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HomeMy WebLinkAboutMinutes_Miscellaneous_02/08/1991_Finance & Administration Committee VILLAGE OF TEQUESTA BUILDING DEPARTMENT " Post Office Box 3273 • 357 Tequesta Drive } Tequesta, Florida 33469 -0273 • (407) 575 -6220 FAX: (407) 575 -6203 F I N A N C E A N D A D M I N I S T R A T I O N C O M M I T T E E M E E T I N G M I N U T E S F E B R U A R Y 8, 1 9 9 1 I. CALL TO ORDER AND ROLL CALL The Finance & Administration Committee of the Village Council held a Committee Meeting on Friday, February 8, 1991 in the Village Hall, 357 Tequesta Drive, Tequesta, Florida. The meeting was called to order at 5:30 p.m. by Chairman Earl L. Collings. Finance & Administration Committee Co- Chairman Joseph N. Capretta was also in attendance. Staff members present were: Village Manager, Thomas G. Bradford; Wendy Harrison, Assistant to the Village Manager; and Bill Kascavelis, Finance Director. II. APPROVAL OF AGENDA The Agenda was approved as submitted. III. REVIEW OF FINANCIAL PROJECTIONS FOR THE VILLAGE OF TEQUESTA GENERAL FUND Village Manager Bradford gave an overview of the subject matter of the meeting: Since there is presently a recession, an analysis was done of the Village General Fund to discern the financial impacts of that recession for Village Revenues for the present fiscal year. Also to be discerned was the short -term impact of expenditure revenue trends for the upcoming fiscal year, FY 92, and what impact that might have on the millage rate. It was also desired to have a future projection based upon historical revenue and expenditure trends to understand what the tax rate might be as time goes on. The recession is taking a toll on the Village. The estimated revenue shortfall for the present fiscal year is $114,500 (projected by year end). That shortfall is caused basically by revenue shortfalls (i.e., building permits and intergovernmental revenues) . Expenditure adjustments need to be made immediately in order to eliminate that shortfall. It is expected that next fiscal year will remain constant as in FY 91. Finance and Administration Committee Meeting Minutes February 8, 1991 Page 2 -------------------------- Mr. Bradford recommended to following options: o eliminate employment contracts (one of which has already been done in the Building Department). There are presently only two employment contracts (Bradford and Spencer). o Freeze all non - essential hiring (not replacing attrition). o Place a ban on all out -of -town travel to seminars and conventions. o Review all departmental operating budgets and scale back where appropriate. o Review all departmental capital purchases for postponement or elimination. o Revise the Capital Improvement Program to delay certain projects and, thus, the amount of funding necessary from the General Fund. Co- Chairman Capretta felt the average increase of 10% in property assessments probably will also not be there next year. He suggested that if the property value on the old K- Mart property was reassessed at a lower value, it could cause a more marked decrease in Village shortfall. Mr. Bradford reminded the Committee that the taxes Village residents are paying now are taxes based on property value as of January, 1990. The dollar value that gets reported to the Village in the summer of 1991 is going to be the value of properties as of January 1991. FY 92 would not be as bad in terms of property value as FY 93, because there is a year's lag. Chairman Collings stated that any planning and cutting, however, would have to continue for several years. Mr. Capretta also suggested that a review by function take place to determine where cuts could be made. Finance and Administration Committee Meeting Minutes February 8, 1991 Page 3 -------------------------- Chairman Collings asked what percentage of the total budget is headcount. Wendy Harrison answered, 49.5% for this year; COLA has a 5% increase. The Police Department has the biggest spending - (25 -30% of budget); General Government (legislative, executive, legal, etc.) - 12 -15% of budget. Mr. Collings suggested exploring ways to cut headcount. Mayor Capretta felt a good suggestion might be to hire contract labor as opposed to full -time employees, but in order to do that there must be a good system and training program. Co- Chairman Capretta suggested: 1) cut functions not required; 2) start charging for functions - make them pay for themselves; 3) cut a percentage of all accounts; 4) cut management and overhead areas more; 5) freeze immediately - no replacements; 6) no new projects. The Committee instructed Mr. Bradford to cut $114,500 out of the Budget to avoid the projected problem of shortfall, to present a shopping list at the next meeting that the Committee could pick and choose from, look at the revenue stream for 1992 and 1993, and a breakdown by percentages of people and non - people expenses. It was agreed to hold another Finance and Administration Meeting in 7 -10 days. Finance and Administration Committee Meeting Minutes February 8, 1991 Page 4 -------------------------- IV. ADJOURNMENT There being no other matters before the Committee, the meeting was adjourned at 6:45 P.M. Respectfully submitted, o�l.�iLL� Fran Bitters Recording Secretary /fgb Date Approved: ATTE Bill Kasca elis Finance Director /Village Clerk