HomeMy WebLinkAbout10 15 10Minutes
CITIZENS’ BUDGET COMMITTEE
Meeting Date: October 15, 2010
Conference Room 3
Meeting convened at 7:30 a.m.
MEMBERS PRESENT: Carl Hensley, Chair
Craig Mundt
Richard Pancoast
Edith Hepburn
Edward Lounds
Patricia “Pat” Ferrick
Bill Hammer
Ron Knaggs
John Culverhouse
Patti Tobin
Jay L. McBee
Randy Ezell (7:32)
MEMBERS ABSENT: Ryan Strickland
Dan Kurek
Dana McSweeney
OTHERS PRESENT: Lee Ann Lowery Fritz Georges
Don West Jennifer Hill
Marie Gouin Linda Cox
Kathryn Hensley Mark Satterlee
Mike Monahan John Ferrick
Michael Quinn Robert O’Sullivan
Jim David Eva O’Donnell
Beth Ryder Audrey Jackson
CALL TO ORDER
Mr. Hensley called the meeting to order at 7:30 a.m.
TH
APPROVAL OF MINUTES – SEPTEMBER 17 MEETING
Mr. Mundt made a motion to approve the minutes. The motion was seconded and
unanimously approved.
UPDATE: SMALL BUSINESS CONCERNS; CODE REGULATIONS & PERMITTING
PROCESS – Linda Cox, Executive Director, Chamber of Commerce
Ms. Cox thanked the Committee for having her. She reviewed the Committee’s concerns
and told them she had met with Ms. Outlaw and Larry Pelton earlier in the week. They are
Citizens’ Budget Committee
October 15, 2010
Page 2
going to create a task force to look at the permitting process. They wanted to invite
someone from the Committee to sit on that task force. Ms. Outlaw had volunteered Mark
Satterlee to join them. They will use the Chamber’s Governmental Affairs Committee to
recruit additional members. They will review the process to see where they can make
things easier for businesses to move forward with expansion. One thing they discussed
was to defer compliance of codes not related to health and safety. The Chamber,
Economic Development Council (EDC), St. Lucie County and Workforce Solutions have a
program called BRE which stands for Business Retention Expansion. She feels it has not
been as effective the last couple years because of software and server tools. They met a
month ago to retool what they are doing. She thinks it will be easier to identify businesses
that are ready to expand, but need some help. She hopes to have the first meeting of the
task force within 30 days. Mr. Mundt volunteered for the position. Ms. Ferrick asked if Ms.
Cox would advise the Committee of the meeting times. Ms. Cox will contact the secretary.
Mr. Lounds asked if the situations of the banks affect the issue. Ms. Cox answered that it
may be another issue. As they go through the procedure, they hope to identify businesses
that have gone through the process so they can hear first-hand what the challenges were.
They hope to have someone from the banking industry on the task force. Mr. Hensley
asked about deferring compliance. Ms. Cox answered that it would be part of what they
look at. She gave an example of a company that had to put a wall around their dumpster
in order to expand. It was expensive and did not affect expansion. They will not know
what they can or can’t defer until they get into the process. They want everything to be
safe and make sense. Mr. Mundt gave an example of not obtaining a Certificate of
Occupancy (CO) until the sidewalk is complete.
Mr. Hammer asked if the Chamber works with an expanding business to see if our current
workforce could be upgraded to meet the need. Ms. Cox explained that when she refers to
expansion she means a business that is currently operating in St. Lucie County not
recruitment. Mr. Hammer said it would apply if the expansion requires additional staff and
they had special needs. Ms. Cox said it would be identified through the BRE program.
They do an assessment. Mr. Hammer expressed his confidence in Ms. Cox.
Mr. Lounds asked when the meetings would occur. Ms. Cox does not know. She hopes
the first meeting will be within 30 days. They got some volunteers from the Governmental
Affairs meeting earlier in the week. She wants to send a notice to her Board. Mr. Lounds
asked if the first meeting is a planning meeting or would she want businesses that are
trying to expand to attend the meeting. She is open to having a business trying to expand
attend the meeting. She definitely wants someone who has been through the process to
educate them. They can contact Ms. Cox for information. She hopes to have seven to 11
folks on the committee. She does not know who will be on the committee yet. Mr. Satterlee
suggested there be a design engineer on the committee. Ms. Cox hopes to also have a
land use attorney.
UPDATE ON REALIGNMENT – Lee Ann Lowery
Citizens’ Budget Committee
October 15, 2010
Page 3
Ms. Lowery said they are still in the process of taking 18 departments down to nine. It has
been a challenge to do it parallel to the budget process. Occasionally, the two cross. She
thinks they are through the messiest part. She referred to the attached memo. By working
together Environmental Resources and Cooperative Extension will be able to provide
some educational outreach programs. They are delaying a small capital project to keep
one person on staff for a year while trying to obtain a grant.
The savings from the Housing and Community Services consolidation are primarily from
the libraries reduced schedules. Grant funding was identified for some housing positions.
Ms. Lowery thinks they have found some synergies.
All of the changes have a domino effect. All the former directors and some managers had
to take a pay cut. Sometimes the reorganization had to shift because of budget cuts.
Parks and Recreation and Central Services are both staff and equipment heavy. They are
finding synergies relating to use of staff and maintenance of equipment. The goal is to get
the north and south manager familiar with each other’s facilities.
It is not unusual for budget and personnel departments to report to the top administrator.
Phase IV will be more complex. When the alignment is completed the Public Works
Department’s annual budget will be $83,000,000+. They have already identified some
opportunities. Mr. West added that they have seen some opportunities with maintenance
of heavy equipment for Solid Waste and Road and Bridge. They are getting a better
system for inventories and scheduling.
Ms. Lowery said the reorganization is painful, but they are finding some synergies and
opportunities. She credits staff. They could have taken a hands-off approach. But the
Directors have tried to bring the combined departments together.
Mr. Lounds asked when it would be completed. Ms. Lowery said mid-November. Mr.
Lounds asked the total savings. Ms. Lowery answered over $2 million. Mr. Lounds said it
still would not be enough for 2013. Ms. Lowery said most of the savings were already
figured in FY11’s budget.
Mr. Mundt asked if Grants moved to Human Resources with Mr. Hoeffner. Ms. Lowery
answered that Grants will be combined with OMB. Mr. Hoeffner is the interim Human
Resources Director. That position is posted. Grants will stay with Ms. Gouin.
Mr. Knaggs asked what is done on a monthly basis to check performance. How do you
compare budget to actual? Ms. Lowery answered that everything starts with the plan. The
budgets were consolidated. OMB and the Directors monitor the budget. Most of the
departments have fiscal accounting people that pay their bills. Ms. Gouin’s analysts are
divided by departments. So there is a second tier of monitoring. Mr. Knaggs thinks the
budget should be monitored and driven down. The boss would have to be involved on a
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October 15, 2010
Page 4
frequent basis. Ms. Gouin said the Directors meet monthly with an Administrator. Ms.
Lowery added that all the Directors know the goal is to save money, which saves jobs.
Most of the operating budgets are down to what it takes to get things done. She has had
to intervene between Directors arguing over who should pay. There is no fluff in the
operating budgets. She gave credit to the departments. If they see a way to save a
program, they are doing it. They are very aware of what is coming. Mr. Knaggs hopes the
fresh eyes of new Directors would be an advantage. He asked about the system for red
flags. Ms. Lowery answered that a new Purchasing Policy Manual was recently approved
that places more responsibility on the Director and Administration. There are guidelines
for the process to change things in the budget that was approved. If there is an
unexpected cost, something else has to go or it has to come from the Board’s Contingency
Fund. It would have to go to the Board for approval and nobody wants to go to the Board
for money from Contingency. Ms. Gouin added that an example from government would
be a piece of equipment, such as a mower, going out. If they cannot get the job done, they
have to justify it and go to the Board. There is an allocation for Contingency on an annual
basis.
Ms. Ferrick has a problem with consolidating Parks and Recreation and Central Services.
She thinks Central Services should be stand alone. She thinks there is too much
responsibility placed on one person. Ms. Tobin said Port St. Lucie has been doing it
successfully for years.
Mr. Mundt asked about the next step for addressing the shortfall for 2013. Ms. Lowery
answered that one of the topics for November is Preparation for FY 12 Budget Process. It
is pretty much a constant process now. It is stressful for staff. But we can’t let go. Mr.
Mundt asked about Strategic Planning with the Board. Ms. Lowery said it always starts at
staff level. They try a bottoms-up approach. The ones who know the front-line best can
make suggestions. They get better information on the impact. Mr. Mundt asked it they
would see it while in process. Ms. Lowery is sure they will.
Mr. Lounds asked how County Administration is monitoring staff’s ability to provide
services to the community. Certain things are not being done or being done differently as
a result of so many being let go. Ms. Lowery said the tendency is to cut the budget but not
the services. She praised Ms. Outlaw for being very clear with the Committee and the
Board that there will be cuts to services. Every time a cut was proposed, the impact was
identified. She has been supportive of the cuts to services that Directors have proposed.
They have been trying to balance it. She gave the example of Pack it Out Parks. Ms.
Lowery sees staff not wanting to let go. They want to continue the services. Mr. Lounds
asked if there was much push-back in other departments. Ms. Lowery said she wouldn’t
call it push-back but the reduced hours in the libraries have resulted in communication.
Citizens have offered assistance. They are trying to raise the money. There was an
excellent bid for the expansion of Hurston Library, but the expansion comes with larger
operating costs. The Friends of the Library have agreed to fund the extra costs for two
years if the County goes ahead with the expansion. She wouldn’t call it push-back but
willingness in some cases to try to make a difference, not just complain. This is real.
Citizens’ Budget Committee
October 15, 2010
Page 5
Money can’t be found in the General Fund.
Mr. Lounds asked what happens if you have to replace a culvert. Mr. West answered that
they work with OMB. First they look at reserve funds. They have been able to get through
some past years, but that is becoming more difficult. Ms. Lowery added that it pushes
something else back. Transportation Trust Fund dollars are scheduled, but emergencies
push things back.
Ms. Ferrick said the ditches along Midway Road corridor have not been maintained. That
is the main drain for water in St. Lucie County. Over 50%, by gravity flow, goes into the
North Fork. If the ditches are not cleaned, it will flood everybody. She brought it to the
attention of a couple Commissioners. She knows we are cutting back, but for the health
and safety of the people of St. Lucie County the ditches had better be cleaned. We have
been fortunate that we have not had a tropical depression. She is very concerned about
the danger.
Ms. Ferrick expressed her concern about Pack it Out Parks. She thinks there will be
health and sanitary issues. Other countries and the nation are not the same as St. Lucie
County. Ms. Lowery told of a community that was concerned about their neighborhood
park and offered to help. Ms. Brisson is meeting with their Homeowners Association
(HOA). Mr. Lounds said they would become aware of what it takes.
Mr. Mundt asked if the Historical Museum is on track to reopen. Ms. Lowery said it is.
They are hoping to finalize the agreement next week. Attorneys have delayed the process.
Ms. Lowery explained the inventory process. There will probably be some training days
before the facility is turned over to the Historical Society. Mr. Mundt asked if there is any
County staff oversight. Ms. Lowery answered that there will not be staff onsite. Ms.
Brisson and the gentleman who maintains the Marine Center will be around. Ms. Ferrick
asked about the photographs being maintained. Ms. Lowery explained that the History
Center and the contents are still property of the County. The Historical Society is keeping
the doors open through volunteers. They have appointed a couple Directors to provide
oversight. They will be responsible for opening and closing the facility. Mr. Culverhouse
believes the photographs are digitized. A camera security system is being installed.
Mr. Hensley asked about the liability of turning over the libraries, beach cleaning and
Historical Center to volunteers. Ms. Lowery said they are doing a Facilities Use Agreement
with a non-profit for the Historical Center. The group will provide insurance. The County
asked them to check on insurance on the contents. It was prohibitive. Mr. Culverhouse
added that some of the items are on-loan. Ms. Lowery agreed and added there are
thousands of items owned by the County, some not on display. Ms. Ferrick asked about
the agreement. Ms. Lowery will provide a copy to the Committee. Ms Lowery has been
working with Nancy Bennett and she has done a good job. Mr. Culverhouse said keeping
the museum open will help to keep the contents safe.
Mr. Hensley said the only advantage he has heard is saving money. He asked about the
Citizens’ Budget Committee
October 15, 2010
Page 6
disadvantages. He questioned if the County should be giving up control. Ms. Lowery said
if there is a group like the Historical Society that would like, rather than close it or reduce
the service, to try, she thinks it is worth the effort to try. There is no guarantee that it will
be successful. Some work great, some not. But she feels that she has an obligation to try.
We are still responsible for the Historical Center. The obligation of maintaining the
building and the grounds would remain even if the doors were closed. Mr. Mundt added
that the UDT Seal Museum has been operating with a Facilities Use Agreement with the
County for 25 years. It probably was the model and has worked well. Mr. Mundt gave
kudos to County staff for maintenance.
Ms. Ferrick expressed her concern about young children in parks where the restrooms are
closed. Ms. Lowery clarified that not all parks are being changed to Pack it Out Parks.
There are 10 and they are neighborhood parks. They are within walking distance of the
neighborhoods they serve. Only four of the 10 have restrooms that are being closed. One
of the four, Maravilla, is being turned over to the City of Fort Pierce in January.
UPDATE ON FY11 FINAL BUDGET ADOPTION PUBLIC HEARING – Marie Gouin
Ms. Gouin informed the Committee that the Board adopted Option 1, which is the amount
that was on the Truth in Millage (TRIM) notices and what the Committee recommended.
That generates about $11.2 million all together; $1.5 million will be put in reserves for
FY12. Over $8 million will be used to balance the Fine and Forfeiture Fund. Mr. Pancoast
asked if that was one year’s number. It is, so there will be a double impact. OMB is doing
closeout so the final number has not been trued up. They hope to have the number for
Ms. Outlaw’s presentation in November. Ms. Outlaw is looking for ideas for next year.
Mr. Knaggs asked if they will have a new estimate from the Property Appraiser’s office for
the November meeting. Ms. Gouin will check. She did check before the public hearing.
Mr. Rahal said at the time it still looked like five to six percent to him.
OTHER ISSUES
Mr. Knaggs asked if there is a review of the County’s surplus assets. Ms. Lowery
answered that items are being identified for a possible spring auction. The Property
Appraiser and Tax Collector may be involved. Mr. Knaggs asked about real estate. Ms.
Lowery said most of the real estate was purchased with a grant. If they sell it, the money
goes back to the State. Most of it came with obligations. There are some surplus lots that
they are trying to get rid of. Some are not buildable. It was recommended by the Blue
Way Committee to let one property go back to the State because of maintenance. The
State doesn’t want it back. Some grants are being renegotiated.
Mr. Lounds expressed his thanks for what the Board, Sheriff’s Department and the School
Board did to resolve some School Resource Officer issues. He is glad all three groups
have a vested interest.
Citizens’ Budget Committee
October 15, 2010
Page 7
Mr. Lounds asked Ms. Lowery to bring them up to date on the health clinic based on the
current number of employees versus 1,000 employees. We are moving ahead and
revising the figures. Ms. Lowery will get an update. Mr. Lounds asked if any other groups
had joined to increase the numbers.
Ms. Ferrick expressed her support for Amendment 4. She feels no one is explaining why
folks should be supporting the amendment. Mr. Lounds disagreed. There was discussion
on the amounts of acres the County should have. Mr. Knaggs announced the meeting the
League of Women Voters has scheduled to discuss the issue.
Mr. Hammer said the County has a lot of investment facilities and properties. Is there
potential to lease them privately? He thinks it should be explored. Ms. Lowery answered
that they have looked at a couple properties. Many of the properties have restrictions. It is
difficult for government to compete with the private sector. The County tends to offer office
space to non-profits. Most of the space available is office space because of layoffs. Mr.
Hammer was thinking about a southern county that installed parking meters at the
beaches. Facilities may be able to be rented while retaining ownership. Ms. Lowery said
we will be exploring revenue. It is a difficult time to increase fees. Mr. Hammer explained
that he was referring to is a commitment from a private entity that would take it out of the
County’s hands with a guarantee of sorts. Ms. Lowery said they are looking at that for the
Airport property. We are not in the business of marketing property. They are looking at
bringing in someone to help them try to lease out space at the Airport and the Commerce
Park adjacent to the Airport. There is some surplus property near the Airport that the
County has tried to sell.
Mr. Hensley reminded the group to get out and vote. There will be an election before the
next meeting. There will be one or maybe two new County Commissioners.
Mr. Hensley thanked staff and the Committee members for their time.
ADJOURNMENT
Mr. Hensley adjourned the meeting at 8:32 a.m.
Respectfully submitted by: Brenda Marlin
The next CBC regular meeting will be held on Friday, November 19, 2010, at 7:30
a.m., in Conference Room #3, at the St. Lucie County Roger Poitras Administration
Annex.