HomeMy WebLinkAboutRev2 18 11Minutes
CITIZENS’ BUDGET COMMITTEE
Meeting Date: February 18, 2011
Conference Room 3
MEMBERS PRESENT: Carl Hensley, Chair
Craig Mundt
Richard Pancoast
Ryan Strickland
Edward Lounds
Patricia “Pat” Ferrick
Ron Knaggs
John Culverhouse
Jay L. McBee
Edith Hepburn
Dan Kurek
Stephanie Morgan
MEMBERS ABSENT: Dana McSweeney
Bill Hammer
Randy Ezell
OTHERS PRESENT: Faye Outlaw Jerome Adams
Bill Hoeffner Mike Monahan
Don West Jennifer Hill
Marie Gouin Mark Satterlee
John Ferrick Ken Pruitt
Michael Quinn Karen Smith
Sophia Holt Robert O’Sullivan
CALL TO ORDER
Mr. Hensley called the meeting to order at 7:30 a.m.
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APPROVAL OF MINUTES – January 21 MEETING
A motion was made and seconded to accept the minutes as written. They were
unanimously approved.
FY12 BUDGET PROCESS – Marie Gouin & Jennifer Hill
Ms. Gouin gave the attached PowerPoint presentation showing the important dates during
the budget process.
Citizens’ Budget Committee
February 18, 2011
Page 2
Ms. Gouin explained the memo from Jennifer Hill and budget summary attached. There
will be changes. She listed some options for the Committee to help with the budget
process. Mr. Knaggs asked if the information included the Constitutional offices. Ms.
Gouin answered that at the present time, they only have information from the Board of
County Commissioners (BOCC) departments. The Committee can see any of the budgets
when they are received. Ms. Outlaw added that they want to find out what the Committee
desires, so they can set up a process. Mr. Knaggs believes the Committee should limit
their efforts to substantial amounts.
Mr. Mundt commented on the ups and downs in the budget and asked about the directions
given to the departments. Ms. Outlaw answered that there were no goals, but there were
guidelines. They were required to come in flat. Expenditures could be increased if
increased revenues were documented. Some increases are uncontrollable; utilities and
health insurance are examples. If there is an increase in the department’s total budget,
there will be a review with the County Administrator. There must be justification. Mr.
Mundt asked about her goal for the total budget. Ms. Outlaw answered it should be flat as
a starting point.
Mr. Lounds thinks they should look at departments as soon as possible so they could have
input at the beginning of the process. He would like to look at Solid Waste, the stadium
and golf course to see the improvements they have made. He thinks collectively the
Committee brings more to the table than smaller groups.
Mr. Hensley suggested a limited review. Mr. Pancoast said he would support Mr. Lounds’
idea and add items staff thinks they should look at. Ms. Outlaw shared her view that the
Committee would be most helpful looking at the General Fund and Fine and Forfeiture
because that is where we are most challenged. Other eyes would help. It will be a
challenging year and we need creative thought to handle the challenges that lie ahead.
Mr. Hensley asked if it was possible to start the process next month. Ms. Outlaw answered
that they would be in a position to start with the March meetings. Mr. Hensley asked if Ms.
Outlaw could bring the budgets she thought they should look at. Ms. Outlaw clarified that
“if necessary” means the department has a review with her to explain why there is an
increase and why they could not cut somewhere else. Every budget that is submitted will
be reviewed, but not every department will have to justify. Media Relations has a slight
increase so they will have a formal review.
Mr. Knaggs has been through this too much in his past life. He said Ms. Outlaw’s level will
be different than the Committee’s level. Their level should have guidelines for the amount
to review. He thinks they should look at increases and decreases. He has suggestions for
what should be reviewed. The amounts to be used for guidelines were discussed. Mr.
Hensley said that since there are fewer, combined departments, their budgets would be
larger. Mr. Knaggs mentioned the Housing budget. Ms. Holt explained the grant revenue
would have to be added.
Citizens’ Budget Committee
February 18, 2011
Page 3
Ms. Gouin reported that the Sheriff’s Office requested an extension to submit their budget
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on May 31. Mr. Kurek asked about the issues that prevent the Sheriff from submitting his
budget. Ms. Outlaw said Ms. Gouin reported what they know. Mr. Knaggs offered to call
Toby Long from the Sheriff’s Department to find out since he is the Sheriff’s representative
on the Committee. Mr. Knaggs left to call Mr. Long.
Mr. Pancoast asked Ms. Outlaw to bring what she thought would need to be reviewed. Ms.
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Outlaw said her formal budget reviews would be between March 2 and 4. After they are
completed, she will put together various operations for the Committee to look at. Mr.
Mundt asked for the toughest. Some items will be for Ms. Outlaw to review. She
appreciates the input from the Committee.
Mr. Hensley asked about the Constitutional’s budgets. Ms. Outlaw said it depends on the
Committee’s pleasure. They would need to start with the Board of County Commissioners.
The Constitutional’s budgets are not due until later.
Mr. Lounds asked if there is any feeling about unfunded mandates from the State. Ms.
Outlaw said they are watching. The Governor’s proposed budget is online. A staff
member is reviewing it. They are identifying what would impact the County if approved.
She gave an example of Veteran Affairs. There are categories but no specific programs
listed. The Governor is proposing to change the formula for some revenue sharing. That
would affect the County. The Board has a meeting scheduled for Wednesday, February
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23 at 10:00 a.m. to discuss the proposal. We may have to make further cuts in the
budget. They do anticipate an impact.
Mr. Lounds said unfunded mandates affect the Constitutionals. The County can only voice
opposition. The Committee can support the opposition to unfunded mandates. Ms. Outlaw
informed the Committee that the Commissioners plan to discuss at their special meeting
which item they wanted to object to. At the time of their January meeting, the big headline
was the proposed cut to State Parks. It appeared three Treasure Coast parks would be
impacted. There was discussion on sending a letter. The Board decided to wait. That
turned out good because it appears that after State-level discussion, there will be more
money coming to those parks. The Board wants to discuss what position they should take
before they communicate with the State and local delegation.
Mr. Hensley said the proposed budget may be a scare tactic. We need to be careful to not
jump the gun, but you can’t wait too late.
Mr. Lounds asked about a list of unfunded mandates. Ms. Outlaw said she could bring the
list that breaks down the areas that will potentially impact the County. The devil is in the
details.
Mr. Knaggs reported on his talk with Toby Long, the Finance Director of the Sheriff’s
Department. 80% of the budget is personnel. That includes the Jail. The Legislative
actions will impact that. In the other 20%, health care costs will be held flat. Fuel is a
Citizens’ Budget Committee
February 18, 2011
Page 4
major question because it is a significant portion of the remaining 20%. The longer they
wait, the better the estimate. There are at least three major bills that will impact personnel
costs.
Major Monahan said the Senate Finance Committee met the day before and discussed
doing away with the Highway Patrol. If that were to occur, which no one believes it will, it
would significantly affect a lot of things. It is just like drivers’ licenses. Mr. Kurek said that
will have an impact. The Tax Collector is not getting the fees to cover the cost. Mr.
Hensley remembered from Mr. Davis’ appearance to the Committee that he was dreading
that. He will not be able to give back as much money to the County.
Mr. Lounds said things like that, that we used to be able to count on, are no longer sure.
New expenses have to be absorbed. Ms. Outlaw has had several meetings with Mr. Davis.
They are looking at bringing the issuing of drivers’ licenses function into the Port St. Lucie
or Fort Pierce current location. Mr. Pruitt and Mr. Davis have been working on a plan to
redo some of the space they have here to accommodate that operation. The idea is to be
able to house it in an existing facility so the County does not have to rent a building.
Everybody is working to minimize the impact.
Mr. Mundt thought Mr. Lounds was going toward asking the Constitutionals to come in and
let the Committee review their budgets. Mr. Lounds does not think they should explain
their expenditures, but he would like to hear what Mr. Davis is going to have to do with the
money that he used to return to the County. Mr. Lounds wants to know about the unfunded
mandates. Constitutionals have the opportunity to go back to Tallahassee with their
budgets if they need to. He thinks it would help the Committee and BOCC if they knew
what was expected. Mr. Hensley said it would help to understand. Mr. Mundt asked Ms.
Outlaw if she could set a date for the Constitutionals to come. Ms. Outlaw explained that
there are two categories. The Property Appraiser and Tax Collector are fee based. The
Board does not have a choice. The operations of the Sheriff, Clerk of Circuit Court and
Supervisor of Elections are funded by the Board, and it has more discretion on the level.
She thinks it would make more of an impact if the Committee would look at the areas
where the Board is going to have to make the tough decisions. The Committee can look at
the Property Appraiser and Tax Collector’s budgets, but whatever they submit as cost of
providing the service is what the Board has to fund. Mr. Hensley reported the dates the
Property Appraiser and Tax Collector’s budgets are due. Mr. Lounds asked if the court
system is under the Clerk. Ms. Outlaw answered that it is. Mr. Lounds said there is
legislation coming down that would affect what the court is doing. Mr. Knaggs summed up
by saying the Committee is going to look at a high level of each budget and there was
discussion on the timing of Constitutional and department budgets.
Mr. Kurek asked about the chances of County employees paying part of their retirement.
Mr. Hensley said there is a good chance anything could happen with the budget situation.
They have no idea of how to increase revenue, so there will be a negative impact to the
employee. The situation in Wisconsin is brutal. Mr. Hensley said we are not to that stage
yet.
Citizens’ Budget Committee
February 18, 2011
Page 5
Mr. Hensley recapped that Ms. Outlaw will bring the budgets they should look at for
suggestions. If there are great increases or decreases, they would like to look at those.
Ms. Outlaw has a highlighted list. There are only nine departments but there are multiple
divisions. She used Public Works as an example. She will recommend how many to look
at, unless they want to extend their meetings. Mr. Hensley asked if there will be enough
time. She will let them know when she sees the budget requests. She should have them
by the end of February. Mr. Hensley reminded the group that they were given preliminary
numbers that may change drastically.
Ms. Ferrick mentioned the schedule of the Constitutional budgets and said they should
wait and not duplicate their reviews. Mr. Hensley repeated the dates the budgets are due
and said he hopes that is what will happen.
What the Committee would review, the pages that were distributed, and that departments
are bigger than divisions in the County were discussed. Ms. Outlaw clarified that the list is
departments. As an example, Mr. Knaggs inquired about using three words about
personnel, health and benefits, and other items for BOCC. They could probably move on
with a summary. Ms. Outlaw agreed. If 95% of the budget is personnel, they can move
on.
Mr. Hensley asked for other suggestions and if the information could be sent ahead of the
next meeting. Ms. Gouin said it would be sent at least a week before.
OTHER ISSUES
Mr. Knaggs asked how the June 13 – 17 Strategic Planning session corresponds with the
June Committee meeting. Ms. Outlaw answered that this year in Strategic Planning the
Committee will have a representative participating in the discussions. Mr. Knaggs asked if
there will be a June 17 Committee meeting. Ms. Outlaw said it was for the Committee to
decide. She recommended they not have that meeting. They had agreed to cancel the
April meeting when Strategic was planned for April.
Mr. Knaggs asked about attendance at Strategic Planning. Ms. Outlaw clarified that only
one or two representatives would be at the table, but all the others could attend. The
Committee plans to decide the representatives at the May meeting.
Mr. Knaggs asked how big the hole is. Ms. Outlaw said they are waiting for the audit which
is due the end of March. A big part of balancing the budget the last few years has been
fund balance, one-time money. When that is plugged in, they will know, based on the
favorable number the Property Appraiser gives, how much of a hole they have to plug.
Mr. Knaggs had seen the Comprehensive Annual Financial Report (CAFR) on the BOCC
agenda. He assumed it was done. The Clerk made a presentation of the award for the
prior year.
Citizens’ Budget Committee
February 18, 2011
Page 6
Mr. Knaggs thought the Fund Definition handout (see attached) was very well done. The
members need to keep that with them for referral. He asked if there was any way to put
dollar values on them. Ms. Outlaw said they could.
Mr. Lounds said historically in the United States, how the Agriculture community goes, the
County’s economy usually follows suit three to five years after. Prices are up in agriculture
commodities today, so there is hope on the horizon. It means our food prices are going
up, but it means the economy is improving.
Ms. Outlaw reported that at the Joint Meeting held in Port St. Lucie in February the entities
agreed to establish a School Deputy Resource Task Force. The meetings have been set
and are open to the public. The first meeting will be held on February 26 at the Fenn
Center. They will be every Saturday from 10:00 a.m. to noon. They will explore the
possibility of a Municipal Service Taxing Unit (MSTU), or they may come up with another
funding option. Ms. Ferrick asked if it would be better to have an MSTU. Ms. Outlaw is not
part of the Task Force. There is a tight timeline if an MSTU is to be in place for FY12.
ADJOURNMENT
Mr. Hensley thanked the Committee for their input and adjourned the meeting at 8:28 a.m.
Respectfully submitted by: Brenda Marlin
The next CBC regular meeting will be held on Friday, March 18, 2011, at 7:30 a.m., in
Conference Room #3, at the St. Lucie County Roger Poitras Administration Annex.