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Home My WebLink About09-18-17 Minutes Final Budget Hearing Final Budget Hearing OCOEE CITY COMMISSION Ocoee Commission Chambers 150 North Lakeshore Drive, Ocoee, FL September 18, 2017 MINUTES 6:00 P.M. I. CALL TO ORDER Roll Call and Determination of Quorum Mayor Johnson called the final budget hearing to order at 6:00 p.m. in the Commission Chambers of City Hall. City Clerk Sibbitt called roll and declared a quorum present. Roll Call: Commissioner Grogan, Commissioner Wilsen, Mayor Johnson, Commissioner Firstner and Commissioner Keller. II PUBLIC HEARING A) Announcement by Mayor Johnson This is an advertised public hearing to finalize the budget and adopt a final millage rate for the City of Ocoee. The City Commission has previously approved a tentative millage rate of 5.8038 mils, which represents a 6.77% increase in millage over the roll-back rate of 5.4357 mils. The adopted tentative millage rate is the maximum millage rate, which may be adopted by the City Commission at the Final Budget Public Hearing tonight. B) Briefing by Director of Finance on the percentage increase in millage under the roll- back rate necessary to fund the budget and the specific purpose for which ad valorem tax revenues are being increased The proposed operating budgets for the City of Ocoee for FY 2018 total $69,590,910. The proposed General Fund budget is $47,648,485. Ad Valorem taxes are being assessed to provide funding for: operational expenses, capital purchases, debt service payments, and salaries necessary to provide municipal services to the citizens and businesses of Ocoee. The commission approved a tentative millage rate for FY 2018 of 5.8038 mils. This rate is higher than the roll-back rate of 5.4357 and represents an increase in the millage over the roll-back rate of 6.77%. The tentative millage rate generates about $775,858 more in revenues than the roll- back rate. Of this amount $400,000 is undesignated and has been placed in the contingency account. Adoption of the 5.8038 mils requires a majority vote by the commission. Items that were discussed with no action taken during the tentative budget hearing are itemized on the unfunded list for further consideration. Also included before the City Commission are some revised budget pages and a copy of the Capital Programs for FY 2018-2022 which required minor informational corrections. The capital improvement bond funded projects will be presented before the City Commission in October so they may revisit the funding and amend allocations as needed. Ocoee City Commission Final Budget Hearing September 18, 2017 1. Comments by Citizens Chris Adkins, 606 Ridgefield Ave., addressed the City Commission on concerns he had with regards to the following: 1) Conducting department audits within the City, 2) Founders' Day event revenues and expenses breakdown, 3) Contribution requirements for Parks and Recreation Programs, and 4) Merit Based Healthcare for City employees. Commissioner Wilsen inquired if there is a "no smoking" policy within the City vehicles. City Manager Frank answered in the affirmative. Mayor Johnson asked Mr. Adkins for clarification on the self-funding of the Parks and Recreation programs. Mr. Adkins explained. Mayor Johnson explained the City's self-insured healthcare program which is a savings to the City and further addressed insurance questions asked by Mr. Adkins. 2. Comments by Commissioners -None C) Amendments to the Proposed Tentative Budget- 1. Motion(s) on Amendments to the Adopted Tentative Budget, Motion: Move to amend the tentative budget to remove the $400,000 from the contingency fund; Moved by Commissioner Keller, seconded by Commissioner Wilsen. Mayor Johnson opened the floor for comments by citizens. No comments were made. Motion carried 5-0. City Manager Frank explained that as they move forward to handle the debris from Hurricane Irma they will need to take money from reserves to move into emergency management account 402-534-00-5224 for the FY 17/18 for debris removal. The total amount for the debris removal will be $1.3 million; however, part of the removal will be handled from this year's budget so staff will need $900,000 from reserves for next year. It was further announced that this will not affect the millage rate. Mayor Johnson briefly explained the reserve funds are to handle unforeseen circumstances or disasters so he feels this would be the best way to handle it. Motion: Move to amend the tentative budget to add $900,000 from Reserve to Solid Waste Emergency Management Account 402-534-00-5224; Moved by Commissioner Wilsen, seconded by Commissioner Grogan. Chris Adkins, 606 Ridgefield Ave., inquired about the transfer of funds. Staff addressed his question. Ocoee City Commission Final Budget Hearing September 18, 2017 Commissioner Keller and Commissioner Wilsen inquired about the funds for Malcom Road. City Manager Frank explained that they can move the funds into the budget and advised that it would raise the current millage rate by about .03% putting the millage rate at 5.6546 mils. Mayor Johnson inquired what the current millage rate is. Finance Director Briggs answered it is 5.8291. Mayor Johnson further explained to those residents in the audience that the City had a millage rate of 5.8291 that they are proposing to decrease this year and wanted to clarify this as sometimes the newspaper will scare residents into thinking that the City is raising the tax base. Motion: Move to amend the tentative budget to add $75,000 for Malcom Road Resurfacing; Moved by Commissioner Keller, seconded by Commissioner Wilsen. Motion carried 5-0. 2. Comments by Citizens -None Mayor Johnson opened the floor for comments by citizens. No comments were made. 3. Discussion by Commissioners on Amendments Followed by Vote-None D) Announcement by Director of Finance of the proposed final millage rate and the percent by which the proposed millage rate exceeds the roll-back rate. This percentage is the proposed final percentage increase in property taxes. 6:26 PM Finance Director Briggs announced that the proposed final millage rate is 5.6546 and the percent by which the proposed millage rate exceeds the roll-back rate is 4.03%. This percentage is the proposed final percentage increase in property taxes. E) Adoption of Final Millage Rate City Attorney Cookson announced the name of the taxing authority is the City of Ocoee. The roll-back millage rate is 5.4357 mills. The percentage by which the proposed millage rate exceeds the roll-back rate is 4.03%. The millage rate proposed by the Ordinance is 5.6546 mills. He further read the title of the ordinance. The ordinance as adopted carries the following title: ORDINANCE NO.2017-022 AN ORDINANCE OF THE CITY OF OCOEE, FLORIDA, ESTABLISHING A FINAL MILLAGE RATE OF 5.6546 MILS FOR AD VALOREM TAXES FOR THE CITY OF OCOEE FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2017, AND ENDING SEPTEMBER 30, 2018; PROVIDING FOR MILLAGE ADJUSTMENT; PROVIDING FOR COLLECTION OF TAXES; PROVIDING FOR 4.03% IN MILLAGE RATE OVER THE ROLL-BACK RATE; PROVIDING FOR SEVERABILITY; PROVIDING AN EFFECTIVE DATE. Ocoee City Commission Final Budget Hearing September 18, 2017 1. Comments by Citizens -None Mayor Johnson opened the floor for comments by citizens. No comments were made. 2. Comments by Commissioners on Final Millage Rate-None 3. Motion to Adopt Ordinance No. 2017-022, Setting Final Millage Rate Motion: Move to adopt Ordinance No. 2017-022, setting a final millage rate of 5.6546 mils for Fiscal Year 2017-2018; Moved by Commissioner Keller, seconded by Commissioner Wilsen. Motion carried 5-0. F) Adoption of Final Budget City Attorney Cookson read the title of the ordinance. The ordinance as adopted carries the following title: ORDINANCE NO.2017-023 AN ORDINANCE OF THE CITY OF OCOEE, ORANGE COUNTY, FLORIDA, ADOPTING A FINAL BUDGET FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2017, AND ENDING SEPTEMBER 30, 2018; PROVIDING FOR SEVERABILITY; PROVIDING AN EFFECTIVE DATE. 1. Comments by Citizens-None Mayor Johnson opened the floor for comments by citizens. No comments were made. 2. Comments by Commissioners on Final Budget-None 3. Motion to Adopt Ordinance No.2017-023,Adopting Final Budget Motion: Move to adopt Ordinance No. 2017-023, approving a final budget for the Fiscal Year beginning October 1, 2017 and ending September 30, 2018; Moved by Commissioner Wilsen, Seconded by Commissioner Grogan. Motion passed 5-0. Finance Director Briggs said he would like to make one point of clarification for the 3% Cost of Living Adjustment (COLA) for the general staff He is requesting if that increase could go into effect the first full payroll in October as opposed to October 1st. Consensus of the City Commission was to approve the 3% COLA to be effective the first full payroll in October. Commissioner Grogan thanked staff for all their hard work on the budget. Commissioner Keller also thanked staff and further appreciates the hard work they put in getting the budget to where it is today. Ocoee City Commission Final Budget Hearing September 18,2017 Commissioner Wilsen also thanked staff and the Commission as a whole as they are all working together with moving the City forward and focusing on what is best for the City. Commissioner Firstner echoed the sentiments of his fellow Commissioners. Mayor Johnson shared it has been a pleasure working with the staff, City Commission, and citizens, as this City is a great place to be. He further encouraged residents to meet with him or staff if they feel they had unanswered questions with regards to the budget. III.ADJOURNMENT APPROVED: Attest: City of Ocoee /KZ.. Melanie Si bitt, City Clerk Rusty John on, M M. r