1993.07.13_FAB_Minutes_RegularTOWN OF HIGHLAND BEACH, FLORIDA
• FINANCIAL ADVISORY BOARD
REGULAR MEETING
Tuesday, July 13, 1993 9:30 a.m.
Chairman S. Myron Browner called the Regular Meeting to order in
the Commission Chambers at 9:30 a.m. Others present were Members
Fred Firstenburg, Thomas J. Reid, and Frank Magarace. Vice Chair-
man Victor P. Hadeed was absent.
Also in attendance were Town Manager Mary Ann Mariano, Town Clerk
Anne M. Kowals and Finance Director Michael Seaman.
APPROVAL OF MINUTES
MOTION by MR. FIRSTENBURG/MR. REED approving the Minutes of the
June 17, 1993 Regular Meeting carried without objection.
Mr. Firstenburg, alluding to Commissioner Rand's comment at the
June 17 FAB Meeting, was advised not much money remains in the
State Pooled Investment Fund, currently paying 3-1/4% interest,
as monies have been moved from said fund and invested in the
recommended U.S. Treasury Notes.
OLD BUSINESS
Chairman Browner noted, at the June 17th Meeting, the FAB agreed
three consecutive absences from Regular Meetings by a Member would
result in termination. Town Manager Mariano, noting the Commis-
sion requested each Chairman submit a recommendation regarding
this issue, advised the FAB was the only Board suggesting the
three meeting rule be adhered to. After reviewing the matter, the
Commission directed the Town Attorney draft an ordinance to amend
the code to reflect 'three consecutive unexcused absences' would
apply to all Boards thereby making all Boards consistent. Chair-
man Browner stated he is distressed over this ruling (meaning the
Chairman had the power to decide on dismissing a three meeting
absentee Board Member).
In response to Chairman Browner's query regarding a discussion at
the last meeting concerning delinquent real estate taxes, the
Finance Director advised the Palm Beach County Tax Collector's
Office is sending the Town a print-out listed by property control
numbers.
Chairman Browner noted he is sticking by the statement he made at
the last meeting regarding agreement as far as no adjustment or
challenge to the salary increases included in this budget. The
Chairman stated "We have budget savings; effectively, those
salaries would not raise our millage rate which we anticipate will
Pdecrease". Noting he feels the Town's employees are deserving of
Financial Advisory Board
Regular Meeting Minutes
• July 13, 1993 Page 2 of 4
increases which are based on the 'Long Report', the Chairman re-
peated a prior request to have the Town Commission direct the FAB
review the 'Long Report' with the anticipation of putting a per-
centage cap on salary increases.
Town Manager Mariano noted the 'Long Report', prepared approxi-
mately 8 years ago by an outside agency who sat with every Town
employee analyzing pages of the responsibilities of each employee,
resulted in a scale of salaries which set ceilings on each posi-
tion. The 'cola' is separate from the 'Long Report' which assured
caps which is a control; caps are increased according to the April
CPI annually thereby keeping the 'Long Report' current. Our Per-
sonnel Policy, approved by the FAB and Town Commission, provides
that while one is in the 'Long Report', a merit increase of 3-5%
may be awarded, depending on one's evaluation. It was noted the
Town has a number of long-term employees in the 'excel' catagory;
that means their ceiling will not increase as they are at the top.
The Town Manager stated if this Board wants to get into reviewing
the 'Long Report', she will not recommend the Town do so unless
they are prepared to engage 'Long Associates', or any other con-
sultant, inasmuch as no Board Member has the expertise to review
municipal salaries to see if we are competitive with everyone
• else. It was noted we fall in the middle of the scale and are
competitive with all municipalities in Palm Beach County. Noting
no one is over -paid, the Town Manager stated each employee does a
good job and should be considered on his/her merit. The Town
Manager went on record to oppose the FAB changing the 'Long
Report' in any way unless a consultant is involved in the process.
Mr. Firstenburg indicated that such consultants are generally pro -
employee. In answer to Mr. Firstenburg's query, the Town Manager
advised the Town's ICMA Retirement Plan requires the Employer
contribute 5% of an employee's salary with the Employee mandated
to contribute 2%.
Replying to Mr. Magarace's question, Town Manager Mariano noted a
survey of employee salaries in cities under 10,000 population is
received annually from the Florida League of Cities.
Noting he does not think it is the role of the FAB to review the
'Long Report', Mr. Magarace commented he has a philosophical prob-
lem with caps as he feels salary adjustments and increases should
be based on performance, professional advancement through academic
studies, and the market; often times, caps are an impediment with
regard to an employee's motivation. It was noted the Town has a
re-classification provision that is implemented when needed.
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Financial Advisory Board
Regular Meeting - Minutes
• July 13, 1993 Page 3 of 4
CORRESPONDENCE
Town Manager Mariano advised she received correspondence from Vice
Chairman Victor Hadeed suggesting the line items be broken up to
reflect one is Contingency with a separate line item reflecting
"Reserve Reimbursement". The budget should be clarified for all
to see that part is for "Contingency" with the other part being a
reimbursement of the "Reserve" monies that had been used to
satisfy expenditures. This would present the opportunity for us
to adhere to a policy of 5-8% "Contingency Fund" with any revenues
above that placed in the "Reserve Reimbersement Fund".
Continuing, the Town Manager repeated Mr. Hadeed's suggestion,
i.e., whatever we lump together, if we are trying to replenish
what was taken out in the past, for the public's clarification as
well as ours, we should set a specific "Contingency" amount and,
if there are excess funds we wish to use to replenish the re-
serves, we should call it "Reserve Reimbursement".
Mr. Reid noted money placed in the "Contingency" can be allocated
anywhere while money in the "Reserve Reimbursement" would be
protected with regard to where that money will go.
• NEW BUSINESS
Members reviewed the proposed 93/94 fiscal year budget at length.
During substantial discussion regarding the cuts implemented in
the budget (i.e. delaying the purchase of a computer system for
the Town Clerk's Department, capping the merit raise at 3%, etc.),
when Chairman Browner questioned if the "Contingency" might be
reduced further, the Town Manager advised she would be happy to
consider any 'specific' cuts he might suggest; however, the budget
has been cut to the max and the "Contingency Fund" is necessary
for any unforeseen emergency that may surface. With regard to the
Expenditures, the Town Manager noted, as discussed at the last FAB
Meeting, the Town Attorney submitted a request for an increase in
the general litigation retainer. Since there will be a decrease
in the other legal items, the overall budget for the legal depart-
ment would remain the same as last year. At the end of the
lengthy deliberation, the Financial Advisory Board took the
following action:
MR. FIRSTENBURG MOVED the FAB accept the budget as revised
and recommended the Town Commission adopt it; and a milage
rate of 3.3662 be adopted for the fiscal year 1993/94 which
includes the debt service.
MR. MAGARACE SECONDED the MOVE which was favorably received by the
• Membership.
Financial Advisory Board
Regular Meeting - Minutes
• July 13, 1993 Page 4 of 4
MR. FIRSTENBURG MOVED, on the recommended Garbage and Trash
Charges, the FAB approve a rate schedule for 1993/94 fiscal
year of $10.80 for curbside units with $7.00 for commercial
yardage.
The MOVE, SECONDED by MR. REID, passed without objection.
A MOTION by MR. FIRSTENBURG to concur with staff recommenda-
tion of no change in the 1993/94 fiscal year rates charged
for water and sewer, was SECONDED by MR. REID.
This MOTION received unanimous approval.
The matter of the "Long Report" was broached again. Town Manager
Mariano stated she will inform the Town Commission of the FAB's
repeated request to review said report.
Upon proper MOTION and SECOND, Chairman Browner adjourned the
Regular Meeting of the Financial Adviso y� Board at 10:50 a.m.
APPROVED:
• - S .` Myr n Browner, Chairm&n--—
(Absent)
Victor P. Hadeed, Vice Chairman
Fred Firstenburg
9,esct) f
YFrA. Ma arac1
Thomas J. Reid
ATT ST:
DATE:
AMK
0
s
MEMORANDUM
• TO: TOWN COMMISSION
FROM: S. MYRON BROWNER, CHAIRMAN
FINANCIAL ADVISORY BOARD
DATE: JULY 15, 1993
RE: 1993/94 FISCAL YEAR BUDGET RECOMMENDATIONS
At the Financial Advisory Board Meeting of July 13, 1993, the
following recommendations concerning the 1993/94 Fiscal Year
Budget received unanimous approval from the Membership:
The FAB accepts the budget as revised and recommends it be
adopted by the Town Commission; and, the FAB further recom-
mends a millage rate of 3.3662, which includes the debt
service, be adopted for the fiscal year 1993/94.
The FAB approved the following recommended rate change for
• Garbage and Trash Charges for the 1993/94 fiscal year:
$10.80 ..... Curbside units (Current rate $10.25)
$ 7.00 ..... Condominium (Current rate $6.45)
The FAB concurred in the staff recommendation of no change in
the rate charges for water and sewer for the fiscal year
1993/94
S. Myron Browner
/AMK
cc: Town Manager
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