On the agenda

1. 1Call to Order – Roll Call▶ 0:00
2. 2

   Pledge of Allegiance

   The Pledge of Allegiance was recited followed by a moment of silence in honor of servicemen and women.

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   [00:00:17] You could all stand. [00:00:18] Join me in the Pledge of Allegiance. [00:00:19] Remain standing for a moment of silence in honor of our servicemen and women at home [00:00:20] and abroad. [00:00:21] I pledge allegiance to the flag of the United States of America and to the Republic for [00:00:27] which it stands, one nation under God, indivisible, with liberty and justice for all.

   This text was generated automatically from the meeting video. It is not a verbatim or official record. For exact wording, consult the video or the city clerk.

3. 3

   Moment of Silence

   Pledge of Allegiance and a moment of silence in honor of servicemen and women at home and abroad.

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   [00:00:18] Join me in the Pledge of Allegiance. [00:00:19] Remain standing for a moment of silence in honor of our servicemen and women at home [00:00:20] and abroad. [00:00:21] I pledge allegiance to the flag of the United States of America and to the Republic for [00:00:27] which it stands, one nation under God, indivisible, with liberty and justice for all.

   This text was generated automatically from the meeting video. It is not a verbatim or official record. For exact wording, consult the video or the city clerk.

4. 4.a

   ↳You arrived here from a search for “Hurricane Irma” — transcript expanded below

   First Public Hearing - FY18-19 Operating Budget & Capital Improvement Program

   discussed

   First public hearing on Resolution 2018-17 adopting the tentative FY2018-19 budget ($59,642,860 total) and Capital Improvement Program ($14,414,000), with a proposed millage rate of 8.9 mills (down from 8.9950). Staff presented overviews of the general fund and departmental budgets; one citizen spoke urging further millage reduction; Council discussed FEMA reimbursements, rollback rate (9.4349 mills), and various budget details.

   📍7124 Meehan Court🏢Adobe🏢FEMA🏢Tampa Bay Water🏢Tyler Technologies👤Allman👤Bob Smallwood👤Crystal Dunn👤Crystal Feist👤Debbie Manns👤Robert👤Susan Marshall#Annual Budget Calendar#CRA TIF#Capital Improvement Program#FY2018-19 Operating Budget#Hurricane Irma#Paving Management Program#Penny for Pasco#Residential Rental Inspection Program#Resolution 2018-17#Resolution 2018-18#Strategic Plan

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   [00:00:38] Thank you. [00:00:39] You may be seated. [00:00:44] This special meeting is the first public hearing for our capital expenditure and operating [00:00:50] budgets. [00:00:51] And so, with no further ado, I will turn it over to our City Attorney. [00:00:57] Resolution No. 2018-17, a resolution of the City of New Port Richey of Pasco County, Florida, [00:01:02] adopting the tentative budget for fiscal year 2018-2019 and the capital improvement program [00:01:08] for fiscal year 2018-2019, providing for an effective date. [00:01:12] Very good. [00:01:13] Ms. Manns. [00:01:14] Thank you, Mr. Mayor, members of the Council. [00:01:16] Welcome to the fifth meeting on the fiscal year 2018-2019 budget. [00:01:24] This budget was built in conformance with the requirements set forward for us by the [00:01:30] City Charter, the Annual Budget Calendar, the Financial Management Policies and Guidelines, [00:01:37] and the City's Strategic Plan. [00:01:40] I thought it would be important to talk a little bit about the content, provide an overview [00:01:46] of the process, talk about the total budget, and then the general fund budget, which is [00:01:53] the largest revenue budget and expenditure budget that the City has, and it represents [00:01:59] 37 percent of our total spending. [00:02:05] To begin, governmental accounting is based on the principles of accountability, and it's [00:02:12] referred to as fund accounting. [00:02:14] We have governmental, proprietary, and fiduciary funds, and in the City's budget, we have nine [00:02:22] revenue and expenditure categories. [00:02:26] One is the City's general fund, as I indicated to you, our largest, the water and sewer, [00:02:32] all funds, capital improvement, the Community Redevelopment Authority, the Street Improvement [00:02:39] Fund, the Stormwater Utility Fund, Debt Service, Central Garage, and Street Lighting. [00:02:47] In terms of the process, the staff begins to work on the budget in April of the year [00:02:55] preceding the onset of the fiscal year, which begins, as you know, October 1st. [00:03:03] The budget preparation manuals and workbooks are provided to the departments at that time. [00:03:10] Kickoff meetings are held during the month of May. [00:03:15] At the end of May, the department directors are due to submit to finance their completed [00:03:23] budget books. [00:03:26] The next step in the process involves budget hearings. [00:03:30] The budget hearings occur with the City Manager during the month of June, and at that time, [00:03:36] our preliminary taxable values are provided by the County Appraiser. [00:03:43] In July, we receive our final taxable values by the County Appraiser, and we begin to conduct [00:03:53] our budget work sessions with the City Council. [00:03:58] We actually conducted three meetings during the month of July, and we talked about capital [00:04:06] on August 9th. [00:04:08] We have established a trim notice and a proposed millage rate, and now we are entering the [00:04:15] final stage of the budget, at which time we try to elicit some additional public input, [00:04:21] and we receive final direction from you on any changes or modifications to the budget [00:04:27] that you would like to see before receiving the final budget. [00:04:34] The millage rate is set to, at this time, at 8.900, which is a reduction from last year. [00:04:44] Also a reduction from the last four years in a row, as it's been your desire to do so. [00:04:51] Last year's millage rate was 8.9950. [00:04:57] I'm proud to present to you what is a balanced budget. [00:05:02] The total expenditures in the budget are $59,642,680. [00:05:11] The budget is balanced with the use of $180,000 in reserve funds, which are actually just [00:05:18] rollover from capital projects from the current fiscal year. [00:05:25] I thought that you would like to hear some highlights of the budget. [00:05:30] As indicated, our total, our revenue budget for the general fund is our largest, and it [00:05:39] is $22,350,160, which reflects a decrease in expenditures of 3.49% over our 2017 operating [00:05:53] budget. [00:05:54] I credit that very much to effective policy direction by you, as well as appropriate and [00:06:02] prudent uses of resources by the city's department heads. [00:06:08] Our revenue growth this year in terms of property values was 7%. [00:06:13] This is really affording us an opportunity for modest increases in the coming year. [00:06:19] The additional budget expenditures will allow the city to enhance some of its basic services, [00:06:25] as well as to focus on the city council's strategic initiatives and goals. [00:06:30] There is no increase in the cost of health insurance for the coming year. [00:06:37] We are recommending to you to consider a COLA increase in the amount of 2.5% to the union [00:06:47] and the uncovered members of the staff, with the exception of division heads and department [00:06:54] heads, who I'm sure, as you will recall, are paid on a performance-based merit system. [00:07:03] That being said, we are recommending four full-time and one part-time positions be added [00:07:09] to the budget this fiscal year to supplement our efforts in that respect. [00:07:17] And I would like to close by thanking Crystal Feist, Crystal Dunn, and Susan Marshall, along [00:07:25] with the department heads, for their hard work in preparing this budget for your consideration. [00:07:34] With that, the focus of our discussion tonight, in large part, is going to be the general [00:07:38] fund, and Crystal Feist has prepared a PowerPoint presentation for you. [00:07:45] Thank you. [00:07:50] City Manager Manz has touched on some key elements of the budget that's being proposed [00:07:55] to you, and although the purpose of tonight's public hearing is to receive comments from [00:08:01] our city residents and from you, city council, I do want to take some time to present to [00:08:08] you just a summary of the proposed budget and, again, just go into a little bit more [00:08:14] detail of some of the key components of it. [00:08:20] So the budget presented to you this evening totals $59,642,860. [00:08:30] This includes all city funds, from the general fund to a street improvement fund. [00:08:36] You'll note that the largest fund, as already mentioned by City Manager Manz, is the general [00:08:42] fund. [00:08:43] Coming in second is water and sewer, and third, the third largest fund, would be the capital [00:08:50] improvement fund. [00:08:54] This slide complements the previous slide and provides you with the same information, [00:08:59] but just as percentages. [00:09:01] So you'll see that the general fund makes up 37% of the total budget. [00:09:08] Water and sewer comes in at a close second at 33%, and then the rest of the remaining [00:09:14] funds total the remaining 30% of the citywide budget. [00:09:26] In July, I presented to you a proposed millage rate of 8.9 mills, and that is what has been [00:09:36] incorporated in the proposed budget and was used to calculate the estimated ad valorem [00:09:42] tax, which is included in the budget, and used to calculate the CRA TIF revenue that's [00:09:49] transferred from the general fund to the CRA. [00:09:53] Again, we used the 8.9 mills to calculate those dollar amounts. [00:10:00] The graph here provides you with a 10-year history of where the city has been with the [00:10:09] millage rate. [00:10:10] You'll see that it's been as low as 6.6274 mills and as high as 9.5799 mills over the [00:10:18] last 10 years. [00:10:20] But I do want to highlight that starting in 2013, the city did put effort in continuously [00:10:28] or steadily lowering the millage, and you'll see that since then, it has steadily gone [00:10:33] down and down all the way to the 8.9 mills that we're proposing to you this evening. [00:10:47] Accompanying the operating budget is the city's proposed capital improvement program, and [00:10:52] in total, the capital projects proposed cost a total of, and that does say 4,414,000, that's [00:11:03] supposed to be 14. [00:11:05] So it's a total of $14,414,000. [00:11:11] And that comes from $400,000 of general fund capital projects, stormwater utility projects [00:11:21] make up $463,000 of that amount. [00:11:26] Our penny for Pasco dollars, our capital improvement fund, makes up $5,941,000 of that total program [00:11:35] amount. [00:11:37] Water and sewer totals $4,115,000. [00:11:41] The CRA has $495,000 in proposed capital projects, and street improvement comes in at $3 million. [00:11:51] As the city manager has already mentioned, the general fund does make up the majority [00:12:03] of our citywide budget, and so I do want to spend a few minutes just summarizing the general [00:12:10] fund and touching on a few additional components of the general fund that would be what I believe [00:12:18] in your interest. [00:12:21] So in total, total expected revenues for the general fund total $22,169,960. [00:12:31] Total projected expenditures total $22,350,160, and that is made up of department budgets [00:12:43] coming in at $20,457,050, reserves, which come in at $255,000, and is made up of contingencies, [00:12:57] the sick buyback program that the city has, and the public art fund. [00:13:05] And lastly, we have our transfers out, which total $1,638,110. [00:13:12] And that's made up of $300,000 going to the street improvement fund, which is part of [00:13:18] our paving management program, and $1,338,110 going to the CRA for TIF dollars. [00:13:35] Digging in a little bit deeper into the department budgets, I do want to provide you with a summary [00:13:41] of each department and some of the significant components of those departments. [00:13:48] So first we have the city council, and in total the budget being proposed to you is $265,400. [00:13:58] It consists, of course, of five council members and also includes a city attorney contract. [00:14:04] 8% of that budget goes to personnel expenditures, and the remaining 92% goes to operating expenditures. [00:14:15] Next is the city manager's budget, which totals $251,210, and that consists of a city manager position [00:14:25] and 75% of a senior administrative assistant position. [00:14:30] So 93% of that budget goes to personnel expenditures, and the remaining 7% consists of operating expenditures. [00:14:44] Next is human resources. [00:14:48] This budget totals $555,560, and the major component of this budget includes the liability, [00:14:57] building, pollution, and automotive insurance. [00:15:00] city. 25% of this budget comes from personnel expenditures and the remaining 75% comes from [00:15:12] operating. And one of the things being proposed in this budget is a request to make the part-time [00:15:21] senior administrative assistant position a full-time position. Next is the city clerk's [00:15:28] budget, which totals $68,290 and consists of a part-time city clerk position, [00:15:37] which is actually about 25% of a full position. In total, 27% of this budget [00:15:45] goes to personnel expenditures while the remaining goes to operating. [00:15:48] Next is technology solutions. This budget totals $893,720. It includes the addition of a technician [00:16:01] position and includes changing a full-time help desk technician position to part-time. [00:16:09] 31% of this budget consists of personnel costs, [00:16:14] 41% consists of operating costs, and 28% consists of capital purchases. And included in that is [00:16:23] network infrastructure improvements, the purchase of an AirWatch switch software, [00:16:30] server and storage upgrades, and Tyler Technologies software implementation, the remaining of that contract. [00:16:43] Next is finance, which has a total proposed budget of $1,083,540. [00:16:51] This consists of 77% personnel costs and the remaining 23% of operating and 0.18% of capital. [00:17:06] We are proposing that an additional position be added to the budget for customer service [00:17:12] specialists and the capital item in this proposed budget is $2,000 of office fixtures [00:17:20] for our billing and collection division. Next is the library. The total proposed budget is $1,057,060. [00:17:32] Proposed personnel changes include eliminating a librarian two position, changing a part-time [00:17:38] librarian one to full-time, and adding a part-time graphics media specialist and [00:17:45] a full-time librarian one position. Capital items include the purchase of library materials, [00:17:52] which is something that's historically budgeted each year. [00:17:59] Next is the police department, which has a total budget of $7,611,760. [00:18:08] The only personnel requests that are included in this budget is changing a part-time crime scene technician to full-time. [00:18:16] Some of the capital purchases being proposed are a key scan system, server upgrades, a roll-up door, [00:18:25] data extraction and forensic software, three vehicles, and a booster. [00:18:30] You'll see that personnel costs make up about 72% of this budget, while operating makes up 23% and [00:18:40] capital comes in at 5%. Next is the fire department, which has a proposed budget of $3,263,130. [00:18:52] The personnel changes being proposed includes eliminating a senior administrative assistant for [00:18:58] the residential rental inspection program and adding a part-time coordinator for that same program. [00:19:06] Capital purchases include a ladder truck, SCBA equipment, and a defibrillator. [00:19:18] The economic development department is proposing a budget totaling $163,190. [00:19:25] There is not much to this budget. It primarily consists of operating expenses, [00:19:35] excuse me, personnel expenses, which cover the director and senior administrative assistant [00:19:40] and only has operating expenditures of $3,950. [00:19:44] Next is the development department, which has a total proposed budget of $913,580. [00:19:56] It includes an addition of a part-time receptionist and it also includes capital purchases of, [00:20:03] well, just one purchase, Adobe software that's needed in the department. [00:20:07] Next is recreation and aquatics. The proposed budget totals $1,967,310. [00:20:21] It includes personnel changes that include eliminating the recreation manager position, [00:20:28] includes adding a recreation events coordinator position, and two temporary pool concession [00:20:34] attendants. The capital purchases for this department include restroom upgrades, [00:20:41] a chiller replacement, movie screen, drinking fountains, trash cans, tables, and benches at [00:20:48] various parks throughout the city, ADA pool lift, and a sound system for the pool. [00:20:54] Finally, we have our public works department, and this is the divisions that are being funded by [00:21:05] the general fund. The total for this proposed budget is $2,363,300. It includes changing a [00:21:18] part-time maintenance worker to full-time, and the capital purchases in these divisions include [00:21:25] a laptop, CCTV security system, a tree stump grinder, two vehicles, and a pressure washer. [00:21:36] So finally, the total of all of those budgets totals $22,350,160, and you can see on this [00:21:47] slide, we have the associated percentages that make up the total budget for the general fund. [00:21:56] So at this time, I will turn it back over to the city manager [00:22:00] to begin the proceedings of receiving comments from our residents and city council. [00:22:08] Sure, Mr. Mayor. We'd like to have you get public comment if there's any, and we'd also like to hear [00:22:15] from the council. Very good. In that case, I will open this issue for public comment. [00:22:23] We do actually have somebody coming down. [00:22:30] Be sure to put your name and address for the record so we spell your name correctly, Bob. [00:22:34] So I'm Bob Smallwood, 7124 Meehan Court here in New Port Richey. [00:22:46] And like I said, I feel a little obligated. I wish there'd been more people here, but [00:22:50] I guess when I first read through the budget, I didn't read through the detail. I kind of read [00:22:53] through the summary page there, and I was a little disappointed at the 8.9. To me, that's 0.05 of [00:22:59] reduction. I thought I understood by listening into some other council meetings, you guys were [00:23:04] looking to be in the low 8.2, 8.4, 8.5 area. So again, I'm just disappointed that more effort [00:23:12] wasn't made to get the millage rate down. And I'm also a commercial realtor in the area. I've lost [00:23:19] several deals that could have gone into the city that have gone outside the city because of the tax [00:23:24] rates. And I know the city spent good money on hiring consultants that have told the city the [00:23:29] same thing, that our millage rate is too high. So I ask you guys to take that budget, get your [00:23:34] pencil sharp, see what you can do to reduce it a little bit further. Thank you. Thank you. Anyone [00:23:40] else? Seeing no one else come forward, I will bring this back to council. Gentlemen. [00:23:54] A couple of questions, just procedural questions here. [00:24:00] The point at which there's the public reading of what the rollback rate is, and there was an actual [00:24:08] legal reading. Is that at the second public hearing? Has there been any discussion as to [00:24:15] what the rollback rate is? I have not seen any communication. It's in the resolution, [00:24:22] and the next resolution, which is the millage resolution. Can we talk about that for a second? [00:24:25] I mean, could you explain what the rollback rate is and speak to us about that? I can tell you the [00:24:32] number. The number is 9.4349 mills, and that's in your resolution 2018-18, which is the millage [00:24:42] resolution, which is the next resolution that you'll consider. But you can discuss it all at [00:24:47] the same time. So the rollback rate is actually higher because property values went up, but the [00:24:54] cities, because this is all related to the property tax rate. Is that a result of [00:25:02] personal property, or how did that calculation result in a higher rollback rate when we've had, [00:25:10] I think they subtract out what goes to the CRA, I'm guessing, but do you know? [00:25:17] I don't know the exact formula. I just don't have it in front of me. But yes, it does factor [00:25:23] in the increase in property values, and it does, I believe, subtract out what goes to the CRA, [00:25:30] and then new construction, I believe, values also play a part in that calculation. [00:25:37] Okay. So that being said, maybe just a couple of comments I can make about the budget, given that [00:25:45] it's, that we've got a good document to look at, and a few questions. The first comment that I'll [00:25:57] make I made before, just to get it on the record again, which is that the Avalon tax budget of 4.9 [00:26:05] million, after reducing the CRA transfer of 1.3 some million, results in about a $3.6 million, [00:26:19] $3.575 net. So despite the $450,000 increase in revenues generated from the tax, all that goes [00:26:31] over to the CRA. So just reminding again, the comment, in my mind, I'm looking at a stable [00:26:38] general fund revenue source, as long as the entire city is a CRA, with that differential going into [00:26:48] the CRA. I did notice that one item that you had on the, on the listed was a [00:27:07] receipt from FEMA. I'm not sure, I missed, I didn't, maybe didn't circle it here, [00:27:11] but the receipt from FEMA, which I'm, FEMA reimbursements here, yes, of $450,000. [00:27:20] Is that a, is that a receivable to the city from expenses we've spent in the past? [00:27:26] That is related to Hurricane Irma, and what we've, we're working with FEMA now and have requested [00:27:35] reimbursement for, and that is a conservative number. We've actually requested close to about [00:27:41] $600,000, and so we're expecting closer to, not to budget for the whole amount, [00:27:46] to budget more conservatively. I budgeted closer to 75% of that amount. [00:27:52] Doesn't that really, you don't record that as an account receivable, as a reimbursable [00:27:59] amount, and show it in the current year's income? [00:28:03] Well, since we're still in the stages where they haven't actually awarded it to us, [00:28:09] and since the budget is more on a cash basis, we can't, we budget for it in the fiscal year. [00:28:15] Okay, so my recollection of that event and the costs involved in it were that it was using a [00:28:22] good bit of transportation dollars and road money, because I know that there'd been explanations that [00:28:28] some of our available gas tax or road money was being, was having to be used in reparations of [00:28:36] roads and that, and that it was affecting, this I'm remembering from our street assessment [00:28:41] hearing, and I don't... [00:28:44] That didn't apply in this case. Two years ago, we had that tropical depression that came through. [00:28:50] The unusual flood, didn't get that money back. [00:28:52] We had the roads up, and we were denied reimbursement. The Hurricane Irma, basically, [00:28:58] I believe what we ended up doing, and Crystal, you can correct me if I'm wrong, we just [00:29:03] used the money that we had and did budget amendments out of our operating to take care [00:29:08] of all the cleanup. So my question then is, is if that whole figure that you've applied for, [00:29:14] the six or seven hundred thousand, if that's actually coming from the general fund, [00:29:19] from expenditures, was that fire and police expenditures or street expenditures and not [00:29:26] funds that were being used for transportation purposes? [00:29:30] The majority of it is emergency services, which would be police and fire, but public works did [00:29:39] incur a lot of expenses as well. And so it has all been budgeted in the general fund [00:29:46] because public works operations... [00:29:49] Is a general fund operation, I understand. [00:29:51] We had, I think we went two or three months, Robert, where we were continuously picking up [00:29:58] picking up yard [00:30:00] Correct. And that's where the bulk of the expenditures came from, was the cost of the cleanup. [00:30:07] Mr. Allman, you're raising a valid point. I wish I could tell you the exact number, [00:30:12] but I seem to have recalled something just in the last week that the county was at roughly the same point we are [00:30:19] in trying to get FEMA reimbursement. [00:30:21] Well, it's good news to get that money back. [00:30:23] And I'm just bringing the point that if money was related to our road improvements, [00:30:30] and even though it's a general fund, it does get funded, [00:30:34] and one would think you could kind of restore those funds, was my point. [00:30:40] The Tampa Bay water interest in your budget has been listed at the same $387,000 since the actuals of 2017. [00:30:49] And that is an amortized calculation. [00:30:54] And so my guess is that the current year we're finishing is probably in the 370s, [00:31:02] and the budget amount would probably be more likely in the 360s. [00:31:07] So that just seems to roll over an interest figure that would not apply, I think, in an amortization. [00:31:14] So to some degree that might be a $20,000 change if it occurs. [00:31:21] But I know when we did the deal to move the money to the general fund so that we could then pay off one of the CRA loans [00:31:30] that we used all of the interest that had accrued up to the point that we had made that move, [00:31:37] leaving the principal back to Robert's division for utilities, [00:31:44] and that there was an understanding that that revenue stream was going to fritter out over the years [00:31:51] as the interest becomes less part of the distribution. [00:31:56] So I'm pointing that out. [00:31:58] I think that might be something you might want to look at. [00:32:05] The other thing that I'm just going to mention now, [00:32:10] and it might be a topic that will come up in the next months ahead, [00:32:14] but I've been concerned about the reliance that county residents [00:32:24] and our neighbors have had on the services of our city, and I've verbalized that. [00:32:30] I have taken those concerns to the city manager, to the county administrator, [00:32:36] and to a few county commissioners because they're in a pretty good state right now. [00:32:41] They've got a big increase in their tax base, and they're not so tight that they ought not be able to talk to us. [00:32:47] And so as I look at the disparity that we have in who we serve [00:32:55] and the differential in how much we charge, [00:32:58] one option that I thought we might want to consider would be the elimination of a membership fee [00:33:05] for the recreation center to our city residents. [00:33:08] The total membership fees that we have listed is 140,000. [00:33:14] Probably more than half of them are non-city resident membership fees, [00:33:18] so it might be a $60,000 or $70,000 figure. [00:33:21] But, you know, if we are restricting the access of our recreation facilities [00:33:27] to the folks who may not be able to afford those memberships, [00:33:31] I think we ought to show some benefit for living in the city if we're going to, you know, [00:33:37] continue to operate the way we are without any help from the county. [00:33:40] I don't know that that – I'm not making that argument now, but just mentioning it to you all, [00:33:45] that's a potential revenue stream that, in my mind, we might want to give up if, in fact, [00:33:55] we are unsuccessful in negotiating some revenue back from the county for some of these services. [00:34:03] In addition to the other divisions, I know with some – let's see. [00:34:12] I'm somewhat discouraged that our city, which has always been the biggest city in the county, [00:34:18] is being overcome by Zephyr Hills. [00:34:21] They are now claiming to be a larger population than our city, [00:34:27] and likely because they have so much undeveloped land around them. [00:34:32] And I saw in their recent report, I looked online, [00:34:37] some of what they're growing about of all the businesses that they have coming into Zephyr Hills, [00:34:43] the development of 56th, the connection that they have to the corridor to Orlando. [00:34:51] And so, you know, good for them. [00:34:53] They're in a good economic state. [00:34:57] But they're the same size as us and probably larger population by land mass as well. [00:35:04] And when we look and compare their police and fire department budgets [00:35:09] to our police and fire department budgets, [00:35:11] ours are much more, at least probably 20 or maybe 25 percent higher than theirs. [00:35:19] The reality is we have a lot more traffic coming through our city than they probably have in Zephyr Hills. [00:35:24] We are a more urban area, and I'm not complaining about the need for those services at all. [00:35:31] And I do want to reiterate my support for us having our own police and fire. [00:35:37] The League of Cities promulgates a statewide survey of all cities. [00:35:43] And for cities under 5,000, you know, less than a quarter of them have their own fire department. [00:35:48] A lot of them are volunteer-based. [00:35:50] They break it out at 15,000, which is where we're resting. [00:35:54] And by 15,000, it is a majority of the cities that have a fire department of their own. [00:36:03] And that percentage increases as cities get bigger, obviously, [00:36:07] and even a bigger majority of folks who hold on to their police department as they run. [00:36:14] But effectively, for cities smaller than us, half of them do not run their own fire departments. [00:36:20] And, again, as this budget has an $800,000 ladder truck [00:36:28] and the county has plans to build a major fire station nearby, [00:36:34] I am perfectly fine to approve the budget, [00:36:37] but I would ask my colleagues to allow us to go through some discussion with the county [00:36:42] to determine whether or not there is some willingness on their part to provide us as Indian Rocks does [00:36:50] or, as I found out, as Zephyrhills and Dade City used to, [00:36:55] which was getting a check from the county to support the services that our department provides. [00:37:01] So, for my part, I want to be the advocate that says this is what we do, [00:37:08] we do it better than anybody, and we deserve to continue to be able to function at this level, [00:37:16] but let's look at any duplications that we might have. [00:37:20] Again, this is just a comment because this is the first time that this project, [00:37:25] other than at the public hearing on the capital improvement plan, [00:37:29] has come up where I've been aware of that purchase and aware of the new fire station. [00:37:36] And it kind of also goes into the point of improvements to our library and fire stations in their existing positions [00:37:45] and how that is all going to shake out in the long run. [00:37:49] And so I know that this has been a much-anticipated study. [00:37:53] It was being studied when I used to work here, so there's plenty of hair on that [00:37:59] and probably interest in making it go quickly, [00:38:04] but I do think that we have an opportunity to be like Indian rocks [00:38:10] and to have the county write us a check and to let us take a more appropriate role in the urban area that we serve. [00:38:24] That being all being said, finally, my last point would go to the comment made about the millage rate [00:38:33] and there's no doubt that our property values are lower, as the email we all got indicated, [00:38:41] which causes us to have a higher millage rate. [00:38:46] But at the same time, I was also here in the city when the city manager appealed to the council at the time for the street assessment funds. [00:38:58] And I recall in the memos and in the documentation there that there was some trepidation on the council [00:39:04] at adding another tax and adding another expense to the residents. [00:39:07] And there was some suggestion that there would be some relief as a result of us now charging everybody every year for the road improvement. [00:39:19] So to me, I would be advocating to ask the city to go back and bring us a millage that would come down to the next quadrant. [00:39:34] Effectively, what are we looking at now again on our millage? [00:39:39] 9.8 to 9.75 would be my request to bring it down to the way that we had done it in the past, [00:39:48] which is trying to make ratchets at one-quarter mill at a time if we can. [00:39:53] That's all I have to say, Mr. Mayor. [00:39:55] Very good. Deputy Mayor. [00:39:57] Well, all good points, and I thank you, Councilman, for taking the lead with the Sunshine Law. [00:40:01] We can't go meet with county commissioners and county administrators together, and your points are valid, [00:40:06] and I think it's definitely something that they should entertain at least talking to us about. [00:40:10] Why do we both want to build a brand-new fire station so close together when we're not? [00:40:13] Let's be on the same page and use everyone's tax dollars wisely. [00:40:17] As far as the millage rate, I personally would like to see it come down as well, but, you know, [00:40:21] obviously we're going to get different opinions. [00:40:23] Mr. Smallwood, you know, would like to see it come down. [00:40:25] Everyone would. [00:40:26] It affects his business as a commercial real estate agent. [00:40:28] We have Mr. House in here, too, saying keep it where it is. [00:40:31] What I think everyone has to remember is we didn't get to 9.5-plus overnight, right? [00:40:36] So we're not going to get down to where we started in 2009, 2008 overnight. [00:40:41] I think we're making the key decisions and the right decisions as a city. [00:40:47] We're making positive changes that we're finally been working on for years and years that we're finally seeing come to fruition, [00:40:54] and there's such a positive vibe and buzz about what we've done as a council and as city staff over the last five to six years. [00:41:03] I think people are really finally on board and really excited about the decisions we've made. [00:41:08] I remember going back to the Sims Park and so many people in here saying don't use all that money on the park, saying, you know, [00:41:14] don't shut down the road. [00:41:15] We're always going to have opposition, [00:41:17] and no one knows if you're actually right until the project is done and we see it, you know, run its course. [00:41:24] But I think for the most part we've made extremely conscientious and intelligent decisions as a city, [00:41:32] and I just don't think we can slash a millage rate as quickly as some would like until those property values come up, [00:41:39] and, you know, it's going like this. [00:41:43] So they're coming up, but they're not going to come up overnight, and we need the money to make money, [00:41:47] if you look at it from a business standpoint. [00:41:49] As a business owner, you don't just not advertise and hope people call and hope your business grows. [00:41:55] That's not how it works. [00:41:56] You make strategic decisions, which sometimes cost money, to get the payout down the road, [00:42:02] and I think that's what we're doing. [00:42:03] We have to continue on the same course that we're on and gradually drop that millage rate. [00:42:08] So I'm fine where it's at right now, but all good points. [00:42:11] Thank you. [00:42:18] I don't want this to sound partisanly political, although it may come off that way, [00:42:24] but we have some people at the state level who are adherents to what I can only categorize as a religion of tax cuts, [00:42:40] and they all but worship the guy that came up with this idea years ago and got them all to sign pledges, [00:42:50] and one of the problems we are facing, not this year but next, [00:42:58] is that there is an amendment to the Florida Constitution currently on the ballot [00:43:06] that would drastically change the homestead exemption yet again [00:43:12] and would result in a significant hit not only to us but to Pasco County [00:43:20] and to all of the other counties and cities in the state of Florida, [00:43:26] and I just don't believe it's prudent to go hog wild dropping the millage rate this year, [00:43:35] particularly until we see how this thing shakes out. [00:43:39] I am very sympathetic to what you're saying about we need to continue working aggressively to get the millage rate down. [00:43:45] Mr. Smallwood is absolutely correct. [00:43:48] We can be more competitive as we drop that millage rate. [00:43:55] I'm just concerned that if we cut the millage rate this year, [00:44:00] we will find ourselves in a very uncomfortable box come next year, [00:44:05] and so with that, I'd very much like to keep it the same at the moment. [00:44:12] I did have some items I wanted to discuss, if you will humor me. [00:44:18] One item, and Ms. Feast, you can correct me if I have misinterpreted this, [00:44:32] but in firefighting, the 001073, the total personnel drops by not quite $300,000, [00:44:46] and is it my understanding that that's basically because this year [00:44:52] we don't have a required contribution to the firefighter pension fund? [00:44:56] Yes, it is. [00:45:00] That was an easy one. [00:45:02] The next one was more an observation, and I've got my green shirt on, [00:45:11] so I'll go green again. [00:45:15] Just an observation that on Section 501, the Central Garage Fund, [00:45:21] we are budgeting almost $350,000 for fuel, [00:45:29] and I would encourage department heads to show up Saturday [00:45:36] and look at the electric vehicles. [00:45:39] I don't believe there are any on the current state purchasing budget. [00:45:44] There were a couple years ago, and if they show up again on a future one, [00:45:50] I would encourage us to at least look at replacing some of the gasoline-powered [00:45:59] units that we've got with electric ones as we go through regular replacements, [00:46:07] because the cost of that operation is a lot less from a fuel standpoint. [00:46:11] Maybe do a pilot program and have Ms. Mansfield at Tesla and see how that goes. [00:46:14] I'm sure Ms. Mansfield would not complain. [00:46:18] I think Largo got a Nissan LEAF. [00:46:21] I don't know who else locally has done one, but we've got vehicles that basically [00:46:28] spend their lives inside the city of New Port Richey. [00:46:33] I'm guessing if we looked at the mileage records, a lot of them don't go all that many miles, [00:46:40] and if we started doing some, as you say, on a test basis, see how they work. [00:46:47] I'm thinking code enforcement might be one. [00:46:52] The general motor pool. [00:46:53] What vehicles are used for the residential inspection program? [00:46:57] Just the general fleet cars. [00:46:59] Just the fleet car? [00:47:00] Yeah. [00:47:01] Okay. [00:47:02] So those may be places where we could pick up some fairly easy savings, particularly [00:47:08] if these things show up on the next state fleet contract so we can get them at a crazy [00:47:15] low price. [00:47:17] That's more of an observation than anything else. [00:47:19] Just as a heads up, I think we ought to be watching that. [00:47:30] Last but not least, and Ms. Feast, I'm going to ask you to clarify that. [00:47:37] This is Community Redevelopment Agency 6380, line 49152. [00:47:48] We had had some discussion maybe a month ago about changing the interest rate that the [00:47:56] CRA was paying the city, and I'm not sure if this number reflects making that change [00:48:04] or not, because as I recall, the CRA approved it and the city council didn't approve it. [00:48:09] Well, and then we were told it wasn't in the budget at all this year. [00:48:12] So help. [00:48:13] Please. [00:48:14] So the transfer to the general debt service fund that you see in the CRA fund, $886,890, [00:48:25] that is the debt that once belonged to the CRA that was refinanced under the general [00:48:33] fund. [00:48:34] So the CRA is still paying the debt service on that loan. [00:48:38] Okay, so this has nothing to do with that other thing. [00:48:41] Nothing to do with it at all. [00:48:42] I was not sure, and I figured tonight was the night that I could get an answer to make [00:48:47] sure that I wasn't totally confused. [00:48:50] Those were the items that I had that jumped out at me. [00:48:55] At this time, it would probably be appropriate to entertain a motion to do something with [00:49:00] this budget. [00:49:07] I'll move to approve on first reading. [00:49:09] We have a motion to approve on first reading. [00:49:12] Second. [00:49:13] To the maker. [00:49:14] Yeah, I take the comments made by you all related to the millage rate to heart. [00:49:21] I think you make a good, valid point, particularly the idea of the uncertainty coming up in the [00:49:26] future. [00:49:27] A lot easier to lower the tax rates than just to raise them. [00:49:31] So to that degree, it's probably as prudent to do. [00:49:35] And to the degree that the comment made by Councilman Starkey that the public seems to [00:49:41] be pretty happy with the city, this is certainly a whole lot different than the budget hearings [00:49:45] that I used to go through way back in the day with hair pulling and not many of you [00:49:53] remember it, but a few may remember the way back days. [00:49:58] So there are still a few other items in here that I'll probably try to speak with the staff [00:50:05] about between now and the next meeting. [00:50:08] In particular, I noticed that it's the utility fund that's paying for the improvements of [00:50:14] the garage. [00:50:15] And I'm understanding that the part that has to do with parts are a lot related to water [00:50:21] and sewer pipes and the utility itself. [00:50:26] But I would like to revisit the source of funds for the capital improvement for the [00:50:31] garage because I know it also services all police vehicles, all the other vehicles in [00:50:36] the city. [00:50:37] So to the degree that there are issues pending related to the expansion of the water and [00:50:43] sewer and a lot of this budget still brings the PLOF in, brings the transfers in, brings [00:50:49] all kind of money in from utilities. [00:50:51] So once again, it's our utility division that really has saved the day for the city's [00:50:56] general fund. [00:50:59] As just another final commentary, the $3.6 million in property taxes we get is equal [00:51:08] to the entire fire department budget, not to pick on the fire department, you just happen [00:51:12] to have the same number as we get from that, which would cause one to say property tax [00:51:18] wise that would be a 10 mil division and the county's millage is 1.8. [00:51:26] And I'm pointing this out because Councilman Starkey said something very true about us [00:51:31] expanding into Gulf Harbors and Seaforest and trying to get some of that tax rate. [00:51:36] The reason I'm mentioning the fire department is because the county has an MSTU and it's [00:51:41] a very, probably the most practical place for us to ask for them to give us the money [00:51:48] back from their 1.8 mils. [00:51:51] And I would bet that 1.8 mils in Gulf Harbors and Seaforest is probably equal to a lot more [00:51:57] than the millage rate on the average house in our city and would be a great negotiation [00:52:05] for us to get if we could possibly get it. [00:52:09] So that's my, I'm standing behind it, I'll stay with you on keeping the millage rate [00:52:15] flat or as with the slight reduction and appreciate your time. [00:52:20] Thank you, excellent points. [00:52:21] Deputy Mayor, you had a second? [00:52:23] Yes, nothing further, thank you. [00:52:26] Councilman Murphy? [00:52:27] I'll just piggyback on a couple things that you guys just said, which I do agree with. [00:52:32] The, you know, we'd love to lower taxes no matter what, but at a steady rate is the best [00:52:38] way to go because like you're talking about, Tallahassee loves unfunded mandates and they [00:52:43] do it all the time and then it just passes those fees on to us. [00:52:48] The constitutional amendment is not necessarily coming from them, but it's still a form of [00:52:53] that and so it's going to affect us too. [00:52:56] So you know, we don't want to cut too much, it's like we don't want to spend too much [00:53:00] in a hurry. [00:53:02] And then also as far as the money we're spending, we're trying to keep that, get this economic [00:53:07] machine running here in the city and we're still trying to push that bird out of the [00:53:11] nest. [00:53:12] We haven't quite got there yet, but once it starts running on its own, then we can really [00:53:16] have the flexibility to lower those millage and things like that, so that's all. [00:53:22] Thank you. [00:53:24] Five years ago when I was serving on city council, but not mayor, we had a, the best [00:53:34] way I can describe it is a traumatic first and second budget hearing where we had employees [00:53:41] that were getting up and coming up to the podium and begging us not to cut their jobs. [00:53:48] That is one of the hardest things that I have ever had to live through and I know it took [00:53:57] a toll on everybody else that was up here on the dais at the time. [00:54:01] So putting into perspective, I am tickled to death that you guys have come up with a [00:54:07] budget that holds the line on expenses, lets us lower the millage rate just a little bit, [00:54:14] and actually adds some needed staff and we've got nobody out there begging for their jobs [00:54:20] because it, and we knew at the time it was a choice between making some very painful [00:54:27] cuts and running the risk that the city would become insolvent and that was not a comfortable [00:54:34] position to be in and I commend you for the hard work you've done to get us to where we [00:54:39] are tonight. [00:54:42] So with that, if there's no further discussion, question, just to make sure, we can adopt [00:54:49] the budget before the millage at this meeting? [00:54:51] Actually, you're required to adopt the budget first. [00:54:54] Okay. [00:54:55] I don't know why I was thinking it was the other way around. [00:54:58] It's strange because you don't have any funds to fund the budget until you adopt the millage, [00:55:02] but that's what the state law requires. [00:55:04] In that case, if there's no further discussion, all those in favor, please signify by saying [00:55:09] aye. [00:55:10] Aye. [00:55:11] Opposed, like sign. [00:55:13] Motion passes. [00:55:14] We have a budget on first reading. [00:55:16] Next item, sir. [00:55:17] Resolution number 2018-18, a resolution of the City of New Port Richey, Pasco County, [00:55:23] adopting the tentative levying of ad valorem taxes for all non-exempt real and personal [00:55:27] property in New Port Richey, Pasco County, Florida for fiscal year 2018-2019, providing [00:55:33] for an effective date. [00:55:35] Thank you. [00:55:36] Ms. Manson, any comment? [00:55:39] I'll open this up for public comment. [00:55:43] Seeing no one, come forward to bring it back to Council. [00:55:46] Move for approval. [00:55:47] Second. [00:55:48] We have a motion and a second. [00:55:50] To the maker. [00:55:51] No comments. [00:55:53] Mr. Altman. [00:55:54] That's all I can say. [00:55:56] Thank you. [00:55:57] Likewise here, so if there's no further discussion, all those in favor, please signify by saying [00:56:01] aye. [00:56:02] Aye. [00:56:03] Opposed, like sign. [00:56:05] Motion passes. [00:56:06] Communications. [00:56:07] Does anybody have any communications for tonight? [00:56:11] I have something just real quick. [00:56:13] Thank you, staff, for preparing the budget. [00:56:15] I know it's a lot of hard work. [00:56:16] And thank you, Councilman Altman. [00:56:18] I'm the vice chair of the NPO board. [00:56:20] But we have meetings monthly. [00:56:26] There's an organization called TMA, Tampa Bay Transportation Management Area Leadership [00:56:30] Group, which representatives from NPO boards from around the Tampa area meet in Tampa. [00:56:36] And a couple of county commissioners that thought they were going to be able to go were [00:56:38] not able to go. [00:56:39] I just lost an employee at my office that decided to go to nursing school, so I wish [00:56:44] her the best of luck. [00:56:46] So I'm pretty much stuck in my office tomorrow and until I hire a new employee more than [00:56:52] I normally am. [00:56:53] Not that I'm not there every day, but anyway, Councilman Altman has been nice enough to [00:56:58] attend that meeting tomorrow to represent the city of New Portage and Pasco County NPO, [00:57:03] so I appreciate you doing that. [00:57:05] Thank you, Councilman. [00:57:09] Just wanted to report, Ms. Manson, I had a very informal meeting with Sean Foster earlier [00:57:16] in the week, and we shared with him some of our dreams for things that ultimately are [00:57:22] going to need extra funds. [00:57:24] And I wanted to let you know that right up at the top of that list was the pedestrian [00:57:30] overpass at Marine Parkway and US 19, so way to go. [00:57:34] And on that note, I've been fighting, if you want to watch the last NPO board meeting, [00:57:39] fighting to the nail for that overpass. [00:57:42] There's other overpasses that are ahead of that overpass on the list in the county, and [00:57:46] to me it just doesn't make sense, so I'm going to continue to fight for it as far as priorities [00:57:50] go with the NPO board. [00:57:52] Appreciate it, Tom. [00:57:53] But it was a very good meeting. [00:57:56] That's all I've got. [00:57:57] Mr. Mayor, on that same topic, I forwarded to Debbie today a communication I got from [00:58:06] a landowner on Trouble Creek Road that has the portion that we had once envisioned would [00:58:11] connect our bicycle trail across to the coast and the Coast to Coast Trail, and apparently [00:58:16] the county has been engaged in some discussion with them, but haven't been able to come to [00:58:23] any agreement at this point. [00:58:25] But that is, A, it's in our utility service area, and B, a bicycle trail that crosses [00:58:32] the highway and then gets to the coast and follows the Pinellas Trail from a recreational [00:58:38] standpoint, not just heading down 19 to Gulf Trace is where it goes now, might be a nice [00:58:49] cause for people to come through the city as they head that way. [00:58:52] So I forwarded that information, but there might be some potential in our economic development, [00:58:59] because it's outside of the CRA's venue, because it's outside the city limits, at somehow trying [00:59:06] to encourage annexation and some kind of public-private partnership to get some development [00:59:13] to occur there and be inside the city limits.

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5. 5Communications▶ 59:16
6. 6Adjournment▶ 59:46