HomeMy WebLinkAbout1989-07-06 - City Commission Special Meeting Minutesto,,q
7525 N.W. 88th AVENUE
TAMARAC, FLORIDA 33321.2401 July 3, 1989
RECORD OF COUNCIL ACTIONS/DISCUSSIONS
SPECIAL MEETING
OF
CITY COUNCIL OF TAMARAC, FLORIDA
There will be a Special Meeting of the City Council on
Thursday, July 6, 1989 at 9:30 A.M. in the Council Chambers
of City Hall, 7525 NW 88 Avenue, Tamarac, Florida.
The purpose of this meeting is to consider the following
items:
1. MOTION TO APPROVE the proposed Millage Rate for the
1989/90 Budget.
FINAL ACTION:
APPROVED the proposed Millage Rate at 6.70 for the
1989/90 Budget.
2. MOTION TO APPROVE the Selection Committee's recommenda-
tion of Grant Thornton as the City's auditor for Fiscal
Years 1988/89, 1989/90 and 1990/91 at a cost not to
exceed $98,300.00 and to AUTHORIZE" negotiations for an
appropriate contract.
FINAL ACTION:
APPROVED.
3. MOTION TO APPROVE payment to Elena Logan in the amount
of $2,750.00 for reimbursement of her legal expenses
with funds to come from the City Attorney's legal
services account.
FINAL ACTION:
APPROVED.
4. MOTION TO ADOPT Temp. Reso. #5503 authorizing the
appropriate City officials to execute documents related
to the sale of the Public Works property as follows:
a. Special Warranty Deed
b. Affidavit
c. Non -Foreign Affidavit
d. Tenant Estoppel Certificate
e. Lease Agreement
FINAL ACTION: RESOLUTION NO. R-89-205 PASSED.
APPROVED.
5. MOTION TO ADOPT
Temp. Reso. #5504
authorizing the
appropriate City officials
the agreement with
to execute
Scharf & Associates,
an amendment to
Inc., for design
of a deceleration
lane/entry design, parking lot
revisions and a fire
sprinkler system
for the Tamarac
Multi --Purpose Center
in an amount
not to exceed
$12,100.00.
FINAL ACTION:
RESOLUTION NO.
R-89-206 PASSED.
APPROVED.
6. MOTION TO APPROVE attendance of the City Attorney at the
8th Annual Florida Municipal League of Cities Seminar
from August 3 - 5, 1989 at the Mariott Marco Island
Resort.
FINAL ACTION:
Agendized by Consent and APPROVED.
The City Council may consider and act upon such other
business as may come before it.
All meetings are open to the public.
Carol A. Evans
City Clerk
CAE/pm
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Pursuant to Section 286.0105, Florida Statute$
If a person decides to appesl any decision made by t69 City
Council with respact to any matter considered at such meeting or
l,c>ari! g, he vAl need a record of the proreedings and for such
n•r W, h , truy need to ensure that a vE batim record inchi:ic :,
and upon 1;di;dh thri! {apraal is to I,e F7-Frj
CITY OF TAMARAC
CITY COUNCIL SPECIAL MEETING
THURSDAY, JULY 6, 1989
CALL TO ORDER: Mayor Abramowitz called this meeting to Order
on Thursday, July 6, 1989, at 9:30 A.M. in Conference Room #1 (City
Clerk's Office).
PRESENT:
Mayor Norman Abramowitz
Vice Mayor Dr. H. Larry Bender
Councilman Bruce Hoffman
Councilman Henry Rohr
Councilman Jack Stelzer
ALSO PRESENT:
John P. Kelly, City Manager
Richard Doody, City Attorney
Ken Burroughs, Finance Director
Mike Couzzo, Director of Public Works/
Parks and Recreation
Peter Mack, Personnel Director
Carol .. Evans, City Clerk
Dina McDermott, Assistant to the City
Manager
Pauline Walaszek, Special Services
Secretary
1. MOTION TO APPROVE the proposed Millage Rate for the
1989 90 Bu g��
SYNOPSIS OF ACTION:
APPROVED a tentative Millage Rate of 6.70
for the Budget of 1989/90.
City Manager Kelly said the last opportunity to submit
the Millage Rate to the County Appraiser was August 3,
1989. He said he scheduled this meeting to give the City
Council the opportunity to provide the direction to the
appropriate staff to submit this information because the
City Council would be on vacation from July 10, 1989, to
August 6, 1989.
City Manager Kelly said the Budget was not finalized;
however, the preliminary Budget did not include the
ambulance service or advancement wages. He said the
Budget would required a Millage Rate of approximately
6.6.
Mayor Abramowitz said the Millage Rate could not be
increased once it went to the County Appraiser's Office;
however, it could be decreased and City Manager Kelly
agreed.
C/M Hoffman asked if the Millage Rate was for the
Operating Budget only and City Manager Kelly replied,
yes.
C/M Stelzer asked if the Budget included the Broward
Sheriff's Office and City Manager Kelly said another Mill
would have to be added if the City retained its own
Police Department.
Page 1
7/6/89
C/M Hoffman asked if the Budget included the Ambulance
Service and City Manager Kelly replied, yes. City
Manager Kelly said the Budget did not include any salary
increases.
C/M Hoffman asked how the City would pay for the
Ambulance Service Contract if it was not included in the
Budget and City Manager Kelly said this was why he
informed the City Council that the .Budget did not include
the Contract. City Manager Kelly said if the City
Council wanted to include the Ambulance Service Contract
accommodations had to be made in an amount of
approximately $1301000.00.
Ken Burroughs, Finance Director, said the Budget did not
include any negotiations that were on -going.
Mayor Abramowitz said he did not want the City to go
through what it did last year. He said the City Manager
indicated that he cut the Budget as much as possible;
however, he did not want to place the City in another
uncomfortable position.
City Manager Kelly said he has not completed his final
cuts in the Budget. He said last year, the Budget
proposal provided for an increase of approximately 10% in
the General Fund. He said the City proposed a Utility
Tax of 6% last year which was approximately a 50%
increase in the taxes that was translated into the
General Fund. He said when the Utility Tax was not
implemented, there was no option to raise the taxes to
meet that percentage; therefore, $500,000.00 was taken
from the Utilities Fund, $671,000.00 was used from the
Drainage Fund and $613,000.00 was used from the
Unappropriated Fund Balance. He said these Funds were
non --recurring revenue sources which had to be replaced.
Mayor Abramowitz asked if the City Manager was
comfortable with sending the Budget to the County
Appraiser's Office and City Manager Kelly said he would
maka more cuts to accommodate the Ambulance Service
Contract.
City Manager Kelly said he was not comfortable that there
were no raises in the Budget provided for staff because
they certainly worked hard enough to receive them;
however, raises for the staff could not be done this
year.
C/M Rohr suggested that the Millage Rate be raised and
submitted higher to avoid the possibility of needing to
raise it in the future.
Mr. Burroughs said the value of a mil`j_'was 1.2 million
dollars and C/M Rohr suggested that the existing Millage
Rate be increased by one half of a Mill. He said the
Millage Rate could be reduced at a later time if the
entire amount was not needed. He said this would be
better than not having enough filed with the County
Appraiser's Office.
City Manager Kelly said the proposed Budget was assuming
that the City would Contract with the Broward Sheriff's
Office. He said if the Broward Sheriff's Office merger
was not approved, the proposed Millage Rate would have to
be raised by one NLil.
Page 2
7/6/89
C/M Hoffman said the proposed Budget was a large increase
over last year's Millage Rate. He asked the City Manager
to give an explanation of why it was necessary to project
approximately 3 Mills more this year.
City Manager Kelly said last year in order to offset the
difference provided by the utility Tax because it was not
approved, other funds were sought to replace it. He said
in order to make up the difference, the Drainage Fund was
depleted in the amount of $671,000, $500,000.00 was
borrowed from the Utility Fund, $613,000.00 was taken
from the Unappropriated Fund Balance and, $250,000.00 was
taken from the Interim Service Fees. He said the
revenues were decreased in the Building, Community
Development and Engineering Departments, which amounted
to approximately $250,000.00. He said this totaled 2.3
million dollars.
C/M Stelzer asked what the Ad Valorem Tax was last year
and City Manager Kelly replied, 3.36.
City Manager Kelly said there were FICA increases of 8%
and a significant increase in Pension Contributions this
year. He said Peter Mack, Personnel Director, received a
written submittal on the Long Term Disability Policy
which reflected an increase of $.62 on each $100.00 of
salary. He said there were several costs that were
increasing which could not be controlled by the City. He
said he could control expenditures; however, he could not
control the revenue. He said the Department Heads were
asked to submit a Budget less than last year which was
very difficult for some of them; however, with the merger
of the Broward Sheriff's Office, some of the vehicles
would provide assistance in the capital equipment needs
but not all of the needs.
Mayor Abramowitz said he has seen things within the last
14 months about the City that he did not know before
becoming Mayor. He said last year the City Manager
suggested that the Millage Rate be sent to the County
Appraiser's Office much higher than expected; however, he
informed the City Manager that he did not want to
continue the politics that the City had for the last 15
years.
Mayor Abramowitz said the Millage Rate and Tax Structure
in the City was lower than most Cities in the County;
however, there came a time when things had to change. He
asked what the City Manager felt that the Millage Rate
was practical and would allow the appropriate services
needed in the City.
Mayor Abramowitz said there were several employees who
have came to him regarding not receiving a salary
increase. He said he felt very bad about this; however,
everyone had to bite the bullet at some point in their
life. He asked if City Manager Kelly was comfortable
with the Millage Rate.
City Manager Kelly said the Millage Rate of 6.6 covered
the City except for the Ambulance Service Contract which
was being negotiated, the funds for the lobbyist and the
Page 3
7/6/89
Police Department. He said if the City retained their
own Police Department it would cost an additional 1.3
Mils.
C/M Rohr asked what would happen if the matter with the
Police Department did not go in the City's favor. He
said the City would have to deal with another shortfall
if the Millage Rate had to be increased and could not be.
He suggested that the City submit a higher Millage Rate
than expected.
Mayor Abramowitz said he understood C/M Rohr's
suggestion; however, he did not want to play games.
C/M Hoffman said the Millage Rate did not have to be
submitted to the County Appraiser's Office until August
3, 1989 and C/M Stelzer said he did not want the Millage
Rate approved by three Councilmembers only; therefore,
the City Council should make their decision at this
meeting.
C/M Hoffman said by August 3, 1989, there was a good
chance that the matter regarding the Police Department
would be resolved. He said if the Courts ruled against
the City, an adjustment could be made before August 3,
1989, as opposed to deciding this matter now. He said
the City Council was aware that if the City had to
maintain their own Police Department the Ad Valorem would
increase $1.00 per $1,000.00.
C/M Rohr said if the Court did not decide in the City's
favor, the City would probably go for an Appeal and C/M
Stelzer said if there was a Court Injunction filed
against the City, the City could not Appeal the matter.
City Attorney Doody said it was impossible to guess what
a Court would do; however, the opposing parties tried to
get injunctions against the City which were not
successful because the Courts were not overly receptive
to their arguments. He said he doubted that within the
month, the Litigation would be much further than it was
now.
City Attorney Doody said if the Courts did not rule in
favor of the City, he would be recommending that the City
Appeal the Case to the Fourth District Court of Appeal.
He said he did not feel that a decision would be made in
the near future unless the other side decided that they
wanted to drop the Lawsuit. He said he did not feel that
the City would know any more in August, 1989, than they
did now.
C/M Rohr said he did not see any harm in submitting a
high Millage Rate to the County Appraiser's Office when
it could be lowered in the future.
V/M Bender said the City Attorney just stated that the
City would not know any more about the Case on August 3,
1989, than it did now.
Mayor Abramowitz said there may be things that needed the
City Council's approval during the vacation period and,
if there were three Councilmembers present, then they
would have to make a decision. He said the City Council
would make a decision at this meeting; however,
emergencies did occur.
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Page 4
i/6/89
C/M Stelzer said he was referring to the Budget. He said
C/M Rohr seemed to be the only Councilmember that learned
from experience. He said if the Millage Rate of 6.6 was
submitted to the County Appraiser's Office and the Courts
had not made a decision on the Police Department matter,
when the final approval of the Budget was made, the City
would still have to worry about the Courts ruling against
the City.
C/M Stelzer said he did not want to see the people paying
a high Ad Valorem Tax in the future which would result in
a surplus because the residents would not approve of
this. He said the City should submit a tentative Millage
Rate that would compensate the City if things did not go
in the City's favor. He said the tentative Millage Rate
should be as high as possible with the provision that, if
the City could get releases from the opposing parties,
the City could reduce the Millage Rate.
C/M Rohr asked how City Manager Kelly felt about
submitting a higher Millage Rate and City Manager Kelly
said he approved.
C/M Stelzer said he mentioned the Budget figures during
his Report at the Public Hearing for the Broward
Sheriff's Office merger. He said the newspapers did not
print anything; however, he projected this type of
situation several months ago.
C/M Stelzer said 2.3 million should have been increased
last year. He said if the City would have increased the
Millage Rate by 2 Mills last year, the shortfall would not
have been so terrible. He suggested that a tentative
Millage Rate of 8 Mills be submitted to the County
Appraisers Office with a provision that, if the pending
Litigation would not be pursued, the Millage Rate could
be reduced before August 3, 1989. He said the City
Council should give the direction to the City Manager at
this meeting to avoid another meeting during the City
Council's vacation.
Mayor Abramowitz said he researched this matter and he
found that high Budgets were submitted; however, at the
end of the year there was a lot of money saved. He said
he was against this procedure but people felt the City
made a mistake last year by being very legitimate and
honest. He said he felt that it was not a mistake and he
did not disagree with the City Council's suggestions;
however, he did not feel that this was the proper way to
handle it.
C/M Stelzer said if the newspaper reported properly, the
residents would realize that the City had a threat they
had to contend with regarding the Broward Sheriff's
Office merger; therefore, the tentative Millage Rate had
to be increased by 1.4.
Mayor Abramowitz said the City Manager was aware
City Council's concerns and he knew that the City
had a very hard time with every Budget for the
Departments. He said the Budgets were decreased
than they could afford; however, he did not want
the Departments or employees the feeling that all
City had to do was substitute the Millage Rate by
increasing it to eliminate the problems.
Page 5
of the
Manager
more
to give
the
7/6/89
Mayor Abramowitz said he saw the Departments cooperating
and residents coming into the City that were afraid to do
so in the past. He said he asked the City Manager if it
was possible to do a 6 month review of the Budget.
C/M Stelzer said the only thing actually increased in the
Budget was 1 Mill because the 2.3 Mils in the Budget was
last year's mistake.
Mayor Abramowitz said this did not matter because last
year's mistake was forgotten last year. He said the
money was already spent by the people last year. He said
the 'Utility Tax would have been very good for the City
and the surrounding Cities that had a Utility Tax felt
that Tamarac was crazy for not having a Utility Tax.
C/M Stelzer said the residents never objected to the
Millage Rate increasing; however, when a Utility Tax was
proposed, there was always opposition.
C/M Hoffman said the Millage Rate in 1979 was 6.01, 5.69
in 1980, 6.48 in 1981 and 3.36 in 1988. He said in 1981
the Millage Rate was nearly double what it was in 1988.
Mayor Abramowitz said these were the figures that he
objected to because they were created by playing games.
He said he was aware of the games at this time; however,
he was not aware of the games one year ago.
C/M Stelzer said the figures did not mean a thing because
in 1980 and 1981 there was a complete reassessment of the
City with a Roll -Back. He said the Millage Rate in 1979
had no reflection on the City's recent concerns.
C/M Hoffman said he would be very comfortable with a
Millage Rate of 6.60.
Mayor Abramowitz asked if the City Manager felt that the
Millage Rate should be 7.0 or 7.2. He said he felt that
a Millage Rate of 6.60 would be sufficient and he could
not predict the matter concerning the Broward Sheriff's
Office merger.
C/M Hoffman asked if the City could find another tax to
impose for emergency purposes during the year if the
Broward Sheriff's Office matter was not ruled in the
City's favor.
City Attorney Doody said the City could impose user taxes
such as, a Utility Tax.
C/M Hoffman asked if a Utility Tax was the only tax that
could be used and City Manager Kelly said User Fees could
be used. C/M Stelzer said if the User Fees were
increased, people would not come or remain in the City.
C/M Rohr asked if a Municipality could have a minimum
property tax because there were residents that paid very
little tax for the services provided by the City. He
said the Ad Valorem was set up by Assessment; however,
the Assessment did not give the City a true amount of
money.
C/M Stelzer said a Municipality could not tax anything
based on Assessed value as described in the State
Statute.
Page 6
7/6/89
C/M Hoffman asked if a tax could be placed on automobiles
such as for parking and City Attorney Doody replied,
no.
City Attorney Doody said Municipalities did not have
the
power to levy taxes. He said the Legislator had this
power and a City could not levy taxes without the
approval from the Legislator.
*
*
C/M Rohr MOVED to APPROVE an Ad Valorem Millage Rate
of
8.01 SECONDED by C/M Stelzer.
VOTE:
Mayor Abramowitz -
Nay
V/M Bender -
Nay
C/M Hoffman -
Nay
C/M Rohr -
Aye
C/M Stelzer -
Aye
** MOTION was DEFEATED by a 3 to 2 Vote.
* C/M Hoffman MOVED to APPROVE the City Manager sending a
* tentative Millage Rate of 6.60 to the County Appraiser's
* Office, SECONDED by V/M Bender.
City Manager Kelly said this was with the understanding
that the Millage Rate would not include the Ambulance
Service Contract or the Grantsman costs and C/M Hoffman
replied, yes.
C/M Rohr said he would like the Motion Amended to include
that the Millage Rate could be increased after the
negotiations were completed for the Ambulance Service
Contract.
C/M Hoffman AMENDED his MOTION to include C/M Rohr's
Amendment, V/M Bender AMENDED his SECOND.
C/M Stelzer said the City Manager expected the Ambulance
Service Contract to increase the Millage Rate by 1 Mill
over what was actually needed.
C/M Hoffman AMENDED his MOTION to increase the Millage Rate
to 6.70, if needed, V/M Bender AMENDED his SECOND.
VOTE:
Mayor Abramowitz
- Aye
V/M Bender
- Aye
C/M Hoffman
- Aye
C/M Rohr
- Nay
C/M Stelzer
- Nay
MOTION was CARRIED by a 3 to 2 Vote.
2. MOTION TO APPROVE the Selection Committee's
recommendation of Grant Thornton as the City's auditor
for Fiscal Years 1988/89, 1989/90 and 1990/91 at a cost
not to exceed $98,300.00 and to AUTHORIZE negotiations
for an appropriate contract.
SYNOPSIS OF ACTION:
APPROVED.
Mayor Abramowitz asked if the City was mandated by law to
have an Auditor and City Manager Kelly replied, yes.
Page 7
WAWA
Mayor Abramowitz asked if $98,300.00 represented three
years of service and City Manager Kelly replied, yes.
C/M Stelzer asked if the terms of the Contract would be
negotiated as opposed to the costs and City Manager Kelly
replied, yes.
* C/M Rohr MOVED to APPROVE the Engagement of Grant Thornton
* as the City's Auditor for Fiscal Years 1988/89, 1989/90,
* 1990/91 and to AUTHORIZE negotiations for the appropriate
* contract, SECONDED by C/M Hoffman.
Mayor Abramowitz asked who was on the Negotiating
Committee and City Manager Kelly replied, Ken Burroughs,
Finance Director, Bob Hoyt, Deputy Finance Director, and
Dina McDermott, Assistant to the City Manager.
V/M Bender said the recommendations indicated that Peat
Marwick was selected first and Grant Thornton was the
second selection. He asked why Grant Thornton was
selected and City Manager Kelly said there was a
$10,000.00 difference in the cost of the two firms. City
Manager Kelly said Peat Marwick was not willing to quote
a fixed cost for a three year contract.
Mayor Abramowitz said there was a member of the Public
who wanted to speak on this Item and he would rule to
allow it.
Melanie Reynolds, Resident of Sands Point, said she
objected to the three people on the Auditor Selection and
Negotiating Committee because the Finance Department
would ask for different services than the City Council.
She said since the City Council was the governing Body of
the City, they should have interviewed the Auditing Firms
and she asked why this was not done.
City Manager Kelly said in the past, Mrs. Reynolds
criticized the City Council for participating on
Selection Committees whose recommendations would be
referred to the City Council for final actions. He said
Mrs. Reynolds felt that this procedure was a conflict of
interest and, to accommodate Mrs. Reynolds, it was
determined that staff would make the recommendations to
the City Council without the participation of a
representative of the City Council. He said it seemed
that regardless of which procedure was exercised, it
would be criticized; therefore, he was dismissing Mrs.
Reynolds's arguments.
C/M Rohr said he was not an Accountant and he knew
nothing about Accountant procedures; therefore, it was
not appropriate to ask him to determine what Accounting
firms should be hired when there were staff members
involved in the needed services everyday.
C/M Stelzer said he has been an Accountant for several
years and he was aware of what the City needed. He said
he was at the previous meeting of the Auditor Selection
Committee when every Accounting firm was rated by points.
He said he was very pleased with the rating procedure
and he felt it was done properly.
VOTE: ALL VOTED AYE
OR
7/6/s9
3. MOTION TO APPROVE payment to Elena Logan in the amount
of $2,750.00 for reimbursement of her legal expenses with
funds to come from the City Attorney's legal services account.
SYNOPSIS OF ACTION:
APPROVED.
City Manager Kelly said Elena Logan has petitioned the
City Council to approve her request for reimbursement of
legal fees that she incurred in defense of the defamation
suit brought against her by John Montalvo, Jr. He said
the suit was brought against Ms. Logan because of a
written statement that she was instructed to prepare by
the previous Personnel Director, Larry Perretti.
City Manager Kelly said the suit was dismissed; however,
there were expenses of $2,750.00 incurred for defense.
He said Ms. Logan's defense was partly on behalf of the
City and it was created from directions given by a City
official.
City Attorney Doody said he reviewed and supported the
request because the actions Ms. Logan took were in direct
response to the City's Policy on sexual harassment. He
said as a result of Ms. Logan following the City's
procedures, she was involved in a defamation lawsuit and,
if the City Council did not approve the request, it may
cause other employees involved in this type of
harassment, not to come forward to the City Council.
City Attorney Doody said he was informed that the lawsuit
was dismissed and he anticipated that there would not be
future legal expenses for this Case.
C/M Rohr asked if it was possible for Ms. Logan to ask
the Courts to pay the costs and City Attorney Doody said
he would have to discuss this matter with Ms. Logan's
Attorney. City Attorney Doody said the suit has been
dismissed; therefore, the lawsuit would have to be
repealed in order to have this done.
* C/M Hoffman MOVED to APPROVE this Item, SECONDED by C/M Rohr.
Vickie Beech, Resident, said she thought that the City
automatically represented an employee when there was a
matter that pertained to City personnel. She said the
law firm of Ruf and Carsky was handling most of the
litigation for this Case and she asked why the City would
have to reimburse Ms. Logan when Ruf and Carsky was being
paid to handle the matter.
City Attorney Doody said the payment would not be
submitted to the law firm of Ruf and Carsky. He said
this matter pertained to a lawsuit separate and apart
from the lawsuit against the City. He said there would
be a conflict of interest if Ruf and Carsky represented
both Ms. Logan and the City.
TAPE 2
C/M Stelzer said there was a precedent set in the past
where a City Councilmember sued another City
Councilmember and the City paid the legal costs.
VOTE:
ALL VOTED AYE
Page 9
7/5/89
4. MOTION TO ADOPT Temp. Reso. #5503 authorizing the
appropriate City officials to execute documents related
to the sale of the Public Works property as follows:
a. Special Warranty Deed
b. Affidavit
c. Non -Foreign Affidavit
d. Tenant Estoppel Certificate
e. Lease Agreement
SYNOPSIS OF ACTION:
APPROVED.
RESOLUTION NO. R-89-205 -- PASSED
City Attorney Doody read Temp. Reso. #5503 by title.
C/M Hoffman asked that Item e., be heard first because
the discussion on this Item may affect the action of the
City Council.
C/M Hoffman said when negotiations took place for the
sale of the Public Works property, the City's financial
condition was very different than it is at this time. He
said it did not seem that there was a reasonable need for
the City to build a new Public Works facility on Land
Section 7. He said if the City Council agreed with this,
he did not see any reason for the City to rent property
for approximately $250,000.00 per year.
C/M Hoffman said based on the proposal of the Lease, it
would take approximately one year after the signing of
the Lease before the City was no longer obligated to the
Lease. He said the City was required to give notice of
270 days to the owner when the City was planning to
vacate the premises as well as clean the facility 45 days
prior to the City's vacation.
C/M Hoffman said it would be a long time before the City
was in a financial position to build a new facility at
Land Section 7. He suggested that the City use the old
City Hall property for the Public Works Department and
sell the existing Public Works property immediately
without leasing it.
C/M Hoffman suggested the Lease Agreement be Tabled and
not signed until there was more information about what
the City would like to do with the Public Works
Department.
Mayor Abramowitz said C/M Hoffman stated it would cost
the City approximately $250,000.00 per year and he asked
how C/M Hoffman determined this figure.
C/M Hoffman said the rent on the property would be 1%
over prime based on $1,900,000.00. He said if the prime
rate was 13% an additional 1% multiplied by $1,900,000.00
calculated to be $250,000.00 per year.
Mayor Abramowitz said the Lease indicated that the
maximum that it could be over prime was 1%. He said C/M
Hoffman indicated that the Public Works Department should
be moved to the old City Hall and the existing Public
Works property should be sold immediately.
C/M Hoffman said the City should sell the property and
give the title to the buyer immediately.
�J
Page 10
7/6/89
C/M Stelzer said the City needed money for a new Public
Works Facility and, every year the City delayed building
the facility, the costs increased approximately 15%. He
said the original agreement for the sale of the property
was that the buyer of the property would give the City
the money needed for the Public Works Facility, which was
1.9 million dollars, and charge the City interest in form
of rent.
C/M Stelzer said he and Mike Couzzo, Public Works
Director, discussed transferring all of the
Administration to the old City hall building and finding
a bay that could be used for the Fleet Maintenance
Department. He said the finances were needed for the
transfer and the City Manager indicated that the buyer
was not interested in taking the property immediately.
Mayor Abramowitz said the City informed the buyer that
they would prefer the buyer take the property immediately
and the City Manager stated that the buyer could not get
the finances immediately. He said there was no reason
why the City could not immediately inform the buyer that
they intended to exercise their 270 day option. He said
the purchaser could very well inform the City in 60 days
that he was financially ready to take the property.
Mayor Abramowitz said everyone knew the terms of the
Agreement when it began and it was not the best
Agreement available. He said the City had the old City
Hall for sale for two years and there was nobody
interested. He suggested that the City inform the buyer
that they intended to begin their 270 day notice.
Mayor Abramowitz said there were two Phases of the
Agreement and he was concerned with the City beginning
the construction of the Public Works Facility and the
buyer deciding that he was not interested in Phase two.
He said the City Council agreed not to do anything until
all of the money was received from the buyer.
C/M Hoffman said things that were agreed upon
approximately 8 months ago were'not feasible at this
time. He said the final sale of the Public Works
property was contingent on things that the City may not
have control over.
C/M Hoffman said if the State or County decided not to
permit a gasoline station on the corner, the buyer would
no longer be interested in the property. He said the
City should not be in the position of a commitment in
building an expensive piece of real estate on Land
Section 7 and find that the buyer was no longer
interested in the old Public Works property because the
State or County would not allow a gasoline station on the
property.
City Manager Kelly said C/M Hoffman was correct in
stating that the times and circumstances have changed.
He said the increasing regulations on environmental
control was a big concern and, if the buyer agreed to
give the City the 1.9 million dollars, he could not
recommend that the City Council authorize the
construction of the Public Works Facility on Land Section
7. He said he was not prepared to make recommendations
as to how the City should address these concerns.
Page 11
7/6/89
City Manager Kelly said there was a concern in the Public
Works Department moving over to the old City Hall
building because $700,000.00 was included in the proposed
Budget as revenue from the sale of the property.
C/M Stelzer asked if the sale was calculated for capital
expenses and Ken Burroughs, Finance Director, said the
funds were calculated as a capital offset.
Mayor Abramowitz said he would not approve beginning
construction of the Public Works Facility until the funds
were available.
C/M Rohr asked Mike Couzzo, Director of Public
Works/Parks and Recreation, how he felt about using the
old City Hall building for the Public Works Department.
Mr. Couzzo said there was enough space to accommodate the
Public Works Department; however, there was a concern
about what would be done with the Fleet Maintenance
Department. He said some renovation of the facility
would be required if the Fleet Maintenance Department was
to be located there because there was no availability for
gasoline. He recommended that a Feasibility Study be
done.
C/M Rohr said there was no availability of gasoline to
the existing Public Works building when the site was
first used by the Department and Mr. Couzzo agreed. Mr.
Couzzo said placing gas tanks now was a very complicated
and expensive procedure.
C/M Rohr said the City has been anticipating the sale of
the old City Hall building for two years. He said he
understood that the funds were placed in the Budget;
however, there was nobody showing interest in buying the
property. He said it seemed more feasible for the City
to use the old City Hall building, which was available,
and save 1.9 million dollars. He suggested the City ask
for a three month delay on the Lease Agreement.
City Attorney Doody said in October, 1988, the City
signed a Purchase and Sale Agreement and most of the
terms in the Lease Agreement were included in the
Purchase and Sale Agreement. He said it was the
purchaser's position that they would litigate against the
City if the Agreements were not complied with in an
attempt to cover the costs that were incurred.
C/M Hoffman said the City did not disagree with the buyer
needing time to accumulate the finances. He suggested
the buyer inform the City how much time was needed to get
the finances and the City retain possession of the
property until 30 or 60 days prior to the time the buyer
wanted to take the property. He said the City could move
off the property without a lease after the buyer obtained
the necessary funds.
Mayor Abramowitz asked where the Public Works Department
would go and C/M Hoffman said the Public Works Department
would move into the old City Hall building. C/M Hoffman
said during the time the buyer needed to obtain the funds
the City could have a Feasibility Study done on what was
needed for the Public Works Department to use the old
City Hall building.
Page 12
7/6/89
Mayor Abramowitz said the discussions by the City Council
at this time were for concern of using the City's most
valuable property to build a City complex. He said the
property on Commercial Boulevard was very valuable and
his concern was not building a Public Works Facility on
Land Section 7. He said there were things that changed;
however► a signature on a Contract did not change. He
said the City was recently dealing with problems of
decisions and contracts 6 years ago. He said he would
like the buyer to give the City the money for the
property and take the property immediately.
City Attorney Doody said he understood that the buyer was
not willing to delay the Lease Agreement so that the
funds could be accumulated to immediately take possession
Of the Public Works property.
Bernie Freedman, Attorney for Jeff Berkowitz, Purchaser
of the Public Works property, said his client spent
several months working with the City on the Agreement.
He said the Agreement was predicated on a set of
circumstances that Mr. Berkowitz factored in as his
reasons in purchasing the property. He said Mr.
Berkowitz purchased the property for the exact price that
the City was asking without negotiations. He said there
were other circumstances that may have made the Agreement
more appealing to Mr. Berkowitz without negotiating the
price. He said if the circumstances changed, Mr.
Berkowitz may have to reevaluate the entire Agreement to
see if the Agreement would be beneficial for him.
Attorney Freedman said the City may have to be in the
position of litigation that may reduce the price of the
property. He said he was not saying that litigation
would take place; however, it was possible.
V/M Bender said the original provisions indicated that
270 days notice could be waived by the landowner, which
was Mr. Berkowitz. He said he felt very uncomfortable
with the element of time. He suggested that Mr.
Berkowitz consider reducing the notice time so that the
City did not have to wait for one year to vacate the
property.
C/M Rohr asked how much time there was before closing and
Attorney Freedman said Mr. Berkowitz was prepared to
close on July 12, 1989.
C/M Rohr asked if the City was committed to a minimum of
270 days of renting and Attorney Freedman replied, yes;
however, there were environmental issues that would need
to be reviewed once the City vacated the property.
Mayor Abramowitz asked what would happen if Mr. Berkowitz
came to the City immediately and agreed to closing
without leasing. He asked Mr. Couzzo how much it would
take to move the Public Works Department to the old City
Hall building.
Mr. Couzzo said if the City Council wanted the Public
Works Department
to relocate to the old City Hall a
preliminary Feasibility Study should be done immediately
because there were conditions of the building that needed
to be corrected.
Page 13
7/6/s9
Mayor Abramowitz said there was no way that the Public
Works Department would be able to relocate into a new
facility within 9 months.
Gary Kuhl, Architect from Scharf & Associates, Inc., said
if the money was available for the Public Works
Department to relocate to the old City Ha i. i `:, , '. " ng, it
would take 5 months for the transition, to occur. He said
there were several things, such as gasoline tanks,
permits, paving for trucks, building renovations, etc.
He said there would be several environmental issues
involved as well.
Mayor Abramowitz said he was very concerned about the
time frame involved. He said he would like Mr. Berkowitz
to immediately take the property; however, the City had
no idea what they would do with the Public Works
Department.
C/M Hoffman said he recognized that the City would need
approximately 6 months before they could vacate the
existing Public Works property; therefore, he withdrew
his objections expressed at the beginning of the
discussions. He said the City did not need a new
facility on Land Section 7 and he suggested that a
preliminary Feasibility Study be done regarding the use
of the old City Hall building being used for the Public
Works Department.
Mayor Abramowitz asked Attorney Freedman to relate to Mr.
Berkowitz that the City Council would like him to
consider reducing the leasing time.
C/M Stelzer said the City was supposed to sell the
property contingent to a gasoline station being placed on
it. He said the City wanted to sell the property and
immediately use the money received for the property for a
new Public Works Facility; meanwhile, the City would be
renting the property from Mr. Berkowitz as an interest.
He said he could not understand what the City Council
really wanted.
C/M Stelzer asked if the City Council wanted to continue
with the building of the new Public Works Facility or
place the Public Works Department in the old City Hall
building. He said if the Public Works Department was
moved to the old City Hall building there would be a
cost. He said the money received for the existing Public
Works property could not be used for operating expenses.
He said Mr. Couzzo was correct in asking for a
Feasibility Study for the relocation of the Public Works
Department to the old City Hall building.
C/M Hoffman said he did not believe that it would be
feasible for the City to begin building a new Facility at
Land Section 7 until the City sold the existing property.
He said if the State and County decided that a gasoline
station could not be placed on property, Mr. Berkowitz
would be able to cancel the Purchase Agreement. He said
until Mr. Berkowitz took complete possession of the
property and received his permits the City would not
actually have a valid sale of the property.
Mayor Abramowitz said the County and Regulatory Agencies
have indicated that there should be no problems with Mr.
Berkowitz obtaining permits for a gasoline station for
the property providing the City approved the sale of the
property.
Page 14
7/6/89
1
Cl
Mayor Abramowitz asked the City Attorney to address the
documents on the Agenda.
City Attorney Doody said Item a., was a standard Warranty
Deed for the Lots that constituted the Public Works
property, Phase 1. He suggested that this Item be
approved because the Closing was to occur on July 12,
1989.
City Attorney Doody said Item b., was an Affidavit
indicating that there, were at the present time, no
anticipated Liens on the property.
City Attorney Doody said Item c., was a Non -Foreign
Affidavit indicating that the City of Tamarac was not a
foreign entity.
City Attorney Doody said Item d., a Tenant Estoppel
Certificate, was a form that indicated that the City
would stand by the Lease Agreement.
City Attorney Doody said Item e., was a Lease Agreement
and the information in the Agreement was
self-explanatory.
C/M Stelzer asked if there were any changes in the Lease
Agreement and City Attorney Doody replied, no.
* C/M Hoffman MOVED to APPROVE Temp. Reso. #5503, SECONDED by
* C/M Rohr.
VOTE:
ALL VOTED AYE
5. MOTION TO ADOPT Temp. Reso. #5504 authorizing the
appropriate City—o `ficial.s to execute an amendment to the
agreement with Scharf & Associates, Inc., for design of
a deceleration lane/entry design, parking lot revisions
and a fire sprinkler system for the Tamarac Multi -Purpose
Center in an amount not to exceed $12,100.00.
SYNOPSIS OF ACTION:
APPROVED.
RESOLUTION NO. R-89-206 - PASSED
City Attorney Doody read Temp. Reso. #5504 by title.
Mayor Abramowitz asked the City Council to direct the
Finance Director to pay all costs out of the Grant funds
as opposed to using the City's funds.
C/M Hoffman asked where the Multi -Purpose Center would be
located and Mike Couzzo, Director of Public Works/Parks
and Recreation, said the property was presently unplatted
and the County required the entire parcel to be platted.
He said the City requested the County grant a Building
Permit to the City until the final plat was approved.
C/M Hoffman had concerns with the costs for the designs
and Mr. Couzzo said the Architect was present to explain
the costs and procedures.
Gary Kuhl, Architect from Scharf & Associates, Inc., said
the deceleration lane had to be approved by the County
and State. He said he would be making a proposal based
Page 15
7/6/89
on staff's recommendations for the County. He said there
were several things on the specifications that would have
TAPE 3 to be revised to comply with these recommendations.
C/M Hoffman asked if the costs would include Platting
interviews, etc., and Mr. Kuhl said there was _i,
additional service for the platting and it did not
anticipate that the deceleration lane would have to be
installed.
Mr. Couzzo said the Architect and City thought that the
property was platted; however, after additional research,
they found that it was not, which required additional
procedures.
V/M Sender asked if the platting would have to be done on
the property that was previously owned by the School
Board and Mr. Couzzo replied, yes; however, the City now
owned the property.
Mr. Kuhl said the original plan was to build the
Multi --Purpose Center on School property under a Ground
Lease. He said this procedure became so complicated the
idea was changed to swapping land which simplifieO the
legalities of the situation. He said when this was
initiated it was believed that the Park property was
platted; however, it was found that the entire parcel was
not platted.
Mr. Kuhl said the County was now demanding that the
deceleration lane be implemented. He said there was a
lot of traffic in the area and, once the Multi -Purpose
Center was built, the traffic would increase. He said he
did not feel that the County's request was negative
because it would eliminate a dangerous situation.
C/M Hoffman said $4,200.00 seemed like a lot of money for
design fees to pave approximately 60 feet.
Mr. Kuhl said Scharf & Associates, Inc., enjoyed working
for the City and, when specific items were required, the
company did the work at cost or less. He said $4,200.00
may seem like a lot; however, the designs required an
Engineer to do the Engineering, Architectural and Site
Plans, which cost money.
* C/M Rohr MOVED to APPROVE Temp. Reso. #5504, SECONDED by
* V/M Bender.
VOTE:
ALL VOTED AYE
6. MOTION TO APPROVE attendance of the City Attorney
at the Eighth Annual Florida Municipal League of Cities Seminar
from August 3-5, 1989, at the Mariott Marco Island Resort.
SYNOPSIS OF ACTION:
APPROVED.
* C/M Stelzer MOVED to APPROVE this Item, SECONDED by C/M Hoffman.
VOTE:
ALL VOTED AYE
Mayor Abramowitz wished everyone a very happy and healthy
vacation.
1
1
Page 16
7/6/89
C/M Hoffman said the Feasibility Study regarding the
Public Works Department moving into the old City Hall
building could be done in-house. He said if an outside
firm was needed, it could be approved at a later time.
City Manager Kelly asked how long it
would take to
complete a Feasibility Study and Mr.
Couzzo said a
preliminary Study would not take very
long; however,
there were mechanical and architectural
considerations
ne-de I for the Study.
Mayor -Abramowitz said he would not approve
changing
the
old City Hall building into a permanent
facility for
the
Public Works Department. He said the
building would
be
used temporarily for the Public Works
Department and
he
felt that the Public Works Department
was one of the
most
important Departments in the City.
Mr. Couzzo said he did not feel that preliminary
Feasibility Study would cost very much; however, there
may be a need for outside advice for the engineering and
architectural items.
Mayor Abramowitz said he would like the Study done
in-house and Mr. Couzzo said he would see that as much as
possible done in-house.
City Manager Kelly said there was an outstanding Audit to
be performed on the Building Department as required by
the Charter when a Department Head resigned or was
terminated. He said he would like to engage Grant
Thornton for the Audit. He said the City Council
recently authorized approval of a Contract with Grant
Thornton; however, he would like to call a Special
meeting providing there was a quorum of the City Council
to engage Grant Thornton for the Audit.
C/M Hoffman asked if the Charter required that an outside
Auditor be hired for this type of auditing and City
Manager Kelly said the Charter required that there be an
independent audit.
Mayor Abramowitz said he would like City Manager Kelly to
review the amount of funds that have been spent for
audits and studies this year. He said he wanted to be
informed of what was mandated and required.
City Manager Kelly said the City Council recently
approved a tentative Millage Rate of 6.70 and he asked if
the City Council wanted to send the 6.70 to the County
Appraiser's Office before he finalized his Budget
reviews.
Mayor Abramowitz asked if the City Manager was suggesting
that the tentative Millage Rate be lowered, if possible,
before it was sent to the County Appraiser's Office.
The City Council agreed to send the 6.70 tentative
Millage Rate to the County Appraiser's office and, if
possible, it could be lowered later.
Page 17
7/6/89
With no further business, Mayor Abramowitz ADJOURNED this
meeting at 11:30 A.M.
NO MAN ABRAMOWITZ, MAYOR
CARCOL A. E A , CTTY CLERK
"This public document was promulgated at a cost. of $134.40 or $16.EG 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.
l.,iTY OF TA ARAC
ARF'R0 EO PJ MEETING OF A
Cty NA,
1
P�
Page 18
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