05/07/2018 - Strategic Planning City Council Meeting Minutes May 7, 2018
City of Clearwater
City Hall
112 S. Osceola Avenue
Clearwater, FL 33756
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Meeting Minutes
Monday, May 7, 2018
2:00 PM
Strategic Planning Session
Council Chambers
City Council
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City of Clearwater
City Council Meeting Minutes May 7, 2018
Rollcall
Present: 5 - Mayor George N. Cretekos, Vice Mayor Doreen Caudell,
Councilmember Hoyt Hamilton, Councilmember Bob Cundiff and
Councilmember David Allbritton (Arrived — 2:18 p.m.)
Also Present: William B. Horne II — City Manager, Jill Silverboard — Deputy City
Manager, Micah Maxwell —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 listed in agenda order although not
necessarily discussed in that order.
1. Call to Order— Mayor Cretekos
The meeting was called to order at 2:00 p.m. at City Hall.
2. Citizens to be heard re items not on the agenda — None.
3. City Manager Reports
3.1 Annual Strategic Planning Session
City Council Policy "M" states:
"Prior to June 1 st of each year and prior to the development of the City
Manager's proposed budget, the City Council shall meet in a strategic planning
session(s) to review the five-year financial forecast and update as necessary,
the City's Vision, Mission and Strategic Direction (Goals). From these
documents a five-year strategic plan will be updated."
Consistent with this policy, staff has prepared a series of agenda materials for
City Council consideration. First, is the current 5-Year Strategic Plan
(2018-2023), which was approved by City Council on April 25, 2017 and
incorporated into the FY 2017-18 Budget (Attached).
Before discussing the 5-Year Strategic Plan, staff has prepared an overview of
our current service levels and functions by department. Our presentation will be
made by department directors and managers, in quick succession, as a
refresher of the many functions and services we provide and the way in which
they are deployed within the city. We will begin with Public Safety and work our
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City of Clearwater
City Council Meeting Minutes May 7, 2018
way through the remaining areas. Strategic Priorities are noted by icon for each
function.
After the presentation the City Manager will introduce the financial forecast,
specifically focusing on the updated General Fund Revenue Sufficiency
Analysis. Unlike last year, we will propose a 5-Year Strategic Plan for
2019-2024, after this session, within the City Manager's recommended FY
2018-19 Budget.
Deputy City Manager Jill Silverboard provided a PowerPoint
presentation. Department directors reviewed their main strategic
objectives.
One individual encouraged the missing middle housing concept that was
developed by Forward Pinellas. The concept identifies how small parcels
can be maximized with diverse and affordable housing choices, such as
the Hayes Park Village in Oldsmar.
One individual requested consideration to provide working citizens
opportunities to provide input on non-consent issues for the Community
Development Board, Community Redevelopment Agency and the
Municipal Code Enforcement Board.
One individual supported the creation of more neighborhood
associations and expansion of neighborhood services in an effort to
foster neighborhood identity.
Councilmember Cundiff moved to thank department directors for
the information presented. The motion was duly seconded and
carried unanimously.
3.2 Financial Overview
Review of General Fund Financial Sustainability Analysis - Stantec Consulting
Services
Review of Utility Fund Forecasts
AND
3.3 Council direction for strategic priorities.
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City of Clearwater
City Council Meeting Minutes May 7, 2018
Stantec representative Erick van Malssen provided a PowerPoint
presentation.
In response to questions, Mr. van Malssen said the expected impact of
the additional homestead exemption is $1.5 million in reduced ad
valorem revenue, if the referendum passes. To cover the loss, the
millage must be increased by 0.15 to 0.2 mills. Even if the referendum
does not pass, there will still be a deficit as there is too much cash flow
going out to preserve the reserve balance going forward. Finance
Director Jay Ravins said the financial model includes the capital
outlay for Crest Lake Park. The BP funds have been placed in the
general fund reserves. Mr. van Malssen said the model assumes BP
funds will be used for Crest Lake Park and is the reason why the general
fund reserves are so low. If the millage rate is increased by 0.6 mills, the
model shows the reserve fund balance above the target through 2021.
Deputy City Manager Jill Silverboard said the ad valorem was adjusted
10 years ago. Mr. van Malssen said the model included $600,000 for
annual operating costs for the additional school resource officers.
Property taxes fund 35% of the city's revenue, barely funding public
safety. Ms. Silverboard said the model factored in a 4% increase for
police and fire union negotiations in the future for assumption purposes.
Mr. van Malssen said the model assumes revenues associated with
Imagine Clearwater will begin in 2021, approximately$1.2 million, the
net expenses for that year is approximately$1.5 million. Ms.
Silverboard said none of the future scenarios included any proceeds
from the lease or sale of the city hall or Harborview sites.
The City Manager said the budget he is preparing focuses on supporting
core services. He is not adding any FTEs or projects that expand city
services or facilities. The only additions to be considered will be cost
neutral. Personnel continues to be the city's largest expense, which is
66% of the general fund budget. Staff is in the beginning stages of a pay
and classification study, which is a priority in sustaining the quality of the
city's workforce. He said it is important to understand what is required to
recruit and retain given the employment market the City competes in.
Negotiations are underway to establish new police and fire contracts.
There are major capital improvements facing the city that will compete
with other priorities with limited available resources, such as Imagine
Clearwater, the Phillies agreement, Crest Lake Park, sewer upgrades,
public safety facilities and vehicles and Beach Marina upgrades. He said
a millage increase will be necessary to sustain the current level of
services and to provide the resources for these new priorities.
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City of Clearwater
City Council
Meeting Minutes May 7, 2018
Discussion ensued with comments made that a millage increase is
needed to maintain service levels, if the millage is not increased then the
budget must be adjusted for reduced service levels and smaller
workforce, and that the cities of St, Petersburg and Tampa are
contemplating raising their millage rates. It was stated that the City has
not had a millage increase for ten years. There was consensus to support
increasing the millage rate, rather than cutting services and personnel.
4. City Attorney Reports — None.
5. Closing comments by Councilmembers (limited to 3 minutes) — None.
6. Closing Comments by Mayor — None.
7. Adjourn
The meeting adjourned at 3:51 p.m.
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City of Clearwater
Mayor
City of Clearwater
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