08-21-00 v •
• CITY OF ATLANTIC BEACH
BUDGET REVIEW MEETING- AUGUST 21,2000
5:00 P.M.
AGENDA
Call to Order: Mayor Meserve
1. Summary of items to cover in second Budget Review Meeting
2. Streets
3. Water/ Sewer sales and revenue
4. Sewer/ Waste Water Treatment
5. Water system
6. Stormwater
7. Sanitation
• 8. Additional issues- follow-ups from first meeting
9. Decisions on items to add/ delete (if time available)
10. Set next meeting (if needed)
11. Adjourn
•
•
• MINUTES OF THE BUDGET WORKSHOP HELD IN COMMISSION CHAMBERS, 800
SEMINOLE ROAD, ON MONDAY, AUGUST 21, 2000
Commissioners Present: John Meserve, Mayor
Rick Beaver(7:15 p.m.)
Mike Borno
Theo Mitchelson
Dezmond Waters(5:20 p.m.)
Staff Present: Jim Hanson, City Manager
Nelson VanLiere, Finance Director
Bob Kosoy, Public Works Director
Donna Kaluzniak, Asst. Public Works Dir.
Maureen King, City Clerk
The meeting,which was held for the purpose of reviewing the proposed budget for FY 2000/2001,
was called to order by Mayor Meserve.
The City Manager said that since budgets for the other departments were reviewed at the meeting of
August 7,the budget for the Public Works Department would be presented to the City Commission
this evening.
• Streets
Using a slide presentation Bob Kosoy illustrated the streets which are scheduled to be paved,
repaved, or resurfaced. He estimated street maintenance at a cost of$1.7 million over the next five
years, which he said would be paid for using gas tax funds. He indicated that increased funding
would be needed to maintain landscaping in Town Center and Atlantic Boulevard medians, and
recommended two additional maintenance workers at a cost of$45,000.00.
Water/Sewer sales and revenue
Using graphs the City Manager illustrated utilities sales and revenues from 1998 and projected sales
and revenues through 2001. He said the city would continue to track usage and revenues very closely
in the future. He pointed out that rates had not been increased in almost four years, and based on
anticipated expenditures,he suggested that a rate increase would be necessary since revenues over
operating costs were decreasing and sufficient revenues would not be available for capital
improvements. He recommended that $1 million be available each year for capital improvements.
Current revenues over operating costs are about$300,000 and a 14%increase in revenues would be
needed to generate an additional$600,000. The City Manager reviewed various options which he
felt the City Commission could consider to raise the additional revenue needed.
Discussion ensued regarding the rate structure and the City Manager pointed out that Atlantic Beach
includes the first 3,000 gallons of water in the base charge while other municipalities do not include
any consumption in the base charge. It was agreed that the City Manager should look into this matter
• and bring his recommendations back to the City Commission for their consideration.
•
• Page Two
Minutes- Budget Workshop
August 21, 2000
Sewer/Wastewater Treatment
Donna Kaluzniak gave an overview of sewer projects completed and ongoing. She reported that
Smith&Gillespie would be making a status report to the City Commission on Monday August 28,
2000,regarding the sewer master plan. Ms.Kaluzniak reported the master plan recommended sewer
projects totaling $11 million over the next ten years. Some of the recommended projects included
a master pump station and wet well, increased capacity at lift station H near the new Best Western
Hotel, upgrading the lift station in Oak Harbor, and abandoning the lift station on Shangrila Drive.
Water System
Donna Kaluzniak gave an overview of improvements to the water system during the last year and
reported that a water master plan was included in the budget along with improvements to the Church
Road water line. The City Manager indicated that he would like to start the water master plan very
soon so that priorities in the water department could be established. He hoped the water master plan
would be completed faster than the sewer master plan and he would like to bring recommendations
back to the City Commission late in the next fiscal year.
Stormwater
• Bob Kosoy summarized stormwater projects completed this fiscal year. He said improvements were
needed in the Royal Palms area and it was hoped to complete the area north of Plaza in the coming
year. Stormwater improvements in the balance of the Royal Palms area would be undertaken over
the next four years.
Discussion ensued regarding the rates charged for stormwater management and it was felt that
citizens did not really regard this as a utility and it was the consensus of the City Commission that the
rates for stormwater management be left as is. The City Manager reported that,with the exception
of the Core City area, the Royal Palms area was the only remaining area to be completed in
accordance with the recommendations in the 1995 stormwater master plan.
Equipment
Bob Kosoy summarized some of the pieces of equipment which were included in the proposed
budget,including a walking excavator and a jet vac truck to clean stormwater pipes and baffle boxes.
The City Manager then reviewed a revenue analysis chart.
Sanitation
The City Manager reported the current sanitation contractors had indicated that they would raise their
rates at the end of the contract period and the increase could be as much as 30%. He recommended
the city go out to bid for sanitation services and he indicated that it may be necessary to raise
sanitation rates;however, he would not know until the bids were received. Another option would
be to discontinue transferring funds from the sanitation fund to the general fund. He also reported
• the city had been having trouble with tree trimmers leaving the trash for the city to pick up and felt
that additional enforcement was needed in that area.
•
• Page Three
Minutes- Budget Workshop
August 21, 2000
Additional Issues - follow up from first workshop:
Recreation:
The City Manager reported that based on Commissioners' comments regarding the level of
maintenance, he and the Recreation Director had discussed the matter since the previous budget
workshop and the Recreation Department had submitted an amended budget request and were
proposing to add additional personnel. Currently the Recreation Department has 2 V2 people in the
maintenance department and the City Manager felt it would be necessary to double the maintenance
personnel in order to provide the level of service the City Commission had requested. This would
include a foreman of maintenance crews, and a gardener who would work with the various citizen
groups working on beach access beautification and also to act as liaison with the Beautification
Committee. The City Manager estimated an additional $161,061 was needed to fund this level of
service for beautification and maintenance.
Commissioner Beaver felt it was important to develop a scope of work for parks maintenance
personnel,and he felt it was also important that parks personnel not be pulled off the job to help out
• in other areas.
DeJean Melancon, Chairman of the Recreation AdvisoryBoard requested that funds be budgeted
to develop soccer practice fields at Atlantic Beach Elementary School and also to purchase property
west of Mayport Road to be developed as athletic field(s). Tony Downey, First Coast Soccer
Association,reported that the association now had 1600 children participating in their programs. He
urged the City Commission to work with Atlantic Beach Elementary School to develop fields at the
school,and pointed out that the installation of lights would expand the program considerably, in the
winter months.
The City Manager then reviewed a Schedule of Changes to the Proposed Budget which were either
late additions to the budget or changes resulting from discussions at the previous budget workshop.
The City Manager made special reference to the Health Care Subsidy item and explained that the
rates for family health care coverage would increase substantially, and the $33,000 listed in the
Schedule of Changes,was for the increase in premiums only,and was provided for information if the
City Commission wished to pay all or part of this increase. The Mayor then called a brief recess(8:00
p.m. - 8:10 p.m.) following which the City Commission examined the schedule of changes in detail
and made modifications where necessary. A copy of the Schedule of Changes, with amendments
noted, is attached hereto and made a part of this official record as Exhibit A.
Discussion then ensued regarding the necessity for a utility rate increase and several options were
discussed. It was pointed out that Atlantic Beach included 3,000 gallons in the base rate while the
other beach cities did not. Following brief discussion, it was suggested that the City Manager and
• Finance Director get together and come up with options for utility rate increases,possibly something
which could be implemented over a number of years, for consideration by the City Commission.
• Page Four
Minutes- Budget Workshop
August 21, 2000
In other business, the Mayor reported that Councilman Mitch Kinsey of Jacksonville Beach had
worked out an arrangement to develop an athletic field at Beaches Baptist Hospital and had requested
that Atlantic Beach and Neptune Beach each contribute$1,000 in a joint cooperative venture to instal
lighting.
There being no further discussion, the Mayor declared the meeting adjourned at 9:00 p.m.
Maureen King
City Clerk
III
III
Exhibit A
Minutes - 8/21/2000
City of Atlantic Beach
Budget Workshop August 21, 2000
• Schedule of Changes to Proposed Budget
For
Discussion To Include
General Fund
Revenues
Ad valorem tax revenue 18,586
Neptune Beach Contribution for Town Center Maintenance 23,500
Expenses
Streets Division
Increase in Town Center Maintenance ( Total Cost $47,000) 37,000
Increase in Atlantic Blvd Maintenance 31,000
Parks and Recreation
Renovation of Bathroom / Maintenance Shed in Russell Park 18,000
Jordan Park Center Construction 90,000
• Adele Grage Design and Construction 100,ppp
Additional Maintenance Worker with equipment 161,000
Recreation Board Request
Programs and Events 25,000
Elementary School Field 19,000
ABAA Association 6,750
Property Purchase -26060& IOU, 000
Beautification Budget 15,000
Building Maintenance
Painter Helper 26,800
Sewer Utility Fund
Expenses
Effluent Outfall Repairs 45000
•her City Wide Changes
Worker's Compensation Insurance 6,816
Health Care subsidy 33,000