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HomeMy WebLinkAbout1988-04-04 - City Commission Workshop Meeting Minutes0 'qk) 88TH AVENUE 5811 NORTHWEST TAMARAC, FLORIDA 33321 TELEPHONE (305) 722-5900 n MAIL REPLY TO- P.O. BOX 25010 TAMARAC. FLORIDA 33320 March 28, 1988 NOTICE CITY COUNCIL WORKSHOP MEETING Please be advised that there will be a workshop Meeting of the City Council on Monday, April 4, 1988 at 10:00 a.m. in the Council Chambers at City Hall, 5811 N.W. 88th Avenue, Tamarac, Florida. The subject of this meeting is Financial Matters. Patricia Marcurio Acting City Clerk The public is invited to attend. PM/nr to Pursuant to Section 286.0105, Floridzi Statutes it an person dea.dos to 300,11 any dedvori Maea by ttic dt� lo any n� aftir considtred it !Ax� inect!'ng ow Ain ard for ,Iqez� a record the he nzxd to ensurn -ihot a %�iwbatim, ravt(d w�jicj-j t�.a appc�Fl is to be b �.�d and c�,'den, AN EQUAL OPPORTUNITY EMPLOYER POLICY OF NONDISCRIMINATION ON THE BASIS OF HANDICAPPED STATUS CITY OF TAMARAC CITY COUNCIL WORKSHOP MEETING MONDAY, APRIL 4, 1988 TAPE 1 CALL TO ORDER: Mayor Abramowitz called this meeting to Order on Monday, Aprilr4, 1988 at 10:00 A.M. in the Council Chambers. MEDITATION AND PLEDGE OF ALLEGIANCE: Mayor Abramowitz called for the Pledge of Allegiance followed by a Moment of Silent Meditation. PRESENT: ABSENT AND EXCUSED: ALSO PRESENT: Mayor Norman Abramowitz Councilman Herman "Larry" Bender Councilman Bruce Hoffman Councilman Henry Rohr Vice Mayor Jack Stelzer John P. Kelly, City Manager Richard Doody, City Attorney Pauline Walaszek, Special Services Secretary City Manager Kelly said the purpose of this meeting pertained to Financial Matters. He said these Workshops were being held to inform the City Council of recent matters for different Departments. 1. a) PENSION Ken Burroughs, finance Director, said when the Finance Department received the Actuarial Report for the Pension Plan, they found the total amount required from the City for the current Fiscal Year of October 1, 1987 to September 30, 1988 is $677,020.00. He said the City budgeted the amount of $526,581.00 for the City Contribution, which is a shortfall of $150,439.00. Mr. Burroughs said in determining how the shortfall occurred, he outlined the history of the Plan, which had been amended in June, 1987. He said after the Amendment was approved on second reading, the Plan had to be readvertised and readopted because the proper procedures required by the Code were not followed. He said the final reading of the Plan was on December 23, 1987. He said this Plan was approved 5 months after the Budget was created. Mr. Burroughs said the changes in the Plan benefits affected the budgeted amount. He said the interest earned from one year to the next dropped substantially and the number of participants increased. He said the Finance Department was not aware of these changes until the Report from the Actuary was received which was in January, 1988. Mr. Burroughs said additional funds have to be appropriated for the Pension Plan and the City is required to maintain the Plan. He said the employees contributions are set and the interest earnings fluctuate; therefore, the City had to make up the Page 1 4/4/88 difference. He said this year, the City has to pay $677,000.00 as opposed to the budgeted amount of $527,000.00. **(These numbers are rounded off). Mr. Burroughs said the money needed for the Plan is available. He said on September 30, 1987, there was an unallocated surplus of $600,000.00. He said this surplus could be used for this type of situation and he recommended this be done. C/M Rohr asked how the surplus was accumulated and Mr. Burroughs said the surplus is all anticipated revenues over and above the prior year's budget or shortfalls in expenditures of the prior year plus extra surplus already in the fund. He said the surplus originally was $1,400,000.00 after the Audit in January, 1988; however, $800,000.00 had been budgeted for. C/M Hoffman asked if the surplus came from taxes or if the money was from prior years and Mr. Burroughs said the surplus is an accumulation of over collection of anticipated revenues and unexpended expenditures. C/M Hoffman asked if the City would have to make up the money that is used by the surplus and Mr. Burroughs replied, no; however, if the money was not used, it could be used to fund next years budget. Mayor Abramowitz said when he became Mayor, he and City Manager Kelly discussed his philosophy about City Government. He said at that time, he expressed his feelings regarding surprises. He said since he has been Mayor, he has been hearing that the City Council was not aware of these problems because they have not received information. Mayor Abramowitz suggested that the City Manager and the Department Heads submit all information regarding the matter to the City Council before the matter is brought before the City Council for discussion or approval. He said when the matter concerned money, he wanted the City Council informed of everything. Mayor Abramowitz said as a member of the City Council and as the Mayor, he is insisting that all information regarding money be submitted to the City Council which includes a report from the Finance Department informing the City Council of where the money is coming from. Mayor Abramowitz said Mr. Burroughs inform the City Council that the monies needed were available; however, what would happen if the funds were not available. He asked City Manager Kelly to see that the City Council receives a Report from the Finance Department and the proper backup on all budgetary matters. Mayor Abramowitz said his comments were not directed to Mr. Burroughs. He said the City Manager's job is to keep the City out of trouble and a Department Head's job is to make the City Council aware of matters. He thanked Mr. Burroughs for the backup he submitted to the City Council on this matter. Mr. Burroughs said since he became employed by the City, he has been trying to get the House in order. He said the major factor of why these problems are occurring is because of the new employees being allowed to participate in the Plan from the day of hire. Page 2 j` 4/4/88 C/M Kelly said the City had $600,000.00 available to address the problems with the Pension Plan. He said the Plan had a shortfall of $150,000.00 which left $400,000.00 to handle other problems. He said Mr. Burroughs is informing the City Council of the problems with the Pension Plan while advising how these problems can be solved. C/M Hoffman asked what would happen if the City did not have the surplus money to spend for these problems and he asked how this problem would affect the City in preparation for the next budget. Mr. Burroughs said using this money for the problems would not give the City a cushion to the budget. C/M Hoffman asked if the City would have to increase next year's tax rate and Mr. Burroughs said at this point, no. Mr. Burroughs said the City may have to increase revenues from other sources or cut expenses. He said if the City did not have the surplus money to spend, the Pension could be given an IOU with interest or the current expenses could be cut. Mayor Abramowitz asked if this surplus had been built into the budget and Mr. Burroughs replied, no. Mayor Abramowitz asked where the $1,400,000.00 came from and Mr. Burroughs said last year's budget had substantial revenues; however, because of Black Monday, this year's budget is being affected. C/M Bender said he received information from Broward County showing that Tamarac had a population of 29,000 people which is incorrect. He said he is concerned that the City is not getting the correct revenue sharing from Broward County. He asked if this census regarding the people had been updated. City Manager Kelly said Broward County had the accurate count of residents accepted throughout the State and did not have the City of Tamarac's accurate count. He said the City asked Broward County to update this matter; however, Broward County has not as yet. He said FAU has been contacted regarding the correct population; however, the City of Tamarac is receiving revenue sharing for 34,000 to 35,000 people. C/M Bender asked when the next census would be done and City Manager Kelly said the census is not available until two years after the census is done. He said the City updates their records every year and the State censors the population every two years. C/M Rohr suggested the Finance Department outline where expenses could be cut if it became necessary and City Manager Kelly said this matter would be reviewed. City Manager Kelly said Peter Prior, Chairman of the Pension Board, Judy Deutsch, Secretary of the Pension Board and Ken Burroughs are present for these Items; however, if the City Council wanted a more detailed review of the Pension ramifications, the Board's Attorney, Bob Sugarman, should be present. Page 3 4/4/88 Mayor Abramowitz said he would not mind if Workshops were called for all subjects. He said the Workshops allow concerned people to speak and he wished the citizens would attend these meetings because of the information available for them. He said if the City Manager wanted more Workshops, he should not hesitate to have them. b) DISABILITY C) WORKERS COMPENSATION City Manager Kelly said he would like to see Items b) DISABILITY and c) WORKERS COMPENSATION, discussed under another Workshop. 2. HEALTH SELF --INSURANCE FUND DEFICIT Mr. Burroughs said the Health Self -Insurance program report from the Actuary showed the fund in a deficit. He said staff has discussed a rate increase at the last budget and the Finance Department felt that the finances would be sound; however, the actuarial matter is not sound. He said the rate should have been increased 33% last year by the City and the employees. Mr. Burroughs said the State required an actuarial report when a self -funded insurance program is maintained. He said the fund is $165,000.00 short and one of the reasons for the deficit is because there was no rate increase last year. Mr. Burroughs said the City and the employees should be aware that a substantial rate increase is^going to be in effect as of October 1, 1988. He said the Actuary suggested this shortfall be financed over a two year period which would be Fiscal Year 88/89 and Fiscal Year 89/90 at $65,000.00 each year. Mr. Burroughs said the money is available now and in order to solve this problem, contribution should be made this year and on October 1, 1988 rate increases should be applied to keep the fund sound. C/M Rohr said he understood that the Self -Insured Plan should have $245,000.00 in savings for the City. Judy Deutsch, Risk Manager, said the savings C/M Rohr is referring to pertained to the self -funded Workers' Compensation Fund which began October 1, 1988. C/M Rohr asked if the City could pay for half of the deficit now and next year increase contributions to pay for the deficit of $165,000.00. Mr. Burroughs said the deficit could be handled this way; however, he is not sure how the employees would react to a retro active increase. He said the rate increase would be needed to maintain the plan. He said the Plan could be maintained by the rate increases; however, the deficit would still have to be paid. Mr. Burroughs said the Actuary would be submitting projections for next year at the end of the month. He said this report would allow the City and the employees time to be aware of what the increases would be on October 1, 1988. Page 4 1 1 4/4/88 C/M Rohr said this year the City will have to pay the deficit; however, next year everyone would have to pay in order to maintain the Plan. C/M Hoffman said C/M Rohr suggested that the employees participate in the deficit over a two year period. He said he did not feel this process would be practical and, if the money is available now, this problem should be paid and solved before the next budget. C/M Hoffman asked if it would be wise to look into eliminating the Self -Insured Health Program. Ms. Deutsch said the City went out to bid for companies on October 1, 1988 hoping to eliminate the Self -Insured Health Program; however, the companies who bid on the program were either cost prohibitive or companies that the City was not in the position to do business with. She said the City had no alternative but to stay in the Self -Insured Health Program. C/M Bender said he agreed with getting out of the Self -Insured Health Program because the City is growing and 2 to 3 years in the future, there may be bigger problems. He said the City may have to Bid again for companies to handle the City's Health Insurance. Ms. Deutsch said the City could go out to Bid again and she would provide the City Council with last year's bidding results. C/M Hoffman suggested Ms. Deutsch contact the Metropolitan Life Insurance Company. Mayor Abramowitz asked if the employees had an option in Health Insurance and Ms. Deutsch replied, yes. Mayor Abramowitz asked what it cost the City for HMO Insurance and Ms. Deutsch said HMO has copied the City's Indemnity rates regardless of whether the City was fully -insured or self -insured. C/M Rohr said because of the medical crisis, rates will continue going up on insurance policies. Mayor Abramowitz said he is disturbed about the lack information regarding this matter. He said he would like all information and projections from the Finance Department on this matter and its solution. He asked City Manager Kelly to see that all the information on the matter is submitted to the City Council for their review. City Manager Kelly said Mr. Burroughs is suggesting that the matter be funded by the monies available this year. He suggested this matter be handled this year and with this and the Pension matters being subtracted from the surplus, the surplus would have $284,000.00 remaining. Mr. Burroughs said the applicable amount needed for the deficit would be $120,000.00 because the Utilities Enterprise would pay the remainder. 3. FPE CONTRACT IMPACT City Manager Kelly said Larry Perretti, Personnel Director, was to discuss the impact of the FPE Contract; however, he is out ill. City Manager Kelly asked Mr. Burroughs to address this matter. 1 Page 5 4/4/88 TAPE 2 Mr. Burroughs said the FPE Contract, effective February 1, 1988, is costing the City $136,000.00. He said at the time of negotiations he was asked to submit the impact of 4% projections. He said the Pension went up with the salary increase; however, the percentage of payroll for the new Pension Plan caused problems. Mr. Burroughs said while figuring the budget, it was assumed that the benefit options were not included; however, the options were kept in the contract. He said the General Fund portion of the contract is $80,000.00 and the Utilities Funds is $56,000.00. Mr. Burroughs said the contract cost was $181,000.00; however, there were monies in the budget to cover those costs. He said the budget is short $136,000.00 because of the language in the contract. Mayor Abramowitz said the budget for General Funds was $32,900.00 which reflected a shortfall of $80,804.00. He asked how this figure was determined. Mr. Burroughs said when the budget was discussed, the Administration and the City Council recommended a budget of $300.00 per employee for benefit options with no percentage of salary increases. Mayor Abramowitz asked if Mr. Burroughs was consulted during these discussions and Mr. Burroughs said during the latter part of the negotiations, he was asked how much a 4% raise would cost on February 1, 1988. Mayor Abramowitz said Mr. Burroughs stated that there were matters in the contract that he was not aware of during the budget discussions and Mr. Burroughs agreed. City Manager Kelly said this communication gap has been addressed and would not recur again. Mayor Abramowitz said this matter is very important and there are qualified Department Heads who handle the budget who must work together. He said because City Manager Kelly assured him that this would not happen again, he would accept it. He asked City Manager Kelly to address this matter and see that the communications between the Department Heads is constant. Mr. Burroughs said he had 30 years experience in Financial Municipal Government and, since he became employed with the City of Tamarac, he is finding something every day that is wrong with the budget. Mayor Abramowitz said he appreciated Mr. Burroughs thoroughness and he asked him to continue reporting the matters, bad or good, to the City Council and the City Manager. City Manager Kelly said lack of communications did not arise from the Finance Department. He said he is very confident in their ability and Mr. Burroughs has been a great asset to the City. C/M Hoffman said the City Council could not function without information and he did not want to have to know the right question in order to get an answer. He said he wanted the answer given to him before he asked the E 1 1 Page 6 , g /� 4/4/88 question. He said the City Council was not elected to be an expert in every phase of Municipal Government and that is why the experts were hared. 4. POLICE VEHICLES City Manager Kelly said it was proposed that all Capital Expenditures for this year would be contingent upon the sale of the City property. He said the property would be opened for offers by buyers on April 15, 1988. He said the City had a Police contract calling for Police vehicles and he suggested that the surplus money be used to purchase the necessary Police vehicles until the City property is sold. He said the expenditure for the vehicles would be $132,856.00. He said no more than $175,000.00 had to be appropriated from the surplus money. Mr. Burroughs said funding for the Police vehicles should be in place, however, against his judgement, he would wait until September to see if the City property is sold. He said if the monies for these vehicles are not in the bank by the end of September, the Qity would be $180,000.00 short for next year's budget. Mr. Burroughs said the contract required that the Police Department get these vehicles and, until the City sells the City property, the vehicles could not be obtained unless the surplus money is used for those vehicles. C/M Rohr asked if the sale of the City property woule be a surplus that the City Council could use for the City and Mr. Burroughs replied, yes. C/M Hoffman said if the City could wait to purchase the vehicles until September, they should wait. He said all expenditures anticipated for the sale of the City property, including plans for the building of the new Public Works Building. He said nothing should be spent until the property is sold, such as, architect fees, plans, etc. C/M Bender agreed with C/M Hoffman and he said the City should declare a moratorium on construction or use of the funds until the City property is sold. City Manager Kelly said the all the Capital Expenditures are already frozen except the Police vehicles. He said the architectural design for the Public Works Building is needed. He said an Item will appear on the next City Council Agenda for approval of $6,500.00 for the deletion of the Customer Service portion from those plans. He said this deletion would be saving a substantial amount of money for the construction of the new Public Works Building. City Manager Kelly said the final plan is needed because when the City property is sold, it will be sold with a lease is Closed, back arrangement. He there will be a said when the City property time frame in which the Public Work Department has to move and if the time frame is not met, the City would have a penalty imposed. Mayor Abramowitz said the lease back agreement is not known yet because the property is not sold. He said he understands what the City Manager is saying regarding having the Plans drafted when needed. He said the City Council is concerned with money for the sale of the City Page 7 4/4/88 property being appropriated if the property is not sold. He said the City, within reason, should stop using the money until the property is sold. He said the City has got to begin to be prudent with their funds because of the problems created by Black Monday. C/M Rohr asked how much the City would be saving in deleting the Customer Service Department from the new Public Works Building and City Manager Kelly replied, $152,000.00. City Manager Kelly said there is still a need to provide a Customer Service Facility at the existing Customer Service site. He said the matter is being investigated now and he will report to Council with the findings. 5. INVESTMENTS Mr. Burroughs said as of February, 1988, the City has invested $30,110,000.00 with the exclusion of the Pension Fund. He said it has been the philosophy of the City and he agrees, that all the investments go into the State Pool. Mr. Burroughs said the State Board of Administration invests money for the State and, under State Law, the Cities can participate in the pool. He said the pool is over $4,726,633,000.00 and the City placing their money there gets a better rate of return. He said the State Pool is as secure as the U.S. Government and the City had over $21,000,000.00 invested in the State Pool. Mr. Burroughs distributed information regarding the State Pool to the City Council (SEE ATTACHMENT). He said the City's investments were very secure and, since he has been with the City, this is the only route the City takes. He said the City received good interest and a monthly investment report is issued which the City Council should be receiving. Mr. Burroughs said the City Council addressed the Bonds on the Police facilities regarding to holding money in a special fund for the equipment. He said the City could do this by keeping the money in escrow until the City decides what they want to do. City Manager Kelly said if a surplus is identified in the Police Account it could be placed in an escrow account without a time limit obligation. C/M Hoffman suggested that this be done. Mayor Abramowitz asked how much input and what restraints are placed on the City's Investment Advisory Board. He asked who would make the bottom line decisions and Mr. Burroughs said he would make the bottom line decisions. C/M Bender asked if the State investments and Mr. Burroughs investments were self -insured answer the question. had insurance on the said he believed the and he could not honestly C/M Bender said a study had been made with the State Funds during the ESM matter which showed the rate of return higher than the average Government invested Insured Bonds. Mr. Burroughs said the latest returns are 7.08. 1 Page 8 4/4/88 C/M Hoffman asked if the Investment Advisory Board was valuable to the City and Mr. Burroughs said personally, he felt there is not value. Mayor Abramowitz said he felt the Administration does a wonderful job; however, the Investment Advisory Board would help in seeing that there are no mistakes. Mr. Burroughs said he would welcome their input. C/M Rohr asked how the City could use the interest in the State Pool and Mr. Burroughs said each fund is budgeted for an anticipated interest earnings which offsets the expenses of the Funds. He said some Funds, such as, the Bond Sinking Funds, are restricted. He said the interest earned on the Bond Sinking Funds reduces the amount that the Utility Fund had to contribute for the principal and interest on the outstanding Bonds. C/M Hoffman asked if there was any good news and Mr. Burroughs said his Department said this is the first time all of the Funds have been in a positive equity position this year. 6. BONDS/FINANCIAL ADVISOR Mr. Burroughs said Black Monday caused the City's Financial. Advisor to get out of the Governmental Financing Business. He suggested the City advertise for applicants for the Financial Advisor position. He said the City is not going to use the Market; however, it would benefit the City to have someone available should they decide to go to the Market. Mayor Abramowitz said if a Financial Advisor would not cost the City anything at this time, applicants should be sought. C/M Hoffman asked what the rates are on new Bond issues against what the City now has issued and Mr. Burroughs said he has not been following this matter closely; however, this matter would be something the Financial Advisor could supply the City with. C/M Hoffman asked if the City wanted to refinance certain Bond Issues would they have to go to Referendum and City Manager Kelly said he would check into this matter. City Manager Kelly said with the City Council's support, he would begin advertisements for a Financial Advisor and the City Council Directed City Manager Kelly to begin the necessary procedures. C/M Hoffman said the City would not pay for the Financial Advisor's service until the service is used and City Manager Kelly agreed. 7. REVENUE SHARING - (SEE PAGE 12 for added discussion) City Manager Kelly said the City Council approved the purchase of a bulldozer for the Public Works Department. He said the cost for the bulldozer is $29,000.00 which had been estimated to $50,000.00. He said the last budget year reflected the Revenue Sharing Fund in the amount of $52,000.00. He said when the City decides to act on the Revenue Sharing Fund, a Public Hearing must be held. Page 9 i �` 4/4/88 City Manager Kelly said the Revenue Sharing Account money had to be expended by September 30, 1988 and C/M Hoffman asked what the money could be used for. Mr. Burroughs said Amendments can be made to the original budget by stating that the Revenue Sharing Fund can not exceed 25% and a Budget Adjustment for $13,000.00 could be done without a Public Hearing. He said any time the Fund goes over 25%, a Public Hearing had to be held. He said the Fund can be transferred to a Contingency Fund through a Public Hearing and providing the Funds are placed in a Contingency Fund, the money could be used by transferring to the proper account. He said this process had to be done before September 30, 1988. C/M Hoffman asked if the money could be used for Police vehicles and Mr. Burroughs replied, yes; however, a Public Hearing is needed. C/M Hoffman said this should be done. The City Council Directed City Manager Kelly to begin procedures for the transfer. 8. STREET LIGHTING City Manager Kelly said there were no more funds available for the Street Lighting Projects. He said additional money is needed before the previous projects can be done. C/M Hoffman asked if the orders given to Florida Power & Light have been put on hold and City Manager Kelly said Florida Power & Light will end up with an $18, 000.00 overage for the project; however, beyond that, the project is frozen. C/M Rohr asked what happened with the process in getting Grants from the Safe Neighborhoods Grants and City Manager Kelly said this project is still being investigated. Mr. Burroughs said the Traffic Impact Fees may be used for street lighting; however, City Attorney Doody is not agreeable with this procedure. City Attorney Doody said he was asked if the City could use Road Impact Fees for street lighting and the Case Law has determined that impact fees could be used in instances where the project being built is a result of new development in the area where the impact fees were collected. He said street lights could be used for new roads because the new roads were being built because of new development. City Attorney Doody said if the City can prove that the street lights were needed because of new development, then the impact fees could be used. He said if the impact fees are spent improperly, then the City would be jeopardizing the impact fees fund laws. Mayor Abramowitz asked if the City could use the fact of new traffic patterns and City Attorney Doody said yes, if the new lights are linked to the increased number of cars. He said he understands that street lighting is needed because of poor visibility as opposed to the number of cars traveling the street. Page 10 4/4/88 C/M Rohr said if a development is an existing street without lights and a development is built along that street with impact fees collected, the money could be used for lights as well as cut outs, turning lanes, etc. City Attorney Doody said the threshold question for the matter would be what is the purpose of the lights. He said he is not quite sure what the argument would be. He said the threshold argument may be visibility versus the increased number of cars and, if there is no new development, a determination regarding street light placement would have to be done. C/M Rohr said there were many streets where a developer builds and the City should be able to place street lights on the development with the impact fee money and City Attorney Doody said street lights could be placed there; however, the City would have to determine where the money would be expended from. C/M Hoffman said the need for street lighting came from new developments and, if the development was built 10 years ago, impact fees were collected for that development. He said if lights were not put in 10 years ago, it did not alleviate the need for lighting today and City Attorney Doody said the Case Law has made it clear that collected impact fees had to be spent to benefit the new development from which they were collected. Mayor Abramowitz said the primary function of a City Attorney is to keep the City out of trouble. He said the City need lights; however, the City Attorney did not agree with how the street lights would be paid for. He asked the City Attorney to continue protecting the City. City Attorney Doody said if staff would use the impact fees for street lighting, he would like to have a defense for the use of those fees for street lighting. C/M Hoffman said the City Attorney had two functions, one function is to keep the City out of trouble and the other function is to find a way to do what the City needed to do. City Attorney Doody said he is trying to find a way to do what the City needed to do; however, he has not, as of yet, heard an argument that he could successfully backup in court. C/M Bender said every new development is not an area self sustained with lighting. He said life line roads have to be connected that increase traffic as a result of the new development. He said if lights are placed on new developments an extension of lights would have to be made for old developments and the City Attorney should be able to defend this fact. Mayor Abramowitz said the City Council's comments were valid; however, the Attorney is protecting the City. He said if the City Attorney could find a valid argument then the matter could be pursued. 7. REVENUE SHARING Mayor Abramowitz said he received a request for approval in purchasing two mini utility -type vans and he asked if this purchase is a necessity. He said if it was not, he wanted the City Council to possibly discuss the matter. Page 11 4/4/88 City Manager Kelly said he presented this request to the City Council for information only. He said he has not reviewed this matter to see if the vans were necessary. 9. BUDGET PROCESS TAPE 3 Mr. Burroughs said the budget had to be amended for the Pension, Health Self -Insured and FPE Contract matters. He said he asked the City Attorney for input regarding the Amendment. City Attorney Doody said he is investigating the State Statute regarding these matters. City Attorney Doody said he would report to the City Council with his findings. Mr. Burroughs said staff is beginning the paperwork for the upcoming budget and the Finance Department will be preparing revenue estimates. He said the proposed budget will be presented to City Council in the last week of July, 1988. He said during the month of August, the City Council will meet with staff regarding their budget requests. Mr. Burroughs said the City Council will be receiving a budget and millage adoption calendar which explained everyone's involvement with the budget. C/M Bender said he would like to see the authentic figures for the budget and build a contingency fund to cushion some of these problems. C/M Rohr said it will be very difficult for the City to keep the budget on the present level. He said he would like the Finance Director to indicate those areas that could be reduced for the upcoming year. Mayor Abramowitz said he would like to see every Department stripped of unneeded funds. He said he did not want services cut because he wanted to be realistic with the services provided to the citizens by the City. He said he would like Town Hall meetings scheduled for the citizens so they can share with the City Council their concerns regarding the City and the budget. Mayor Abramowitz said he viewed sewer pipes that were taken from underground and he would like the citizens to view those pipes and input what should be done about the water system. He said he wanted to share the good and the bad news with the citizens. 10. OTHER BUSINESS Mayor Abramowitz said the City Council allocated $5,000.00 for the City's 25th Anniversary celebration which did not seem enough to celebrate properly. He said he has formed an outside committee that would investigate getting more activities for the City free -of -charge; however, the activities would raise money for the City and its celebration. He said the celebration has been delayed and the City would have full control over the money generated from this committee. Mr. Burroughs said he and Mike Von Hofen, Assistant City Planner, recently attended a Workshop regarding the Comprehensive Planning Act. He said he attended because Page 12 1 4/4/88 of the Capital Improvements Element of the Act. He said the Capital Improvements Element will take a lot of work and the City has to have the Element submitted by mid -August. Thelma Brown -Porter, City Planner, said 2 years ago, the State drafted Rule 9J5 which is the State Statute requiring that Cities have all of their Comprehensive Planning planned out for a period of 5 years. She said the City had to project the expenditures of the Capital Improvement Element. She said the budget area for Capital Improvement would be drastically impacted within the next five years. Mrs. Brown -Porter said the City must have all their infrastructure in place before development can continue; therefore, the moratoriums spoken of earlier may become more apparent if the infrastructure can not be placed prior to the development because of funds. She said she would report further on this matter at the April 7, 1988 City Council Workshop. C/M Hoffman asked if Land Section 7's infrastructure had to be placed before development or can agreements be signed by the developer stating that they plan to develop on the land. Mrs. Brown -Porter said she asked this question and the State's original comment had been that all of the infrastructure had to be in placed, whether it is to be funded by the developer or by the City, prior to a development permit being issued. Mrs. Brown --Porter said there are discussions and lobbying being done by the developers to stop the projected moratorium and to allow them to work out an acceptable agreement, such as, phasing their developments. She said as August approaches an agreement should reached regarding this matter. Mrs. Brown -Porter said Land Section 7 did have its infrastructure and the developer has funded the money for Nob Hill Road improvements and the water and ap-wer' development plans. C/M Hoffman asked how this matter pertained to the City and Mrs. Brown -Porter said the widening of University Drive is taking place and if a development wanted to build on land that did not have the deceleration lanes or if the underground water pipes are deficient and have to be replaced, the City could hold this development up until plans and monies are submitted for the replacement of those problems. C/M Hoffman asked if the State could detain the development and Mrs. Brown -Porter said if the City placed a statement in the Capital Improvement Element which said the City would not allow development to continue unless or until all infrastructures are in place, the State could detain this development. She said the City has a statement to the State at this time, that the City would not permit development unless or until all of the infrastructure is in place. C/M Bender said the City has been doing Comprehensive Planning piece by piece and now the pieces have to be placed together to protect the City from disputes with a developer and Mrs. Brown --Porter agreed. Page 13 4/4/88 C/M Bender asked how much work had to be done to have the Comprehensive Plan completed by August and Mrs. Brown -Porter said 15% of this Plan had to be finished. She said the 15% left is the Capital Improvement Plan which had to tie into the Land Use Element. Mrs. Brown --Porter said with the Court Orders currently on Sections 4, 5 and 6 pertaining to density, there are problems with getting figures together with the Capital Improvement Element; however, the 5 year plan could phase out the problems. She said she has asked for a delay on this matter so that the City could hear from Broward County and State regarding the increased density. C/M Rohr said he did not see where there would be a financial problem with this matter and Mrs. Brown -Porter said when the State gets involved with the Capital Improvement Element, they want to know how many pieces of equipment the City had to maintain the City and its population. Mayor Abramowitz asked if the County does not have the correct population for the City of Tamarac, how could the State ask the City to substantiate equipment. Mrs. Brown -Porter said the figure being used for the City's population is the census which is 39,836 people; however, the City's projection of 41,000 can be documented. Mrs. Brown -Porter said all of the Capital Equipment had to be inventoried and the equipment is being updated each month. She said a lot of the equipment being used by the Public Works Department should have been placed out of service 5 to 6 years ago. She said in order to replace this equipment, the City had to show their anticipated revenue which had to be backed up by the Finance Department. She said this year the projections for development were down by $35,000.00. She said there are drastic measures that each Department is going to have to take to get these revenues. Mayor Abramowitz said the Court Orders were issued by Judge Weissing who has retired and he asked if these Court Orders would remain in effect. City Attorney Doody said he understood that the City went back to Court in 1986 to try and get the Judge's decision reconsidered and the Judge reaffirmed the Court Order; therefore, the Court Order is current and is binding to the City. City Manager Kelly said because of the City property being sold, etc., last year's budget worked out good; however, this year, the budget will be affected because the City does not have the property, etc., to back them up. He said Tamarac does not have much more to go to buildout; however, the City has lived off of the developer's impact fees. He said other Cities will have a hard time meeting the State's requirement and fortunately, the City of Tamarac will not have such a hard time. He said the lobbying is being done to change these matters because of the projected problems. Page 14 4/4/88 L City Attorney Doody said the Miami Herald had an article regarding the Secretary of the Department of Community Affairs which is the State Agency that would enforce the provisions of the 1985 Growth Management Act. He said the Secretary talked to several builders and developers and he indicated that the State may decline the position that moratoriums are going to be imposed if the infrastructures are not planned. C/M Rohr said he is concerned with the citizens having to pay for property that will be used by the people 20 years from now and Mrs. Brown -Porter said the City had a Road Impact Fee that could be used to generate money back into the source of funds. she said the developers are responsible for the Road Impact and ERC Fees which replenish the Fund for Capital Improvements; however, the money has to be expended before the development generates revenue for the City. Mayor Abramowitz asked that the City Council receive a report regarding the surrounding Cities impact, road fees, etc., before the April 7, 1988 Workshop meeting. He asked City Manager Kelly to follow-up on the matters identified at the Workshop. Mayor Abramowitz ADJOURNED this meeting at 12:10 P.M. w� / Wr�M/1 16F.1U.Nalm:•.. . 0, CITY CLERK "This public document is promulgated at a cost of $152.10 or $4.23 per copy to inform the general public, public officers and employees of recent opinions and considerations of the City Council of the City of Tamarac." Page 15 a "ATTACHMENT 4/4/88 Page 8" STATE BOARD OF ADMINISTRATION OF FLORIDA 1230 BLOUNTSTOWN HIGHWAY P.O. DRAWER 5319 (904) 4894406 TALLAHASSEE 32314-5318 April 5. 1989 MEMORANDUM 70:Participants In the local Government Pooled Investment Account FROM: James F, Hudson, Chief Financial Offlcea *' RE: January - March (1989) Investment Activit BOB MARTINEZ GOVERNOR AS CHAIRMAN TOM GALLAGHER STATETREASURUR ASTREASURER GaRALD LEWIS STATE COMPTROLLER AS SECRETARY CUIV HINKLE EXECUTIVE DIRECTOR N The Investment Pool closed with total investments (at cost) on March 31. 1989 of $5.055.467.118.07. The portfolio's average days to maturity was 73 and the security distribution was as follows: 03,3131/89 12 31 09 30 88 06 30 88 Treasury Sills. Bonds and Notes 6.21'' 6.97 6.11 6.08 Federal Agency Obligations 11.46 16.45 13.15 12.90 Repurchase Agreements 17.35 7.39 8.34 7.08 Bankers Acceptance 4.71 3.41 7.58 11.44 Commercial Paper 32.48 29.51 29.59 38.41 , Certificate of Deposit 5.79 3.13 0.00 0.00 Medium Term and Floating Rate Notes 20.10 18.90 20.66 18.87 Other 1.90 14.23 14.57 5.22 100.00 100.00 100.00 100.00 The monthly and cumulative calendar year to date rates are shown below: 1989 Rate of Return Year -to -Date Rate January 8.8325 8.8325 February 8.9111 8.0718 March 9.1997 8.9811 The pool currently consists of 959 individual acocunts maintained by 454 local goverment participants. He always welcome your questions and comments. and 1f we can be of service to you 1n any way, please let us know. - A I I "ATTACHMENT 4/4/88 Page 8" • ti STATE BOARD OF ADMINISTRATIOR PC!'T OFFICE DPAWFP 531.8 TAL LAHASSFE FLORIDA 32. 30 CITY OF TAMAR/C 5811 NW 98 TH AVENUE TAMARAC nATE STATEMENT OF ACCOUNT FL 33371 MAPCH Tnp AGENCY ACCOUNT 1C14 BANK ACCOCIMT Car,';00u"!)ol RATE OF RETURN �i7,Il DEPOSITS WITHDRAWALS C3/01/61f C3/22/88 SQo,ana.aa 03/30/88 151P768.42 C3/31/86 1r290r000.On 0?/31/88 (1) 119032.71 C3/11./dP (2) 1?Cie 85 YYY•ljj Lrµ ar �H glr' Pffi •. • of fe.• �. ;Ti /I��i6�^�F� � '�� -75 r1}} rxy { l r� r•� r ; • r t 1; 1yxr r• .7 3 - LA(.Aqrr- 20p324►9F7.x4 19rP24p 957.54 19r97F,o775.96 21,266r7?5.©6 21,3P5 -s 95R.R7 2109!9770.p?