Loading...
HomeMy WebLinkAboutMinutes_Miscellaneous_06/21/1989_Finance & Administration Committee f r a a VILLAGE OF TEQUESTA _ Post Office Box 3273 • 357 Tequesta Drive Tequesta, Florida 33469 -0273 • (407) 575 -6200 FAX: (407) 575 -6203 N y C FINANCE & ADMINISTRATION COMMITTEE MEETING WEDNESDAY, JUNE 21, 1989 I. CALL TO ORDER AND ROLL CALL The Finance & Administration Committee of the Village Council held a Committee Meeting on Friday, June 21, 1989, 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 members present were: Mayor Joseph N. Capretta. Staff members present were: Thomas G. Bradford, Village Manager; Wendy K. Harrison, Administrative Assistant to Village Manager; Bill C. Kascavelis, Finance Director; Tom Hall, Manager, Village Water Department. II. APPROVAL OF AGENDA The Agenda was approved as submitted. III. REVIEW OF THE PROPOSED FY 89/90 BUDGET FOR WATER OPERATING AND WATER CAPITAL IMPROVEMENT FUNDS First reviewed Water Enterprise Operations and Debt Service Fund Analysis. Two proposed operator positions added to the Water Department for FY 90 because of increased maintenance. With the treatment expansion in FY89, the plant classification is changing from Class C to Class B, changing coverage from 8 hrs /5days /week to 16 hrs /7 days /week. Additional coverage allows for increased productivity of in -house maintenance operations. Much discussion regarding production costs and profit /cost margins. Chairman Collings was concerned about the decrease in ratio because of increased personnel and increased costs and expressed much concern about a falling margin. Mr. Kascavelis explained how the Village is planning to maintain a 1.36 ratio for next year as compared to 1.8 or 1.7 in the past and indicated the need for a rate analysis and review of Capital Connection Charges. Mayor Capretta suggested that profit margin must increase before R /O. Mr. Kascavelis explained that 1.25 is the required margin and reiterated our margin projected for FY 90 is 1.36. He indicated a ratio of 1.50 would be more preferable. 4 Finance & Administration Committee Meeting June 21, 1989 Page 2 ------------------------------------------ Mayor Capretta asked what the projected expense of R/O would be; Village Manager Bradford responded, "about $3M ". Mayor Capretta pointed out that though the Village could raise water usage rates, raise connection charges, impact fees and utility tax, the Village would still have to borrow to fund R /O. Village Manager Bradford stated he was not certain the Gee & Jenson demand curve was accurate. Mayor Capretta stated if the Village can't get enough water presently, we need to go to R /O. We've got to be able to show a 25% margin in order to get a loan for R /O. Collings: re: violators: how many will violate, how many will use more water, and how much more water will they use -- charge them heavily for overuseage. Mayor Capretta recapped his position: get margins up in any way that's reasonable; prioritize capital charges. Mayor Capretta asked if a new Town Garage was a priority item. Village Manager Bradford explained that it was, but the new location in mind had some abandoned wells located there and the Village has a Wellfield Protection Ordinance" with some restrictions. IV. ANY OTHER MATTERS No other matters were discussed. V. ADJOURNMENT. There being no other matters before the Committee, the meeting was adjourned at 7:15 P.M. Respectfully submitted, ran Bitters Recording Secretary /fgb Date Approved: