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Minutes 07-30-73SPECIAL MEETING OF THE CITY C0~CIL OF THE CITY OF BOYNTON BEACH, FLORIDA, MELD AT CITY HALL~ MONDAY, J~LY 50, 1973. PRESENT Emily M. Jackson, Mayor Joe DeLong, Vice Mayor David Roberts~ Councilman Edward M. Harmening, Councilman Forrest L. Wa!lace~ Councilman Frank Kohl, City Manager E~nest G. Simon, City Attorney TereeSa Padgett: City Clerk Mayo~ Jackson called the Speeia~ Meeting tO order at 7:36 the purpos$ of a P~U~lic heazing oh1 the budget of the City of BoYnton Beach fo~ the f~sdal year beginning October 1~ 1975 to Septembe~ 30, 1974~ Announcements Mayor Jackson announced that' there would be a Status Meeting with Mr. Klinck on Tuesda.v, July 31~ 1975, at 2 P.M. Mayor Jackson recognized Mr. DeLong, who extended thanks on hehal~ of the Mayor and Councilmen to the Finance Director, Mr. Flynn, for his concern and foresight in submitting the data processing budget system the City is now experiencing for the first time. Mr. DeLong also extended thanks to Mr. Kohl, the City Manager, for implementation of this system. Mr. DeLong then explained the duties o£ the City Council in p~eparing an annual budget, separating the water and sewer revenue from the general fund. He cited the many hours spent by the City Council scrutenizing the proposed budget in consideration of the taxpayer. M~. DeLong referred to the City Council's setting tentative millage rate of 7.0 mils for the ensuing fiscal year° He th~u stressed his concern for the property owners receiving tax increases, the plight of the senior citizens and the working citizenry due to insufficient income created by inflation. After s~e additional eomments~ Mr. DeLong recommended the City Council adopt a millage rate for the ensuing fiscal year of 5.5 mils, based on statistics which he studied and then revealed to the Council and audience, quoting in part from page 35 of the data processing report. He noted a transfer ir~co the budget from various sources~ amounting to $690,200.00, adding that the missing ~nk in the chain of figures he read is that the Finance Director is not privileged to show Federal Revenue Sharing in the City budget, which amounts to $539,003.00, including accrued interest end excluding 10%~ for the needy. He then said the total in the Capital Improvements Program fund is $1~029~203.00. Mr. DeLong repeated the figures used in his presentation to the Counei! for the establishment of a Capital Improvements Fund at the Regular City Council meeting of June 19, 1975, including a 2~ increase - !- SPECIAL MEETING OF THE CITY COUNCIL OF THE CITY OF BOYNTON BEACH, FLORIDA, HELD AT CITY HALL, MONDAY, ~ALY 30, 1975. ~hieh. l~.owance for material and labor. This total estimate was $720,600~ O0 ;te£t a surplus in the Capital Improvements Fund of $508~603o00. He Said to take $256~ 708.00 which represents 1.5 mils for a ~d~ctlon to 5.5 mils for tax purposes, leaving a surplus in the Capital Improve- ments Fund reserved for contingency o£ $517895.00. Mayor Jackson called for other comments by the Council and Wallace said he would reserve comment until the Public Hearing was over. After assuring that everyone in the audience had a copy of the budget summary sheet or could share one, Mayor Jackson opened the floor to the audience for questions and comments. Col. Albert W~h tell of Boynton Isles asked why Mr. DeLong's figures for the reduced millage were not brought to light previously. Mr. beLong explained that when he received the latest data processing budget run, he looked for Federal Revenue Sharing Funds and when he didn't find them: he checked with Mr. F!ynn, who advised him that the Federal Government prohibits the inclusion of Federal funds in the City bud9et, with which Mr. Flynn concurred. t~. B. Vastine, 132 Leisureville Boulevard, felt it would have been helpful to the audience i~ a c~mparison of this year's budget versus last year's was printed. He then referred to page 2 of the budget summary sheet and asked if the department heads were consulted before cuts were made, as he wanted to know if their various needs were covered for the next year. Mayor Jackson said that the Council had a budget comparison to last year~ noting that although there were cuts, the needs of the City were kept in mind. Mr. Kohl stated that each departmenthead was consulted about the budget and that he and the Council each made certain recommendations. He added that every department was ~ncreased by a certain number of employees. Mayor Jackson pointed out that the Council spent 15~ hours going over the budget, line by line, after which Mr. Flynnworkedwith it again. Mr. O. T. McLean, 906 S. Federal Highway, compiimanted Mr. DeLong on his proposal for the millage reduction and then made several comparisons between the budget of the City of Boynton Beach and his home tow~ of Mt. Ster]~ng~ Kentucky. Mr. Roberts and Mayor Jackson stated that Mr. McLean's comments illustrated the ills of ~n expanding city. Mrs. Nora Simmons spoke of her concern with the plight of the - 2 - SPECIAL MEETING OF THE CITY COUNCIL OF THE CItY OF BOYRTON BEACH~ FLORIDA, HELD AT CITY HALL: ~0NDAY, JGLY 50~ 1973. citizens and felt that people should not be penalized for improving their property. She hoped that going along with ~. DeLong's suggestions, the City of Boynton Beach could do something about k~eping the taxes down. Mr. DeLong ~amd he hoped everyone would realize that this City Council was doing everything possible to lighten the burden of the ta×payc:~. Mr. Wallace Commented about the excess-value that some of the hom~s were placed at by the Tax Assessor and felt.that there was too much apathy in not appealin~ to the EqualizationBOard to get this rectified. Mr. Wallace then alluded to Mr. DeLong's ~equest to lowe~the millage rate to 5.5 mils and stated there was a possi- bility that the City could get by with 5 mils except for the rate of g~owth in Boynton Beach. He felt that the millage rate of 7.0 was more realistic. He then referred to the notification that the Council received this date~ Lndicating that the City's progress would come to a screeching halt until such ti~e as the sewer plants meet the various spedifications that are laid out in the guidelines by the Department of Pollution Control, signed by Mr. Warren B. Strahn, which in essence puts a block on any development as far as the City is concerned until these things are brought up to date. Mr. Wallace referred to a sewer problem in the recent past which was supposed to be under study. He felt this might lead to improvements ~esulting in future growth for the City which would require additione~l person- nel and fac~.lJties and this would call for a larger budget and greater surplus than was quoted this evening. He added that if for once there were excess fu~s in thc budget, there were a lot of streets in the City that haven't been paved for 25 yeams, as well as other problems that could be worked on. He didn't want to see the City cut the millage to such a point that there would be little or no future growth. Mr. DeLong Stated that $75,000.00 had been allocated for street improvement. He felt that the City was fortunate in being able to set up a CaDital Improvements Fund Program practically before the end of the fiscal year, adding that the extra funds available now will be used to complete the different projects presently ptar~ed. Mayor Jackson referred Mr. Flynn to page 31 o~ the budget, pertaining to carryover from streets~ $119:613. She asked if this was from the fiscal year 1972-73 and Mr. Flynn answered that the City was already committed for these items, adding that the greatest portion is for a contract with Slurry Seal and a machine that goes with Slurry Seal. There was some discussion between Mr. Wallaoe and Mr. DeLongregarding the work being done by Slurry Seal. Mr. Wallace questioned the delay and Mr. Kohl said this was a bid item and the delay was not the fault of Slurry Seal. He stated that everp~ching possible was being -3- done to expedite this project. Mr. DeLong then made some additional comments concerning the reasons why the?e~era.1, gov. er~m~ ent.is t.z~.ing to give the overburdened taXpaYer some re~ler. ~e eiteu various figures coming in from the State and Federal Revenue Shari~versus the projected City budget f0~ the next year~ stating that these funds are ca~ying the load of the opera- tional expenses in Boynton Beach~ ~Mayor Jac~?On pointed out that Revenue Sharing is actually coming from our ~wn pockets and it ~hould be used for the City~ Fir~ ~oberts said he would like,to see the millage rate cut if possible and ne asked Mr, Plynn for ~erlf~eation Of the figures quoted by M~. DeLong. Mr~ F!yr~n said they were correct. There was further discussion between the Council and Mr. Flynn about reducing the millage figure~ during which M~. Reid's (the Tax Assessor) recommendation of 6.20¢ mils was mentioned. Mr. DeLong expla~ed that this was not the figure to p!aee Boynton~s millage at. He said that Mr. Reid offered the City a millage figure that would acquire for the City the same amount of revenue that was received in~revious year~.. Mayor Jackson noted that the City could make more with less millage. Mro Flynn said that the Revenue Sharing feature is the most important factor in Mr. DeLong's presentation~ Mr. Wallace reiterated his belief that a cut to 7.0 millage would be best for the City. He felt that the City would be ~u a position to move ahead with the building of an auditorium, as well as other a~eas in the City which could use extra finances. He noted that an auditoriumhas been a goat of other m~mbers of past and present Council and civic organizations within the City. Mr. DeLong stated that he understood Mr. Watlace's point, however, the difference of 1.5 mils would not allow enough for the construction of an auditorium -- that approximately $800:000 to $1~00G,000 would be needed. He added that the Council should devote all the effort possible in the direction of acquiring or building an auditorium. Mr. Floyd Van Deusen, 227 N.E. 22nd Avenue, addressed the Council, stating that he felt the 5.5 millage rate would offset the high taxes being paid by property owners within the City and he felt that an auditoriumwas not necessary at this time. Mr. DeLong pointed out that the City is trying to set a millage figure allowing the property owner to pay the same amount he paid last year. He explained if a millage rate was set this yea~ %~ith the increase in evaluation~ this is not going to reduce the ad valorem tax for those people who received a heavy boost: but it will reduce the ad valorem tax for the person who has not had their property assessed. He added that in looking over the worksheets: some people will get a nice reduction in taxes while others will only receive a - 4- SPECIAL MEETING OF THE CITY COUNCIL OF THE C/~Y OF BOYNTON BEACH, FLORIDA, HELD AT CITY HALLs MONDAY, J~LY 30~ 1975. smaller amount: but it's a lot better paying it at 5.5 mils instead of going back to 8.68 mils of last year or even taking Mr. Reid's figure of 6.204. He felt this was ~iving the most people the most benefit and that if all properties had the same value and were re-assessed at the same time~ there would be no problem~ Mr. George Ampole~ 255 South Boulevard, complimented the Council on the e~for~s they. put into preparing the budg~et~ He appreciated the fact ~hat the~.'~liage could b~e d~o~ped do%~ to5.5 mils, as h~ was retired and llvmn~ ~n a penSioh~ Mayor Jackson added that the C~ty was thinking of the young people as well as the retired people. She was in favor of an auditorium, but not at this time when people need lower taxes for necessities; Col. ~hrel! addressed the Council again, Stating that the lower millage ~ill help him as far as the City is concerned, but the County and School Board taxes are high: so his taxes will not be much less than they were last year. He then disagreed with Mr. Wallace's pro- posal of an auditorium, as he felt the people would be supporting it for many years. Mr. Flynn stated that he thought the City was a stand-out community in lowering the millage~ however, the County and School Board taxes will all but nullify to a great extent the tax break that the citizens are getting. He added that the Tax Assessor's office should let the taxpayers know what the City of Boynton Beach is doing by specifically enumerating those taxes derived from the County, municipality and School Board. Mr. H~z.~ening stressed the importance of the citizens looking closely at their tax statements: as there would be some breakdown, comparing the City taxes last year~ as most will be lower. Mayor Jackson added that the City has done its part in lowering the taxes. Mr. R. B. Vastine, 132 Leisureville Boulevard, commented on the sampling of tax applications for 1975 rates under the consideration of the Tax Assessor's 6.204 figure~ Mr. DeLong~s proposed 5.5 and the recommended 7.0 millage. He felt that Mr. DeLong's proposal was correct and that a rate of 5.5 mils is where the City should begin to give its citizens relief. Mr. DeLong uave assurance that a thorouqh and complete job was done in order to arrive at the ~igures presented. Mr. Vastine then commented on the auditorium proposal, stating that he was all for it, except there should be some very long range planning in terms of bringing in various committees, the Chamber of Conm]e~ee, businessmen, etc., to see what kind of a use would be SPEC~L ~4EET!NG OF THE CITY COLLNCIL OF THE CITY OF BOYNTON BEACH: FLORz-D~, Hq~LD AT CITY HALL: MONDAY~ J~LY 30~ 1973. ~iven ~o such a structure. Mr. Fly~nn int?rjected some comments about the small coliseum at the end of Clematis Street years ago where there used to be free concerts ~ud children's play~ and he co~pared it to the County Center in White Pls/ns~ New York which was a white elephant. He felt an auditoz~ium ~%ere plays could be performed, .peopl? oodld play musical instruments or there could be a ~oller Skating rink woUld 5~ What the City needs. Mr. Roberts pointed out that this budget has been closely reviewed and cut to the bone wherever possible. He referred to the Revenue Sharing Act wherein the prime purpose is to ~elieve some of the homeowners of their tax burden. He suggested that the Council leave some leeway for any exemptions from the Depa!Vonent of Assessment due to the tax hearings which may result in less revenue sharing than anticipated. He suggested a rate of 5.6 or 5.7 mils. Mayor Jackson asked Mrs. Padgett if she knew of any results of the hearings being held and Mrs. Padgett said she knew of three assess- ments that had been lowered. ~. DeLong asked if it was a sizeable ~mount and Mrs. Padgett answered no. Mr. DeLong then asked Mr. Roberts to clarify his recommendation and Mr. Roberts reiterated his r~marks that he would go along with a 5.6 or 5.7millage rate. He stated he had been to the hearings at the Tax Office in previous years and there could be a chance of some taxes being lowered. Mr. DeLeng then asked Mr. Flynn for his estimation of the leeway the City would have for the accrued amotknts over the figure Mr. Flynn has in his budget. Mr. Flynn said that 5.5 mils would bring in $941,265.00. He said another factom to consider was that the millage was discotuated by ~ from M~. David Reid~s original figure and it was clarified that he has taken into consideration any reduction in the assessment. Mr. Flynn said the reduction he has taken into consideration will not override this 5% factor they took on the total picture. There was discussion between Mr. DeLong: ~. Roberts and Mr. Harmening concerning the anticipated revenue. Mr. Harmening referred to the letter mentioned by Mr. Wallace earlier and s~id that if the Department of Pollution Control were to stop building in a city, our anticipated revenue of $267:000.00 would shrink remarkably and quickly. During the discussion in which the Council tried to reach a final decision on the millage rate, Mr. DeLong said to take into cor~idera- tion the large size of the Capital /mprovements Program for a city the size~ of Boynton Beach, which would not be available next year. - 6- SPECIAL MEETING OF THE CITY COLhNCIL OF THE CITY OF BOYNTON BEACH~ FLORIDA~ HELD AT CITY HALL~ MONDAY, J~LY 50~ 1975. Mr. Wallace questioned Mm. Kohl as to the cost of a truck that recently b~oke do~zn and theme was general discussion about the length of time it would take to purchase a new one, if the money would be available, etc. i~. Ha~mening moved to set the m~=tage for 1975-74 at 5.7 mils and that the appropriate oTdin~nce be drafted for first reading at the meeting of August 7: 1975. M~. Roberts seconded. Under discussion~ ~. Wallace said he hoped the Council's foresight is better than its hindsight in regard to the planning for such things as an auditorium. Further under discussion~ Mm. DeLong enumerated several projects that have been accomplished so far -- a complete air conditioning system which was put into the cc~mun/ty center~ the pa~k on the Federal Highway is taken came of: a dog pound~ a new fire sub-station: the libra~y~ the purchase of property along several lots by the Wilson Community CenteT, an extension on the Wilson Community Center, three different park areas to be equipped with recreational facilities (Forest Park~ Rolling Green and Sara S/ms)~ so this is ~ot a stand-still Council by any stretch of the imagination. Mr. Hanmening added that mo~e Wilt have been done in r~creation when all plans are fully implemented. M~. Wallace called for the question. Motion carried' 5-0, Mr. Wallace moved to adjourn, seconded by Mr. Roberts. carried 5-0. Meeting adjourned at 8:40 P.M. CITY OF BOYKTON BEACH, FLORIDA ATTEST: son: ong~ v~ce ~yor David ~be~s, ~ Councilman ~d~a~d F. Harme~,, coune~ ~ ' ~'o ~est L. Walhce, Comc~n ~ity Clerk ~ - 7 -