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08/07/2023 - SpecialMonday, August 7, 2023 1:30 PM City of Clearwater Main Library - Council Chambers 100 N. Osceola Avenue Clearwater, FL 33755 Main Library - Council Chambers Council Work Session Special Work Session Special Budget Work Session August 7, 2023Council Work Session Special Work Session 1. Call to Order 2. City Manager Verbal Reports City of Clearwater Staffing Update for FY2023-24 Budget2.1 3. City Attorney Verbal Reports 4. Council Discussion Item Discuss proposed budget.4.1 5. Adjourn Page 2 City of Clearwater Printed on 8/3/2023 Cover Memo City of Clearwater Main Library - Council Chambers 100 N. Osceola Avenue Clearwater, FL 33755 File Number: ID#23-0965 Agenda Date: 8/7/2023 Status: Agenda ReadyVersion: 1 File Type: Action ItemIn Control: Human Resources Agenda Number: 2.1 SUBJECT/RECOMMENDATION: City of Clearwater Staffing Update for FY2023-24 Budget SUMMARY: APPROPRIATION CODE AND AMOUNT: USE OF RESERVE FUNDS: Page 1 City of Clearwater Printed on 8/3/2023 |1CITY OF CLEARWATER Special Budget Work Session August 7, 2023 myclearwater.com |2CITY OF CLEARWATER Fiscal Year 2023/24 Proposed - All Funds Fund Amended FY 2022/23 Proposed FY 2023/24 Increase/ (Decrease) General Fund $ 184,419,750 $ 199,458,520 8% Utility Funds 206,590,040 222,666,960 8% Enterprise Funds 27,683,370 30,798,660 11% Internal Service Funds 77,754,940 82,641,940 6% Special Revenue Funds 36,949,943 35,232,546 (5%) Capital Fund 130,024,423 153,385,680 18% |3CITY OF CLEARWATER 1,695.7 1,745.0 1,832.6 1,836.6 1,848.7 1,877.0 1,891.9 0.0 200.0 400.0 600.0 800.0 1,000.0 1,200.0 1,400.0 1,600.0 1,800.0 2,000.0 Full Time Equivalent Positions (All Funds) |4CITY OF CLEARWATER Staffing Discussion2023 myclearwater.com |5CITY OF CLEARWATER Vacancy Rate 2023 includes data as of Jun 1. |6CITY OF CLEARWATER Turnover Rate 2023 includes data through Jun 30, with estimated data through Dec 31. |7CITY OF CLEARWATER Resignations, Retirements, and Terminations 2023 includes data through Jun 30, with estimated data through Dec 31. Quit includes resignations, Quit - Other includes retirement and death, and Quit - Discharge includes all involuntary terminations. |8CITY OF CLEARWATER Vacancy Reasons in the Last Two Years •63% Resignation •22% Retirement •13% Involuntary or Pending Discipline •2% Health |9CITY OF CLEARWATER Resignation Reasons in the Last Two Years |10CITY OF CLEARWATER Permanent Hires and Promotions 2023 includes actual data through Jun 30, with estimated data through Dec 31. Promotions do not include apprenticeship programs. |11CITY OF CLEARWATER Recruitment Challenges •Labor Shortage •As of July 2023, according to the BLS, there are 9.8 million job openings and only 5.9 million unemployed workers. •Inflation outpacing wage increases •As of May 2023, CPI in Tampa Bay area was 7.3% over the previous year, vs 4% nationally. |12CITY OF CLEARWATER What Have We Done to Attract and Retain Employees? •10/1/22 internal market survey adjustments for CWA & SAMP •Enhanced pension benefits •Expanded vacation sellback program •Telecommuting offered to SAMPs with serious health conditions •Increased use of four-day workweek option Citywide •Increased employee appreciation offerings •Adjusted education requirements of certain jobs |13CITY OF CLEARWATER What Else Are We Doing? •Formal classification and compensation study in progress •Enhanced wellness programming •New wellness coordinator to take more active approach •Offered onsite options for dental and skin screenings •Reviewing additional services for clinic space •Evaluation of expanded telecommuting options •Increased focus on recruitment of employees representative of local workforce through HR restructure •Development of internal leadership program in progress |14CITY OF CLEARWATER Classification and Compensation Study* •Complete: •Vendor selection process resulted in contract with Evergreen •Clearwater data provided and reviewed (policies, pay plans, turnover & exit data, organizational charts, benefit offerings, etc.) •Employee engagement in May 2023 •>300 employees attended focus groups •>900 employees completed job assessment tools (JATs) •150 benchmark job titles selected •20 comparators identified •Benchmark survey of comparators |15CITY OF CLEARWATER Classification and Compensation Study •In Progress: •Survey results and JATs currently under review •Coming Up: •Compare Clearwater with market (as defined by comparators) •Decide how Clearwater would like to be aligned with market and determine compensation philosophy •Present, discuss and cost options for this alignment •Updated job titles, pay plans, and employee pay adjustments possible •Implement selected option in January 2024 or in next contract •Must be bargained for represented groups |16CITY OF CLEARWATER Questions? Cover Memo City of Clearwater Main Library - Council Chambers 100 N. Osceola Avenue Clearwater, FL 33755 File Number: ID#23-0983 Agenda Date: 8/7/2023 Status: Agenda ReadyVersion: 1 File Type: Council Discussion Item In Control: Council Work Session Agenda Number: 4.1 SUBJECT/RECOMMENDATION: Discuss proposed budget. SUMMARY: Page 1 City of Clearwater Printed on 8/3/2023 2023 -2024BUDGET BRIEFIN FOR MORE INFORMATION A NOTE FROM THE CITY MANAGER Greetings, Welcome to our Citizen’s Budget Guide proposed for Fiscal Year 2023/2024! This guide is prepared by the Office of Management and Budget to serve as an engagement tool and to build a solid foundation of knowledge about the city of Clearwater’s budgetary process. Earlier this year, the City Council unanimously adopted a new strategic plan. This year’s proposed budget is focused on implementing the city’s operating and capital work plans that will allow us to achieve our strategic priorities and objectives. In furthering the City Council’s strategic objective of enhancing community education and building public trust, this information serves an integral role in outlining how the city best allocates its resources. Our goal is to ensure that the public remains informed as the City Council and Staff administer the Annual Budget and make decisions to produce the greatest benefit for the citizens of Clearwater. Sincerely, Jennifer Poirrier City Manager IMPORTANT BUDGET DATES Unless otherwise noted, meetings are open to the public and are held in Council Chambers at the Clearwater Main Library’s first floor, 100 N. Osceola Ave. • March 20, 2023 at 8 a.m. Strategic Budget Planning Session • July 20, 2023 at 6 p.m. Preliminary Budget Presentation, Preliminary Millage Rate Set • Aug. 7, 2023 at 1:30 p.m. Special Budget Work Session • Sept. 6, 2023 at 6 p.m. First Public Hearing on FY23-24 Annual Operating and Capital Budget, Penny for Pinellas Projects • Sept. 21, 2023 at 6 p.m. Second Public Hearing on FY23-24 Annual Operating and Capital Budget CITY OF CLEARWATER STRATEGIC PLAN VISION A community that thrives from Bay to Beach. MISSION Clearwater is committed to quality, sustainable, cost-effective municipal services that foster and sustain a healthy residential and economic environment. Deliver Effective and Efficient Services by Optimizing City Assets and Resources HIGH PERFORMING GOVERNMENT Foster a Prosperous and Enduring Economy That Promotes Opportunity for All ECONOMIC & HOUSING OPPORTUNITY Ensure Exceptional Communities and Neighborhoods Where Everyone Can Thrive COMMUNITY WELL-BEING Implement Proactive Solutions and Emerging Technologies for a Sustainable and Resilient Community ENVIRONMENTAL STEWARDSHIP Promote a Diverse and Talented Workforce Through Competitive Opportunity, Employee Wellness, and Rewarding Career Growth SUPERIOR PUBLIC SERVICE MAYOR CITY MANAGERBrian J. Aungst Sr. Jennifer Poirrier CITY COUNCILDavid Allbritton Kathleen Beckman Mark Bunker Lina Teixeira WHAT IS A MUNICIPAL BUDGET? Each year, the city must forecast the expenditures and revenues it will incur in the upcoming fiscal year (defined as the period from Oct. 1 to Sept. 30). The resulting formalized document is known as the annual operating and capital budget. Every municipality in the State of Florida is required by law to produce a balanced budget each year. Clearwater’s budget is monitored throughout the fiscal year and is amended quarterly as needed. HOW ARE MY PROPERTY TAXES DETERMINED? The city of Clearwater is one of several taxing authorities that may tax citizens for the services it provides. The city is responsible for only a portion (less than one-third) of the overall taxes that residents pay. Millage is how taxing authorities calculate your property tax; it represents the established rate imposed by a taxing jurisdiction. One mill is equal to $1 for every $1,000 of taxable property value. The city of Clearwater anticipates no change to the millage rate of 5.8850 mills for Fiscal Year 2023/2024. MILLAGE Learn more about your Truth in Millage statement, which is mailed by August 22nd each year, or by visiting PCPAO.gov for more information. TRUTHIN HOW ARE THE CITY’S GENERAL GOVERNMENT ACTIVITIES FUNDED? The city’s General Fund receives revenues from numerous sources, including property (Ad Valorem) taxes, utility taxes and franchise fees, service fees and user charges, and intergovernmental and grant revenues. The largest source of revenue, Ad Valorem taxes, comes from all property owners in Clearwater city limits, excluding those receiving statutorily authorized exemptions. GENERAL FUND REVENUES BY TYPE 45% 7% 4% 9% 15% 2% 3% 15%$90,683,430 $13,335,875 $8,102,020 $17,368,355 $29,859,340 $3,934,500 $29,875,000$6,300,000 Ad Valorem Taxes $153,385,680 Capital Funds $36,661,546 Special RevenueFunds $82,833,250 Internal Service Funds $30,892,550 Other Enterprise Funds Utility Taxes& Franchise Fees Local Opt, Fuel & Other Taxes Other Permits & Fees Transfers In Charges for Service Judgments, Fines, Forfeits & Misc. Intergovernmental 42% 29% 7% 16% 6%$223,665,930 Utility Funds $12,725,240 Non-departmental $14,559,025 Public Works $8,577,878 Planning & Development $9,110,053 Library $44,790,781 Parks & Recreation $35,243,722 Fire $56,780,344 Police 22% 29% 7% 5% 18% 9% 6% 4% $17,671,477 Admin/Other Departments Total: $199,458,520 GENERAL FUND EXPENDITURES BY DEPARTMENT 45% 7% 4% 9% 15% 2% 3% 15% $90,683,430 $13,335,875 $8,102,020 $17,368,355 $29,859,340 $3,934,500 $29,875,000$6,300,000 Ad Valorem Taxes $153,385,680 Capital Funds $36,661,546 Special Revenue Funds $82,833,250 Internal Service Funds $30,892,550 Other Enterprise Funds Utility Taxes & Franchise Fees Local Opt, Fuel & Other Taxes Other Permits& Fees Transfers In Chargesfor Service Judgments, Fines,Forfeits & Misc. Intergovernmental 42% 29% 7% 16% 6%$223,665,930 Utility Funds $12,725,240 Non-departmental $14,559,025 Public Works $8,577,878 Planning & Development $9,110,053 Library $44,790,781 Parks & Recreation $35,243,722 Fire $56,780,344 Police 22% 29% 7% 5% 18% 9% 6% 4% $17,671,477 Admin/Other Departments Total: $199,458,520 CITYWIDE EXPENDITURES BY CATEGORY The city categorizes the money it spends via these funds: 1 General Fund, or monies that support general government activities. 2 Utility Funds, including Water & Sewer, Gas, Solid Waste & Recycling, and Stormwater. 3 Enterprise Funds, including the Marine Fund, Aviation Fund, Harbor Marina Fund, and Parking Fund. 4 Internal Service Funds, that support the city’s operating departments. 5 Special Revenue Funds, which account for specific restricted governmental activities. 6 Capital Funds, which pay for long-term or reoccurring project or equipment needs. OUR WORKFORCE The city manager is recommending a total staffing level of approximately 1,891.9 full-time equivalent positions (FTEs) for Fiscal Year 2023/2024. An FTE is defined as a workload of approximately 2,080 hours per position annually, and it may be allocated to full time, part time, or temporary positions. $153,385,680Capital Funds $35,232,546Special Revenue Funds $82,641,940Internal Service Funds $30,798,660Other Enterprise Funds $222,666,960Utility Funds $199,458,520 General Fund 21% 4% 5% 11% 31% 28% All Funds Cost of Services Summary Total: $724,184,306 $29,915,000Other Enterprise Funds $12,253,700Internal Service Operations $37,591,820General Government $73,625,160Utility Funds 20% 8% 24% 48% Capital Improvement Spending by Fund Type Total: $153,385,680 FUND TYPE FTE TOTAL General Fund 1,167.8 Utility Funds 477.8 Enterprise Funds 75.1 Internal Service Funds 156.3 Special Program Fund 14.9 TOTAL 1,891.9