08-30-2010 - Budget Workshop - Enterprise Fund CITY COUNCIL OF EDGEWATER
ENTERPRISE FUND BUDGET WORKSHOP
AUGUST 30, 2010
5:00 P.M.
COUNCIL CHAMBERS
MINUTES
1. CALL TO ORDER
Mayor Thomas called the Enterprise Fund Budget Workshop to order at
5:00 p.m. in the Council Chambers.
ROLL CALL
Mayor Michael Thomas Present
Councilwoman Debra Rogers Present
Councilwoman Gigi Bennington Excused
Councilwoman Harriet Rhodes Present
Councilman Ted Cooper Present
City Manager Tracey Barlow Present
City Clerk Bonnie Wenzel Present
Assistant City Attorney Michael Cioccetti Present
INVOCATION, PLEDGE OF ALLEGIANCE
There was a silent invocation and pledge of allegiance to the Flag.
2. DISCUSSION OF FY 2010/2011 BUDGET
City Manager Barlow stated at the conclusion of their last budget
workshop, they got through all of the budget to the Road Resurfacing
Program, which was the last item they talked about related to the
General Fund. He then reminded Council of the discussion that
occurred.
Environmental Services Director Brenda Dewees went through the
attached Powerpoint Presentation with regard to the Road Resurfacing
Program.
City Manager Barlow commented on discussion at the last budget
workshop the need to continue on some type of resurfacing. He spoke
of the previous years they didn't resurface and how it is catching up
and is going to continue to compound.
Councilman Cooper questioned the stipend being like what they did the
previous year where they picked up some of the insurance and they were
giving $500 to each of the employees that were below the average or
that they no longer picked up their insurance. City Manager Barlow
informed him same concept but a little stronger than last time.
1
Enterprise Fund Budget Workshop
August 30, 2010
Councilman Cooper asked how much it was to each employee. City
Manager Barlow informed him it varied because everybody's insurance is
different. Out of the General Fund this would be $24,000 compared to
$105,000 for the straight stipend. Councilman Cooper was confused
because of the $61,000 mentioned by Ms. Dewees and the $24,000 and
$105,000 mentioned by City Manager Barlow. City Manager Barlow
explained the $61,000 would be General Fund only. The $105,000 would
be citywide for the flat stipend and citywide just picking up the
insurance would be $24,000.
Mayor Thomas stated he drove Pine Tree Drive from 12 Street to SR 442
and didn't think it was that bad. He felt Wildwood Drive was
cosmetic. He didn't see where they had the money. He knew they were
putting off stuff that needed to be done but he wanted to keep the
millage rate low.
Councilman Cooper felt they needed to ask themselves of the first 1/3
of the list if they put them off another year it might push them over
the top for complete road construction which could make the cost
double or triple. Ms. Dewees pointed out if they put them off another
year obviously there would be additional maintenance required. She
expressed concern with Riverview and Monson because they are already
deteriorated to the point they see grass coming through. She further
expressed concern with the first six streets on the list because of
being located by the river.
Mayor Thomas felt they needed to look at the traffic on the streets
and these not being major thoroughfares where they have a lot of
traffic. He mentioned Florida Shores having shell roads when he first
moved here.
Councilwoman Rhodes felt Councilman Cooper had a valid point. If they
leave this go another year are they looking at any of the roads being
reconstructed? Ms. Dewees would tend to say not really but provided
they don't have a hurricane and have the tidal surge come up.
Councilwoman Rhodes pointed out they wouldn't be doing this until
after hurricane season anyway. She felt that was kind of a moot
point.
City Manager Barlow commented on their debt service in the General
Fund in about two years looking better. If they put this off next
year, they really need to focus on readdressing these in future years.
Councilman Cooper wanted to find a way to knock off the streets in the
read area, take 1/3 of it at least, to get just that section done. He
knew they were going to fall into a budget thing next year and would
rather just see those four streets move up but they are going to end
up adding four or five more streets. They better start taking care of
it or they will just fall further and further behind.
2
Enterprise Fund Budget Workshop
August 30, 2010
Councilman Cooper checked out all the streets on the list and there
were some he would trade off but he had to trust the survey
information. Mayor Thomas stated Pine Tree Drive was at the top of
the list and to him it didn't seem that bad. Councilwoman Rhodes
agreed with Mayor Thomas.
Councilman Cooper asked City Manager Barlow what he had come up with.
City Manager Barlow informed him if they revert back instead of doing
the flat stipend for every employee across the board and just making
up the difference on the increased insurance that leaves about $36,000
to work with for the road resurfacing. He felt they could do
Riverview and Monson and probably pick up Mockingbird Lane.
Councilwoman Rogers felt it didn't seem to be enough when they knew
next year it was going to get worse. She further commented on the
condition of some of the roads between Riverside Drive and U.S. #1.
She wasn't at the last meeting when it was put in the newspaper that
the millage was going from 7.00 down to 6.36 which she found ironic
because a month prior that is exactly what staff was talking about,
Mr. McKinney recommending Council set the millage at 7.00 knowing they
were coming down to 6.36 and here they go going back up to 7.00 trying
to deal with this. She then suggested not doing the $60,000 stipend
for the employees and focusing on the roads because this is
infrastructure and this benefits everyone because it is going to cost
them more in the end.
Councilwoman Rhodes felt employee stipends benefitted everyone too
because they work for everyone.
Councilwoman Rogers stated the road effects everybody and it will
affect their taxes next year as well as this year and they will have
more to come next year. She agreed with Councilman Cooper they had to
be forward thinking about what is going to happen in the future. They
are going to have more roads on the list. The only way to eliminate
some of the roads was to deal with the $60,000 stipend and be
aggressive or go back up on the ladder with the millage.
Mayor Thomas commented on the City getting out of debt. He asked if
they would be better off in the future. City Manager Barlow stated
their debt service starts to fall off pretty good in 2012.
Councilwoman Rogers stated but they start picking up in other areas so
other debt that they have put off that they aren't paying on will be
payable. They will have more debt coming on. City Manager Barlow
anticipated 2012 was going to be a tough year as well.
Councilman Cooper expressed concern with the roads as well as the
obligation to the City employees that have gone now, this would be the
third year with nothing, and that's also not fair. He was trying to
find a compromise and still knock off the red area. He would be
against taking everything away from the employees.
3
Enterprise Fund Budget Workshop
August 30, 2010
City Manager Barlow stated based on his calculations if they used
$25,000 to absorb the dependent coverage for those employees instead
of the across the board and use that money to repave Riverview and
Mockingbird and completed the rest of the streets listed in red they
would increase the millage by .1775. Councilman Cooper felt that
sounded like an excellent compromise.
Mayor Thomas asked what the millage rate would be if they knocked off
Pine Tree Drive.
City Manager Barlow informed them it would bring them to a millage
rate of 6.5375 with Pine Tree included. Without Pine Tree Drive, the
millage rate would be 6.4374.
City Manager Barlow again reminded Council that would be taking about
$25,000 towards that insurance verses a stipend across the board for
everyone and applying that towards Riverview and Mockingbird and with
the exception of Pine Tree, the remainder of the red, would be an
increase in the millage.
Councilman Cooper asked if they still had the 2% in for the employees.
City Manager Barlow informed him it wasn't a 2 %. It was only the
insurance stipend for those who pay dependency coverage and had an
increase in the insurance, it would only be covering them. Every
employee would not receive it.
Councilman Cooper thought in the last workshop they had for contracts
they voted for number three in City Manager Barlow's program and it
came with a 2% across the board plus the stipend. City Manager Barlow
stated he met with the Council one on one with the exception of
Councilwoman Rhodes and Councilwoman Rogers and they discussed the 2%
and what kind of impact that would have going forward verses a
straight $500 across the board for every employee. Councilman Cooper
said so it was outvoted to drop the 2% completely and just go with the
stipend. Mayor Thomas was concerned that now they were going to take
that away from the employees. Councilman Cooper didn't know the
Council voted to take that away. Mayor Thomas and Councilwoman Rhodes
stated they didn't vote to take anything away. Councilwoman Rhodes
stated they traded one for the other but it was the same amount of
money. Councilman Cooper stated but they originally had them both in
there. City Manager Barlow stated they didn't have $500 plus 2 %.
They only had 2% across the board for everyone.
Councilman Cooper asked if what they were looking at was raising the
millage to 6.5375 to do all the roads and then it wouldn't be a
blanket stipend for the employees, it would just be the insurance
tradeoff and no raise. City Manager Barlow confirmed that was
correct.
4
Enterprise Fund Budget Workshop
August 30, 2010
Mayor Thomas stated the employees haven't gotten anything in this will
be the third year. Really $500 is nothing. Personnel Director Donna
Looney reminded City Manager Barlow that they had implemented the step
plan which was what they needed to do. The lower end employees that
started below the market average affected by the step plan would
receive a pay increase.
City Manager Barlow further described by covering the increase for the
dependency coverage the employees would still receive the same money
in their pocket as they did this year and the year before. They
wouldn't be losing money and would stay status quo. If the employee
doesn't fall in the step plan and aren't paying dependency coverage or
it didn't go up, the employee won't get anything.
Councilwoman Rhodes asked what City Manager Barlow's definition was of
dependency coverage going up. City Manager Barlow explained their
overall insurance went up 11.3% this year. Councilwoman Rhodes spoke
of not paying more for insurance but paying more to go to the doctor.
City Manager Barlow questioned her co -pay going up and he informed her
their co -pay did not go up.
Councilman Cooper asked City Manager Barlow how many that were in the
stipend that he felt under his step program didn't need to be
increased salary wise or hourly rate wise. City Manager Barlow stated
in the step plan there were 47 General Employees that were affected
out of the General Fund. There were five in Animal Services, almost
all of those were part time so that was minor. There were 23 in the
Enterprise Fund and two employees in fleet maintenance. There were 77
employee total out of 195 full and part time employees. Councilman
Cooper asked if they had 125 left that would be receiving the stipend.
City Manager Barlow stated it depended where they landed today. If
they leave the stipend on the table all of those employees would
receive that same stipend as well. Councilman Cooper confirmed the 77
would receive it but the 125 left would receive it as well. City
Manager Barlow informed him that was correct. Councilman Cooper asked
out of the 125 left, how many of those are the higher end employees
that he hated to say couldn't use the stipend but they might be able
to gain some of that away to try and knock off more of the roads.
City Manager Barlow felt that was a subjective question and he wasn't
sure that his definition of hiring employees that could not use that
raise. Councilman Cooper compared someone making $35 an hour to
someone making $11 an hour and felt there was a difference there.
City Manager Barlow commented on the step plan taking care of most of
the lower employees. He used the Police Officers as an example and
referred to losing several officers at one time. He then commented on
receiving a resignation letter from a police officer last week that
had left to go to a neighboring agency with another one leaving to go
to a neighboring agency because the salaries are different. He stated
it wasn't only the Police Department. It is just the most dramatic
there now.
5
Enterprise Fund Budget Workshop
August 30, 2010
Mayor Thomas wanted to keep the employees with their stipend and he
had to put the roads off.
Councilwoman Rhodes would be in favor of a 6.5 millage rate to do the
roads that really have the base damage and keep the stipend in. City
Manager Barlow informed her they couldn't do the both of those at 6.5
and keep the stipend as was originally discussed. Councilwoman Rhodes
stated if they are only going to do two roads and they raise the
millage to 6.5 that takes care of it. The stipend is already in
there. City Manager Barlow explained they needed to make up the
difference of the $61,000. If they leave the stipend in there and
they go to 6.5 they would have to run the numbers.
Councilwoman Rhodes stated they do Riverview and Monson and they do
Mockingbird, which was .05, which was actually under 6.5.
City Manager Barlow asked Councilwoman Rhodes if she wanted to do two
roads and the stipend. He stated they would massage that.
Councilman Cooper asked Ms. Dewees if those were the two roads she was
thinking due to losing the base altogether. Ms. Dewees informed him
the list was in order of priority.
Councilwoman Rhodes stated Ms. Dewees said there was no base showing
on Pine Tree and her priorities were Riverview and Monson. Ms. Dewees
stated they were closer to the river and those would be the roads she
would be more concerned about because of the proximity to the river.
She spoke of Pine Tree Drive having more traffic being the reason it
came up higher on the list.
City Manager Barlow confirmed the millage would be 6.4135 including
Riverview and Monson and Mockingbird and leaving the stipend as they
originally discussed.
Councilman Cooper asked if they went to a flat 6.5 how much more they
could pick up. Councilwoman Rogers stated almost all of it because if
they did all of it it would be 6.54. Councilman Cooper stated that
was with pulling the stipend out. Councilwoman Rogers stated she was
in favor of pulling part of it and getting it all done because it is
all in the red zone and they are being irresponsible.
Mr. McKinney informed Council the difference between 6.5 and 6.36
would be $91,119. Councilwoman Rhodes asked the difference between
6.5 and 6.4135.
City Manager Barlow stated all of them without the $61,000 help would
be a 6.591. Mayor Thomas asked if the employee stipend was still
included. City Manager Barlow informed him it was.
6
Enterprise Fund Budget Workshop
August 30, 2010
Mr. McKinney stated to do all of the roads in red with the stipend the
millage rate would be 6.5909. Councilman Cooper stated he would
almost say they have to go there.
Councilwoman Rogers wanted to see all of the roads in red taken care
of because of having more next year. If they have a hurricane between
now and then, Pine Tree, flooding, all of that will cause even more
problems and cause them a larger expense next year. They need to at
least get the red zone dealt with. She felt they hadn't really cut
into this budget very much and by doing what they have to do on the
stipend they have to do what they have to do. This is the
infrastructure of the City.
Mayor Thomas stated he would call the City employees the
infrastructure of the City too. Councilwoman Rhodes stated
absolutely. Councilman Cooper stated they are keeping that.
Councilwoman Rhodes stated Councilwoman Rogers didn't want to keep it.
Councilwoman Rogers stated she was keeping part of it, the stipend for
the employees that are already at the lower end, the insurance stipend
for the dependency coverage.
City Manager Barlow stated if they didn't have the stipend for all the
employees across the board and only did the insurance difference and
they did all the streets including Pine Tree, they would still be at a
6.5375. Councilwoman Rhodes stated so the employees that have been
with the City the longest and have been the most loyal get nothing.
She wasn't willing to do that.
Mayor Thomas stated so if they keep the employee stipend and pave the
roads in red it would be 6.591. Councilman Cooper stated and they
keep the stipend for the entire employees and the step plan.
Mayor Thomas felt that was a good compromise and asked if they had a
consensus. Councilman Cooper wanted to make sure that was right.
Councilwoman Rhodes asked what the millage would be for the roads in
red and to keep the stipend. Mr. McKinney informed her it would be
6.5909 if the stipend stayed as is.
All of the Council agreed with that.
Mayor Thomas asked Mr. Capria how he felt about that.
Dominic Capria, 606 Topside Circle, stated it sounded like a pretty
good idea but he expected 6.36 all the way down the line. He stated
they picked roads but they didn't pick all of the roads in the City of
Edgewater to look at. He further commented on problems with the roads
in Edgewater Landing. He wasn't against repairing the roads but he
might be against the step plan for certain employees. He felt they
couldn't get an answer what employees, lower or higher. Higher
7
Enterprise Fund Budget Workshop
August 30, 2010
employees could possibly say they don't need it. The lower employees
yes.
Mr. Capria was glad Mayor Thomas asked him to say something because
usually they aren't allowed to speak.
Mayor Thomas explained he thought on the step plan they were hitting
the targeted lower paid employees and the higher employees were only
getting the $500. City Manager Barlow stated correct. The majority
of the step plan are lower.
Mayor Thomas commented on the salary study that was done that showed
they were underpaying some of the employees therefore they were trying
to target those to bring them up to par and the higher paid employees
weren't getting that. Mr. Capria asked to have the hourly rate that
they were talking about. Some of the employees on the hourly rate who
are low on their rates are making a lot of money because of overtime.
Mr. McKinney wanted clarification that he heard a rate of 6.591.
Mayor Thomas stated including the current stipend program, the $500 a
year raise for everyone. City Manager Barlow informed him it was a
flat stipend. Councilwoman Rhodes informed him it wasn't a raise.
City Manager Barlow stated it does not affect their hourly rate.
Mayor Thomas stated and they were going to do the six roads in red.
Councilman Cooper commented on not wanting to raise the rate at all.
He further commented on there being a lot of roads that were going to
come and if they didn't start addressing this they would be digging a
deeper hole.
City Manager Barlow informed Council they were going to move on to
Water /Sewer. He asked the Council if they were okay with him
releasing the General Fund Department directors, which they were okay
with.
Ms. Dewees then went over the Enterprise Funds with regard to Water
and Sewer included in the attached Powerpoint Presentation.
Councilman Cooper commented on the piping and underground
infrastructure having a wear factor. He asked if they had a survey on
what the overall life expectancy is and how much of that will affect
them with this budget and future budgets. Ms. Dewees informed him it
depended on what the actual material of the piping was. The newer PVC
lines have the greatest life expectancy, up to 50 years. Councilman
Cooper expressed concern with the life expectancy of the piping and
values and felt they needed to start putting money into her budget for
upgrades.
Ms. Dewees continued her presentation by commenting on the Current
Year Projects.
8
'Enterprise Fund Budget Workshop
August 30, 2010
City Manager Barlow commented on sliplining being a coating that is
put inside clay piping.
There was further discussion with regard to clay piping having a
tendency to crack and the infiltration of groundwater being an issue.
Mayor Thomas asked what percentage of the City was still on the clay
piping. Ms. Dewees informed him she would get to that.
Councilman Cooper questioned the materials used to coat the clay
piping being better than clay. Mayor Thomas commented on it being
amazing to watch them do it. Ms. Dewees explained it extends the life
of the clay pipe approximately 50 years. Mayor Thomas commented on it
being very expensive if they have to replace the pipe. Ms. Dewees
commented on the clay pipe being 8 to 10 feet deep on Riverside Drive
in some cases and the water table being about 2 to 3 feet deep.
Ms. Dewees continued her presentation by describing the Current Year
Projects - 85% Grant Funded.
Ms. Dewees then commented on the Improvements Needed - FY2011 with
regard to capital improvements that were included in this year's
budget.
Mayor Thomas commented on his goal to have zero flow into the Indian
River. Two of the things Ms. Dewees identified are reducing the flow
and he expressed his appreciation for that.
Ms. Dewees continued her presentation by describing pictures of
Proposed Projects for FY 2011 and Sewer Line Sliplining with regard to
the clay piping that has to be done.
Ms. Dewees identified most of the sliplining that needed to be done
was in the northern, older part of town where they first got sewers
constructed as well as it being subject to the tidal flow and ground
shift.
Ms. Dewees then commented on Proposed Unforeseen Projects and
Wastewater Treatment Plant Engineering & Design with regard to
improvements.
There was a discussion regarding the importance of the Councilmembers
touring each department to give them a better view of what is actually
going on. City Manager Barlow commented on being in the process of
putting together an orientation for the new Council.
Mayor Thomas commented on being proud of the City employees and the
excellent job he feels they do.
9
Enterprise Fund Budget Workshop
August 30, 2010
Ms. Dewees further commented on a concern previously expressed by the
Council regarding the City's water flow going down but the costs not
going down by describing the Total Water Pumped to City in MG and
Little Reduction in Water Pumped.
Councilman Cooper asked if the City's cost started to stabilize and
get better if they are producing more water. If they were selling
more and had more customers online they would only have a chemical
cost increase and would actually be better off. Ms. Dewees confirmed
that was correct.
Councilman Cooper further described adding customers and it being
better for the City. Ms. Dewees informed him the plant was currently
rated at 5 MGD per day and they are at about 1.9 MGD.
There was further discussion regarding when Restoration comes on board
the treatment plant would have enough capacity for Phase 1 but after
that the treatment plant would have to be expanded. The Water Plant
would need some minor alterations to accommodate the flow from
Restoration.
City Manager Barlow commented on the key being adding more customers.
He further commented on actively discussing purchasing some of the
County customers that are currently in our utility service area and
making them our retail customers verses the County.
Mayor Thomas commented on having several subdivisions approved that
have no activity. City Manager Barlow commented on that capacity
currently being allocated.
There was further discussion regarding servicing the County customers
more efficiently and this being a win -win situation for the City, the
County and the customer itself.
Mayor Thomas called a ten - minute recess at this time. The meeting
recessed at 6:20 p.m. and reconvened at 6:30 p.m.
Mr. McKinney commented on the Rate Comparison of the local utilities
within our region included in the Powerpoint Presentation.
There was a brief discussion regarding some cities buying from other
cities and Holly Hill buying from Daytona but they still have their
own customers, much in the same way as the County does from Edgewater.
Mr. McKinney commented on everyone being the same position in that
they are cutting back consumption but the infrastructure still needs
to be updated and maintained and the only way to do this in this
economy is with the rates.
10
Enterprise Fund Budget Workshop
August 30, 2010
City Manager Barlow commented on Deland being similar to Edgewater
with regard to demographics.
Mayor Thomas commented on Titusville constructing a line all the way
to the north Brevard County line and putting in four new wells.
Mr. McKinney then identified Future Funding with regard to all the
work that had to be done to their existing infrastructure in the next
five years budget.
Mr. McKinney further described refinancing all the SRF debt a year ago
which gave them a $1.5 million reprieve in annual debt service. That
debt service comes back online in FY2013/2014. He further described
the expenditures and revenues from FY2010 /2011 through 2014/2015.
Mr. McKinney then commented on over the course of five years they are
looking at a 31% rate increase. He felt the better approach would be
smoothing that out over the five years with a 6% increase each year.
The CPI Energy Index alone had increased 3.8% in the last twelve
months. The CPI Index doesn't tell them the increased infrastructure
needs, debt service, etc.
Councilman Cooper commented on not putting anything for things that
may happen and he felt they would need a flat 8% across the board to
cover the bare minimum. Mr. McKinney commented on making a pledge to
Council that they were going to try and set aside $500,000 annually so
when the debt service hits them, they wouldn't be in a big predicament
and would have some funding. This would be the first fiscal year in
well over ten that this operation will actually have a reserve. The
$500,000 was put in the budget this year and next year. He felt if
they were to look at a 6% across the board over five years then they
could mitigate the 15.4% that was needed if they put off the projects
starting more towards the end of the year instead of the first of the
year.
Councilman Cooper commented on suggesting 8% because they are going to
need the money in the first three years and backing off of the 8% in
the fourth year if they have the money. Mr. McKinney informed him he
would need the funding exactly three years from October 1 The 6%
smooth would take it from a 20% increase in the next two years to an
18% increase in the next three years. The average residential
household would see a $2.64 increase per month at 5% and $3.15 per
month at 6 %.
City Manager Barlow described instead of just looking at the next
twelve months out and reacting to the next twelve months, they are
trying to look further into the future and smooth that out. He felt
it was the efficient way to do planning and budgets.
City Manager Barlow then identified possible grant opportunities.
11
Enterprise Fund Budget Workshop
August 30, 2010
Councilman Cooper asked if it would behoove them to have a higher rate
increase to the commercial than across the board to all residents.
City Manager Barlow informed him no. He commented on the closing of
Coronado Paint and that going against trying to attract business to
Edgewater. Mr. McKinney and Ms. Dewees would be looking at their
tiers and making sure they are appropriate.
Councilman Cooper expressed concern that the money to be used for
future needs does not get spent and is protected. City Manager Barlow
identified the money only being used for what Council authorizes it to
be used for.
Councilman Cooper expressed concern with locking this up as tight as
they possibly can so it is there when they expect to have it. City
Manager Barlow commented on not being able to set in stone direction
for future Council's as it relates to spending.
Mr. McKinney referred to Page 137 of the budget where it showed the
current year unreserved and future year SRF payment account numbers.
All the money that accumulates in there will be set aside in its own
account so it wasn't readily accessible.
Mr. McKinney stated he heard that 6% was what they wanted to go with.
The budget was already based on 5 %. He confirmed Council wanted him
to look at 6% and what the increase set aside would be.
It was the consensus of Council that they had to.
City Manager Barlow pointed out that taking care of these projects
would be a savings in the long run.
Councilman Cooper felt if they mind their p's and q's when they get
out to the fourth and fifth year they may be able to back off on that.
Councilwoman Rhodes stated there will always be something. City
Manager Barlow commented on the unfunded mandates and the increase in
the City's permits.
Mr. McKinney then made a presentation regarding Refuse by describing
there would be no increase and it would stay status quo and
identifying the Refuse Highlights. He then referred to the Rate
Comparison which included other cities.
Mr. McKinney believed bar none Edgewater has probably the best
customer service when it comes to Refuse. He has never gotten a
complaint once on the Refuse service. Councilwoman Rhodes commented
on in the past whenever it was even hinted to contract it out the
residents went nuts.
12
Enterprise Fund Budget Workshop
August 30, 2010
Mr. McKinney continued his presentation by describing Stormwater and
informed Council they were in the black and that there was no proposed
rate increase. He further identified the Stormwater Highlights.
Mr. McKinney then commented on the Rate Comparison with other cities.
City Manager Barlow informed Council they may look at moving the
stormwater fees off of monthly bills to an annual assessment on the
tax bill. A lot of the cities do that. It eases some of the monthly
out of pocket expenses for the residents. They will do a study and
bring the pros and cons back before Council sometime after December.
Councilman Cooper wanted confirmation that the 6% rate increase was on
potable water. City Manager Barlow informed him water and sewer.
Councilman Cooper stated he didn't see anything in reference to a rate
increase on the reclaimed water. Mr. McKinney informed him there was
no rate increase on reclaimed water and described the $9.50 was a
tipping point as far as people using it or not using it. They have
had a little bit of an increase in people using the reclaimed water
the last year verses when it was at $10.50.
Councilman Cooper suggested they could look at increasing the 20,000
gallons for the base charge. He thought they could increase the rate
and get a little more extra change in there but at the same time
letting them increase the volume that they use. He spoke of trying to
offset the flushing to stop paying that permitting charge. City
Manager Barlow felt they would find that most of the reclaimed
customers probably aren't even using the 20,000 gallons allowed at the
base rate. He expressed concern with raising the rate and focusing on
adding more customers. He spoke of reclaimed water being available on
the east side of U.S. #1. He further commented on another initiative
to use the outfall line at Menard Park as a distribution line.
Mr. McKinney commented on getting 25 additional customers as a result
of the reclaimed water customer initiative approved by Council in
September 2009.
Mayor Thomas stated 7.70 would have given them what they were going to
get last year. They were going to 6.591. They were giving the
employee stipend and the step plan, paving the streets and they are
cutting $1 million out of the budget. They are doing more with less.
He asked how they are doing it. City Manager Barlow commented on it
being the dedication of the employees to reduce the operational costs.
Mayor Thomas stated the best infrastructure of this City is the
employees. City Manager Barlow stated of any corporation your
employees are the number one asset. They are showing they are
dedicated and motivated to help. He also pointed out a lot of the
employees are residents as well.
13
Enterprise Fund Budget Workshop
August 30, 2010
Councilwoman Rhodes commented on the fixed cost of doing business
being postage. She asked if they could go to signing up online. Mr.
McKinney informed her it wasn't an easy task with the City's software
provider and HTE being a little behind on that.
Councilwoman Rhodes asked how much it would cost them to get a new
software provider. City Manager Barlow informed her they were going
to look at that next year. They have had some issues recently that
have motivated them to look at this.
Nora Jane Gillespie informed Council that not everyone had computers.
City Manager Barlow commented on another big complaint as it related
to utility bills was those that do pay online or had automatic funds
transfer still received the return envelope based on the system. They
are looking at not including the return envelopes but having them
available for people to get from City Hall. Mr. McKinney stated over
50% of the utility customers pay at City Hall and give them back the
envelope and ask them to reuse it but they can't reuse them.
Mayor Thomas asked if anybody has done a study why 50% of the
customers still come to City Hall to pay. Mr. McKinney informed him
creature of habit.
Councilman Cooper wanted them to find a way to get the $36,000 back
for using the Master Card or Visa.
Mr. McKinney further commented on the postage the City pays being a
huge cost city -wide. They spend a lot of time processing bills and
they wouldn't have to do that if people paid online.
City Manager Barlow brought to Council's attention that DOT was
planning to do many median modifications in Edgewater. (Attached) He
expressed concern that when they get it in this stage it is almost
100% final engineering before they go to public workshops. They are
planning to close off many of the cut throughs and require additional
u- turns. He spoke of some of staff's concerns. He identified the
Florida Shores Shopping Plaza and explained when they come out of Winn
Dixie they would have to go south and couldn't go north. He expressed
further concern with closing the median cut through in front of the
auto parts stores and the next ones up. In order to go to CVS or the
Best Western they would have to go clear up to Marion Avenue and do a
u -turn which is a very highly congested area and known for several
serious traffic accidents.
Councilwoman Rhodes asked why they were doing this. City Manager
Barlow informed her they didn't know yet. He spoke of several
modifications they already made in the Daytona area.
14
Enterprise Fund Budget Workshop
August 30, 2010
City Manager Barlow commented on DOT proposing to close the one at
Rhode Island Street and the entire Fire Station design was based on
that one being open. The fire truck would have to pull out of the
Fire Station, go down to Marion Avenue and do a u -turn in order to go
south to an incident.
Councilman Cooper commented on the rights -of -way that are all screwed
up and the TPO is trying to cut down on the amount of money they may
have to invest to fix the rights -of -way by making a u -turn program.
He stated they were trying to propose six lanes down U.S. #1 and I -95.
Councilwoman Rhodes stated so the ultimate goal of the State was to
widen U.S. #1. Councilman Cooper stated and save from taking it away
from public domain from so many businesses that are on top of U.S. #1.
City Manager Barlow stated they were having a public workshop on
October 7 th in Council Chambers at 5:00 p.m. He hoped to meet this
week with the Transportation Consultant, who was a subcontractor of
Quentin Hampton, who was retired from DOT. He felt he may be able to
share some rationale of DOT and steer them in a direction. They may
see a resolution on the next Council agenda based on their meeting
with their Transportation Consultant.
City Manager Barlow reminded Council they had their first public
hearing adopting the budget and millage rate on September 13 and the
second public hearing would be September 27 th .
Councilwoman Rhodes pointed out she wouldn't be at the September 13
meeting.
Councilman Cooper commented on how much the employees have shown their
dedication. He spoke of some of the departments losing employees.
Services have not been felt to be stricken or hurt in Edgewater in the
last three to five years and yet they have cut back in so many
directions and they are still doing their job. He then gave kudos to
City Manager Barlow for regenerating the staff and directors where
they are looking to make things better with what they have. He feels
he has done an excellent job over the last two years.
City Manager Barlow informed Council what he would probably do because
the Directors and Deputy Directors would not be getting a stipend he
would administratively authorize them to have an extra personal day.
3. ADJOURNMENT
There being no further business to discuss, Councilwoman Rogers moved
to adjourn. The meeting adjourned at 7:16 p.m.
Minutes submitted by:
Lisa Bloomer
15
Enterprise Fund Budget Workshop
August 30, 2010
9/1/2010
ROAD RESURFACING PROGRAM
Brenda L. Dewees
Director of Environmental Services
( Budget Workshop
,! I August 30, 2010
Road Infrastructure
■ Paved Roads in the City - 1 1 5 Miles
• Average Life Span - 20 years
■ Roads to Resurface each year - 5.75 Miles
o Footage of Roads to Resurface each year
►30 Feet
Road Program
o Evaluation Done Every Two Years
o Prioritized By
o Condition of Roadway
Traffic
Funding
1
9/1/2010
Condition of Roads
• Paser Manual from the University of Wisconsin -
Madison Transportation Information Center
r Rating 1 -10
• Raveling
• Flushing
• Polishing
• Rutting
= Distortion
= Cracking
Alligator Cracks
▪ Patches
Potholes
Ratings
■ RATED TOWARD NEEDED MAINTENANCE OR REPAIR
• Rating 9 & 10
• No maintenance required
• Rating 8
o Little or no maintenance
• Rating 7
• Routine maintenance, cracksealing and minor patching
r Rating 5 & 6
Preservative treatments (sealcoating)
r Rating 3 & 4
Structural improvement and leveling (overlay or recycling)
r Rating 1 & 2
Reconstruction
FY 201 1 Recommended Roads
511884680 LENG. MOEN TONNAGE , 650,1001 M„M COST MIL..
1,763 18 353 26,032
7.9 Ave 1. to Riverside 1,050 IS 210 ,5,54,3 0.0239
,Alockinlaird Lat. 589 18 , 1.15 5,717 0.0134
lOrange Ave US1 to Riverside Or 1.111 . .7 18,270 n,., to River* 30 o� 329 20 71 5,410 042083
NNIldwood Or 4,810 21 1,176 87,0011 , 0.1317 .
345 11,610
Pines Edge Ct 596 20 112 9,801 0.0151
_ _ 1,692 20 336 27,824 0.0427
Par.00d Riverside oven, 442 .o 16 m 6 31,557 0.85
law+ Pw VZ to Pnery __ .
2
9/1/2010
Recommended Annual Funding
Asphalt Cost per Ton $74
Annual Footage 30,360
Cost per foot (20' width) $16.50
Annual Estimated Cost $500,000
Historical Cost
FY 2005 $ 168,783
FY 2006 $365,514
FY 2007 $ -0-
FY 2008 $ -0-
FY 2009 $189,083
FY 2010 $102,000 (Budget)
Total $825,380
Pine Tree Drive At 18th St. Cana';
3
9/1/2010
Pine Tree Drive
•
Riverview Drive
Riverview Drive
4
9/1/2010
Riverview Drive
Monson Drive
Evergreen Avenue
e
5
9/1/2010
Evergreen Ave at Riverside Dr
Mockingbird Lane
*
Mockingbird Lane
6
9/1/2010
Orange Avenue
tip.
Orange Avenue
Thomas Street
7
9/1/2010
Thomas Street
rc
r ..
Wildwood Drive
� v
Lone Pine Drive
8
9/1/2010
Cherrywood Lane
Pines Edge Court
.1 4.
4,6; VIO
FY 2011 Funding Options
3_0 111
11 g.'Sll 111
8,11age $1. 7011
Cost 8481.871
31 11111 11 .01 •lIllg1 511 .111
4 ,1
9
9/1/2010
FY 2011 Recommended Roads
STRUTS TO SS Vw¢O 1.6111 VOOTII TONNAGE COST MIWIX RAMO
.
n
QUESTIONS?
10
9/1/2010
1
Environmental Services
Enterprise Funds
Brenda L. Dewees
Director of Environmental Services
And
John McKinney
Finance Director
r ,
Budget Workshop
WATE August 30, 2010
Water and Sewer fi
Alan R. Thomas
Water Treatment Plant
First Start Up in 1993
5.0 MGD Lime Softening Treatment Plant
10 Wells
Four more wells being constructed in 2010
Nine Operators and One Superintendent
Operates 24/7 - 365 days a year
Average Daily Flow (July 2010) 1.934 MGD
1
9/1/2010
Alan R. Thomas Water Treatment
Plant - T 993
1
Advanced Wastewater
Treatmen Plant
First Start Up in 1 993
2.75 MG
Advance
Biological Nutrient Removal
Treatment with Reclaimed Water Treatment
Seven Operators and One Trainee
Superintendent
days a year
Operates 24/7 ry - 365
Average Daily Flow (July 2010) 1 .165 MGD
Wastewater Plant -Dec. 1 992
ry
2
9/1/2010
Water & Sewer Lines
Water Lines Various Sizes 274 miles
Fire Hydrants 650
Water Valves 6 -inch and over 1,638
k Gravity Sewer Pipes 109 miles
Force Main Pipes 33 miles
Manholes 1,700
Lift Stations 50
Reclaimed Water Lines 17 miles
Reclaimed Water Valves 1 1 3
Field Personnel
Two Superintendents
(One Water - One Wastewater)
Two Crew Chiefs
Two Cross Connection /Reclaimed Inspectors
One Utility Systems Technician
Three Maintenance Workers
One Service Worker
Three Wastewater Maintenance Technicians
Current Year Projects
Replace Ammoniators $21,040
Reclaimed Water Line $19,400
Master Lift Station $44,300
Sliplining $66,000
3
9/1/2010
Current Year Projects
85% Grant Funded
Four new production Wells $899,950
SE Ground Storage Tank $1,678,497
SFr `t ,
I' ` .'. Y ,
Replace Aerator & Stairways
FY 2010
Project under Contract - $31 7,94S
x a
WA , tom. °
tma '' fir /i
A ': ,
Replace Aerator & Stairways
FY 2010
Project under Contract $31 7,945
rr
4
9/1/2010
Lift Station Pumps Replaced 201 0
$24,506
s;jithi Re 1 '
- L'e'-"*..:,PS7:14.7.:=:1 ::.: : '. '' ".• '-• '- ",:, '',.;,
.... ..
. ,
Mixer Replaced 2010
$35,913
Improvements Needed - FY 2O'
Project Budget
Engineering Study for Color & DBP 20,000
Upgrade Park Avenue RTU's 30,000
Reclaimed Water Line Extensions 50,000
Reclaimed Water Storage Project 100,000
Water Line Enhancements/Replacements 100,000
Paint Claricones at WTP 150,000
Lift Station #1 Engineering & Rehab 150,000
Sewer Line Sliplining 200,000
Unforeseen Projects 261,353
WWTP Engineering & Design 314,800
TOTAL $1,376,153
5
9/1/2010
Projects
Engineering Study - Evaluate new treatment
systems for reducing overall chemical costs.
Upgrade Park Ave RTU's - Improve integration
between Water Plant and SE Booster Station
communications
Reclaimed Water Line Extensions - Increase
customer base to reduce Indian River Lagoon
Discharge
Reclaimed Water Storage Project - To allow
discharge to adjacent Borrow Pit to reduce flow
to the Indian River Lagoon
Water Line Enhancements
Replace 1963 two -inch water lines
Proposed Projects - FY 2011
Paint Claricones - S150,000
1 �n
j
Proposed Projects - FY 201 1
Paint Claricones - S150,000
e •qa;
6
9/1/2010
Proposed Projects - FY 2011
Lift Station #1 Rehab - 5150,000
1
Proposed Projects - FY 201 1
Lift Station ltl Rehab - S150,000
# fi .
S: ion
Proposed Projects - FY 201 1
Sewer Line Sliplining -
44,817 feet of Vitrified Clay Pipe to be lined.
This equals $1,344,510 at today's prices.
51 00,000 per year equals 1 3.5 years.
2071 $200,000 (Proposed)
:010 5 06,000
2009 •
• 2008 -0
• 2097 5 45,060
• 2006 5 83,880
• 2005 S, 1 78,764
7
9/1/2010
Proposed Projects - FY 201 1
Un foreseen Projects
$261,353 Proposed for 2011
Spent over $290,000 in FY 2010
• Sewer Sliplining $ 66,000
• Master Lift Station $ 43,300
• Mixer (WWTP) 5 35,913
• Reclaimed Line $ 19,400
• Aerator Overage $1 32,258
n •
Pro po s ed Pr FY 201 1
WWT Engineering & Design
Wastewater Facilities P lan co mpleted this fiscal year
outlined several improvements to the WWTP
Some components have been done
Combining all of these into one project will save
mobilization costs and the increased cost of
"emergen repairs
Reclaimed High S ervice Pum
Today
t
` r
i ,..
„, ,
8
9/1/2010
Reclaimed High Service, Pump - Today
.. ,,--,,...,.,,,__.
,a ` _ -
4`
---- -----.............. „4....-
Reclaimed Storage Tank - Today
1 , '
-----___,...........
0 - Today
Feed Pump
Chlorine Fe
Ch
:T
,
9 ''' -----..:,.. ...........40.....-
9/1/20 10
_ Today
Chamber Contact C
' y ' 1 1 4',' • ,', is, .s, -40.7'..„„::::s.,,,..;
,:* .; ,, ',...;..,7.1,s'•.."'-'-',. ' ' ''...-1
i ;
' I l iiilittlittititty, s.
_ Today
Di(
BN B Tan
TN '
' 1 '
Today
-- T 7 -
Diges t e r Tank
,, ■■. -
10
, .
■ ..
9/1/2010
Master Lift Station - Today
ti: „,„;,F,,,4-4 - 41 J ." ,•
- -
Grit Removal System - Today
------■,....__
Mixer Pump - Today
• -, - — '1. - ,7
ytr
- _.....
\ ftiam■
11
9/1/2010
Total Water Pumped to City in MG
21015 21100 2007 2008 2009 2010
Junuary 55 137 57.978 65.625 54.970 61.521 57.310
February 52 054 48 852 52.730 55.929 54.736 50.232
March 55 203 59.322 62.244 61.756 64.519 55.241
April 51.373 61651 61.698 65.100 61.475 55.587
Mev 55.452 61.617 60.591 70.233 60.656 56.902
,1unc 49.730 55.149 54.418 59956 53282 50581
lulu 50201 02.167 56.280 57.223 54.712 59954
August 55 676 60.332 61.479 53.576 58 795
September 49.434 54.436 51.559 54.177 56.542
Detober 51.279 55.024 53.163 56.115 58.175
November 51.932 52.123 54.415 55.632 57.597
December 53 888 64.105 57.983 61.002 55.296
Average 53.130 57.746 57.682 58.806 58.109 55.972
Little Reduction in Water Pumped
■ Constant Costs
Personnel Costs
Analytical Costs
Compliance Monitoring
Postage Rates
Repair & Maintenance
Cost Allocation
Permit Fees
■ Reduction
Chemical Costs by S36,000 ± for the year
Rate Comparison
milimmommilimmimmi „„ 17 L
■■MlEIM■MIMI_I :orr
■1E111.11PIM®. I ,,,r
1 � .FLSi•■... ®■ ∎■ 5774 ,
.NITITM: MMINNI:11•11711•1:111111111:. ,. rr
' X ∎ ■IPIMIERNI■!®11111111111.111
12
9/1/2010
Future Funding
6 569 361 6 733 595 6 901 935 7 074 463 7 151345
2ed 1214 343 2 124 821 1 236 165 3 2.898 1280 643
Ren.2.41. ROW. ""2"
7otal 10 169 852 11 737,641 11 638100 12 7,5 381 11881 988
Revenue.
Estimated 51, 15 416 0114 9 aaw 1 23.
in08.2. 10 169 657 11 737 641 11,61.100 11 715 381 12 adi
Refuse
Refuse Highlights
Training
Spotter training for employees
Capital Outlay
Page 1 79 of Budget Book
Future Land Acquisition
No Proposed Rate Increase
=
13
9/1/2010
Rate Comparison
Stormwater
Stormwater Highlights
Increased Herbicide spraying
Capital Outlay
Page 179 of Budget Book
Future Land Acquisition
No Proposed Rate Increase
14
9/1/2010
Rate Comparison
Comparable Wares
tromerfent
Storm Rank
2r92.1.11.111111111.
11.11
ME1111. 3
ay. Mom. 6. 3
rfriMEIMI
7 . 6
Pea OsYnd
• Ma. I
rattenillEME
......1111111111111111.11.1
rEnTrIMME
15
y aaa{ trz•w da
I., q i Q •
I t \ I Q a , � N a J
,��a ��i a 2° Q Cry
Q. oa f Q
r1 1 100? r
a fl
ka
v
10 I Y O
S y . ♦•
CO
e ie ; .''' '
i ' # ttt
if .
,,,,,.
...,, _
-,...„r„.. , •//;......‘ 4% :. 4r il '11 . 14:j
1 >
ti C $
� 1'� MA i . \ t - ' i ,) ' " , ° 5 g T t
aft ii O Wg
'- sk. CO :.°:: i
N e e •• .. Q. Z'
J ��
W
W r
j
80
. ;ia ••
Q. i
m
G.
996T1 do
4.
6057 dP1 009 diV
. 40
1
• , ' ,
-
7 I ., . f . • ••
..e,
, 41#
,,,,
N
i 'i". ,,
,..,..
,.._ N
. . , .
• . ... .,,, ...,
,.. • i . .., ...
1
, --w. -,•*
..., „
qt .
•• . • . .
• . t
•
f ...... "
V
•
, ..,
• %* ,,,,,..,••\
• „ , - ,:: ' zz l
'
"e• . .
r... 'X ,. , . , •••x c•'' *;.:
...
1 ' ''' - '' ' • , `C .,:. .Z
'" Z
Q... ...:
. .. ' .4 '.
ilw ' k,
ul ..t
, -
ailid
,I. , ....
.. .„ i ,......
i ... ,
0
L . - c.
F.- • . ,
, r cr - NIF , .. C.:1 ••
2 '-•
et: is-
• - ¢ -.1 ,,,:.
ti) - • - • '
••.1 t ,, I
a- Lu rr";; ■ : a.... .... r...-
, , o
•-- , -.
. . ,
.. -, .., .
r..-. , • -
„,,,•
• .
... ,. =,
t
E-,
1
.. ,.,
- ...
6 ' 1
tz cr
LLI .
4 P'''''' ,L, gg 4
,
0 './. ,
2 1- ''' A1/2 fj
.1' LI
'"Ci t'
” ''<': g-,- HI g
rir Z,-
,
< fi
410. As - - .
CO .
rk
••
,-
, 1
, 0 ' •
.' • " L ,.. „1 ,. fr.)
IUJ 1 •v g
(.....) !
. .„. ..' P
,c;
1.W
(...1 ,
''' --
,A, 0 ., It
---
I -
• . ,-
, •
. ..'
v) I 1 %1'4 . •
OM ...
4
...
.:,
.....
(....)
Q l• Z it ••• &•.... 1 !.. . ,
-- ;,..
u s... , ..-
1 ..*•;411 I it 4.'.4• - '
. .
, . •• L- ,- 1
al ..,c
LC)
Li)
I CC '
I Cl-
' ... .
. ,
.,,,,,...
'' '' • ' ' ' r
, ----
21,e7":", dit (Z541 di,
[
41
—7---- ,
06017 Of 191•1 d$
1
1
■ i
:
N ..._ N 7:
k
. '.6•- !A
Lu ..
4. iii , i
''''',. -;41- • .
1 ,...
C:1
, .. x n >
_
. ' i Q. 8 ---40--• -:x
■ 4 t ' ' • . , lu
i 3 8
••,, .. ,
. , - ' •
t..;
.... Lz)
-00
, ' i atovc,'• , ..t i , :
1 ,•I "Z•1
. k
' . LLi > i ` •
-1 0 ,4 " k • , .
1 ' 7 • 1 'r
i• _ D.-
..-• 14.1 a._ w,
(....) ,... F. :. -
. •a! z=
veit - st 7,,
, 4 0 ' A ' ■ "' , .., , ... . , . . ,,,,,,,' .., -.. .
--J "
1 4
- 14
I'
`i
• * , 1 i -- 7 4
'''''
i
,.Ji. ••'.i ., ' 1k .
r z .... ' ••• . . 7 * G. g i
-, ,..— • ' '-' ; , ••, A• -t. 0 Ill CO
J„Ir 8
(\.1 >, OS* . r , • ' ' CO ,':-)
CPI I-,
• , . ..., ' 1-1 '8 : UJ
T.. --- • a
J •-• .
' *
(-. t . ' ' . • 1 / '.: .... tft. '
- • -...I , n
: r o
x - - -
' ..
■'. •.' ''' 4 1* , - '• ! ai ' . '
.... . • .
........
. • .40 .
. 4- IPS , , , ! w ,, •
' ..' .
1
..: r •
.. '
. • ■ ' ■-•,. . .
. , • .. ,
43 . ,' , - . 113 kr., • , 1'
. +0,
‘-' I-... /r. 1 1.,_ C,) ' ,' ' . 4111 •
' 0 0 ‘1! ' , ., . . '!. itY ! - •:.
., .
... 0
4 k, - 1 ...t I-- -* . • , .: . , .•,
' •,.- J.
--- WI
Z "--
. . .
• 0...
- r •T
..:":'','• ',- : '" ' ' . • H ' i . -
1,,.. c' : *. i• - 1
11 .;"' i - i• ,•. 1. i.„
1. -.
, .
.. .
. . .
. ,--:,!-. :.‘• i • , , L R ii ', ..
z eL-.E -
ti _ .. ■{.'.', '
, j
4 - .
20.5"frl dr( 06091 cal
J
f29'S) dN w
m `"I l b it
fi t '
2
r L m‘..e . 4 Q
w w a
k • t. +[r
, -. . '' ' ,.; il '
/1 '
".. qq
l
R
s t 1 - m
s I t au oW ,� ` �
CP o
J j+
i.W c fi a t N .. F
1
:6 is
t^ u i c
Z
J
1 . 4rya Ps n
' N C—
q Uwe g
*i , , WIi'
Y,
g
Q N
f
_
i
416 .. - t * A
L
C \ I 1- Il • '..' Lci
CC
IC Y
1 . .
;.::
,,i
s 47.: e
Ic W
� Y
/ I • Q u1
' - aQ fig,
P 1 ' a W
.�
r..,- ` : _