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HomeMy WebLinkAboutDocumentation_Regular_Tab 8d_03/07/1996 GABRIEL, RC)EDER, SMIT�� & C4M}'ANY Mtt�.u}rs �r Cu��ultanb vut� a.�.+� n��� ekM. .�Ym c:�IrM wi. . wite zaa • F�. L:w�•�. fl��ai� •�-»� s�a F/1X � 9S4•7'41-a'lU4 feb�uary 29� 1996 Thotttas (3. 8rodlad. Vitlsg� Mat�agar Vitiage af Tequests P.O. 8aoc 3273 357 T�quasta Orive Tequesta. Flotida 33469-0273 Re: Ea�ly Ratifement 1nc�Nve Prc�ram f ?�:T�T�: _�r?: u:'�� A A� requested, we are submitti� a proposal to assist the YIIaQa in desi�in� an Euly Retitema�t {noentiw Plan �ERIQ). We und��tand d�a# tfia Yifl�a wishea �a ot�er oertain Inc�ntiv�es to okler, tor� aervite employees 1bt th�m �o rotin. Thoe» «tsploy�e�s wtto elxt to tetlro wouk! then be neptaoed b!I employee� aml� bwor aom�aHon• The �eneral outcome o�f wch an EaIP i� that t1n savit�+ M payr�oll exc:oad the value of ir�csnthr�s tltst ate pra�E. Thers i� thus a net fi�ta�cial benefit M the empioyer. We pr+opose to prowde tl�e bitowing servicas: ♦ Ta�et tt�e csbe�ory af �mploy�ees bo whom tfie i�aantiv�s woufd be ottsred. • as�, inca++tw.s tnac t�opvf�uNy win b. amadn+n. «,au� t� tar@eLe�a em�loyeas bo �cept tt�e vlTet, yat oot so �narous ui b elimi� pot��tial savin�t. ♦ Esttntat� tho tina�ial impsd af Ut� proposed ERIP. Wa astin�abe thst onr tee !br �is qvjeci wNl �e I�om t►2.500 �c 53.000. This a�titn�be do�s not induds a cakuladon d ao�xued psnsioe� bsaelits ava�abis �o each tar�eted person i�orn ths Fiaida Ratlretnent S�t+ tFR�. We antidp� t�nt FRS rr�t ntrioe tt�sa cakutations. How�. � tl�ay► +a�s nd rnsd� on s tlrt�l b�sis. wt mWd c�idll� � e�tMaA�d FR.S ber�it for e�ch peesoti. Our cfia�e fb� tlMei ce� wa�uld 6e 5+901� Mch p�son. The�e pra6�abhl vrili t� about iS err�lOyMs subject ba tt�t qicubtio�a. i'le� co�tact t�s if tt�a aro eny que�lo�s. Slncenely You�s� � J. Stephe� Psimqul�t J3P/ot zOd ZEO 3N] �'8 �IONN0�.0 3Sf1?!�i 80Z8 l6L SO£ b5 � 9I 6Z-ZO-966 i � Memorandum To: Villaqe Council From: Thomas G. Bradford, Village Manager l�..jz Date: 03/O1/1996 Subject: Early Retirement Incentive Progra�a; Aqenda Itaea As we discussed in the latter part of calendar year 1995, circumstances are such that an Early Retirement Incentive Program (ERIP) would now seem to have financial merit for Tequesta to pursue. As indicated in the attached correspondence from Mr. Palmquist, the intent of an ERIP is to replace employees that choose to accept the incentive to retire with employees earning lower compensation. The goal of the ERIP is that the savings in payroll should exceed the value of incentives that are provided so that the employer receives a net financial benefit. The fee from the Consultant to provide this service is $3,000. However, this does not include the calculation af accrued pension benefits on the assumption that the FRS will do the same. I have spoken to the FRS and they have indicated that they will do the work but only reluctantly. Therefore, I am requesting that an additional $90 for each potential retiree be allocated to cover this expense, in the event that the FRS does not complete their work in a timely manner. Estimating a potential of 15 retirees requires another $2,350. In addition to the abave referenced funds, there is the possibility that I will need to secure the services of our Health Insurance Consultant, Black Ink Associates from Coral Gables, Florida, in the event that the ERIP Consultant believes that health insurance alternatives v►ill be needed to entice retirement. Therefore, I estimate up to an additional $1,a00 to cover this expense. All told, this ERIP Project could cost $5,350, but if succeesful, could save the Villaqe tens of thousands of dollars. It ia recommended that the Village Council approve the Gabri�l, Roeder, Smith and Company Proposal in the amount of $4350. • TGB/krb • Attachment _--�A Village Council Meeting Ageada June 13, 1996 0 Page 5- *� G) Consideration of Professional Services Agreement with Gee & Jenson of West Pa1m Beach, Florida, in the Amount of $11,000 for Design and Construc�ion - Phase Services for the Dover� Ditch Dredging Project, Having a Proposed Budget Allocation of $1I0,000. (Staff Recommends Approval) * `�H) Consideration of Professional Services Agreement with Gee & Jenson of West Palm Beach, Florida, in the A.mount of $22, 000 for Design and Construction Phase Services for the Seabrook Road North Drainage Project, Having a Proposed Budget Allocation of $139,000. (Staff Recommends Approval) * �Z) Consideration of Professional �Services Agreement with Gee & Jenson of West Palm Beach, Florida, in the Amount of $13,000'for Design and Construction Phase Services for the Tequesta Drive Drainage . Diversion Project, Having a Proposed Budget A1location of $70,000. (Staff Recommends Approval) *�J) Consideration of Approval for Payment of Legal Fees in the Amount of $337.27 to Pickett, Fanelli.& . O'Toole, P.A. for Up Forfeiture Proceedings on 1995 Chevy Pick-Up � Truck, to be Paid from the Special I,aw Enforcement Trust Fund Account. (Staff " Recommeads Approval) . � ��� e=� �K ) Consideratiori of Approval of Proposed Teguesta � Early Retirement Incentive Program (ERIP). (Staff Recomaaends Approval ) � . . RII. UNFINISHED BUSINESS l a d o��� �--A ) Ordinance - Second Reading - An Ordinance of the Village of Tequesta, Palm Beach County, Florida, Authorizing the Creation of Safe Neighborhood ,, Improvement Districts; Providing for 5everability; Providing for Repe al of Ordinances in Conf lict; �Providing for Codification; Providing an Effective Date . ( Staf f Recommends Approval ) f �d,��'�CC� —B) Ordinance - Second Reading - An Ordinance of the � Village Council of the Village of Tequesta, Palm Beach County, Florida, Amending Chapter 2 of the � Code of Ordinances at Article IV, Boards and Corn� by Rescinding Division 2, Code Eniorcement Board, in its Entirety; Providing a New Chapter 2, Article IV, Division 2, to Be Entitled - -- .._. ._. --- ..__..__. ...:.> ,_. .. w � Village Council Meeting Minutes June 13, 1996 � Page 29 • Bradford also explained that the Village was providing iunding of $44,000 from the Improvement Bond Revenue E�nd to the�Capital Improvement F�.nd for the purpose of providing a new roof on the Teq�esta Recreation Center, former?y known as the JTJC Building. Village Manager � Bradford also exp2ained that in the course� of presentations to the Village Council about the fund balances needed to acco_� the Capital Improvement � Fund, and/or estimated General Fund balances,.all were done on the assu.�nption that the payback of the loan which' was made to the General Fund from the Water Department for the excess funding needed for the Tequesta Branch Library would be waived by the Village. Council. Councilm.�mbers stated they had no problem with that; thus authorizing the liability of $36I,100 to be removed from the Capital.Improvement Funci and the transaction adjusted to reflect a transfer oi funds not requiring repayr.lent.. . Attorney Diaz read Resolution �No. 28-95/96 by title onlv. . - Vice �Mayor Schauer tnade a rriotion to approve Resolution 28-95/96. Councilmember Meder seconded the motion. The vote on the motion was: ' Ron ^s. Mackail - for Elizabeth A. Schauer - for Joseph N. Capretta • - for Carl C. Hansen - for ,. Michael R. Meder - for The motion was therefore passed and adopted. K) Consideration of Approval of Proposed Tequesta Early Retireirtent Incerctive Program (ERIP) , (Staff Recomm�nds Approval) Village Mar.ager Bradiord poir.ted out tnat this was a very important i�em with serious inplications for those eriployees recon*nended for the program. The Vil? age P4anager explained that the primary purpose for the � �s.. .._ ,. _... =)hw'\l. • ' ° � � � �i :� —i �% . �_::r ~ T: Village Council Meeting Minutes June 13, 19g6 � ' Page 30 program was to save the Village and the taxpayers roney, and to avoid a tax rate increase, particularly in the next fiscal year, and that the program would only work if ertployees did in fact retire �and were not replaced. The proposal was to offer to any employee with 25+ years of service either six months salary or S75Q for each year of service, whichever was greater. Two employees, Marvin Brown, the Public Works Crew Leader, and Police Chief Car? Roderick, qualified under the proposed criteria. Vi�lage Manager Bradford stated � for the record that -in the� event this program. was approved by the Village Council and in the event that � Ch?ef Roderick accep�ed the program offer that Vill�age Manager Bradford's recom�nendation was.not to fill the position,.but to change the nu.inber of Police Department administrative employees from three to two, and to promote current Ass?stant Police Chief Steve Allison to Chief of Po�ice. Total c.ost to the ViZlage would be - ��9,370 if the program were adopted, and total savings to the ViZlage during the-upcoming fisca]. year would be $Z?b,651, which is a 136� return on the early . retirement investr.ient, and would leave th e V� l l. a g e w i t h Sc0,993 in ?ts Co?:tpensated Absences account to pay for accrued vacations and sick Ieave for any future . emp? oyees w�o Ieit . enployrnent. �Iiil.agz Manager Bradz"ord reported that �hz total cost if and when the two eQ a� oyees ur.cier discussiori � eit the ti'illage would be S.,l, 920 which would be their early retire�r,ent ince�tive plus� their est_?na�ed accruals. Village Manager Bradford reported if the two employees took the ofrer prior to �uly 1, 1.996 their vacation accruals . would be counted toward coinpensation in the FZorida '� Ret?re�ent Syste� so that their average co�;pensation ancz their retire�r�en� bznefit would be increased. Village Manag2r Bradford reported th�t Cniei Roderick appeared to be leaning �oward accept?ng the o�fer. Both would bz given a separation agree�rent whicn sp�lied out the specii�cs o� the program, Chief Roderick. had requested ti�at the Village cor_sider that the proceeds be applied by tne Villagz dirzctly to buy� back tine th�t he had in �he Florida Retirenent Systen which did r_ot accrue to him at the Public Sa�etv Officer rate, which would in essence cause him to l�:�: f. ;rv. .r :h ;y . . • . r .. ... �„ . , r ! f' t . f Village Council � ' Meeting Minutes June 13, 1996 Page 31 � - receive a full retirement, rtr, desire that the ViZla e.se� u Br � had indicated his � L P progr.am where his incentive funds would be held in a special trust account to be used to pay for health insurance premiums for both hirn and h? s�wife for the next thirty mon.fihs. Village Manager Bradford stated that if these two employees accepted the offer that it could mean the difference between a budget requirin increase and a budgefi wh�ch would have�a nillage rate increase. Counci?me�rber Meder cruest?oned the exit departure dates for �ir. Brown and Chief Roderick. Village Manager Bradford explained that they would be presented with the agreement anci under l.aw wou�d have 45 days to decide; and then seven add?tional�days after signing to rescind; however, it would be to their advantage .to . retire before July I, 1990, as explained earlier. Village Manager �Bradford responded to Counci�member Hansen that l�r. B? work would be contracted at a Iesser cost, which was cheaper and normally worked � we�l as long as a core of personnel existed to oversee �he work of subcontrac�ors. Councilmembzr Capretta sLgges �ed that ; t wou? d b2 z good idea to offer the e�ployzes this early retirement incentive, and that the Vi.11age should ? ook a� contractin out .areas . Councilme�� er t,ed�r cruestioned wh � er the�cost � was too expensive to ofier t he incentive prograra to workers with 20-� years of• service to which VilZ.Q�2 I�janager Bradford respondea tha� was true. Vice Mayor Schauer corti that �n ear-ly retirement incentive � � Pr'Og'r'e.-'i'• WdS thc reason for Mr. Picklesimer's retire�znt. Councilmzmbers expressed to Chief Roderick �nafi they would miss hin ii he chose to take advantage of the prograra. Vice Mayor Schauer made a rriotion to a Retir�nt Incenti.ve Pro ram ERIp PprOVe the Early J ( ) per agreement with Vz�Zage Manager Bradford. Councilm�r�r Meder second�d the motion. The vote on the motion was: � Ron T. Mackail - for • , r ' . . �Iage Council . �eting Minutes �rine 13, 1996 page 32 . Elizabeth A. Schauer - for Joseph N. Capretta - � for Carl C. Hansen - for `:.:�° Michael R. Meder - for . J �� . The motion �ras therefore passed and adopted, '� XII• UNFINISHED BUSINESS ',, (B) Ordinance - Second R,eadin � Village of T g' an Ordinance of the equesta, palm geach County, Florid.a, Amending Chapter 2 of the Code of Ordinances at Article . IV, Boards and Commissions, b Code Enforcement Board, in i s Entir � g-Division 2, New Chapter 2 % praviding a , Az'ticle N, Division 2, to be Entitled � Codes �Enforcement; Providinq for a Special Master, Providing for RQpeal of Ordinances . in Providing. for . Codi,fication; Providin Conflict; . Date. (Staff Recommends g- � Effective APP�'oval.) . P_ttorney Diaz read tne above referenced Ordinance on Second Read?ng by title only. Tom Little, 486 Dover Road, stated that tne Special Master woulci D2 act?ng as a� judge and under the Ordiriance would control all eight�en points in the coci� boo�k and he did not see how anyone could handle 5J pzop?e a day. Mr. Little sugqes�ed a sunset provision be added to the Ordinance so that i� costs, in total, exceed $5, 000 annually the Special M=ster systeri woul�d ,� revert back to the Code Enforcement Board. Mr. Little expressed concern �hat this was merely setting up . ano�her govern:-�ent bureaucracy, and advised that the V�?lage Council look more closely at the cost of th?s matter, and delay a.doptio:? p2nding iurther study. Councilme�*a:�er Mecie?- stated that h� appreciated rir. Little's corli but did not sha=z his opinions. Counc?lmertber Nansen co*n.�ented that several nonths ago he had contacted three nearby nunicipalities wnich had already adopted the Specia? Master System and had ��. c � - VILLAGE OF TEQUESTA ; , Post Office Box 3273 • 357 Tequesta Drive � Tequesta, Florida 33469-0273 • (407) 575-6200 � . � � � Fax: (407) 575-6203 ,' a o O 4 f,C tOUµ� June 17, 1996 Mr. Marvin Brown HAND-DELIVERED P.O. Box 1412 Jupiter, Florida 33468 RE: Village of Tequesta Early Retirement Incentive Program Dear Mr. Brown: At the Village Council Meeting on June 13, 1996, the �illage Council approved a Tequesta Early Retirement Incentive Program, providing any employee with 25 years or more of Village service with 6 months of salary, or $750 per year of service, at the employees' choice, in return for their early retirement. Based upon the foregoing, the maximum incentive that you can receive from this proposal is $19,500. The offer of retirement incentive shall end on August 9, 1996. This payment would be in addition to any sick leave and/or vacation leave accruals that you may be entitled to from the Village. This offer applies to you, Marvin Brown, Public Works Crew Leader, age 63, and to Carl Roderick, Chief of Police, age 54. There are no other employees in the same job classification or organizational units who are eligible for the Program.. Attached you will find a list of the ages of Village employees who are not eligible for the Tequesta Early Retirement Incentive Program. This offer is conditioned upon your execution of the attached Separation Agreement and Release, which sets out the terms and conditions that would apply to both you and Tequesta should you choose to avail yourself of the Early Retirement Incentive Program. Please review this Agreement closely and feel free to seek the counsel of an attorney of your choice in making this important decision. This Early Retirement Incentive Program is a one-time offer that will remain open, until August 9, 1996. You should be aware, however, that it is to your financial advantage to make this election and receive your accrued vacation pay prior to July l, 1996. If you do so, the Florida Retirement System, of which you are a member, will include these payments in its calculation of your average annual compensation, thereby boosting your retirement income. Please give due consideration to this important fact. You should feel free, however, to consider this offer for as long as you want before the August 9, 199b deadline. r;, , ��.�, �>,.>.. Page 2— The terms of the Tequesta Early Retirement Zncentive Program have been designed to be mutually beneficial to both you and Tequesta. Regardless of your decision regarding this offer, the Village of Tequesta will honor the same. Should you choose not to avail yourself of this Program, Tequesta will look forward to your continued employment with the Village, as in the past. If I can answer any questions you have relative to this important decision, please feel free to see me at your earliest convenience. Sincerely, Thomas G. Bradford � Village Manager � TGB/krb • • 9 Attachment � c: Village Council Bill C. Rascavelis, Director of Finance F t � i. i, �L r . _ _ . . . . . ..._..,_.__ .,.._. _ ._ -------- � `;. ;�, � , . , _, . .... .. _ w=vf;:.�w, _. . . _.. � ��,'