04-04-2005 VC SP WS-MMINUTES OF THE SPECIAL WORKSHOP SESSION
VILLAGE COUNCIL OF NORTH PALM BEACH, FLORIDA
_ APRIL 7, 2005
Present: Dr. Edward M. Eissey, Mayor
David B. Norris, Vice Mayor
Robert F. Rennebaum, President Pro Tem
Charles R. O'Meilia, Councilman
Donald G. Noel, Councilman
Mark Bates, Village Manager
Mayor Eissey 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 Clerk and Village Attorney.
The purpose of the meeting was to discuss preparations for the upcoming budget.
Village Manager Mark Bates discussed his plan to submit the recommended budget to the
Council in early July, preceded by deliberations on personnel costs in late May, and capital
projects in June. Mr. Bates detailed items to be discussed concerning personnel services,
including pensions, health insurance, life insurance, workers compensation, and the budgetary
impact of choices related to cost of living and merit increases. Mr. Bates related that in the
development of the budget, he will bring forward a recommendation in July, based on Council
guidance regarding special projects and levels of personnel services, which the Council will
consider in July and August. Mr. Bates proposed setting the tax rate in July, and expressed his
goal to lower the tax rate without impacting the level of service in the Village.
Mr. Bates suggested that Council focus primarily on personnel services and benefits, and capital
projects and capital costs, rather than operating costs, since personnel services is the largest cost
and most valuable resource, while special projects and capital equipment have the most direct
impact on residents.
Mr. Bates recommended that Council set a millage rate in July, which would be the maximum
rate that could be imposed, but, under State law, could be reduced in September at the time of
adoption of the budget and final millage rate.
Mr. Bates explained the purpose of a budget narrative, which provides information about what is
done and why, and what will be done in the next year to improve the quality of service provided
to residents. Mr. Bates advised that there will be a budget narrative for each department, and a
budget narrative for the entire Village, which will highlight improvements and changes.
Mr. Bates reviewed the projected increase in the cost of health insurance, workers compensation,
and pension benefits in next year's budget. Mr. Bates reported on single and family coverage for
health insurance, and the amount of Village and employee contribution toward that cost.
MINUTES OF SPECIAL WORKSHOP HELD APRIL 7, 2005
Discussion ensued on health insurance, employee contributions, prescription medicine costs, and
projected medical costs for the current year compared with budgeted costs.
Mr. Bates detailed the composition of the budget document, which will include information on
significant changes within the scope of the entire budget and significant effects within any
department with regard to operations, maintenance, or capital projects.
Discussion took place concerning the schedule of budget workshop meetings to be held in July.
Mr. Bates recommended three meetings, each lasting 1 % hours with discussion to be held on
operational issues and service level issues for a group of departmental budgets at each meeting.
Mr. Bates expressed his intention to provide the budget to the Council by July 5th, with budget
workshops to follow, and determination of a maximum millage rate at the Regular Session on
July 14th. Mr. Bates discussed allotting a 2-week window during the month of July for vacations
for himself and staff, and canceling the Regular Session on July 28th. The Council determined
to hold budget workshop meetings from 7:00 p.m. to 10:00 p.m. on July 11th, 12th, and 13th,
with an additional day, if needed.
Brief discussion was held concerning balancing the budget without using the reserves, with the
draft budget to include operating costs, debt service and capital equipment but no capital
projects. Discussion ensued concerning the capital equipment plan and its impact on the budget.
Brief discussion took place on backup for revenues as well as expenses.
Discussion ensued on capital projects. Mr. Smith advised that a committee of department heads
meets each year to review capital projects. Council briefly mentioned goals and objectives as an
issue to be discussed and prioritized prior to finalizing the budget.
The Manager was directed to provide a schedule to the Council of the dates and times agreed on
for the July budget workshop meetings.
With no further business to come before the Council, the meeting adjourned at 8:45 p.m.
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Melissa Teal, CMC
Village Clerk