed.
Vice Mayor Paterno stated they needed to pay attention to staff members who
saved money in the budget, so that they knew Choy were appreciated far saving
the Village money. Council Member Genco stated she agreed and pointed out
every year she has asked that they have the original versus the proposed budget.
She explained they would use that comparison to see what the variance was. She
painted out they would look to see if someone camp in with less than the original
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budget; that would indicate they had done a good job. She stated that was why she
warned the percentages.
Mayor Humpage asked staff i£they knew tine direction they were going in.
Village Manager Couxzo summarized by the 15 of Ianuary he would provide
Council with a drafted capital improvement plan which would be on a ]0 year
schedule and a 20 year schedule for utilities and some sections o£Public worl~e.
Vice Mayor Patemo asked about the Fin Department. Village Manager Coazzo
stated it would be for all departments and specified all funds.
Village Manager Cauzzo pointed out some of them would have to be baked at
because it was not a science. He informed Council they may put in a projection to
build a building in 2UlU and that number would have to be lacked at closely
because first would have an effect an evarything else they were looking at.
Council Member Genco mentioned they needed to start thinking about the
Tequesta Drive Bridge. Village Manager Cauxzo painted out it deponded on
whether Council warned to repair the bridge ar they wanted to replace it. He
stated trey would give some ideas on that.
III. AD~4URNMENT
'.~~. Council Member Genco moved to gdjor~rn the meeting; seconded by
Councfd Member WatTd~s; motion~ctssed 4-0.
Therefore the meeting was adjourned at 6:55 p.m.
Respectfully Submitted,
Sharifa Thorpe
Office Assistant
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