Budget Workshop

On July 14, 2025, the City Commission of the City of Wauchula, held its regularly scheduled budget workshop at 4pm. The workshop was held at 225 E. Main Street, Wauchula, Florida. Nadaskay called the workshop to order. COMMISSIONERS PRESENT Commissioner Anne Miller Mayor Pro Tem Russell Smith Mayor Keith Nadaskay Commissioner Sherri Albritton Commissioner Gary Smith STAFF PRESENT City Manager Olivia Minshew Deputy City Manager John Eason Assistant City Manager Sandee Braxton Community Development Director Kyle Long Assistant Chief of Police Tom Fort Director of Project Management and Procurement Ward Grimes 2025-2026 Proposed Budget Discussion Braxton began by stating the 2025-2026 proposed budget was $26.4 million. Braxton explained that, although the budget was balanced using the rollback rate, that was only made possible by using fund balance for things that would not normally come out of that fund. Braxton explained the largest contributing factors for the increase in expenses, as well as a few strategies to increase revenues, which included a potential tax increase. Braxton discussed the following Contributing Budget Factors, which summarized the entire budget proposal. Personnel Services While not the largest expenditure type, personnel expenditures do make up a significant portion of the City of Wauchula’s overall budget. Therefore, staff spends considerable time each year reviewing personnel expenses. A quick recap of the factors relating to personnel impacting this proposed budget include:  Continuing to implement the new step plan for all employees to prepare for the $15 minimum wage requirement by September 30, 2026. Overall salaries for the proposed budget is $4.35 million which is a 10.33% increase from current budget  Individual step raises for employees who are expected to or have achieved certain milestones  Health Insurance will see a significant change this year. The City is moving from a fully funded structure to a self-funded pool which will decrease the volatility of future rate changes and budget fluctuations. The fully funded renewal was quoted at a 13% increase. Switching to the self-funded pool, we will see an approximate 8.25% increase in premiums.  Maintaining current Health Savings Account (HSA) contribution levels at $3,200 for family and $1,600 for individuals.   Continued funding of the Employee Wellness Program.  Workers’ compensation premiums increased 20%.  The required annual contribution to the Pension Fund is 9.34% of payroll. The required OPEB contribution is 0%. Operating Expenses Every department is carefully reviewed each year to ensure sufficient funds are budgeted to maintain city & utility operations, while being prudent with taxpayer and rate payer dollars. The following factors are worth noting in operating expenses:  The budget includes an increase of 20% for automobile liability, and property and casualty liability premiums. This change can be seen across all Funds  Continuation of the Employee Recognition Program and related funding for such can be seen in both the General Fund (Dept 519-54920) and Utility Fund (Dept 539-54925) at $2,500 each.  Continuation of the workstation replacement schedule produced the need for 8 computers and 9 tablets in 11 different departments. The departments include 511, 512, 513, 519, 521, 572, 502, 533, 535, 539, and 593.  Routine termite tenting of some City facilities will need to take place during FY26. These facilities include 303 W Main Street (former Police Department), 723 Green Street (former Boy Scout Building), and 135 W. Main Street (the Train Depot) and are budgeted at $23,000 in 519-54620  Hardware upgrades for IT security and storage have been budgeted in 519-55200 and 539-55200 for a combined $3,000. This annual replacement budget will keep our IT security hardware up to date and ensure continuous functionality.  Another $10,000 is budgeted for the next phase of street name sign replacement throughout the city-limits in 541-54600.  Lift station liner repairs and a 5HP discharge pump are budgeted in Dept 535-54680 and Commented [SB1]: a new chart recorder and Supervisory Control and Data Acquisition (SCADA) upgrades are budgeted in 535-55200 all totaling $16,000. Sludge Hauling did go out to bid and was approved by commission earlier this fiscal year.  A new line item in department 535 has been created to account for sludge hauling expenses due to new regulations from FDEP. This is budgeted in 535-55210 for $125,000.  Annual recloser replacement for the electric distribution system can be seen in 593- 55202 for $30,000.  Regular pole inspections are due again in this fiscal year. We have budgeted $60,000 (593-55268) to inspect all utility poles belonging to the City of Wauchula for treatment and replacement.  In order to expedite LED street and yard light replacement installation, we have increased this budget to $70,000 (593-55280)  There is another employee in the Electric Distribution Department (593-55400) that needs to begin apprentice school starting next fiscal year which is budgeted at $12,000. Capital Expenditures The City continues to invest in our facilities, equipment, vehicles & existing infrastructure. Proposed capital expenditures are approximately $8.23 million for FY 25-26. The following items are representative of this commitment:  Vehicles and Equipment o As a continuation of our established fleet replacement program, the following replacements have been budgeted for this fiscal year. These can be found in:   General Fund  Dept 521-Police Department o 3 Police Vehicles ($180,000)  Dept 572- Recreation o 1 Service Body Pick-Up Truck ($63,000) o Zero-Turn Mower ($19,500)  Utility Fund  Dept 533- Water Distribution o Backhoe ($125,000) Commented [SB2]: For Buildings and Other  Dept 535-WWTP Infrastructure, the first item we have is an upgrade to o 1 Pick-up Truck ($50,000) our public works fuel system. This is partially funded  Dept 536- Sewer & Locates with a grant through the department of emergency o Plotter printer for GIS maps ($6,000) management and the remaining funding has been split between the general fund, utility fund, and sanitation o Sewer Camera ($10,500) funds. This upgrade will increase capacity and storm  Dept 539- Administration harden our current system. o Skid Steer ($125,000) o Replace GIS Server ($6,500) Budgeted improvements in the roads and streets  Dept 593- Electric Distribution department (541) are a mill and repave of downing o 1 Bucket Truck ($280,000) circle and the installation of street lighting along hidden creek circle. o Gooseneck Equipment Trailer ($20,000) In the Utility Fund, the Water Treatment plant has a Chlorine analyzer budgeted.  Buildings and Other Infrastructure Water distribution has an update to our Water Facilities o Dept 519- General Administration plan.  Public Works Fuel Farm ($15,350) o Dept 541- Roads & Street Projects for the Waste Water Treatment Plant include  Downing Circle mill and repave ($230,000) painting clarifier #2 and repairing a jockey pump  Hidden Creek Circle Street lighting ($50,000) Repairs and updates to sewer lines between knollwood o Dept 532- Water Treatment Plant and farr field and another on peace drive are budgeted  Chlorine Analyzer ($5,200) in the sewer department. o Dept 533- Water Distribution  Water Facilities Plan update ($75,000) The Utility Administration department has planned o Dept 535- Waste Water Treatment Plant updates of enclosing additional covered storage to  Painting clarifier #2 ($40,000) protect inventory items. This is also where we will see  Repairing the jockey pump ($8,000) the utility funds portion of the public works fuel system update. o Dept 536- Sewer & Locates  Replace 8-inch Gravity Sewer line between Knollwood and Farr Field lift The electric distribution department has planned capital station ($450,000) improvements totaling $176k. These include storm  Repair sewer line on Peace Drive ($40,000) hardening various distribution lines, purchasing back-up o Dept 539- Administration relay breakers, installing capacitors on the distribution  Enclosing additional covered storage ($25,000) system, additional switch installations and additions to the Hardee Crossings development.  Public Works Fuel Farm ($15,350) o Dept 593- Electric Distribution Capital budgeted for the sanitation fund is for its portion  Spare Relay Breaker ($6,000) of the public works fuel system.  Storm hardening projects ($100,000)  Hardee Crossing Subdivision extension ($10,000) Projects in the CRA budget include…  Capacitor Installation ($45,000) In-Fill Housing, the demolition and repurpose of the old  Annual switch replacement ($15,000) power plant site, installation of Water & Sewer along 1st avenue, new sidewalks along, Bay st. 8th Ave, and 1st o Dept 534- Sanitation Ave, Farr Field Improvements and Heritage Park  Public Works Fuel Farm ($15,375) Electrical and Sound upgrades.   Community Redevelopment Agency Commented [SB3]: Continued from Prior Page o Infrastructure What are all these things and what do they all do?  In-Fill Housing ($1,245,000) *Relay Breaker- Protective device that senses fault  Power Plant Demolition ($1,000,000) conditions and sends a signal to a circuit breaker to trip and interrupt the flow of the current to minimize  1st Avenue Water & Sewer ($200,000) damage of the electrical system.  Bay Street Sidewalk ($26,000) *Storm hardening projects- Make us less susceptible to  8th Avenue Sidewalk ($61,000) storm events.  1st Avenue Sidewalk ($13,000) -Knollwood Overhead to Underground  Farr Field Improvements ($3,500,000) -Valencia Gardens- Loop and Upgrade Underground  Heritage Park Electrical ($70,000) -Wauchula Gardens- Loop and Resize Transformers -Storm Hardening the feed to the High School down Stenstrom and Altman Debt Service *Capacitor Installation- Purchase and Install 3 capacitors This year’s budget will see a decrease in debt service payments due to the pay-off of 1 loan in the distribution system for power factor correction during FY 24-25. The annual payment reduction is $33,706. and voltage regulation to improve system efficiency and stability. *Annual Switch Replacement-adding additional switches Grants & Aids to the system to isolate parts of the system during The Wauchula CRA continues to seek public/private partnerships in order to maximize the outages allowing more customers to maintain power impact of the Tax Increment Financing funds. In addition, the CRA will set aside $200,000 in during repairs. additional funds for new commercial grant projects in FY 25-26. These can be seen in Dept 584-58110. Another partnership which is equally vital to the CRA, is through an interlocal agreement with Hardee County. This agreement allows the CRA to fund public relations, FY 24-25 administered by the Main Street Wauchula organization, to support marketing, the arts, and General Fund- $68,028 Utility Fund- $136,532 community events held in the CRA district. This funding is seen in Dept 584-58220. Sanitation- $54,151 Other Uses FY 23-24 Transfers & Contingency General Fund- $172,777 ... The city makes effort each year to build contingency into the budget for unexpected expenses. Commented [SB4]: The proposed budget includes $2,967 in contingency in the General Fund. The increased level of service in our Parks and Recreation department, the City’s need to stay competitive in an ever-growing job market, and infrastructure maintenance requirements have stretched the General Fund to this point. Additionally, Utility Fund and Sanitation Funds include $153,088 There are 4 road resurfacing projects to include and $23,898 respectively in contingency. Alabama, Tennessee, Hogan and as much of Oak, Bay and/or Palmetto that we can get done for a total of $3.3 Million The total transfer to the General Fund from the Utility & Sanitation Funds increased by $73,740, which is less than a 4% increase from current FY. General Fund administration supports the Other General government projects include restroom enterprise funds as well, and while expenses continue to increase in the General Fund the improvements at heritage park, demolition of the old revenues to help support those expenses do not increase at the same rate. power plant, a new senior center, and additional auditorium safety improvements totaling $10 million. Grant Funded & Potential Projects (Not in proposed budget) Projects at the airport include, an extension to the Staff has found it more efficient to match grant funded project expenses with their relative runway and taxiway, additional T-hangars, a new airport revenue as they occur. Therefore, the following projects are expected to be in process during terminal, new rotating beacon and tower, and the FY 25 -26 and be funded with grant funds. design of a deep well totaling $20.9 Million. Project Purpose Grant Agency Amount Alabama Resurfacing of Alabama Street Florida Department of $359,888 Street between N. Ohio Avenue and N. Transportation (FDOT)- Roadway Florida Avenue, Small Counties Outreach Improvements approximately .243 miles. Program (SCOP) There are also grant funded Utility Improvements for an elevated water tank, Heard Bridge water line extension, and Advanced Meter Infrastructure (AMI) for $14 million. ... Tennessee Resurfacing of Tennessee St, Florida Department of $455,509 Street between N. Ohio Avenue and North Transportation (FDOT)- Roadway Florida Avenue, approximately .243 Small Counties Outreach Improvements miles associated safety Program (SCOP) improvements will also be addressed, as appropriate. Oak Street, Resurfacing as much of Oak , Bay Housing and Urban $2,000,000 Bay Street, and Palmetto Streets as funds will Development (HUD) and/or allow. Palmetto Street Roadway Improvements Hogan Street Extend Hogan Street to connect Florida Department of $441,125 Extension North and Southbound Highway 17. Commerce Senior Center Design and construct a new ADA Legislative Appropriation $3,000,000 compliant senior center (LP) FY 25-26 Restroom Update restroom facility at Heritage Legislative Appropriation $500,000 Improvements Park (LP) FY 25-26 Power Plant Demolition and site improvements Legislative Appropriation $4,000,000 Demolition at old power plant (LP) FY 25-26 Auditorium Upgrade current facility to include Legislative Appropriation $2,500,000 Safety ADA accessibility, sprinkler system, (LP) FY 25-26 Improvements fire rated curtain, upgraded rope and weight fly system, and lighting upgrades Runway and Feasibility and environmental Florida Department of FDOT Grant- Taxiway studies, design and construction of Transportation (FDOT) $450,000 Extension a runway and and Legislative LP#1- taxiway extension to allow for safe Appropriation (LP) FY 23- $4,000,000 landing & take-off of medium sized 24 & FY 24-25 LP#2- jet $5,500,000 aircraft. T-Hangar Design and construct an additional Legislative Appropriation $2,500,000 multi-unit T-Hangar (LP) FY 23-24 Rotating Design and construction of a Florida Department of $325,000 Beacon & rotating beacon and tower at the Transportation (FDOT) Tower airport. Airport Design and construct a new airport Legislative Appropriation $1,750,000 Terminal terminal/pilot’s lounge. (LP) FY 25-26 Building  Municipal Install a new deep well to support Legislative Appropriation $1,332,938 Airport Deep economic development to include (LP) FY 25-26 Well fire suppression capabilities T-Hangar Design and construct an additional Legislative Appropriation $5,000,000 multi-unit T-Hangar (LP) FY 25-26 Southwest Design and construction of a third Legislative Appropriation $8,212,789 Area Elevated elevated water tower in the (LP) FY 23-24 Water Tower southwest area of the county Heard Bridge Extend the waterline on Heard Hardee County Economic $1,000,000 Waterline Bridge Road north to REA Road Development Authority Loop and west to Highway 17, looping (EDA) the main water system Advanced Design and implement an Legislative Appropriation $4,750,000 Metering advanced metering infrastructure (LP) FY 23-24 Infrastructure system for electric and water (AMI) meters city-wide Public Works Install a storm hardened fuel station Florida Department of HMGP- Fuel Farm for the Public Works departments. Emergency Management- $138,225 Hazard Mitigation Grant City Match- Program (FDEM-HMGP) $46,075 Administration Installation of 3 back-up generators Florida Department of HMGP- Building and at the Administration and Police Emergency Management- $506,546 WWTP Department Building, WWTP Hazard Mitigation Grant FL Dept of Generators Contact Chamber and WWTP Program (FDEM-HMGP) Commerce- Control Room. and Florida Department $23,672 of Commerce Public Safety Hardened facility to expedite public Legislative Appropriation $5,000,000 Hardened safety measures aiding in (LP) FY 25-26 Facility restoration after disasters Braxton reviewed the overall city-wide budget and discussed expenditure types, personnel salaries/benefits, fund balance, debt service and ad valorem tax. Nadaskay recessed the budget workshop at 5:46 pm in order to hold the City Commission meeting that was scheduled at 6:00 pm. Nadaskay reconvened the budget workshop at 7:53 pm. Eason discussed the general fund and community redevelopment agency fund. Grimes discussed the airport fund, utility fund and sanitation fund. With no further business to discuss, Nadaskay adjourned the Budget Workshop at 9:34 p.m. Mayor Richard K. Nadaskay, Jr City Clerk Stephanie Camacho