City Commission Workshop Meeting

City Hall City of Eustis, Florida 10 North Grove Street Post Office Drawer 68 Eustis, FL 32727-0068 Meeting Minutes- Final* City Commission Workshop Saturday, February 9, 2013 9:00AM Eustis Memorial Library, 120 N. Center St. CALL TO ORDER: Mayor Muenzmay - 9:00 a.m. ACKNOWLEDGEMENT OF QUORUM AND PROPER NOTICE Present: 5 - Linda Bob; Albert Eckian; Michael Holland; Karen LeHeup-Smith; and Kress Muenzmay I. Confirm Direction of Commission from January 31,2013 Workshop 13033 Confirm Commission comments on House Rules, Commission Responsibilities, Success Statement and Budget Survey Paul Berg, City Manager explained the agenda for the workshop and reviewed the comments from the January 31, 2013 workshop. Commission Responsibilities The Commission discussed the time frame for presentation of monitoring reports and use of the timeline report cu"ently prepared by Public Works. CONSENSUS: It was a consensus of the Commission to hold quarterly workshops which would include the project update reports. The Commission discussed how the various milestones would be set. CONSENSUS: It was a consensus of the Commission to omit the first bullet point under "Monitor Performance and Results" under Commission Responsibilities and change the third bullet point to read as follows: "Staff develops the milestones and timetables for each project for Commission approval." Commission Success Statement 2013 Mr. Berg cited the Commission comments regarding the handling of land sales by staff and reducing the number of meetings. He indicated that a recommendation regarding the proposed reduction in meetings would be brought to a regular meeting for consideration. The Commission discussed whether or not to continue with the stated two-hour limit for meetings in light of the possibility of reducing the number of business meetings. CONSENSUS: It was a consensus of the Commission to retain the two-hour limit for business meetings with the acknowledgement that the Commission always has the ability to either continue with the meeting or move any remaining agenda items to the next meeting. The Commission discussed the handling of questions under ''Audience to be Heard". CONSENSUS: It was a consensus of the Commission for the Mayor to respond to comments/ questions during ''Audience to be Heard" and refer the public to either the City Manager, Development Services Director or inform them the City doesn't handle the particular issue. If a Commissioner would like to see the item handled differently, they can bring it back up under "Comments". City of Eustis, Florida Page 1 Printed on 211512013 City Commission Workshop Meeting Minutes - Final February 9, 2013 Budget Survey Summary Mr. Berg reviewed the Commission's comments on the use of the roll back millage rate and explained the difference between the various roll back rates available to the City. He noted that in the past the City has only adopted the lowest rate available and has not taken advantage of their ability to recoup all of their lost revenue. He commented on the need to address the gap in recurring revenue and expenses and the effect of the millage rate on that gap. Jim Myers, Finance Director, explained that the higher rates take into account the inflationary cost of providing government services. He provided information regarding which of the millage rates would require a notice of tax increase to be published between first and second hearing on the millage rate. The Commission discussed the various possible millage rates, methods the City has used to reduce costs including improved efficiency and staff reductions, whether or not the City is able to reduce expenditures any further, and the need to address salary and benefit issues. Mr. Myers reported that a budget amendment would be forthcoming that would address the previously approved cost adjustments. He expressed uncertainty as to how the tax rolls would be affected by the election of the new Property Appraiser and stated that staff needs to have an idea of what the Commission will approve prior to July. He noted that the tentative millage rate will have to be provided to the Tax Collector in July and that if the Commission wants to increase it after that, there will be additional costs involved for the required notifications. The Commission discussed the following: 1) holding off on making a decision until after receipt of the tentative tax roll and recommendations on the employee pension and benefits; 2) whether or not to increase taxes to maintain or increase reserves; 3) the possibility of slowly increasing the millage rate to rebuild the reserves; and 4) providing information to the public regarding the improvements the City has made while reducing staff. Mr. Myers reviewed the planned schedule for preparation and presentation of the budget as follows: April18- CIP workshop; mid-July- receipt of property values; July 15-16 - Budget workshops; July 18 - approval of tentative millage rate; August 15- approval of CRA budget; and September 5 and 19 - tentative and final adoption hearings of millage rate and budget. Dianne Kramer, Development Services Director, noted that staff is recommending that a meeting be held on June 27th due to Human Resources receiving the insurance renewal rates on June 20th. She explained this would allow more time for the Commission to review the rates and discuss them. CONSENSUS: It was a consensus of the Commission to hold a workshop on June 27th to review the insurance rates and for staff to set the dates for the most critical budget meetings as soon as possible. The Commission discussed the need to clearly undercut the private market for facility rental fees and the wording for Item C regarding the budget survey results regarding maintaining current employment levels. CONSENSUS: It was a consensus of the Commission to approve revised wording for Item C as proposed by Commissioner Eckian as follows: C. Commissioners favor maintaining appropriate employment levels pursuant to the following guidelines: a. The City Manager and Staff need to continue to identify low performers and replace them with high performers, pursuant to periodic performance reviews following written guidelines and protocols approved by the City Manager and the Director of Human Resources. b. Commissioners do not favor workforce reductions for the sole purpose of balancing the budget in Fiscal Year 201312014. c. Commissioners favor maintaining or enhancing existing service levels provided by top performing employees. City of Eustis, Florida Page2 Printed on 211512013 City Commission Workshop Meeting Minutes - Final February 9, 2013 Emplovee Compensation The Commission discussed having a presentation by the City Manager and HR Director regarding the City's merit raise program, the need to offer higher raises to top performers than low performers, where the City should be ranked in comparison to the rest of the local job market, and presenting a proclamation to the City's employees in recognition of their efforts to reduce costs with the presentation possibly to occur at the Spirit Awards Luncheon in May. RECESS: 10:38 a.m. RECONVENE: 10:54 a.m. Discussion of Penny Sales Tax and Gas Tax Mr. Berg reviewed the County's proposal to transfer to the cities maintenance responsibility for some roads. He expressed concern that the proposed agreement does not set a policy as to when a road will be determined to be a city or county responsibility. He reviewed the proposed gas tax distribution noting that, under the agreement, the County would experience an increase in revenues with a corresponding decrease in the miles of roads they are responsible for while the City's revenue would decrease and mileage increase. He stated that, if the agreement is not approved, then the current formula would be used. He noted that he also did not agree with all of the roads proposed for transfer to the City. The Commission discussed the concern that gas tax income will continue to decrease due to more fuel efficient cars and the use of alternative fuels and not taking in any roads without assurance that the funds would be provided for maintenance. Mr. Berg explained the County's idea is to initially improve the roads to be transferred to an agreed upon standard, then the City would take over the road as with a new development. The Commission discussed the high level of traffic on a number of the proposed roads and the proposed "VMT- vehicle mileage tax" with Ms. Kramer explaining that all of the new state roads will be toll roads and that if a city or county does not participate in the cost of the road, then they will not receive a share of the toll revenue. Mr. Berg reported that the Lake Sumter MPO is considering proposing a sales tax for transportation which could make it more difficult to get the penny sales tax renewed for capital improvements. The Commission discussed the possibility of stating the City's position on the issues via resolution, the need to have a fair resolution to the maintenance of Park Place, the issue of ADA complaints about Kurt Street and the difficulty in resolving those issues, and how the City has often repaired County roads in order to reduce resident complaints. CONSENSUS: It was a consensus of the Commission to oppose the road swap and funding proposal unless the County revises the agreement to provide a fairer distribution of the funding. Mr. Myers reported on current discussion by the County Commission to exclude the School Board when they attempt to get the penny sales tax renewed and to commit to over half of the revenues to be spent on roads. He stated his belief that there had previously been formal action taken to leave the distribution as it is. He stated there was also a letter from the School Board to the County Commission stating they want half of the penny with the cities and County to split the other half. He expressed concern about the need for communication between the County and cities and the possibility of the sales tax referendum failing if the School Board moves ahead with their request for the half cent. He cited the criteria for use of the sales tax revenues and stated that the School Board, County and cities have all done exactly what was committed to at the time it was last approved. He noted that a lot of the City's share is already spent on transportation. He indicated that state law prohibits the City from spending any money to campaign for renewal. City of Eustis, Florida Page3 Printed on 2115/2013 City Commission Workshop Meeting Minutes - Final February 9, 2013 The Commission discussed how the sales tax was promoted last time including brochures that stated what projects had been paid for with sales tax revenues and sign age that was put up to further indicate the projects funded. They also discussed the timing for the referendum and the need for the cities, County and School Board to work together. LUNCH RECESS: 12:02 p.m. RECONVENE: 12:30 p.m. II. Review of Status of Current Strategic Plan for 2011-2012 13034 Review of Status of Current Strategic Plan for 2011-2012 Mr. Berg reviewed the current strategic plan, the goals, strategies and actions, provided a status report on each of the action projects, and reviewed the Future Priorities List noting progress made on a number of those projects as well. The Commission discussed the benefits of the Business Opportunity Center and the services available to the business community, parking for the downtown area including the possibility of the three Jots across from the library being used for future library expansion or parking, and how the City was able to significantly reduce the cost of the wastewater treatment plant de-nitrification project through maximizing use of the existing facility and reduced financing cost. III. Review and Discuss Strategic Plan for 2013-2014 including: * Vision, Mission and Values * Commission Priorities * Commission Direction to Staff CONSENSUS: Following discussion, it was a consensus of the Commission to retain the vision, mission three goals and affiliated strategies as stated in the current strategic plan. The Commission discussed the availability of an interpreter with a recommendation that the names be added to the management roster under "translation assistance". The Commission reviewed the actions under Goal #1 - To be a beautiful, livable city with a vibrant /akefront identity. The following recommendations were made for the actions for Goal #1: a) Determine and implement Phase I of the Ferran Park Master Plan with the possibility of including access for seaplane landings; b) Complete Palmetto Point Park improvements; c) Install gateway signs at the entrances to the City; d) Continue to invest in infrastructure improvements; d) Expand focus to include all of Central Eustis not just the Central Business District; and f) Encourage residential development within the CRA or Enterprise Zone. The Commission discussed ways to incentivize residential relocation to Eustis and a possible tax forgiveness program for building within the Enterprise Zone. RECESS: 2:28p.m. RECONVENE: 2:38p.m. The Commission reviewed the strategies and actions for Goal #2- To expand the local economy. Mr. Berg reported on discussions held with CenturyLink regarding fiber optics and work the City has done with Lake Tech to expand their welding and manufacturing programs. He noted that the Eustis High School's Curtright Center will become a four-year campus with various career academies and AP programs. He commented on the possibility of the City assisting with one of those programs, particularly the engineering program. The Commission discussed issues with people not feeling safe in the area around the Curtright Center and ways to address that issue including working to improve the appearance of the area. City of Eustis, Florida Page4 Printed on 211512013 City Commission Workshop Meeting Minutes - Final February 9, 2013 The following recommendations were made for the actions for Goal #2: a) Evaluate and implement local actions to encourage business expansion and growth; b) Continue with regular visits to local businesses; c) Continue to provide economic development space and information on the City's website; d) Continue to recruit new businesses to properties that will be served by the rail improvements; and e) Identify city-owned property that could be utilized for commercial development. The Commission discussed Eustis Main Street, Inc. and the need to ensure that the First Friday events are actually beneficial to the downtown businesses, approaching Pinsley Railroad about getting their assistance in bringing new businesses to the City; and which City properties could possibly be used for development. The Commission reviewed the strategies and actions for Goal #3- To provide quality, cost-effective public services. The following recommendations were made for the actions for Goal #3: a) Update user fees for park and recreation services and programs; b) Complete and implement the software/hardware project to improve the efficiency of financial/business systems and operations of the City; c) Continue to pursue opportunities for coordination of Fire Services with Mount Dora, Tavares and Lake County; d) Initiate the development of a Parks and Recreation Master Plan; e) Development and implement City fleet policies; f) Review long term options for infrastructure funding and viability of extending local sales tax; g) Evaluate the long term viability of City buildings and facilities and develop strategies to address deficiencies; h) Evaluate alternative uses for sale of reclaimed water other than for irrigation; and i) Evaluate and determine strategies to improve overall competitiveness of employee compensation. The Commission discussed the possibility of utilizing the mulch plant as a fire substation in the event the tri-city fire district is not approved, the possibility of continuing with the joint fire district without the County and with the inclusion of Umatilla, the need to keep the library on the cutting edge, the relocation of the Clifford and Bay traffic signal to either Macdonald or Magnolia and the possible elimination of the traffic signal at Lakeshore Drive in the event that road is re-aligned to eliminate that intersection. Mr. Berg concluded the meeting stating that staff would pull together all of the Commission 's comments to draft the new strategic plan as well as include those upcoming projects that are mandated along with a timeline and then another workshop would be scheduled. It was recommended that the draft plan be stamped "draft" and that any staff ideas for actions be included as suggestions. IV. Adjournment- 3:32 p.m. Mayor/Commissioner *These minutes reflect the actions taken and portions of the discussion during the meeting. Please note that due to the workshop nature and remote location of the meeting, there is no audio or video recording of this meeting avai lable. City of Eustis, Florida Page5 Printed on 211512013