08-21-1976 - Recessed/Regular
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CITY COUNCIL OF THE CITY OF EDGEWATER, FLORIDA
RECESSED MEETING HELD
August 21, 1976
Mayor Armstrong called the recessed meeting of the City Council of the
City of Edgewater to order, Saturday, August 21, 1976 at 10:00 A.M.
ROLL CALL:
Mayor Dana T. Armstrong
Councilwoman Ryta F. Webber
Councilman William H. Cairnie
Councilman Walter B. Sikes
Councilman Calvin R. Dietz
City Attorney Judson I. Woods
City Clerk Sue Blackwell
Police Chief Earl Baugh
Present
Present
Present
Present
Present
Excused
Present
Present
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Mayor Armstrong explained that this is the continuation of the meeting
held Thursday for budget review and work.
Councilman Sikes questioned the $45,000 carried as surplus? He asked
if it isn't felt that we will have more surplus?
Councilman Dietz explained that it looks as though we will have $55,000
surplus, so we put $45,000 under surplus and went back and added in $10,000
to our miscellaneous.
There was discussion about the homestead exemptions.
Councilman Sikes stated that he feels that we should make the surplus funds
$50,000 and then put in our budget about $5,000 for some improvements in
the buildings. An example being the carpet in City Hall, and perhaps the
moving of the Police Department.
There was discussion about the amount for the auditors. Councilwoman Webber
questioned whether this will go up if we have more than one audit a year.
It was explained that last year when we asked for an additional audit it was
an additional cost.
Councilman Dietz also stated that we should put aside money to relocate the
Police Department.
Councilman Sikes asked if we couldn't put money aside to relocate the Building
Official, then redo the City Hall, and also the building for the Police Depart-
ment?
Mayor Armstrong stated that it could legitimately be done by law this year, but
not next year, because if you deliberately put money in here for improvements
next year, it could be well established that you did it for one purpose, and
that it to avoid putting it somewhere else.
Mayor Armstrong also explained how a trust fund could be set up with money
for capital improvements. He also stated that if you put money in a trust
fund you can only use it for a specific purpose, whereas if you put this
money in capital improvements you can use it for many things.
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Councilman Sikes stated that he feels that we should put some money aside
however we should not tie it up so that we can not touch it.
Mayor Armstrong stated that we have an Emergency and Contingency fund.
The City Clerk suggested that the money should be restricted to do some-
thing specific with it. She suggested that $13,000 be put in the construction
fund for the addition to the Library.
Mayor Armstrong stated that if we put it in a fund to repair any building
belonging to the City. He explained that it looks like we will have a
surplus of $26,000. If we take $20,000 and put in a trust fund for capital
improvements of municipal owned buildings, who could fuss about $6,000 of
unappropriated money? This would make a trust fund that would carryon
from year to year, and we could add to it as we went.
It was agreed after discussion that a trust fund would be the best way to
do this.
Mayor Armstrong stated that we will need an Ordinance to establish the
anticipated income, then there will have to be another Ordinance on the
garbage rate increase.
The City Clerk explained that we will need an Ordinance on the capital
improvements, two Ordinances on the new budget, one Ordinance on the old
budget, a Resolution of intent on the garbage rates and a Public Hearing.
There was quite a bit of discussion about when the Public Hearing should
be held and whether the Ordinance should be declared an emergency and so
on. Mayor Armstrong instructed the City Clerk to call the attorney and
have him draw up for Monday night the Resolution of intent, set the date
place and time for a Public Hearing on the anticipated adjustments in the
garbage and trash rates and notice of a budget hearing on September 9th.
Councilman Sikes missed the budget meeting on August 19th, so he had a few
questions. He stated that everyone knows how he feels about the Mayor and
Council's salary. He stated that he feels the public should be told exactly
what it is and nothing should be covered up. He stated that he noticed that
social security, health insurance has been reduced, and of course workman's
comp and unemployment has gone up a little. He stated that when you look at
this it looks like we intend to lay some people off or something and he wants
to know what we have done on this budget that is different?
It was explained to him that some of the money for these categories will be
charged in the Water and Sewer budget.
There was discussion about the various categories under the Police Department.
Councilman Dietz stated that he feels that the $2,000 under capital outlay
under Landfill is not a good figure at all.
Mayor Armstrong explained what was being done recently at the landfill and
that it was costing the City practically nothing.
Councilwoman Webber stated that the $6,000 unappropriated is still bothering
her.
Mayor Armstrong explained to her that most municipalities carry unappropriated
approximately 10% of their funds. He also explained that it is not a good
showing to tie up every bit of the funds that you have.
There being no more discussion, Mayor Armstrong entertained a motion that we
adopt the General Revenue receipts and disbursements in the manner in which
we have prepared them.
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Councilwoman Webber made such a motion, being seconded by Councilman Dietz.
Upon roll call vote said motion CARRIED. 5-0
Mayor Armstrong entertained a motion to instruct our attorney to prepare a
Resolution of intent to hold a Public Hearing in accordance with the proposed
increase in the garbage and trash and also the Budget Hearing for the general
public.
Councilman Cairnie made a motion to that effect, being seconded by Councilman
Sikes. Upon roll call vote said motion CARRIED. 5-0
Mayor ARmstrong entertained a motion to direct the attorney to draw the
Ordinance setting up a special trust fund for maintenance and repair of
municipal owned buildings.
Councilman Sikes made a motion that we instruct or attorney to draw up an
Ordinance setting up a trust account to set aside $20,000 out of this year's
budget, for construction maintenance and repair of City municipally owned
buildings, being seconded by Councilman Cairnie.
Councilman Dietz questioned the part of the motion about this year's budget.
It was explained that this $20,000 will come from the surplus funds not this
year's budget.
Upon roll call vote said motion CARRIED. 5-0
Mayor Armstrong stated that before we go into the Water and Sewer budget he
would like to bring up a few other items of business for the Council IS
discussion. He stated that the first item is the letter in regard to Neil
Nichols being suspended. He explained that he would like to have this taken
care of right away, because as of now Mr. Nichols is still on the payroll.
Councilman Dietz stated that he does not feel that any decision should be
made right now, because Mr. Nichols might attend the meeting on Monday night
and he has a right to be heard.
Mayor Armstrong stated that Mr. Nichols has the right to appeal to the Merit
Board after a decision is made by the Council.
There was confusion as to whether Mr. Nichols was suspended with or without
pay.
Mayor Armstrong stated that the letter from Mr. Kuyk does not say that he was
suspended without pay, therefore he will get four or five more days pay before
the next Council meeting.
Councilman Sikes made a motion that we send a letter to Mr. Nichols explaining
that at a recessed regular meeting of the City Council, the City Council acted
on the recommendation of his supervisor and that he is discharged as of this
date and that if there be any further questions that he has the right of appeal
to the Merit Board, being seconded by Councilman Cairnie. Councilman Sikes
added that the letter should go registered to Mr. Nichols.
After further discussion on this, Mayor Armstrong stated that he feels that
there should be an amendment to the motion that the Police deliver the letter
to him rather than register mail it.
Councilman Cairnie made an amendment to the motion that the Police Department
will deliver the letter to Mr. Nichols, being seconded by Councilwoman Webber.
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Mayor Armstrong stated that we will have a vote on the amendment to the motion.
Upon roll call vote said motion CARRIED. 5-0
Mayor Armstrong stated that now we will vote on the original motion as amended,
upon roll call vote said motion CARRIED. 5-0
Mayor Armstrong stated that we have just received a letter from Time Insurance
indicating some monthly premium changes. He explained that he and the City
Clerk had a lengthy conversation about this with Mr. Tumblin, who said that
his back is to the wall and pressure was put on them to raise the rates and
there is nothing that he can do about it.
It was explained that the Blue Cross is going up 5% on their rates.
The City Clerk explained that we now pay $23.00 per employee per month for
insurance, and it will go to $34.00 per employee. She explained that the
Mayor's insurance was $56.60 and it will go to $84.15, the Chief1s would
go from $60.25 to $88.35. It is averaging about $12.00 per person increase.
The Council discussed the Blue Cross program that was given to the City Clerk.
She explained that the man from Blue Cross told her that if we wrote a letter
rescinding them as agent of record and he could deal straight with the City
we could save 5%.
Mayor Armstrong stated that a couple of years ago a law was passed in the State
of Florida relative to professional people that the Cities deal with that
required that you had to go competitive. Under this law could we change
insurance companies or do we have to go to bid prices on it?
There was discussion on this and whether we need an agent of record.
Mayor Armstrong told the Council what Mr. Tumblin explained to him and Mrs.
Blackwell.
Councilman Sikes asked what is needed to get rid of the position of agent
of record?
Mayor Armstrong stated that we first should determine how the agent of record
was hired, by Resolution, or whatever, and abolish the position.
Councilman Cairnie made a motion to that effect, being seconded by Councilman
Sikes. Upon roll call vote said motion CARRIED. 5-0
It was agreed by all of the members' that we should go ahead and go out for bids.
The City Clerk explained that Mr. Tumblin said that this can be a month to month
thing and if we had to absorb it for a month until we can get bids, fine. She
said that she will call and find out if abolishing the agent of record will make
any difference in the rates.
Councilman Sikes stated that we should get a letter stating that we can continue
on from a month to month basis.
Mayor Armstrong explained that we have a contract with them already, and all we
have to do is meet the premiums.
At this time the Council went to the Water and Sewer budget review.
Mayor Armstrong stated that we have to start looking at appropriations for
the F.H.A. financing and come up with realistic figures on it.
There was discussion about this financing.
Mayor Armstrong read the list of items in the Water and Sewer Fund and the
figures set up for each.
Councilman Dietz explained the needs of the Water and Sewer Department to the
Council. He explained the reason for having such a surplus that we have now
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is due to the fact that we increased rates in order to cover anticipated
expenditures and the expenditures did not develop until now.
Councilman Dietz stated that he spoke with Briley, Wild about line extensions
and it is Rick Fernandez's opinion that we should not expand sewer lines out
of capital improvements, because the new sewer hook ups should participate
and pay their portion of the costs. However we can expand our water lines
out of the capital improvements because that is the only commodity of the
City's that we sell at a profit. Also, Mr. Fernandez would like to have
about four hours of the Council's time to discuss these things, and to have
the right to come in and check the building permits and the new buildings
from August 1,1975 to August 1,1976 to update these records.
Councilman Sikes asked Councilman Dietz if he has considered in this budget
for any Class C operator that we don't have now?
Councilman Dietz stated that that is anticipated, also raise increases as
set up by Resolution, and also a raise increase for Mr. Kuyk in the middle
of next year. He explained that insurance is put in this budget, and social
security, workmen's compensation, the office rent went up.
There was some discussion about the projects which our engineers will be
taking care of.
Councilman Dietz stated that we are going to have to comply with the law
set forth by the Department of Environmental Regulations as of January 1st.
There was more discussion about the F.H.A. requirements which we are going
to have to abide by.
Councilman Dietz stated that he wants a cushion to protect the City of
Edgewater from any unforeseen problems that might come up over this loan
that we are getting into.
There was discussion about the new construction of the water plant and
sewer plant.
Councilman Cairnie made a motion to approve the anticipated revenue and
the budget expenditures for the year 1976 -1977, being seconded by
Councilman Sikes. Upon roll call vote said motion CARRIED. 4-0
Councilwoman Webber was excused from the meeting previous to this vote.
ADJOURNr~ENT :
Councilman Sikes made a motion to adjourn, being seconded by Councilman
Cairnie. Said motion CARRIED.
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Approved this ~ ~ay of
August, 1976.
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