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04/30/2012 CITY COUNCIL WORK SESSION MEETING MINUTES CITY OF CLEARWATER April 30, 2012 Present: Mayor George N. Cretekos, Vice Mayor Paul Gibson, Councilmember Bill Jonson, and Councilmember Jay E. Polglaze. Also Present: William B. Horne II - City Manager, Jill S. Silverboard - Assistant City Manager, Rod Irwin - Assistant City Manager, Pamela K. Akin - City Attorney, Rosemarie Call - City Clerk, and Nicole Sprague - Official Records and Legislative Services Coordinator. To provide continuity for research, items are in agenda order although not necessarily discussed in that order. Mayor George N. Cretekos called the meeting to order at 1:00 p.m. at City Hall. It was noted that Councilmember Doreen Hock-DiPolito was not present due to a personal health matter. 1. Presentations 1.1 City's Annual Financial Report for Fiscal Year 2011 The City's external auditors, Mayer Hoffman McCann P.C., will present the Comprehensive Annual Financial Report (CAFR) and the results of the City's audit for Fiscal Year 2011. Mayer Hoffman McCann P.C. representative Laura Kreuger reviewed the audit process and findings. No internal deficiencies or instances of non-compliance with federal and state single audits were found. In response to a comment, Finance Director Jay Ravins said the City is required to accrue for OPEB (Other Post Employment Benefits) and allowed to amortize over thirty years. The City does not fund the liability; the liability is reflected on the balance sheet as required by state law. Staff was directed to provide information regarding cost to pay OPEB liability upfront. 2. Human Resources Work Session 2012-04-30 1 2.1 Authorize renewal of the contract with Company Care for services including employee and pre-employment drug and alcohol testing, and pre-employment and annual employee physicals for a not to exceed amount of$50,000 per year and authorize the appropriate officials to execute same. (consent) Since 2010, the City has contracted with Lakeside Medical for services including employee and pre-employment drug and alcohol testing, and pre-employment and annual employee physicals. This request is for a renewal of the current agreement with no changes in provisions or rates. The anticipated cost for all services is not expected to exceed $50,000 annually and is within Human Resources' existing budget. In response to questions, Human Resources Manager Allen Del Prete said staff has considered conducting the random drug tests and physicals at the Employee Health Clinic in the future. Staff recommends maintaining the drug test component separate from the health center. 3. Information Technology 3.1 Award a contract to GSA Security Inc., Lutz, Florida, in the amount of$210,000 for the purchase and installation of Milestone Video Management and Monitoring System and cameras to support various city facilities, in accordance with Section 2.5640)(d), Code of Ordinances - Other Governmental Bid (contract with Pinellas County School Board contract 10-968-083); and approve a transfer from retained earnings of the Administrative Services Fund in the amount of $105,000. (consent) The City of Clearwater currently maintains over 230 video surveillance cameras at over 30 facilities. The maintenance of these cameras has created the need for a more comprehensive management platform and storage system. The proposed system (Milestone) will allow for the integration and management of the diverse security camera requirements across city facilities. The enterprise solution will integrate all video requirements on to one single platform and establish standards for future camera and storage purchases. The system server and a control console will be maintained within the Police Department Dispatch Office for access and use during emergency events and EOC (emergency operations center) activations. Annual maintenance for the system is approximately 18% of software cost and will be budgeted in the Information Technology budget and charged back to the using departments based upon camera counts. Work Session 2012-04-30 2 The Police Department will fund $80,000 for a prorated share of this system, which will include cameras at the Countryside Substation, as well as the Main Station. This $80,000 will be funded from project 181-99387, Federal Forfeiture- Justice. Of the remaining balance, $25,000 is planned with the renovation of the North Greenwood Recreation Center and will be funded from capital project 315- 93621, North Greenwood Recreation Center Renovations. The balance of $105,000 will be funded from unallocated retained earnings of the Administrative Services Fund. A mid-year budget amendment will establish capital project 315- 94873, Citywide Camera System, with the transfer of$105,000 from the Administrative Services Fund. In response to questions, Information Technology Director Dan Mayer said the cameras were accrued by different departments over time. Staff will be taking a comprehensive approach for future purchases via the budgeting process. The retained earnings are coming from the administrative services fund, which each department has paid. 4. Marine and Aviation 4.1 Approve the Conditional Assignment of Lease for room 8 in the Municipal Beach Marina from Bruce Littler, d/b/a Jolly Roger Coffee and Ice Cream, to Anthony Ferrandino, d/b/a Jolly Roger Coffee and Ice Cream and authorize the appropriate officials to execute same. (consent) Bruce Littler has advised he is retiring and selling the Jolly Roger business to his manager, Anthony (Tony) Ferrandino. The Jolly Roger lease was renewed on November 22, 2011 and will expire on September 30, 2014 or 2015 if the one-year renewal option is exercised. Mr. Littler requested having the transfer effective on May 1, 2012. The monthly rent for room 8 is $806.24 per month, plus tax. The tenant pays $24.68 per square foot for 392 square feet. The tenant also pays six (6) percent of yearly gross sales exceeding $350,000.00. A three (3) percent rate increase is added the beginning of each lease term October 1 st. Under the terms of the lease, the lessee is responsible for all improvements, maintenance, insurance, taxes and utilities for the rented space. Mr. Ferrandino will assume and agree to perform all covenants and obligations of the lease agreement for the remainder of the lease term. The City Attorney requested that the item be taken off the Consent Agenda; Vice Mayor Paul Gibson has a conflict. Work Session 2012-04-30 3 5. Parks and Recreation 5.1 Approve the Tenth Amendment between the Chi Chi Rodriguez Youth Foundation, Inc. (Foundation) and the City of Clearwater (City) for the operation of the Chi Chi Rodriguez Golf Course and Driving Range and authorize the appropriate officials to execute same. (consent) Beginning in 1985 the City and Foundation entered into an agreement to provide education and assistance to at risk youth in the community through the operation of a golf course and driving range located on McMullen Booth Road. The original agreement has been amended nine times for a variety of reasons. This Tenth Amendment is currently being recommended to continue the positive relationship between the City and the Foundation in accomplishing their mission to mentor at-risk schoolchildren through after-school and summer programs as well as providing an affordable golfing experience for the citizens of Clearwater and the Community. Since the last 2 amendments, the Foundation has invested over $490,000 to renovate the driving range on the east portion of the property and developed it into an attractive public family oriented sports complex that provides additional recreational opportunities to the public. Additionally, the Foundation averages over$300,000 annually from the proceeds of the golf course to offset expenses for the Foundations cooperative school and other at risk programs. Section 2 of the Eighth and Section 3 of the Ninth Amendments have a provision whereby the Foundation will begin paying 3% of their gross income to the City beginning in November 13, 2010 and extending until the end of the agreement November 12, 2025. This amount is approximately $46,000 per year or $690,000 over the life of the agreement. Staff is recommending that provisions of Section 2 of the Eighth Amendment and Section 3 of the Ninth Amendment be deleted and that any rent accrued since the provisions became applicable shall be waived. This will allow the Foundation to more successfully accomplish their mission as well as provide for improved facilities for public use. In response to questions, Parks and Recreation Director Kevin Dunbar said the organization operates a school in conjunction with Pinellas County for at risk youth, an after-school program in conjunction with the Boys Girls Club, and a First Tee program. Profits from the golf course are reinvested into the school. 5.2 Approve an Exclusive Non-Alcoholic Beverage Agreement with Coca-Cola Work Session 2012-04-30 4 Refreshments USA, Inc., in accordance with Request for Proposals 28-11, to provide full service beverage vending machines and products within city facilities, approve a Termination, Release and Indemnity Agreement, terminating the current Exclusive Non-Alcoholic Beverage Agreement with Coca-Cola Enterprises, Inc. and authorize the appropriate officials to execute same. consent In 2001, the City entered into a beverage agreement with Coca-Cola Enterprises for a term of ten (10) years. The 2001 agreement provided for a carryover of the term should circumstances require, in order to reconcile revenues earned to revenues paid under the agreement. The parties have now reconciled commissions due under the existing agreement, and Coca-Cola will continue service until the City enters into the new agreement under Request for Proposal (RFP) 28-11. On September 9, 2011, the City issued an RFP for an exclusive non-alcoholic beverage vendor for a five-year period to begin June 1, 2012 and ending May 31, 2017. The City solicited a vendor to provide full-service vending machines at 46 locations, a price schedule for discounted products to be sold to the City and its Concessionaires for consumption or resale, and a licensing payment provided by the vendor for exclusivity. The City received two proposals: Pepsi Beverages Company and Coca-Cola Refreshments USA, Inc. The applicants were reviewed by a Selection Committee comprised of the following: Kevin Dunbar, Parks and Recreation Department Director Felicia Leonard, Administrative Support Manager, Parks and Recreation Department Robin Gomez, City Auditor Kayleen Kastel, Senior Accountant, Office of Management and Budget Brian Craig, Recreation Program Coordinator, Parks and Recreation Department Monica Mitchell, Assistant Finance Director, Finance Department Laura Mahony, Assistant City Attorney, Legal Department The proposals were evaluated based on successful experience, longevity of provision of services, a price schedule for discounted products, a proposed Licensing Payment, and proven financial stability. Based on the evaluations, the Selection Committee recommends Coca-Cola Refreshments USA, Inc. Coca-Cola Refreshments USA will provide service vending machines, a discounted price schedule for City and Concessionaire purchases and a Licensing Payment of $162,500 to be paid in 5 annual payments of$32,500. Staff was directed to provide information regarding the cost to provide electricity to the vending machine. Work Session 2012-04-30 5 6. Police 6.1 Approve submission of Department of Justice, Bureau of Justice Assistance (DOJ/BJA) Edward Byrne Memorial Justice Assistance Grant application in the amount of$60,658 and an additional .75 Full Time Equivalent Position. (consent) On April 5, 2012, Clearwater Police Department (CPD) was granted approval by the City's Resource Management Committee to utilize a $60,658 allocation under the federal Justice Assistance Grant (JAG) program to continue its successful Report Review Team Program. The Program was launched last year with funding from the department's 2011 JAG grant. The Report Review Team (RRT) Program was created as a means to increase supervisor efficiency within the police department. The RRT Program removes the burden of report review from first line supervisors. Implementation of the RRT Program has resulted in efficiencies for our field supervisors by allowing them to focus on evaluation and supervision of field personnel, employee coaching, community problem solving, and reaching other department goals. The smaller review team has also allowed for greater accountability and consistency in the final work product. The current RRT Program consists of three part-time, non- sworn employees and operates under the supervisory umbrella of the Crime Analysis Unit. The team reviews, approves, and disseminates all police reports generated within the Patrol Division and by Police Service Technicians to ensure that the reports meet the minimum standards set forth by the department. Additionally, the team is responsible for the tracking of reports to ensure a timely review and to provide feedback to patrol supervisors if corrective action is necessary. The RRT Program currently consists of three grant-funded, part-time employees who supplement an existing part-time position within the Crime Analysis Unit. The three grant funded employees were funded by the 2011 JAG grant. The 2012 JAG grant will fund the salary and benefits of 1.43 full-time equivalent (FTE) report reviewer positions. This is based on a maximum of 90 hours per week to be shared among three employees for a total of 2,967 hours annually. Based on the Pay Plan and using an hourly wage of$18.9949, salary costs are estimated at $56,358, with benefit costs for social security at $4,311. The total estimated cost is $60,669, which is $11 more than the grant award. Any difference between the grant award and the actual expenditures of the RRT Program will be funded from the Investigative Cost Recovery project. An additional part-time person will be added for this next phase of the program, and will be funded from Work Session 2012-04-30 6 Investigative Cost Recovery funding. Also, any difference in the hours between the Fiscal Year 2011 and Fiscal Year 2012 grant will also be funded from Investigative Cost Recovery funding. The additional person is equivalent to .75 FTE. For these additions, using an hourly wage of$18.9949, salary costs are estimated at $42,416, with benefit costs for social security at $3,245. The total estimated cost is $45,660, all of which will be funded with Investigative Cost Recovery funding. The total cost of the program will be $106,330 with $60,658 being funded with the Justice Assistance (DOJ/BJA) Edward Byrne Memorial Justice Assistance Grant and the remaining $45,672 funded with Investigative Cost Recovery funding. This figure includes the $11 over the grant award that is referenced above. The Fiscal Year 2011 grant funded 1.75 FTE's. The Fiscal Year 2012 grant only funds 1.43 of those FTE's. The difference of .32 FTE's will be funded with Investigative Cost Recovery revenue. In addition, a fourth position, or .75 FTE's has been added to the program in Fiscal Year 2012. The program will have a total of 2.5 FTE's. There is no mandatory match for this grant. The $45,672 from the Investigative Cost Recovery fund will be reflected in the grant budget as a voluntary match. There is no retention requirement associated with this grant and the additional positions will be eliminated when grant funding expires. There will be no direct adverse impact to the Police Department annual operating budget nor is there a required match. Should the RRT Program continue to be successful, it is proposed that subsequent years be funded through the same grant or the Investigative Cost Recovery project. 7. Solid Waste/General Support Services 7.1 Approve a Contract (Blanket Purchase Order) to Wingfoot Commercial Tire of Clearwater, FL for an amount not to exceed $380,000 for the purchase of Goodyear tires for city motorized equipment during the period May 1, 2012 through April 30, 2013, in accordance with Sec. 2.560)(d), Code of Ordinances - other governmental bid, and authorize the appropriate officials to execute same. consent This Blanket Purchase Order is a piggyback of the Florida State Contract 863- 000-10-1. This contract covers the period April 1, 2011 through March 30, 2012. The State of Florida extended the contract for 30 days through April 30, 2012. The State of Florida agreed to a one-year renewal of this contract with the vendor Work Session 2012-04-30 7 making the effective date May 1, 2012 through April 30, 2013.This contract covers the purchase of several different sizes of tires for use on all city vehicles. Solid Waste/General Services Assistant Director Rick Carnley said staff received a call earlier today from Goodyear Tires who said that the cost per tire in the proposed contract will increase May 1. 7.2 Approve a Contract (Blanket Purchase Order) to Honeywell International Inc. - Building Solutions of Chicago. IL for an amount not to exceed $140.000 for the quarterly Maintenance Fees for the period May 1. 2012 through April 30. 2013, per the contracts dated Nov. 17. 2008 and April 28. 2010 and authorize the appropriate officials to execute same. (consent) The City of Clearwater signed two contracts with Honeywell Building Solutions to retrofit various buildings with energy saving devices under the State of Florida Energy Savings Contract 973-320-08-1. These contracts included provisions for guaranteed savings under the Performance Contracting specifications.The first contract was signed on Nov. 17, 2008. Several lighting changes and air conditioning unit replacements were completed at the Long Center. Also, a dehumidifier system was installed in the pool area to remove high humidity and chlorine particles from the area to create a better environment and protect the steel structure from rust and deterioration. This contract term is 20 years. The guaranteed savings for the 20 years is $4,964,669.The second contract was signed on April 28, 2010. This contract included lighting changes, air conditioning replacements and automated HVAC controls in various City owned buildings and pool pump replacements at the Long Center. This contract term is 15 years.The guaranteed savings for the 15 years is $6,119,618.The contracts required Honeywell to maintain all the systems installed for the term of the contract. This Blanket Purchase Order covers the maintenance and audit costs for one year. 8. Public Utilities 8.1 Award a new contract (purchase order) to Xylem, Inc. of Apopka, Florida in the amount of$375,000.00 for Flvqt Pumps, replacement parts and factory authorized service for the contract period of May 3, 2012 to April 30, 2014, and authorize the appropriate officials to execute same. (consent) Flygt pumps are standardized in the city wastewater facilities for lift stations, submerged internal recycle and backwash pumping applications due to reliability of the pumps and to facilitate operational and maintenance efficiency. Standardization of pumping equipment reduces redesign/retrofit of the piping Work Session 2012-04-30 8 systems and overall down time, which is critical to maintaining the required 100% regulatory FDEP (Florida Department of Environmental Protection) permit compliance at each facility at all times. Standardization also reduces the required stocking of parts and replacement pumps, and the cost of maintenance operations. Xylem, Inc. (formerly ITT Water and Wastewater, Florida LLC) of Apopka, Florida is the sole source vendor for Flygt pumps, replacement parts and factory authorized service in Florida east of the Apalachicola River. Public Utilities staff has negotiated with Xylem, Inc. to honor the Hillsborough County Public Utilities' BPO discount from the most recent manufacturer's published price list on pumps, parts and labor. Sole source purchase of these pumps, parts and services meet all requirements of Section 2.564 (1)(b) Code of Ordinances. The City's current contract is for $325,000.00, which was approved by Council on November 16, 2010, for the period November 16, 2010 to October 31, 2012. Due to a higher demand for repairs and replacements than originally projected, the current balance of$91,178.87 (with the anticipation of a pending invoice for $45,650.00 for a new Internal Recycle Pump), requires renewal at this time to assure adequate ability to address emergency repairs. The projected contract amount is based on anticipation of pumps and/or pump stations being repaired and refurbishment of stations in-house, due to known upcoming projects and historic usage rates. Sufficient budget is available in the Water and Sewer Utility Fund, Water Reclamation Facility operating cost center 0421-01351-550400-535-000-0000 to fund $49,364.69 of the Fiscal Year 2011/2012 cost and is planned in the budget request to be brought forward for Fiscal Year 2012/2013 in the amount of $118,998.32, and in Fiscal Year 2013/2014 the amount of$69,306.71, and in the Maintenance operating cost center 0421-01347-550400-535-000-0000 to fund $28,523.90 of the Fiscal Year 2011/2012 cost and is planned in the budget request to be brought forward for Fiscal Year 2012/2013 in the amount of $68,759.59, and in Fiscal Year 2013/2014 the amount of$40,046.79. 9. Engineering 9.1 Approve a proposal by Construction Manager at Risk Biltmore Construction Co., Inc. of Belleair, Florida, in the amount of$281,540.04 for the rehabilitation of three vehicular bridges in the City of Clearwater, which includes all labor and material costs to complete the rehabilitation, and authorize the appropriate officials to execute same. (consent) Work Session 2012-04-30 9 The City of Clearwater Engineering Department initiated this routine maintenance project to prevent further erosion and deterioration of bridges as identified in January 2011 FDOT (Florida Department of Transportation) Bridge Inspection Reports. Maintenance and aesthetic work will be performed on the Clearwater Pass Bridge and the fender system in the boating channel below. The other bridges are on Fairwood Avenue over Alligator Creek and on Overbrook Avenue over Stevenson's Creek. Biltmore Construction proposes to perform the bridge rehabilitation under the Construction Manager at Risk contract in the amount of$281,540.04. Construction, Engineering, and Inspection (CEI) services during the construction period will be completed by the City's Engineering Department, which includes regular on-site construction inspection, engineering assistance with onsite observations and interpretations, review of shop drawings, attending meetings, and responding to contractor questions. The contract period for construction is 150 consecutive calendar days estimated to start in June 2012 and finish in November 2012. The Engineering Department shall own and maintain, in conjunction with the Parks and Recreation Department, the proposed improvements included in this contract. Sufficient budget and revenue are available in the Capital Improvement Program project 0315-92274, Bridge Main and Improvements. In response to questions, Engineering Assistant Director Scott Rice reviewed the costs per bridge: prior to the 20% contingency, $128,600 for the Sand Key Bridge, $38,000 for Overbrook Avenue, $62,000 for Fairwood Avenue, and $4,800 for underneath the bridge. Engineering Director Mike Quillen said Risk Management has a policy on the Sand Key Bridge and the two pedestrian bridges for replacement costs. 9.2 Approve the Cooperative Funding Agreement between Southwest Florida Water Management District (SWFWMD) and the City of Clearwater for the gabion project on the Jeffords Street Channel in Stevenson Creek in the amount of $600,000 and authorize the appropriate officials to execute same. (consent) This project will stabilize the banks and channel bottom of a portion of Stevenson Creek, which will protect from erosion, provide an unobstructed flow area and protect structures adjacent to the bank. Work Session 2012-04-30 10 The Cooperative Funding Agreement between the Southwest Florida Water Management District (SWFWMD) and the City of Clearwater for the gabion project on the Jeffords Street Channel in Stevenson Creek includes SWFWMD providing a maximum of$600,000 and a City match of$600,000. The construction documents for this project are being prepared by City staff and the Project will come back to Council for a bid to be awarded to a contractor for construction. Midyear amendments will establish a Capital Improvement Program (CIP) project 0315-96181, Jeffords Street Channel, with $600,000 of budget, only, of Other Governmental Revenue and a transfer of$600,000 from 0315-96169, Stevenson Creek, for total funding the amount of$1,200,000. 10. Planning 10.1 Approve amendments to the Community Development Code providing density and parking incentives for affordable housing developments, and pass Ordinance 8313-12 on first reading. (TA2012-01001) The City's Evaluation and Appraisal Report, which was released in August 2006, indicated a need to create specific policies in the Clearwater Comprehensive Plan to incentivize affordable housing, specifically calling for density bonuses and parking reductions. In December 2008, the Clearwater City Council approved amendments to the Clearwater Comprehensive Plan that included an objective and policies relating to affordable housing incentives. This proposed amendment to the Community Development Code implements that objective and policies. Proposed Ordinance 8313-12 includes the following amendments: Clarifies that the densities contained in the Clearwater Comprehensive Plan can be exceeded under the new affordable housing density provisions. Sets forth the review and approval process for granting the affordable housing density bonus. Establishes a density bonus and sets forth how it is calculated, differentiating between mixed-income affordable housing developments and other affordable housing developments. Sets forth standards that apply to all affordable housing developments that are granted the density bonus, including compatibility criteria, design criteria and green building criteria. Work Session 2012-04-30 11 Sets forth criteria for a required covenant to maintain affordability, which address both owner-occupied units and rental units. Sets forth the standards for approval for the affordable housing parking incentive, which allows a reduction in required parking spaces provided the criteria are met. Clarifies that affordable housing developments receiving the density bonus will be reviewed as a Level Two application. Sets forth definitions for: affordable housing unit; dwelling, affordable housing bonus density; and dwelling, reserved affordable housing. The Community Development Board (CDB) reviewed the proposed amendment at its meeting on April 17, 2012 and unanimously recommended the amendment for approval. In response to questions, Planner Cate Lee said the proposed ordinance defines affordable housing as any residential dwelling unit leased or owned by a household with a household income of 120% or less of the adjusted area median income (AMI). Developments with 15% affordable housing units can be awarded a 25%-density bonus. A concern was expressed that the proposed ordinance incentivizes low-income housing projects. It was stated that there is an abundance of dilapidated low-income housing units in the city and the proposed ordinance should incentivize workforce housing. Vice Mayor Paul Gibson suggested amending the ordinance to define affordable housing as any residential unit leased or owned by a household with a household income between 80% or less of the AMI. Staff was directed to provide information from the recent economic development study regarding the city's current housing stock. 11. Official Records and Legislative Services 11.1 Disband the Clearwater Greenprint Steering Committee. (consent) The Steering Committee has completed their work and provided staff with their recommendations on sustainability in Clearwater, which was approved by Resolution 11-5 on December 14, 2011. 12. Legal 12.1 Oppose the relocation of Family Court from downtown Clearwater to the Criminal Work Session 2012-04-30 12 Justice Center and pass Resolution 12-10. 12.2 Adopt Ordinance 8316-12 on second reading, amending the future land use plan element of the Comprehensive Plan of the city to change the land use for certain real property whose post office address is 3043 and 3047 Cleveland Street from Residential Urban (RU) to Institutional (1). 12.3 Adopt Ordinance 8317-12 on second reading, amending the Zoning Atlas of the city by rezoning certain real property whose post office address is 3043 and 3047 Cleveland Street from Low Medium Density Residential (LMDR) to Institutional (1). 12.4 Discuss allowing golf carts in Clearwater Beach and Island Estates (WSO) Assistant City Attorney Rob Surette said Florida Statutes prohibit the operation of golf carts on State Road 60, which connects Clearwater Beach and Island Estates. Since CMAQ (Congestion Mitigation and Air Quality) funds were used to construct the trail, it is unlawful to operate motorized vehicles on the trail. Parks and Recreation Director Kevin Dunbar said the City may be required to payback the CMAQ funds received should this activity be allowed on the trail. Operating motorized vehicles on a recreation trail is considered a safety hazard. In response to questions, Mr. Surette said only individuals in a self-contained retirement community are permitted, under Florida Statutes, to operate golf carts on the municipal roadways. Municipalities may allow the activity if a traffic study determines it can occur safely. Mr. Surette said Florida Statutes does not require a golf cart to be registered and licensed if it does not go over 20 mph. 13. City Manager Verbal Reports — None. 14. Closing Comments by Mayor— None. 15. Adjourn The meeting was adjourned at 2:44 p.m. Work Session 2012-04-30 13