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1985.05.20_FAB_Minutes_RegularTOWN OF HIGHLAND BEACH, FLORIDA FINANCIAL ADVISORY BOARD MAY 20, 1985 10.00 A.M. A meeting of the Financial Advisory Board was held at Town Hall on Monday, May 20, 1985, at 10:00 A.M. Those attending included Ben Cohen and Reese James. Also present through- out the meeting were Commissioner Grier and Town Manager Hugh D. Williams. Absent were member Joe Murania and alternate member Walter Peklenk. Discussion was held and action taken as noted on the following agenda items: 1. The minutes of the April 22, 1985, meeting were approved as written. 2. A telephone poll of Financial Advisory Board Members was ratified recommending to the Town Manager that a COLA of 3.5% be used for 1985/86 salary budgeting purposes. 3. With Mr. Murania's absence, the matter of charges for trash pick-up was deferred. 4. The matter of charges for water/meter service was deferred pending additional data from the Town Manager. The Financial Advisory Board did discuss the recent action of the Town Commission at its May 7, 1985, meeting regard- ing the expenditure of an approximate $5,000. additional expense for the preparation of bidding documents for the "Test Well" required by the District Water Management Board. It was noted that the well cost was only approxi- mately $5,000. with new engineering costs to be approxi- mately $11,000. This appears to be an unwarranted expenditure of approximately $5,000. 5. The auditor's letter of February 7, 1985, was reviewed and the following recommendations made: The auditor be appointed at an early date but not later than the date of acceptance of the annual budget. That a survey be made of "Like Towns" re- garding their auditors for comparative purposes as well as to assist in the se- lection process. FINANCIAL ADVISORY BOARD May 20, 1985 Pa e 2 of 4 6. The Town Manager advised that the first draft of the 1985/86 budget expenses would be available Wednesday, May 22nd, ex- cepting that the Fire District Costs and TRIM data would not be available at this time. 7. The Town Manager's Memo dated April 23, 1985, re. Investment Policies was discussed. It is the recommendation that this matter is of such importance that a written investment policy should be established by formal action of the Town Commission and, further, that a representative of the Town Commission be appointed to meet with those responsible for implementing such a policy. 8. Commissioner Grier's Memo of May 6, 1985, regarding "Fire Control Costs" was noted. The scope and nature of this subject is such that it warrants a special study Committee. 9. Commissioner Grier's Memo of May 6, 1985, regarding "Beach Safety" was noted. The Financial Advisory Board did concur on the suggestions of signs and life preservers being lo- cated at selected areas along the beach but felt that no action was required of this Board. 10. The Town Manager's Memo of April 29, 1985, was noted with the following comments: Electronic Data Processing This matter should be studied in consultation with the Town's auditors as well as with a special committee of Town residents having experience/expertise in this subject. Town Manager advises that the 1985/86 budget will carry an item of $20,000. for this equipment and programing. Purchasing This Board agreed with the Town Manager's pro- posal that a formal purchasing policy be established by the Town Commission to include a Purchase Order system and that the present $500. limit authorization for the Town Manager is out -dated and unrealistically low. It re- commends that this figure be increased to a $2,500. maximum. FINANCIAL ADVISORY BOARD May 20, 1985 Page 3 of 4 Employee Record Keeping The Financial Advisory Board agrees with the concept of time clocks for employee record keeping and recommends the development of a written policy on this matter. The subject of Treasurer vs. Finance Director was discussed. Although this is a matter for the Town Commission, this Board does recommend that a written policy and procedure be developed for the processing of approving and paying of Town's operating expenses. Depreciation It was noted that although the Town's Financial Records reflect an item of Depreciation (item 49D) the Town does not fund this item even though it has been so recommended by our auditing firm. We strongly recommend that "Funding" be included in the 1985/86 budget. Water service charges This item will be on a future agenda. Water reading Town Manager advises that this is now done by in-house staff at no additional expense. Clothing allowance Town Manager advises that this practice has been discontinued. Pay scale Following a discussion of this subject, the Financial Advisory Board concurs with the Town Manager's proposal to eliminate grade 18 from the present wage scale and to establish grade 14 for the position of Utilities Director. The Town Manager also agreed to develop a Utilities Department organizational chart for the next meeting of this Board. FINANCIAL ADVISORY BOARD May 20, 1985 Paqe 4 of 4 Flex Time This matter was reviewed and it is the recom- mendation of the Financial Advisory Board that the Town establish fixed hours of operation as a better method of management. Fire Rescue It is this Board's view that this matter is of such complexity and magnitude that a special study committee should be established to review the present method of providing service. Employee salary increases The Financial Advisory Board concurs with the recommendation of the Town Manager that all future COLA wage adjustments be given at the employee's anniversary date. The Financial Advisory Board also concurs with the Town Manager's recommendation to increase the employee life insurance coverage from $5,000. to $10,000. at an annual cost of approximately $1, 000 . There being no further business before the Board at this time, the meet- ing adjourned with the next meeting being set for 10:00 A.M. on Tuesday, May 28, 1985, for the single agenda item of the 1985/86 budget. Respectfully submitted, Reese E. James, Chairman cc: F.A.B. Members Town Commission Town Manager 5/21/85 amk