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96-22124 RESO RESOLUTION NO. 96-22124 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE OF MIAMI BEACH, FLORIDA, ADOPTING BUDGETS FOR GENERAL, ENTERPRISE, AND INTERNAL SERVICE FUNDS FISCAL YEAR 1996/97. CITY THE FOR BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the City of Miami Beach hereby adopts the following budgets for the General, Enterprise, and Internal Service Funds for Fiscal Year 1996/97. REVENUES INTERNAL CATEGORY GENERAL ENTERPRISE SERVICE TOTALS GENERAL OPERATING REVENUES Ad-Valorem Taxes $44,102,496 $ 44,102,496 Other Taxes 16,666,550 16,666,550 Licenses and Permits 6,663,800 6,663,800 Intergovernmental Revenues 9,059,433 9,059,433 Charges for Services 1,851,080 1,851,080 Fines and Forfeits 849,663 849,663 Interest 5,983,901 5,983,901 Rents and Leases 838,660 838,660 Miscellaneous 3,847,999 3,847,999 Other 8.907.696 8.907.696 Subtotal $98.771.278 $98.771 .278 DEBT SERVICE Ad Valorem Taxes $11.028.582 $11.028.582 Subtotal $11.028.582 $11. 028. 582 FUND TOTAL $109.799.860 $109.799.860 ENTERPRISE FUNDS Convention Center/TOPA $15,611,376 $ 15,611,376 Parking 12,860,317 12,860,317 Sanitation 3,800,514 3,800,514 Water Operations 14,590,835 14,590,835 Sewer Operations 25,261,474 25,261,474 Storm Water 3 416.246 3.416.246 FUND TOTAL $75 540.762 $75.540.762 INTERNAL SERVICE FUNDS Central Services 571,245 571,245 Conmunications 5,086,358 5,086,358 Fleet Management 6,284,069 6,284,069 Property Management 4,408,008 4,408,008 Risk Management 12.852.309 12.852.309 FUND TOTAL $29.201.989 $29.201.989 TOTAL - ALL FUNDS $109.799 860 $75.540.762 $29.201.989 $214.542.611 APPROPRIATIONS INTERNAL DEPARTMENT DEPARTMENT/FUNCTION GENERAL ENTERPRISE SERVICE TOTALS ADMINISTRATION MAYOR AND COMMISSION $ 637,983 $ 637,983 CITY MANAGER 1,193,225 1,193,225 CITY ATTORNEY 2,511,370 2,511,370 CITY CLERK 869,635 869,635 CHILDREN'S AFFAIRS 81,110 81,110 MEDIA RELATIONS 225,000 225,000 FILM/PRINT/SPECIAL EVENTS 239,044 239,044 FINANCE 1,821,690 1,821,690 MANAGEMENT & BUDGET 464,260 464,260 INTERNAL AUDIT 302,609 302,609 HUMAN RESOURCES 909,127 909,127 RISK MANAGEMENT $ 12,852,309 12,852,309 COMMUNITY SERVICES & DEVELOPMENT BUILDING SERVICES 3,816,430 Building 2,122,747 Code Compliance 1,693,683 DEVELOPMENT, DESIGN AND HISTORIC PRESERVATION 1,945,963 Economic Development 716,410 Log Cabin Training Center 88,706 Planning & Design 1,140,847 CONVENTION CENTER/TOPA $15,611,376 15,611,376 PARKING 12,860,317 Administration 1,719,099 On-Street Parking 4,596,350 Off-Street Parking 5,717,572 Debt-Service 827,296 BASS MUSEUM OF ART 672,765 672,765 RECREATION, CULTURE & PARKS 14,231,379 Administration 244,744 Beach Patrol 3,554,731 Landscape Maintenance 2,833,553 Parks Maintenance 2,521,157 Recreation 5,077,194 PUBLIC PROPERTY MANAGEMENT GENERAL SERVICES 18,039,426 Computers 1,200,332 Procurement 489,414 Central Services 571,245 Property Management 4,408,008 Conmunications 5,086,358 Fleet Management 6,284,069 PUBLI C WORKS 45,283,972 Administration 355,362 Environmental Resource Mngt 127,917 Streets/Streetlights 1,532,138 Sewer 25,261,474 Storm Water 3,416,246 Water 14,590,835 ENGINEERING & CONSTRUCTION MNGT 1,349,562 1,349,562 SAN IT A TI ON 3,800,514 3,800,514 PUBLIC SAFETY FIRE 18,991,594 18,991,594 POLICE 36,571,777 36,571,777 CITYWIDE ACCOUNTS 8.231.592 8.231.592 SUBTOTALS $98.771.278 $75.540.762 $29.201.989 $203.514.029 DEBT SERVICE Debt Service $11.028.582 $ 11 028 582 TOTAL ALL FUNDS $109.799.860 $75 540.762 $29.201.989 $214 542.611 Passed and adopted this 25th day of September, 1996. Attest by: ./). . .'J k/'L/k~ l71 j AI / '.(.., u)_,(/iil..' CITY CLERK " ~ti:l_krt-n'fk ~ {Z~t ~ (~~ cf!J Jt /djj JGP:PFL:DJJ:me f:\budg\$bud\danielle\wp60\97resol.2A FORM APPRO\'i'.~ L GAL DEPT. By Date _ q /'u, l"fb CITY OF MIAMI BEACH CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH FLORIDA 33139 Commission Memorandum No. .s '7 8- 9 h TO: Mayor Seymour Gelber and Members of the City Commission DATE: September 25, 1996 FROM: Jose Garcia-Pedrosa City Manager ( i t SUBJECT: A RESOLUTION ADOP G BUDGETS FOR THE GENERAL, ENTERPRISE, AND INTERNAL SERVICE FUNDS FO FY 1996/97 ADMINISTRATION RECO:MMENDA TION Adopt the Resolution The Resolution contained herein recommends certain changes that are responsive to the requests of the City Commission and that will not impact the total General Operating Budget of $98,771,278 that was tentatively adopted on September 12, 1996 after the first public hearing. Also included in the Resolution is the restoration of the budget for Central Services Division ($571,245) as an Internal Service Fund;- this budget will have no financial impact on the General Fund. Changes impacting budgets are highlighted in underlined italics. PROCEDURE Pursuant to Florida Statutes 200.065, budgets for the General, Enterprise, and Internal Service Funds were tentatively adopted on September 12, 1996 following a first public hearing and adoption of a Resolution setting millage rates. To complete the process, the Resolution establishing budgets for FY 1996/97 must be adopted, again, after a second public hearing and final adoption of the millage rates. (See accompanying agenda item R-7-E-l) DISCUSSION During the first public hearing held on September 12, 1996, members of the public and the City Commission raised certain issues and requested responses from the Administration. The following is in response to those issues: 1. General Services - Following the proposed elimination of Construction Management and General Services Administration, the remaining divisions of this department will be: Central Agenda Item ~ l E ~ Date 9 - 2.S. 't(.. FY 1996/97 Budget September 25. J 996 Page 20/5 Servicesl, Computers and Communications, Procurement, Fleet Management, and Property Management. The remaining divisions will maintain current staffing levels of 115 personnel positions; the divisions proposed for the transfer of 6 positions to Engineering and Construction Management and the elimination for 4 positions. Communications - The proposed budget for FY 96/97 will increase by $665,951 or 15% over the current year's amount of $4,420,407. The primary reasons for this are: $227,600 in increased capital expenditures to upgrade radios and application software; $155, 352 in salaries due to full year-funding and transfer of personnel between the divisions of Computers and Communications; $120,000 for increased depreciation requirements for equipment acquired during the current year; $120,000 in telephone charges for increased number telephone lines and high-speed datalines used for the City's wide area network (WAN); and, $80,554 for increased self-insurance charges. Fleet Management -The proposed budget for FY 96/97 will increase by $611,754 or 11% over the current year's amount of$5,672,315. The primary reasons for this are: $219,812 in salaries due to the transfer of 5 positions from Procurement to Fleet Management and negotiated cost-of-living increases; $230,000 for increased depreciation charges; and, $165,999 for increased replacement vehicle purchases. 2. Public Works - The creation of the Engineering and Construction Management Department results from the consolidation of related functions that previously were assigned in both the Public Works and General Services Departments. There were no increases in managerial positions to accomplish the consolidation. In the Administration Division of Public Works, staffing level is recommended to remain at 4 positions despite implementation of a Geographic Information System (GIS) and the addition of over $59 million in water and sewer projects. (Please see No. 1 above indicating the elimination of the General Services Administration Division. Also it must be noted that the position for the General Services Director has been eliminated.) TheFY 1996/97 Public Works budget of$45,418,514 is an increase of$1,482,457 over the current year projected amount of $43,936,057. The primary reason is an increase of $1,775,220 in the Sewer Enterprise Fund Budget; of this amount is $1,410,044 is for increased sewer treatment fees to Dade County and $333,029 in self-insurance charges. 3. Risk Management - The proposed budget for FY 96/97 will increase by $2,513,387 or 24% over the current year's amount of $10,338,922. The primary reason for this is: costs for retiree health benefits ($1,815,473), employees occupational health contract ($98,700), unemployment compensation ($70,000), and, the administration of employee benefits ($50,000) were previously supported entirely by the General Fund. Accounting for all charges through the Self-Insurance Fund, with each fund (Enterprise and Internal Service) paying a proportionate share, will result in the General Fund savings of $472,572. lCentral Services was originally proposed to be eliminated. FY 1996/97 Budget September 25, 1996 Page 30/5 Self-insurance funding for FY 1996/97 is based on the latest actuarial requirement, without the margin. The actuarial firm of Nv1I Risk Consultants, Inc., has since confirmed, in writing, that funding the required amounts, without the margin, would not jeopardize the fund. . 4. Development, Design, and Historic Preservation - The Administration has reviewed the departmental structure and believes that the Community Development Division should be combined with the Economic Development Division to create one division. Staffing adjustlJ1ents will be made to accommodate the new structure and eliminate any potential duplication. Since the funding involved is not the General Fund, these adjustments will not impact the General Fund adoption process, however, they will be done to improve efficiency and accountability. 5. CITYWIDE A. Old City Hall - Funding of $183,000 for Old City Hall is provided for utilities, janitorial, security costs, and property taxes. A separate report on the uses for Old City Hall will be presented to City Commission. B. Normandy Shores - Funding of $90,000 is a transfer of funds for the Normandy Shores Neighborhood Improvement Dependent Taxing District to provide security servIces. C. Venetian Landscape - Funding of $100,000 was originally recommended for continuing planning and design of the master landscape plan. Funding is no longer being recommended since remaining funds of$93,000 are expected to be sufficient to fund development of the master plan. The City Commission recently authorized the Administration to enter into negotiations with the number one ranked firm responding to the RFP. D. Middle Beach - This is the third year contribution to continue the master planning for the landscaping of middle beach. Funds are not for landscape maintenance. E. External Labor Counsel - Pursuant to a suggestion from the City Commission and discussions with the City Attornev. aooropriations of $250.000 for external labor counsel will be transferred to the Office of the City Attornev. This change will not adversely impact the General Fund Budget. 6. Service Districts - Consistent with a request for consideration from the City Commission, the following appropriation changes are being recommended: A. Police - The Police Deoartment 's budget would be reduced bv 5252.968. This permits the General Fund to make a contribution to suoport the consolidated "Oceanfront District" B. Landscape l\'laintenance - The Recreation. Culture and Parks budget would be reduced bv 5237.500. This oermits the General Fund to make a contribution to support the consolidated "Oceanfront District ". 590 FY 1996/97 Budget September 25. 1996 Page 40f5 C. Citywide - Transfers aut of the General Fund will be increased bv $490.468 to vermit this contribution to the "Oceanfront District". D. Sanitation - A new line item in the Sanitation Department's budget. entitled "Contributions" would be created with an amount of $2 39.934 for which there would be like reductions in other line-items. so that the department's over-all budget remains unchanged 7. Public Information - Please see Attachment "A" for a "cost per function" matrix based on the proposed budget for FY 1996/97. Included in the matrix are the following: 1) identification and cost for each position; 2) functions and responsibilities for each position; and, 3) impact statements resulting from the elimination of any position. Pursuant to the request of the City Commission, this matrix will be presented to the Budget Advisory Committee at its meeting on September 24, 1996 for discussion and recommendation. It is also presented here for your consideration. 8. Building Permit Fees - This category includes Building, Electrical, Elevator, Mechanical, and Plumbing permits. Current year's projections of $2,620,000 is a decrease of6% from the budgeted amount of $2,780,000. Revenue estimate for FY 96/97 is $2,595,000 and is a further decrease of 1 % from current year's projected. Budget staff and the Building Director reviewed the revenue projections for the current year and that for the next fiscal year. The Building Director is confident that the total revenue projections are accurate and not inflated. 9. Youth at Risk - A request for the Recreation, Culture and Parks Department to determine whether it was possible to establish new programs for youths "at-risk" within the existing budget was made. As of the agenda deadline, a final determination has not yet been made; however, the Parks and Recreation Director has indicated that it is possible to work in cooperation with the Police Athletic League (PAL) to introduce some programs on a limited basis. The City Commission will be advised when the analysis and proposal for programming is completed. 10. Energy Efficiency Audit - The City received a proposal from Johnson Controls to conduct an "Energy Efficiency Audit" to determine what guaranteed energy saving may be realized due to retrofitting lighting and/or air conditioning equipment in major city-owned facilities. Johnson Controls currently provides maintenance services to the City and understands that such an audit would be required the issuance of an RFP. Property Management is in the process of preparing an RFP for such an audit and would include all electrical equipment and not only light fixtures and air conditioning. equipment. Telephones - A contingency audit of the City telephones bills for service and equipment for the 2-year period ending December 1995 was recently completed by Utility Analysis Group. Approximately $1,000,000 of expenditures wpre audited and resulted in a $4,000 refund. FY 1996/97 Budget September 25, 1996 Page 50f5 11. Historic Preservation Planner - As of agenda deadline a final recommendation has not been made regarding the addition of a Historic Preservation Planner position to focus on demolitions. A meeting between the Building Department and the Planning Division was scheduled for Friday, September 20, 1996. Any decisions leading to a recommendation will be reported to the City Commission on September 25th, prior to the opening of the public hearing on the budget. 12. Venettan Landscape - Please see "5C" above. OTHER 1. Central Services - The original Proposed Budget contemplated the out-sourcing of the printing, major copying services, and mailing functions of Central Services. Inter-office mail would be transferred to the Office of the City Clerk. An RFP for these services was issued; however, there were no responsive bids. The RFP is being revised to re-solicit bids for printing services, only. As a result it is necessary to retain the Central Services Division to continue their services to other departments. Based on prior expenditure history and a projection for proposed services to be continued, an aooropriation of $571.245 for FY 1996/97 is necessary. Funding for this division is gained through charges to departments for services rendered. Budget Positions Current FY 1995/96 $702,300 7 Projected to 9/30/96 $693,945 7 Recommended FY 1996/97 $571,245 5 This amount includes funding for 3 positions previously included in the Office of the City Clerk to collect and distribute U.S.lInter-mail. This change will result in a reduction of $65.246 in the O(fice of the City Clerk and a corresponding increase in the unallocated oortion of the Citylvide accounts. 2. Lien Fees - Revenues of $7.500 from Lien Fees was incorrectlv categorized under the "Other" category: this amount will be tTansferred to the "Miscellaneous" category and has no imoact on the General Fund Budget. 3. Resort Taxes - For your information, a projection of Resort Tax collections and disbursements for the 7 -year period between FY 1996/97 to FY 2002/03 is included as Attachment "B". SUMMARY The foregoing discussion and proposed revisions to the budgets for FY 1996/97 as in response to issues and requests made by members of the public and City Commission during the first public hearing on the proposed property tax rates and budgets held on September 12, 1996. All the proposed revisions to the tentatively adopted budgets are contained in Attachment "C". PFLme PositionlBudget Public Information Coordinator Salaries $63,000 Fringe Benefits 7.491 Subtotal $70.491 Public Information Officer Salaries $42,000 Fringe Benefits 7.165 Subtotal $49.165 Office Associate IV Salaries Fringe Benefits Subtotal $24,950 4.877 $29.827 Office Associate IV Salaries - Fringe Benefits Subtotal $22,859 4.611 $27.470 Media Specialist Salaries $23,551 Fringe Benefits 777 Subtotal $24.328 (Please note that 50% of cost is carried in the Office of the City Clerk) Variable Ollerating Expenses Other Fringe Benefits $5,540 Media Relations $27,187 Broadcast 20,837 Capital 5.000 Subtotal $58.564 Fixed Operating Expenses Other Fringe Benefits $5,766 Internal Service Charges 58.957 Subtotal $64.723 Total Budget $324,568 City Of Miami Beach Office of Public Information FY 1996/97 Proposed Budget FunctionlResponsi bilities Liaison to the press; City spokesperson. Coordinate marketing and publicity; administration and supervision of office; prepares press releases; attends meeting, workshops, etc. to become aware of what is happening in City. Researches, writes, coordinates and distributes press releases; prepares meeting notices and event invitations; prepares employees and retirees newsletters; Hispanic Affairs Liaison; Internet liaison; prepares press kits and brochures; and, produces" Al Dia". Newspaper clippings; payroll and purchasing; maintains Master Calendar of Events for network and Internet access; receptionist; produces monthly reports of activities. Assists Media Specialist in live/taped broadcast of programs; creates programming schedule; processes production requests for videotaping, photography, dubbing, tape copying, etc. Operates broadcast equipment for live/taped programming on cable- television; minor maintenance of broadcast equipment; City photographer; maintains historic film! photo file Attachment A Impact of Reduction Lack of central contact person for media; 75% reduction in press releases; lack of coordinated public affairs contact; elimination of staff supervision and coordination with other City departments. 75% reduction in press releases; lack of centralized advertising for scheduled meetings requiring public notice; inability to communicate with Hispanic media; unavailability of media kits; eliminate public affairs program- ing to Hispanic population; and, elimination of newsletters. No historic file of news clippings; departments required to do their own media follow-up. Master Calendar maintenance would be reassigned to another department. No receptionist for walk-in visitors or telephone calls. Eliminate back-up support for live cable broadcasting; eliminate all MBTV programming except designated meetings. Limited ability to provide tape copying services. Eliminate all cable television broadcast of Commission, Planning, Zoning meetings and special workshops. Eliminate photography services for all "events" . This category consists of variable operating expenses that are impacted by the types and levels of services to be provided. It consists of expenditure for items such as: general office supplies; photocopy equipment: supplies, equipment, maintenance, and repair for video and photographic equipment; telephone toll calls; printing; postage, etc. This category consists of an allocation of the City's fixed costs which are not reduced or saved due to the elimination or reduction of any service. 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I- Attachment C City of Miami Beach Recommended Revisions FY 1996/97 Adopted Increase/ Revised 9/12/96 (Decrease) 9/25/96 GENERAL FUND REVENUES Ad Valorem Taxes $44,102,496 $44,102,496 Other Taxes 16,666,550 16,666,550 Licenses and Permits 6,663,800 6,663,800 Intergovernmental Revenues 9,059,433 9,059,433 Charges for Services 1,851,080 1,851,080 Fines and Forfeits 849,663 849,663 Interest 5,983,901 5,983,901 Rents and Licenses 838,660 838,660 Miscellaneous 3,840,499 (7,500) 3,832,999 Other 8,915,196 7,500 8,922,696 Total Revenues $98,771,278 $0 $98,771,278 APPROPRIATIONS Mayor & Commission $637,983 $637,983 City Manager 1,193,225 1,193,225 City Attorney 2,261,370 250,000 2,511,370 Childrens Affairs 81,110 81,110 City Clerk 934,881 (65,246) 869,635 Media Relations 324,568 324,568 Film/Print/Special Events 239,044 239,044 Finance 1,821,690 1,821,690 Management & Budget 464,260 464,260 Internal Audit 302,609 302,609 Human Resources 909,127 909,127 Building Services 3,816,430 3,816,430 Dever, Design & Hist Preservation 1,915,963 1,915,963 Recreation, Culture & Parks 14,231,379 (237,500) 13,993,879 Bass Museum of Art 672,765 672,765 General Services 1,689,746 1,689,746 Public Works 2,015,417 2,015,417 Engineering & Construction Mngt 1,349,562 1,349,562 Fire 18,991,594 18,991,594 Police 36,571,777 (252,968) 36,318,809 Citywide Accounts 8,346,778 305,714 8,652,492 Total Appropriations $98,771,278 $0 $98,771,278 INTERNAL SERVICE FUND Central Services $0 $571,245 $571,245 C:\OATAISSIBUD9719697GE-1'wB3