Board of Commissioners Budget Workshop Meeting

BOARD OF COMMISSIONERS MEETING MINUTES BUDGET WORKSHOP MEETING June 14, 2018 Page 1 of3 A budget workshop meeting of the City of Madeira Beach Board of Commissioners was held at 1:00 p.m. on June 14, 2018 in the Patricia Shontz Commission Chambers at City Hall, located at 300 Municipal Drive, Madeira Beach, Florida. Mayor Black called the meeting to order. MEMBERS PRESENT: Maggi Black, Mayor Deby Weinstein, Vice-Mayor/Commissioner District 1 Nancy Hodges, Commissioner District 2 Nancy Oakley, Commissioner District 3 John Douthirt, Vice-Mayor/Commissioner District 4 CITY STAFF PRESENT: Jonathan, Evans, City Manager Andrea Gamble, Deputy Clerk Walter Pierce, Finance Director 1. CALL TO ORDER Mayor Black called the meeting to order. 2. ROLLCALL City Clerk Clara VanBlargan called the roll. 3. PUBLIC COMMENT There were no public comments. 4. TOPICS FOR DISCUSSION A. Continuation of the Budget Narratives Department directors that gave an overview of their department narratives, goals, and objectives for FY 2019 were Building Official Frank DeSantis and Public Works/Marina Director Dave Marsicano. The directors and the City Manager answered questions from the Commission. B. Review BP Settlement Money and Requests for Use on Capital Projects Finance Director Walt Pierce said the budget document is evolving and is only a draft at this point. It will change as the Board provides their feedback. The City Manager said they are trying to set the money aside, so they can plan. If he understands what the Board would like, he can develop a workplan to accomplish this. Staff will have to get quotes prior to bringing the Board a final number. This number does not commit the Board to spending the money until the final budget is approved. If the Board is okay with allocating the funds towards specific projects, staff will bring this forward and identify what they believe to be the pinch points of these issues. BOARD OF COMMISSIONERS MEETING MINUTES BUDGET WORKSHOP MEETING June 14, 2018 Page 2 of 3 The City Manager and Director Pierce answered questions from the Commission. C. Capifal Improvement Program (CIP) for FY2019 City Manager Jonathan Evans, Finance Director Walt Pierce, Public Works/Marina Director Dave Marsicano, and the City's engineer Al Carrier gave an overview of the Capital hnprovement Program for FY 2019 and answered questions from the Commission. Mayor Black called for a break at 3:32 p.m. and then the meeting was reconvened at 3:48 p.m. n. Review of Departmental FY2019 Operating & Capital Budget Requests The City Manager said in accordance with the City Charter he provided the CIP by July 1st and will provide the entire proposed budget and CIP by August 1st, Finance Director Walt Pierce said moving forward Board direction is needed. The City Manager said the projects listed on p. 7 are already funded in 2018. The Board will roll the projects forward until they are completed. If the projects have not started in 2018, the Board cannot move forward with them and the money would go back to LOST Fund. Director Pierce said they referred to the Consumer Price Index (CPI) regarding the cost of living for raises. On p. 12 is shows a 2.1 % increase for this purpose. The City Manager explained that they included a 2.1 % raise to be consistent with the cost of living increase. They are considering building a merit-based system that needs to be created and establish the criteria on how much employees are compensated. There are positions that are not as competitive in their salary range. Doing a compensation study can be risky because if it comes back that employees need a 10% increase then there is an expectation that it will happen. If it does not happen, then it could hurt employee morale. The City Manager and Director Pierce answered questions from the Commission. Commissioner Oakley expressed concern with doing a merit-based program midway through the fiscal year. The City Manager said it would start on October 1st or on the employee's anniversary date. Mayor Black stated that raises should be based on merit. Vice-Mayor Weinstein said the COLA increase should be the base raise. Six months later employees should be eligible for a merit mcrease. The City Manager asked if the Board agreed with having the 2.1 % COLA and another 2% merit increase. The City Manager explained that health insurance numbers should be received by Friday. It is not uncommon for cities to pay 100% of the coverage for an employee and the employee kicks in for their family. The City currently has a pool system and health care costs have increased. New BOARD OF COMMISSIONERS MEETING MINUTES BUDGET WORKSHOP MEETING June 14, 2018 Page 3 of3 employees could be placed on a different insurance and investment plan. They are looking at paying for the base plan and then to provide other plans that the employee can contribute into. Vice-Mayor Weinstein said employees are the greatest asset. Commissioner Hodges said using the cities that were analyzed for increase caparisons is fair due to the size of Madeira Beach. Director Pierce said the operating expenditures per the department requests are shown. Department requests consist of personnel and less the capital expense. He included the 2.1 % in each department's budget. Under the operating expense, departments were told not to increase their budgets by more than 2%. Commissioner Douthirt asked if the budget committee had looked it over. Director Pierce said they wanted to show this to the Commission first and then go to the Budget Review Committee next week. Once they have the comments from the Committee they will bring it back to the Commission. This budget is pretty much balanced. Commissioner Douthirt asked if the two new positions were included. Director Pierce said it included the new planner and public relations positions. The cost of the information specialist position will be about 1/3 ofthe actual cost because they were able to take money from other funds. Commissioner Douthirt asked if the sanitation workers' payroll will be increased by 2.1 %. The City Manager said this will not bring them close to where the market is. They are about 25-30% under the current market. Director Marsicano said the sanitation and marina are under the enterprise fund and do not impact the general fund. The City Manager said they have to calculate impacts from the general fund and enterprise funds. They will work on this information and bring it back to the Board. He will provide the information from the community values survey as well. 5. ADJOURNMENT Mayor Black adjourned the meeting at 4:41 PM.