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08/13/2007 CITY COUNCIL SPECIAL BUDGET MEETING MINUTES CITY OF CLEARWATER August 13, 2007 Present: Frank Hibbard Mayor John Doran Vice-Mayor Carlen Petersen Councilmember George N. Cretekos Councilmember Paul Gibson Councilmember Also present: William B. Horne II City Manager Garry Brumback Assistant City Manager Rod Irwin Assistant City Manager Pamela K. Akin City Attorney Cynthia E. Goudeau City Clerk Patricia O. Sullivan Board Reporter The Mayor called the meeting to order at 6:00 p.m. at City Hall. To provide continuity for research, items are in agenda order although not necessarily discussed in that order. 2 - Council Discussion Items 2.1 Opening Comments - Bill Horne, City Manager The City Manager said the proposed budget incorporates all of the hard work done by the City Council to this point. 2.2 Presentation - Tina Wilson, Budget Director Budget Director Tina Wilson provided a PowerPoint presentation and reviewed the proposed FY (Fiscal Year) 2007/08 Annual Operating & Capital Improvement Budget and service reductions. All funds will increase from $396 million in FY 2007 to $397 million in FY 2008. Changes to General Fund departments from FY 2006/07 to FY 2007/08 increase by $1.3 million from $121.9 million to $123.2 million: 1) Police Department - $1.4 million increase from $35.6 million to $37 million; 2) Fire Department - $1.3 million decrease from $22.7 million to $21.4 million; 3) Parks & Recreation Department - $0.4 million decrease from $22.3 million to $21.9 million; 4) Public Services and Engineering - $0.3 million increase from $10.4 million to $10.7 million; 5) All Other - $0.2 million increase from $30.9 million to $31.1 million; and 6) Reserves - $1.1 million increase to $1.1 million. General Fund Expenditures of $123.2 million: 1) Public Safety – 47%; 2) Quality of Life – 24%; 3) Administration/Other – 14%; 4) Engineering/Public Services – 9%; 5) Planning & Development – 5%; and 6) Reserves – 1%. General Fund Expenditures of $123.2 million: 1) Personnel – 66%; 2) Operating Costs – 16%; 3) Internal Services – 12%; 4) Transfers – 3.5%; 5) Debt - 1.5%; and 6) Reserves – 1%. Council Special 2007-08-13 1 While taxable values have increased 5%, or $0.5 billion, from $10.7 billion in 2007 to $11.2 billion in 2008, the scale of increases has slowed. As required by State law, the budget reduces the millage rate 10.2% from 5.2088 mills in FY 2006/07 to a proposed rate of 4.6777 mills in FY 2007/08. City taxes on a house valued at $150,000 in 2007 will decrease by $59.20. To achieve Budget Task Force recommendations, the City has: 1) adopted a self- imposed cap; 2) limited the growth of facilities and FTEs; 3) reduced the Parks & Recreation budget, 4) consolidated Public Communications; 5) eliminated or reduced wind coverage on City facilities; 6) prohibited use of reserves to fund FTEs; 7) eliminated Fire Plans Examiner position; and 8) no transfer of FTEs from Enterprise Funds to the General Fund. Additional public hearings on the budget are scheduled for September 6 and September 20,2007. 2.3 Public Input Bill Jonson requested that the comparative study on Clearwater's stormwater rates be completed and recommended budgeting sufficient funds for infrastructure. Lucille Casey requested the City fund the SROs (Student Resource Officers) at previous levels. Anne Garris reported volunteers are working on the concept of a combined beach library and recreation center. 2.4 Council Discussion/Direction Council member Doran said the City did not have the option to fund two SROs at each school. The School Superintendent will assign one SRO to each high school and middle school. The Police Officers will be in the area during school hours. Council member Gibson said low attendance tonight is due to the significant reduction to the millage rate. He supported the set aside for reserves. He said the City Council had done a good job of retaining essential services. Councilmember Petersen thanked the Budget Task Force for their efforts. 3 - Adjourn The meeting adjourned at 6:26 p.m. 4~;(~ '- -Mayor City of Clearwater Council Special 2007-08-13 2