Loading...
HomeMy WebLinkAboutMinutes_Workshop_6/17/2019MINUTES WORKSHOP MEETING VILLAGE OF TEQUESTA, FL JUNE 17, 2019 8:30 AM VILLAGE HALL CONFERENCE ROOM CALL TO ORDER AND ROLL CALL The meeting was called to order by Mayor Abby Brennan at 8.30 a.m. A roll call was taken by Village Clerk McWilliams. Present were. - Mayor Brennan, Council Member Brandon, Vice -Mayor Johnson, and Council Member Stone. COMMUNICATIONS FROM CITIZENS None AGENDA ITEMS 1. Review and Discuss FY 201912020 Annual Budget - General Fund Acting Manager Weinand explained the police department budget would be addressed on Thursday as they had previously scheduled plans and could not be here today or tomorrow and HR could only attend in the morning. He explained the current budget was in better shape then when he arrived last October. Vice -Mayor Johnson asked why we were looking at the amended budget as opposed to the projected budget. Mr. Weinand explained it was a best estimate and amended was actual to -date. He reminded Council that last year $800,000 was appropriated into the fund balance which was reduced by $463,000 and projected Council would need money this year to balance that out; he stated that was no longer needed. Mayor Brennan clarified there was an $800,000 savings based on last years approved budget in which council thought they would have to go into Fund Balance for the $800,000 and now will not need to and Mr. Weinand agreed. Mr. Weinand noted there was $439,000 from the infrastructure surtax in the budget, however, there were no expenditures and was being used to balance the budget, but that had been covered and should be in good shape at the end of this current budget year. Mayor Brennan explained the infrastructure surtax funds were restricted to capital improvements. She explained when the budget was prepared last year had the revenue in it, however should have included at the bottom was estimated matching expenses or it would have been placed in the reserve account. This was not done and ordered by the previous manager and thereby created a shortfall. Ms. Racanati, Assistant Finance Director, explained those funds were used up last year and were used towards the sidewalk projects, so there were no restricted funds at the end of the year last year. Mr. Weinand explained there was a $1.2 million shortfall last October, however, this has been reversed, and there are issues going forward. Vice -Mayor Johnson inquired as to the amended budget for 18/19 the revenue being around $24 million, yet the projected was a lot lower (in all funds) and asked where the five million difference was coming from. Ms. Gload, Accounting Manager for Budget and Payroll, explained it was lower because they do not project to use appropriate fund balance so that projected activity was lower and it was the large project in the water department. Mayor Brennan would have liked to have the budget broken down into two pieces: one for operating revenue and one for operating expenses and in this case there would be a deficit that would have gone to an appropriation if approved. She pointed out the total estimated revenue for next year was $13,250,000 and Mr. Weinand noted revenues were up 3.85%. Mr. Weinand provided an explanation as to how the budget document was created to provide to Council and explained staff had cut their budgets by 1.17%. Detailed discussion ensued on a computer switch system, pensions, police cars and an ambulance purchase. Council Member Stone voiced concerns with funds that would sunset being utilized to purchase police vehicles; Vice -Mayor Johnson agreed. Mr. Weinand explained Council could apply the $100,000 Council upgrade to the surtax fund and it would show on the balance sheet in this fiscal year. He stated the Country Club Drive project could be charged against the sidewalk funds also; and Vice -Mayor Johnson asked if the community center could be charged against the surtax and Mr. Weinand believed it could. Ms. Racanati noted that restricting the funds would bring the unassigned balance down and not in compliance with policy and noted it would be a good idea to fund the sidewalks this year. Detailed discussion ensued on financing versus leasing police vehicles, life of vehicles, rotating fleet, age and funding of the ambulance, personnel costs, other contractual services in the Human Resources budget, differences between personnel training and employee development, various contracts including the FEC lease, Linear Park, and Paradise Park. Council discussed the Paradise Park lease in depth and asked Mr. Corbitt about holding Tequesta Fest in another location and potential parking issues. Discussion ensued on other cities having lower millage rates, but having infrastructure coming online, where the Village was built out, possible annexations, and looking for solutions to the code issues and concerns of Bermuda Terrace if they were to annex. Acting Manager Weinand advised Council the fire contract with the County was set to end in 2022. Various millage rates were discussed and an increase from 6.292 to 6.984 would be an 11 % increase. Discussion ensued on other ways to raise revenues such as bringing the water surtax back, FPL surcharges and gas surcharges. Ms. Racanati discussed a discrepancy where Futures says they use propane, yet TECO says they do not service them. The Village needs to recoup this franchise fee. Discussion took place on the difficulty in funding a community center at this time, health insurance costs, staffing costs, property value increases, assistant manager salary, and auditors. Consensus of Council agreed to hold off on going out to bid for a new auditor this year. Fire Department Council discussed the Fire Department revenues increasing 4.9% and personnel costs increases, lowering staffing would put the department below the required minimum staffing level, truck replacement needs, overtime costs mainly being FMLA or Workers Comp, and ambulance replacement. Manager and Legal The Manager's budget was addressed; 75% was for the manager and executive assistant and 25% for Utilities and part-time salary was for the Acting Manager transition to new Village Manager, not funding two pensions for the manager any longer. The Legal budget had an arbitration case and hopefully that would not happen again in the next year. Community Development Acting Manager Weinand explained this was a contractor position and that she brought a great deal of talent, experience and knowledge to the table. IT Mr. Gomberg, IT Director, summarized the switch replacement project, noted the infrastructure core wouldn't last much longer, $100,000 devices that maintain inter - connectivity for network switches. He addressed the recent cyber attack issues other cities have had and what he was doing to safeguard the Village. He explained the SAND Storage Area Network that runs all the networks needs to be replaced in the near future at a cost of $350,000-$400,000. He stated he has tried to budget this for several years but it was taken out of the budget each year and at a point we need to address as we will be out of space. Building/Code Acting Manager Weinand explained there was $40,000 budgeted for building improvements and architect services for the Seabrook property design. He noted all building gets charged against building department fees and as of 9/30/18 was at $1.1 million. Mr. Weinand noted these funds could only be used for building to enforce building code, new construction for fire inspections. What was not used could move forward to next year or state law allows us to offer a refund to the contractors, not the homeowner who paid the fee. Mr. Rodriguez stated he was doing the job of both the building official and the inspector and he estimated the cost of Station 11 to be $600,000. Mr. Weinand stated he was looking to see if there could be an administrative fee. Parks and Recreation Acting Manager Weinand explained there was a .14% increase including a cap of .04% for operating, there was no machinery, equipment or major repairs in this budget, there was currently no mold in the building but $30,000 was budgeted for maintenance costs. He stated personnel services went down with the transfer of a part-time staffer to HR. Discussion took place on costs for special events and Tequesta Fest. Debt Service Mayor Brennan noted the public safety debt for the building wouldn't end for two years. Public Works Mr. Chambers discussed the Tequesta Drive to the north entrance of the Country Club pathways, aprons and swales project at a cost of $433,000 and Mr. Weinand stated the project would be funded out of the Infrastructure Surtax Funds. Discussion ensued on the best time to begin, convenience to homeowners, contractor availability, concrete versus asphalt, potholes, road work and long term needs. Mr. Chambers offered to share his ten year assessment, and discussed funding through the Transportation Authority, Council discussed the budget as a whole and Mr. Weinand hoped the State Revenue numbers would help close the gap. He noted revenues were not a problem, but Council would need to consider either raising taxes or cutting services. Council Member Stone asked Mr. Weinand to bring back $700,000 in services to cut and Ms. Gload noted it would need to be in personnel. Mayor Brennan suggested transferring one-half of the one million disaster fund into the water department, noting it would then increase our unrestricted by $500,000 and that it belongs in water due to the potential for a natural disaster. Former Mayor Pat Watkins addressed Council and reminded them the Village's golden years were in 2003 and in 2005-2006 the millage rate was decreased to help residents through the pending recession. She explained the finance director at the time adamantly opposed the decrease and in hindsight she was correct. Mayor Brennan stated she was committed to working towards having two months in Reserve. Mr. Weinand stated he would ask departments to comeback with additional cuts and provide options on what services would be be cut. Council Member Stone believed annexation would be the best option for a long term solution. Council agreed to cancel the scheduled 6/18/19 meeting. ADJOURNMENT MOTION: Vice -Mayor Johnson moved to adjourn the meeting; seconded by Council Member Stone; the motion carried unanimously 4-0. �a�, ty) "o �ov_ Lori McWilliams, MMC Village Clerk Note. These summary minutes are prepared in compliance with 286.011 F.S. and are not verbatim transcripts of the meeting. All referenced attachments are on file in the Village Clerk's office.