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08-14-2018 VC BWS-MPresent: RnT,T, CAT,T. MINUTES OF THE BUDGET WORKSHOP SESSION VILLAGE COUNCIL OF NORTH PALM BEACH, FLORIDA AUGUST 14, 2018 David B. Norris, Mayor Mark Mullinix, Vice Mayor Susan Bickel, President Pro Tem Darryl C. Aubrey, Sc.D., Councilmember Deborah Searcy, Councilmember Andrew D. Lukasik, Village Manager Melissa Teal, Village Clerk 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. Finance Director Samia Janjua, Public Works Director Steven Hallock, Public Works Manager Susanne Hachigian, Fleet and Facilities Supervisor Dennis Nentwick, Streets Maintenance Supervisor Travis Hawthorne, Sanitation Supervisor Jacolby Washington, Library Director Zak Sherman, and Communications Manager Ed Cunningham were present. PURPOSE OF THE MEETING Mr. Lukasik explained the purpose of the meeting was to give an overview of the proposed FY 2018- 2019 Public Works Department budget and the Public Works Department Five Year Capital Improvement Plan (CIP). He distributed the Capital Improvement Plan Cash Flow FY 2019-2023 and FY 2019 Capital Outlay Summary. Brief discussion ensued regarding the Infrastructure Surtax revenues and developer fees. FY 2019 SUMMARY OF BUDGET CHANGES Mr. Lukasik reviewed changes to the General Fund budget resulting in a positive impact of $20,715. No changes had been made to the Country Club budget since the last meeting. PUBLIC WORKS REVENUES Mr. Lukasik discussed revenues received from refuse collection, cardboard recycling, and Solid Waste Authority recycling revenue sharing, as follows: FY 2019 Budget FY 2018 Budget % increase / $ increase / decrease) decrease Refuse $513,500 $54000 -4.91% ($26,500) Collection Cardboard $1400 $179500 -20% ($3,500) Recycling SWA Recycling $9,000 $1600 -43.75% ($79000) Revenue Sharing TOTAL $5369500 1 $573,500 -6.45% $37,000) Village Council Budget Workshop Session held August 14, 2018 Page 2 of 4 Mr. Lukasik and Mr. Hallock explained the need for future review of commercial refuse collection rates to ensure fairness based on use. It was requested that staff check on the amount of refuse generated by medical facilities. A question was raised regarding whether residential recovery residences with multiple adults should pay more for refuse collection, as this use requires a business tax receipt. Mr. Lukasik outlined issues with the recycling market and highlighted potential operational changes that might be necessary to follow the market. Discussion ensued regarding contamination of recycling and related education. PUBLIC WORKS COMBINED SUMMARY Category Personnel Operating Total Expenses FY 2019 Budget $3,014,803 $2,269,025 $5,283,828 FY 2018 Budget $2,785,603 $2,442,401 $5,228,004 % Increase/ Decrease 8.23% -7.10% 1.07% $ Increase/ Decrease $229,200 ($173,376) $55,824 Mr. Lukasik explained a change in policy regarding vacation pay and a shift of professional services expenses to the CIP budget had contributed to keeping the Public Works Department budget increase to 1.07 percent. ADMINISTRATION Category Personnel Operating Total Expenses FY 2019 Budget $341,012 $75,815 $416,827 FY 2018 Budget $316,332 $68,213 $384,545 % Increase/ Decrease 7.80% 11.14% 8.39% $ Increase/ Decrease $24,680 $7,602 $33,282 Mr. Lukasik noted there was not much change the Administration Department budget. He pointed out an increase to salary and benefits came as a result of an employee health insurance change. Communications Manager Ed Cunningham commented on increased communication efforts. Discussion ensued regarding reductions in utility bills after adopting the Florida. Power and Light (FP&L) plan and switching to LED. FACILITY SERVICES Category FY 2019 Budget FY 2018 Budget Personnel $350,568 $34109 Operating $492,050 $4245850 Total Expenses $8429618 $7669519 % Increase/ Decrease 2.60% 15.82% 9.93% $ Increase/ Decrease $8,899 $67,200 $76,099 Village Council Budget Workshop Session held August 14, 2018 Page 3 of 4 Mr. Lukasik pointed to changes in the Facilities Services budget. He noted the vacant position was budgeted at a reduced salary in comparison to the prior employee, and the janitorial services budget had been increased. He stated the Solid Waste Authority assessment fee for annual collection of the dumpsters and containers for the Village had increased by a yet to be determined amount. A question was raised regarding pressure washing roofs. Discussion ensued regarding air conditioning units and building investment. VEHICLE MAINTENANCE Category Personnel Operating Total Expenses FY 2019 Budget $289,572 $236,770 $526,342 FY 2018 Budget $267,662 $272,950 $540,612 % Increase/ Decrease 8.19% -13.26% -2.64% $ Increase/ Decrease $21,910 ($36,180) ($14,270) Mr. Lukasik stated overall vehicle repair costs should be less due to use of the implementation of the vehicle leasing program. SANITATION Category Personnel Operating Total Expenses FY 2019 Budget $1,508,363 $238,900 $1,747,263 FY 2018 Budget $1,378,335 $223,950 $1,602,285 % Increase/ Decrease 9.43% 6.68% 9.05% $ Increase/ Decrease $130,028 $14,950 $144,978 Mr. Washington shared a brief PowerPoint presentation regarding the current state of the Sanitation Department and planned changes. He opened by making clear that no services would be impacted by the changes planned. Mr. Washington reviewed the status of the aging fleet of vehicles and discussed services provided by the Department. Discussion ensued regarding the contacts required to collect vegetation and recycling and potential adjustments. Mr. Washington explained the plan to require all Sanitation Department employees to train for their Commercial Drivers License (CDL) and to add two (2) part-time staff members. A question was posed regarding eligibility for CDL training. Discussion ensued regarding the program and the benefits to employees and the Village. STREETS AND GROUNDS Category FY 2019 Budget FY 2018 Budget Personnel $525,288 $481,605 Operating $1,225,490 $15452,438 Total Expenses $197509778 $199349043 % Increase/ Decrease 9.07% -15.63% -9.48% $ Increase/ Decrease $43,683 ($226,948) ($183,265) Village Council Budget Workshop Session held August 14, 2018 Page 4 of 4 Mr. Lukasik outlined the items included within Professional Services, which were moved to more appropriate places in the budget. He explained studies associated with Capital projects had been moved to the CIP budget and repair and maintenance associated with playgrounds had been moved to the Recreation Department budget. Discussion ensued regarding maintenance projects. PUBLIC WORKS CAPITAL IMPROVEMENT PLAN Mr. Lukasik reviewed the Public Works Five (5) Year CIP. Projects included: • Sanitation Collection Vehicle Replacement • Construction Equipment Replacement • New Complex • Asphalt Resurfacing • Alley Wall Replacement • Sidewalk Repairs • Bridge Repairs (Monet) • Bridge Replacement (Lighthouse) • Bridge Improvement (Prosperity Farms) • Bridge Improvement (US 1) • Seawall — Lakeside Park • Seawall — Monet Road • Parking Lot — Anchorage Park • Parking Lot — Community Center • Stormwater Repair and Replacement Mr. Lukasik outlined the schedule to replace the sanitation collection trucks on a regular schedule. Mr. Hallock explained the plan to sell a front-end loader and purchase a rear -load truck in FY2019 to offset costs. Mr. Lukasik reviewed upcoming opportunities to invest in fuel-efficient vehicles through a State of Florida grant program in FY2020. A question regarding seawalls led to discussion regarding logistics of the plan. Mr. Lukasik pointed out the new complex line item was a placeholder to keep the need from dropping off the radar as staff investigates options. Mr. Lulcasik discussed the Village costs associated with bridge repair, replacement, and improvement planned by Palm Beach County and the Florida Department of Transportation (FDOT). He noted the Council would review bridge amenities prior to firming up the budget numbers as those projects approach and explained that the CIP included outside funding sources. Mr. Lukasik briefly reviewed a stormwater fee and stated the study would include a proposal. ADJOURNMENT The next Budget Workshop meeting was scheduled for Monday, August 20 to review the Police, Fire Rescue, and Community Development budgets. With no further business to come before the Council, the meeting adjourned at 8:28 p.m. Co eted by Jessica Gre MC, Village Clerk U