HomeMy WebLinkAbout1992-08-10 - City Commission Budget Workshop Meeting MinutesCITY OF TAMARAC
CITY COUNCIL BUDGET WORKSHOP
MONDAY, AUGUST 10, 1992
Tape 1
CALL TO ORDER s Vice Mayor Schumann called the City Council
Budget Wor s op to order at 9:00 a.m. in Conference Room #1,
City Hall.
PRESENT
Mayor H. L. Bender (arrived at 11:17 a.m.)
Vice Mayor Henry Schumann
Councilman Norman Abramowitz
Councilman Joseph Schreiber
ABSENT AND EXCUSED :
Councilman Irving Katz
ALSO PRESENT :
John P. Kelly, City Manager
Dina McDermott, Assistant City Manager
Mitchell S. Kraft, City Attorney
Mary Blasi, Finance Director
Carol A. Evans, City Clerk
Morton Winter, Vice Chairman, Charter Board
Phyllis Polikoff, Secretary
City Manager Kelly said Council should review the proposed budget
although they could not take any action because this was a
Workshop. He read portions of his July 30, 1992 Fiscal Year
1992/1993 Budget Message to Council into the record (attached).
He said the City refinanced three General Obligation and Water
and Sewer Revenue Bonds which netted the City over $400,000 in
additional interest over 18 months.
Mr. Kelly read Moody's opinion which indicated the City managed
their financial operations very well and they increased the
City's Bond Rating from BAA1 to A. He said a garbage franchise
fee would soon be imposed.
Mr. Kelly said the recommended budget represented a 9.8% increase
over the current years' budget. He read seven items from Page 3
which accounted for the majority of the increase.
Mr. Kelly said Item 4 represented a 5% increase in the BSO
contract which was in the last year of a five-year contract and
within the contract was a two-year renewal option which applied
only to the City. He said it was restricted to 5% in each of the
two years and the City's rent up if BSO's did the same.
C/M Schreiber asked if the rental charge covered maintenance at
the BSO office and Dina McDermott said, yes.
Mr. Kelly said he believed fleet maintenance costs for older
vehicles could be reduced if Council approved the increase,
employee health insurance premiums would increase 15% and last
year it also was 15%.
Mr. Kelly said the proposed beautification project on Commercial
Boulevard would be the City's share if the City of Sunrise
proceeded to make improvements from Pine Island Road to the
Sawgrass Expressway. He said he hoped the City of Sunrise would
do the maintenance for this project.
Mr. Kelly said Data Processing was funded this current year with
surplus funds but a chargeback was recommended this year.
Mr. Kelly said the City presently contracted for air-conditioning
maintenance and repairs and a proposed Senior Tradesperson would
eliminate this.
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Page 2
Mr. Kelly said several Departments were reorganized to augment
the work and to provide more service and the City continued its
expansion of the water treatment system.
Mr. Kelly said the City implemented an in-house supervisory and
customer -training program which saved a great amount of money
funded for outside seminars and travel. He said other cities
expressed their desire to join and to share the costs.
Mr. Kelly said more revenues would come from parking citations
when the City went to Broward County for this service. He said
the City proceeded with the Public Services contract and
construction was completed under budget and one month ahead of
schedule.
Mr. Kelly said the proposed 4% Cost of Living Adjustment (COLA)
for Union employees and the 5% (COLA) for all Fire Union
Employees would cost $234,453. He said the proposed 4% COLA for
all Confidential, Supervisory and Managerial/Executive employees
would cost $137,218. He said Section D on Page 10 was incorrect
and a 4% COLA was proposed for the four temporary employees.
Mr. Kelly said Moody's Opinion on Page 2 indicated anticipated
revenues from the garbage franchise of $300,000 but the City
anticipated an estimated $330,000 in revenues.
Mr. Kelly said there were increases in the Building Department
although the work and the number of permits issued did not
increase.
Mr. Kelly said although Council proposed a 6% increase in the
rolled -back operating ad valorem millage rate, Council should
consider 6.25% and the debt service would be increased from
$20,000 to $100,000.
Page 14, GENERAL FUND REVENUES
V/M Schumann asked if Broward County taxes would be reduced
because properties were assessed lower. Mr. Kelly answered this
could not be guaranteed and C/M Abramowitz said Broward County
would probably raise their taxes in.order to get the same income.
Total Current_Property Taxes
Ms. Blasi said with regard to current ad valorem taxes, Mr. Kelly
recommended $6,461,728 over the roll -back rate and $15,000 was
sent to William Markham's Office. She said the $6,461,728
represented 95% of the total tax levied and Mr. Kelly agreed.
Total Sales and Use Taxes
Ms. Blasi said the Local Option Gas Tax was not affected and
V/M Schumann asked if Broward County collected delinquent ad
valorem taxes and penalties. Ms. Blasi said, yes.
Total Franchise Taxes
Ms. Blasi said the City should receive $1,900,000 of the
$2,000,000 budgeted for electric franchise fees. She said
$140,000 was budgeted for cable TV franchise fees but the City
should receive $151,000. She said FP&L's rates would be adjusted
if they imposed an increase.
Ms. Blasi said solid waste franchise fees would increase because
a Residential Franchise Tax was implemented. Dina McDermott,
Assistant City Manager, said the $160,000 represented franchise
fees from the commercial waste haulers. Mr. Kelly said it was up
to Council to determine what percentage rate they would charge
the residents.
Ms. Blasi said the towing franchise of $16,000 was awarded to
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8/10/92/PP
Page 3
Westway Towing.
C/M Abramowitz asked whether the natural gas service would be
extended further east. Ms. McDermott said she did not know at
this time.
Total License and Permits
V/M Schumann said as of June 20, 1992, Building Permits dropped
from $500,000 to $401,027. He asked about the status of Home
Occupations and Mr. Kelly responded that he did not have any
input at this time.
Page 15 GENERAL FUND REVENUES Continued
C/M Schreiber said cigarette taxes would drop due to the new
State Law effective September 1. Mr. Kelly said there was a
significant decrease in the number of smokers in City Hall.
Tape 2
V/M Schumann asked if monies from the State included alcoholic
beverage taxes and Ms. Blasi said she would research and advise.
He said State Revenue Sharing indicated $689,892 as of June 20
and he questioned whether the could City anticipate another
$500,000 by September 30. Ms. Blasi answered the figure might be
less by the end of the year.
Ms. Blasi said the balance for Alcoholic Beverage Licenses would
come in by the end of the year.
Ms. Blasi said the City paid Density Testing Charges (soil
charges) on behalf of the developers and the developers
reimbursed the City.
Page 16, GENERAL FUND REVENUES (Continued)
Ms. Blasi said Police Fees - Misc., represented revenue from
fingerprinting and I.D.'s. She said Fire Inspection Fees were
for new development and planning and Fire Annual Inspection Fees
represented fees from commercial enterprises. She said the
difference between Estimated and Proposed Annual was having only
one Fire Inspector and budgeting for a second.
Ms. Blasi said Parking Lot revenues came from the municipal
parking facilities in the City. She said Recreation Activity,
Summer Recreation and the After -School Program Fees should be
combined.
Total Miscellaneous Revenues
Ms. Blasi said the difference between Estimated and Proposed
Interest Income was due to low interest rates and some Bonds
coming due in December. She said Interest Income -State Pool was
combined Interest Income from the State Pool and from other
sources and revenue from Rent/Lease City Facilities was from the
BSO Sub -Station.
Page 17 GENERAL FUND REVENUES Continued
Ms. Blasi said Bus Bench Fees were paid annually and would
increase to $5,000 and $50 was for each bench for advertising.
She said Broward County would not receive any of these monies but
they would get monies from the bus shelters.
C/M Abramowitz asked for clarification of Building Education
Assessments and Ms. Blasi said it was monies used by the
Building Inspectors to continue their upgrading and training.
She said the money came from a portion of Building Permits.
Ms. Blasi said Building Maintenance Charges and the School Board
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Page 4
Utility Reimbursements represented monies which came from BSO and
for the Multi -Purpose Center. She said Administrative Service
Fees were Utility West Funds paid to the General Fund for
administrative services. She said the Property Tax Substitute
was calculations of previous years gross revenues and service
fees in the Utilities West Fund.
C/M Schreiber asked if just the Finance Department provided
service to Utilities West for Administrative Services. Ms. Blasi
said this was extra administrative services such as police and
fire.
Total Fund Transfers
Ms. Blasi said there was no franchise tax for telephones in the
General Fund and the 1980 Fire Station Loan Fund was collateral-
ized with franchise taxes from the General Fund to pay the Debt
Service and whatever remained was transferred to the General
Fund.
C/M Abramowitz said there was an agreement that all franchise
fees would offset the Debt Service. Ms. Blasi said any remaining
balances would be transferred to the General Fund.
Total Carrvover Funds
Ms. Blasi said $797,587 would balance the budget but it would not
be used because there were monies from the sale of the Old City
Hall. She said the Fund Balance would increase an additional
$650,000 in order that $1,500,000 could be budgeted for next year
and approximately $500,000 was set aside as unbudgeted.
Ms. Blasi reiterated that to -date, monies from the sale of the
Old City Hall and FP&L had' not been touched and the monies from
FP&L were drawing interest in an escrow account. She said they
would not be used until the last permit was pulled. V/M Schumann
asked if the monies from FP&L were included in the $1,500,000 and
Mr. Kelly said, no.
C/M Abramowitz said it would be better if the garbage vendor
did the billing. Ms. McDermott said the vender could bid on
billing the customer or letting the City do the billing.
V/M Schumann called for a recess at 10:15 a.m. The Workshop
reconvened at 10:22 a.m. with the exception of Ms. McDermott. He
said everyone was present who was present before the recess.
Editors Note: Ms. McDermott reentered the room at 10:25 a.m.
Page 18, CITY COUNCIL
Pa8 De artment Personnel
Total Personal Services
C/M Abramowitz asked if Health Insurance reflected the 15%
increase and Mr. Kelly said, yes. He said the C.O.L.A. and the
increased health insurance were the reasons for the $3,000
increase.
Total Direct O eratin Ex enses
#306 - Special Suppliers/Services
Ms. McDermott said this represented funding for special
activities for Council, miscellaneous programs, plaques and
proclamations and was a catch-all account.
#401 - Meetings and Seminars
#542 - Dues and Memberships
Mr. Kelly said these were self-explanatory.
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Page 5
#57A, B, C, D & E - Expense Accounts for Council members
Mr. Kelly said the figures stayed the same.
Mr. Kelly reiterated the increase was due to the C.O.L.A. and the
15% health insurance increase.
Paqe22 CITY MANAGER
page Department Personnel
Total Personal Services
#120 - Regular Salaries
#122 - Part -Time Employees Wages
Mr. Kelly reiterated the C.O.L.A. increase reflected in #120 and
the part-time employee reflected in #122 was Robin Thalenfeld.
#161 - Longevity Pay
Mr. Kelly said he was entitled to Longevity Pay.
#220 - Pension Contributions
#225 - Deferred Compensation Plan
Mr. Kelly said Ms. McDermott opted out of the Pension Plan and
into a Deferred Compensation Plan and #220 decreased and #225
increased.
#230 - Health Insurance
Mr. Kelly reiterated the proposed 15% increase.
#301 - Gasoline and Diesel
V/M Schumann asked why this Item indicated zero. Mr. Kelly said
.to -date, the City had not been billed.
C/M Schreiber asked why a budget would be amended after it was
approved at a Public Hearing. Mr. Kelly said Council granted Ms.
McDermott an increase in the middle of the year and funds were
transferred from the Contingency Account into Mr. Kelly's budget.
#471 - Duplicating Expenses/Chargers
V/M Schumann asked why this Item indicated zero. Ms. Blasi
answered that previously it was budgeted to General Services and
to the individual departments and it was a charge -back from City
Clerk or General Services to the individual departments. She
said this was the large copier in the City Clerk's Office.
Tape 3
C/M Schreiber asked why Council was permitted to exceed an
appropriation. Ms. Blasi answered the General Fund included
everything it would need for the year, plus a Contingency amount
of $350,000. She said Council could transfer funds from the
Contingency Fund into any line item and another department's
budget would be reduced to offset that transfer.
Mr. Kelly mentioned the $250,000 regarding FP&L and said the
funds could not be used until a public hearing was held to amend
the budget.
#440 - Rent/Lease Machinery/Equipment
Mr. Kelly said this was the cost for the Copier used by his and
the City Attorney's Departments. He said it was also for Ms.
McDermott's vehicle.
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Page 6
#463 - Office E ui ment Repairs
5 - Office Supplies
#540 - Publications
#542 - Dues and Membership
#543 - Educational Expense
Mr. Kelly said these Items were self-explanatory.
Mr. Kelly said the net increase was approximately $7,000 and most
was due to the proposed 15% increase in health insurance.
Page 24 CITY CLERK
Page 89t De artme;7t Personnel
Total Personal Services
#120 - Regular Salaries (Personnel Changes)
Carol A. Evans, City Clerk, said she proposed that Patricia
Marcurio, Office Manager, should be changed to Office Manager/
Records Manager and no additional monies were involved.
Ms. Evans said she proposed upgrading Nancy Ramoni from
Electronic Publications Specialist to Electronic Publications
Specialist II with only the 4% C.O.L.A. and no additional monies.
She said she proposed upgrading Karen Jackson from Secretary to
Electronic Publications Specialist I with a 4% increase in
addition to the C.O.L.A. increase.
C/M Abramowitz said he disagreed that Ms. Ramoni should not get
an increase. Mr. Kelly said she was making more money than Ms.
Jackson because Ms. Ramoni was in a higher range.
C/M Schreiber asked what the Electronic Publications Specialist I
and II did. Ms. Evans said, desktop publishing on the Apple
Computer and other departments also requested data to be typeset.
Mr. Kelly said money was saved because Ms. Ramoni and Ms. Jackson
did the work in-house instead of having to send work out to be
typeset.
Ms. Evans said she proposed that Belle Vitrofsky should come into
the Department as a Temporary part-time Secretary. C/M Schreiber
disagreed and Mr. Kelly said it would be better if Ms. Vitrofsky
was supervised by the City Clerk but she was available if the
Charter Board needed her.
#161 - Longevity Pay
Mr. Kelly said Ms. Evans, Ms. Marcurio and Phyllis Polikoff were
entitled to Longevity Pay.
#175 - Incentive Bonus
Mr. Kelly recommended that this should be eliminated.
#220 - Pension Contributions
C/M Abramowitz asked why there was a vast difference in the
figures and Ms. Evans said it was based on salary. She said Ms.
Polikoff was transferred into the Department.
#230 - Health insurance
#270 - Benefit Options
Mr. Kelly reiterated the proposed 15% health insurance increase
and that Benefit Options applied to all employees in the
Department.
Total_ Direct Operating Expenses
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Page 7
#306 - Special Supplies/Services
Mr. Kelly said this covered microfilming, Federal Express, phone
relocations, notary renewals, minute paper and tapes.
#340 - Other Contractual Services
Mr. Kelly said this covered the Municipal Code supplements,
Bestway Archives and Dial -A -File.
#492 - Elections
C/M Schreiber asked why this increased $25,000. Mr. Kelly said
two elections would be held in 1992. Ms. Evans agreed.
C/M Schreiber asked if the matter of the new voting Precinct had
been finalized and Ms. McDermott said, yes, and the existing City
map showed the correct Districts.
Ms. Evans said her budget was increased due to the election in
November and the proposed 15% increase in health insurance.
V/M Schumann asked how much would an election cost and Ms. Evans
said it would depend on the type of election. She said if Jane
Carroll handled the election, the City paid a portion of the
Precinct cost but if the City handled the election, it would cost
more.
Paae 79, GENERAL SERVICES
Total Direct Operating Expenses
#440 - Rent/Lease Machinery/Equipment
Ms. Evans said this was for the mail machine and this decreased
because the City owned the equipment and did not have to pay
rent.
#463 - Office Equipment Repairs
Ms. Evans said this represented the maintenance contracts for the
mail machine, scale, copier and Fax machine.
#471 - Duplicating Expenses/Charges
V/M Schumann asked why a negative amount was indicated. Ms.
Blasi said this was a charge -back to the different departments
which reduced the City Clerk's budget.
Pa a 80, TELECOMMUNICATION SERVICES
Total Personal Services
Ms. Evans and it covered all expenses relating to Lillian Marcus,
Switchboard Operator.
#174 - Paid Annual Leave
V/M Schumann asked why this Item went from zero to $500. Ms.
Blasi said this was an estimate based on how much sick leave
would be used during the year and how much would be left at the
end of the year.
Total Direct Operating Expenses
#410 - Telephone
Ms. Evans said this was the cost of the monthly telephone bills
for SunCom and Southern Bell and the City owned the telephone
equipment in City Hall.
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Page 8
#507 - Repairs/Maintenance Telephone Equipment
Ms. Evans said this was the maintenance agreement with RealCom
and was lower because the telephones were changed from Rolm.
Ms. Evans said the overall budget was
year.
Total Indirect Operating Expenses
#59C - Purchasing/Stores Services
#59P - Insurance Service Charges
slightly lower than last
V/M Schumann asked why these amounts were zero and Ms. Blasi
responded that internal charge -backs in each department were
being done through Telecommunications Services in the General
Fund.
Page 82 COMMUNICATION SERVICES
Total Direct 0 eratin Ex enses
#410 - Telephone
Ms. Blasi said this was Southern Bell's service agreement on the
repeater for Police service to each of the three locations.
#440 - Rent/Lease Machinery/Equipment
Ms. Blasi said these were discs belonging to the City for the
Repeater Stations in BSO's communication system. C/M Abramowitz
said the discs were part of the City's system before Police
services were contracted to the BSO.
V/M Schumann asked if BSO was going to 800 mg. Mr. Kelly said he
did not know at this time but would pursue this further with Col.
Werder. Ms. Blasi said 800 mg. was the central district for the
Fire Department.
Ms. Blasi said each of the three locations paid $720 per year.
Mr. Kelly said the City was responsible for maintaining the
equipment.
Page 26 FINANCE
Page 90, Department Personnel
Total Personal Services
#122 - Part-time Employees wages
#155 - Temporary Employees wages
V/M Schumann asked why #122 indicated an increase. Mr. Kelly
said this was an error and Temporary and Part-time employees
would get an increase.
Tape 4
V/M Schumann asked why these were zero and Ms. Blasi answered
there were temporary employees in 1991 but no temporary employees
this year.
Ms. Blasi said Brenda Stine came out of Payroll to do more
accounting and Ruth Krebs was doing Payroll. She requested Ms.
Krebs be reclassified to Paymaster with a 5% increase for doing
more work in addition to the 4% C.O.L.A.
Editors Note : Mayor Bender arrived at the meeting at 11:17 a.m.
#230 - Health Insurance
C/M Schreiber asked why this decreased. Ms. Blasi said one
1.1
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Page 9
employee decreased his Health Insurance and one employee went
from family to single coverage.
Total Direct Operating Expenses
#320 - Audit & Accounting Services
C/M Schreiber asked why this increased and Ms. Blasi said it
represented the contract with Grant Thornton, Auditors, and an
additional cost to do a Grant report. She said the City agreed
to a two-year extension and the cost was negotiated.
#340 - Other Contractual Services
Ms. Blasi said this was for outside auditing services and the
franchise agreement for cable television was presently being
audited.
#402 - Travel - Other
C/M Abramowitz said an employee should shop around to get the
lowest possible fares for hotels, etc. He suggested that the
City should have one agency to make all travel arrangements where
Municipal employees would get Government rates.
Mr. Kelly said he would look into C/M Abramowitz's request for
one travel agency to make arrangements for all City seminars and
conferences.
#402 - Rent/Lease Machinery/Equipment
Ms. Blasi said this was the lease for the copier and the safety
deposit box.
#463
- Office Equipment Repairs
#470
- Printing and Binding
#510
- Office Supplies
#515
- Office Equipment - Minor
#518
- Computer Supplies
#519
- Computer Software
#540
- Publications
#542
- Dues and Memberships
#543
- Educational Expense
Ms. Blasi said these Items were self-explanatory.
Page 33, CHARTER BOARD
Total Personal Services
#155 - Temporary Employees Wages
#210 - FICA Taxes
Morton Winter, Vice Chairman of the Charter Board, said these
covered expenses for Belle Vitrofsky, Secretary. Mr. Kelly
suggested that Ms. Vitrofsky should be in the City Clerk's budget
and assigned to the Charter Board as needed.
...,,, penses
Total Direct Operating Ex a
#306 - Special Supplies/Services
Mr. Kelly said Muriel Davis, Charter Board Chairwoman, proposed
$2,000 for a population study regarding Redistricting.
Mayor Bender suggested leaving Ms. Vitrofsky in the Charter Board
Office and having the work brought to her by the City Clerk. Mr.
Kelly said the employee was moved budgetarily and not physically
and it would not impact the Charter Board. He said all calls
would go through the Front Desk Receptionist if the Charter Board
Office was empty and the employee would be supervised in the
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8/10/92/PP
Page 10
office where Minutes and notices of meetings were prepared.
#306 - Special Supplies/Services
Mayor Bender said the City's population was approximately 47,000
and he reminded Mr. Kelly to send a letter to the Census Bureau.
Mr. Kelly said in his opinion, it was inappropriate to pay for a
population study out of the Charter Board budget and it should
come out of the Planning Department or Council should authorize
it.
C/M Abramowitz said residents objected to the Charter Board being
involved with the Redistricting Committee. He agreed that a
population of 50,000 or more was beneficial with regard to
Federal Grants.
V/C Winter said it would cost $5,000 for FAU to do the population
study.
#312 - Legal Services
Mr. Kelly said Paul Novack, Charter Board Attorney, was doing a
fine job. He recommended $4,000 and V/C Winter proposed $5,000.
Mr. Kelly said he did not feel comfortable issuing a blank check.
He said a check was signed after the Charter Board approved an
expense for legal services and Council had no control over those
expenses. He suggested that all expenses incurred by the Charter
Board Attorney should go directly to the Council for approval.
V/C Winter said he did not foresee the present Charter Board
bringing any lawsuit against the City and $5,000 was more
realistic.
Mayor Bender said the Charter obligated the City to pay all legal
expenses. Mr. Kelly said the onus would be on the Charter Board
to support any expenses they incurred and the Charter Board was
the only Department which did not go before the public with
regard to their budget.
C/M Schreiber said if the Charter Board needed more money to pay
legal expenses, they could go to the Council.
#463 - Office Equipment Repairs
Mr. Kelly said this was self-explanatory.
#47.1 - Duplicating Expenses/Charges
Mr. Kelly said this should be zero because the City Clerk's
budget paid for this Item.
#490 - Advertising
C/M Abramowitz asked what this represented and Mr. Kelly said
the Charter Board wanted to advertise seasonal greetings but to -
to -date, no monies had been spent.
C/M Abramowitz asked if anyone objected to adding the members of
the Charter Board in the same advertisement as Council.
Tape 5
Mayor Bender directed Mr. Kelly to include all elected officials
when seasonal greetings were advertised. Mr. Kelly said this
type of advertising should come out of Council's budget. Mayor
Bender suggested transferring the $1,000 to the Council budget.
C/M Abramowitz asked about the $1,000. V/C Winter said it would
be for advertising for an Attorney. Ms. McDermott said the
advertisement for the Charter Board Attorney was paid out of the
City Clerk's budget.
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Page 11
Page 34 PUBLIC INFORMATION BOARD PIB
Tota
l Direct Operating__ Expenses
#470 - Printing and Binding
Ms. McDermott said this was the cost to print 10 issues of the
Tam -A -Gram and she could not foresee any increase from the
printer. C/M Abramowitz said he hoped the cost would be reduced.
Ms. McDermott said 17,000 issues were printed each month and more
would be printed because over 46,000 residents wanted the paper.
C/M Abramowitz asked the new PIB to get actual numbers on the
number of Tam -A -Grams used. C/M Schreiber said half of the
issues he picked up were returned for recycling and he suggested
that issues be hand -delivered instead of leaving them in each
clubhouse.
Mayor Bender said many residents went on vacation during the
summer and it was not feasible to print 17,000 issues during the
summer months.
Mr. Kelly distributed a draft of the next issue of the Tam -A -Gram
and he asked for input from Council.
Mayor Bender said he needed clarification on the $3,000 and
whether it pertained to daily, monthly or yearly. Mr. Kelly said
he would distribute Council's comments for discussion.
Page 35 ECONOMIC DEVELOPMENT OFFICE
Total Direct 02erating Ex enses
#589 - Miscellaneous -Other
V/M Schumann asked what this was for. Ms. McDermott said for
pins, brochures, etc., and it was administered by Mr. Kelly and
herself.
#490 - Advertising
V/M Schumann asked if any advertising would go to other states.
Mr. Kelly said, yes. Ms. McDermott said advertising would be
inserted in some national publications.
V/M Schumann said the State of Kentucky offered a tax break for
industries coming into that State. C/M Abramowitz said groups in
Broward County were charged with bringing industry into Broward
County and Ms. McDermott said she and Mr. Kelly were members of a
group.
C/M Abramowitz said the City of Tamarac could not give a tax
break to an industry coming into the City and V/M Schumann said
only the State could do this.
Mr. Kelly said there were people interested in the shopping
center on Nab Hill Road. He said $2,500 would go towards the
Tamarac Chamber of Commerce to promote economic development in
the City and Mr. Kelly said 400 acres in Land Section 7 were
zoned Light Industrial, Commercial and Commercial Office. He
said road impact fees could build roads in Land Section 7
although no other utilities were there and Mr. Pritzker was
obligated to build roads in the southern portion of Land Section
7 by 1994.
Ms. McDermott said development in
because residents on the northern
to go through to McNab Road.
Pace 38, CONSUMER AFFAIRS BOARD
NNNN� III.I I NII�Ng1191�N..
Land Section 7 would slow down
side did not want Hiatus Road
City Council Budget Workshop
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Page 12
Total Direct Operating Expenses
#510 - office Supplies
Mr. Kelly said this was self-explanatory.
Page 39,_ VETERANS COMMITTEE
III ■ I.lul IIUI
Total Direct Operating Expenses
#589 - Miscellaneous -Other
Ms. McDermott said this Committee ran picnics for the veterans.
Mayor Bender said this should budget should be left alone.
Page 78, SOCIAL SERVICES BOARD
Total DirectOperating eratin Expenses
#402 - Travel -Other
Ms. McDermott said this reimbursed the drivers for travelling
expenses.
#473 - Auto Repairs/Parts
#510 - Office Supplies
Ms. McDermott said these were self-explanatory.
Total Grants and Aids
#810 - Area Council on Aging
Ms. McDermott said every agency requested funds and was denied.
Mr. Kelly recommended $33,000 and V/M Schumann explained that the
Federal Government gave $9 for every $1 from the City. He said
these were fair -share payments and not donations for services
rendered.
#825 - Early Childhood Development
Mr. Kelly recommended $4,404 this year. He said many people in
Tamarac were treated.
C/M Abramowitz said the State held a public hearing with regard
to Alzheimer funding and a Committee voted to put all Alzheimer
funding towards respite care. He said most Alzheimer patients
lived in Tamarac. He said the State cut 8% from the Area Agency
on Aging and whose responsibilities increased dramatically
because there no longer was an HRS.
Mr. Kelly said Area Council on Aging increased $13,000 and V/M
Schumann said it would continue to increase every year.
Page 83, NON -DEPARTMENTAL
Total Indirect 22erating Expenses
#59A - Data Processing Services
#59C - Purchasing/Stores Services
#59E - Fleet Maintenance Services
#59P - Insurance Service Charges
V/M Schumann asked if these figures pertained to the entire City.
Ms. Blasi said, yes, and was the General Fund portion. She said
last year these figures were in each Departmental budget.
Total Direct Operating Expenses
#49B - Unemployment Compensation Claims
City Council Budget Workshop
8/10/92/PP
Page 13
V/M Schumann asked what this was and. Ms. Blasi said it was the
standard amount budgeted each year although $5,000 was spent to
date. Ms. McDermott said the money was budgeted if someone went
on unemployment.
Ms. Blasi said the City was mandated by the Department of Labor
to pay the bulk of unemployment funds if an individual left the
City to work elsewhere and was let go by the second employer
within three months.
Tape 6
Mayor Bender recommended amending the amount to $10,000.
Page 84 NON-DEPARTMENTAL(Continued)
Total Grants and Aids
#830 - Grants -Matching Funds
C/M Abramowitz asked how realistic this figure was and Ms.
McDermott responded that the entire amount would be spent and
next year's figure would also be entirely spent. C/M Abramowitz
said the Broward League of Cities was very eager to give away
Grant funds.
Total Non -Expense Expenditures
#98C~- Advances to Other funds
MS • Blasi said this was the transfer
Dry inai4 F�eten€ion Fund and it would
ouf of i. mpact --fees.
Pa e'$3"--NbN-DEPARTMENTAL Continued
from Contingency for the
reimburse the General Fund
Total Indirect Operating Expenses Continued
#59C - Purchasing/Stores Services
#59E - Fleet Maintenance Services
#59P - Insurance Service Charges
C/M Schreiber asked why these amounts were so high and Ms. Blasi
responded they were Internal Service Funds and were in lieu of
covering each Department individually.
C/M Abramowitz said all Departments were charged individually in
the past. Ms. Blasi said the total in the Fleet Services budget
was charged back to General Funds -Utilities West based on the
number of vehicles.
Ms. McDermott said if Council approved the purchase of new
vehicles, the older vehicles could be retired and repair costs
would decrease.
Page 8.5, NON -DEPARTMENTAL (Continued)
Total. Direct Operating Ex enses
#495 - Store Emergency Preparedness
Mr. Kelly said money was not budgeted for this Item.
Page 84, NON -DEPARTMENTAL Continued
Total Direct 02erating Ex enses
#524 - Protective Inspections
Ms. Blasi said if permit fees did not come in, Inspectors could
City Council Budget Workshop
8/1.0/92/PP
Page 14
not attend meetings or seminars.
Page 85 NON -DEPARTMENTAL Continued
Total Non -Ex ense Ex enditures Continued
#588 - Fund Balance/#975 - Contingency
Ms. Blasi said $350,000 was budgeted but $160,000, representing
advances for the storm drainage system, was transferred out
leaving a balance of $83,313.
Page 52 AMBULANCE SERVICES
�INIAA�
Total Operating Expenses
#334 - Ambulance Services
C/M Abramowitz said six cities in Broward County would terminate
their ambulance contracts. Mr. Kelly said this matter would be
discussed after Council had an opportunity to review the data
submitted by Ms. Blasi and City Attorney Kraft could then be
given directions with regard to the action to take.
C/M Schreiber asked if Medics Ambulance was obligated to take
Medicare assignments and Ms. McDermott said, no.
Mayor Bender ADJOURNED the Budget Workshop at 12:52 P.M.
11*211
A
CAROL A. EVA S-
CITY CLERKµ --
r-I
KELLY
r ager
5 Northwest 88th Avenue
iarac, Florida 33321-2401
July 30, 1992
The Honorable Mayor and Members of the City Council
City of Tamarac
7525 Northwest 88th Avenue
Tamarac, Florida 33321
Re: 1992/1993 Budget Message
Phone (305) 722-5900
Fax (305) 722-4509
Members of the City Council:
In accordance with Article VII, Section 7.02 of the City Charter of Tamarac I
hereby submit theproposed Operating and Capital Budget for all funds for
fiscal year beginning October 1, 1992, for review and consideration. This
budget document represents the single most important report presented to
the City Council. It is primarily intended to establish an action -oriented
financial plan for the delivery of City services. Importantly, it also serves as
an aid to the residents in providing a better understanding of the City's
operating and fiscal programs.
This budget is a financial strategy that sets forth program priorities and the
allocation of resources available to accomplish our goals during the upcoming
fiscal year.
The City of Tamarac's budget is developed through the combined efforts of
staff, elected officials, and citizen participation.
THE CITY OF TAMARAC IS AN EOUAL OPPORTUNITY EMPLOYER AND DOES NOT DISCRIMINATE ON THE BASIS OF HANDICAPPED STATUS
Local Ecommic Outlook
The economic recession has played a major role in significantly reducing,
not only the City's share of State Revenue Sharing and building revenue,
I but the City's assessed property values. The preliminary assessed
property valuation showed a 4.8% decrease in current commercial and
residential property values. New construction and additions in the City of
I $22,157,490 in 1992 reduced the total decrease in value to 3.2%. Using the
current operating millage rate of 4.4603 the City would experience a
decrease of approximately $203,000 in current ad valorem tax revenue in
assessed property values due to these reductions.
The City has held the line in spending and has vigorously searched to
increase available revenues without affecting our level of services to the
citizens and charges to them. The City Administration in conjunction with
the Investment Advisory Board forecasted lower interest rates and
invested accordingly. This foresight and wise investment decision netted
the City over $400,000 in Additional interest returns over the last eighteen
(1-8) months, as compared to what the City would have received if
investing solely in the State Investment Pool.
Recently we have completed the refinancing of three of the City's four (4)
outstanding General Obligation and Water and Sewer Revenue Bonds.
Interest rates are the lowest since the early 70's. The Fre s e n t value
savings of this refinancing is $1,155,000. The City of Tamarac will save
approximately $240,000 each year for the next four (4) years and $38,000
annually for an additional ten (10) years.
Moody's and Standard and Poors have increased our General Obligation
Bond Rating from Baal to A, and BBB to A minus, respectively.
Moody's hits renorled The .
Oninie (*, dX:j
N"Well managed financial operations, supported by limited
borrowing requirements and the above average wealth of
rits sizable retirement population, support the rating
revision to A from Baal. The mostly developed nature of
the City and the constriction in tax base as a result in the
slowdown in construction and lower resale values are
noted, but the City's ample available taxing margins
roffset this as a potential area of vulnerability."
' �slv�eis lMeodv'sl:
The above average wealth of the city's sizable retirement
population is evidenced in the low poverty levels and per -
capita income above that for the state. This largely
developed city still has a fair amount of
developable land which would benefit future tax base
growth. The city, however, is expected to experience a
decline in the fiscal 1993 assessed value as will most of
the county, because of the falloff in construction and the
impact of the current recession. The above average
seasonally unadjusted unemployment rate is affected by
slowdown in construction and general economic
environment element. The city's capital improvement
element submitted in relation to the requirements under
the state's Growth Management Act, identified about $15
million in capital needs from 1991 to 1996. Some of
those projects have been done with current funds, and
aside from some larger water projects, the city
anticipates no capital borrowing requirements at this
time.
Financial operations have been well managed with
satisfactory cash and equity. Despite the budgeting of
accumulated surplus in the current fiscal year, the city
expects to add to General Fund balance with the help
of the sale of the old city hall for $525,000 in fiscal year
1992. The expected decline in the tax base for the
upcoming fiscal year would result in an anticipated loss
of about $250,000 in property tax revenue. The city will
be imposing a garbage franchise fee which will generate
about $300,000 gross revenues for general operations to
help offset the imbalance. Also, the city is one of the few
in the country that does not impose a utility service tax
which would reportedly generate close to $4 million.
Finally, ample avgilable taxing margins are additional
elements which afford a level of comfort related to
financial flexibility and revenue options".
-2-
The recommended Fiscal Year 1992-93 Budget of $17,485,922 represents a
$1,564,392 or 9.S% increase over the current years budget. ,
T
The-LDUming items com;dSe the Majority of this increas9l
1. Internal Services Fund Chargeback Increase $451,408
2. Cost of Living Adjustment Increase for Employees $234,188
3. Increase of Grounds Maintenance/Landscape
Beautification Personnel and other General
Fund Personnel $221,248
4. Increase in Broward Sheriffs Office Contract (5%) $219,979
5. Increase in Capital Improvements & Equipment $188,933
6. Estimated Increase of 15% in Employee Health
Insurance Premiums $ 97,776
7. Increase in Materials for Landscaping/
Beautification Projects ��
TOTAL $19499,307
(95% of total increase)
The large increase in the Internal Service chargebacks is the result of the
elimination and reduction of certain fund chargebacks in the current year
due to surplus funding availability that is no longer available for Fiscal
Year 1992/93. During the current year the Management Information
Systems BudgeL-of_12-b0,000 was funded completely -with --available -surplus
monies. Thi -upcoming -budget"year - these funds -are -not --available .(as in
the past) and a $194,000 chargeback from General Fund is r'equued. An
increase in chargebacks for Fleet Services and Insurance Services of
$106,000 and $119.000, respectively, is due to increased costs in these
areas.
The cost of living adjustment increase of 4% for General Employees and 5%
for Fire employees is a negotiated union contract requirement.
l Confidential, Supervisory and Managerial personnel have also been
budgeted for a 4% cost of living adjustment.
-3-
L1
Proposed new positions and their related costs are listed in the budget
summaries on Page 5 of this document. Seven (7) of the eight (8) proposed
positions are allocated in the Public Works Division with four (4)
maintenance workers in Grounds Maintenance/Landscaping Beautification,
one (1) field superintendent, one (1) crewleader for City Hall Operations
and one (1) senior tradesperson to handle our air conditioning
maintenance and repairs. This will eliminate our air conditioning
maintenance contract of $39.000 annually. A recreation activities
supervisor is proposed in Parks and Recreation to accommodate the
expanded programs available to the adults and children of Tamarac.
The Broward Sheriffs Office contract with the City increases by five (5)
percent or approximately $220,000 for fiscal year 1992/93. This is the
last year of a five (5) year contract with BSO.
Increases in capital equipment and improvements total approximately
$189,000. A listing of all of the capital items proposed in the budget is
included in the Budget Summaries on page 8. These improvements and
capital items are much needed and have been delayed for several years
due to budget constraints. There is no longer the option of postponing the
majority of these capital items.
The budget contains a projected increase of 15% or $98,000 for employee
health insurance premiums. The City has not received bids for fiscal year
1992/93 as of this date, but we are expecting approximately a 15%-20%
increase in rates.
The proposed budget also contains an increase of $86,000 in much needed
landscaping and beautification projects. There is $50,000 proposed for
Commercial Boulevard West landscaping and $20,000 for irrigation. These
projects enhance the beauty and aesthetics of Tamarac.
We have continued to maintain a basic budget providing increased level of
service at the lowest service delivery cost. We have placed more emphasis
on revenue -producing and cost-cutting solutions to balance the budget and
maintain a low tax rate. Last year, we were the only Broward County
Municipality to decrease its Ad Valorem tax rate before the rolled back
rate for Fiscal Year 1991-92. i
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i
Fortunately, Tamarac has maintained a realistic and conservative budget
each year. But during these difficult times, we must re -trench even
further and invest in our existing resources to guarantee our future. Our
key resource is our employees. Without them we would not be able to do
so much more with to much less.
Presently we have revamped core job dimensions of each individual
employee and provided people with the opportunity for more autonomy, '
responsibility, and feedback. These efforts have helped to produce better
internal work motivation, high quality performance and lower
absenteeism.
The key to this continued success is streamlining the duties and
responsibilities of our employees and acknowledgement and recognition of
their efforts and accomplishments.
Our failure to provide the opportunity for reward and growth stifles our
organizational ability to promote mechanisms and programs to insure that
employees will be properly trained, evaluated and promoted fairly. This is
a significant area that we must consider in preparing this budget and all
future budgets.
We need to focus on our future, establish the City's long-term plan and set
goals and objectives to achieve that plan. Where are we going next year?
The next five years? The next ten years? What key services are we to
provide? At what level? At what cost to the resjdents?
Sgniticant &compjIshMSnt,;
There were several significant accomplishments that improved the general
operation of the City during 1991 /92.
The following departments were reorganized and streamlined to enhance
the work effort and to provide increased levels of service.
I
• Engineering Department
• Public Works Department (and all existing divisions)
• Parks and Recreation Division
• Utilities Department
-5 -
These departments were restructured and reorganized into an all inclusive
department now called the Public Service Department. The is
run by one Assistant City Manager/Depaen Head and eacDhe div s on
rtmis
managed by an operations manager.
The Public Service Department has redefined work assignments, realigned
dutiesand responsibilities resulting in a greater efficiency. For example,
i
there s now a total concentrated Fleet Service Division, the management of
the fleet is centralized in one office. Vehicles and equipment assignments
are organized through a master control system.
A new Canals Division was created to maintain Tamarac's waterways and
canals. The City now does chemical spraying to maintain and keep the
waterways clean and free of debris.
Another significant accomplishment is the mtin„u-ed expansion of our
water treatment system. Phase II for the expansion was authorized by the
City Council in December 1991. We are in the construction process now.
This Phase II project will provide the additional eight million gallon water
softening capacity that we need to serve the City's projected build -out
population.
During the current year, the City negotiated with Broward County Utilities
for an early release of wastewater treatment reserve capacity, thus saving
the City $60,000 in leased wastewater treatment capacity fees.
We have whad another successful year in obtaining private foundation
funding and grants from various sources. In 1991/1992 we received over
$500,000 in funds.
1292
$ 39,634 Tree Trust Program (Nob Hill Beautification)
$ 10,400 EMS Pa
tient Extrication Equipment Program (County)
$ 10,300 EMS Community Safety and injury Prevention Program
(County)
$ 10,150 State EMS Continuing Education Skills - training for fire personnel from Hazardous Educational Material
Handling to Air Ambulance Safety.
$284,046 Five Cities Group Recycling - Year IV Grant Funding
$ 27,714 Five Cities Group - Year IV Additional Grant
{ Reimbursement
$ 30,000 Tri-Cities Commercial Recycling (Additional Funding)
$ 32,119 Department of Community Affairs Local Government
Land Development Regulation Assistance Program
$10,000 Florida irrigation Society - irrigation Hardware (BECO)
In 1991/92 the City Administration was successful in the creation and
implementation of several new and innovative city programs to generate
additional revenues. These programs are as follows;
1. Public Service Tax on Gas
(projected annual revenue 1991/92 •$60,000)
2. Photocopy charge ordinance
(11.8. 4.21—received to date)
-7-
1991
1991
III
It
3.' ' Lien searches ordinance 1991
(ILM—roceived to date)
4. Automated Parking Ticket System 1991
(2�.2g4 received to date)
S. Identification Card Fee Increase 1991
(S 3200 difference between June 24, 1991
to date)
6. Contract negotiation and implementation of 1992
Bus Bench Program (projected annual revenue
$10,000)
7. Fingerprinting increase in . fees - ($3, .200 1991
received to date)
The in-house supervisory and customer -service training for all employees
continued at a growing rate in 1991/92. The training program was
facilitated by Assistant City Managers and Department Heads. Guest
speakers from other governmental agencies also assisted.
�onsTIMM M,
1. The City's investment strategies have increased its interest return
with approximately a $300,000 annual increase in investment
earnings over the State Administration Pool,returns.
2. The City Clerk's Office is responsible for monitoring the model sales
permit renewals on a six month -basis. This renewal procedure has
generated $11,540 in additional revenues.
3. Through aggressive enforcement, the Code Enforcement Department
collected over $10,000 in delinquent fire inspection fees. This
-function is performed on a daily basis.
4. We performed a sweep of all businesses this past year that netted
over $20,000 in occupational license fees that were not reported by
businesses. This also had a trickle down affect in the -building
department by generating revenue for building permits for
certificates of occupancy.
.g-
1 • 1 \ / • 1 • • 1 • • • •
Parking Citations $ 27,060
False Alarm Fees $ 2,175
Fingerprinting $ 4,356
Tamarac's focus has been to expand the quality of life for our residents
through additional facilities or services. In keeping with this tradition we
completed the following projects:
1. Completion of Multi -Purpose Center and right -turn lane on
University Drive into Multi -Purpose Center. Received Certificate of
Occupancy on schedule.
2. Coordinated construction of Public Service Administrative Complex
with architect and contractor. Construction was completed under
budget and one (1) month ahead of schedule.
3. Initiated and coordinated construction of four (4) tennis courts at
Tamarac Sports Complex.
4. Implemented Scholarship Program . for Children's Recreation
programs.
5. The Recreation Division has responsibility for the operation of the
Multi -Purpose Center. Rental space and non-resident revenues has
increased. A fitness room provides residents with equipment
equalled only by health clubs. This expansion has caused the division
to develop policies for facility use and rental.
6. The hard-pressed economy has dictated the need for new concepts in
programming. A low-cost, on -site summer camp will be offered for
those needing care, but unable to afford the standard camp. Our goal
is to provide recreational opportunities to all residents, regardless of
their means.
7. Capporella Park, Wildlife and Veterans Park - Additional landscaping
was installed for these areas. We will continue to monitor areas for
trash, vandalism and special projects.
III
8. Started a community mulching/composting program. This program
allows residents to dispose of their yard clippings and branches. We
take all newly created mulch and use in our beautification and
landscaping programs.
['oet Factors to Ae egl3sIdered during hIldget development;
The following is a list detailing some of the major cost considerations when
Preparing the fiscal year. 1992*93- budget.
A) A 4% cost of living adjustment for all General Union and a 5% cost of
living adjustment for all Fire Union employees had been negotiated
last year amounting to an increase in the General Fund Budget of
$172,721 and Utility West Fund Budget of $61,732.
B) A 4% cost of living adjustment for Confidential and Supervisory
employees is proposed increasing the General Fund Budget by
$31,682 and the Utility West Fund Budget by $13,222.
C) A 4% cost of living adjustment for all Managerial/Executive w
employees is also
proposed increasing the General Fund Budget by +
$29,785 and the Utility West Fund Budget by $2,528.
D) No increase proposed for temporary employees.
E) Due to the excellent investment return of the City's Pension Plan in
1991, the Actuaries have not required an increase in the employees
contribution for the General and Fire Employees. The budget
contains an unchanged contribution of 8.76% and 13.79%
respectively.
F) A projected 15% increase in health insurance cost has been included
in all departmental budgets. This is an increase of approximately
$98,000 to the General Fund and an increase of approximately
$20,000 to the Utility West Fund.
-10-
I
IM
I
The proposed budget contains a 6.25% increase in the rolled -back
operating ad valorem millage rate of 4.6851 ils and a 3.1 % decrease in
the rolled -back debt service millage rate. A, colnotte. analysis of the City's
assessed property values and current and proposed ad valorem millage
rate can be found on page 2 of the budget summaries in this document.
Each percentage increase in the rolled -back rate constitutes $60,800 in ad
valorem revenue. Due to a decrease in current residential and commercial
assessed property values of approximately $68,000,000 or 4.9% of the total
assessed property value of the City, the proposed operating millage rate of
4.9781 is 11.6% greater than the current operating millage rate of 4.4603
mils.
This year we are proposing to assess a 15% Franchise Tax on the Solid
Waste Haulers for Residential Garbage Service. This will provide the
General Fund with an estimated in additional revenues for the
General Fund. Without this revenue the millage rate would need to be
increased an additional 5.5%.
The recession has stagnated both State Shared Revenues and Building
Revenues. The estimated receipts for fiscal year 1992/93 are constant
with the current year and conservatively projected.
This year the City received $525,000 for the sale of the old city hall. This
is a one-time revenue source and is not available in fiscal year 1992/93.
The proposed budget contains a $1,500,000 appropriation in fund balance
to balance the budget for fiscal year 1992/93. This compares to a
$793,587 appropriation of fund balance in the current year. The following
is an analysis of the estimated fund balance in the City's General Fund.
Projected Increase Appropriated F�Spl
in Fucal Yew Total Projected Balance
Pend Balance L^31122 Fund Balance Fiscal Yew Fund Balance
9130/21 211.413Z 122219.3 10f1192
S650.000•
i 1.350.523
*Due to age of Old City Hall
i2.000.523 $1,500,000 $500,523
-11-
LI
�J
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L
11
Government Accounting professionals, bond raters and others often use a
"rule of thumb" that a minimum of 5 percent of annual operating
expenditures should remain in unappropriated, undesignated Fund
Balance. Applying this minimum would require that $875,000 be
maintained as undesignated.
We have estimated an undesignated, unappropriated fund balance of
$500,523 which is 2.9% of annual operating expenditures. We must not
designate any additional fund balance monies to balance the budget.
• The need to establish reserve funds as protection against
further possible revenue short falls.
• The need to establish funding for a variety of important
projects throughout the City including street resurfacing
and drainage.
• The need to provide employee benefits and salaries at
competitive levels to maintain qualified staff.
-12-
F�
Contained herein is the detailed budget for Fiscal Year 199211993. _
Overall, with due consideration to this depressed and depressing economic
circumstances, I am pleased to be able to tell you that the proposed
budget provides an adequate level of service with some modest but
necessary improvements.
It is essential to note that all areas of the budget have been reviewed and
scrutinized closely. Most of the operating budgets have been cut back and
1992/1993 will be yet another tight year.
It must be acknowledged that a great deal of effort was expended by the
City Administration and Department Heads to limit spending in all areas of
the City Operations during the current year. The preparation and
formulating of this document could not have been accomplished without
the assistance and dedicated efforts of Department Heads and their
support staff. All questions relating to the budget should be referred to
my attention.
Council meetings will be held to review, in detail, the proposed budget
document.
Respectfully submitted,
C7ohn P. Kelly
City Manager
]PK/DMM/MCB/bjl
1
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