MAYOR AND CITY COUNCIL Thursday September 8, 2011
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- Alyson Holland
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1 CITY OF MOUNT DORA, FLORIDA Budget Hearing MAYOR AND CITY COUNCIL Thursday September 8, 2011 M I N U T E S City Hall Board Room Having been duly advertised as required by law, Mayor Melissa DeMarco called the September 8, 2011 City Council Budget Workshop to order at 6:30 p.m. PRESENT: Mayor Melissa DeMarco, Vice-Mayor Bob Thielhelm, Council Members Jim Yatsuk, Denny Wood, Vasco Watters, Tom Eppich and Janet Coffman; City Manager Michael Quinn and City Clerk Gwen Keough-Johns ALSO PRESENT: Finance Director Jim Williams; Budget/Utility Analyst Bob Brekelbaum, Police Chief Randy Scoggins; Deputy Police Chief Ron Rauth; Public Works Director Gary Hammond; Fire Chief Skip Kerkhof; Parks & Recreation Director Roy Hughes, Human Resources Director Ken Bloom; Library Director Stephanie Haimes PUBLIC HEARING ON FY TENTATIVE MILLAGE RATE AND BUDGET Review of Changes Incorporated in the Tentative Budget Michael Quinn, City Manager, gave a summary of the tentative budgets and explained the proposed changes. The current proposal is estimated at a maximum millage rate of This proposal includes components dedicated to current operations at the same level of tax revenue as the existing budget, roll back rate of The roll back rate absorbs approximately $266,300 loss in property tax receipts as property values have declined in Lake County. The proposed budget includes personnel reductions and other operational cuts. The projected millage rate of includes an expanded component of.2709 mills to help fund additional capital projects for infrastructure maintenance and projects that may result from the community visioning process. Mr. Quinn said debt has been reduced by approximately $7 million over the last five years. The budget is balanced without use of reserves from the general fund for operating purposes. A 3% increase is proposed for water and wastewater rates although no increase is projected for electric rates. There is a contractual increase for Waste Management which will impact sanitation rates. Overall, the City of Mount Dora has been responsible in preparing a budget proposal for City Council and the community. Some measures taken include staff reductions, contracted and privatized services, reduction in the vehicle fleet, reduced debt obligations, new revenue resources, transfer of shared services with other providers, leveraged projects with grants, taken
2 the lead in regionalizing fire services, taken the innovative approach to reducing healthcare costs by opening a wellness center for employees and the City has seen a reduction in millage rate twice in the last five years while holding the millage steady the other three years. It is the mission of the City to maintain the best municipal services possible for the community. Mr. Quinn said the decision is whether the City will continue the current trend of reducing resources and reducing management or making investments into the future in order to maintain current service levels. The degree of difficulty will depend on small steps made along the way. The needs of the community must be balanced with the vision for the future. Jim Williams, Finance Director, reviewed detailed changes since the proposed budget. Approximately $285,000 was moved from various salary and benefit accounts to contingency accounts to allow for decision making with regard to union negotiations. An addition of $1900 was put into the Parks & Recreation Fund for the Trails Study. Water and Wastewater includes the addition of $100,000 for the CUP. The Building Fund includes an addition of $22,400 for unemployment regarding two individuals being laid off. The health insurance fund was reduced by $15,850 based on revised estimate of reinsurance costs. Discussion concerning the adoption of a tentative millage rate of mills, which is more than the roll-back rate of mills Council Member Thielhelm Eliminate the $195,000 set aside for infrastructure repairs Transfer present Code Enforcement Officer to vacant Police Officer position Seriously consider elimination of Animal Control Officer With recommended reductions including the oil and gas reduction, college reimbursement, reducing operating contingency as well as eliminating rail subsidy from budget, Mr. Thielhelm comes up with a millage rate of approximately 5.14%. Council Member Yatsuk Mr. Yatsuk asked if the 5.5 mills maintains the fund for infrastructure repairs. Mr. Quinn said yes in the amount of $195,000. Mr. Yatsuk said it is important to begin investing funds for maintenance of infrastructure. No problem with transferring the present Code Enforcement Officer to vacant Police Officer position Retain Animal Control City Council Public Budget Hearing September 8, 2011 Page 2 of 10
3 Council Member Coffman No problem with transferring Code Enforcement Officer to vacant Police Officer position. Retain Animal Control Eliminate rail analysis funding Would like to see the $195,000 for capital infrastructure maintained Ms. Coffman asked for additional detail on the $75,000 contingency. Mr. Quinn said that fund is for unknown expenses or emergencies. He recommends keeping the contingency intact but said it could be reduced if necessary. Ms. Coffman supports retaining the $75,000 contingency. Ms. Coffman supports the rollback of mills. Council Member Wood Agrees with the transfer of Code Enforcement Officer to Police Officer position Supports gas budget reduction Thinks capital improvement projects should be postponed. He said the City pays 4.73 mills to Lake County and asked what the City receives for that payment. Eliminate Animal Control Mr. Wood would support millage rate of mills. Council Member Watters Infrastructure needs to be repaired Keep Animal Control Eliminate Rail Analysis funding Supports gas reduction Supports change in Code Enforcement Supports 5.5 mills City Council Public Budget Hearing September 8, 2011 Page 3 of 10
4 Council Member Eppich Supports 5.14 mills Mayor DeMarco Mayor DeMarco said the City needs to look at what is received from Lake County for the 4.73 mills paid to them and whether there are duplicative services. Keep Animal Control No problem looking at 5.45 to 5.5 mills. Infrastructure issues are serious, here now and need to be repaired. Mayor DeMarco has heard that while citizens are not opposed to a small increase in millage, they do not want to see additional staffing and/or benefits. Hear public comments regarding the Tentative Millage Rate Ms. Jean Karr, 1981 Park Forest Drive, requested City Council be conservative in spending. She supports elimination of the animal control officer. Mr. Jim Irwin, 1812 Overlook Drive, spoke in support of a millage increase. He is extremely pleased with Mount Dora as a place to live. He suggested millage be increased in small increments. Mr. Joe Gillespie, 2022 Sunset Road, said he enjoys the lifestyle and benefits offered by Mount Dora and he is more than willing to pay for the amenities. A budget increase to 5.66 mills does not seem excessive to Mr. Gillespie. Mr. Bob Herndon, 1545 Heim Road, commented about basing future fuel costs on the cost current cost of fuel. Mr. Mason Allen, 1380 Lakeshore Drive, requested additional information on salary and benefits. He said compensation planning for the future should be a standard operating procedure. Mr. Williams, Finance Director, will call Mr. Allen to answer his questions. Mr. Quinn stated the information requested will be provided to Mr. Allen. He said part of the increase is not because of an increase to benefits for employees. Mr. Quinn explained with the recession, investment returns have decreased and therefore some general funds have been used for those costs. Fortunately, City staff has made some changes in an effort to reduce future liability. Mr. Gilbert Kepler, 8006 Arcadian Court, asked if City Council has considered eliminating the expense of the swimming pool. Mr. Quinn said the current proposal is for the swimming pool to City Council Public Budget Hearing September 8, 2011 Page 4 of 10
5 remain open for summer programming. Mr. Kepler asked how much money is being spent to maintain the swimming pool. Mayor DeMarco noted the group of citizens who raise funds to help offset expenses associated with the swimming pool. Mr. Quinn said the Tentative Budget shows total expenditure of the aquatic program at $74,600 including all allocations and expenses. The expense is offset modestly by $7,000 per year in revenue. Mayor DeMarco reiterated that there were extensive discussions about the swimming pool two years ago during the budget process. Ms. Lynn Tacher, 8031 St James Way, asked about the cost associated with Envision Mount Dora. Mayor DeMarco said the expense is around $129,000 but funding was provided through impact fees and could only be used for a public education purpose. Ms. Cynthia Blevins, Animal Control Officer, explained differences in having a local animal control officer versus using Lake County for animal control services. Mr. Quinn has made contact with Darren Gray, County Manager, and Lake County has seven animal control officers, each assigned to a district or sector. There is an officer assigned to east Lake County and Mount Dora would be added to that officer. Mr. Quinn said that Mr. Gray has asked if the City of Mount Dora does eliminate animal control, it would be his preference that the lay-off be delayed until at least January so Lake County could work out details with their staff. Mr. Mason Allen questioned staff about debt. Mr. Quinn said the City has a policy to pay as we go. The City has funded capital improvements with cash rather than borrowing funds. Many of the projects listed in the long-term plan are listed in case the City Council decides to move forward toward completion of those projects. Mayor DeMarco asked if the City would be required to have a five year capital plan since DEA has made changes. Mr. Reggentin said the requirement for a five year capital improvement plan will remain. Mr. Ed Rowlett, 1605 Overlook Drive, asked when the visioning projects will be approved. Mayor DeMarco said the final report has not been presented to City Council. Ms. Linda Kepler, 8006 Arcadian Court, encouraged assistance for existing businesses. Mr. Yatsuk, Mr. Watters, Ms. Coffman and Mayor DeMarco are not willing to eliminate animal control. Therefore by majority consensus the City Council direction is not to eliminate animal control. The majority consensus of City Council was to eliminate the second code enforcement position. Mayor DeMarco asked how much of the contingency fund from the fiscal year budget was spent. Mr. Williams said little or none and it was $15,000 last year. City Council Public Budget Hearing September 8, 2011 Page 5 of 10
6 The majority consensus of City Council was to reduce the contingency fund by $50,000. Mr. Thielhelm said the gas and oil reductions, education reimbursement and other reductions recommended by Mr. Quinn will essentially get the budget into a position to support the roll back rate of Mr. Wood would like the City to consider an Economic Development Director. The majority consensus of City Council was the roll back millage rate of Jim Williams, Finance Director, announced that the Tentative Operating Millage Rate proposed is mills, which is the same as the roll back rate of mills. Mr. Williams read Resolution pertaining to the adoption of the City s Tentative Millage Rate. RESOLUTION NO A RESOLUTION OF THE CITY OF MOUNT DORA, FLORIDA, PROVIDING FOR ADOPTING THE LEVYING OF TENTATIVE AD VALOREM TAXES FOR THE FISCAL YEAR ; PROVIDING FOR ADOPTION OF A MILLAGE RATE; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City of Mount Dora held two Budget Workshops to review the Proposed Budget; and WHEREAS, the City of Mount Dora held the first public hearing as required by Fla. Stat ; and WHEREAS, the City of Mount Dora has determined the Tentative Millage rate necessary to fund the Fiscal Year Tentative Budget. NOW, THEREFORE, BE IT RESOLVED by the City Council of Mount Dora, that: SECTION 1. The Fiscal Year tentative operating millage rate is mills, which is more than the rolled-back rate of mills by 5.03%. SECTION 2. This resolution shall take effect immediately upon passage and adoption by the City Council. DONE AND RESOLVED this 8th day of September, 2011, at the First Budget Public Hearing meeting of the City of Mount Dora. Mr. Wood moved to approve Resolution pertaining to the adoption of the City s Tentative Millage Rate. Ms. Coffman seconded the motion. The motion was approved by roll call vote. City Council Public Budget Hearing September 8, 2011 Page 6 of 10
7 Mr. Thielhelm No Mr. Wood Yes Mr. Watters No Mr. Yatsuk Yes Ms. Coffman Yes Mayor DeMarco Yes Mr. Eppich No Hear Public Comments regarding the Fiscal Year Tentative Budget for the City, the CRA and the NECRA Mayor DeMarco entertained public input. There was none. Approval of Resolution pertaining to the Adoption of the City s Tentative Budget Mr. Williams read Resolution pertaining to the adoption of the City s tentative budget. RESOLUTION NO A RESOLUTION OF THE CITY OF MOUNT DORA, FLORIDA, PROVIDING FOR ADOPTION OF A TENTATIVE BUDGET FOR THE FISCAL YEAR ; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City of Mount Dora held two Budget Workshops to review the Proposed Budget; and held a public hearing as required by Florida Statute ; and WHEREAS, the City of Mount Dora has determined that the Tentative Budget for all funds except the pension funds for the City of Mount Dora attached hereto estimates that revenues and other sources totals $43,627,450, appropriations, and other uses totals $44,124,850. NOW, THEREFORE, BE IT RESOLVED by the City Council of Mount Dora, that: SECTION 1. The Tentative Budget for City of Mount Dora attached hereto as Exhibit A is hereby adopted. SECTION 2. by the City Council. This resolution shall take effect immediately upon passage and adoption DONE AND RESOLVED this 8 th day of September, 2011, at the First Budget Public Hearing of the City of Mount Dora. Ms. Coffman moved to approve Resolution , providing for adoption of the City s Tentative Budget. Mr. Wood seconded the motion. The motion was approved by roll call vote. Mr. Watters No Mr. Yatsuk Yes Ms. Coffman Yes Mr. Thielhelm No Mr. Eppich No Mayor DeMarco Yes Mr. Wood Yes City Council Public Budget Hearing September 8, 2011 Page 7 of 10
8 Approval of Resolution pertaining to the adoption of the CRA s Tentative Budget Mr. Williams read Resolution pertaining to the adoption of the CRA s tentative budget. RESOLUTION NO A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF MOUNT DORA, FLORIDA, PROVIDING FOR ADOPTION OF THE TENTATIVE BUDGET FOR THE FISCAL YEAR ; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the Community Redevelopment Agency of the City of Mount Dora held two Budget Workshops to review the Proposed Budget, and held a public hearing as required by Florida Statute ; and WHEREAS, the Community Redevelopment Agency of the City of Mount Dora has determined that Tentative Budget for the agency attached hereto estimates that revenues and other sources totals $1,127,300 plus appropriations and other uses totals $1,224,500. NOW, THEREFORE, BE IT RESOLVED by the Community Redevelopment Agency of Mount Dora, that: SECTION 1. The Tentative Budget for the Community Redevelopment Agency attached hereto is hereby adopted. SECTION 2. This Resolution shall take effect immediately upon passage and adoption. DONE AND RESOLVED this 8 th day of September, 2011, at the First Budget Public Hearing of the City of Mount Dora Community Redevelopment Agency Mr. Thielhelm moved to approve Resolution pertaining to the adoption of the CRA s tentative budget. Ms. Coffman Yes Mr. Thielhelm Yes Mr. Eppich Yes Mr. Watters Yes Mr. Wood Yes Mayor DeMarco Yes Mr. Yatsuk Yes Approval of Resolution pertaining to the adoption of the NECRA s Tentative Budget Mr. Williams read Resolution pertaining to the adoption of the NECRA s tentative budget. City Council Public Budget Hearing September 8, 2011 Page 8 of 10
9 RESOLUTION NO A RESOLUTION OF THE NORTHEAST COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF MOUNT DORA, FLORIDA, PROVIDING FOR ADOPTION OF THE TENTATIVE BUDGET FOR THE FISCAL YEAR ; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the Northeast Community Redevelopment Agency of the City of Mount Dora held two Budget Workshops to review the Proposed Budget, and held a public hearing as required by Florida Statute ; and WHEREAS, the Northeast Community Redevelopment Agency of the City of Mount Dora has determined that Tentative Budget for the agency attached hereto estimates that revenues and other sources totals $368,450 plus appropriations and other uses totals $355,250. NOW, THEREFORE, BE IT RESOLVED by the Northeast Community Redevelopment Agency of Mount Dora, that: SECTION 1. The Tentative Budget for the Northeast Community Redevelopment Agency attached hereto is hereby adopted. SECTION 2. This Resolution shall take effect immediately upon passage and adoption. DONE AND RESOLVED this 8 th day of September, 2011, at the First Budget Public Hearing of the City of Mount Dora Northeast Community Redevelopment Agency Mr. Thielhelm moved to approve Resolution pertaining to the adoption of the NECRA s tentative budget. Mr. Wood seconded the motion. The motion was approved by roll call vote. Mr. Eppich Yes Mr. Watters Yes Mr. Wood Yes Ms. Coffman Yes Mr. Yatsuk Yes Mayor DeMarco Yes Mr. Thielhelm Yes Mayor DeMarco announced the date for the second public hearing will be Thursday, September 22, 2011 at 6:30 p.m. in the City Hall Board Room. OTHER BUSINESS Ms. Coffman encouraged public participation in the final visioning meeting scheduled for Wednesday, September 14, 2011 at 5:30 p.m. in the Community Building. Mayor DeMarco reminded everyone of the Police Memorial in memory of September 11, 2001 at 9:00 a.m. on Friday, September 9 at the Public Safety Complex. City Council Public Budget Hearing September 8, 2011 Page 9 of 10
10 ADJOURNMENT There being no further business for discussion, the meeting was adjourned at 8:10 p.m. Gwen Keough-Johns, City Clerk Melissa DeMarco, Mayor City Council Public Budget Hearing September 8, 2011 Page 10 of 10
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