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Home My WebLink AboutCBC 08172018 MinutesCITIZENS' BUDGET COMMITTEE Meeting Date August 17, 2018 Conference Room 3 MEMBERS PRESENT: Dan Kurek Richard Pancoast Barry Mucklow Clarence Kearney John Culverhouse Ed Lounds Jerry Buechler Craig Mundt William Donovan MEMBERS ABSENT: Carl Hensley Gloria Johnson Mark Gotz Rubin Johnson Jake Sanders Gwen Morris Jennifer Garrity Ed Matthews Ron Parrish Amy Griffin Dan Allison Susan Craig XIIRM%X0101140 Mr. Pancoast called the meeting to order at 7:30 a.m. PUBLIC COMMENT No member of the public spoke. APPROVAL OF JUNE 15T" MINUTES Leslie Olson Stan Payne Jennifer Hill Sophia Holt Gino Butto After a motion and second, the minutes from June 15th were unanimously approved. Since there were only six members and eight are required for a quorum, they were approved again later in the meeting. UPDATE ON FY 19 PROPOSED BUDGET Citizens Budget Committee August 17, 2018 Page 2 Ms. Hill gave the attached presentation. Mr. Parrish provided an update and answered questions on FEMA payments and appeals for hurricanes. School Resource Officer (SRO) funding, unfunded mandates, amendments, educating the public, and future decisions were discussed. Mr. Pancoast gave the times of the Budget Hearings and encouraged the members to attend. After a motion and second, the minutes from June 15th were unanimously approved. INFORMAL BOCC UPDATE Ms. Hill listed the items discussed at the August 14' meeting. Ms. Olson added details for one of the items. OTHERISSUES Taylor Creek Bridge and supporting the Sales Tax amendment were discussed. After a motion and second there was conversation before the attached Resolution was unanimously approved. Mr. Pancoast reported that he and Mr. Kurek had talked with the Commissioners and expressed the concerns of the Committee. Mr. Lounds asked for more information on the funding of the Sheriff's Office. Brightline was discussed. Potential properties to sell and Transit Oriented Development (TOD) were mentioned. Ms. Griffin handed out the attached brochure from the Environmental Resources Department and answered questions about trails and fire trucks. ADJOURNMENT The meeting was adjourned at 9:10 am. Respectfully submitted by: Brenda Marlin The next CBC meeting will be held on Friday, October 19, 2018, at 7:30 a.m., in Conference Room 3, of the St. Lucie County Roger Poitras Administration Annex. 9/26/2018 CITIZENS' BUDGET COMMITTEE AUGUST 17, 2018 FY 2018-2019 RECOMMENDED BUDGET Agenda • Property values & millage rates • Fund Balance and Reserves • Challenges • Outstanding Issues • New Issues • Budget Priorities • Incremental Revenues & Expenses • Unmet Needs 9/26/2018 $700,000 $654,276 327,987 $600,000 $591,403 $592,353 320,665 O � 313,506 i $557,216 � $523,980 � $534,123 $506,969 $497,551 $472,621 504,005 3 $500,000 O � 306,50] [ y $400,000 298,307 m 3 291,002 m $300,000 280,907 283,726 28� 0 1 2 2]2,864 78,285 $200,000 $100,000 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 •FY2019 -----Estimated Population * Recommended Budget - Adopted Budget �SLC Population 350,000 340,000 330,000 320,000 310,000 300,000 290,000 280,000 270,000 260,000 250,000 C 0 U NT �} 11,000 FY 1995 TO FY 2019 982-79 950 903. 9.82 943 4 900 850 783.83 808.6 851.33 781.95 800 ............................................................................................................ ....................................... ........................... 700 9.76 666.59 650 684.15 653.06 600 550 500 19951996199719981999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 9/26/2018 Property Values 2019 - -- CW Taxable Value and % Change 39.25% 40.00% $30,000,000,000 30.00% 28.58% State Tax Reform $25,000,000,000 20.00% 8.62%7.78%I $20,000,000,000 I7.31% 5.81% 4.26%34.67 10.00% �u -1.63% -3.23% 0.00% $15,000,000,000 i-M -10.00% 10.90%-20.00% $10,000,000,000 $5,000,000,000 -30.00% FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 FY 2016 FY 2017 FY 2018 FY 2019 Reed. TAXABLE VALUES t% CHANGE OF COUNTY -WIDE PROPERTY VALUES 3 9/26/2018 $9 General Fund and Fine & Forfeiture Millage Rates 7S 77S �� $8 6.8406 6.8920 6.8920 6.8920 7.0463 7.3972 7.3915 $2 $6 $5 $4 $3 6.1651 or 6.1651 w 6.1651 — $2 $1 $0 Pine &Forfeiture Millage a General Fund Millage Ad -Valorem Revenues I �-�' ` �e Forfeiture Ad Valorem Revenue Budget $180,000,000 160,721,221 154,503,180 157 226,906 $10,000,000 142,266,938 133,079,397 129,014,919 $140,000,000 120,695,596 $120,000,000 , 105,201,912 99,555,788 103,091,669 $100,000,000 $80,000,000 — $60,000,000 $40,000,000 $20,000,000— $0 Budget Budget _ Burge[ Budget Budgrt Budget Butlga! Budget Budget Budget Budget Budgrt iotel BF a FF gtl valorem saxes 15]y6,906 ]33,m9,39] 303;a .— NAM,— rIAM,63e 109,s90,us 1x9Aig,939 Source: Banner and GovMax Financial Systems 8 9/26/2018 - o ange a ion 12.00% 10.00% Taxing Property 8.00% Authority City of Port Value $100-125K* Proposed 31t Homestead Exemption $75-100K Taxable (No Exemption) $50-75K* 2°1 Homestead Exemption $25-50K Taxable (No Exemption) $0-$25K 111 Homestead Exemption St. $9.8 Billion d Value • A statewide referendum for a Constitutional Amendment will be on the November 2018 ballot. • Currently, property owners eligible for homestead exemption receive an exemption up to the assessed valuation of $25,000. An additional $25,000 exemption applies to the property value between $50,000 and $75,000. The proposed amendment would also exempt the assessed valuation greater than $100,000 and up to $125,000. 10 5 9/26/2018 • If adopted, this be effective January 1, 2019 and will impact our budget beginning in FY 2020. • This referendum requires a 60% approval rate. • The passage of this bill would require each non -school taxing authority to either reduce services or increase millage rates or a combination of both. • St. Lucie County has 166,371 parcels of property. 43,475 (26%) are homesteaded and assessed value over $100,000. The other 74% of the parcels would experience reduced services and/or increased millage rates, with no offsetting benefit. • Third Homestead Exemption Estimator: www.3hxestimator.org 11 Fund Balance/Reserve Levels M. 9/26/2018 120 6.8 100 80 Combined 60 5112.3M $105.5 40 20 0 FY 2010 Beginning Bal BALANCE FORW �PARISON GENERAL FUND/FI FY 2010 TO FY 2017 IN MILLIONS Combined Combined ., $12.4 $64.5M $62.1M $45.5 $49.7 Combined/ $6.3 $55.6M FY 2015 Ending Bal. FY 2016 Ending Bal. Gen. Fund Fine & Forfeit Use of Balance Forward $49.3 FY 2017 Ending Bal. 13 Description Amount 2017 Ending Fund Balance $55.6 Million Less: Reserves* $36.5 Million Net Balance $19.1 Million Less: 2018 Reliance on Reserves $3.8 Million Less: 2018 One Time uses $4.9 Million Less: 2019 Reliance on Reserves $1.8 Million Budget Stabilization Balance** $8.6 Million * A portion of the transportation reserves will be utilized during FY 18 and will not be replenished at this time. ** Emergency Repairs may deplete or exceed this balance. 14 7 9/26/2018 Challenges • Competitive Employee Compensation • Budget Stabilization • Deferred Maintenance on Facilities and Roads 16 9/26/2018 ;... • School Resource Officers (SROs) • Storm Impact on Reserves and Infrastructure • Impact of Additional Homestead Exemption • Department of Juvenile Justice Increase 17 Priorities • Financial Sustainability • Budget Stabilization • Hurricane Damage • Sales Tax Initiative • Impact of Additional Homestead Exemption • Public Safety • Infrastructure 18 M 9/26/2018 1 * Gene Fund/Fine & Forfeiture Fund Ad Valorem Revenue $180,000,000 160,721,221 154,503,180 157,226,906 $160,000,000 142,266,938 133,079,397 $140,00g00o 129,014,919 120,695,596 $120,000,000 103,891,893 97,838,638 109,590,645 105,201,912 99, 555, 788 103,091, 669 $100,000,000 $80,000,000 $60,000,000 $40,000,000 a.as.r a ac.ra evase< a ea•� evasn a as.r a ea.r a �e< avae.r a as.r wnoa, evae.� avaean xe<a euas.r om srarrna wiw.mr...: iaasaisan M,N nipslao Source: Banner and GovMax Financial Systems 19 Note: Sheriff data shows adopted budgets excluding excess tees • Historically, SLC and the School Board partnered (50%-50%) to fund the program • In 2010, the # of deputies was reduced from 43 to 23 when the School Board discontinued funding • A couple of years ago, the School Board began contributing $400,000 to the program • Since the time the School Board discontinued contributions, the BOCC has funded just under $18 million • Florida Sheriff's Association surveyed Florida counties, indicated St. Lucie County School Board funding at 11 % (the lowest of the 31 respondents) 20 10 9/26/2018 Pr cted F 2019 Incremental Changes Incremental Recurring Revenues Property Taxes (7.5% value increase as of 6/1/18) $10,105,643 Law Enforcement MSTU Increase (to W) $373,444 Less: Mandated Medicaid Increase ($347,981) Less: Mandated State Attorney IT (Art V, Rev 7) ($158,895) Less: Estimated CRA Increase ($727,500) Less: Adjustment for Tax Collector Fees ($581,250) Net Proceeds $8,663,461 Less: Budget Stabilization (Year 4 of 5) ($2,000,000) Net available for allocation $6,663,461 Additional Revenue from property values (8.6%) $1,500,000 Note: The above table represents general fund and fine and forfeiture funds only FY-19AIlaard and Other Agee_ Requested Needs Incremental Revenue $ 6,663,461 Sheriff (Fund 001 and 107) $ 7,119,280 Sheriff- SRD (Fund 001 and 107) $ 6,068,859 Clerk (Fund 001) $ 1,898,384 Property Appraiser $ 177,137 Medical Examiner (Fund 107) $ 40,435 Public Defender (Fund 001 and 107) $ 27,027 State Attorney Oper (Fund 107) $ 28,472 Non -County Agencies (Fund 001 and 107) $ 174,740 Subtotal — Other Agencies $ 15,534,334 FRS Increase $ 197,230 Health Insurance Increase (9%) $ 591,744 2% COLA $ 470,301 Existing Funding Shortfalls $ 717,528 Departmental Requests $ 5,762,574 Subtotal- BOCC Budgets $ 7,739,377 Board and Other Agency Issues (less) $ 23,273,711 Revenue Balance ($ 16,610,250) 11 9/26/2018 u ge tions • 50% of the incremental revenue, $3.3 M, allocated to the Sheriff's office for public safety needs • $399,455 toward other agencies that the county funds • Shortfalls for existing programs: $717,528 • $2,214,748 for Board allocations, allocated as follows: • $1,259,275 for 2% COLA, insurance, and FRS increases • $955,473 for BOCC operations/capital 23 Incremental Revenue Sheriff (including SRD) Clerk (Fund 001) Property Appraiser Medical Examiner (Fund 107) Public Defender (Fund 001 and 107) State Attorney Oper (Fund 107) Non -County Agencies (Fund 001 and 107) Subtotal — Other Agencies FRS Increase (BOCC) Health Insurance Increase (9%) 2% COLA Existing Funding Shortfalls Departmental Requests Subtotal- BOCC Budgets Board and Other Agency Issues (less) Revenue Balance $ 6,663,461 $ 3,331,730 $ 17,384 $ 177,137 $ 40,435 $ 27,027 $ 28,472 $ 109,000 $ 3,731,185 $ 197,230 $ 591,744 $ 470,301 $ 717,528 $ 955,473 (including clerk maint.) $ 2,932,276 $ 6,663,461 ($ 0) 12 9/26/2018 • Additional Revenue Available $1,500,000 • 50% Sheriff • Additional Funding for SROs $300,000 • Reserved pending outcome of November Ballot issues $450,000 $750,000 • 50% BOCC & Other Agencies • Other adjustments from budget workshops $163,520 • DJJ State Mandate Increase $337,843 • Reserved pending outcome of November Ballot issues $248,637 $750,000 25 Unmet Needs 13 9/26/2018 • Sheriff's Budget Request ($ 3.7 million) • FY 19 Budget Stabilization ($ 1.8 million) • FY 19 Department Budget Requests ($ 5 million) • Public Works Priority Infrastructure Projects ($ 85 million) • Erosion Reserves Shortfall ($ 4.5 million) • Mosquito Control Reserves Shortfall ($ 4 million) • Storm Impacts ($ 20 million) • Fully Implementing BOCC Pay Study ($ 4 million) • Potential Recurrina Revenue Loss ($ 8 million) ($136 million) 27 . -� County Repaving Projects Priority Projects Prima Vista Boulevard (Airoso Boulevard to US 1) Header Canal Road (S.R. 70 to Orange Ave) Atlantic Beach Blvd (Shorewinds Drive to Southern Terminus) Johnston Road (Angle Road North to Chip Seal Section) Avenue Q (Angle Road to North 25th St) Kanner Drive (South 7th Street to Oleander Avenue) Bimini Drive (Flotilla Terrace to Western Terminus) Marina Drive (North A1A to Western Terminus) Bermuda Beach Drive (Flotilla Terrace to Western Terminus) Midway Road with Guardrail (Glades Cut -Off Road to S.R. 70) Carlton Road (S.R. 70 to South to Chip Seal Section) North Boulevard (Emerson Avenue to Eastwood Drive) Delaware Avenue (US 1 to Hartman Road) Orange Avenue with Guardrail (Graves Road to County Line) Dar Road (Lookout Blvd) (Dar Lane to Vikings Lookout Gate) Range Line Road (Glades Cut -Off Road to County Line) Easy Street (US 1 to Eastern Terminus) San Diego Avenue (North 41st Street to North 53rd Street) SE Festivo Court (Selva Court to Calmosa Drive) East Seminole Road (North Boulevard to Miramar Ave) Flotilla Terrace (Shorewinds Drive to Northern Terminus) West Seminole Road (North Boulevard to Hibiscus Rd) Glades Cut -Off Road (Commerce Center Drive to Carlton Road) Shinn Road (Orange Avenue to Midway Road) Glenview Avenue (South 7th St to US 1) Sneed Road (S.R. 70 to Orange Avenue) Gordy Road (S.R. 70 to Southern Terminus) ST. LUCIE 28 14 9/26/2018 Ea-Z"W--7- County Bridge Replacements Priority Projects Gordy Rd Bridge over Ten Mile Creek Keen Road Bridge over Taylor Creek McCarty Road Bridge over Ten Mile Creek South Old Dixie Highway Bridge over Taylor Creek County Culvert Replacements Priority Projects 29 • Easy Street at NSLRWCD C-17 Rock Road at NSLRWCD C-48 • Johnston Road at Canal 1 Selvitz Road at NSLRWCD C-102 • Johnston Road at FPFWCD C-8 South Header Canal Road at NSLRWCD C-68 • Johnston Road at FPFWCD C-16 Johnston Road at FPFWCD C-16 (Repair) • Johnston Road at FPFWCD C-17 Midway Road at NSLRWCD C-22 (Repair) • Midway Road at NSLRWCD C-84 • Midway Road Cross Drain East Savannahs Park (Repair) • Midway Road at NSLRWCD C-92 • Schumann Road at NSLRWCD C-59 (Repair) • Orange Avenue at NSLRWCD C-54 • South Header Canal Road at NSLRWCD C-69 (Repair) • Orange Avenue Culvert at MP 2.2 - 4.0 ST. LUCIE 30 15 9/26/2018 Water Quality Priority Projects Priority Projects • Harmony Heights - Phase 1 North • Indian River Estates - Phase 3 • Lakewood Park Stormwater Improvements • Melville Road — Phase 1 • Paradise Park — Phase 4 (Final) • San Lucie Plaza — Phase 213 ST. LUCIE 31 UNM Roadway Priority Projects Improvement Priority Projects • Edwards Road (U.S. 1 to Oleander Avenue) • Emerson Avenue South Restoration (Indrio Rd to Immokolee Rd) • Old Dixie Highway Permanent Repair (Non Structural) • Prima Vista Boulevard Beautification (U.S 1 to Airoso Boulevard) ST. LUCIE 32 16 9/26/2018 - • UNMET NEEDS Intersection Improvements Priority Projects • Oleander Avenue at Farmers Market Intersection Improvements • Glades Cut -Off Road at Selvitz Road Intersection Improvements • Traffic Signal Upgrades • Traffic Communications Conduit and Fiber ST. LUCIE 33 ow pr UNMET NEEDS Sidewalk Improvements Priority Projects • Bell Avenue Sidewalk (Oleander — 25tn) • Juanita Avenue Sidewalk Phase 3 (Bridge - US1) • Oleander Avenue Sidewalk (Midway - Market Ave) • Oleander Avenue Sidewalk (Midway - Saeger) • St. James Drive Sidewalk (Royce - Lazy River) • Walton Road Sidewalk (Lennard - Green River) TOTAL PROJECTS UNMET NEEDS $85M ST. LUCIE 34 17 9/26/2018 ruth in a Requirements • July 24 — Set Maximum Millage Rates • No Later Than August 24 - Property Appraiser mails property tax notices to property owners • September 6 - First Budget Hearing • September 20 - Second Budget Hearing 35 MCITIZEINS'BUDGET COMMITTEE AUGUST 17, 2018 FY 2018-2019 RECOMMENDED BUDGET St. Lucie County Citizen Budget Committee Resolution 2018-02 Recommendation on the Proposed Sales Tax Initiative WHEREAS, the St. Lucie County Citizens Budget Committee ("Committee") met on August 17, 2018 to review the sales tax recommendation; and, WHEREAS, the Committee discussed in length the financial position of the County and the state of the County's infracture; and, WHEREAS, as a result of these discussions, the Committee has the following concerns: 1. The infrastructure needs of the Cities and County. 2. The current 75 year repaving schedule needs to be reduced to a 25 year schedule. NOW, THEREFORE, BE IT RESOLVED by the St. Lucie County Citizens Budget Committee as follows: 1. The Committee unanimously endorses the Y2 cent sales tax initiative, that sunsets after ten years and provides funds for infrastructure. 2. A copy of this resolution shall be provided to the Board of County Commissioners, the County Administrator and the Management and Budget Director. PASSED AND DULY ADOPTED this 17th day of August, 2018. ATTEST 41U u c(lL 2:21ct,& Brenda Marlin, Recording Secretary St. Lucie County Citizens Budget Committee BY: Uvid Richard Pancoast, Chairman • , • • Pnena Ctj Olt • • > $5 illion in Annua . • Consumer Spending > 485 000 Direct Jobs Fo n�l i Recreation has long served as > $3.5 Billion In State rtEt an economic driver in Florida, &Local Taxes No IGO `ate` uuml as the state remains a major q destination for national and R°"°a°� , international tourism. > $17.9 Billion In Wages ' Outdoor Industries Association, 2017. The Florida Outdoor Recreation Economy Report The Cross Florida Greenway had the greatest local economic impact totaling $277 million. �$101,000 °off X 1,000 DIRECT LOCAL Z VISITORS IMPACT zibid Every $1 spent on walking paths and programs could save approximately $3 in medical expenses (American Heart Association) Updated 1 /2018, Florida Office of Greenways and Trail_, "The West Orange, Little Econ, and Cady Way trails in Orange County supported 516 jobs and an estimated economic impact of $42.6 million in 2010." East Central Florida Regional Planning Council (2011) > Every $1 million spent on trails yields 9.6 jobs (University of Massachusetts, 2011) Trails add value to new homes and are consistently among the top 4 community amenities sought by prospective Hex homeowners of all ages (National Association of Homebuilders, 2016). - - _ A 2011 study by the University of Cincinnati found that homes within 1000 ft. access to the Little Miami Scenic Trail increased in value by $9K. The scenic, multipurpose trail beckons walkers, hikers, skaters and bicycle enthusiasts and also has horseback riding paths. The 2017 Outdoor Recreation Participation study highlights the tight link between recreation and tourism in Florida, determining: of Florida's tourists of tourists are of all Florida visitors • believe that outdoor 40 satisfied with ' participate in nature - recreation is important outdoor recreation based activities during to them. opportunities in their visit the state. (Visit Florida, 2012). Trails boost fitness and well-being, a connection with the outdoors and economic growth. Visit www.dep.state.fl.us/gwt/ to find trail near you.