2015.09.10_TC_Minutes_Special (2) TOWN OF HIGHLAND BEACH
MINUTES OF TOWN COMMISSION MEETING
FY 2015 -2016 BUDGET PUBLIC HEARING
Thursday, September 10, 2015 5 PM
Mayor Bernard Featherman called the Budget Public Hearing Meeting to order in the Town Commission
Chambers at 5:05 PM.
CALL TO ORDER:
Roll Call: Members present: Mayor Bernard Featherman; Vice Mayor William Weitz, Ph.D;
Commissioner Carl Feldman; and Commissioner Rhoda Zelniker. Member Absent: Commissioner Louis
P. Stern. Also present: Town Attorney Glen Torcivia; Town Manager Beverly Brown; Town Clerk
Valerie Oakes; Finance Director Cale Curtis; Public Works Director Ed Soper; Building Official Mike
Desorcy; Code Enforcement Officer Carol Holland; Police Chief Craig Hartmann; Interim Library
Director Suzi Hayes; Sea Turtle Liaison Suzi Hiles and members of the public.
Pledge of Allegiance: The Pledge of Allegiance was given, followed by a minute of silence.
Civility Pledge: The Civility Pledge was recited by the Town Clerk.
1. ADDITIONS, DELETIONS OR ACCEPTANCE OF AGENDA:
Mayor Featherman called for any additions or deletions to the agenda.
Receiving no additions or deletions, the agenda was accepted as presented.
2. PUBLIC COMMENTS AND REOUESTS:
Town Clerk Oakes read an email from Commissioner Stern into the record attached as Exhibit
«
3. PRESENTATIONS:
A) Summary of Budget Updates
By: Cale Curtis, Finance Director
Finance Director Cale Curtis — From the time we started this budget process back in July, we have
been able to cut 4.2% from the budget; up $488,000. You have a copy of the Update to the
Proposed 2015 -2016 Budget (Update 3 — September 10, 2015). The bottom line is that the General
Fund has been reduced by $488,000, and the Reserve for Contingency sits at $588,000 in the
current General Fund Budget.
Town Commission Budget Public Hearing Meeting Minutes
Thursday, September 10, 2015 Page 2 of 9
Commission Discussion:
Mayor Featherman — What is the name of the full -time maintenance /janitorial person in the
Library whose position is being eliminated? What is the status of the part-time maintenance
position in Public Works? Fin. Dir. Curtis — The gentleman who currently holds the full -time
position in the Library is Bertrand Desir. His position is being re- classed to a part-time position.
Commission Feldman had questions and comments on the following items:
• Town Manager — Added $15,000 for a Merit Pay Program.
Comm. Feldman — A figure should not be placed on this since there is no program at the
present time.
• Town Clerk added $4,000 to the budget for overtime costs associated with the
Administrative Assistant's ongoing effort to organize and electronically catalog the building
department files.
Comm. Feldman — This could be done within the hours of the full -time employee, since the
project went from a part-time to a full -time position.
• The Town Clerk added $5,000 to election budget for public referendum.
Comm. Feldman — This item may not be necessary since we are not sure if there will be a
referendum for the fire equipment and the walking path. Regarding the fire engine, in 1993
Ordinance #605 talked about spending over $350,000 to $700,000 for a new fire engine.
The Town Attorney at that time advised that a referendum would not be required if we
projected out further payments. Does that still hold true? Town Attorney Torcivia could
not comment on this since he was not familiar with that ordinance. The limit in the Charter
is $350,000. Comm. Feldman — If we have to purchase a fire engine, would that be a public
safety item, and not have to go to referendum because we had no choice? Town Attorney
Torcivia — There is no exception in the Charter for public safety issues.
Comm. Feldman — The tax rate could be lower than the roll back rate of 3.7073 to 3.55 mils if we
look into all the areas that we can cut back on, such as the money that was left over and other
savings. There is $5,000 in the budget for damaged trash cans;why it is the responsibility of the
Town to replace them if they are lost or damaged? Are they supplied by Waste Management?
Was this money spent last year? Fin. Dir. Curtis — A portion of the money was spent last year, and
the Town provides the waste bins for the residents. Town Manager Brown — After the replacement
of the second bin, we charge the resident.
Comm. Feldman — We are replacing cars in the Police Department every two years, but we are still
buying longevity insurance for $3,500. The cars do not get that much mileage, and we should be
able to lower this figure. Fin. Dir. Curtis — We are not purchasing vehicles this year, but we are
buying the extended warranties instead.
Comm. Feldman — We could remove the $5,000 from the Commission for attending meetings, etc.
I am not in favor of funding the estimated $15,000 cost for the Library for Yoga classes, physical
therapy, and other programs. If residents want these programs, they should pay for them and not
the Town.
Town Commission Budget Public Hearing Meeting Minutes
Thursday, September 10, 2015 Page 3 of 9
Vice Mayor Weitz — I am also in favor of reducing the millage rate. The property value is
increasing and we are experiencing a good increase in new building developments. We have a
significant amount of money in reserves.
• Overtime: I think we have serious competent people in this town. We should be able to
adjust the workload and time schedules so that workloads could be accomplished. Overtime
should be a rare item.
• Training programs and conferences: There should be a limit on how many that each
employee attends. I recommend a twenty -five percent (25 %) cut from all departments for
training programs and conferences.
• Police Department: There was an article in the Palm Beach Post regarding the purchase of
Segways for the Delray Beach Police Department. They are economical and would be good
for community policing and patrolling the roads. I am recommending we look into this as
an option as opposed to purchasing two vehicles every two years.
Commissioner Zelniker — Our total Fund Balance this year, 2015, is showing $11,355,000. Based
on the figures given to me for over the last ten years, this is the highest our Town has ever had.
We are over reserved for the future projects. We are at the point where we can give a neutral
millage rate. Fin. Dir. Curtis — As the budget currently sits, without any of the changes brought up
by Comm. Feldman and Vice Mayor Weitz, the neutral rate would be 3.4213 mils. It changes as
funds are added and/or eliminated. Comm. Zelniker — I am in favor of the $350,000 spending limit
before having to go to referendum, and I believe we have the ability to have an emergency
referendum if a fire truck is needed. The Town should pay for the classes offered at the Library
such as yoga, physical therapy, etc.), and the residents should not have to pay for them. I would
also add some money into the Library to fund additional programs directed by the Library
Director.
Mayor Featherman — I have served on many Boards and have been involved with budgets. I am in
favor of cutting back our expenses and protecting our residents from an increase in their taxes.
Fin. Dir. Curtis — There is feedback on the proposed budget provided by the five members of the
Commission. At the conclusion of the budget meeting, I try to garner what is a consensus of
certain items that are going in and out. There are different opinions as to what changes should be
made, especially the percentage that the millage rate should be set at.
Town Commission Budget Public Hearing Meeting Minutes
Thursday, September 10, 2015 Paae 4 of 9
4. PRESENTATIONS OF BUDGET RESOLUTIONS
A) RESOLUTION NO. 15 -007 R
i
A RESOLUTION OF THE TOWN COMMISSIION OF THE TOWN OF HIGHLAND
BEACH, FLORIDA, ADOPTING A FINAL MILLAGE RATE OF 3.7053 MILS FOR THE
TOWN'S GENERAL OPERATING FUNDS FOR THE FISCAL YEAR BEGINNING
OCTOBER 1, 2015 AND ENDING SEPTEMBER 30, 2016; PROVIDING THAT THE
FINAL MILLAGE RATE OF 3.7053 MILS IS 0.00 PERCENT GREATER THAN THE
COMPUTED ROLLED -BACK RATE OF 3.7053 MILS; PROVIDING FOR
SEVERABILITY, CONFLICTS AND AN EFFECTIVE DATE.
Town Clerk Oakes read Resolution No. 15 -007 R into the record.
Fin. Dir. Curtis — This recommended tax rate is the overall consensus that has been up to this
point. It is the roll back rate of 3.7053 mils. From the originally proposed budget back in July,
and the tax rate that went out to the voters, it is a reduction in the tax rate from 3.95 mils down to
3.7053 mils. This rate will generate equal taxes as what was generated in the current fiscal year.
Commission Discussion:
Comm. Zelniker — I do not agree with this, and do not understand why this was on the tax bill.
Fin. Dir. Curtis — The rate that was on the tax bill was voted on by this Commission back in July.
It is not a final rate.
Comm. Feldman — The millage rate should be brought down. The paving of the Town Hall
parking lot should be reduced from $100,000 to $70,000, which is the original estimate we
obtained last year; paving is based on oil prices and oil is way down. If we look at the other cuts I
definitely feel we could lower the rate to at least 3.6 mils.
Vice Mayor Weitz — I am in favor of reducing it to at least 3.6 mils. We have great reserves,
insurance on disaster, and increasing property revenues.
B) RESOLUTION NO. 15 -008 R
A RESOLUTION OF THE TOWN COMMISSION OF THE TOWN OF HIGHLAND
BEACH, FLORIDA, ADOPTING A FINAL BUDGET FOR THE FISCAL YEAR
BEGINNING OCTOBER 1, 2015 AND ENDING SEPTEMBER 30, 2016 DETERMINING
AND FIXING THE AMOUNTS NECESSARY TO CARRY ON THE GOVERNMENT OF
THE TOWN FOR THE ENSUING YEAR; PROVIDING FOR SEVERABILITY,
CONFLICTS AND AN EFFECTIVE DATE.
Town Clerk Oakes read Resolution No. 15 -008 R into the record.
Town Commission Budget Public Hearing Meeting Minutes
Thursday, September 10, 2015 Page 5 of 9
Commission Discussion:
Comm. Feldman — In last year's budget did we have $100,000 set aside for the rental or leasing of
the fire engine from Delray Beach? Fin. Dir. Curtis — That is correct. We started paying rent to
Delray for the use of the fire truck at $8,000 per month. Town Manager Brown — It was in last
year's millage rate. At the end of the year, we would have monies left over.
Mayor Featherman — We should decide where we want the millage rate. Fin. Dir. Curtis — The
millage rate will directly affect the budget. If we lower the millage rate to 3.6 mils, the resolution
for the budget will be reduced from $20 million to about $19,800,000.
5. PUBLIC HEARING REGARDING 2015 -2016 FISCAL YEAR BUDGET:
Elyse Riesa, Boca Cove Lane — At a previous meeting, Vice Mayor Weitz mentioned that sometimes
residents feel that we are paying more attention to the employees then we are of the residents. The
residents will be paying more in taxes because of the water main projects, and this should be
considered in determining the millage rate. You should look at this budget from the beginning and
figure out what you need instead of cutting things from what it was last year. I agree there should be
provisions for an emergency referendum, so when it truly is an emergency, we could vote for it and
go above the $350,000. As a resident, I don't know of anything that would require overtime for any
employee unless you are talking about a town emergency.
Peter Rodis, 3224 S. Ocean Blvd — Regarding the Budget Public Hearing, I believe the residents
should have the same paperwork to look at as the Commissioners have. I cannot understand why the
man who has done the maintenance work in the Library for many years is now going to be put on
part-time, and his insurance is going to be removed. We are a successful community and you should
give the residents more. They should not have to pay for the classes offered at the Library. I also
agree that the millage rate should be reduced to 3.6 mils. Mayor Featherman — I take exception to
some of Mr. Rodis' remark; especially the elimination of the Library janitorial position.
Carl Gehman, 1133 Highland Beach Dr . — I am in favor of lowering the millage rate. You are doing a
great job with trying to reduce the rate.
Peter Rodis, 3224 S. Ocean Blvd — I am talking about someone who loyally worked here and did a
good job. I was there every week, and I know he did his job well. I understand if you want to
remove him or reduce his salary, but do we have a reason why? Vice Mayor Weitz — This
Commission is not here, and the resident is not here, to discuss a personnel matter between the Town
and an individual. It is inappropriate at a public meeting and, as a point of order, I ask that this
discussion be stopped. Town Attorney Torcivia agreed.
6. COMMISSION QUESTIONS AND DISCUSSION
Fin. Dir. Curtis called for a motion for a tentative millage rate. This will be advertised in the Palm
Beach Post in the next few days, and it will notify all Highland Beach residents of our final budget
hearing where you will formally adopt that rate.
i
Town Commission Budget Public Hearing Meeting Minutes
Thursday, September 10, 2015 Page 6 of 9
MOTION: Vice Mayor Weitz moved to set a millage rate at 3.60 mils. Motion was seconded by
Commissioner Feldman
Commission Discussion:
Comm. Zelniker — I do not agree with this. We are over reserved, and I feel we are in a financial
situation where we can do 3.5 mils.
Comm. Feldman asked Fin. Dir. Curtis for a figure from 3.6 to 3.5 mils. Fin. Dir. Curtis — If you
lower to 3.5 mils, you are looking at approximately $400,000 decrease in taxes. Comm. Feldman —
In your opinion, could it be possible that we could work the 3.5 mils if we took out some of the items
we are considering. Fin. Dir. Curtis — Even going to the 3.5 mils, it would still leave us with
$188,000 in the Reserve for Contingency. Typically we budget that account for $300,000. You
could leave it at the $188,000, or take an appropriation from the Fund Balance and increase it to the
$300,000 or whatever number you are comfortable with.
ROLL CALL:
Vice Mayor Weitz - Yes
Commissioner Feldman - No
Commissioner Zelniker - No
Mayor Featherman - No
Motion failed 1/3.
MOTION: Commissioner Feldman moved to set the millage rate at 3.5 mils. Motion was seconded
by Commissioner Zelniker.
i
Vice Mayor Weitz — I will vote in favor of the 3.5 mils, but I think you have gone excessive. It
should be done gradually. Very few towns move that dramatically in percentages that fast. I think
you have gone a little overboard in how you are managing the finances at this time.
Comm. Feldman — Many communities do not have what we have. We are not going to cut any
services to the residents. We now have line items which we never had before thanks to Town
Manager Brown. You have to know what you are spending money on, and how much extra you are
spending.
ROLL CALL:
Commissioner Feldman - Yes
Commissioner Zelniker - Yes
Vice Mayor Weitz - Yes
Mayor Featherman - Yes
Motion carried 4 to 0.
Town Commission Budget Public Hearing Meeting Minutes
Thursday, September 10, 2015 Pate 7 of 9
7. ADOPTION OF MILLAGE RATE ON FIRST READING:
I
A) RESOLUTION NO. 15 -007 R
A RESOLUTION OF THE TOWN COMMISSION OF THE TOWN OF HIGHLAND
BEACH, FLORIDA, ADOPTING A FINAL MILLAGE RATE OF 3.5 MILS FOR THE
TOWN'S GENERAL OPERATING FUNDS FOR THE FISCAL YEAR BEGINNING
OCTOBER 1, 2015 AND ENDING SEPTEMBER 30, 2016; PROVIDING THAT THE
FINAL MILLAGE RATE OF 3.5 MILS IS 5.54 PERCENT LESS THAN THE
COMPUTED ROLLED -BACK RATE OF 3.7053 MILS; PROVIDING FOR
SEVERABILITY, CONFLICTS AND AN EFFECTIVE DATE.
MOTION: Vice Mayor Weitz moved to adopt Resolution No. 15 -007 R on first reading.
Motion was seconded by Commissioner Feldman
ROLL CALL:
Vice Mayor Weitz - Yes
Commissioner Feldman - Yes
Commissioner Zelniker - Yes
Mayor Featherman - Yes
Motion carried 4 to 0.
8. ADOPTION OF 2015 -2016 FISCAL YEAR BUDGET ON FIRST READING:
A) RESOLUTION NO. 15 -008 R
A RESOLUTION OF THE TOWN COMMISSION OF THE TOWN OF HIGHLAND
BEACH, FLORIDA, ADOPTING A FINAL BUDGET FOR THE FISCAL YEAR
BEGINNING OCTOBER 1, 2015 AND ENDING SEPTEMBER 30, 2016 DETERMINING
AND FIXING THE AMOUNTS NECESSARY TO CARRY ON THE GOVERNMENT OF
THE TOWN FOR THE ENSUING YEAR; PROVIDING FOR SEVERABILITY,
CONFLICTS AND AN EFFECTIVE DATE.
MOTION: Commissioner Feldman moved to adopt Resolution No. 15 -008 R on first reading.
Motion was seconded by Commissioner Zelniker
ROLL CALL:
Commissioner Feldman - Yes
Commissioner Zelniker - Yes
Vice Mayor Weitz - Yes
Mayor Featherman - Yes
Motion carried 4 to 0.
Town Commission Budget Public Hearing Meeting Minutes
Thursday, September 10, 2015 Page 8 of 9
9. REPORTS — TOWN COMMISSION:
A) Commissioner Rhoda Zelniker — I am proud to serve on this Commission. Highland Beach is
the best town ever.
B) Commissioner Carl Feldman — As a Commissioner I am happy to see that we can disagree to
agree, and we have come a long way today.
C) Commissioner Louis P. Stern — Absent.
D) Vice Mayor Weitz — The budget for this Town is available on our website so everyone has access
to the budget in total. There is a great deal of material and information on our website including
agendas, minutes and budget information. As a point of information, the money for the water
main project is already incorporated in our budget. It is not extra. We are going to bond that
through the State at a very low cost loan.
E) Mayor Bernard Featherman — No report.
10. REPORTS — TOWN ATTORNEY GLEN J. TORCIVIA:
No reports.
11. REPORTS — TOWN MANAGER BEVERLY M. BROWN:
This is our fifth meeting discussing the budget. Budgets have been available on the counter in the
Town Clerk's office since the beginning of July for anyone who was interested in reading the budget.
12. PUBLIC COMMENTS AND REOUESTS RELATED TO AGENDA ITEMS DISCUSSED AT
MEETING ONLY
Peter Rodis, 3224 S. Ocean Blvd — If we have an objection to a line item, how can we discuss it or
find out why it was done?
Ed Neidich, 4740 S. Ocean Blvd — I want to congratulate this Commission. Each one has explained
exactly what their thinking is and what they are trying to do. Every single person demonstrated why
they feel their reasoning is in the best interest of the public.
13. ADJOURNMENT:
There being no further business to come before the Commission, Mayor Featherman adjourned the
Budget Public Hearing Meeting at 6:11 PM.
Town Commission Budget Public Hearing Meeting Minutes
Thursday, September 10, 2015 Page 9 of 9
APPROVED:
Bernard Featherman, Mayor
William Weitz, Vice Mayor
oui . S rn, ommipwrier
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Carl Feldman, mmissioner
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issioner
A TTEST:
Valerie Oakes, CMC, Town Clerk Date
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Beverly Browi
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From: Lou Stern <Lustern@aol.com>
Sent Thursday, September 03, 2015 4:19 PM
To: Beverly Brown
Subject Fwd:Commission Meeting to Adopt New Budget, September 10, 2015
Sent from iPhone
Begin forwarded message:
From: lustem@aol.com
Date: September 3, 2015 at 4:17:18 PM EDT
To: bbrown@ci.highland-beach.fl.usi
Subject: Commission Meeting to Adopt New Budget,September 10,2015
1 am truly sorry that I am not able to be with my fellow commissioners today as you work to finalize
the budget for 2015-2016.
As you deliberate, I hope you will keep in mind some of my previously expressed positions in
your decisions.
As a group we have definitely reduced many budget items to all of our agreement. Going forward
I only ask that you consider we will reduce our ad voloruam tax rate which will result in savings
for most of our residents.
Going forward,some of the discussed additional savings are not sustantiaEl-and for each resident
it might only amount to a glass of wine and at most a bottle. Now is the time to settle and finish
the budget so that the public hearing on September is only a formality.
My major request is that you consider and respect our Financial Board and reduce the tax no
lower than the roll back rate. We have many projects on the table going forward that need a
referandum and financing. Would it not be great to have sufficient monies on hand to be able to fund the
project(s)without seeking outside funding and keep our Unnasigned Fund Balance at 4 million dollars?
Thanks for your consideration to my thoughts.
Lou Stern
Commissioner