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08-29-1988 - Budget Workshop )~ u. u CITY COUNCIL OF EDGEWATER BUDGET WORKSHOP AUGUST 29, 1988 MINUTES Mayor Baugh called the Workshop to order at 7:01 PM in the Library. He stated the purpose was for budget review for fiscal year 1988-89. ROLL CALL Mayor Earl Baugh Councilman Louis Rotundo Councilman Russell Prater Councilman Neil Asting Councilman David Mitchum Present Present Present Present Present City Attorney Jose'Alvarez Interim City Manager Dennis Kelly Acting City Clerk Susan Wadsworth Chief Lawrence Schumaker Excused Present Present Present Also present were the City's Department Heads, Terry Wadsworth, Superintendent of Utilities, and Carl Overstreet, Public Works Superintendent; Fire Chief Larry Carson and other members of the Fire Department; and Karen Rickelman, Finance Officer. Mr. Kelly stated he didn't obtain the information regarding the land costs but will continue to work on it and will have it for the first budget hearing in September. Mr. Kelly distributed information regarding the overtime for the Police ment. Chief Schumaker stated his analysis covered the last 10 months. reviewed the reasons for the overtime with a breakdown per incident. Mr. Kelly introduced Mr. Bob Keeth of VCOG and asked that he explain their request for a donation. He noted that Councilman Prater wanted further information on this, and it's a move from the administrative support of the County to be on their own, with a request for $2,500. from Edgewater as a per capita contribution. Bob Keeth explained the purpose of Volusia Council of Governments and the services it can provide to the cities. including assistance with the Comprehensive Plans. Depart- He Mr. Kelly pointed out they put in the budget for the initiation of a full time Fire Department. Fire Chief Larry Carson presented a letter of support signed by the majority of active members. Mayor Baugh asked the number in the Department and Chief Carson replied 38. Mr. Kelly stated that if they stay with the 5.3 millage rate there will be a surplus in the general fund of $110,413, and it will include the items they discussed, including the full time Fire Department. Councilman Rotundo questioned if they want to leave it at 5.3 as it may be a hardship on the next Council. Councilman Asting asked the surplus with the current budget and Ms. Rickelman replied that as of the July statement, it was $30,000 in the hole. based on revenues collected and expenditures through July 31st. Mr. Kelly pointed out that's the cash flow deficit which is different from the budget deficit and they won't have much cash carryover like they did last year. Mayor Baugh stated that he'd received calls that the increase in water and sewer rates will be more than if they kept it at the current millage rate. Mr. Kelly agreed and pointed out it's a true picture of costs and they've been subsidized for years by people who were paying the taxes. He added that he'll do an analysis for presentation at the budget hearing to show what the utility rates would have been if the City had kept up with the inflation rate. He pointed out the utility taxes should have been transferred 4 years ago when the auditors told them about it and now it's compounded. He stated that he's recommending 5.3. Mayor Baugh said this doesn't lock them into it and Mr. Kelly agreed it's not final until September 29th for the second and final reading of the budget ordinance. ..., (I..." . .. (.; (J Councilman Prater questioned if the overtime of $60,000 could be lowered on page 29 as the Police Department uses about two-thirds of the total overtime for the City. Councilman Asting pointed out they operate on 24 hours a day and 7 days a week basis where others work on 40 hour basis. Councilman Prater noted the Water Department works 3 shifts. Mr. Wadsworth stated that they have just 1 or 2 on duty at the Water Plant. Councilman Mitchum pointed out they don't have people going to court. Chief Schumaker explained in detail some of the items that require overtime payments. He suggested they might want to create a line item for court or special details and then overtime would just be for personnel shortages or when an officer is extended. Councilman Mitchum asked how the overtime compares to other cities and Chief Schumaker replied they're in the middle or perhaps a little above. He reviewed South Daytona's overtime, and noted they sometimes have only 2-man shifts in the evening hours because of their limited response time and Edgewater has 107 miles in Florida Shores to patrol. He pointed out that one factor is that we have to transport the prisoners, and the evening shift mandates 4 men. He said they can drop the overtime figure to $50,000. and he'll do the best he can. Mr. Kelly stated the overtime as of July 31st was $46,119 and they've been running about $4,500 a month so the estimate for this year is $55,000, but the new officer could go either way. Chief Schumaker noted the new officer will be day shift and court appearances would be on his time. It was agreed to reduce the overtime figure to $50,000 with the thought the new officer will relieve the work load on other officers. There was discussion regarding the use of the new officer in other areas and the amount of time the supervisors accumulate for vacations. Mr. Kelly pointed out they received $57,000 in court fines as of July 31st and with the new officer those revenues should increase. Mayor Baugh asked if they want to leave the millage at 5.3. There was no objection from Council. Mayor Baugh asked if water rates could be lowered and Mr. Wadsworth replied no. Councilman Asting moved to adjourn. Councilman Rotundo seconded the motion. Mr. Kelly thanked Council for their time and diligence with these meetings and announced that the first budget hearing is Wednesday, September 7th, at 7:00 PM and the second hearing is September 29th at 7:00 PM with a possibility of September 14th if another hearing is needed. He thanked the staff and especially Ms. Rickelman for their assistance. Workshop adjourned at 7:46 PM. Minutes submitted by: Lura Sue Koser ~ -?- tprz- .~~ tY~ ATTEST: ACTING CIT LERK APpr~d t is~day of r~ ~ ,198~. G~tt MA OR -2- Council Budget Workshop Minutes August 29, 1988