City Commission Workshop Meeting

~ " -- ~ . U,. 9 o•lu,. 11 .~ .;= .. " MINUTES City Commission Workshop APPROVED:5/20/2021 ~1 '1""11 JC"U.•C"I .Alf. ~ : , IU ~-.1~ · h 1 !~ ~ j j ~ ~- --= 5::0_:_ 0~P_:M~ - .T:_:_hursday, May 6, 2021_-_c_ity _ H_a_11_ _ _ _ _ _ _ __ CALL TO ORDER: 5:30 P.M. ACKNOWLEDGEMENT OF QUORUM AND PROPER NOTICE PRESENT: Vice Mayor Emily Lee, Commissioner Karen LeHeup-Smith, Commissioner Nan Cobb, Commissioner Willie Hawkins, and Mayor Michael L. Holland 1. WORKSHOP ITEM WITH COMMISSION DISCUSSION, PUBLIC INPUT AND COMMISSION DIRECTION 1.1 Workshop for overview of FY2021-22 budget and review of Capital Improvement Plan Ron Neibert, City Manager, explained that the Capital Improvement Plan was still being finalized and would be presented at a later date. He proceeded to provide an explanation of the City's budget and financial structure. He reviewed the various types of funds the City uses and explained that the General Fund supports the vast majority of City services and operations. He added that the General Fund is also the fund that the City has the least control over. He then reviewed the various special revenue funds and explained the uses allowed under each fund . He provided an overview of the proprietary/enterprise funds. Mr. Neibert then explained where the various revenues are derived from including General Fund, Special Revenue Fund and the Proprietary Funds. Mr. Neibert then provided a review of the all funds budget summary for FY2020- 2021 . He commented on the possibility of presenting to the Commission in the future an increase in the Stormwater fee noting that it had been 16 years since it was last increased. He noted criticism the City has received regarding waiving the water and sewer impact fees and stated the City was able to do that due to its strong reserves in that fund . He explained , rather than continue to build the reserves , it was felt that it was better to use those funds to help increase growth in the City. Mr. Neibert then reviewed the various revenues in the FY2020-21 budget. He cited the possibility of increasing the amount of the Water/Sewer Fund interfund transfer. He reviewed the planned and actual expenditures in the FY2020-21 budget and provided a breakdown of expenditures by department. He noted that in any City the biggest portion of the budget is for public safety. He stated that Eustis pays more per capita for public safety than any other city in Lake County. He explained that, when drafting the budget, staff looks at expected increases in expenditures such as increased pension and insurance costs. Eustis City Commission Workshop Page 1 of 2 May 6, 2021  The Commission asked if the City's insurance cost is affected by the ISO rating with Mr. Neibert responding negatively. He stated it does affect residents' insurance costs. He explained that the level of training in the police and fire departments does affect the City's insurance costs . Mr. Neibert then reviewed the Street Improvement Fund and explained that the City expends most of what is taken in each year in order to properly maintain the City streets. He reviewed the Stormwater Utility and Water & Sewer Funds. He commented on the need to utilize fund reserves in order to maintain the balanced budget due to reductions in revenues over the past year due to the corona virus . The Commission asked how the City obtains revenue from back flow prevention with Rick Gierok, Public Works Director, explaining that is an expense not a revenue and is required by DEP to prevent pollution of the water supply. The Commission asked if the downtown patrol officer's salary could be funded through the CRA with Mr. Neibert responding affirmatively. They also asked why the stormwater fees have not been increased in 16 years . Mike Sheppard, Finance Director, responded that it was attempted previously with Mr. Neibert adding that there was no will by the Commission previously to do so. Mr. Sheppard stated support for it being increased incrementally based on a professional assessment. Mr. Neibert explained that the CIP will be presented to the Commission in the near future. He added that the department heads will be submitting their draft budgets in the next week and then he would review them. He stated, once the estimated ad valorem revenues are received in June, then the draft budget will be presented to the Commission along with the departmental requests. 2. ADJOURNMENT: 5:33 P.M. These minutes reflect the actions taken and portions of the discussion during the meeting. To review the entire discussion concerning any agenda item, go to www.eustis.org and click on the video for the meeting in question. A DVD of the entire meeting or CD of the entire audio recording or verbatim transcript of the meeting can be obtained from the office of the City Cieri< for a fee . MICHAEL L. HOLLAND City Clerk Mayor/Commissioner Eustis City Commission Workshop Page 2 of 2 May 6, 2021