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Minutes 07-22-13PRESENT: MINUTES OF THE SPECIAL CITY COMMISSION MEETING, HELD IN THE LIBRARY PROGRAM ROOM, 208 S. SEACREST BOULEVARD, BOYNTON BEACH, FLORIDA, AT 2:00 P.M., ON JULY 22, 2013 Jerry Taylor, Mayor Woodrow L Hay, Vice Mayor David T Merker, Commissioner Michael M Fitzpatrick, Commissioner Joseph Casello, Commissioner CALL TO ORDER Mayor Taylor called the meeting to order at 3 p.m. Lori LaVerriere, City Manager James Cherof, City Attorney Janet Prainito, City Clerk Lori LaVerriere, City Manager, gave opening comments. She thanked the Commission for giving her the opportunity to present a balanced budget, one of her main job requirements She was committed to steering the City of Boynton Beach through the challenges. She was continuing with the implementation of the economic develop program and has accomplished 75% of the plan initiatives. The City continues to grow an incentive program. The City was starting to experience some stability and growth in residential values and the commercial and industrial sectors. Property values have increased 6% and headed in a forward direction. It was expected to be slow and steady growth. With all the challenges it has required government to take a look at how to conduct business. It has been difficult to look at the business models. The City will continue to make progressive changes to the models. Numerous departments, Risk, City Clerk, Human Resources, Development and the City Manager's office have undergone reorganization and adjusted to reduction and overall resources. All employees remain committed to customer service and it had not been easy. The West Wing is again open to make it more convenient and the customers are receiving good service more quickly. The Commission had asked that the Police lobby be open four days a week, nine to five. Ms. LaVerriere was confident in speaking to the Commission as leaders for their guidance and leadership. An overview would be given and the Commission could set the terms for public participation. Mayor Taylor indicated there would be time for public comment at the end of the meeting. Ms. LaVerriere announced a tentative millage rate should be adopted at the conclusion of the workshop and the proposed Fire Assessment rate set The first budget public hearing would be on September 3rd to adopt the proposed budget 1 Meeting Minutes Special City Commission Meeting Boynton Beach, FL July 22, 2013 Tim Howard, Director of Finance, advised the budget for all funds totaled $184 million with $71.2 million for the General Fund. He gave an overview of the revenues of the City. He advised the largest source of revenue was water and sewer utility fees of $39.1 million, with property taxes comprising 14% City -wide totaling $24.9 million, with capital and bond sources $36.4 million. Fund transfers are $16.9 million which are the transfers from other funds coming into the General Fund. It needs to be carefully monitored and kept level over the coming years if not decreased over the next few years Solid Waste fees are another source, along with internal service which is warehouse, fleet service and self- insurance funds. Public service tax pays the debt service on the two outstanding public service tax bonds. The intergovernmental portion is sales tax and other revenues from the State of Florida. There are franchise taxes on the electricity from FP &L plus charges for services provided by Fire and Police to the surrounding communities. The Fire special assessment brings in $4.9 million. The golf course, licenses and permits, and all others is the last category. Staffing since 2006 to 2013 has been reduced by 16% or 152 positions Obviously with the economic changes and reorganizations changes were necessary. In the General Fund $55.9 million or 79% is personnel services. Governments are service oriented and personnel expense is not a real surprise. By function or service provided in the General Fund, police and fire is the largest portion of the budget comprising 62.6% of the General Fund. The other portion is General Government that includes Finance, ITS, Human Resources, Public Works, Development and all other departments The proposed budget is $71.2 million, a $2.3 million increase over last year or 3.5 %. Major increases responsible for the change, include the Commission approved the addition of four records clerks to open the police lobby that was not in this year's budget, but it is in the proposed budget for $75,000. Maintenance on medians and landscaping is increasing by $357,000 from the current year to address the issues that have arisen The property, casualty premiums plus the internal self- insurance claims have added another $330,000 to the General Fund. Over the last few years, the life expectancy of vehicles has been extended resulting in higher maintenance cost on the vehicles presently owned that added another $153,000 to the budget. Employee health insurance premiums will be going up about 11% over the current year that is $289,000. There is $950,000 for potential wage increases. The union contracts are all being negotiated. Commissioner Fitzpatrick inquired about the 11% increase in health insurance and if it was for employee coverage only or if it included family coverage. Mr. Howard explained the City pays for the employee's portion and the employee pays for all the dependent 2 Meeting Minutes Special City Commission Meeting Boynton Beach, FL July 22, 2013 coverage premiums Commissioner Fitzpatrick surmised the employees would have to pay the 11 % increase out of their wages for dependent coverage. Commissioner Merker thanked Mr. Howard and Ms. LaVerriere for their excellent work. On the health insurance, he inquired why he was covered when he was considered a part-time employee and Attorney Cherof advised it was by Florida Statute providing that local government provide health insurance, so long as it is the same coverage provided to other employees without regard to whether it is full or part time. Mr. Howard continued there was a Memorandum of Understanding that the Commission approved last year concerning the fire union contract that would go into effect this September. It would be a total of $280,000 from the General Fund. The increases total $2.4 million, slightly higher than the $2.3 million overall increase. There was a comparison shown of the departments within the General Fund showing the adopted budget for this year and the proposed change for next year and proposed budget for the next fiscal year. The property tax revenues were compared with the 7.8 millage rate that will bring in $24.9 million net taxes or 35% of the General Fund. Fund transfers will bring in $16.9 million, intergovernmental $7.6 million, licenses and permits $3.2 million, which includes the increase approved for business tax licenses and some development fees. Franchise taxes are $4.4 million, charges for services $5 million and the fire assessment will bring in $4.9 million It was anticipated that $2.6 million of fund balance would be used to fund the upcoming year's budget. The current year is $2.89 million and luckily this year has improved with increased building permits and fees. Mr. Howard felt comfortable that $2.6 million would be available for next year's budget. The fund balances had changed over the last few years. In 2005/06 there was $21.2 million and of that, $7.2 million was set aside for the emergency reserve that was established by resolution. During the economic downfall, the fund balance was used to fund the budgets and keep the tax rates at a reasonable level. It is projected that there will be $11 million in the fund balance with $7.1 million set aside for the emergency reserve and out of the $3.9 million; $2.6 million will be used for next year's budget. Property tax revenues hit a high of $32.3 million in FY2006/07. The proposed budget projects $24.9 million. The transfers over the years when the property taxes decreased were used to offset the lower property tax revenue. The proposed budget includes an increase to 7.8 mills and balanced at $71.2 million with a roll back rate of 7.4882. The roll back is the rate that would be charged to bring in the same revenue as this year. Property values did increase this year so the roll back rate goes down from the current rate of 7.6. 3 Meeting Minutes Special City Commission Meeting Boynton Beach, FL July 22, 2013 Mayor Taylor recalled the emergency reserve was $7 1 million and it was proposed to take $2.6 million from that figure. Mr. Howard explained the $2.6 million would come from the difference between the $7.1 million and $11 million or $3.9 million. The $7.1 million would be preserved for the reserve fund. With 7.8 mills there would be a balanced budget as presented. The current tax rate is 7.6 mills and it would need to be adjusted by $640,000 either in additional revenues or reduced expenses. To bring it back to the roll back rate, it would be $998,000. The 7.8 mills is a 2.63% rate increase over 7.6 mills. With the statutes there is a disclaimer what the 7.8 is, compared to the roll back rate and that is a 4.16% increase over the roll back rate of 7.4 mills. There is also a notation that the Commission needs to set a tentative rate. A six -year trend was shown of the taxable values in the City and taxes overall The values were at $6 billion and this year they are down to $3.6 billion. The Community Redevelopment Agency (CRA) revenue was at $6 million in 2007/08 and is now down to $3.4 million. The ad valorem taxes to the City were at $32.1 million and this year it is down to $23 5 million. The number of taxpayers that pay less than $200 in property taxes City -wide over the last three years has run between 27.9% and 29.3 %. There are 30,000 taxpayers in the City. Two calculations were shown on the impact of tax millage increases on homesteaded and non - homesteaded properties. The home values increased by 5.6 %. A $375,000 house with a $50,000 tax exemption, based on the 7.6 rate would pay $2,470 in taxes. If the value increased to $395,000 less $50,000 exemptions, with a tax rate of 7.8 mills, there would be a 9% increase. Properties in the CRA district increased an average of 14% Commercial properties would also show a slight increase. Commissioner Merker inquired if projections were being made for the future and potential increases or decreases in the values and tax rates. Mr. Howard explained the proposed budget was for one fiscal year. There were projections for a couple years of revenues and expenses based on a percentage increase. Commissioner Merker cautioned there needs to be some savings plan for the future or unexpected expenses. Ms LaVerriere explained that was the reason for a minimum emergency reserve that represents approximately a quarter of the operating expenses for a year. The goal is to build the unappropriated fund balance. The City was not in rebuild mode as yet. It was still in the survival mode and beginning recovery It would be a few more years before the City could bank more in the fund balance. It was important to work towards depending Tess on transfers from other funds. The funds transferred have decreased over the last two years. Commissioner Merker had discussed the budget at length with Ms. LaVerriere and he was not questioning her judgment, rather being conservative. It was a positive 4 Meeting Minutes Special City Commission Meeting Boynton Beach, FL July 22, 2013 message that there was optimism, but not afraid to be cautious based on the economic decline. Vice Mayor Hay recalled in 2007 there was 998 employees and now the total is 795, a reduction of 203 employees. He questioned if the same level of services was being provided to the citizens with so much less staff Ms. LaVerriere responded in some areas yes and other areas no. The closure of the lobby and the West Wing was a result of less staffing and the departments did their best to reorganize and adjust and provide the same level of service. It was a conscious decision to reduce some services at the time. It has been unpleasant but some of the cuts are slowly being restored Vice Mayor Hay asked if the plan was to return to prior service levels with better equipment and keep the personnel count down. Jeff Livergood, Director of Public Works and Engineering, replied the plan was to return to the higher levels, particularly with equipment needs and replacement. Money has been saved by buying equipment less frequently across all the departments being a $600,000 savings per year This year the life expectancy of the equipment has been shortened. Another area of providing less service has been with building maintenance. There is a plan to return to better service levels, but it has to occur over a three to five -year period Mayor Taylor noted there is no longer animal rescue, fewer days the Library is open and City Hall open four days a week rather than five. He emphasized losing employees did have an effect on the City. Ms. LaVerriere noted adding 200 more employees over the next couple years was not likely, but as programs grow, staff will be added slowly to accommodate the needs of growth. Restoring monies for contract services that were cut severely is also being restored gradually. Vice Mayor Hay confirmed in the proposed budget there not cuts in terms of personnel. Ms. LaVerriere confirmed it was the second year that there was no request to reduce staffing There would be an increase of one new position in development to allow the front lobby in the West Wing to remain open. There will be one new position in Solid Waste and a couple in Utilities and stormwater from the Utility Fund. There were many more positions requested that were denied. Seven firefighters were added through a grant. There will be full staffing and equipment in Fire Station #1 restoring coverage to 24/7 and two full units on site. FINANCIAL ADVISORY COMMITTEE RECOMMENDATIONS Don Scantlan, Chair of the Financial Advisory Committee, and Steven Grant, Vice Chair of the Financial Advisory Committee were present. Mr. Scantlan recalled the first two years there were 56 items to be studied. This Commission specifically asked the Committee to investigate four items with a survey being the fifth item. 5 Meeting Minutes Special City Commission Meeting Boynton Beach, FL The recommendations were as follows: July 22, 2013 Allow all new City employees to be entered into the Florida Retirement System Privatize Solid Waste Increase the development fees Plan a risk management strategy session as part of the annual budget review Results of the citizen survey Commissioner Casello mentioned Mr. Scantlan had commented the Commission was not likely to make decisions on high -risk, high - reward type goals. Commissioner Casello questioned if that was a good decision when dealing with individuals' life savings and pensions. Mr. Scantlan clarified his comments were in response to a question relating to Solid Waste and not the FRS system. He characterized the question of privatizing Solid Waste as being a politically high -risk decision to be made. It has the opportunity to be high - reward if two to four million dollars is being transferred each year from Solid Waste to the General Fund. He contended the citizens were being over charged for garbage collection and the citizens are paying more than it costs to provide the service. Commissioner Merker was concerned with the idea of privatizing. Normally a private business comes in low and then raises the rates The citizens need a comfort zone to depend on garbage collection. The private market is totally different. It could potentially affect businesses and the citizens. There is control at this time and that is important for the people Mayor Taylor commented if it is not broke, do not fix it. The City has an outstanding Sanitation Department. Mayor Taylor did question how switching all employees to the FRS system would benefit the City. Mr. Grant explained the FRS was established by Statute for municipalities to have a universal pension in the State of Florida. Currently the City has three different pension plans; Fire, Police and General Employees. The City officials fall under FRS right now. The multipliers and contributions were reviewed. The contribution for Fire and Police is over 40 %. The FRS rate is under 20 %. In addition, City employees would pay less into the pension fund. They could put the extra money into their own individual retirement plan Mayor Taylor asked if the recommendation was for only new employees. Mr. Grant recognized there are contracts with the unions. The FRS would be a new policy for all new employees Current contracts for Fire, Police and General Employees would not change. The City would have two sets of employees with one group getting a 3% multiplier and the other getting a 1.6% multiplier. Commissioner Casello assumed it would be a two tiered system. Mr. Grant indicated it would phase out the current system. Commissioner Casello questioned how the current system would be sustained if employees go into the FRS without any funds going into 6 Meeting Minutes Special City Commission Meeting Boynton Beach, FL July 22, 2013 the existing pension plan. Mr. Grant replied the defined benefit plan would be slowly phased out. The people in the system now are paying for themselves and the City is paying and that is why it is at 40% because salaries increase every year Commissioner Merker contended the idea of putting forth such a plan should take into consideration the current employees who should be given a period of time to have their benefits protected. There would have to be a gap of at least five years to protect those employees established in the old plan. Mr. Grant agreed and suggested an accounting firm should make the actual calculations and define the timetable for change. He had made his recommendation based solely on the savings for the City. There are ongoing negotiations with the unions and the pension plans should be negotiated. Commissioner Merker expected the complete story to be reported and not a partial story so the present employees and past employees know they are protected. The short- term, long -term funding is critical to any decision. Mayor Taylor thought the recommendation was, if changes were anticipated, auditors should be brought in to establish a time frame and the impact on current employees and retirees to ensure funds are available for all. Vice Mayor Hay asked what the employees contribute. Ms. LaVerriere replied the General Employees contribute 7% of their salary to the pension, Fire pay almost 13% of their salary and Police pay 8% toward pensions. There is an annual required contribution by the City that is calculated by the actuary. The FRS system was recently changed requiring employees to contribute 3 %. The remainder of the funding comes from the State. Some analysis would have to be done on the impact to the future of the pensions if employees stopped making contributions. There would be an impact on the employees and the City. Adjustments could be made to both plans and labor negotiations have to be considered. Commissioner Fitzpatrick questioned how the 1.6 multiplier became part of the plan and why would an employee be interested in that rate. Mr. Grant advised it was for the State and the teachers have that multiplier. Commissioner Fitzpatrick understood a change to the retirement age was also being discussed in FRS. Mr. Grant advised there were two plans in FRS being a self- defined plan, like a pension and then a self - contribution plan like a 401K. There is vesting after eight years in FRS. Commissioner Fitzpatrick asked about the number of years to qualify for full retirement. Ms. LaVerriere understood it was eight years now, but it used to be six years. Commissioner Fitzpatrick recalled there were age requirements of 60, 62 or 65 and have thirty years to qualify for full benefits. In his personal experience, those requirements would not be appropriate for fire and police or even blue collar workers who do manual labor. Mr. Grant contended the FRS has a contribution plan so once enough money is saved; an employee could retire and get an annuity based on retirement age for the annuity. Meeting Minutes Special City Commission Meeting Boynton Beach, FL July 22, 2013 There are different options available. Commissioner Fitzpatrick liked the portability of the FRS program, but preferred the local control. Mayor Taylor inquired why the Risk Management annual review was recommended. Mr Scantlan replied, in addition to the review, the RFP for the broker should include the requirement the broker be able to get quotes from the League of Cities. He further explained Risk Management requires strategies and the Commission should give direction on the strategies to be implemented and followed. The strategies could impact the budget. Commissioner Fitzpatrick referred to the development fees and comparison with other cities. He inquired if there was any other rationale to raise the fees. Mr Scantlan responded the thought was if the fees were raised, they could cover more of the expenses of the development department. The City's fee are very competitive and would remain competitive even with an increase. Vice Mayor Hay thought it was a great concept, but the issue had already been addressed. Mr. Howard responded it had been done and some increases were approved It is done on an annual basis to remain competitive. The recommendation was to continually monitor the fee structure to remain viable and if the cost recovery justifies changes. Vice Mayor Hay agreed with Mayor Taylor regarding the Solid Waste issue. He had spoken with other municipalities and the consensus was the City of Boynton Beach should keep what they have and not privatize. He would not be in favor of even looking at a change. Commissioner Fitzpatrick appreciated Mr. Scantlan's concern about the transfer and his concern was if too much was taken out of the proceeds and there was not sufficient revenue to cover maintenance. It should not be used as a cash cow On the other hand, if the fees were not collected where would the City get another $4 million. It would have to come from increased property taxes It is a user fee now. It would be a transfer of who is paying and the Solid Waste fee distributes it more evenly throughout the citizens. Mayor Taylor thanked Mr. Scantlan, Mr. Grant and the entire Financial Advisory Committee for their recommendations. Presentations for each department were made. CITY HALL BUDGET Carisse LeJeune, Assistant City Manager, noted the fiscal impact was a 55.8% increase compared to last year, for a net increase of $1,043,914 due to the insurance premium increases and allowance for proposed salary adjustments. The budget includes items 8 Meeting Minutes Special City Commission Meeting Boynton Beach, FL July 22, 2013 such as the State of the City done annually, branding and special events throughout the year. Ms LaVerriere added the Inspector General fee and the Mae Volen transportation program are included in the budget. The lawsuit involving the Inspector General fee and the formula to determine the fee is ongoing. The funding was being budgeted even though only one payment has been made pending resolution of the dispute. The budget amount was $80,000 Mae Volen transportation is budgeted at $85,000. An additional item is $65,000 for a Request for Proposal (RFP) to hire a lobbyist. The City should be more engaged in State and County affairs with legislation. There is legislation pending that could be a threat to some of the existing revenue streams. A lobbyist could seek out potential funding sources at the legislative level for future construction projects and the new Police Department. Tracking the legislation had been part of the Assistant to the City Manager's job; however the position was eliminated and the resources are no longer available Vice Mayor Hay asked if only one lobbyist would be required. Ms. LaVerriere confirmed only one would be sufficient. She had compared the expense for other municipalities and felt the budgeted amount would be sufficient. Mayor Taylor thought it was an excellent idea. Someone is needed daily to find available monies that could help the City. Vice Mayor Hay recalled a previous lobbyist had been very beneficial. Commissioner Casello liked the idea too. Ms. LaVerriere hoped to have a legislative agenda by early fall to get consensus on items coming before the legislature early next year. Authority would be needed to work with the lobbyist on the issues and protect the revenue streams. Business Tax was being scrutinized and it is over $1 million of revenue at risk. Ms. LeJeune interjected the agenda prepared in advance is important because legislation can move quickly through committees with several amendments. A scope of work was established for use in the RFP along with credentials and references. A review committee would make a recommendation to the Commission for approval Commissioner Casello inquired if the selection would be an employee of the City or a contractor and Ms. LaVerriere replied it would be a contract position. Commissioner Fitzpatrick returned to the Inspector General line item and wanted to know why only one payment had been made. Ms LaVerriere replied the billing was stopped because of the lawsuit The Clerk of Court collects the fees and billing was stopped until the formula could be established to avoid future refunds and /or adjustments. Boynton Beach is not part of the lawsuit. At some point a fee will be invoiced from the Clerk of Court. 9 Meeting Minutes Special City Commission Meeting Boynton Beach, FL CITY COMMISSION July 22, 2013 Ms. LeJeune noted the budget includes executive salaries that remain the same, the cell phone allowances, regular deductions, pension, insurance and the expense allowances had not been changed. There was an increase in business meetings to cover sending two representatives to the Florida League of Cities Conference, Palm Beach County Days and host a Palm Beach County League of Cities meeting to be split with the CRA. It deals with legislative networking and being more involved with the League of Cities. There are line items for miscellaneous supplies and memberships in various organizations Mayor Taylor inquired if the Palm Beach County Business Development Board was one of the memberships. Ms LeJeune advised the cost was covered under the City Hall budget along with other memberships. Vice Mayor Hay inquired if there were provisions for the MPO (Metropolitan Planning Organization). Ms LeJeune advised there were no fees associated with that organization. Continuing with the line items, the training budget had increased for the Commission to have additional training in things like communication, media relations and team building. There are training modules for elected officials that would be beneficial in the future. Another item is the strategic planning that is done yearly to review and update the existing plan Every five years, the process will be repeated from the beginning with yearly progress reviews. The monies would cover a facilitator Commissioner Fitzpatrick pointed out there was approximately a $500 decrease in memberships and questioned what was eliminated. Ms. LaVerriere speculated the League of Cities had adjusted their membership fees down. There is a miscellaneous amount of $2,000 for any additional fees that could arise. Ms. LeJeune addressed the community investment accounts that had been eliminated a few years ago. The funds were equally distributed among the Commission and each could allocate funds to various organizations requesting financial support. A three - tiered funding plan was proposed with the lowest tier being one -time requests, the second tier a Special Events Grant Program for non- profits and third tier would be for economic development events. The Special Events Grants program was explained and would be brought back before the Commission for a more in depth review. There was currently a request for an economic development event that would be a pilot event to be considered by the Commission. The strategic plan included more events so the City is viewed as a fun place to be and visit. The three - tiered system would create the basis to determine the monies being spent in the City and by the City and regulate it to know if there is a benefit to the City with measurements of achievement after the fact 10 Meeting Minutes Special City Commission Meeting Boynton Beach, FL Mayor Taylor summarized there is $15,000 budgeted and each Commission member will receive $3,000. Ms. LaVerriere concurred and she would present a resolution with the policy and guidelines for distribution of the money. It would have to be added to the budget The $15,000 for the grant funding is in the proposed budget and the economic development tier will be funded in the Economic Development Division. Commissioner Merker wanted to know if the funding requests were reviewed yearly rather than ongoing. Ms. LaVerriere agreed the requests were subject to funding and appropriation each year, including approval by the Commission. All three tiers will require applications, guidelines, criteria, Commission approval and some type of accountability by the organization. Vice Mayor Hay was pleased to know discretionary funds were being reinstituted. There were many talented young people and great programs that need financial assistance. The participants represent the City of Boynton Beach on a state level or national level. Vice Mayor Hay sought clarification if the economic development event funding in the third tier would be taken from the discretionary funds and Ms. LeJeune replied it would be funded through the Economic Development budget and not the discretionary funds. CITY MANAGER 11 July 22, 2013 Ms. LeJeune advised the fiscal impact was a 6.5% increase from last year of $46,953 related to salaries, printing and binding and other contractual services. The salary increase was a result of replacing the Assistant to the City Manager position with the Communication Manager at a reduced salary. The Grants Coordinator was now funded in the City Manager's budget also. Commissioner Fitzpatrick questioned the loss of a prior Administrative Assistant. Ms. LaVerriere explained the additional position requested in the Development Department was currently being done by the Administrative Associate from the City Manager's office. A review of the lines items included the salaries of the positions within the office, and cell phone allowances that was reduced because the City Manager does not take an allowance There was a reduction in car allowance because the City Manager uses a City vehicle. Under business meetings, training opportunities and professional development, dollars were included for the City Manager and Assistant City Manager for conferences. They are invaluable to network regarding best practices, issues and topics throughout the State. Vice Mayor Hay understood the $6,200 was for the year and for everybody in the office and Ms LeJeune agreed and noted it included an annual conference and district workshop for the Grants Administrator and a Communications conference for the Communications Manager. Meeting Minutes Special City Commission Meeting Boynton Beach, FL July 22, 2013 There was $5,000 added for printing and binding to prepare a Budget in Brief for the residents as well as an annual report and some miscellaneous marketing materials. These have not been done in the past and citizens have remarked other cities offer brochures and publications on the budget. Commissioner Casello asked if the printing and binding was sent out for bid each year. Ms. LeJeune explained quotes are obtained for the individual publications using local designers and printers. Ms. LaVerriere interjected a Budget in Brief had never been done and she had personally made it one of her goals to be done this year. It is short document that would be available digitally and in all facilities. An annual report was prepared years ago and it was another goal of Ms. LaVerriere to produce that report. It was anticipated the Budget in Brief would be a tri -fold brochure, a small marketing piece. Eleanor Krusell, Communications Manager, would be creating the documents, but there is a budget increase for contractual services of $5,000 for design work. Vice Mayor Hay asked about the food supplies that were previously a part of the budget. As a result of Inspector General audits, expenditures for food and beverages for public employees and elected officials should be prohibited. Cities need a policy and the expenditure has to be transparent. It has to be enumerated in the budget as a food and beverage line item. The City's policy on food purchases has been changed requiring approval by the City Manager. A line item will appear in every department's budget that may be spent for food for an event or a meeting. Commissioner Merker proposed there should be money allotted to clean up City Hall. The facility was a mess. Ms. LaVerriere advised there was a janitorial contract. It is one of the levels of service areas that had been cut from the budget. Commissioner Merker felt it was a poor impression for people coming to City Hall and it was pitiful. Ms. LaVerriere acknowledged there were issues. Mayor Taylor returned to the issue of food purchases and recalled during hurricanes staff was working around the clock. He hoped food could be provided under those circumstances. Ms. LaVerriere reported it was provided in the EOC budget and during emergencies, whatever is needed has to be done. Ms. LeJeune added contracts were in place for vendors to come in and provide food for staff Commissioner Fitzpatrick surmised retirement parties would no longer be possible. Ms. LaVerriere explained it would depend on the source of the funding. If taxpayer dollars were used, it would no longer be possible. It had not been done very often. FINANCE The current budget is $1,101,102 and the proposed budget is $1,121,577 for an increase of $20,000 as indicated by Mr. Howard. The 11% increase in health insurance is represented by $15,000 and the remaining $5,000 is an increase in the general employees' pension contribution. Staffing levels remain the same. 12 Meeting Minutes Special City Commission Meeting Boynton Beach, FL July 22, 2013 Commissioner Fitzpatrick wanted to know if there was a City -wide computer program for accounting that was experiencing some issues as far as billing Mr. Howard explained the system is through ITS and it is City -wide and handles utility billing, purchase orders, payroll, general ledger, fixed assets, fleet management; an entire system It would be a capital project rather than through the Finance budget. Ms. LaVernere interjected replacement of the enterprise software would cost anywhere from $500,000 to $1 million In about two years, it will have to be replaced. Vice Mayor Hay asked if there was WiFi for Galaxy Elementary in the budget. Ms. LaVerriere responded it would be in the capital budget discussion along with several other items. The County had offered some funding options. HUMAN RESOURCES Julie Oldbury, Director of Human Resources and Risk Management, reported her budget reflects a 4.25% decrease, primarily a result of merging with Risk Management. The Department would continue to utilize technology to streamline their activities currently done manually. One of their strategic focuses would be training for supervisory, management and senior management teams. There is a slight increase in training for staff in the Department because all staff had to maintain certifications. On the horizon for the Department was negotiation with the six unions and investigating different wellness initiatives. Mayor Taylor complimented Ms. Oldbury on the decrease of 4.25 %. Commissioner Casello saw the line item for physical exams and since hiring was not being done, questioned why monies were being budgeted. Ms. Oldbury explained hiring was necessary to replace those who resign or retire. There are annual exams that have to be funded according to certain contracts and psychological testing. LEGAL James Cherof, City Attorney pointed out his budget is less than 1% of the total City budget and there is an increase of 14.1%. The City Attorney's office is actually comprised of 12 attorneys from his office and all have worked on City of Boynton Beach issues over the last year. The land acquisition and title line item was increased from $2,500 to $25,000 in anticipation of the improving economy and significantly more land transactions in the coming year. There have been virtually none over the last few years. Litigation and contingency was budgeted at $70,000 and in previous years it was zero. The money represents funds that are made available to resolve lawsuits rather than resolution by litigation. It had not been included in the budget for several years, but had been a regular line item in the past. 13 Meeting Minutes Special City Commission Meeting Boynton Beach, FL July 22, 2013 The retainer increased to reflect an increase in the hourly rate from $175 an hour for non - retainer work that is embedded in the retainer and also included in the litigation line items as well. The hourly rate had been flat since 2005 and he proposed to increase it through the City Manager six years ago when the fiscal issues began to arise. Being a team player, there were no increases. The proposed amount would bring the hourly rate to an amount that is competitive Commissioner Merker thanked Attorney Cherof for his understanding. There are always cases coming before the Commission and he liked Attorney Cherof. Commissioner Casello appreciated Attorney Cherof's services to the City and he did a great job The request is for $500,000 and the rates have remained steady to help the City over the last couple years. Commissioner Casello asked if having an in -house attorney had been explored. Attorney Cherof recalled prior to 1980 the City had an in- house attorney. There were several years since that time when one of his office attorneys spent all their time on Boynton Beach There have been plenty of reviews and analysis done by various organizations to address the issue, including one by his law firm. The model the City uses, having outside counsel, is the most productive model and beneficial to the public in terms of dollars spent. There are lots of different models Commissioner Fitzpatrick knew the City used to have an in -house lawyer that resulted in the Tradewinds dispute that cost the taxpayers $500,000 for 20 years Mayor Taylor concluded the Attorney was not an employee of the City. Attorney Cherof indicated he was a Charter officer as the City Attorney, but not an employee. There is one employee who serves as the assistant and paralegal and works through Attorney Cherof for the City Manager. She is a full -time City employee. Vice Mayor Hay noted Attorney Cherof was not in -house and yet office space was supplied. Attorney Cherof explained the office space is provided to the Legal Department and not for him personally. His office was in Fort Lauderdale with an office in Delray. It is a convenience for the Legal Assistant and the records of the City that are legal in nature. The Department had recently moved from larger space to smaller space and could move to no space if the Commission so desired. Commissioner Merker expressed his opinion that because Attorney Cherof was independent, he has to work harder to do a good job and is beneficial. Commissioner Casello wanted to see some of the other models that were mentioned so he could understand how the City was saving money with the current arrangement Attorney Cherof urged the City Manager and Human Resource Director to investigate other models to ensure the information received is independent. 14 Meeting Minutes Special City Commission Meeting Boynton Beach, FL Commissioner Merker strongly believed in specialists and Attorney Cherof's firm had a specialty Expertise in the area of municipal law is very important for the City. Commissioner Casello clarified he was not questioning the competency of Attorney Cherof or his firm. He was attempting to protect the dollars of the City. Attorney Cherof did not take it personally and in fact, felt it was prudent to look at those issues from time to time or any other department within the City CITY CLERK July 22, 2013 Janet M. Prainito, City Clerk, pointed out the office budget decreased 7.1%. It was due to the reorganization of the Department. Two part time positions were eliminated and the reassignments will make the Department more efficient. Everyone will have to work harder. The remainder of the decrease was attributed to an election in only two districts in March 2013, rather than a City -wide election. Commissioner Casello commented the City Clerk's office does a phenomenal job for the elections As a newly elected Commissioner, he thanked Ms. Prainito for her guidance and help during the election and for making the transition easier. He truly appreciated all the work of the City Clerk's office. The decrease is amazing because he would have anticipated an increase. Mayor Taylor echoed Commissioner Casello's remarks. He had had the pleasure of experiencing that kind of service for over ten years. Commissioner Merker questioned if Ms. Prainito was comfortable with the number of staff and she indicated she was and that was the reason for the reorganization. After careful consideration, a determination was made that a better job could be done with less staff. ITS John McNally, Manager of Information Technology Services, outlined the total budget was $1.8 million and each year an assessment is done of contracts, services to replace or upgrade, and evaluation of efficiencies and deficiencies to lower costs. The AT &T agreement was renewed and the rates lowered for a savings of $5,700 per year. Computer maintenance was decreased by $14,000 partially due to implementation of new network communication gear, a capital improvement project With reorganization there was some salary expense that was saved when a long -term employee retired. Overall the budget increased by $88,000 being a 5.02% increase. Some of the increase was out of the Department's control such as pension and insurance increases and contractual maintenance agreements with vendors, including some of the enterprise software used throughout the City increasing by $2,000 each The HTE system fees went up $15,000 representing contractual increases that were built in as well as a test environment to test software before release. 15 Meeting Minutes Special City Commission Meeting Boynton Beach, FL July 22, 2013 Other increases were due to deferred services and budget cuts. There were additional costs to have some software licenses renewed because upgrades were not maintained. An additional $16,000 was added to the budget to protect the data assets in the event of some type of disaster. The Department continues to enjoy a high level of customer satisfaction. Work continues on a strategic plan to determine the true needs of each department. Some business process could utilize modern software features and benefit by taking a closer look to improve efficiencies and plan for implementation. Mayor Taylor questioned the amount for vehicle maintenance. Mr McNally thought the money was a transfer to Fleet for an ITS vehicle that staff uses to provides services to all facilities and remote buildings. Vice Mayor Hay inquired about the line item for other contractual services of $261,000. Mr McNally responded the majority is the HTE -ASP services that is broken into two line items of approximately $180,000. It is the enterprise system that provides financial services, customer service applications, development and permitting and the suite of software that is needed to run the City is included Commissioner Fitzpatrick concluded it was the system Ms. LaVerriere mentioned that would have to be upgraded in a couple years and Mr McNally confirmed that information. Mr. McNally further explained a few years ago, a major piece of equipment had to be replaced and it was eventually outsourced. The vendor provides the software to cover the disaster recovery services through Sunguard, one of the leaders in disaster recovery By outsourcing, the system does not have to be maintained and frees staff and dollars while providing a level of disaster recovery because it is hosted in their remote data center The entire system will be protected in another data center if a local event occurs Commissioner Fitzpatrick recalled frequent occasions when the program was offline and questioned if that was typical for other cities. Mr. McNally reported there had been intermittent issues with connectivity on the system and it was being addressed with the vendor. This issue, plus dissatisfaction of some of the internal customers who use the system, are the main reasons for looking at alternatives when renewing the contract in two years. Commissioner Fitzpatrick had worked with two ITS staff members quite a bit and they were a good example of the quality of the staff. Mr. McNally thanked Commissioner Fitzpatrick for the positive feedback. Vice Mayor Hay also commended staff. Commissioner Casello asked if Mr. McNally was happy and secure with the fact the ITS Department can weather any storms. Mr. McNally explained there is a data center within Fire Station #5 and over the last year. all the technology resources have been 16 Meeting Minutes Special City Commission Meeting Boynton Beach, FL LIBRARY /MUSEUM July 22, 2013 migrated to that building. It is well equipped and he was confident ITS would endure any type of major event. Vice Mayor Hay inquired if there was a five -year plan to update computer software. Mr. McNally reported the Microsoft Enterprise Agreement had been renewed and with an improving economy, the City should be in a better position to keep up with the curve of technology. Craig Clark, Library Director, gave a snapshot of the budget reflecting a 2.1% increase for $45,736 The increase represented health insurance and retirement benefits There was a request for increase in overtime. Off -duty police officers are hired for 16 hours a week to manage the security of the Library campus, Art Center and Museum area. An increase was needed to cover potential wage increases. It is imperative to have a police presence. Other security officers were tried, but did not work. Operating expenses were decreased by 2 %. It is a flat budget going forward. Over the last several years, there has been an adopt -a- magazine program and he encouraged participation if anyone was interested. He also announced the quilts displayed on the walls were for sale to raise money for the Library. Mr. Clark commended his staff and stressed many people are assisted in finding jobs and were looking forward to another great year. Vice Mayor Hay wanted to know if the general public had adjusted to the Library schedule Mr Clark replied there were very few complaints. There are some people who need computer use on Fridays. It has been four years operating with reduced hours and being closed on Fridays and Sundays. It was open 62 hours a week, but has been reduced to 54 hours a week. Commissioner Casello found it totally unacceptable that $47,000 a year was spent for police protection and the problem could not be resolved. Mr. Clark felt it was worth it. Mayor Taylor stressed there are many teenagers who gather at the facility and there is always a chance for problems. There have been fights and riots in the Library. The presence of a police officer prevents some of the confrontations. It is unfortunate and has to be dealt with. Commissioner Casello urged that the trouble be resolved rather than spending $47,000 a year. Mr. Clark noted the Library was open from 9 a.m. to 8 p.m Monday through Thursday and late afternoons and evenings bring trouble. Ms LaVernere added parents leave their younger children at the Library to go to work or earn a living and the young children are left unattended. It is a serious safety issue. There are policies in place and Officer assistance is sometimes needed to find the parent. 17 Meeting Minutes Special City Commission Meeting Boynton Beach, FL July 22, 2013 Commissioner Casello continued to be amazed it was an ongoing problem that cannot be resolved He mentioned gangs can be dispersed and did not understand why teenagers in a Library cannot be handled less expensively. Mr. Clark added it was adults and teenagers as well. Commissioner Casello concluded it was an unacceptable image for the City of Boynton Beach that does so much good. Vice Mayor Hay understood his concerns, but there is the positive impact of the Officers interacting with the children and teens and creating rapport. It is dollars well spent. Commissioner Fitzpatrick addressed the question of opening the Library on Friday and the estimated cost. Mr. Clark estimated it would be $137,000 to open from 9 a.m. to 5 p.m. on Fridays. Additional staff would have to be employed. Commissioner Merker agreed with Vice Mayor Hay that the Library was not just for learning, but for building camaraderie and communication. The Schoolhouse Children's Museum building is owned by the City and by management agreement, the City assists in the cost of running the building and a couple salaries. Their budget is mostly flat, decreasing only $870 from last year. Mr. Clark introduced Judith Klinek, the new Executive Director of the Museum. She came from the Palm Beach County School District where she had held several positions including two principalships. Her last position was as the Chief Academic Officer. It was her hope to be able to hire a Development Officer who will raise money through grants and donors to help revitalize the Museum and keep it as a jewel of Boynton Beach. Mr. Clark pointed out the new position would be in the Museum budget and not in the City's budget RECREATION AND PARKS Wally Majors, Recreation and Parks Director, presented a budget with an increase of Tess than .5% primarily due to the increased cost of health insurance for staff. Basically it was a flat budget with no significant changes. They continue to balance the need for the social programs with minimal cost and maximum cost recovery. Commissioner Fitzpatrick had an issue relating to the Lake Ida property that he thought would be discussed the next day under capital discussions. A short break was taken at 5:23 p.m. The meeting was reconvened at 5:43 p.m. FIRE Ray Carter, Fire Chief, pointed out the Fire Department budget increased by 1.9% and Emergency Management decreased by 1.9 %. He recognized his Deputy Chief, Greg 18 Meeting Minutes Special City Commission Meeting Boynton Beach, FL July 22, 2013 Hoggatt, and the Finance Administration Officer, Vicki Dornieden, who help put the budget together. The budget was reasonable at $19.5 million with most of the increase from insurances and a Memorandum of Understanding (MOU). Firefighters that have not topped out of their pay ranges would get a step increase that resulted in a significant amount of money to be budgeted. The pension contribution decreased by about $100,000 due to good investments. The personnel services increased by 1% and the operating costs increased a little bit. Capital funding decreased because the donation fund was used during the current year to make a few capital purchases. Commissioner Fitzpatrick remarked a grant was awarded by the federal government to hire firefighters and he inquired if they were used to fully staff Fire Station #1. Chief Carter concurred and explained seven firefighters were hired and were now in training. They will be assigned shifts and Station #1 will return to two vehicles 24/7, 365 days. Mayor Taylor asked about the duration of the grant funding and Chief Carter reported it would cover full pay for the firefighters and full benefits for a period of two years At the end of that time period the positions will have to be budgeted or make other arrangements. Commissioner Casello remembered the Chief had speculated that through attrition, ten openings will need to be filled. Chief Carter clarified it was only seven firefighters under the grant Ten were hired because there were three vacancies that restored full staffing levels It was expected positions would open and the grant hires will move into those vacant positions. There is no guarantee that would happen. Vice Mayor Hay pointed out the line item for general equipment was budgeted for $21,000 and now there is nothing budgeted. Chief Carter had spoken about capital costs and the donation account could cover some of those costs this year rather than budgeting for them next year Commissioner Fitzpatrick had knowledge that some critical medications were hard to obtain in the past and he questioned if other vendors were found or cost increased. Chief Carter revealed the price of medications can remain stable, but become difficult to obtain. It has been difficult to shop for some very common medications and other departments across the country have the same issue. As a result there has been legislation in the State of Florida that allows shopping through certain pharmacies that deal with medications from out of the country. It should ultimately drive the prices down of those medications. Medication had previously been obtained through Bethesda Hospital at no cost because they are not a licensed pharmacy that sells over the counter State law changes now require medications be obtained through a pharmacy. Vice Mayor Hay asked if the furniture and fixtures were so bad how could there be an $8,000 decrease from this year. Chief Carter advised there was some bad furniture. It does wear out, specifically chairs, remembering it is a 24 -hour operation Some purchases were made this year from the donation account rather than next year. 19 Meeting Minutes Special City Commission Meeting Boynton Beach, FL Commissioner Merker was curious if the medication obtained was made in the United States or outside the country. Chief Carter replied all medications obtained are made in the United States. Recent legislation allows shopping through pharmacies outside the United States. The medication shortage had nothing to do with Bethesda Hospital's ability or willingness to dispense medications to the Department. The shortage of medications was a result of the federal government stockpiling drugs for significant events. They are not expensive medications. Mayor Taylor was aware that the Department's promotion protocol was based on acquiring higher education and there is nothing for college tuition reimbursement budgeted. Chief Carter recalled there was college tuition reimbursement and the Commission voted against continuing that benefit. There are some required classes for promotional processes. They are paid for through technical classes, but the core curriculum of many college degrees is no longer covered. (Vice Mayor Hay left the meeting.) POLICE 20 July 22, 2013 Jeff Katz, Interim Police Chief, advised the requested budget was for a 1.4% increase from last year representing $338,000. The primary increases are for vehicle maintenance and communication costs associated with the radio system covering police, fire and governmental radios Last year, 58,000 responses to calls were made and 2,400 arrests. There are roughly 190 personnel including 164 sworn officers. Mayor Taylor noted the budget did include college tuition reimbursement that was reduced significantly. Chief Katz related eight officers were participating in degree programs. Mayor Taylor inquired if money was budgeted for pay increases and Ms. LaVerriere indicated it was not in this budget. She added the college tuition reimbursement is a negotiable item in contract discussions. Commissioner Casello recognized there was a step program that has been frozen for several years. He asked Chief Katz if he felt it should be reinstated. Chief Katz knew the membership was interested in pursuing reinstatement of the program and would provide some stability in terms of life -long planning, as well as management of the municipal pension contributions. It would obviously be part of collective bargaining Commissioner Fitzpatrick was under the impression there was a working agreement with Boca Raton to do some of the city's testing such as DNA Chief Katz explained there had been negotiations with other organizations that have specific investigative abilities One member is attending a class by the Secret Service that will give the Detective the ability to do forensic analysis of hard drives. It will include an agreement to allow other organizations to come to Boynton Beach for assistance with forensic Meeting Minutes Special City Commission Meeting Boynton Beach, FL July 22, 2013 computer investigations. Many agencies have expertise that is being shared and is a cost sharing. Specialization comes with a steep price tag. Commissioner Fitzpatrick inquired if the City had specialization that was shared with other Departments and if so what types. Chief Katz responded the City had a successful marine enforcement unit and worked with the federal government on the blue Tight and task force and customs. The Department works with the Sheriff's Department, Boca Raton, Delray, Marine Safety Rescue and Enforcement so there is a variety of special investigative skills and enforcement functions. More are being developed, but it was about maximizing efficiencies through training and cost. Ms. LaVerriere interjected the Department participates in specialized task forces when there is an opportunity and in the County -wide Public Integrity Unit. Chief Katz advised there was an officer attached to the US Marshall's office to assist with fugitives, DEA and all assignments are opportunities to participate in federal forfeiture returns. Participation is a good investment in both networking, utilization of resources and potential forfeiture funds. The DNA lab in Boca Raton requires an annual fee of $60,000 that is paid with forfeiture funds and not taxpayer monies. Commissioner Casello noted some vehicles were leased and wondered how many. Chief Katz explained the leased vehicles were primarily for investigative purposes. It allows the Department to swap out vehicles especially for long -term surveillance type operations Commissioner Casello asked if confiscated vehicles were utilized. Chief Katz replied they were not used. They would have to be maintained. Commissioner Casello asked about the take -home car policy. Chief Katz advised it was part of the collective bargaining. After three years, officers receive take -home cars according to the contract, as long as they lie within 15 miles of the City. Ms. LaVerriere further explained it was subject to appropriation by the Commission. The Department did request 14 new vehicles this year for that purpose, but it was denied at this time. Mayor Taylor had a question about radio batteries and supplies that was budgeted for $4,500 and $22,000 was being spent and then $20,000 for next year. It must be more than batteries. Chief Katz mentioned the radios were roughly $5,000 apiece. Radio service is provided for Police, Fire and general government. It is not that much money. Commissioner Fitzpatrick had heard the current frequencies were being changed over in a few years and may require an entire new radio system. Chief Katz concurred and explained the current system is somewhat dated and in the near future Motorola, the vendor, will discontinue maintenance on the system. It will require starting to look at procuring new radios. Mayor Taylor suggested that funding could be rolled into the cost for the new Police station. Ms. LaVerriere agreed. The Communications move from City Hall over to Fire Station #5 involves partnering with the County to address portions of the upgrade through the move The County would be using Fire Station #5 as a backup and some of the equipment is being supplied through that agreement 21 Meeting Minutes Special City Commission Meeting Boynton Beach, FL Commissioner Merker thanked Chief Carter and Chief Katz for doing their job. July 22, 2013 Ms LaVerriere pointed out there was a separate Communications budget and a separate Code Compliance budget. CODE COMPLIANCE Chief Katz indicated there were three Code Compliance officers, four Senior Code Compliance Officers, a Senior Code and Rehab Officer, two administrative staff, a Code Compliance Coordinator and a Police Sergeant assigned. The Sergeant was not funded in the Code Compliance budget. Mayor Taylor remarked he was upset with all the small signs stuck in the ground selling various items He requested the Code Officers pull up the unauthorized signs that litters the City and makes it look trashy. Chief Katz agreed it was a good point and in addition, those types of signs are in the line of sight and block a driver's view representing a traffic hazard DEVELOPMENT SUPPORT SERVICES Nancy Byrne, Development Director, advised the proposed budget represented a 14.8% increase due to the opening of the West Wing and the added position of an Administrative Assistant. Approximately 53,000 calls a year are processed and more than 16,000 walk -in visitors are handled plus issuing 5,500 building permits. Adding a person in the lobby is saving a tremendous amount of time for other staff. A call distribution center had been utilized while the West Wing was short staffed and there were many complaints about the speed of the calls being answered. It is the main increase in the budget. Mayor Taylor was glad the position was established to eliminate the constant traffic between the West Wing and the lobby. BUILDING The Building Department's proposed budget decreased by 4.7 %. One Senior Building Inspector retired resulting in some savings. A multi - discipline position will be hired. There will no longer be single discipline field inspectors or plan reviewers. There are 20,000 inspections done a year. Many are outsourced at this time. At some point additional paid employees may be requested after there is a more stable development market place PLANNING AND ZONING 22 Meeting Minutes Special City Commission Meeting Boynton Beach, FL The only increases have been in the self- insured amounts and benefit items There have been no other increases. There is a small line item for other consultant services that bring in people for a special study type project. ECONOMIC DEVELOPMENT Ms. Byrne remarked the only increases are in personnel benefits. Mr. Kline joined late in the budget process and he will work next year to get the budget allocated to more line items. Work is being done on this year's budget reallocating how the monies have been spent. Commissioner Fitzpatrick asked if there was any overlap with the CRA and any philosophy how the work is distributed. Ms. Byrne replied the City does it all. The CRA has very specific grant programs that they allocate funds that the City does not cross over. If jobs are being created with a project and additional incentives are needed, the City's Economic Development Division will step in with CDBG (Community Development Block Grant) monies to help get a business secured within the City. The focus of Economic Development is primarily outside the CRA. The City development staff meets with the CRA staff every two weeks with an open line of communication There is no hesitation to include each other in meetings with developers. COMMUNITY IMPROVEMENT There is a .8% decrease representing a personnel reduction. One employee involved with affordable housing was dropped to a part -time position. Because SHIP funding has been so sporadic from the State, the employee decided to retire. The department is completely funded by grant monies, either federal or state. There are no General Fund monies utilized. PUBLIC WORKS Mr Livergood reviewed the Public Works administration budget that had no significant changes. It was all personnel expenses. FACILITIES MANAGEMENT PROGRAM The budget remains essentially unchanged It is one of the department programs that has been cut over the last five years and the impact is becoming very apparent. Over the next several years, staff will be added back to the program. The budget is increasing because of the pension and health benefits and the increase in the annual custodial contract. There are also some mechanical repairs. 23 July 22, 2013 Meeting Minutes Special City Commission Meeting Boynton Beach, FL Mr. Livergood shared the concerns about the appearance of the buildings. The custodial contract is very labor intensive to oversee and supervise. A supervisor has been hired in the last two months so it should improve. The service levels have changed over the years in order to scale back the cost. As the City budget improves, the employees would all want the custodial services to improve. It is an objective of the department. The program is geared to maintain all the City facilities and recreation facilities. With the resources available, the staff does an outstanding job. Mayor Taylor asked what was budgeted to maintain the Old High School building. Mr. Livergood advised nothing was budgeted. There is insurance and a small electric bill that totals less than $1,000 a year Only a very minimal amount of upkeep is being done. The insurance costs are through Risk Management at $25,000 a year. STREETS July 22, 2013 The budget was increasing slightly by 9.5 %. The bulk of it is $60,000 for street lighting in Quantum Park as part of the agreement to take over street maintenance. There is also an additional $9,000 in vehicle maintenance. There are 255 miles of lane miles of streets in the City. There is only an $87,000 budget with $560,000 to pay Florida Power & Light for energy cost for street lighting. There is minimal expenses. A significant amount is not being spent on street maintenance. It is one of the program cuts. The street crew is only 4.5 people that used to be 11 staffers. Most street maintenance is funded with gas taxes received from the State. Commissioner Merker asked who was responsible for the painting of the street markings. Mr. Livergood replied the County road markings have been reported to the County Traffic Engineer. The City is issuing a $25,000 contract to do the painting on City streets. Commissioner Merker had received several questions about the markings and difficulties seeing the lane markings Commissioner Casello wanted to know if energy saving lighting was being utilized for street lighting Mr. Livergood responded it was not used. Cities would prefer the LED lighting. Florida Power & Light is paid a monthly rate per fixture and that includes maintenance of the fixture, energy consumed and sometimes the pole. The City can choose the type of luminary, whether mercury vapor or high pressure sodium and the wattage. LED lighting would have to be done by Florida Power & Light. There are only two systems that the City controls. The cost of street lighting is $12 to $13 a month per fixture for the energy and maintenance, a very reasonable expense. Commissioner Casello asked if the City taking over the poles themselves had ever been discussed. Mr. Livergood replied it had not It would be a staff and equipment intensive project because knock downs, other failures and changing of the lights for 5,000 to 6,000 lights would have to be done. It could be investigated in the future as Florida Power & Light moves to more LED lighting. 24 Meeting Minutes Special City Commission Meeting Boynton Beach, FL Mayor Taylor mentioned a constituent complained that the traffic light at South Federal and 23 changes too quickly. He understood the County controls the traffic lights. Commissioner Fitzpatrick questioned the ownership of the traffic Tight in front of the ire stations and Mr. Livergood confirmed they were also County controlled. Commissioner Merker brought up the red Tight cameras and Ms. LaVerriere explained what would constitute a violation. ENGINEERING July 22, 2013 The Engineering Department had proposed an almost 10% reduction. There is one vacant position that would not be filled. There was an office staff position that was transferred to the Solid Waste program. The staff has done a good job during the economic downturn. The Building Official, Andrew Mack, is shared as City Engineer. PARKS AND GROUNDS There is an increase of 7.1% that mainly covers enhancement of the medians on Federal Highway, Congress Avenue and along Gateway. There was a maintenance agreement relating to the medians through Quantum that were upgraded and are now being maintained by the City. The increase of $180,000 is due to bid prices. It will be a two year process to improve all the medians. Plants are being put in and all the irrigation has been repaired. SOLID WASTE The program has a minimal increase of $150,000 for an $11.5 million budget. There is a slight wage reduction because senior staff has retired. There is an additional $190,000 for vehicle maintenance. The program will contribute $4 million to the General Fund. Solid Waste pays for the waste disposal for all the other City buildings, including the use of any dumpsters. There is a new customer service representative position As supervisory staff has reduced, the same level of service was not being provided, particularly for commercial customers. They are the roll -off customers and front end loader customers, whether restaurants or multi - family units. Calls would be directed to the customer service representative rather than a supervisor being taken off the road to check on the request. It will be a proactive approach utilizing the position as a liaison to the Solid Waste Department. The position will interact with the Economic Development Services and be educated on all the other programs to impress the businesses and help keep them in Boynton Beach Commissioner Casello discussed the golf course services and Mr. Livergood indicated it may be more prudent to have Waste Management service the golf course rather than City trucks going to the site. 25 Meeting Minutes Special City Commission Meeting Boynton Beach, FL Mr Livergood stressed it was a very successful Solid Waste operation. It was operating more efficiently with Tess staff and enabled contributions back to the General Fund. There is a profit that goes back to the citizens of Boynton Beach and not to a shareholder of a private company. Mayor Taylor was proud the City would pick up any debris once a week. It is a great service to the community. Mr. Livergood recalled the new process for public trash was initiated three years ago and has met the goal of keeping the City clean Commissioner Fitzpatrick wanted to know how the cost of hurricane and debris removal was budgeted. Mr. Livergood replied the monies come from contingency funds that are in the City budget for reimbursement from FEMA and the State. After an all clear is given, the employees are some of the first responders to clear streets for the emergency responders. There are supplemental contractual services in place to do the bulk debris and a contractor to monitor so there are no lapses in the documentation. Commissioner Fitzpatrick returned to the lighting at intersections and the type of poles used Mr. Livergood advised the City had no input. The State was replacing all signals on State roads with mast arms. The County is starting to upgrade with mast arms also. FLEET MAINTENANCE July 22, 2013 This included mechanics and all the rolling stock with very minimal budget changes. There is a new fleet supervisor. Safety inspections revealed two lifts needed to be replaced. The fuel costs are roughly estimated because of changes in gas prices. Departments transfer to fleet maintenance a figure that is an average of the cost over two years and they transfer monies to prefund new vehicles. BOYNTON BEACH MEMORIAL PARK There were no significant changes in the budget. Commissioner Casello observed that the maintenance facility had inadequate space and some work had to be done outside. Mr. Livergood acknowledged the City has contemplated building a new Public Works facility. Police and Fire are an obvious priority. It should be a future project to be built outside a residential area. It is substandard at this time, but the job gets done. PUBLIC AUDIENCE Herb Suss, 1711 Woodfern Drive in District 1, did not support privatization of Solid Waste and speculated it would begin a process of privatizing other departments that would eventually dismantle the City On the millage rate, he suggested it be set at 8 mills to build up a surplus. He supported building a new police station as soon as possible because interest rates on bonds were low and will only go up. Mr Suss 26 Meeting Minutes Special City Commission Meeting Boynton Beach, FL 27 July 22, 2013 commended the job done by the City Manager. He did feel the connection to the League of Cities should be strengthened and the lobbyist hired to stay on top of things. In regard to the Legal Department, Mr. Suss opined Attorney Cherof was the best and should be kept. He also supported the Fire Chief and Interim Police Chief Mr. Suss mentioned he had served on several advisory boards and would like to volunteer again and possibly be on two boards. Mr Suss felt the development of the downtown needed to be a priority. The CRA was doing a good job. He did feel a new City Hall was needed. The 8 mills rate, along with the Fire Assessment, would help build the City faster. There have been significant improvements at the golf course. Mr. Suss asked about the Barrier Free Park incorporating the name "Ensler ", a previous City official who was one of the initial supporters of the concept of a Barrier Free Park. Mr. Suss commended Commissioner Fitzpatrick, City Manager and Assistant City Manager for their work on going "green ". ADJOURNMENT No one else coming forward, Mayor Taylor adjourned the workshop for the day at 6:61 p.m. (Continued on next page) Meeting Minutes Special City Commission Meeting Boynton Beach, FL ATTEST puty City Clerk dith A Pyle, CMC t M Prainito, MMC Clerk CITY OF BOYNTON BEACH .Woodrow L Hay, Vice Mayor o= Casello, Commissioner 28 July 22, 2013