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9-13-23 Special Called Meeting Adopted MinutesMINUTES Special Called Meeting of the City Commission Wednesday, September 13, 2023 - 6:30 PM Commission Chamber City Hall, 800 Seminole Road Atlantic Beach, FL 32233 INVOCATION AND PLEDGE TO THE FLAG CALL TO ORDER Following the Pledge of Allegiance, Mayor Ford called the meeting to order at 6:30 PM. City Clerk Bartle called the roll. ATTENDANCE: Present: Curtis Ford, Mayor Bruce Bole, Commissioner - Seat 2 (District 1308) Michael Waters, Commissioner - Seat 3 (District 1307) Candace Kelly, Commissioner - Seat 4 (District 1306) Jessica Ring, Commissioner - Seat 5 (District 1312) Also Present: Jason Gabriel, City Attorney (CA) Donna Bartle, City Clerk (CC) Kevin Hogencamp, Deputy City Manager (DCM) Brittany Percell, Finance Director (FD) 1. PUBLIC HEARINGS A. Adoption of a Tentative Millal,,e Rate Mayor Ford explained the following: The first item to be considered is adoption of a Tentative Millage Rate of 2.9785; the Millage Rate currently is 3.1035; the Tentative Millage Rate on which we've been working with our budget is 2.9785; and, for consideration, there is still the Rollback Rate of 2.8410. DCM Hogencamp gave an overview of the budget process. Mayor Ford explained the opportunities for public input and then opened the floor to public comments. Brinkley Harrell urged the Commission to consider the Rollback Rate. Gene Nordan spoke in favor of lowering the Millage Rate. Bill Davis spoke in favor of lowering the Millage Rate. Special Called Meeting of the City Commission September 13, 2023 Annie McCarthy spoke in favor of lowering the Millage Rate. Jorge Garcia spoke in favor of using the Rollback Rate. Joni Hooton spoke in opposition of an increased Millage Rate. Mitch Reeves spoke in favor of using the Rollback Rate. Bill Gulliford spoke in favor of using the Rollback Rate and suggested using money from reserves. Hani Babikir spoke about inflation and increased taxes and the effect they have on his family. Mayor Ford read an email from Jennifer Lagner to the Commission (which is attached hereto and made part of this Official Record as Attachment A). Mayor Ford closed public comments. Mayor Ford addressed some of the concerns raised during public comment and asked for the Commission's support for a reduction of the Millage Rate. DCM Kevin Hogencamp acknowledged Finance Director Brittany Percell, Police Lieutenant Ed Peck, and City Engineer Steve Swann and thanked resident Brinkley Harrell for his input and help with quality control, which has been invaluable over the last week. DCM Hogencamp explained the updates made to the budget, which changes the information in the staff report. DCM Hogencamp noted that the City's total proposed budget is $59,499,115. The budget is 4.9% higher than the current year. The proposed General Fund budget is $18,696,633. Projected revenues and expenditures are 2.5% higher than the current year. These numbers reflect a reduction in millage of one eighth of a mil. The amount would decrease by $352K if the Commission decides to roll back the Millage Rate. He used an example for explaining property taxes and the portion the City would receive. He reported that the total assessed property in Atlantic Beach increased 9.8% over the past year and acknowledged the opportunity for considering the Rollback Rate. Commissioner Waters addressed the idea of using excess from reserves and spoke in favor of going to the Rollback Rate. Commissioner Ring spoke in favor of going to the Rollback Rate. Commissioner Bole spoke in favor of going to the Rollback Rate. Commissioner Kelly spoke in favor of going to the Rollback Rate and noted the challenges with waiting until now. Special Called Meeting of the City Commission September 13, 2023 Mayor Ford provided reasons why the City is financially sound and spoke about the excess reserves. DCM Hogencamp gave examples of projects that will affect the mid -year budget, noted the implications of reducing revenue, and provided options for funding. Discussion ensued about funding options. City Attorney Jason Gabriel clarified the need to take two separate votes - first on millage rate and second on the budget. There was discussion about a funding request from Lenny Jevic for the Beaches Veterans Memorial Park. DCM Hogencamp was asked to bring it back for consideration on the next agenda. Attachment A to 9-13-23 Minutes MOTION. To move to the Rollback Rate (of 2.8410). Motion: Bruce Bole Second. Jessica Ring Curtis Ford For Bruce Bole (Moved By) For Michael Waters For Candace Kelly For Jessica Ring (Seconded By) For Motion passed S to 0. B. First Reading on Adoption of Ordinance No. 20-23-168, establishing the Operating Budget for Fiscal Year 2023/2024. AN ORDINANCE ADOPTING THE FINAL BUDGET FOR THE CITY OF ATLANTIC BEACH, FLORIDA FOR FISCAL YEAR BEGINNING OCTOBER 1, 2023 AND ENDING SEPTEMBER 30, 2024. Mayor Ford read the Ordinance by title and confirmed the updated budget amount as $59,146.295. Mayor Ford opened the public hearing and asked for public comments. Brinkley Harrell provided comments about the budget and funding various projects. Lenny Jevic, on behalf of the Beaches Veterans Memorial Park Committee, acknowledged fallen veterans and explained the funding request to help pay for a monument. Discussion ensued about the request and Lenny Jevic answered questions. Special Called Meeting of the City Commission September 13, 2023 There was discussion about providing $25,000 towards the monument by using the 16th Street Walkover money as the source; having those funds allocated to the millage reduction as a result of the Rollback and to the $25,000 request for the monument; and allocating any delta to reserves. No formal action was taken on this option. MOTION: Approve the tentative budget of $59,146,295, which is the Rollback Rate budget. Motion: Jessica Ring Second: Candace Kelly Commissioner Bole expressed support for funding the 16th Street Walkover and the monument. CA Gabriel suggested having staff bring back other funding source options to consider at the next meeting. Curtis Ford Bruce Bole Michael Waters Candace Kelly (Seconded By) Jessica Ring (Moved By) Motion passed S to 0. 2. ADJOURNMENT The meeting adjourned at 7:48 p.m. Attest: Donna L. Bartle, City Clerk Date Approved: 1111,412-02- 3 For For For For For Curtis Ford, M or Special Called Meeting of the City Commission September 13, 2023 Attachment A to 9-13-23 Minutes Bartle, Donna From: Jenn Lagner <jennlagnerab@gmail.com> Sent Wednesday, September 13, 2023 5:59 PM To: electedofficials@coab.us Subject: The Budget Elected Officials, In reviewing the draft budget from the meeting link, the introduction budget message is still inaccurate. It states the 2024 budget is lower than the 2023 by 1.59%, when the fund summaries show it as a 4.8% increase. Is this a big deal? Yes, because of perception. Many residents may trust only the cover message and not have the time to dig into a 200 page PDF. While an honest error because city staff are already stretched, this could fuel feelings of mistrust. It would benefit our citizens to reduce the millage rate to 2.8410. The approx $365,000 is a pittance on a more than $55,000,000 budget and will not have an impact on city services. We are not like other municipalities who may have trouble paying their bills. Through financial stewardship and hard work, our financial position is one that many would love to be in. You are all smart people who were elected to represent your districts and the city as a whole, including city staff. Citizens got hit with the Imil increase for the school tax, insurance costs are through the roof and a few hundred dollars per household could be material for residents. We continue to hear "come talk to us, email us, we care". Actions speak louder than words and please take action and bring the millage rate down and listen to residents. Jenn Langer