Board of Commissioners Workshop Meeting

THE CITY OF MADEIRA BEACH, FLORIDA PUBLIC NOTICE BOARD OF COMMISSIONERS WORKSHOP MEETING The Board of Commissioners of the City of Madeira Beach, Florida will meet at City Hall, located at 300 Municipal Drive, Madeira Beach, Florida to discuss the agenda ttems of City Business listed at the time indicated below. 2:00 P.M. Thursday August 2gth, 2013 CONFERENCE ROOM CALL TO ORDER: The Meeting was called to order at 2:00 p.m. ROLL CALL MEMBERS PRESENT: Travis Palladeno, Mayor Terry Lister, Vice-Mayor Nancy Hodges, Commissioner District 2 Elaine Poe, Commissioner District 3 Pat Shontz, Commissioner District 4 STAFF PRESENT: Shane Crawford, City Manager (CM) Bob Metz, City Attorney (CA) Vince Tenaglia, Finance Director {FD) Aimee Servedio, City Clerk {CC) Derryl O'Neal, Fire Chief (FC) 1. TOPICS A. UPDATE ON BOND ISSUANCE FOR MUNICIPAL COMPLEX PROJECT Finance Director, Vince Tenaglia, Bond Counsel CM: He informed the BOC about what the Bond Council had completed in their court hearing. This occurred because there were not enough signatures for a referendum. There will be an answer form the court by the end of the week of 9/1. If the court rules in favor of the City, then the City will move forward with the project if the BOC wants it to as the BOC has final say. The bond market has changed and the City sits on poor soil. These factors will add around $700,000 - $800,000 to the project. City Staff is attempting to cut down on any unnecessary aspects of the project. The total price tag on the municipal complex is $9.9 million. The City will be putting down $5.9 million and borrowing 4 million. These projects should be spaced out appropriately so they can be monitored properly. FD: Reiterating the extra costs of the project (Bond market and poor soil) and is happy that this all comes together now as a new budget document is being given out today and there is a budget meeting coming up on 9/3. That budget will have new considerations that tie in this project in terms of cash funding as well as bond contributions. The biggest change in the budget comes from the utility undergrounding project. Just the North-South corridor on Gulf Blvd would have cost 6 million to underground. The City is planning on revising that estimate to match Pinellas County's Contribution which is 3.3 million. The City will use the money that it would have on that project and put it toward the municipal complex. There are other projects that are currenUy on hold as the City is still attempting to figure out what the future holds. However, in a year or so, some of those projects on hold will be feasible due to the fact that the City is going to be increasing its revenue. Parking rates are set to increase. The $300,000 debt service comes from the parking revenue figures. Last year was the best year the City experienced 1 I BOC Workshop Meeting 8/29/2013 in parking revenue and that number is predicted to be exceeded by 12% for this year. These excess dollars comprise the debt service and the money that the City will be gaining. CM: Now the City will not be doing the whole undergrounding, just a portion of it. City staff is now tasked with cleaning up the East-West wires and making them look presentable as some of them are hanging down. He made that recommendation a couple of weeks ago as there is so much going on. Stiefel Investment Team - They were chosen by the City, to be the underwriter of the bond for this project. He discussed interest rates for municipal bonds and how they affect the market and the ability for the City to issue the bonds. The Municipal bond market index, Municipal Open Market Data, sets the rates for all of the bonds in the current market. They are set from local governments who trade daily (AAA rated). The rates have increased from 2.75% to now over 4%. Tax-free bonds don't move hand-in-hand with Treasury Rates, but they are similar. V-M Lister: Is the City locked in at a 4% interest rate. Stiefel team replied no due to the fact that the interest rate isn't set until the bond price is set. This system isn't like a mortgage where the rate is set 30-60 days in advance. It usually occurs a day or two before the bond is issued. The bond gets issued on a Tuesday or Thursday at 9 am and by 11 am, mosUy all of the bonds are sold. This window is called the order period and the rate isn't locked in until that order period is done. Jeff Larson: The underwriting portion of the bond has been delayed and will be complete in early October. This happened because the validation period took a long time. Steifel's sales force contacts potential buyers for the bond, before it is issued in order to inform those parties that the bond is for sale. The underwriting team ensures that the whole bond is sold even if not all of it is during that order period. Underwriting usually can cover 5-15% of the deal, but in extreme cases, the percentage of coverage can increase to 70% of the deal. This takes the risk (exposure) off of the City and places it with that company. The economy is stabilizing, which increases bond rates. Madeira Beach is an unknown commodity in the bond market. The good and bad news is that the City hasn't canied any debt. Ratings cost money and the City needs to have them in order to get the bonds done. Ratings take into account future bond holders. Ratings are challenging because it's a small city, limited tax base, and there isn't a major employer that employs a large portion of the population, conservative nature of the City, and the last one is tropical risk due to elevation. Due to the conservative and financially savvy actions taken by staff, the City has attained an A2 rating. There are 67 counties in Florida and out of those, about 65 have ratings. There are around 600 cities and about 400 have ratings in addition to around 100 more issuing authorities. Out of all of those (700ish), there are only 5 AAA rated municipalities in the whole state. The City has strong cash, reserve levels, and has not overspent. He also praised the City for its use of the millage rate and that it has not spent its cash is a frivolous way. The City also obtained insurance that lasts for 30 years. This is a big accomplishment for the City. The bond issuer acts as a guarantor. The A2 rating lowers the price that the insurer asks because the City has a solid track record. The City saves money by only getting one rating ($15,000 as opposed to 45,000 for 3 ratings). Also there was no trip to NY (where Moodys rating is located) which also saves around $10,000. The timetable is on a 3-4 week delay. The key date is 9/10, with the bond attorney, with the go-ahead for the bond. The document will have delegation parameters (i.e. "not to exceed an amount•, "not to exceed a term•, •not to exceed a certain fee to the underwriters", "not to exceed an interest rate"}. The BOC will approve the bond based on these parameters. The bond will be priced and put out to market around 10/9/13. This is the day that the rates will be fixed by around 11 am or noon that day. This will set the rate for the next 30 years. Money hits the account 9/24. CM: The unsuitable soil has lead to the increase and now there will be a piling system instead of the grades that would go directly on the ground. This is why the staff recommends spacing out some of the projects and to invest some more cash now. Secondly the bond validation needs to be won in court. FA Larson is confident that the City will receive the news it desires from BOC Workshop Meeting 8/29/2013  the Bond Validation hearing. The court decides if the bond is financed in a legal way. It is so there really shouldn't be an issue. The side that was representing Madeira Beach came in with the proper paperwork and documentation while the "opposing side" had nothing. In general, the City should be pleased with how it was represented. The ratings and insurance really keeps the cost down and the Financial Advisor supports what the staff has recommended. Individuals with Pinellas County Zip codes as well as other people in FL have first priority on the bonds as they will have bigger yields. 4.4 million dollars is what is being borrowed. Furthermore, the staff requested a square footage decrease and the rates will only decrease and not increase from this point forward. The staff does want to cut corners in order to save money and end up with a su~par product, but if there is money to be saved, that will be taken into account. B. DISCUSSION ON 2014 41h OF JULY CELEBRATION City Manager, Shane Crawford CM: Every municipality throws a 4th of July Party that costs some money. The weather hasn't cooperated and it is extremely stressful for City Employees to coordinate this effort. The two ideas are to shoot the fireworks off in John's Pass and the other is the existing location. There should be a publicized Plan A & Plan B. Plan A is to throw the biggest show on the West Coast of Florida and if there is inclement weather, then the City will encounter the same problems that it did this year. "To throw a $45,000 where people are running back and forth to their cars 7 times a day doesn't make sense". CSD would recommend against a party and to shoot the fireworks off in the Gulf or where they were shot off this year. The barge has also been a hassle and that adds another wrinkle to the whole celebration. Commissioner Shontz: Recommends a party at John's Pass Park or even have a carnival. The event this year was very tough to coordinate. The issue about that area is that it isn't a great beach spot as it has crazy currents. She also discussed other alternatives with other structures to shoot fireworks off. V-M Lister: Talks about the possibility of collaborating with Treasure Island even though that could be tricky. CM: People will come regardless of if there is a party or not. The City could start something at 3 or 4 pm rather than 11 am due to the fact that people are anticipating fireworks. Consensus is this is to be returned to in 30-60 days for more discussion. C. DISCUSSION ON REBIDDING VENDOR AGREEMENT OF SNACK SHACK (BOTH CHAIRS AND CONCESSION) Commissioner Elaine Poe, City Manager, Shane Crawford CM: This project was already bid out and what was bid out is not going to be there in a couple of months. A million dollars is going to be invested in the attraction of the north side of the City. Along with how it is being managed is a deterrent for the CM to continue with the current winning bidder and he recommends that it be rebid. There is a "cause" clause in the contract, but his concerns don't fall under the cause aspect of their contract. Thus the City must submit a 90-day notice to the vendor that it is going to be rebid. Commissioner Poe: The quality of the Snack Shack isn't up to the City's expectations. She doesn't like the type of people that have been around the beach and if the City is going to invest money there, there should be a reason for improvement. CM: The process is that a letter is drafted, CA Trask looks at it and he signs off on it, then it is sent out. He wants to do the RFP for this project as soon as possible and hopefully there will be positive responses for it. He wants CA Trask to draft/look at it as well as there will be red tape. The current vendor must operate during the 90-days even though they may not be retained after the new bid process. V-M Lister: The improvements that are being done are for everyone and the whole public will benefit. The City isn't trying to land a landmark hotel, it is for the residents and visitors of the City. These issues are solely regarding the Snack Shack and it is open to everyone who wants to be in attendance. BOC Workshop Meeting 8/29/2013 Consensus is for the City Manager to move forward with the new RFP and to rebid the Vendor for the Snack Shack. D. DISCUSSION ON FLORIDA BOATING IMPROVEMENT GRANT PROGRAM City Manager, Shane Crawford CM: He along with CSD Marsicano wrote a Boating Improvement Grant that improve dockage along John's Pass. The City needed a 65 and they got a 64 so the grant wasn't given to Madeira Beach. This was for only $16,000 and it was for engineering. So if the City was to miss out on a Grant, this would be the one. E. DISCUSSION ON CAR WASH PROPERTY FOR SALE ON GULF BLVD City Manager, Shane Crawford CM: This property is right behind Bank of America. He floated $150,000 to the owners and they rejected it. It's on the market for around $600,000. 2 issues arise: The City doesn't want vacant property that can be used by anyone for whatever purpose and the City already has a parking problem. Semis and Buses need a place to wait when they drop patrons off at the attractions at John's Pass (i.e. Casino Boat). "For the right price, that is a worthwhile property to invest in". At $200,000 it is worth it. If the BOC is interested, then a right price needs to be figured out. The value to the City is around 50% of the appraised number. The City isn't budgeted for this purchase, but when it is available, the City should be able to snatch it up. The "Catch-Basin" could be moved to be utilized by the City when Public Works needs to clean off the trucks as what they are cleaning off cannot run-off into the Gulf. Jf the City nets $20,000 a year from the lot, ii pays for itself over 10 years. This will relieve congestion at John's Pass as well as be used for overflow parking for Archibald Park. There are also 2 beach easements across the street and this will help the congestion and parking a whole lot. He doesn't think that $200,000 is enough to buy it. He doesn't want to look back at a missed opportunity if the City doesn't buy it, but that doesn't mean they have to overpay. Consensus is to look into it and see what the City can get it for. Doesn't need to act rashly, but needs to seriously look into it. The property isn't worth $600,000 and the City will negotiate. F. DISCUSSION ON LIBRARY BOARD APPLICATIONS City Clerk, Aimee Servedio CM: The Library Board has 2 open positions currently held by Martha Boos & Deby Weinstein. There are 3 applicants, with one incumbent - Martha Boos, and the others are Brian Boumeman & Steve Kochieck. The BOC needs to choose 2 out of those 3. The BOC voted and gave them to CC Servedio. Appointments will be made at the next BOC meeting (9/10). G. DISCUSSION ON TREASURE ISLAND/MADEIRA BEACH CHAMBER OF COMMERCE City Manager, Shane Crawford CM: What has been out in the public about the new Chamber is true. He had a meeting with Bill Edwards and Bill will be the new Chairman of the Chamber. He wants to put money into this chamber and the funds can only do good things for it. Adding Madeira Beach to the Treasure Island Chamber of Commerce helps both cities. However, the TB Beaches isn't thrilled about this formation of this new entity. Nothing illegal was done and Tl/MB Chamber isn't asking the BOC for any money as they solicit funds from the businesses. This Chamber didn't need to ask the City for permission to create this body either. The TB Chamber is wondering if they can co-exist and CM doesn't have an answer to that. There isn't really an action that can be taken; it is just going to happen. CM has supported the TB Beaches and will continue to do so because it is well known and has served the City well in the past. Commissioner Hodges: She heard about the new Chamber in the Beach Beacon. She stands behind the City and doesn't want to get anything taken away from Madeira Beach. Robin TB Beaches Chamber of Commerce - "Everyone can play fair in the sandbox and they have been doing a good job servicing all of the businesses from St. Pete Beach to Indian Rocks". There are certain aspects that need to be met if an entity is to be considered a chamber and she is not going to speak about the Tl/MB Chamber. The TB Beach Chamber of Commerce is board certified, have received awards, and work with the Cities and local governments in order to make their businesses the BOC Workshop Meeting 8/29/2013 most attractive they can be. They work to help market the area and the businesses along with Visit St Pete/Clearwater. This chamber is endorsed by every beach along the beaches except for Treasure Island. TB Chamber of Commerce would like to be considered Madeira Beach's Chamber due to their work for the City. "There are a lot of small businesses in Madeira Beach and they only have so much money for marketing and impact and the existence of 2 chambers makes it difficult to figure out where to spend that money. The TB Beaches Chamber of Commerce is attempting to mitigate that." H. DISCUSSION ON THE PROCESSING OF SPECIAL EVENT PERMITS Mayor Travis Pa/ladeno, City Manager, Shane Crawford CM: Mayor Palladeno brought this issue to the attention of City Staff. This process has been changed by the BOC. Staff used to process these requests and would just report back the facts to the BOC. There is a timing issue involved with processing these permits because the event permit application is submitted way in advance and the proper personnel have not signed off on the permit. The 60-day advance window isn't as feasible as it should be for the smaller events. CM has sent out an Ordinance where it changes the approval process back to staff and staff reports to the BOC. This is not a power struggle between the BOC and the CM, it just streamlines the process as well as taking out a substantial portion of the packet that the BOC must look over at every meeting. Currenfly, the process is rushed and not as thorough as it could be and there isn't enough data for the BOC to accurately approve it. Mayor Palladeno: The BOC trusts the staff and issues arise that cannot always be dealt with by BOC action swiftly. The City wants to have more events and there is a very condensed timeline, and it isn't necessary to make every event come up before a BOC meeting to receive approval. Commissioner Shontz agrees and thinks it should be handled by staff. V-M Lister: When it comes up in front of the BOC without enough time for proper research of the permit, the requester attempts to get over on the BOC and ask for more than they bargained for. Would like that the CM make the decision for special permits, because he wouldn't turn anyone down. CM: Politically it's tough for the BOC to disapprove a permit. He can turn people down and not be in fear of losing his job or being voted out of office. It would look bad to tum someone down if they are in violation of 1 technicality. BOC: Free parking figures need to be determined because the City loses money when they give those lots away for free for the events. In the past this was allowed, but ifs 2013 and the City is run on parking revenue. If the CM charges the one who is throwing the event money for parking, that is acceptable. CM: Previously this process wasn't standardized and people were getting concessions based on theoretical rather than actual knowledge of the cost. A codified methodology will make permits more concise and will generate more income for the City. The BOC will still know what is occurring within the City without being the approving authority. He will be reporting all of the specifics of the event as the CM doesn't want the BOC to anger their constituents. There is a careful balance that the CM thinks he can tightrope. CA Trask has these edits and he needs to draft a new Ordinance. Once that is completed, an Administrative Procedure will be drafted to codify the process. I. DISCUSSION ON CITY PUMP OUT ORDINANCE Commissioner Elaine Poe, City Attorney Tom Trask Referred to the next Workshop to accommodate CA Trask and length of meeting J. DISCUSSION ON CITY RENTAL INSPECTION ORDINANCE Commissioner Elaine Poe, City Attorney Tom Trask Referred to the next Workshop to accommodate CA Trask and length of meeting K. DISCUSSION OF FEES AND COLLECTION MANUAL City Manager, Shane Crawford, City Attorney Tom Trask sl BOC Workshop Meeting 8/29/2013  Referred to the next Workshop to accommodate CA Trask and length of meeting L. DISCUSSION OF POTENTIAL BUS STOP REPLACEMENT PROJECT Vice Mayor Terry Lister, City Manager, Shane Crawford CM: Spoke with V-M Lister and in a meeting with PSTA, they informed him of a grant (which is matching) for 13 bus stops. 13 is a critical number based on ridership and since the City has a lot of ridership, they will match the grant (the City was awarded it). The going rate for a covered bus stop is $8,000. They will match up to $52,000. The City has 40 bus stops. 13 of the 40 bus stops would be replaced ($52,000 from the City and $52,000 from PSTA). This money would have to be moved around - The Gulf Blvd Money (3.3 million). CM recommends that the City only do 13 because PSTA has not yet assured the CM that the grant will be available next year and whether or not ridership will change (could even increase). FD - Thinks this is a great idea because of the grant matching as well as possible reimbursement from Pinellas County. CM - This would be bid out and the $8,000 figure is a rough estimate. PSTA will draw a line at some point (depends on how much the structure costs). There are stops with fans, AC, misters, etc. V-M Lister - Would like to incorporate an umbrella-like structure and ensure that no one can lay down (to prevent people from spending their nights in a bus stop), but understands the limitations based on money. This is a buy-one-get-one scenario and V- M Lister is a fan of that. If the structure was constructed in Florida, then he would be more apt to get that one, but still knows this has to go out for bid. CM: The City will use some of the Gulf Blvd money and FD will have to budget for it. The City also needs to receive LAP Certification from FDOT in order to get this done. The ones that will be replaced are based on ridership and the ones that are to be replaced will be sporadic and dispersed throughout the town. M. DISCUSSION OF HOLIDAY DECORATIONS City Manager, Shane Crawford CM: Asks for permission if staff can choose the decorations. Last year was a convoluted process and the CM isn't happy with the vendor that was used last year. CM wants to change things up a little bit (items on posts on Gulf, Madeira Way, and 15Q1h). Commissioner Shontz: Would like to collaborate with all the beaches, but they are all doing their own thing. V-M Lister: Would like to see the decorations during the day if possible and if there was some incorporation of City Government signage (was semi-joking}. CM: The City will utilize the existing contract for 1 more year and then create an RFP and figure out a new method. It will most likely look the same as last year. Consensus is that the Staff can handle the Christmas Decorations. N. DISCUSSION ON METHOD OF RECOGNITION FOR BUSINESS AWARD City Manager, Shane Crawford CM: This is just an update. The Staff has accomplished everything it set out to do and he showed the BOC what the key to the city will look like in the shadow box. There is a sign for Waltz Fish Shack to display outside of their business. They will be invited to the next BOC meeting and will be presented then. 2. ITEMS ON DECK FOR NEXT WORKSHOP A. DISCUSSION OF TECHNOLOGY TO BE USED FOR COMMISSION PACKETS - CM discussed with Commissioner Poe and that is still in the works. B. DISCUSSION OF STANDARDIZING PARKS - City is still in the process of doing that. C. UPDATE ON CAPITAL IMPROVEMENT ELEMENT {C.I.E.)- The CIE will be looked over in Court. BOC Workshop Meeting 8/29/2013 CM: Discussed the changes in the trip to Bimini. There are currently 2 tentative dates: 9/18 & ether 10/8 or 10/9. The CM's personal calendar might conflict on 9/18. The date will be agreed upon at a later date. He went over the logistics about the trip. Mayor Palladeno: North Redington Beach will be doing some East-West undergrounding and the figure he heard was $18,000 per line. CM is getting a different quote and the City is using a different pricing point. It will depend on where and how difficult the undergrounding is. 3. ADJOURNMENT: Meeting was adjourned at 3:58 p.m. ~ DateApprowd: q .\ 0-13 ~~ /rravisPai1adeno, Mayor Submitted by Aimee Servedio;"City Clerk The law does no! require the City Clerk: to transcribe verbatim minutes; therefore, the applicant must make the necessary arrangements with a private reporter or private reporting firm and bear the resulting expense. In accordance with the Americans with Disability Act and F.S. 286.26; any person with a disability requiring reasonable accommodation in order to participate in this meeting should call 727-391-9951 or fax a written request to 727-399-1131. POSTED: August 12, 2013 THIS MEETING IS TELEVISED LIVE ON CHANNEL 16 BOC Workshop Meeting 8/29/2013 Any person who decides to appeal any decision of the City Commission with respect to any matter considered at this meeting will need a record of the proceedings and for such purposes may need to ensure that a verbatim record of the proceedings is made, which record includes the testimony and evidence upon which the appeal is to be based. The law does not require the City Clerk to transcribe verbatim minutes; therefore, the applir.ant must make the necessary anangements with a private reporter or private reporting firm and bear the resulting expense. In accordance with the Americans with Disability Act and F.S. 286.26; any person with a disability requiring reasonable accommodation in order to participate in this meeting should call 727-391- 9951 or fax a written request to 727-399-1131. Posted: August 23, 2013 Televised live on Channel 615 al BOC Workshop Meeting 8/29/2013