07-20-2006 VC B WS-MMINUTES OF THE BUDGET WORKSHOP SESSION
VILLAGE COUNCIL OF NORTH PALM BEACH, FLORIDA
JULY 20, 2006
Present:
David B. Norris, Mayor
Dr. Edward M. Eissey, Vice Mayor
William Manuel, President Pro Tem
Charles R. O'Meilia, Councilman
Judy M. Pierman, Councilman
Mark Bates, Village Manager
Melissa Teal, Village Clerk
ROLL CALL
Mayor Norris called the meeting to order at 7:00 p.m. All members of Council were present. All
members of staff were present, except the Village Attorney. The purpose of the meeting was to discuss
the proposed budget for fiscal year 2006-2007.
REVISION
Page 90, 4th bullet: "Improving physical condition of Club Administrative Office..." was deleted, as this
is being done in the current year.
COUNTRY CLUB BUDGET -GOLF
Discussion took place on membership rates with regard to one-year only discount for existing members.
-~- The Council discussed summer golf rates and possible rate adjustments.
Mr. Bates discussed the golf course opening date and its impact on the budget.
Brief discussion was held on the driving range lights.
Mr. Bates reviewed golf expenditures for materials, supplies, and fertilizers, and discussed the investment in
landscaping, cart paths, instructional and promotional programs. Discussion ensued on how charges for
lessons are accounted for, with reference to a handout detailing other revenue and operating costs by line-item
Discussion was held on the walking fee. Mr. Bates noted that walking is restricted to members only, and
that juniors are only allowed to walk and may only play in the afternoon, depending upon availability. It
was requested that pull-carts be available for rental to walkers. Mr. Bates will ensure that some new pull-
carts are purchased, if necessary.
Brief discussion was held on shotgun starts. It was determined that this is an issue for the Country Club
Advisory Board to resolve.
Discussion took place on having a GPS system available on some golf carts. Mr. Bates reviewed the cost
and funding of various GPS systems and noted that the specific type of GPS system to be used has not
been determined and would be brought back to the Council for approval.
Mr. Bates explained the increase in the budget for printing and binding costs includes new score cards and
promotional brochures to be used for marketing the course.
MINUTES OF BUDGET WORKSHOP SESSION HELD JULY 20, 2006
The annual charge for resident ID golf cards was discussed. Mr. Bates explained the necessity for annual
updating of resident information and the ability to easily identify the current year's card.
COUNTRY CLUB BUDGET -TENNIS
Discussion took place on revenue for guest fees. Mr. Bates reported that most of the revenue is coming
from team play, not guest fees. Mr. Bates explained that "other" revenue is comprised of lessons given by
the director and pros, tennis shop sales, vending commissions, and court rentals. Mr. Bates reviewed the
procedure for tracking revenues and expenses for lessons.
Discussion ensued on the increase in utilities, which is primarily due to a 40% - 50% increase in water rates.
Discussion was held on the proposed tennis rates and the need for improvements to the tennis facility -
building, walkways, and bathrooms. Brief discussion ensued on the possibility of obtaining a funding
commitment for a new building in exchange for a naming opportunity, if an architectural rendering were
available.
COUNTRY CLUB BUDGET -FOOD AND BEVERAGE
Discussion took place on the air conditioning at the Country Club restaurant. Mr. Bates noted that
$15,000 has been budgeted for a supplemental air conditioner in the restaurant dining room.
RECESS
The meeting recessed at 9:10 p.m. and reconvened at 9:15 p.m.
COUNTRY CLUB BUDGET -ADMINISTRATION
Discussion took place concerning adjusting the salary range and pay grade of the Country Club Director.
An adjustment will be considered in the FY 07-08 budget year, after re-opening of the renovated golf
course. Mr. Bates reviewed the golf attendant and apprentice positions.
Discussion was held on charging the Country Club for administrative services provided by the Finance
Department. An administration allocation charge of $100,000 was considered, as was engaging a
consultant in the coming year to determine the appropriate charge. Mr. Bates noted that all proposed
budget adjustments will be voted on in September.
GENERAL FUND BUDGET
Mr. Bates gave an overview of the financial condition of the Village, and noted that the General Fund
presently contains $4.5 million unappropriated surplus, with a proposed budget of $20 million. Mr. Bates
reviewed major budget costs, which include salaries, benefits, energy costs, and insurance, and advised
that the overall 10% increase in the budget is due primarily to those items. Mr. Bates noted that Public
Safety, Public Works, and Leisure Services comprise about two-thirds of the budget. Mr. Bates reviewed
the budget for Council and Village Manager contingency.
Mr. Bates referred the Council to pages 11 - 12 for an overview of the General Fund Budget capital plan
and operating highlights. Mr. Bates discussed the addition of computers to the dais in the Council
`" Chambers, which would allow Council to view the agenda and backup electronically, along with any
presentations, during the meeting. Mr. Bates advised that the equipment could be used for meetings
between staff and others during the day, as well as employee training.
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MINUTES OF BUDGET WORKSHOP SESSION HELD JULY 20, 2006
TENTATIVE MILEAGE
Mr. Bates recommended a decrease in the millage rate from 6.8 mills to a tentative millage rate of 6.6,
-~ with the option of lowering it further to 6.5 mills. A resolution setting the tentative millage rate will be
adopted at the July 27th Regular Session, after which the millage may not be increased above the tentative
rate, although it may be lowered. A decision on the final millage rate will be made in September.
ADJOURNMENT
With no further business to come before the Council, the meeting adjourned at 10:00 p.m.
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Melissa Teal, CMC, Village erk