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Home My WebLink About09-08-08 Tentative Budget OCOEE CITY COMMISSION TENTATIVE BUDGET PUBLIC HEARING Ocoee Commission Chambers September 08, 2008 MINUTES 7:00 P.M. Mayor Vandergrift called the Tentative Budget Public Hearing to order at 7:00 p.m. in the Commission Chambers of City Hall. City Clerk Eikenberry called roll and declared a quorum present. Mayor Vandergrift announced that this is an advertised public hearing to finalize the budget and adopt a final millage rate for the City of Ocoee. Notice of this hearing was contained in the Notice of Proposed Property Taxes mailed by the Property Appraiser. The City Commission has previously set a millage rate of 5.1457 mills which represents an 8.63 % increase in millage over the rolled-back rate of 4.7371 mills. Roll Call: Commissioner Hood, Commissioner Anderson, Mayor Vandergrift, Commissioner Keller, and Commissioner Johnson. Also Present: City Attorney Rosenthal, City Manager Frank, City Clerk Eikenberry I A. Briefing by City Attorney City Attorney Rosenthal advised that the maximum millage rate which may be levied by the City by regular majority vote for the 2008-2009 fiscal year is 4.2568 mills, such maximum millage rate having been determined pursuant to Section 200.185(3)(a), Florida Statutes. The establishment of a millage rate between 4.2569 mills and 5.1457 mills requires a two-thirds vote of the membership of the City Commission (or 4. votes). The preliminary millage rate set by the City Commission and contained in the TRIM Notices is 5.1457 mills. The establishment of a millage rate between 5.14757 mills and 10.000 mills requires a unanimous vote of the City Commission and notice by first class mail to each taxpayer. The tentative millage rate adopted at this hearing will become the maximum millage rate which may be adopted by the City Commission at the public hearing on the final millage rate. A unanimous vote or a two-thirds vote may be required to adopt the tentative millage rate as the final millage rate. At the final public hearing, the City Commission may adopt a millage rate which is less than the tentative millage rate. Ocoee City Commission Meeting September 8, 2008 Tentative Budget Public Hearing B. Briefing by Finance Director on the percentage increase in millage over the rolled-back rate necessary to fund the budget and the specific purpose for which ad valorem tax revenues are being increased. Finance Director Horton advised there is no increase in the millage rate over the roll back rate that is required to fund the budget proposed by the City Manager. The TRIM notice advertised millage rate is 5.1457. The percentage rate increase in this millage over the roll back rate is 8.63 %. This will generate an additional $878,000 in ad valorem revenues, which will provide funding for capital improvements, equipment purchases, and programs. A two thirds vote is required to adopt the proposed rate. Mayor Vandergrift asked if the proposed millage rate is what the City Manager proposed. Finance Director Horton said the City Manager originally proposed 4.5775, and then made the following changes that further reduced the proposed millage rate of 4.2993 as follows: Reductions to City's Contribution to Health Insurance Plan -($310,000.00) Increase in Health Center Operating Hours +$72,000.00 Reduction of City's Portion for Worker Compensation Insurance -($100,000.00) Additional Reduction to Workers Compensation Insurance -(374,000.00) Reduction to Liability and Auto Liability Insurance - (71,000.00) Reduction in State Revenues +$185,000.00 Mayor Vandergrift asked Commissioners to review information he handed out showing that they are subject to losing two bus links that serve the City of Ocoee, one of them serves the High School. He asked that Commissioner keep this in mind as they are discussing the budget because we may want to help with funding the Ocoee routes. There were no public comments at this time. See attached chart. Page 2 of 8 Ocoee City Commission Meeting September 8, 2008 Tentative Budget Public Hearing Each Commissioner reviewed the items on the "wish list" and advised if they were for or against ihem resulting in the following: "11111:111" ~ Y Y N O/FireFee N I Fire Station - District #1 for % year r$40;() N N Y N N i Fire Inspection- PT to Fulltime Y Y Y Y N ! Clarke Road Resurfacing -50% O/reserves O/reserves O/reserves O/reserves O/reserves I Traffic Calming Y N N Y N Holiday Lights Y N N N N Increase COLA and Merit 1.5 to 2% Y N Y Y Y Re-Roof Maguire House , N N Y Y@ 15K N I Reroof Health Clinic . <111./1I111nn N N Y Y N Reconfigure Beech Center AC N N y N N ! Reconfigure Maguire House AC . N N N N N Additional funds to Retrofit old PD N Y Y Y N Seniors Program N Y Y Y N Teletype for Disabled Y N N O/Grant N , (3) Tough Book Computers - Fire Y Y Y Y N Voice Over IP Hardware for FS #26 N N N N N Firehouse Web Based Software "."1"',,", . FIlL N N N N N AM Radio Station ~.f.l,OO Y N N O/Grant y Pioneer Key 1 Roadwork Y N Y Y N Clarke Road Landscapingflrrig. Y N N Y N Sorenson Field Improvements O/Bond Y Y Y N Additional Central Park Imprv. O/Bond N N Y N Rogers Park Imprv .I Grant Match Y Y O/Bond Y N Vignetti Park Improvements , O/Bond Y Y Y N tin........ '''''''.'/\.. .'(h(...../...'.,...,.....'.... ('..Wi.'.'<"'I..h..'. ..' .",,< \.>!h ........h.". .."..... 1<< .... (. Energy Reduction (4-10 hr days) Y CMA and MVP Grant Awards Y Bus Service Route to High School Y ........."../...\.,... it. <'h/ .".'...' <( (..,.........:..Wi I(\i..........'\."...,.....'..,., I....,.... ..>.................,. BUDGET AMOUNT 1,304.425 1,170.465 1,005,425 910,425 142,960 MILLAGE 4.9062 4.8438 4.7671 4.7229 4.3658 .....,..,.............. ......<W. .'......'.........'...'......,('. ',..........'.....'.. ....i/... .,........../<. ...,., '..h.W....>...h...'< ,...,.... .............. .hW / .h I ",... KEY: Y= in favor of amending the budget to include this item N= not if favor of amending the budget 0= in favor of this item/project from a different funding source (as noted) Mayor Vandergrift opened the Public Hearing. There being no one wishing to speak, the Public Hearing was closed. Commissioner Anderson asked for clarification on the reduction in the Grant A wards. Finance Director Horton advised that the MVP awards were cut from $20,000 to $10,000 and the CMA awards were cut from $30,000 to $10,000. Commissioner Anderson said he felt those things should remain in the budget. Mayor Vandergrift advised he should add them to the wish list. Page 3 of 8 Ocoee City Commission Meeting September 8, 2008 Tentative Budget Public Hearing Commissioner Hood clarified with City Manager Frank that the budget already has a built in 1.5 % COLA and 1.5 % Merit increase. The amount on the wish list is for an additional 1 %, for a total of 2 % COLA and 2 % Merit for all non union employees. Commissioner Anderson said that the Voice Over IF Hardware for FS #26 should be a wash because it will save us money. IS Manager Ross said with the upgrade of the phones we will be able to use one circuit to that building, instead of having one for phones and one for computer. It will save the City approximately $3,000 each year. Rosemary Wilsen, 1019 Shady Maple Circle 1) asked why we bother with the holiday lighting because they don't work most of the time. Commissioner Keller advised that he is the only one in favor of the holiday lights so it will probably go away. Mayor Vandergrift said we need to phase out the things that we rent and now that we have storage we can purchase our own decorations. 2) asked why reroofing the health clinic wasn't done when we refurbished the whole building, it seems that we are always going backwards. Commissioner Anderson said there was only a specific amount of money to get it up and running last year. There are still other upgrades that will be done to the clinic. Ms. Wilsen said we seem to put a lot of money into things because they have not been maintained. Mayor Vandergrift agreed that we are not maintaining the things that we build until it is acute. Commissioner Keller said he has seen things get postponed each year at budget time until they are in bad shape, which is why he is in favor of bonding and getting everything put into top shape and maintaining it that way. Commissioner Johnson agreed, especially with the parks and water lines. Finance Director Horton said that the paper handed out showing each commissioner's wishes on the wish list incorrectly showed Commissioner Johnson if favor of the traffic calming and that will be corrected. Mayor Vandergrift asked if we could adjourn until the next meeting. City Attorney Rosenthal said that they must follow the procedure for the Tentative Budget Hearing and whatever they have in the tentative budget, the millage must match that. If there are no motions changing the budget as presented by the City Manager the tentative millage rate would be 4.5775. If you want something different from that, motions would need to be made with amendments to the budget. It takes three votes to pass an amendment, but to adopt the millage rate will require four or five votes depending on where the millage ends up. He added whatever is done today sets forth the maximum millage rate, and at the Final Budget Hearing you can make motions changing the budget but the millage is capped at the amount adopted tonight. Mr. Rosenthal stated that, with four votes, they could set the millage based on the TRIM notice of 5.1457 and not have to give notice the taxpayers. Any millage rate adopted would have to be supported by a budget that had specific programs that arrived at that rate. He said it sounds as though the consensus of the Commission is to approve those items at the top of the wish list which brings to dollar numbers down and the millage rate down to 4.2993. He said if that is the case, his advice would be to move to amend the budget to accept those items. Discussion followed on how to adopt a millage that would leave it at or near the cap of 5.1457 so they have room to work with the figures at the Final Budget Hearing. Commissioner Anderson suggested they adopt Commissioner Keller's list because it is the highest, and then place the remaining amount in contingency, they can work at the details at the Final Budget Hearing. Page 4 of 8 Ocoee City Commission Meeting September 8,2008 Tentative Budget Public Hearing Commissioner Hood said he does not have a problem adopted a higher millage rate to allow them to work things out at the Final Budget Hearing, but he will not vote for any budget that does not have the Fire Station in it. He said we need to move forward with fmishing the Police Station and getting a new Fire Station in place. He said if we are annexing land and adding new developments you have to be able to provide the services. He added that the Fire Station on Adair Street should have never been taken out of service. Commissioner Keller said we cannot adopt a Fire Fee for this year; the money for a fire station is going to have to be placed in the budget. The Fire Fee will pay for that operations the second year. Commissioner Johnson said it is in the budget that he proposed with City Manager Frank's suggestions, and they would still be at the roll back rate. He added when the new Fire Station was built on Clarke Road, they did not have any of the housing proposed on the Northwest side of town. Commissioner Anderson said he has no problem taking the Clarke Road project out of reserves; he will take it out of his budget as long as Commissioner Keller agrees. Commissioner Keller agreed to remove it from his list of budget items, as long as it will still get done. Commissioner Anderson said he spoke to Chief Firstner during the break and he would like to change his budget list to add the part time to full time Fire Inspector. Commissioner Hood said he agrees to do the same. Commissioner Anderson said he would agree to $15,000 in the budget for the Maguire House instead of $30,000; we may have to carry it over to next year to fund the other part of it. Commissioner Anderson said he would like to make a motion on tbe millage to keep the millage at the 5.1457 for the Final Budget Hearing. City Attorney Rosenthal explained that the City Commission could adopt those items on the top of the worksheet that brought the millage to 4.2993; and then they could place the appropriate amount into contingency that would have the budget match up to the millage rate of 5.1457. Finance Director Horton confirmed that amount would be $1,819.203. Commissioner Keller, seconded by Commissioner Johnson moved to amend the tentative budQet of the City of Ocoee. distributed alonQ with the budQet messaQe of the City ManaQer dated July 31. 2008. with the followinQ: Reductions To City's Contribution To Health Insurance Plan -($31 Ot 000.00) Increase In Health Center Operating Hours +$72,000.00 Reduction Of City's Portion For Worker Compensation Insurance -($100,000.00) Additional Reduction to Workers Compensation Insurance -(374,000.00) Reduction To Liability And Auto Liability Insurance -(71,000.00) Reduction In State Revenues +$185,000.00 Add to contingency the sum of +$1,819.203.00 Commissioner Anderson clarified with the City Manager that those numbers being reduced are gone from next year's budget, even something causes those figures to change during the 2009 budget year. City Manager Frank said we don't anticipate any changes in those numbers for next year; but there are reserves to cover those insurance items. Mayor Pro Tem Hood opened the Public Hearing for anyone wishing to speak on the amendment to the proposed budget. Page 5 of 8 Ocoee City Commission Meeting September 8, 2008 Tentative Budget Public Hearing There being no one wishing to speak, the Public Hearing was closed. After the discussion, the Motion carried 4.1, with Mayor Vander~rift opposed. NOTE: RECESS to recompute the proposed millage rate and rolled-back percentage increase. , C. Announcement by Finance Director of the recomputed proposed millage rate and the percent by which the recomputed proposed millage rate exceeds the rolled-back rate. The percentage of proposed tentative percentage increase in property taxes. Announcement regarding the vote required to adopt this millage rate (Regular Majority, Super Majority, or Unanimous). City Attorney Rosenthal said the recomputed proposed final millage rate is 5.1457, and the percent by which the recomputed proposed final millage rate exceeds the rolled-back rate is 8.63 % . This percentage is the proposed tentative percentage increase in property taxes. He advised that would require a two-thirds vote from the City Commission (four votes). City Attorney Rosenthal read the title of the millage ordinance. Commissioner Keller, seconded by Commissioner Johnson, moved that the City Commission adopt a tentative millaQe rate of 5.1457 mills for the fiscal year be~inninQ October 1, 2008, and endinQ September 30, 2009. a. Comments by Citizens. None b. Comments by Commissioners. None c. V ote on motion to adopt the tentative millage rate. Motion carried 4.1, with Mayor Vander~rift opposed. The Ordinance, as adopted at the tentative budget hearing, carried the following title: ORDINANCE NO. 2008-015 AN ORDINANCE OF THE CITY OF OCOEE, FLORIDA, ESTABLISHING A MILLAGE RATE OF 5.1457 MILLS FOR AD VALOREM TAXES FOR THE CITY OF OCOEE FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2008, AND ENDING SEPTEMBER 30, 2009, PROVIDING FOR MILLAGE ADJUSTMENT; PROVIDING FOR COLLECTION OF TAXES; PROVIDING FOR AN 8.63% INCREASE IN MILLAGE RATE OVER THE ROLLED-BACK RATE; PROVIDING FOR SEVERABILITY; PROVIDING AN EFFECTIVE DATE. . Page 6 of 8 Ocoee City Commission Meeting September 8, 2008 Tentative Budget Public Hearing 3. Read title to Ordinance regarding [mal budget. City Attorney Rosenthal read the title of the millage ordinance. 4. Motion to adopt the [mal budget. Commissioner Keller, seconded by Commissioner Johnson moved that the City Commission adopt the tentative bud~et of the City of Ocoee distributed alon~ with the bud~et messa~e of the City Mana~er dated July 31, 2008, as amended, such tentative bud~et bein~ for the fiscal year be~innin~ October 1, 2008, and ending September 30, 2009. a. Comments by Citizens. None b. Comments by Commissioners. None c. V ote on motion to adopt [mal budget. Motion carried 4-1, with Mayor Vander~rift opposed. The Ordinance, as adopted at the tentative budget hearing, carried the following title: ORDINANCE NO. 2008-016 AN ORDINANCE OF THE CITY OF OCOEE, ORANGE COUNTY, FLORIDA, ADOPTING A FINAL BUDGET FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2008, AND ENDING SEPTEMBER 30, 2009; PROVIDING FOR SEVERABILITY; PROVIDING AN EFFECTIVE DATE. D: Motion to schedule the public hearing on September 22, 2008, at 7:00 p.m. in the Commission Chambers to adopt the final millage rate and budget. Commissioner Keller, seconded by Commissioner Johnson moved that a public hearing to consider the final milla~e rate and final bud~et be scheduled for September 22, 2008, at 7:00 p.m. at a Special Meeting of the City of Ocoee Commission to be held at the Ocoee City Hall Commission Chambers, that the hearing be advertised in accordance with the provisions of Section 200.065, Florida Statutes, and Section C-37 of Article VI of the Ocoee City Charter, that the appropriate Ordinances necessary to adopt the final millage rate and final bud~et be prepared by the City staff, and that all other action necessary to comply with the reauirements of Section 200.065, Florida Statutes, be undertaken. Motion carried 4-1, with Mayor Vander~rift opposed. Commissioner Keller announced that there will be a meeting on the Evans Rezoning Issue at the Ninth Grade Center, Wednesday, 166:30 p.m. Page 7 of 8 Ocoee City Commission Meeting September 8~ 2008 Tentative Budget Public Hearing Mayor Vandergrift said tomorrow morning at 8:00 a.m. there will be a meeting Of the Education Commission of the West Orange Chamber. He said this rezoning is to rezone the land to place 3,000 kids on a 25 acre tract. He said the next rezoning will come after the school is built and they take 600 - 1,000 students out of Ocoee High School to put them in Evans. Other kids will be rezoned from West Orange and Apopka schools. He urges residents to stay in tuned to when the various meetings will be held regarding this new school, such as Planning and Zoning meetings, etc. E. Announcement by Mayor Vandergrift of end of hearing and date for final millage and final budget hearing. Mayor Vandergrift announced that a public hearing to consider the final millage rate and final budget will be held on September 22, 2008, at 7:00 p.m. at a Special Meeting of the City of Ocoee Commission to be held at the Ocoee City Hall Commission Chambers The meeting adjourned at 9:03 p.m. Attest: APPROVED: City of Ocoee 4~ LtA.,A.1 ikenberry, City Clerk s :)~- t/~/; j~i- S. Scott Vandergrift, Mayo) b Page 8 of 8