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07-18-18 Minutes Budget WorkshopPLEDGE OF ALLEGIENCE ATTENDANCE: MINUTES Budget Workshop Meeting Wednesday, July 18, 2018 - 5:30 PM Commission Chamber Present: Ellen Glasser, Mayor - Seat 1 John Stinson, Commissioner - Seat 2 Blythe Waters, Mayor Pro Tem - Seat 3 (arrived at 6:30 PM) Candice Kelly, Commissioner - Seat 4 Brittany Norris, Commissioner - Seat 5 Also Present: Joe Gerrity, City Manager (CM) Kevin Hogencamp, Deputry City Manager (DCM) Russell Caffey, Finance Director (FD) Donna Bartle, City Clerk (CC) 1. CALL TO ORDER Mayor Glasser called the meeting to order at 5:30 PM.. She referred to CM Gerrity for the Budget Presentation. 2. FY 2018-19 BUDGET WORKSHOP #1 PRESENTATION CM Gerrity addressed a question that was asked him at the last Commission Meeting regarding stormwater debt. He explained the stormwater debt is bundled with the City's utility debt. The balance on the stormwater portion is $1,368,000, and the final payment is due October 1, 2025. CM Gerrity stated citizens have asked him about installing a roundabout at the five -point stops. He is bringing this to the attention of the Commission for consideration. CM Gerrity referred to FD Russell Caffey for the budget presentation. a. FY 2017-18 Review Mr. Caffey explained the tools to be referenced in his presentation, which include a handout (book) as well as a PowerPoint presentation. The areas being reviewed are: • General Fund • Building Department • Special Revenue Funds (3) Budget Workshop July 18, 2018 Page 1 of 8 Current and Fiscal Year in Review Commission: • Established priorities. • Purchased Selva Preserve. • Improved grant writing results. • Improved employee appreciation events. Building Department: • New flood insurance maps adopted. • Year-to-date construction is $46 million versus $38.5 million from last year. • Of the 180 new homes being built at Atlantic Beach Country Club, 160 are either under construction or are completed. Recreation Department: • Coordinating new signature annual event (Atlantic Beach Jazz Festival in September). • Streamlined nonprofit contribution program to improve accountability. • Administering Florida Division of Culture Affairs Grant for repairs and renovations at Adele Grage Cultural Center. City Clerk Office: • Implemented agenda management software. • Performed administrative duties for and attended 55 public meetings through July, 2018. • Scanned 62,000 pages of documents and shredded 157.5 cubic feet of records that met retention requirements. Finance Department: • Administered the FEMA reimbursement program for Hurricane Matthew and Irma. • Implementation of new software (anticipate savings of more than $100,000 annually in General and Enterprise funds). Human Resources: • Implemented employee wellness program. • Added customer service workplace and harassment training for all employees. Information Technology (IT): • Updated website. • Implemented Alert Atlantic Beach (network replacing the Code Red system). • Installed Next Generation firewalls. Budget Workshop July 18, 2018 Page 2 of 8 Planning and Community Development: • Hired Shane Corbin as Community Development Director. • Employee received AICP (American Institute of Certified Planners) certification. • Mayport Business Overlay. • Medical Marijuana Ordinance. • Automotive Services Ordinance. • Public Rights of Way Ordinance. • Notice Requirement changes. • Initiated the Mayport Road Visioning Program. • Working on Parks and Marsh Master Plan and Land Development Code updates. • Received certification as a Tree City. Police Department: • Progress toward accreditation. • Implemented a successful volunteer program. • Trained 300 citizens for an Active Shooter Preparation exercise. • Re -wrote the All Hazards Plan. • Made computer-aided dispatch upgrades. • Implemented enhanced community outreach initiatives. • Enriched partnerships with Jacksonville Sheriffs Office (JSO). Utilities: • 66 water service replacements. • Complete installation of Wastewater Treatment Plant phosphorous treatment facility. • Oak Harbor sewer lines being rehabilitated. Public Works: • 55,000 cubic yards of debris picked up after Hurricane Irma. • Initiated the Stormwater Master Plan Study. • Building a new beach walkover (construction to begin in October). • Rehabilitation of Jordan Park for American Disabilities Act (ADA) compliance. • Improvements at Donner Park. • New walkway and ropes to Veterans Park. • Added sidewalks to Triton, Cutlass, and Sabalo. • Installed a curb, gutter and pavement on Magnolia and Poinsetta Streets. • Renovated the Lifeguard building. b. General Fund FY Millage Rates, and Millage breakdown FD Caffey started his presentation with a reconciliation of the General Fund Reserve. Expenditures are projected to be $451,000 less than budgeted. Therefore, there will be $353,000 added to the cash balance at the end of this current fiscal year. The Reserve Budget Workshop July 18, 2018 Page 3 of 8 is $3.176 million with an excess Reserve of $3.4 million. The actual Reserve will be 48% at the end of the year. Mayor Glasser reminded the Commissioners of a past Workshop meeting discussion about use of Reserve funds. She reiterated that she would like more discussion now that an official percentage figure has been reported by Finance. Mr. Caffey presented a summary comparison of last year's budget and the proposed budget. He stated the City is $15,555 to the positive now and this will be readjusted when other revenue line items are added. He reviewed the projected millage rate and property taxes. Mr. Caffey reviewed highlights from the General Fund as follows: • Raises calculated at 3% for General Employees and 6% for sworn Police personnel. • Implementing employee compensation study. • Health care increase budgeted at 10% (no final numbers available until September). • Workers comp increase budgeted at 25% over current year. • Police increased personnel by two part-time officers. • Recreation increased personnel by one part-time employee. • City Hall receptionist position repurposed as a park ranger. • Year 1 of land development regulations update. • New beach walkover. • Purchase of pedestrian safety signage and message board. • LEED for Cities certification. • Increased emphasis on professional development organization -wide. Mayor Glasser expressed concern about adding only one part-time employee for the Recreation Department. She would like to see two part-time employees, mainly to cover supervision issues at Jordan Center. CM Gerrity explained the part-time position is allocated 20 -hours per week for 52 weeks. It is up to the Recreation Director to manage the scheduling. Department Overviews Government Body FY 2018-19 budget increased $803 • 1% CPI increase in Mayor/Commissioner salaries. Administration (City Manager, Human Resources, Finance, Legal) FY 2018-19 budget increased $34,541 • Customer Service Specialist position repurposed to Park Ranger. • Professional development increase. Budget Workshop July 18, 2018 Page 4 of 8 • Legal budget decreased by $80,000. Planning & Community Development FY 2018-19 budget increased $50,723 • Professional development increase. • Funded account for condemned property maintenance. Public Safety FY 2018-19 budget increased $226,014 • Two new part-time Police officers. • 6% salary increase for sworn personnel. • Four new vehicles. • Miscellaneous new equipment. • Professional development increase. Parks & Recreation FY 2018-19 budget decreased $32,941 • Park Ranger added. • Part-time Community Center employee added. • Increased professional development. Public Works (General Fund) FY 2018-19 budget decreased $222,123 • Miscellaneous new vehicles/equipment. • Increased professional development. Mr. Caffey presented a list of requests for Capital Fund items: • Virtual server. • Replacement cameras. • Laptops for Police Department • Six (6) Lifeguard towers. • A lawnmower. • Dual axel trailers. C. Enterprise Funds i. Building Department ii. Public Works/Utilities to be presented August 6, 2018 Building Department The Building Department's projected year-end cash balance is 110% of its FY19 operating budget. • The Building Department increased personnel by one permit technician (temporary). • Equipment purchases budgetd for a plotter and a drone. The department will be carrying forward of $100,000 this year. The revenue was Budget Workshop July 18, 2018 Page 5 of 8 overshot last year by approximately $40,000 and the expenditure budget was underspent by over $100,000. CM Gerrity explained the Building Department is set up as proprietaty funding' and does not receive money from the General Fund. The amount of money that is accumulated is put into a reserve that cannot be used by the General Fund. The Building Department is self-funded and the reserve is used when there is a building market slow down. The estimated revenue this year is $586,000 and the expenses are estimated at $618,000. This includes some capital items and a $15,000 transfer to the General Fund for the new software system. The remaining Enterprise Funds will be presented at the second workshop on August 6, 2018. d. Special Revenue Funds Half -Cent Discretionary Sales Tax Fund (the Better Jacksonville Fund). This fund has a projected beginning balance of $500,000 and the revenue is estimated at approximately $1 million. These funds will be used for Transportation/Drainage, Environment/Quality of life, Targeted Economic Developments, and Public Facilites as follows: • Crosswalk lights. • PWD work truck, Ford F150. • Russell Park Improvements. • Basketball court resurfacing. • Howell Park bridge replacement. • Donner Tennis/Pickleball court re-hab. Discussion ensued regarding the re-hab of the pickleball courts. Local Option Gas Tax Fund This will fund Capital outlay and maintenance for local roads and drainage systems, with a projected beginning balance of $15,515 and the estimated revenue is $483,288, to be used as follows: • Ford F150 work truck. • Street resurfacing. PWD Scott Williams distributed a list of streets to be resurfaced. Discussion ensued regarding street resurfacing, timelines and bids. Convention Development Tax Fund The City of Atlantic Beach, through Resolution 91-5, authorizes use of these funds to acquire and develop municipal parks, lifeguard stations, and/or athletic fields. Contributions to promote tourism in the beaches communities is also an approved use of these funds. Budget Workshop July 18, 2018 Page 6 of 8 This fund has a projected beginning balance of $260,629 and the estimated revenue is $138.366, and used as follows. • Selva Preserve. • Beach walkover. Discussion ensued regarding Selva Preserve payments. D. Unfunded Requests Unfunded Department Requests: • Equipment for second Police dispatch station. • Lift for tree trimming. • Siding and fencing for parks. • Cargo van for building maintenance. • Rubber tire backhoe. • Ford dump truck. • Additional Russel Park improvements. • Additional Howell Park improvements. Discussion ensued regarding tree -trimming equipment, additional park improvements and bathroom makeovers. Mayor/Commissioner Requests Capital Improvements • Adele Grage marquee. • Bicycle pump track. • Bike paths. • Donner Road improvements. • Gateway signage. • Howell Park gazebo. • Jordan Park fence replacement. • Lightening prediction system. • Mayport Road `Complete Streets'. • Panic buttons at Adele Grage. • Sidewalks at Jackson and Ardella. • Town Center parking lot purchase. • Gaps in baseball fencing — Russell Park. • Guardrail extension — Seminole Road North. • Lift station aesthetic improvements. Discussion ensued regarding bike paths, Donner Road improvement costs, sidewalks, fencing versus landscaping, funding sources, adding Main Street improvements to the list, installing cameras in public areas, the cost of lightening prediction systems, and types of panic button systems available. Mayor/Commissioner Requests — Initiatives Budget Workshop July 18, 2018 Page 7 of 8 • Branding/beautification/signage. • Hire a COAB Lobbyist. • Pay -for -performance compensation strategy. • Recycling funds for green initiatives. Discussion ensued regarding hiring a branding agency and the timeline involved, education on recycling, hiring a lobbyist, the stormwater project, the paid parking initiative, re -defining parking, building facilities for outdoor events, lump sum contribution to pensions, staff compensation, and Complete Street study. 2 COURTESY OF THE FLOOR Mayor Glasser opened the Courtesy of the Floor. No one wished to speak. DISCUSSION FD Caffey stated Utility Funds and Proposals will be on the next Budget Workshop meeting agenda. 2. ADJOURNMENT There was no further discussion and Mayor Glasser adjourned the meeting at 8:10 PM. Attest: vlz-;t� a'5V&z Donna L. Bartle, City Clerk DLB/pn �&- 6("-, len Glasser, Mayor Budget Workshop July 18, 2018 Page 8 of 8