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20140910 SM2MIAM BEACH City Commission Meeting SUPPLEMENTAL MATERIAL 2 City Hall, Commission Chambers, 3rd Ftoor, 1700 Convention Center Drive September 10,2014 Mayor Philip Levine Vice-Mayor Michael Grieco Commissioner Joy Malakoff Commissioner Micky Steinberg Commissioner Edward L. Tobin Commissioner Deede Weithorn Commissioner Jonah Wolfson City Manager Jimmy L. Morales City Attorney Raul Aguila City Clerk Rafael E. Granado Vrsif us at www.miamibeachfl.gov for agendas and video "streaming" of City Commission Meetings. ATTENTION ALL LOBBYISTS Chapter 2, Article Vll, Division 3 of the City Code of Miami Beach entitled "Lobbyists" requires the registration of all lobbyists with the City Clerk prior to engaging in any lobbying activity with the City Commission, any City Board or Committee, or any personnel as defined in the subject Code sections. Copies of the City Code sections on lobbyists laws are available in the City Clerk's office. Questions regarding the provisions of the Code should be directed to the Office of the City Attorney. SUPPLEMENTAL AGENDA R7 - Resolutions RTA2 Adopt Tentative Budgets For General, G.O., RDA, Enterprise, lnternal Service, And Special Revenue Funds A Resolution Adopting Tentative Budgets For The General, G.O. Debt Service, RDA Ad Valorem Taxes, Enterprise, lnternal Service Funds, And Special Revenue Funds For Fiscal Year 2014115 Subject To A Second Public Hearing Scheduled On Tuesday, September 30, 2014 At 5:01 p.m. 5:01 p.m. First Readinq Public Hearinq (Budget & Performance lmprovement) 1 THIS PAGE INTENTIONALLY LEFT BLANK 2 COMMISSION ITEM SUMMARY Gondensed Title: A Resolution of the Mayor and City Commission of the City of Miami Beach, Florida, Adopting Tentative Budgets for the General, G.O. Debt Service, RDA Ad Valorem Taxes, Enterprise, lnternal Service, and Special Revenue Funds for Fiscal Year 2014115 subject to a Second Public Hearing Scheduled on 30,2014 at 5:01 P.M.T lntended Outcome Ensure expenditure trends are sustainable over the long term iupporting Data (Surveys, Environmental Scan, etc.): ln the 2014 Community Survey, both residents and businesses reported the following area for the City related to value for taxes paid:o Percentage of residents rating the Overall Value of City services for tax dollars paid as excellent or good (Residents: 58%; Businesses 54%) The total Proposed General Fund Operating Budget is $280.0 million, which is $15.9 million or 6.0 percent more than the FY 2013114 adopted budget of $264.1 million. The City's Proposed Operating Budget in total for FY 2014fi5 is $501,924,000 including the General Fund, General Obligation Debt Service, Enterprise Funds, Special Revenue Funds and Transfers to the Redevelopment District. This amount is net of lnternal Service Funds and lnterfund Transfers. The proposed millage rate decrease of 0.0926 mills represents approximately half of the remaining millage rate reduction goal of 0.2079 and does not result in a property tax increase to median or average propefi owners that qualifyfor the homestead exemption and the Save Our Homes cap. The FY 2014115 Budget includes service level enhancements that address high priority needs of the City as identified through the strategic planning process and 2014 Community survey. The FY 2014115 proposed budget preserves service levels to the community and adds $60,000 in reductions and $1.9 million in employee givebacks to almost $79 million in reductions in predominantly recurring expenditures over the last 8 years. 3 million less in FY 2014115 than it was in FY 2006/07. Financial !nformation: Source of Funds: Amount Account 1 $280,079,000 General Fund Operating 2 $5,928,000 G.O. Debt Service 3 $20,210,000 RDA Funds-Ad Valorem Taxes 4 $179,846,000 Enterorise Funds 5 $75,536,000 Special Revenue Funds Total $501,924,000 *Net of lnternal Service Funds and Transfers $78.396.000 lnternal Service Funds OBPI $59,675,000 lnterfund Transfers Financia! lmpact Summary: The General Fund operating budget is only 18 percent more than the FY 2006107, in spite of 18 percent growth in the Consumer Price lndex (CPl) in a similar period, 98 percent oroMh in oension costs. and manv new facilities and proiects coming on line. n** R7AZ{S MIAMIBTACH DILTE3 g MIAMI BEACH City of Miqmi Beoch, I700 Convention Center Drive, Miomi Beoch, Florido 33139, www.miomibeochfl.gov COMMISSION MEMORANDUM TO: Mayor Philip Levine and Members ofithe City FROM: Jimmy L. Morales, City Manager DATE: September 10,2014 I ISUBJECT: A RESOLUTION OF THE IIAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA' ADOPTING TENTATIVE BUDGETS FOR THE GENERAL, G.O. DEBT SERVICE, RDA AD VALOREM TAXES, ENTERPRISE, INTERNAL SERVICE, AND SEPCIAL REVENUE FUNDS FOR FISCAL YEAR 2014115 SUBJECT TO A SECOND PUBLIG HEARING SGHEDULED ON TUESDAY, SEPTEMBER 30, 2014 AT 5:01 P.M. ADMINISTRATION RECOMMENDATION The Administration recommends that the City Commission adopt the attached Resolution which establishes tentative budgets for the General, G.O. Debt Service, RDA Ad Valorem Taxes, Enterprise, lnternal Service, and Special Revenue Funds for Fiscal Year (FY) 2014115. PROCEDURE As outlined in the companion General Operating Millage Agenda ltem, Section 200.065, Florida Statutes specifies the manner in which budgets are adopted. First, the tentative millage rate for both the general operating and debt service is adopted, then immediately thereafter, tentative budgets by fund are adopted. The attached Resolution adopting tentative budgets for the General, G.O. Debt Service, RDA Ad Valorem Taxes, Enterprise, lnternal Service, and Special Revenue Funds for FY 2014115 is therefore presented to you at this time for adoption. Additional details are contained in my Budget Message which is attached, however, highlights of that document are outlined below. GENERAL FUND CURRENT SERVICE LEVEL BUDGET DEVELOPMENT As in past years, the Proposed Work Plan and Budgetwas developed through an intensive review process with our City Commission. Preliminary budget information was provided at the Cornmission Retreat on June 4th and in meetings with the Finance and Citywide Projects Committee (FCWPC) on July 16, August 13, and August 29. 4 Adopting Tentative Budgets September 10,2014 Page2 The General Fund is the primary source of funding for the majority of City services. Revenues are derived from ad valorem property taxes, franchise and utility taxes, business license and permit fees, revenue sharing from various statewide taxes, user fees for services, fines, rents and concession fees and interest income. Additionally, intergovernmental revenues from Miami-Dade County and Resort Taxes contribute funding for tourist-related activities provided by General Fund departments. The first step in preparing the FY 2014115 budget was an evaluation of Current Service Level (CSL) revenues and expenditures. CSL revenues represent the amount of revenues that would be generated based on existing tax rate, fees and charges. CSL expenditures represent the expenditures associated with providing the same level of service next year as in the current budget year. At the strategic planning retreat on June 4,2014, the Commission was briefed regarding the preliminary General Fund Current Service Level (CSL) budget. Property taxes comprise 44Yo of the total General Fund revenue and are a key driver of CSL revenues. The Property Appraiser provided the prelimin ary 2014 property values on June 1,2014. The preliminary 2014 property values increased 9.4o/o, which resulted in an increase of $11 million in General Fund property tax revenues. CSL revenues were estimated to increase $12.7 million due to an $11 million increase in property tax revenues, a $2.5 million increase in building permit revenue, a $1 million increase in electric utility and franchise taxes, and a decrease in prior-year set-aside (one- time revenue) of $1.8 million. The Resort Tax contribution and Parking fund surplus contribution were assumed to be flat. CSL expenditures were estimated to increase $10.7 million due to salary increase from a 3% cost of living adjustment (COLA) and 0-2o/o merit pay, the impact of annualized costs for items added during FY 2013114,the impact of CSL department requests, and savings in net lower pension contributions due to savings in Fire and Police form last year's pension reform offset by a slight increase in MBERP pension contribution. The preliminary CSL presented at the June 4th strategic planning retreat totaled a net surplus of $2.0 million. Since that time, the CSL was updated with the fiscal impact of two items. On July 1st the Property Appraiser provided the certified taxable values tor 2014 which are the official numbers used for the budget process. The certified taxable values increased 10.3o/o, net of the City Center Redevelopment Area, which was higher than the preliminary taxable value of 9.4o/o. This difference results in an additional $650,000 of propefi tax revenue. On the expenditure side, additionalwindstorm insurance coverage of $335,000 was added to the FY 2013114 budget in the Risk Managementfund atthe June 11th Commission meeting. The Risk Management fund is an internal service fund that charges out all of its costs to other departments in various funds. The General Fund comprises approximately 60% of the Risk charges so the impact to the General Fund for the FY 2014115 CSL is $201,000. The net result to the preliminary CSL surplus of $2.0 million given $650,000 of additional 5 Adopting Tentative Budgets September 10,2014 Page 3 property tax revenue and $201,000 of additional windstorm coverage expenditure is an updated CSL surplus of $2.45 million. FY 20t4lt5 CSr UPDATE CSL Revenues ICSL Expenditures L':2:7 LO.7 million million Net Surplus/(Shortfall) Pretiminary CSL Surplus Additional Property Tax Revenue 2.O , million 2.O million 0.650 . million (0.2) millionAdditiona I Windstorm Cove Approaches to Balance At the August 13,2014 meeting with the Finance and Citywide Committee, Administration recommended efficiencies totaling $60,000 and presented possible enhancements totaling $2.45 million. The Committee approved the recommended efficiencies and all but$56,000 of the enhancements. The Committee directed Administration to evaluate a millage rate reduction of 0.0220 and determine the amount of enhancements that could be tourism- related and eligible for Resort Tax funding. At the next meeting Finance and Citywide Committee on August 29th, Administration proposed a combined millage rate decrease of 0.0926 mills (includes 0.0234 debt service rate reduction). The proposed millage rate decrease represents approximately half of the remaining millage rate reduction goal of 0.2079 and does not result in a property tax increase to median or average property owners that qualify for the homestead exemption and the Save Our Homes cap. ln order to absorb the millage rate reduction, the enhancements were reduced by a total of $630,000 and the Resort Tax transfer to the General Fund to offset tourism eligible expenditures was increased by $1,119,000. These changes result in the ability to reduce property tax revenue $1.5 million and coupled with the existing impact of $516,000 from the Debt Service millage rate decrease, result in $2.0 million less in property tax revenue from the proposed millage rate decrease. Taking into account discussions at the Finance and Citywide Projects Committee meetings, the $2.45 million surplus in the General Fund Current Service Level Budget has been balanced through a combination of proposed efficiencies, enhancements, and changes in revenues despite an additional millage rate reduction of 0.0926. luet Surplus/(Shorttutl) : S 2.45 miltion 6 Adopting Tentative Budgets September 10,2014 Page 4 Efficiencies, Reductions and Revenue Enhancements As with the preparation of budgets for the last seven years, departments are continuing to analyze and present their budget from two perspectives: 1) reviewing for potential efficiencies, reorganizations to reduce cost, etc., without adversely impacting services; and 2) performing a modified zero-based analysis of each department budget, identifying potential service reduction alternatives versus core functions. For each of the potential service reductions, departments provided the type of impact and the magnitude of the impact. Core functions were defined as those functions which, if cut, render it impossible for the department to provide basic service at a reasonable level. ln spite of the significant reductions in the General Fund over the last seven years, we continue to be proactive in locating additional efficiencies in the General Fund. For FY 2014115 approximately $60,000 of efficiencies are included in the proposed General Fund budget. The proposed efficiencies to our existing programs and services are shown in Attachment A. Three efficiencies are recommended in the FY 2014115 Budget. The first is to reduce contractual television production costs by50 percent byadding an in-house Media Specialist position in the Communications Department resulting in a savings of $60,000 to the General Fund. The second efficiency eliminates three vacant Firefighter I positions added during the FY 2010111 budget process to reduce overtime on the weekends. The weekend program has been deemed ineffective and the savings from eliminating the positions are proposed to be applied for a Training Division Chief, which is the Fire Department's highest priority enhancement request. The savings from the efficiency is offset by the cost of the enhancement. Pr€lrrEry_ Flawrc Pr*risy AddliomlPrcp€rly TsRoHe from Cdi{i€d P@p€4y VdlE m J'ry 15t Addt@:windsbm coww 1e aon "wa a l* i riii bomision [,t*tns Miniml ldlpel Rodklin / Eflici€rci6 PffiidEntldffit6 ch-rg6 o ir*o.mnuge i3tl Ctsno u E*srce"s,elraw ZeU AdliorEl Mlsgs R# Redeiion l*litlrn i n*on t* TrarEfer b th GoEd Fwd Aub 7 Adopting Tentative Budgets September 10,2014 Page 5 The third efficiency in the Property Management Department was approved by the City Commission on July 23,2014. This efficiency implements a new service model for trades such as carpenters, electricians, masons, painters, and plumbers. This is part of an overall strategy to empower each department to control priorities in order to improve the level of maintenance and condition of ourfacilities. ln the2O14 CommunitySurvey, residents rated the appearance and maintenance of the City's public buildings at 79 percent, a decrease from 87 percent in the 2012 survey. The new model should provide greater flexibility and potentially enhanced services for specialty work while not resulting in any employees losing employment with the City. However, we will be reducing the number of positions by nineteen with associated savings in equipment, materials, supplies, etc. ln addition, the new model provides greater flexibility by allowing each department to address their own priorities, minimize delays, and avoid competing department interests. The seventeen employees affected by the change (two positions were vacant) will be placed in alternate positions within Public Works and the Parks and Recreation department. Furthermore, their current compensation and benefits would not be impacted. Any savings resulting from this change would be used to enhance services. Service Enhancements The proposed enhancements found in Attachment B reflect services that our residents and businesses identified as important to them during the2014 Community Satisfaction Survey or priorities identified at the City Commission retreat on June 4,2014. The enhancements also help further three priorities I identified during my selection process: (1) increasing public cleanliness and safety, (2) focusing on customer service to our residents, businesses, and visitors, and (3) improving the administrative operations that are critical to our service delivery. Highlights of the $5.8 million of enhancements funded across all funds to address priorities in the City's Strategic Plan include: o Address flooding and the mitigation of sea-level rise by adding funding for a formal Mitigation Plan, enhanced stormwater pump maintenance, and several positions to implement the estimated one-hundred planned stormwater projects overthe nextfive years. o The implementation of Body Camera programs to improve accountability in the Police, Code Compliance, Building, Fire, and Parking departments. . Several enhancements to improve cleanliness including outsourcing the existing Cleanliness and Appearance lndex and creating a new Parking Garage Index and Bathroom lndex. Also included are the addition of attendants at beachfront restrooms in Lummus Park and 21st Street, supporting the "can on every corne/' initiative by adding more litter cans across the City, and enhancing the cleanliness and appearance of City parking garages by increasing the frequency of pressure cleaning and washdowns. o lmprove traffic and mobility by creating a new North Beach Trolley, deploying lntelligent Transportation System solutions for special events, implementing enhanced loading zone enforcement, promoting a bicycle safety campaign, and creating a Mystery Rider program to assess the level of service on our trolleys. 8 Adopting Tentative Budgets September 10,2014 Page 6 o Establish a more proactive code compliance environment by adding dedicated officers in the Entertainment District and a unit to enforce Short-Term Rentals. lmprove the ability to more effectively schedule for special details such as noise, vendors, and flyers/handbills by converting twelve part{ime positions to sixfull-time Code Compliance Officer positions. . lmprove security at our city parks by creating a new Park Ranger program and address homelessness at Lummus Park and other locations by conducting sweeps, providing forambulance service, enhanced tracking of the homeless, and additional shelter beds. . Enhance communications with our residents by implementing a new 3-1-1 customer service.model, enhancing programrning on Miami Beach TV, and enhance the City's website and social media capabilities. . Enhance hurricane and disaster preparation by funding key equipment and address security upgrades in City facilities that will be supplemented by grant funds. o Strengthen internal controls by adding a position in lnternal Audit to increase audit coverage as well as the quality and frequency of audits. o Support excellence of our public schools by funding professional development at Nautilus Middle School and Miami Beach Senior High to help sustain the !nternational Baccalaureate program. . lmprove the building development process by providing optional expedited plan review services, additional administrative support to the five Development Review Boards, ensure compliance with parking impact fees, and establish an unsafe structures panel. . Several administrative enhancements including the implementation of the first phase of an Employee Wellness program, improving the computing environmentconsistent with best practice by reducing personal computer replacement from five to three years, improving prompt and comprehensive legal services, enhancing training in the Fire Department, creating an Employee Suggestion program to spur innovation, expedite the procurement of goods and services, and enhance the implementation of new parking technology systems. A list of potential additional enhancements requested by departments but not recommended by me in the Proposed Budget can be found in Attachment C. While many of these potential enhancements are important and should be considered over time, they were considered a lower priority than those included in the FY 2014115 Proposed Budget and Work Plan. lncreased Use of Resort Taxes to offset Tourism Eligible Expenditures in the General Fund Based on an outside consultant study conducted in 2010 using FY 2007/08 actual costs, it is estimated that there are approximately $50.5 million in eligible resort tax expenditures in the General Fund. However, $8.8 million of these costs were estimated as being addressed by dedicated funding pursuant to the Miami-Dade County Convention Development Tax 9 Adopting Tentative Budgets September 10,2014 PageT interlocal agreement, thereby resulting in approximatelv $41 .7 million in eliqible Resort Tax expenses in the General Fund. These include expenses associated with police officers serving entertainment areas; a portion of fire rescue services from Fire Stations 1 & 2; ocean rescue services; enhanced code compliance provided to respond to evening entertainment area violations and staffing of special events; other code compliance activities in tourism and visitor related facilities/areas; Tourism and Culture Department and the Cultural Arts Council; museums and theaters (Garden Center, Bass Museum, and Colony Theater); golf courses (net of revenues); Memorial Dayand otherspecial event costs; homeless services; July4th;Visitor Centerfunding; holiday lights; Jewish Museum; Miami Design Preservation League (MDPL); Orange Bowl; monuments; etc. Based on FY 2013114 resort tax collections to date, it is estimated that there will be an additional $1,119,000 available in resort tax collections to provide additional funding for these General Fund activities in FY 2014115. The total proposed Resort Tax Fund transfer to the General Fund for FY 2014115 is approximately $34.1 million. PROPOSED FY 2014l15 ENTERPRISE FUND BUDGETS Enterprise Funds are comprised of Sanitation, Water, Sewer, Stormwater, Parking, and Convention Center Departments. The Proposed FY 2014115 Enterprise Funds Budget is $179.8 million. This represents an increase of $19.0 million (12 percent) from the FY 2013114 budget of $160.8 million, primarily due to: o lncreases in salary (3 percent COLA and 0-2 percent Merit) and health insurance costs of 9 percent o An $8.7 million increase in Stormwater to support the strategic planning initiative to address flooding and sea-level rise over the next five years. This increase is supported by a monthly Stormwater rate of $16.67 per Equivalent Residential Unit (ERU), which represents an increase for a residential customer of $7.61 per month above the FY 2013114 amount of $9.06 per month. . A $5.1 million increase in Sewerdue to an increase of fees charged by Miami-Dade Water and Sewer Department (WASD) to treat the City's wastewater, increase in scheduled debt service for outstanding debt, lower annual true-up from WASD, higher DERM fees, and existing operating deficit. This increase is supported by a monthly fee of $7.55 per thousand gallons, which represents an increase of $1.21 per thousand gallons from the FY 2013114 rate of $6.34 per thousand gallons. o Parking enhancements totaling $1.0 million to increase the cleanliness and appearance of the City parking garages, implementation of loading zone enforcement, creation of a new Garage Cleanliness lndex, and implementation of a new body camera program. o Sanitation enhancements totaling $851,000 to provide better service at beachfront restrooms by adding attendants to the restrooms in Lummus Park and 21't Street on weekends, holidays, and special events, support the "can on every corner" initiative 10 Adopting Tentative Budgets September 10,2014 Page 8 by adding more litter cans across the city, and creating a new Bathroom Cleanliness lndex to assess the 64 public restrooms throughout the city. . Water reflects a small rate increase of $0.07 to pass through the Miami-Dade County increase to wholesale rates for the purchase of potable water. PROPOSED FY 2014/15INTERNAL SERVICE FUND BUDGETS lnternal Service Funds are comprised of the Central Services, Fleet Management, !nformation Technology, Risk Management, Medical& Dental, and Property Management Divisions. The Proposed FY 2014115lnternal Service Fund budget is $78.4 million, or 3.9%. lnternal Service costs are completely allocated to the General Fund and Enterprise Fund departments, and the Risk Management Fund reimburses the General Fund for the cost of legalservices. PROPOSED FY 2014/15 RESORT TA)( FUND BUDGET The Proposed FY 2014115 Resort Tax budget is $62.9 million, an increase of $2.1 million or 4 percent from FY 2013114. This reflects the continued increase in resort tax revenues, consistent with other tourism indicators throughout the County, but especially in Miami Beach. Highlights for FY 2014115 include: . New enhancement of $476,000 to support the initiative to provide better service at beachfront restrooms by adding attendants to the beachfront restrooms in Lummus Park and 21st street on weekends, holidays, and special events.. New enhancement of $200,000 to deploy interim lntelligent Transporation System (lTS) solution for major special events and high impact periods. . $34,084,000 (a $1 ,1 19,000 increase) is provided to the General Fund to support new and continuing tourism eligible expenditures. New examples include more proactive code enforcement, cleanliness index, park ranger program, homelessness at Lummus Park, and hurricane and disaster preparation equipment, and increased support for the Miami Beach Botanical Garden. Continuing expenditures include public safety programs such as ocean rescue, police services on Lincoln Road, Ocean Drive/Lummus Park, Collins Avenue, Washington Avenue, ATV officers, Boardwalk security, special traffic enforcement and special event staffing; and fire rescue units in tourist and visitor areas. The funding also supports code compliance services to respond to evening entertainment areas and provides for a portion of the operational costs of the Tourism and Cultural Development.. $3 million for enhancing the outcomes from major events such as Memorial Day, including management, Goodwill Ambassadors.o The contribution to the greater Miami Convention and Visitors Bureau remains flat at $5.4 million pending contract negotiations expected to result in a performance-based contract.o The contribution to the Miami Beach Visitor and Convention Authoritywill increase from $2,289,000 to $2,410,000 based on the legislated funding formula. 11 Adopting Tentative Budgets September 10,2014 Page 9 o $173,000 is provided to continue the local Miami Beach marketing campaign, to be matched with funds from the Greater MiamiConvention and Visitors Bureau, the Miami Beach Visitor and Convention Authority, and the CulturalArts Council. lncluding $73,000 for the Washington Avenue tourism enhancement initiative.. $230,000 for holiday decorations.o $100,000 for the sponsorship fee to help offset marketing and advertising expenses associated with the Ms. USA or equivalent event CONCLUSION ln summary, the proposed millage rate decrease of 0.0926 mills represents approximately half of the remaining millage rate reduction goal of 0.2079 and does not result in a property tax increase to median oraverage propertyowners thatqualifyforthe homestead exemption and the Save Our Homes cap. The FY 2014115 Budget includes service level enhancements that address high priority needs of the City as identified through the strategic planning process and 2014 Community survey. The Administration recommends adoption of the attached Resolution which establishes tentative budgets for General, G.O. Debt Service, RDA Ad Valorem Taxes, Enterprise, and lnternal Service, and Special Revenue Funds for FY 2014115, subject to a second public hearing scheduled on Tuesday, September 30, 2014 at 5:01 P.M. Attachments M/JWeJL 12 &AIAAAISEACH City of Miomi Beoch, ,l700 Convention Center Drive, Miomi Beoch, Florido 33,l39, www.miomibeochfl.gov Jimmy L. Moroles, City Monoger 1 el 305-67 3-70'l 0, Fox: 305-67 3-77 82 September 10,2O14 Honoroble Moyor Philip Levine ond Members of the City Commission: I om pleosed to tronsmit the Proposed Work Plon ond Operoting Budget for Fiscol Yeor (FY) 2O14/15, commencing on October 1,2014 ond ending on September 30, 2O15, including the Proposed Work Plon, the Proposed Operoting Budgei, the Proposed Copitol Budget, ond the ossocioted Copitol lmprovement Progrom for FY 2015/16 through FY 2018/19. The totol Proposed Generol Fund Operoting Budget is $280.0 million, which is $15.9 million or 6.0 percent more thon the FY 2013/14 odopted budget of $204.1 million. Further, Generol Fund reserve levels os of September 30, 2013 for the I I percent emergency reserye ond the 6 percent contingency gool were o iotol of $41.5 million. The I I percent Generol Fund emergency reserye requirement for FY 2O14/15, bosed on the proposed operoting budget (netofcopitol tronsfersondreserves) is$30.3million. Thisresultsin$l3.8million(or5.0percent) ovoiloble for odditionol contingency, if there ore no odditionol chonges in fund bolonce, ond no odditionol honsfers mode. . The FY 2Ot4/15 proposed budget preseles service levels to |ihe communilyr and adds $6O,O(n in reduclions g,nd $1.9 million in employee givebacks to |,:'ilmaet ";29 :million in reduc;tions 'ii iie#limindny'y. recurring expenditures over the last I years . The proposed millage ra|r- decresse of 0.0926 mills _represenlsapproximately half of the remaining millage rale reduction goal of O.2O79 ,.,,i qnd does nol result in a proptefi'tax increasi to median or averdge piiperty owhel: ihar quahfy f?,1 h," ho-mestead,'exemption and'the Ssvc . ih" propised prolerry ni levy is ipproximately $tg mitlion less in FY 2ol4/r 5 than it was in FY 2006/07, . The General Fund operating budget is only 18 percenl more thon lhe FY 2006/07; in spite of 18 pqrcenit growth in the Consumer Price lndex {CPI) in a similai period, 98 percent growlh in peniion cosla, ond many new facilities and projects coming on line. 13 FY 201 4/15 Proposed Work Plon ond Budget Messoge Poge A-2 The City's Proposed Operoting Budget in totol for FY 2014/15 is $501 ,924,000 including the Generol Fund, Generol Obligotion Debt Service, Enterprise Funds, Speciol Revenue Funds ond Tronsfers to the Redevelopment District. This omount is net of lnternol Service Funds ond lnterfund Tronsfers. The City of Miomi Beoch hos experienced significont chonge in the lost severol yeors, due to chonges in property tox legislotion, property volues thot first increosed ond then declined, ond increosing pension plon contributions due to the downturn in the investment morket. Todoy, propertyvoluesinFY20l 4/lsoreslightlymorethonvoluesinFY200s/09,$27.1 billionversus $26.9 billion. ln FY 2010/1 1 the city's opprooch to oddressing the then deficit of $32 million included o distribution of the sho*foll between toxpoyers ond employees. Toxpoyers hod their tox rote increosed from 5.6555 to 6.2155, on increose of 0.56 mills while employee givebocks totoled $11 million. The gool of the Commission hos been to return lo o milloge rote of 5.6555 mills os property volues increose over time. lt should be remembered thot between FY 2OO9/10 ond FY 2O1O/11, property volues declined by $2.6 billion which, together with pension cost increoses, drove the need for on increose in the milloge. As property volues increose in the fulure, there will be odditionol opportunities to bring the milloge down to 5.6555. ln FY 201 1/12 the City took its first step in thot direction with o reduction in the milloge rote of 0.05 mills. The milloge rote for FY 2012/13 reduced the operoting milloge by on odditionol 0.0246 mills. ln lhe FY 2013/14 budget, the milloge rote wos reduced O.2275 mills. Over three yeors, this reduction represents 63 percent of the gool to get bock to o milloge rote of 5.6555. The remoining gool for milloge reduction is O.2079. The Proposed Budget reflects o totol combined milloge rote for the City of Miomi Beoch of 6.0237, which represents o decreose of 0.0926 mills. The proposed operoting milloge decreosed O.0692 mills ond includes o generol operoting milloge rote of 5.7942 ond o Generol Fund Copitol Renewol ond Replocement milloge of 0.1083. The proposed voted debt service milloge rote is odiusted trom O.2529 to O.2295, o decreose of 0.0234 mills. The proposed milloge rote decreose of 0.0926 mills represents opproximotely holf of the remoining milloge rote reduction gool of 0.2029 ond does not result in o property tox increose to medion or overoge property owners thot ouolifv for the homesteod exemotion ond the Sove Our Homes cop. As shown in the toble below, in prior yeors the City of Miomi Beoch significontly reduced tox rotes os property volues increosed. Between FY 1999/00 ond FY 2009/10, totol combined City of Miomi Beoch property tox rotes declined opproximotely 2.8 mills. ln FY 2OO7/08 olone, the milloge rote declined by opproximotely 1.8 mills, with onnuol sovings lo the overoge homesteoded property of over $AOO. 14 tY 2O14/15 Proposed Work Plon ond Budget Messoge Poge A-3 Property Volue, Milloge ond Properfy Tox Levy Toxoble Volues Chort Toxoble Property Volues lhill;nnql Fino l,/Revise d Toxoble Volues lhillion<l Millooe Rotes Tox Lew Iin mililons) Totol Combined Citywide Gnerol FundlRD A Millooe Totol Tox levy includino Debt Generol Fund Totol (including S. Pointe, ond Renewol & tY1997 /98 $ 6.46 $ 6.40 9 2100 7 4990 s 57.45 s 46.78 tY 1998 /99 s 6.97 s 6.87 8.9830 7 4990 s 6037 $ 44.66 FY1999/OO $ 7.66 $ 7.s4 8.6980 7.4990 $ 64.29 $ 47.36 rY2000/o\$ 8.32 $ 822 8.5550 7.3990 $ 69.08 $ 49.75 FY2001 /O2 $ 9.4o $ e.22 8.3760 7.2990 $ 7s.97 $ 54.37 FY2002/O3 $0.56 $o41 8.3220 7.2990 $ 84.8 r $ 61 .O5 tY2C,03 /o4 $209 $1.85 8.1730 7.2990 $ 95.39 $ 68.1 7 tY2004/o5 $4.O4 $3.86 8.1730 7.4250 $10.74 $ 7e.38 FY2005/06 $745 $715 LO730 7.4810 $35.91 $1.69 FY2006/O7 $ 22.74 $ 22.26 7.6730 7.3740 $68.38 $40.31 FY2007 /O8 $ 26.8s $ 26.14 5.8970 5.6555 $50.42 $25.3 3 FY2008/O9 $ 26.90 $ 2s8e 5.8930 5 6555 $50.5e $25.94 FY2009 o $ 24.70 $ 23.24 5.9\23 5.6555 $38.70 5.73 FY2010 /I s 22.10 20 97 6 5025 6.2155 $36.55 2.\A FY201 1 /2 $ 2 t.98 20.75 6.4539 6. I 655 $34.75 1.29 FY201 2 /3 s 2307 s 22.02 6 3477 6 (]9()9 $39 1O $4.32 FY2013/4 $ 24.66 $ 23.6a 6.1 163 5.8634 $43.26 $7.41 rY2014/5 $ 27tO 5.7942 $t0 $ Further, despite on odiustment of 0.56 mills in the operoting lox rote in FY 20.l O/11, City of Miomi Beoch proposed combined milloge rotes todoy remoin more thon 2.6743 mills lower thon in FY 1999/00 (31 percent), ond .l.6493 mills lower thon 2006/07 ,21.5%1. As a result the proposed property tox levy is opproximotely $13 million less in FY 2014 15 thon it wos in FY 2006 - TOTAT COMBTNED MILTAGE to.om 9.@m 8.mm 7.mm $ s.mo Gc,0, s.mb0g = 4mm 3.mm 2.mm 1.mm 0.00m 15 FY 201 4/15 Proposed Work Plon ond Budget Messoge Poge A-4 Property Volues ond Tox Levy TE 24o =m;no_l 1&)E 160E 14Of1zcEtm TJ 30 lo E20: oco10f; sos '07 '08 '09 '10 '11 mPropertyValues '12 '.13 '14 '.15 --r-Tax lely irdudirg Debt Todoy's Generol Fund Operoting Budget olso reflects greoter diversificotion of revenues since FY 2006/07. The Proposed Work Plon ond Budget includes $Sa.t million in resorl loxes to fund tourism-eligible expenditures ond o $a.l million lronsfer of Porking Operotions Fund yeorend surplus os well os Porking Operotions Fund reimbursements ond right-of-woy fees poid to the Generol Fund thot totol $44.2 million; opproximotely '16 percent of the Proposed Generol Fund FY 2014/15 Budget. ln lorge port due to these olternotive sources, propefi lcx revenues represenl less than half (45.7 percenl) of the total lunding lor the General Fund budget, os compored to 59 percent in FY 2006 /07, o significont reduction over the post severol yeors. Between FY 2O07/O8 ond FY 20]3/14, the Generol Fund obsorbed olmost $5] million in reductions (olmost 1Z percent of the $244 million FY 201 1/12 Generol Fund budget) ond eliminoted 276lvll+ime ond 1 'l port-time positions ocross oll funds. Combined with opproximotely $ZS.q million in employee "give-bocks" ochieved between FY 2OO9/10 ond FY 2013/14, this represents almost 577 million in combined "givebacks" and reductions over 7 vedrs. General Fund FY 2013r14 AdoDted ?-Yerr Total S lmrdr FT PT S lma.fr FT PT >rrhlic S:f&(s250.(xx)(sa.021.o95 (64.0 1-O Seratic (186.mO (2.O (s6.126.867 (66.0 (23.0 Mmini.id6S'ffi /t3c rrn ao5 /s3 1A6 694 (4 o Ecm & Cultura! Dev t42.m l$1.235.426 n7-o 3itwide ,st 61c 642 Sutfd,s /617 ffX)t25 (s2o 1a9724 t1a5 4 (2 o Trffifers 1S23 16A C66 Tol,3 ,617-000 12.5 3 a43-35A.690 na5..1 121.O nternal Servlce Funds 1373 flX){t o ls:t a71 225 {34 I Enterorls Funds (122.ffi (2.O 2.O ($3.651.O21 (53.0 10.o GRAND TOTAL REDUCTIONS 3 (1.112.000 (5.5 2.O 3 (50.880.936 I)7A E ,{1n TOTA (34.566.000 ($25.93.360 3 '5 77e OOO I55 2n 3 176414296 1276, 5 t,t,t o ' FY 2012r13 Budgeted lncluded 33.8 svlngs for EEplo!86 Glvebacks, of whlch only S9l8K rere achieved 16 tY 2O14/15 Proposed Work Plon ond Budget Messoge Poge A-5 The proposed FY 2Ol4 '5 General Fund budget adds 360 OOO in efliciency reductions and includes Sl.9 million in employee givebacks. Of note, the FY 2O14/15 proposed Generol Fund Budget is obout $42 million (18 percent) more thon the FY 2006/02 budget, despite pension contribution increoses of $27.3 million during the some period. lnflotion from Oclober, 2006 through June, 2O14, o similor period, wos opproximotely l8 percent. This reflects o significont decreose ocross oll other expenditures during thot time period. At this point, onnuol contributions to the City's two pension plons olone represenl more thon $55.1 million (20 percent) of the totol Generol Fund budget. As o result, pension reform continues to be o high priority for the City. The proposed FY 2014/15 Generol Fund budget includes positive impocls from union ogreements lotoling $1.9 million to the Generol Fund. As in post yeors, the Proposed Work Plon ond Budget wos developed through on intensive review process with our City Commission. Preliminory budget informotion wos provided ot the Commission Retreot on June 46 ond in meetings with the Finonce ond Cirywide Proiects Committee (FCWPC) on July 16, August 13, ond August 29. GENERAL FUND CURRENT SERVICE LEVEL BUDGET DEVETOP'UENT The Generol Fund is the primory source of funding for the moiority of City services. Revenues ore derived from od volorem property toxes, fronchise ond utility loxes, business license ond permit fees, revenue shoring from vorious stotewide loxes, user fees for services, fines, rents ond concession fees ond interest income. Additionolly, intergovernmentol revenues from Miomi-Dode County ond Resort Toxes contribute funding for tourist-reloted octivities provided by Generol Fund deportments. The first step in preporing the FY 2O14/15 budget wos on evoluolion of Current Service Level (CSL) revenues ond expenditures. CSL revenues represent the omount of revenues thot would be generoled bosed on existing tox rote, fees ond chorges. CSL expenditures represenl the expenditures ossocioted with providing the some level of service next yeor os in the current budget yeor. At the strotegic plonning retreot on June 4,2014, lhe Commission wos briefed regording the preliminory Generol Fund Current Service Level (CSL) budget. Property toxes comprise 447" of the totol Generol Fund revenue ond ore o key driver of CSL revenues. The Property Approiser provided the preliminory 2014 property volues on June 1,2O14. The preliminory 2014 property volues increosed 9.4/", which resulted in on increose of $l I million in Generol Fund property tox revenues. 17 FY 2O14/15 Proposed Work Plon ond Budget Messoge Poge A-6 CSL revenues were estimoted to increose $IZ.Z million due to on $l I million increose in property tox revenues, o $2.5 million increose in building permit revenue, o $l million increose in electric utility ond fronchise toxes, ond o decreose in prior-yeor setoside (onetime revenue) of $.l.8 million. The Resort Tox contribution ond Porking fund surplus contribution were ossumed to be flot. CSL expenditures were estimoted lo increose $tO.Z million due to solory increose from o 3% cost of living odiustment (COLA) ond O-2% merit poy, the impoct of onnuolized costs for items odded during FY 2013/14, the impoct of CSL deportment requests, ond sovings in net lower pension contributions due to sovings in Fire ond Police form lost yeor's pension reform offset by o slight increose in MBERP pension contribution. The preliminory CSL presented ot the June 4th strolegic plonning retreot totoled o net surplus of $2.0 million. Since thot time, the CSL wos updoted with the fiscol impoct of two items. On July I st the Property Approiser provided the certified toxoble volues for 2014 which ore the officiol numbers used for the budget process. The certified toxoble volues increosed 1O.3%, net of the City Center Redevelopment Areo, which wos higher thon the preliminory loxoble volue of 9.4%. This difference results in on odditionol $650,000 of property tox revenue. On the expenditure side, odditionol windstorm insuronce coveroge of $335,000 wos odded to the FY 2Ol 3/l4budget in the Risk Monogement fund ot the June I lth Commission meeting. The Risk Monogement fund is on internol service fund thot chorges out qll of its costs to other deportments in vorious funds. The Generol Fund comprises opproximotely 60% of the Risk chorges so the impoct to the Generol Fund for the FY 201 4/15 CSI is $20.l,000. The net result to the preliminory CSL surplus of $2.0 million given $650,000 of odditionol property tox revenue ond $20'l,OOO of odditionol windstorm coveroge expenditure is on updoted CSL surolus of $2.45 million. FY 2OL4IL5 CSL UPDATE CSL Revenues CSL Expenditures T2.7 million LO.l million Net Surplus/(Shortfall) Prellmil-ary.CSL SqlRtus. Additional Property Tax Revenue 2.O million S .._ 2,0 " million : 0.650' million I :Additional Windstorm Coverage Expense (0.2) million i Net Su rplus/(Shortfa I I )S 2.45 million 18 FY 201 4/15 Proposed Work Plon ond Budget Messoge Poge A-7 APPROACHES TO BALANCE At the August 13,2014 meeting with the Finonce ond Citywide Committee, Administrotion recommended efficiencies totoling $60,000 ond presented possible enhoncements totoling $2.45 million. The Commiitee opproved the recommended efficiencies ond oll but $S0,000 of the enhoncements. The Committee directed Administrotion lo evoluote o milloge rote reduction of O.O22O ond determine the omount of enhoncements thot could be tourism-reloted ond eligible for Resort Tox funding. At the next meeting Finonce ond Citywide Committee on Augusl 29h, Administrotion proposed o combined milloge rote decreose of 0.0926 mills (includes O.0234 debt service rote reduction). The proposed milloge role decreose represents opproximotely holf of the remoining milloge rote reduction gool of O.2O79 ond does not result in o property tox increose to medion or overoge property owners thot quolify for the homesteod exemplion ond the Sove Our Homes cop. ln order to obsorb the milloge role reduction, the enhoncements were reduced by o totol of $630,000 ond the Resort Tox lronsfer to the Generol Fund to offset tourism eligible expenditures wos increosed by $l,l l9,ooo. These chonges result in the obility to reduce property tox revenue $.l.5 million ond coupled with the existing impoct of $5.l 6,000 from the Debt Service milloge rote decreose, result in $2.0 million less in property tox revenue from the proposed milloge rote decreose. Toking into occount discussions ot the Finonce ond Citywide Proiects Committee meelings, the $2.45 million surplus in the Generol Fund Currenl Service Level Budget hos been bolonced through o combinotion of proposed efficiencies, enhoncements, ond chonges in revenues despite on odditionol milloge rote reduction of 0.0926. ftddfrryME Pr€lriEry E&€rdtuG Milirul fhrty TutuE e tr9r.!_c-pl_li!d- P_r9p!fty_VJl.u-f9 m lllly ltt Mitlrul wiffi k+e erpe,r9 appr-Jg a Jum rrm misim retng Mniml lnp*t Urcfm / Eficiftic6 dmiaemm bE.tu;*EcAlsiis cunO* o enmmArgtdi€tr 19 FY 201 4/15 Proposed Work Plon ond Budget Messoge Poge A-8 Efficiencies, Reductions ond Revenue Enhoncemenfs As with the preporotion of budgets for the lost seven yeors, deportments ore continuing to onolyze ond present their budget from two perspeclives: I ) reviewing for potentiol efficiencies, reorgonizotions to reduce cost, etc., without odversely impocting services; ond 2) performing o modified zero-bosed onolysis of eoch deportmenl budget, identifying potentiol service reduction olternotives versus core funclions. For eoch of the potentiol service reductions, deportments provided the type of impoct ond the mognitude of the impoct. Core functions were defined os those functions which, if cut, render it impossible for the deportment to provide bosic service ol o reosonoble level. ln spite of the significont reduclions in the Generol Fund over the losl seven yeors, we continue lo be prooctive in locoting odditionol efficiencies in the Generol Fund. For FY 2014/15 opproximotely $60,000 of efficiencies ore included in the proposed Generol Fund budget. The proposed efficiencies lo our existing progroms ond services ore shown in Attochment A. Three efficiencies ore recommended in the FY 2014/15 Budget. The first is to reduce controctuol television production costs by 50 percent by odding on in-house Medio Speciolist position in the Communicotions Deportment resulting in o sovings of $60,000 to the Generol Fund. The second efficiency eliminotes lhree vocont Firefighter I positions odded during the FY 2O1O/11 budget process lo reduce overlime on fie weekends. The weekend progrom hos been deemed ineffective ond the sovings from eliminoting the positions ore proposed to be opplied for o Troining Division Chief, which is the Fire Deportment's highest priority enhoncement request. The sovings from the efficiency is offset by the cost of the enhoncement. The third efficiency in the Property Monogement Deportment wos opproved by the City Commission on July 23,2O14. This efficiency implements o new service model for trodes such os corpenters, electricions, mosons, pointers, ond plumbers. This is port of on overoll strotegy to empower eoch deportment to control priorities in order to improve the level of mointenonce ond condition of our focilities. ln the 2014 Community Survey, residents roted the oppeoronce ond moinlenonce of the City's public buildings ol79 percent, o decreose from 87 percenl in the 2012 suwey. The new model should provide greoier flexibility ond potentiolly enhonced services for speciolty work while not resulting in ony employees losing employment with the City. However, we will be reducing the number of positions by nineteen with ossocioted sovings in equipmenl, moteriols, supplies, etc. ln oddition, the new model provides greoler flexibility by ollowing eoch deportment lo oddress their own priorities, minimize deloys, ond ovoid compeling deportment interests. The seventeen employees offecled by the chonge (two positions were vocont) will be ploced in olternote positions within Public Works ond the Porks ond Recreotion deportment. Fudhermore, their current compensotion ond benefits would not be impocted. Any sovings resulting from this chonge would be used lo enhonce services. 20 FY 201 4/15 Proposed Work Plon ond Budget Messoge Poge A-9 Service Enhoncements The proposed enhoncements found in Attochment B reflecl services thot our residents ond businesses identified os importont to them during the 2014 Community Sotisfoction Survey or priorities identified ot the City Commission retreot on June 4,2014. The enhoncements olso help further three priorities I identified during my selection process: (1) increosing public cleonliness ond sofety, (2) focusing on customer service to our residents, businesses, ond visitors, ond (3) improving the odministrotive operotions thot ore criticol to our service delivery. Highlights of the $5.8 million of enhoncements funded ocross oll funds lo oddress priorities in the City's Strolegic Plon include: . Address flooding ond the mitigotion of seolevel rise by odding funding for o formol Mitigotion Plon, enhonced slormwoler pump mointenonce, ond severol positions to implement lhe estimoted one-hundred plonned stormwoler proiects over the next five yeors. . The implementotion of Body Comero progroms lo improve occountobility in the Police, Code Complionce, Building, Fire, ond Porking deportments. . Severol enhoncements to improve cleonliness including oulsourcing the existing Cleonliness ond Appeoronce lndex ond creoting o new Porking Goroge lndex ond Bothroom lndex. Also included ore the oddition of ottendonts ot beochfront reslrooms in Lummus Pork ond 2l't Street, supporting the "con on every corner" initiotive by odding more litter cons ocross the City, ond enhoncing the cleonliness ond oppeoronce of City porking goroges by increosing the frequency of pressure cleoning ond woshdowns. . lmprove troffic ond mobility by creoting o new North Beoch Trolley, deploying lntelligent Tronsportotion System solulions for speciol evenis, implementing enhonced looding zone enforcement, promoting o bicycle sofety compoign, ond creoting o Mystery Rider progrom to ossess the level of service on our trolleys. . Estoblish o more prooctive code complionce environment by odding dedicoted officers in the Entertoinment District ond o unit to enforce Short-Term Rentols. lmprove the obility to more effeclively schedule for speciol detoils such os noise, vendors, ond flyers,/hondbills by converling twelve port-time positions to six full-time Code Complionce Officer positions. . lmprove security ot our city porks by creoting o new Pork Ronger progrom ond oddress homelessness ot Lummus Pork ond other locotions by conducting sweeps, providing for ombulonce service, enhonced trocking of the homeless, ond odditionol shelter beds. . Enhonce communicotions with our residents by implementing o new 3-l-l customer seryice model, enhoncing progromming on Miomi Beoch TV, ond enhonce the City's website ond sociol medio copobilities. . Enhonce hurricone ond disoster preporotion by funding key equipment ond oddress security upgrodes in City focilities thot will be supplemented by gront funds. 21 FY 201 4/15 Proposed Work Plon ond Budget Messoge Poge A-10 . Strengthen internol controls by odding o position in lnternol Audit to increose oudil coveroge os well os the quolity ond frequency of oudits. . Support excellence of our public schools by funding professionol development ot Noutilus Middle School ond Miomi Beoch Senior High to help sustoin the lnternotionol Boccoloureote progrom. . lmprove the building development process by providing optionol expedited plon review services, odditionol odministrotive support to the five Development Review Boords, ensure complionce with porking impoct fees, ond estoblish on unsofe structures ponel. . Severol odministrotive enhoncements including the implementotion of the first phose of on Employee Wellness progrom, improving the computing environment consistent with best proctice by reducing personol computer replocement from five to three yeors, improving prompt ond comprehensive legol services, enhoncing hoining in the Fire Deporlment, creoting on Employee Suggestion progrom lo spur innovotion, expedite the procurement of goods ond services, ond enhonce the implementotion of new porking technology systems. A list of potentiol odditionol enhoncements requested by deporlments but not recommended by me in the Proposed Budget con be found in Attochment C. While mony of these potentiol enhoncements ore importont ond should be considered over time, they were considered o lower prioritython those included in the FY 2O14/15 Proposed Budgetond Work Plon. lncreosed Use of Resoil Toxes to offset Tourism Eligible Expenditures in the Generol Fund Bosed on on outside consultont study conducted in 2010 using FY 2OO7/O8 octuol costs, it is estimoted thot there ore opproximotely $SO.S million in eligible resort lox expenditures in the Generol Fund. However, $8.8 million of these costs were estimoted os being oddressed by dedicoted funding pursuont to ihe Miomi-Dode County Convention Development Tox interlocol ogreement, thereby resulting in opproximotely $41.7 million in eligible Resorl Tox expenses in lhe GenerolFund. These include expenses ossocioted with police officers serving enterloinmenl oreos; o portion of fire rescue services from Fire Stotions 1 & 2; oceon rescue services; enhonced code complionce provided to respond to evening entertoinment oreo violotions ond stoffing of speciol events; other code complionce octivities in tourism ond visitor reloted focilitiesr/oreos; Tourism ond Culture Deportment ond the Culturol Arts Council; museums ond theoters (Gorden Center, Boss Museum, ond Colony Theoter); golf courses (net of revenues); Memoriol Doy ond other speciol event costs; homeless services; July 4'h; Visitor Center funding; holidoy lights; Jewish Museum; Miomi Design Preservotion Leogue (MDPL); Oronge Bowl; monuments; etc. Bosed on FY 2013/14 resort tox colleclions to dote, it is eslimoted thot there will be on odditionol $ I ,l I 9,000 ovoiloble in resort tox collections to provide odditionol funding for these Generol Fund 22 FY 201 4/15 Proposed Work Plon ond Budget Messoge Poge A-l 1 octivities in FY 201 4/15. The totol proposed ResortTox Fund honsfer to the Generol Fund for FY 2O14/15 is opproximotely $34.1 million. Use of One-Time Revenues The City's policy regording use of one-time revenues stotes thot "The City of Miomi Beoch will use onetime, non-recurring revenue for copitol expendifures or one'time expenditures ond not subsidize recurring personnel, operotions, ond mointenonce cost". Similor to the lost four yeors, the FY 2O14/15 Generol Fund revenues reflect the use of $1 .7 million in prior yeor surplus {revenues in excess of expenditures) specificolly set oside for this purpose ond Building Deportment reseryes of $1.5 million ore olso included. ln totol, the Generol Fund Operoting Budget reflects $3.2 million in onetime revenues, offset by o $1.4 million tronsfer to copitol. While this is generolly not o recommended finonciol proctice, it is being recommended ot this time so os lo ollow for o groduol decline in lhe use of onetime revenues for recurring expenditures over the next few yeors. As in prior yeor budgets, the intent will be to expend these dollors lost during the fiscol yeor, so thot if ony sovings ore ochieved throughout the yeor, lhe omounl of funds needed from this source will be reduced, in which event the funds will be ovoiloble to be used in subsequent fiscol yeors. The use of one-lime revenues is proposed to be decreosed by more lhon $1.8 million from FY 2O13/14. ln oddition, the $8.4 million in prior yeor Porking Fund operoting surplus, os wos initioted in FY 2010/11 , remoins ot the some level os FY 201 3/14. ln 201 4, the City of Miomi Beoch conducted its fifth set of comprehensive stotisticolly volid community sotisfoction surveys. The Community Survey wos designed to receive both resident ond business inpul on quolity of life, city services, ond toxes; ond to identify key drivers for improvement. The 2014 survey built on previous surveys in thot mony questions osked in previous studies were included in the 20.l4 study so comporisons could be exomined over time. Residents ond business owners were brutolly honest in their rotings; nonetheless 4 oui of 5 residents ond business owners would recommend the City of Miomi Beoch, ond Residents rote the quolity of life os very high. Responses to mony questions in the survey ore highly correloted, i.e., if troffic is on issue (os it is to o moiority of residenls), then rotings of other City services ore influenced. Residentiol rotings for quolity of life ond City services were down from 2012, olthough still high ot 77 percent, with the percentoge of residents who would recommend Miomi Beoch os o ploce to live trending up ot 8'l 23 FY 2014/15 Proposed Work Plon ond Budget Messoge Poge A-12 percent. Unlike the residentiol survey, the overoll snopshot of business rotings of the City were, on the whole, not significontly different from the 20.l2 rotings, with o substontiol number of services received positive rotings ronging trom 70 percenl to 95 percenl of businesses. These results indicote generol feedbock ond input from our residents ond businesses on their level of sotisfoction with the services we provide, os well os refined priority oreos for the orgonizotion to focus on, ond octionoble recommendotions for improvements lo our seryices. Detoiled survey results ore ovoiloble on the City's website ond the proposed FY 201 4/15 Citywide Work Plon con be found in Attochment E. PREMIER NEIGHBORHOODS Cleonliness Cleonliness of our City continues to be o priority for our residenis ond businesses. The City uses o quontitotive index to ossess the impoct of these efforts ond results hove shown significont overoll improvement in the lost nine yeors. ln FY 2012/13,89.1% percent of public oreos citywide were roted os cleon or very cleon comported lo 65.2 percent in FY 2005/06. The City's slrotegic plon includes key intended outcomes (KlOs) to improve cleonliness in high troffic oreos ond city beoches, ond to moximize deployment of trosh cons citywide. The Proposed Work Plon ond Budget includes severol enhoncements thot support these KlOs. The existing Cleonliness ond Appeoronce lndex is proposed to be performed by port-time positions, which will eliminote the need to utilize volunteer city personnel, thus improving productivity. Bosed on the success of this index, two new similor indexes ore proposed to be creoted to improve the cleonliness ond oppeoronce of city porking goroges ond public reslrooms. To improve the cleonliness ond oppeoronce of the City's porking goroges, severol initiotives ore proposed including increosed pressure cleoning from quorterly to every two months in goroges with high troffic, weekly woshdown of goroge romps to reduce dust ond tire debris, yeorly treotment to the concrete floors of the goroges, pointing of goroges on o five yeor schedule storting in FY 201 5/16, ond one-time replocement ond stondordizotion of trosh cons ol oll goroges. To provide better service ond improve cleonliness ot beochfront restrooms in Lummus Pork ond 21" Street, oftendonts ore proposed to be odded on weekends, holidoys, ond speciol evenls. The proposed budget olso includes support for the "con on every corner" iniliotive by odding more trosh cons ocross the City, especiolly in North Beoch. lmpioiCd cleanlinesr of parking''golrolges and beachlrcnt 24 FY 201 4/ 15 Proposed Work Plon ond Budget Messoge Poge A-13 Homelessness Revitolizing key neighborhoods is o KIO in the City's strotegic plon, especiolly in North Beoch ond Oceon Drive. ln the 2014 Conmunity Survey, homelessness wos o criticol issue for residenls os only 37 percent gove positive rotings for how the City oddresses this issue, down from 44 percent in 2009. The FY 2O14/15 Budget includes funding to oddress homelessness ot Lummus Pork ond oncillory locotions by odding positions lo conduct 4:00 om sweeps in the pork, provide ombulonce service to tronsport mobility-impoired homeless persons, homeless trocking io include briefings for court heorings to include service history, ond odditionol flex-use shelter beds. Code Enforcement The FY 2O14/15 Budget includes funding to estoblish o more prooclive code complionce environment by odding two Code Complionce Officers in the Enterloinment District (Oceon Drive, Collins Avenue, ond Woshington Avenue), two Code Complionce Officers to enforce Short-Term Rentols/Tronsient Use on o full+ime bosis, ond one odministrotive position to support cose files ond legol notices for the new positions. Code Offrcers dedicaud Jo the Enfre@inm ei!,i stric, and Jo enforce Sho* Term Rentals Two odditionol positions ore olso odded to provide increosed occountobility ond improved cose flow including o reduction of process time, ond to focilitote finonciol ond odministrotive funciions ond provide cuslomer service support. To improve the obility for Code Complionce to more effectively schedule for speciol detoils such os noise, vendors, ond flyers,/hondbills, twelve port-time Code Complionce Officer positions ore proposed to be converted to six full-time positions. This enhoncement ollows for o tronsformotion of the deportmenl thot supports the KIO in the City's strotegic plon for ensuring complionce with code ond oddresses the declining rotings regording the oppropriote level of code enforcemenl in the 2014 Community Survey 162%conpored to 71%in 2005). INFRASTRUCTURE Storm Droinooe The 20'14 Community Survey identified storm droinoge os o key issue for residents. Only 25% of residents roted storm droinoge os excellent or good compored to 2009 144%l ond 2012 ,37%1. lnterestingly, neorly nine out of ten residents 187%l cloimed they would support the City spending tox dollors to oddress rising seo levels. During FY 201 3/14, two new committees were formed to oddress the City's currenl ond future droinoge issues, the Moyor's Blue Ribbon Ponel on Flooding ond Seo Rise ond the Flooding Mitigotion Committee. The City's strotegic plon includes o KIO lo ensure relioble stormwoter monogement ond resiliency ogoinst flooding through short ond long-term solulions oddressing seo-level rise. The FY 2014/15 Budget includes funding for severol positions to implement dozens of plonned stormwoter proiects 25 FY 2O14/15 Proposed Work Plon ond Budget Messoge Poge A-14 over lhe next five yeors to help convert the city's droinoge system from o grovity-bosed system to o pumped system. Also included is funding for enhonced pump mointenonce, stormwoter moin cleoning, ond o formol mitigotion plon to oddress seo-level rise. To fund these enhoncements ond copilol needs, the FY 2014/15 Budget includes o slormwoter role of $16.67 per equivolent residentiol unit, which represents on increose of $7.61 per month obove the FY 2O13/14 rote of $9.06 per month. Troffic Flow ln the 20.l4 Community Survey, troffic wos identified os the number one problem for residents os only 167" roted.troffic flow os excellent or good. Fositive rotings for troffic flow hove been declining since 2005, when 36% of residents felt troffic flow os positive. The City's strotegic plon includes o KIO to ensure comprehensive mobility oddressing oll modes throughout the city. The FY 2014/15 Budget includes funding for deployment of on interim lntelligent Tronsportotion System (lTS) solution for moior speciol events ond high impoct periods. The long{erm ITS solution is proiected to cost opproximotely $'14.5 million, of which o $4.5 million motch is included in the FY 2014/15 Copitol Budget ond $10 million hos been requested lhrough o Tronsportotion lnvestment Generoting Economic Recovery flGER) gront from the U.S. Deporlment of Tronsportotion. To oddress troffic chollenges resulting from commerciol looding on enhonced looding zone enforcement progrom will be implemented by ossigning Police officers io dedicoted enforcement (moving violotions) for obskuction of troffic (double porking) on moior thoroughfores. lncreosing mobility through trolleys or locol bus circulotors hos been o priority over the lost yeor. ln the 2014 Community Survey, neorly holf of residents 149%l cloimed they would ride kolleys or locol bus circulotors. ln oddition to providing funding for the South Beoch Locol, during the post yeor the City Commission opproved o temporory Alton/West holley service to help mitigote the impoct of the Alton Rood from 5'h Street to Michigon Avenue Florido Deporlment of Tronsportotion proiect ond o new North Beoch Locol which is onticipoted to begin service in October. ln order to ossess the level of service on our trollies ond circulotors, o new Mystery Rider progrom is proposed to be creoted. The results will be used to meosure customer service, rehobility of service, ond mointenonce ond cleonliness of vehicles. A dedicoted Tronsportotion Plonner position is olso proposed to be odded to provide support to vorious tronsportotion initiotives, including the trolleys ond circulotors, outomoted troffic monitoring, ond the new Next Bus mobile opplicotion technology. The FY 2014/15 Budget olso includes funding lo promole o bicycle sofety compoign os recommended by the Finonce ond Citywide Proiects Committee to help reduce occidents in the community. 26 FY 201 4/15 Proposed Work Plon ond Budget Messoge Poge A-15 Hurricone Preporotion qnd Securitlr The 2O14 Community Survey reflected o decreose in the roting for emergency/hurricone preporedness of 84% lron 92% in 2009. The FY 2O14/15 Budget enhonces hurricone ond disoster preporotion by funding the ocquisition of key equipment including on emergency response troiler, portoble generotors ond lighting units, emergency mobile communicotion kits, ond o 4 wheel drive vehicle. Funding is olso included lo oddress security upgrodes in city focilities by funding odditionol security comeros ond increosed occess control meosures ond implementotion of Crime Prevention through Environmentol Design (CPTED) infrostructure enhoncements. Additionol funding of $.l00,000 to $200,000 for CPTED infrostruclure enhoncemenls is onticipoted from exisiing ond upcoming Urbon Areos Security lnitiotive (UASI) gront funds. POLICING CULTURE Accountqbility The FY 2014/15 Budget includes the implementolion of o Body Comero progrom in the Police Deportmenl to improve lronsporency ond occountobility by recording police officers' interoctions with the public. The first yeor of the progrom provides for two posilions to ensure proper video evidence recovery ond mointenonce of the choin of custody os well os the purchose of 50 comeros ond onother 50 comeros ore being provided by the vendor free of chorge. Additionol comeros ore onticipoted to be requested in FY 201 5/16. Body comeros ore olso proposed to be rolled out in the Code Complionce, Building, Fire, ond Porking deportments. This enhoncement supports the KIO in the City's strotegic plon to insist on Police Deportment occountobility ond skilled mo nogement/leodersh ip. Gustomer Service The FY 2O14/15 Budget includes funding to improve security ot city porks by creoting o new Pork Ronger progrom. This progrom would provide four Pork Ronger positions to potrol the porks, provide odditionol security, ond enforce complionce with city ordinonces ond pork rules. The Rongers would olso provide ossistonce with sociol issues such os tronsient comping in the porks ond loitering. They would porlner with vorious other forces such os the Porks & Recreotion Deportment, the Police Deporlment, the Miomi-Dode County School Police, ond Neighborhood Wotch groups. Adds 4 payrk. '., 1ngg.r ,,':, 1:, :1mPrOYC.,:,;; 's,ecurity at,.ai,,:. porks."'i A new Crime Scene 3D Comero System will be purchosed through Confiscoted Trust funds, (Attochment D) to help cleor crimes scenes fosler, especiolly vehicle occidents to help mitigote negotive impocts on troffic flow. These enhoncements reflect o KIO in the strotegic plon to reform policing culture with o customer service emphosis. 27 FY 201 4/15 Proposed Work Plon ond Budget Messoge Poge A-16 EDUCATIONAL EXCETTENCE lmorove Public Schoo! Accountobilitv ln 2008, the City of Miomi Beoch ollocoted $500,000 to help oll public schools in Miomi Beoch offer the lnternolionol Boccoloureote (lB) progrom. Miomi Beoch is the only city in the stote in which children hove occess to the lB progrom without hoving to ottend o mognel school. The FY 2O14/15 Budget includes funding to coordinote ond host on lnternotionol Boccoloureote (lB) professionol workshop for instructionol stoff ot Noutilus Middle School ond Miomi Beoch Senior High to help sustoin the lB progrom ond support reouthorizotion for eoch school through the lnternolionol Boccoloureote Orgonizotion. IIAANAGE'YTENT & SERVICE DELIVERY Communicotion The City's strotegic plon includes o KIO lo enhonce externol ond internol communicotion from ond within the City. The 2014 Community Survey indicotes thot holf of residents thol contoct the city wont to file o comploint. The FY 2O14/15 Budget includes on enhoncement to implement phose one of o new 3-l-l customer seryice model. lncoming colls would be routed through the Customer Service coll center ond o new consolidoted City Worning Point dispotch function would be creoted for high priority service colls reloted to progroms in Public Works, Porking, Code, Tronsporlotion, ond Emergency Monogement. This initiotive dovetoils with the new Miomi Beoch eGov smorl phone opp thot lounched in June 2O14, thot ollows the public to report reol-time neighborhood concerns such os obondoned property, olley cleonliness, groffiti, illegol dumping, broken sidewolks, potholes, ond homeless octivity, omong olhers, to the oppropriote municipol government office in o snop. The smort reports include o photo ond GPS locotion lhot outomoticolly integrotes with the City's customer support center. The 2014 Community Survey showed thot sources of informotion to our residenls concerning lhe City's octivities continue to become more diverse ond segmented ond thot sotisfoction with the City's website hod decreosed from 87 percent in 20.l2 to79 percent in 2014. The Proposed Budget includes funding for enhonced progromming on Miomi Beoch TV ond o new position to help enhonce the City's website ond sociol medio copobilities. Buildino/Development-Reloted Processes The FY 2O14/15 Budget includes enhoncements consistent with the KIO in the strolegic plon to improve building/development review services. One enhoncement is to improve efficient ond timely delivery of plon review services in the Plonning Deportment by providing optionol expedited review in coordinotion with the Building Deportment. This enhoncement would offer cuslomers comporoble services os currently performed by Building ond would deliver the enhonced service by ossigning two stoff members to review plons during Soturdoy sessions. Customers would moke written requests ond poyment by Thursdoy, 5:00 p.m. for expedited review to occur thot Soturdoy. 28 FY 201 4/15 Proposed Work Plon ond Budget Messoge Poge A-12 Another enhoncement is to improve odministrotive support to lhe five Development Review Boords by odding on odministrotive position. ln oddition to improving quolity control ond the delivery of services, the position would enhonce tronsporency by moking ovoiloble complete ond timely informotion for viewing, including completed boord opplicotion submittols with drowings, ogendos, ond ofter<ctions. An odditionol enhoncement is to ensure complionce ond occurocy os it relotes lo the odministrotion of the Porking lmpoct Fee policies ond procedures by odding o position to moke sile visits to help ossist with the occurote ond consistent odministrotion of the Concurrency Mitigotion Progrom. Finolly, on unsofe struclures ponel will be creoted lo streomline fie unsofe struclures process thot is currently coordinoled by the County. lnnovqtion The City's strotegic plon includes o KIO lo improve the City's monogeriol leodership to reword innovotion ond performonce. The FY 2O14/15 Budgei includes funding to creote on Employee Suggestion Progrom to inspire City employees to shore innovotive ideos which moy enhonce City services. Eligible employees identify o specific problem ond suggest o specific method or improvement to do o iob or procedure better. Employees would receive o recognition oword for vioble suggestions ond o speciol oword bosed on the sovings or increose in revenue generoted with owords ronging from $50 lo o moximum of $5,000 per suggeslion. Porlicipoting employees with vioble suggestions will receive o certificote ond o $25 reword regordless of whether or not sovings/revenues ore generoted. Stenothen Internql Conlrols The FY 2O14/15 Budget includes funding to increose oudit coveroge of high risk oreos from 29 to 90 percent ond oddress increoses in oudit requesls by odding o position to lnternol Audit. The position would odd ten odditionol oudil oreos per yeor ond increose the quolity ond frequency of oudits. Streomline Deliverlr of Services Severol odministrotive enhoncements thot supporl the KIO in the strotegic plon to streomline the delivery of services through oll deportmenls ore included in the FY 2O14/15 Budget such os: . lmproving the compuling environment consistent with best proctice by reducing personol computer replocement from five lo three yeors . lmplementing the first phose of on Employee Wellness progrom to encouroge employees to mointoin o heolthy lifestyle ond help reduce long-term medicol plon costs. Wellness plons ore designed, using incentives, to ossist employees in odopting lifestyle chonges to promote physicol ond emolionol well-being, with lower heolth core costs for the employer os lhe ultimote gool. 29 FY 201 4/15 Proposed Work Plon ond Budget Messoge Poge A-18 . lmproving limeliness ond efficient delivery of legol services provided to the City Commission ond City Administrotion by odding o position in the City Attorney's Office . Expedite the ocquisition of goods ond services in City deportments by converting o port-time position to full-time to monoge the eMorketploce ond the stondord order cotolog in the Procurement Deportment . Add o position to implement ond monoge new lechnology in the Porking Deportment such os the Miomi Beoch Mobile smortphone opp, PorkMobile poy by phone service, License Plote Reoders, occess cord poyments opplicotion integrotion, etc. . Enhonce troining in the Fire Deportment by odding o Troining Division Chief os it is one of the most crilicol elements for success ond o key component of being roted o Closs I ogency by lnternotionol Stondordizotion Orgonizotion (lSO). During the current yeor, lhe City hos begun the Munis/Energov technology proiect to reploce its existing ERP ond permitting ond licensing system over the next three yeors. This key proiect includes funding for o full business process review (BPR) of oll functionol oreos of the new systems prior to the commencement of implementotion octivities. The gool of the BPR is twoJold: (11 moke business operotions more efficient ond effeclive; (2) ond more effectively utilize iechnologicol investments. ln this monner, the new systems will be oligned with improved processes offering the greotest opportunity to improve the City's business operotions. As port of the proiect kickoff in Augusl, the outhor of Extreme Government Mokeover spoke to over 300 porticiponts regording innovolive opprooches ond tools io streomline processes. Mony positive process chonges ore onticipoted os the Munis/Energov proiect progresses. Since FY 2005/06, the budget for the Generol Fund hos included funding specificolly for lnformotion & Communicotions Technology Proiects. Eoch yeor, deportments propose proiects which ore then reviewed ond prioritized by the lT Sleering Committee, which is comprised of the Assistonl City Monogers, the Chief Finonciol Officer, the Fire ond Police Chiefs, the lT Director, ond the Budget Director. Funding for the FY 201 4/15 proposed proiects totols $395,000 ond is funded by o tronsfer of $395,000 (some omount os FY 2013/14]r from the Generol Fund lo the lnformotion & Communicotions Technology Fund. Below is o summory of the proposed proiects. Fuel Monogement System Upgrode ($.l05.000): The current fuel monogement system is no longer supported by the monufocturer due to o tronsition to next- generotion wireless technology. This proiect would updote the current system to the new wireless, webenobled system which is more relioble ond provides enhonced fuel monogement functionolity such os dynomic grophicol disploys for on-line reol- time monitoring, control, ond remote enhonced diognostics. 30 FY 201 4/15 Proposed Work Plon ond Budget Messoge Poge A-'19 PulsePoint App ($25.000): Sudden Cordioc Arrest (SCA) is o leoding couse of deoth in the U.S. occounting for on estimoted 325,000 deoths eoch yeor. Only obout o third of SCA victims receive bystonder CPR. The Americon Heort Associotion eslimotes thot effective bystonder CPR, provided immediotely ofier SCA, con double or triple o person's chonce of survivol. The PulsePoini mobile opp olerts CPR+roined bystonders to someone neorby hoving o sudden cordioc orrest thot moy require CPR. The purpose of the opp is to increose the survivol roles of cordioc orresl victims by reducing collo pse-toCPR ti mes ond col lopsetodefi bri llotions li mes. OpenGov Business lntelligence Softwore ($25.000): This proiect would fund web bosed softwore thot lets governments ond ciiizens eosily occess, explore, ond shore finonce ond budget informotion. This business intelligence softwore pulls informotion from the City's generol ledger ond tronsforms the doto into occessible, understondoble, meoningful, ond octionoble informotion. The softwore's intuitive novigotion ond visuolizotions let users find ond onolyze revenue ond expense informotion by deportmenl, fund, or cotegory in iust o few clicks. This tool would improve internol efficiencies ond build tronsporency ond engogement with constituents. Active Strotegy Upgrode ($35.000): This proiect upgrodes the City's performonce monogement softwore. Active Strotegy hos odvised the City's current version of the softwore will no longer be supported. The upgrode would include odditionol functionolity including on updoted presentotion feoture ond enhonced security feotures. Enterprise Shorepoint lmplementotion Cloud ($90.000): This proiect would implement Microsoh Shorepoint, o populor colloborotion ond work flow tool, on on enterprise bosis ond moke it ovoiloble to City deportments for their use. For exomple, if severol deportments ore working on o common initiotive, o website con be creoted in Shorepoint thot ollows for document shoring, outomoted work flows, ond occess to informotion by everyone on the teom. One of the first onticipoted uses of Shorepoint would be to help coordinote Emergency Monogement octivities ocross the orgonizotion ond outside ogencies. Further, the following proiects do not require funding, bul ore plonned to be under development nexl yeor with in-house stoffing resources: Housing Registry: This proiect would creote on Affordoble Housing Registry which trocks oll properties designoted os offordoble ond their respective offordobllity periods. For those offordoble units which ore rentols, it enobles the City to trock voconcies ond ensure its proper reporting to US Deportment of Housing ond Urbon Development (which is o controctuol requirement of the City os on entitlement community). The Registry will help the City mointoin complionce wiih HUD ond ensure funding of the City's onnuol entitlement funds (obout $2 million). 31 FY 201 4/ 15 Proposed Work Plon ond Budget Messoge Poge A-20 Proiect Homeless lD: This proiect would oddress lhe increosing need lo document ond trock homeless clients in the field by providing timely informotion regording o homeless person's stotus, referrol history, ond current progress. The current process is timeintensive os stoff monuolly creote cose notes ond referrol histories for eoch client. This proiect would outomote the process, free up voluoble stoff lime, ond moke key client informotion more occessible in the field. Porking Goroge ond Restroom lndex: This proiect creotes on index to ossess lhe restrooms ond porking goroges ocross the city, similor to the index used in the City's Cleonliness progrom. The progrom would provide reol-time informotion to responsible deportments on the stotus of public restrooms ond porking goroges ond result in cleoner, better mointoined focilities. VALUE OF SERVICES FOR TAX DOTLARS PAID As noted eorlier, between FY 2OO7/O8 ond FY 20]3/14, the Generol Fund obsorbed olmost $43 million in reductions ond opproximotely $51 million ond276 positions ocross oll funds. Further, o totol of opproximotely $20 million in employee "givebocks" were ochieved between FY 2OO9/10 ond FY 201 1/12, through o combinotion of freezing cost of living odiustments for oll employees for two ond oneholf yeors, eliminotion of merit increoses for oll employee except members of the Froternol Order of Police (FOP) ond lnternotionol Associotion of Firefighters) IAFF, increosed contribution to pension for oll employees except members of FOP ond IAFF, pension plon chonges for the Miomi Beoch Employees Retirement Plon, increosed contributions for tokehome vehicles by FOP members for l8 months, reduced holidoy poy for IAFF members, ond increosed contributions to heolth insuronce by members of the FOP ond IAFF for l8 months. ln oddition, the FY 2012/13 bud1et included $9.l8,000 in employee "givebocks" ond the FY 2013/14 budget included $4.6 million. Along with $5.l million in reductions, this represents olmost 577 million in combined "oivebacks" and reductions over 7 vears. All of the givebocks ochieved, except the l8 month increosed contribution to heolth by FOP ond IAFF ond ihe increosed contributions for toke-home vehicles by FOP members for 18 months, represent ongoing, recurring sovings to the City ond the employee givebocks contribute significontly lowords the City's strotegic gool (key intended outcome) to control poyroll costs. Although the economy oppeors to hove stobilized, the impoct of fie recent recession impocted both property lox revenues os well os pension costs. Therefore, the City's strotegy continues to consider the long lerm finonciol sustoinobility of the City. Beginning with the development of the FY 2OO9/10 budget, o strotegy wos developed to oddress short-term, mid+erm ond long-term finonciol needs. . Strotegies to oddress shorFterm finonciol needs included ongoing efficiencies ond woge concessions by employees. 32 FY 201 4/15 Proposed Work Plon ond Budget Messoge Poge A-21 . Mid-term finonciol sustoinobility wos oddressed by pension concessions from current employees in the Miomi Beoch Employees Retirement Plon . Longer term finonciol sustoinobility is enhonced by the pension plon restructures thot hove been put in ploce for employees in the City's retirement plons. For exomple, for Generol Employees, the plon reslructure odopted for new employees is proiected by the City's octuory to reduce the City's onnuol required contribulion by olmost $l million in FY 2O12/13, with odditionol reductions onnuolly os the number of employees in the Miomi Beoch Employees Retirement Plon hired ofter October 1, 2010 conlinues to increose. Further, odditionol pension plon reform recommendolions were developed by the City's Budget Advisory Committee (BAC) for the Fire ond Police Pension Plon for considerotion os port of the FY 2013/14 odopted budget. While the specific BAC recommendotions were not implemented, the pension reform ogreed upon by IAFF ond FOP generoted sovings is in excess of the BAC recommendotions: $5.6 million in the first yeor, $1.9 million in the second yeor, ond $,l40 million net present volue over 30 yeors. With the proposed 360 OOO in efficiencies and Sl.9 million in employee givebacks incorporated in the Proposed Work Plan and Budget for FY 2Ol4'15 the 8 year total of reductions and employee givebacks is 579 million. General Fund FY 2O1tU15 ProDosed 8-Year Total $ lrrcacts FT PT $ lrnacts FT PT )ublic Safety (3.0 ($8.021.095',(71.O 1.O )oerations (s6.126.867'(66.0 (23.01 \dministrative SuDport (60.ooo 1.0 (s3.246.694'(33.4'1.O :con & Cultural Dev (s1.235.426'17.O litvwide (:81.619.642'. Subtota s (60.000 e.o $20.249.724'(185.4 (21 0 lransfers (s23.168.966'. Total $ (60,0001 t2.o 3 (4it_418.6901 {185.4',121.O' nternal Service Funds (19.0 $3.871.225'(57.1 :nterprise Funds ($3.651.021 (53.0'10.0 GRAID TOTAL REDUCTIONS s (60.000'121.O $ (s0.940.930 (295.s',11.01 !d Erplo),ee Givebacks' TOTAL REDUCTIONS At.ID ($1.900.000'($27.833.360', 3 (1.960.000'(21.O s (7a.7711.296r.,1295.s'.(11.O', The 2014 Environmentol Scon conducted os port of the strotegic plonning process showed thot the overoge doily populotion in the city hos grown olmost 36 percent from 2003 to 2013. Much of lhis increose consisls of odditionol tourists (96 percent), seosonol residents (61 percent), non-tourist beoch visitors (56 percent), ond non-resident workers (23 percent). Hoving over one-third more people in fie city over the lost ten yeors, without on offsetting increose in budget con result in services becoming degroded over lime. The chort below shows the Generol Fund budget ond Generol Obligotion Bond Debt Service budget divided by the overoge doily populotion from 2007 to 2013. The chort shows thot the overoge doily populotion hos grown foster thon the budget ond thot lhe FY 20.12/13 omounl is'15 percent below the FY 2006/07 omount. ln the 2014 Community Survey, residents' rotings of the volue of city services for tox dollors poid os excellent or good improved from 46 percent in 2007 to 58 percent in 2014. 33 FY 2O14/15 Proposed Work Plon ond Budget Messoge Poge A-22 Genera! Fund and G.O. Debt Budget by Average Daily Population 2007 -2013 !q!e: Aver.ge Daily Populationtor FY 2013-14 not available 2(x)E"r}' Zxlg-ro 201G1r * GF Exp perADP I GO Debt perADP: until e6d of calendaryear Despite the dromotic impoct of severol yeors of reduclions due to property lox reform exocerboied by o dromotic downturn in property volues ond dromotic increoses in pension cosls, it hos been our obiective lo preserve services to our city os well os the mony unique benefits provided to our residents. The Proposed Work Plon ond Budget preserves benefits specificolly for City of Miomi Beoch residenls, including: . Our free "Culture in the Porks" series; . Access to free culturol orts progroms (theoter, donce, music ond visuol orts) for children involved in ofter school ond summer comps; . Scholorship speciolty comps in the summer, in oddition to children poriicipoting in doy comps; ond progroms for troveling othletic leogues. . Free occess to City pools on weekends ond during non-progrommed hours; . Free generol odmission to our Youth Centers on weekends ond during non-progrommed hours;. Free Leorn{o-Swim progroms for 3 to 4 yeor old residents; . Reduced resident rotes for recreotion progroms . Free "fomily friendly" Movies in the Pork; . Free odmission to museums on Miomi Beoch, including lhe Boss ond Wolfsonion Museums every doy ond the Jewish Museum on Wednesdoys, Fridoys ond Soturdoys; . Free occess to the moiority of our senior citizen progroms ond speciol populotions progroms, including severol free donces thot toke ploce throughout the yeor; . Free crime onolysis of residents' homes by our Police Deportment; ond . Free child sofety seot checks by our Fire Deportment. *_i 34 FY 201 4/15 Proposed Work Plon ond Budget Messoge Poge A-23 ANALYSIS OF PROPERTY VALUES IN 'IAIAIi'II BEACH On July 1,2014, the City received the "2014 Certificotion of Toxoble Volue" from the Property Approiser's Office stoting thot the toxoble volue for the City of Miomi Beoch is $27.1 billion including $lSZ.Z million in new construction. The preliminory 2014 volue represents on increose oI $2.4 billion or 9.9 percenl more lhon the July 1, 2013, Certificotion of Toxoble Volue oi $24.6 billion ond on increose of 9.3 percent, excluding new construction. The comporotive ossessed volues for the Miomi Beoch Redevelopment Agency City Center redevelopment district increosed from $3.9 billion to $4.2 billion on increose of $St5 million or on 8.1 percent increose over 2013 ce*ified voluds. ln oddition, ossessed volues within the geogrophic oreo formerly known os the South Pointe redevelopment districl increosed from $3.9 billion to $4.3 blllion on increose of $4.l3 million, or o 10.5 percent increose in volues over 2013 certified volues. As o result, toxoble volues in the oreos outside the City Cenler RDA/South Pointe oreo increosed by 10.2 percent, from $tO.q billion to $18.6 billion, on increose of $.l.7 million. Citywide volues excluding City Center increosed from $20.8 billion to $22.9 billion, on increose of $Z.t billion or lO.3 percent. Volues outside the City Center oreo determine Generol Fund revenues. COMPARATIVE ASSESSED VALUES (in billions) Jon. I 2013 Volue (in billionsl %Cho Jon. 1,2014 Volue (in billionsl Chonge from 2013 Volue lBudoetl As of July I 20r 3 (For FY 2013/14 Budoeil Revised Volue (For FY 2013/'t4 Proiectionl Chonge in 2013 Volues As of July I 20r 3 lFor 2Ol4/15 Budoetl $ lin billionsl %Cho RDA - City Ctr $ 3.8714 $ 3.634r $ (0.23731 -6.1"/"$ 4.1867 $ 0.3rs3 8.1"1 South Pointe 3.9r 48 3.769t t0.14561 -3.7"1 4.327!$ 0.4127 1o.5"/, Generol Fund excl S.Pte 16.8703 16.2351 (0.634e)-3.8"1 18.594i $ 1.7239 1o.2"/, Totol Citywide $ 24.6s65 $2s.6387 (r .0r 78)-4.1"1 $ 27.108a $ 2.4s19 9.9% Citywide Net ol CiV Cenier $ 20.78sr $20.004($ (0.7805)-3.8"1 $ 22.9217 $ 2.rs66 10.3% Determining the Operoting Milloge levy The first building block in developing o municipol budget is the estoblishment of the volue of one mill of toxotion, wherein the mill is defined os $].00 of od volorem tox for eoch $'1,000 of property volue. For the City of Miomi Beoch, the volue for eoch mill is determined by the 2014 Certificotion of Toxoble Volue ond hos been set ot $27.1 million. Florido Stotutes permit o discount 35 tY 2O14/15 Proposed Work Plon ond Budgel Messoge Poge A-24 of up to five percent for eorly poyment discounts, delinquencies, etc. Therefore, the 95 percent volue of the mill is $25.7 million. Net of Center City RDA tox increment ovoiloble to lhe Generol Fund, the volue of one mill ot 95 percent is $22.0 million. lmpocts of Chonges in Property Volues The FY 2013/14 operoting milloge role for generol City operotions wos 5.8634 bosed on July, 2013 Certificotion of Toxoble Volue. Bosed on the July I ,2O14 Certificotion of Toxoble Volue, 5.8634 mills would generote opproximotely $tOS.l million ot .l00% collection l$156.9 million ot 95% collection) in generol tox revenues, on increose of $14.3 million ot 100% collection ($tS.O million ot 95% collection) over FY 2013/14 property tox revenues Citywide (Generol Fund, City Center RDA ond the South Pointe oreo). The Generol Fund property tox revenues would increose by $l 1.9 million, if the FY 2013/14 milloge rote wos mointoined. Further, theJonuory,12013 tox roll Citywide declined by $.l.02 billion 14.1%l between theJuly 1,2013 voluotion ond theJuly 1,20.l4 voluotion due to oppeols, odiustments, etc., which is port of the reoson thot the FY 201 4/l5 "rolled-bock role" is significontly less thon the FY 2013/14 current milloge rote. Stote Legisloted Operoting Milloge Requiremenls Further, pursuonl lo recently enocted Stote legislolion, the City moy elect to opprove milloge rotes obove the roll-bock rote up lo the constitutionol cop of l0 mills subiect to the following votes by the Commission or referendum : . Option l: A moiority of the Commission is required to opprove o milloge up ro 7.2121 (equivolent to 3.15 percent increose in property tox revenues). The 3.15 percent increose is the siote per copito personol income goin for the prior colendor yeor. . Opfion !l: A two+hirds opprovol (5 of Z votes) of the Commission is required lo opprove o milloge up to 2.9333 (equivolenl to o 10 percent increose in the od volorem revenues obove Option l). . Option III: A unonimous opprovol of the Commission or referendum is required lo opprove o milloge obove 7.9333 up to the 10 mill cop The proposed operoting milloge rote of 5.7942 therefore requires o moiority opprovol 14 of 7 votes) of the Commission. Determining the Voted Debt Service Milloge Leyy The generol obligotion debt service poyment for FY 2014/15 is opproximotely $5.9 million. Bosed on the July l, 2O14 Certified Toxoble Volue from the Property Approiser, these bonds would require the levy of o voted debt service milloge o{ 0.2295 mills. This represents o decreose of 0.0234 mills. 36 FY 201 4/15 Proposed Work Plon ond Budget Messoge Poge A-25 Combining the Operoting ond Voted Debt Service Milloge Levy At the July 23,2O14 Commission meeting, the Commission set the operoting milloge ot the some level os FY 2013/14 ond the voted debt service milloge decreosed by 0.0234 mills. This represents o totol decreose in lhe operoting milloge rote of 0.0234 mills. On August 29th, the Finonce ond Citywide Proiects Committee voted to reduce the operoting milloge rote on odditionol 0.0692 mills for o combined milloge rote reduction of 0.0926 mills compored ro FY 2013/14. lllustroted below is o comporison of the combined milloge roles ond od volorem revenues to the City of Miomi Beoch for FY 2013/14 ond FY 201 4/15 lpreliminory) including RDA. lt is recommended thot in the Generol Fund, 0.I083 mills of the lotol operoting milloge continue to be dedicoted to renewol ond replocement, resuhing in opproximotely $2..l8 million in renewol ond replocement funding. The proposed milloge rote is 1.5% less thon FY 2013/14 ond 21.5% less thon FY 2006/07. %lnc/lDecl City of Miami Beach Millage Rates Operating Capital Renewal & Replacement Sub-total Operating Millage Debt SerMce Total FY 06/07 7.',t920 0.1820 FY 13114 5.7551 0.1083 ffi1{.# !nc/(Dec) From From FY13l14 FY 06/07 wtffi ?1.llllL.t".,.f,rrt ffiiiil.;i;;::lsttit1" H -0.06e2 H, 0.0000 7.3740 0.2990 5.8634 0.2529 W -0.0692# -o.o2u -1.2% -21.404 -9.3% -23.2o/o 7.6730 6.1163 I lttt ffi -0.0926 -1.5o/o -21.5o/o lmpoct on Homesteoded Properfies Amendment l0 to the Stote Constitution took effect on Jonuory l, 1995 ond limited the increose in ossessed volue of homesteoded property to the percentoge increose in the consumer price index (CPl) or three percent l3%1, whichever is less. For 201 4, the CPI hos been determined to be 1.5 percentond therefore, the increose is copped or 15% for increosed volues os of Jonuory 1,2O14. Overoll, bosed on the homesteoded properties in the Jonuory 1 , 2013 homesteod volues os of July 1, 2013 voluotion, the medion volue of homesteoded property in Miomi Beoch tor 2013 wos $132,371, ond the overoge $31 7,086. Applying the increose to the morket volue of oll existing homesteoded properties from the 2013 tox roll, ond the 1.5 percent CPI odiustmenl, the impoct of the milloge rote odiustment lo homesteoded properties would be no increose in property toxes os shown in the following toble. 37 FY 201 4/15 Proposed Work Plon ond Budget Messoge Poge 4-26 Homesteaded Prooerties FY 2013t14 FY 2OL4lt5 with 1.5% CPI tvledian Averaqe IMedian Average 201 3 Prelininarv Taxable Value $ 132,371,$ 317,086 $ 134,357,$ 321,842 Cityof M-lamiBeach og-":s!),w.......* Voied Debl Total Mami Beach $, tt9: 33 $1,859 $778 31 $ _ __1,865 7480 $ 809 $ 1,939 $ 809:$ 't,939 $ Change in Taxes ... . O-geraJing Voled Debl Total Miami Beach $-$ * Source: Mami-Dade County ProperVAppraiser's - 201$average.median-homestead-residential-values file lmpoct on Non-Homesteoded Properiies The onnuol increose in morket volue of o non-homesteod property is copped ot l0 percent (does not opply to school milloges). The city-wide overoge increose in property volues is 9.9 percent. The property volue of individuol properties moy increose more or less thon 9.9 percenl, but not more thon 10 percent. Overlopping Jurisdictionol Operoting ond Debt Service Milloges City of Miomi Beoch property owners musl olso poy property toxes to Miomi-Dode County, the Miomi-Dode County School Boord, the Children's Trust, the South Florido Woier Monogement District, Okeechobee Bosin, Everglodes Proiecl, ond the Florido lnlond Novigotionol District. These toxing outhorities represent 70 percent of o Miomi Beoch property owner's tox bill. The countywide tox rote for Miomi-Dode County decreosed by 0.0345 mills to 4.6690; the librory tox rote increosed 0.1115 mills lo O.284O mills; ond the debt service milloge increosed 0.0280 mills to 0.4500 mills. The tox rote for the Miomi-Dode School District decreosed slightly from 7.9770 mills lo 7.9740 mills. The Children's Trust milloge is moinloined ot 0.5000 mills. As o whole, the milloge rotes for the South Florido Woter Monogement Dislrict, Okeechobee Bosin, Everglodes Proiect, ond Florido lnlond Novigotionol District decreosed O.O174 mills to 0.41 87 mills. With the proposed rotes for FY 201 4/15, the Miomi Beoch portion of the FY 2014/.15 tox bill is opproximotely 30 percenl of the totol bill. Of note the County milloge is 0.9830 mills less thon their milloge in FY 2006 - os compored to the City's proposed milloge which is 1.6493 mills less thon the City milloge in FY 2006 '. Further, the School Boord milloge is only minimolly 38 FY 201 4/15 Proposed Work Plon ond Budget Messoge Poge A-27 below the FY 2006/07 milloge rote, despile the recently proposed decreose. The significont difference in the totol overlopping milloge rote is o direct result of the City's effort to keep the milloge rotes os low os possible. A summory of the tox rote chonges is provided in the following toble. OVERTAPPING TAX MILIAGE FY 06107 FY t3lt4 frriLt illisrrN #,tiltd ti Variance homLSlL4 Variance lromOG/OT r4lts Total Citv of Miami Beach Millage Rates Ooeratins 7.L92(5.7551 5.685!{.0692 -1.5061 capital Renewal & Replacement o.182(0.108:oJoS:0.0000 4.O737 Subtotal Ooeratine Millaee 7.3741 5.8534 4.7!r4i -0.0692 -1.5798 Voted Debt Service o.299(o.2525 o:229:{.0234 {.0695 Tota 7.6731 6.116:E:O23'i -0.0925 -1.6493 3O/4 Miami Dade Countv Countvwide 5.615{4.7031 4$69({.0345 -0.945C Librarv o.486(o.L72!BJ84(0.1115 4.202C Debt Service o.285(o.422(g;+str 0.o280 0.16sc Subtota 6.386(5.298($:{OtE 0.1050 {.9830 27"/4 lchool Board 8.105(7.9774 t.;g-?ar -o.0030 -o.1310 39% lhildren's Trust o.422{0.500(h*x*sfirn 0.0000 0.078c 201 )ther 0.736(0.445!;:i:l\€:it*r8?{.0268 -0.3173 2% Tota 2r.3221 20.336t Z::.*b'.lta,-0.0174 -3.0026 100% lmpoct of Combined Tqx Rotes of Overlopping Jurisdictions on Homesteoded Properties The medion ond overoge Jonuory 1,2013 toxoble volues of $l 32,371 ond $312,086, respectively, will increose by I .5% CPI in FY 201 4/15 due to the Sove Our Homes Cop which only ollows toxoble volues lo increose by 3.O% or CPl, whichever is lower. Applying the proposed combined milloge rotes lo the medion ond overoge toxoble volues resuhs in on odditionol $38 for the medion ond o $92 increose for the overoge. These increoses ore mitigoted by no increose in property loxes for the medion or the overoge from the reduction in milloge in the City of Miomi Beoch's portion of the property tox bill. Medion properties would poy opproximotely $2,729 for oll toxing iurisdictions combined, while the overoge toxes generoted would be opproximotely $6,540 per homesteoded property. Of these toxing iurisdictions, the highest component is the Miomi-Dode School Boord, ot $1,071 for o medion volue property, ond $2,566 for on overoge volued property. The following toble provides exomples of chonges in property toxes for homesteoded properlies using the proposed tox rotes ond potentiol chonges from 2013 volues. 39 FY 2014/15 Proposed Work Plon ond Budget Messoge Poge A-28 lnpact on Honcsteaded Properties Assuning Chanoes ln Taxable Value fromJanuarv1.2014 FY 2013t14 FY 2014t',ts with 1.5oloCPl Median I Aleraqe Median I Aleraqe 2013 Preliminary Taxable Value I 132,371 t 317,086 3 134,357 J 321,U2 City of Miami Beach Operating voted Debt Total Miami Beach Miami Dade County Schmls Other $ r/6 $ 1.859 33 80 $ 778 $ 1.865 3'l 74 $ 809 $ 1.939 s 809 $ 1.939 701 I,056 125 1,680 2,5A 300 7% 1,071 't23 1,739 2,566 296 Tota $ 2_691 $ 6.448 $ 2.729 $ 6.540 Chame in Taxes City of Miami Beach Operating Voted Oebt Total Miami Beach Miami Dade County Schools Other $ ,$ . (2) (6 $-3- 25 59 15 37 (2\ (4 Total $ 38$ 92 As with the City of Miomi Beoch milloge rotes, impocts of the combined iurisdictionol milloge rotes for non-homesteoded properties ore bosed on the individuol property volues. The City's onnuol copitol budget conloins copitol proiect commitments opproprioted for Fiscol Yeor (FY) 201 4/15lCopitol Budgel). Preporotion of the Copitol Budget occurred simuhoneously with the development of the FY 201 4/15 - FY 201 8/19 Copitol lmprovement Progrom (ClP) ond FY 2O1 4/ 15 Operoting Budget. The Copitol Budget for FY 2014/15 totols $ZOS-l million ond is opproprioted on September 30, 2O14. New bond issuonces ore onticipoted to finonce the Convention Cenler proiect including RDA, Resort Tox, ond Porking bonds. ln oddition, depending on cosh flow, Slormwoler ond Sewer bonds moy be issued in FY 2Ol 4/15. Proiects will oddress mony needs in different oreos of the City including: neighborhood enhoncements such os londscoping, sidewolk restorotion; troffic colming; roodwoy ond bridge resurfocing ond reconstruction; woler, sewer, ond droinoge syslem improvements; pork construction, renovotion ond upgrodes; renovotion of seowolls; porking lot ond goroge renovotion, 40 fY 2014/15 Proposed Work Plon ond Budget Messoge Poge A-29 conslruction/renovotion of public focilities; ond vehicle replocement. For o detoiled listing of oll copitol proiects, pleose refer lo the Proposed FY 2014l.l5-2018/,l9 Copitol lmprovemenl Plon & FY 2014l.l5 Copitol Budget document. ln FY 2005 /06, the City estoblished o finonciol gool of funding ot leost 5 percent of the Generol Fund operoting budgel os lronsfers for copitol proiects ond copitol proiects contingency. The purpose of this gool wos multi-foceted: l. To provide flexibility in the operoting budget thot would ollow the budget to be reduced without impocting services during difficult economic times; 2. To ensure thot the City funded needed upkeep on our Generol Fund focilities, ond rightof woy londscoping, lighting, etc. 3. To provide o mechonism to oddress odditionol scope of smoll new proiecis prioritized by lhe community ond the Commission insteod of hoving to deloy ihese for o lorger Generol Obligotion Bond issue; ond 4. To provide conlingency funding so thot proiects where bids were higher thon budgeted did not hove to be deloyed, especiolly during o heoted construction morket where deloys often leod to further increoses in cosis. ln recenl yeors this funding wos dromoticolly reduced due to funding constroints, ond ot lhe some lime, reflecting declines in construction industry pricing in those yeors. The Proposed Work Plon ond Budget incorporotes olmost $4 million in copitol funding. This represents obout L5 percent of the FY 2014/15 Generol Fund operoting budget. Enterprise Funds ore comprised of Sonitotion, Woter, Sewer, Stormwoter, Porking, ond Convention Center Deportments. The Proposed FY 2014/15 Enterprise Funds Budget is $129.8 million. This represents on increose of $l9.0 million {12 percent) from the FY 2013/14 budget of $tOO.A million, primorily due to: . lncreoses in solory (3 percent COLA ond G2 percent Merit) ond heolth insuronce costs of 9 percent . An $8.7 million increose in Stormwoter to support the strotegic plonning initiotive to oddress flooding ond seo-level rise over the next five yeors. This increose is supported by o monthly Stormwoter rote of $16.67 per Equivolent Residentiol Unit (ERU), which represents on increose for o residentiol cuslomer of $7.6.l per month obove the FY 2O13/14 omount of $g.OO per month. . A $5.1 million increose in Sewer due to on increose of fees chorged by Miomi-Dode Woter ond Sewer Deportment (WASD) io treot the City's wostewoter, increose in scheduled debt service for outstonding debt, lower onnuol trueup from WASD, higher DERM fees, ond 41 FY 201 4/15 Proposed Work Plon ond Budget Messoge Poge A-30 existing operoting deficit. This increose is supported by o monthly fee of $2.55 per thousond gollons, which represenls on increose of $1.21 per thousond gollons from the FY 2O13/14 rote of $6.94 per thousond gollons. Porking enhoncements iotoling $,l.0 million to increose the cleonliness ond oppeoronce of the City porking goroges, implementotion of looding zone enforcement, creotion of o new Goroge Cleonliness lndex, ond implementotion of o new body comero progrom. Sonitotion enhoncemenls totoling $85 t ,000 to provide betier service ot beochfront restrooms by odding ottendonts to the restrooms in Lummus Pork ond 2l't Streel on weekends, holidoys, ond speciol events, support the "con on every corner" iniiiotive by odding more litter cons ocross the city, ond creoling o new Bothroom Cleonliness lndex to ossess lhe 64 public restrooms throughout the city. Woter reflects o smoll role increose of $0.02 to poss through the Miomi-Dode County increose to wholesole rotes for the purchose of potoble woler. lnternol Service Funds ore comprised of the Centrol Services, Fleet Monogemenl, lnformotion Technology, Risk Monogement ond Property Monogement Divisions. The Proposed FY 2O14/15 lnternol Service Fund budgei is $28.4 million, or 3.9Y". lnternol Service costs ore completely ollocoted to the Generol Fund ond Enterprise Fund deportmenls, ond the Risk Monogement Fund reimburses lhe Generol Fund for the cost of legol services. The Proposed FY 2014/15 Resort Tox budget is $62.9 million, on increose of $2.1 million or 4 percent from FY 2O13/14. This reflects the continued increose in resort tox revenues, consislent with other lourism indicotors throughout the County, but especiolly in Miomi Beoch. Highlights for FY 2O14/15 include: . New enhoncement of $476,000 to support lhe initiotive to provide better service oi beochfront restrooms by odding ottendonts to the beochfront restrooms in Lummus Pork ond 2lst streel on weekends, holidoys, ond speciol events. . New enhoncement of $200,000 to deploy interim lntelligent Tronsporotion System (lTS) solution for moior speciol events ond high impoct periods. . $34,084,000 (o $1,119,000 increose) is provided to the Generol Fund to support new ond continuing tourism eligible expenditures. New exomples include more prooctive code enforcement, cleonliness index, pork ronger progrom, homelessness of Lummus Pork, ond hurricone ond disoster preporotion equipment, ond increosed support for the Miqmi Beoch 42 a a FY 201 4/15 Proposed Work Plon ond Budget Messoge Poge A-31 Botonicol Gorden. Continuing expenditures include public sofety progroms such os oceon rescue, police services on Lincoln Rood, Oceon Drive/Lummus Pork, Collins Avenue, Woshington Avenue, AW officers, Boordwolk securify, speciol troffic enforcement ond speciol event stoffing; ond fire rescue units in lourist ond visitor oreos. The funding olso supports code complionce services lo respond lo evening entertoinmenl oreos ond provides for o portion of the operolionol costs of the Tourism ond Culturol Development. $3 million for enhoncing the outcomes from moior evenls such os Memoriol Doy, including monogement, Goodwill Ambossodors. The contribution lo the greoter Miomi Convention ond Visitors Bureou remoins flot ot $5.4 million pending controct negotiotions expected lo result in o performonce-bosed conlroct. The contribution to the Miomi Beoch Visitor ond Convention Authority will increose from $2,289,OO0 ro $2,4.l0,000 bosed on the legisloted funding formulo. $173,000 is provided to continue the locol Miomi Beoch morketing compoign, to be motched with funds from the Greoler Miomi Convention ond Visitors Bureou, the Miomi Beoch Visitor ond Convention Authority, ond the Culturol Arts Council. lncluding $73,000 for the Wosh i ngton Avenue tourism en ho ncement i n itiotive. $230,000 for holidoy decorotions. $100,000 for the sponsorship fee to help offset morketing ond odvertising expenses ossocioted with the Ms. USA or equivolent event Although the development of our budget this yeor hos been chollenging, through rigorous review ond good leodership, the Proposed Work Plon ond Budget for FY 2014/15 is bolonced ond enobles the City of Miomi Beoch to continue delivering outstonding, enhonced services to our residents, businesses ond visitors ond conlinuing structurol enhoncements lo ensure the long{erm sustoinobility of the City. The proposed milloge role decreose of 0.0926 mills represents opproximolely holf of the remoining milloge rote reduclion gool of O.2079 ond does not result in o property tox increose to medion or overoge property owners thot quolify for the homesteod exemption ond the Sove Our Homes cop. The FY 2O14/15 Budget includes service levelenhoncements thot oddress high priority needs of the City os identified through the shotegic plonning process ond 2014 Community survey. I would like to thonk Moyor Philip Levine ond the Members of the Miomi Beoch City Commission for your conlinued guidonce, support ond leodership with the budget process ond in helping to occomplish so much on beholf of our residents ond for the entire Miomi Beoch community. I would olso like to thonk oll stoff from throughout the City who hove worked hord over the lost yeor to respond to chonges in priorities from the new City Commission. I would porticulorly like to thonk 43 7Y 2A14/15 Proposed Work Plon ond Budgef Messoge Poge A-32 my Assistont City Monogers, Chief Finonciql Officer, qnd oll Deporlmenf ond Division Directors. I oppreciote oll of us working together towords developing o bolonced budget thot will help improve our community. ln porticulor, I would like trc recognize qnd thonk John Woodruff, Budget Direclor; Mike Howord, Budget Officer; Tomeko Otto"Slewort, Budget Monoger; Georgette Doniels, Senior Budget Anolys; Vonesso Loyne, Budget Anolysi; Froncis Froncts. Executive Office Associote; Dr. Leslie Rosenfeld, Chief Leorning Officer; ond Kotherine Gonzolez, lvlonogement Consultont. 44 ATTACHMENTS - TABLE OF CONTENTS ATTACHMENT A Proposed Positive lmpact or Minimal Service lmpact, Efficiencies, Etc. ATTACHMENT B Proposed Additions and Service Enhancements ATTACHMENT C PotentialAdditions and Service Enhancements NOT INCLUDED in Proposed Budget ATTACHMENT D FY 2014115 Confiscated Trust Fund Budget ATTACHMENT E FY 2014115 Citywide Work Plan A-37 A-43 A-47 A-49 A-33 45 MIAMIBTACH A-34 46 ATTACHMENT A PROPOSED MINIMAL SERVICE IMPACT, EFFICIENCIES, ETC. Position lmDacts rroJ. Vacant Filled Mgr. s Admin Non Mqt. Reduce contractual television production costs of $'120,000 by 50% by addino an in-house Media SDecialist oosition.$ (60,000 s (60.000'1.0 ;l ln FY 2010111 a pilot program to reduce overtime in the Fire Suppression division was approved. The aim of the program was to reduce overtime on the weekends by hiring three (3) Fire Firefighter l's to \rrork a ueekend only schedule. The salaries cost for these ,irefighters was to be offset by the reduction in overtime costs. Although funding for the salaries of these firefighters has been included in the department's approved budget each year, the u€ekend program was never implemented. Based on the structure of the union contract, the most senior and most costly firefighters rrvould have first option to the weekend schedule and ultimately creating more costs than savings. The department proposes utililng the combined salaries of the three firefighters to hire a Training Division Chief to oversee the training needs of the s\ ,orn staff. (see Allachmanl Rl q s (60.000'(3.0'(3.0'(3.0' Total General Funds $ (60,000)l $ (60,000)l (2.0"0.0 13.01 0.0 0.0 (3.01 *Wiij#;:',, :,':i:!iii tNlill lmplement new service model for trades such as carpenters, electricians, masons, painters, and plumbers. This is part of an overall strategy to empora,er each department to control priorities in order to improve the level of maintenance and condition of our facilities. ln the 2014 Community Survey, residents rated the appearance and maintenance of the City's public buildings at 79 percent, a decrease from 87 percent in lhe 2012 survey. The new model should provide greater flexibility and potentially enhanced services for specialty work while not resulting in any employees losing employment with the City. However, we will be reducing the numb€r of positions by tv\€nty-two with associated savings in equipment, materials, supplies, etc. ln addition, the new model provides greater flexibility by allowing each department to address their own priorities, minimize delays, and avoid competing department interests. The 17 employees affected bythe change (t\,o positions are vacant) will be placed in altemate positions within Public Works and the Parks and Recreation department. Furthermore, their cunent compensation and benefits ra,ould not be impacted. Any savings resulting from this chanqe u,ould be used to enhance services.g $(19.0 0.0 (2.0 fi7.O 0.0 (19.0 Total lnternal Services Funds $$t7 t9.( 47 &AIAMIBTACH A-36 48 Ic Cc I Ecu c E E c a o Eoa{ c E o co a E E a d c E o6c E c t.E q u cq E t ( nac a a 0 U ( €c c i c z o E @ co E o c z o E o€ c E ooco ( .!(( ac( .s a I 6 o Eoo d E oGc I( trI D a ; D ! 3 =D g E ; 9E It cc Et acc E E € F c Eo U, Icioe ot cc € e co E! ooo E a ecF o.E o a Eoo t ,E E .: o EL ai:iog E!o( o( t= 3Eo<Et?;E{o-( .E.EE:E: 3:E uu IP D ii Dtao!tf .E ,! EAQ'!rDi +( _rl B! 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N ? o o o o o '= o F g F o @ Eoz o 3 e E oE Ec 5a @ E foa 442 54 ATTACHMENT C POTENTIAL FY 2014/,15 ADDITIONS AND SERVICE ENHANCEMENTS NOT TNCLUDED IN PROPOSED BUDGET Requests Total FT PT additional support to the Elevator Safety Division to facilitate annual licensing and and provide administrative support to the Chief Elevator lnspector by adding one Office Associate V a higher level of customer service and improv€ efficiency and timeliness by adding an This position would prepare and manage meeting notices, retum '604-CITY'calls, provide assistance to customers, handle incoming mail, maintain the City's bulletin boards, pay invoices, answer telephones, and the flow of information externallv and internallv. a part-time Office Associate lll position to full-time and sharing the with the Tourism, Culture, & Economic Development department. This pqsition would provide customer results reports, media assistance, logging and archiving video, photo, media clips and project files, and adequate internal controls by position to serve as an for the current cashier at City Hall in the section. 100% funded by Building funds and management of assets and medical supplies inventory by adding a This position was recommended by the Commission on Fire Accreditation lnternational (CFAI) in the annual report to develop a centralized inventory system to better track all assets and equipment. This position free up the time of administrative Fire Captains and Resource Division Shift Captains would be freed up to more time for value-added activities. and make repairs in a timely manner. IRestores one Mechanic psition eliminated during the FY2008 Meet customer service expectations as they relate to turnaround times in the recruitment division by adding an Office Associate lll position. The most labor-intensive and time consuming activities are associated with making telephone to verify applicants' former employment histories and schedule pre-employment physicals and fingerprint appointments. Of these three, the most demanding in terms of time and effort is the verification of Former employers are reticent to provide information and have no vested interest in responding to our . Therefore, it falls upon the recruitment staff to call and call again. ln the meantime, hiring decisions remain unresolved. Most employed applicants are unwilling to give notice at their current.iobs without a formal job offer from the City. Our due diligence responsibilities prevent us from making those offers until the pre.employrnenl are complete. Additionally, the Human Resources Depa(ment has assumed City,vide responsibility for activities related to the assignment of temporary staffing agency personnel to different departments. This is another labor-intensive. time consuminq function. Enhance process management and performance improvement by adding a Management Consultant position. The position would be a catalyst for streamlining, process improvements, improvement initiatives, and an organization-wide training workshop for 1 Workplace workshop to better understand how cultural context influences cultural communication, key elements of effective cross cultural communication and learn to respond effectively in spite of communication differences. Cunent required sessions do not directly address this topic, and skills learned will help improve internal and external Citfs Service Shopper Program supports our Customer Service standards by helping assess how well the City ing its customers by evaluating service deliver at interface points. The goal of the program is to obtain data on customer service to achieve heightened customer service awareness, assist departments in ing staff training to improve customer service, evaluate results to improve customer service to meet public and expectations and assess how the City is serving customers at interface points. Assessments are during the regular work week from 9:00 a.m. to 5:00 p.m., with several afterhours and weekend as well. Outsourcing will eliminate the need to utilize city personnel to conduct these ongoing 55 Requests Total FT PT lmprove administration and planning of recreation operations and programming by adding two Program Coordinatol positions. These positions would provide support needed by the Facility Managers to carry out existing programs at the expected service levels, run facilities more efficiently, and free up time to strategically plan and implement new oroorammino 146.000 2.O 0.0 Expedite and coordinate procurement related activities by adding a Procurement Liaison position. The position woulc assure compliance with policies and regulations, perform contract management, and develop specifications and solicitations.60,000 1.0 0.0 Enhance the service level of contractual mowing and green space maintenance by increasing mowing frequency fron 32 to 36 cvcles. increasino litter control. addino dune maintenance/clean uo. and Drovidino routine Dressure cleaninq.1.057.000 0.0 0.0 Enhance maintenance and quality of City parks and facilities by adc,ing: annual soc, replacement for all athletic lields, additional gymnastics programming, laser grading of baseball and softball fields, additional playground equipment and repairs, annual resurfacing of four courts, additional and replacement of bike racks, and miscellaneous eouiDment includino a scissor lift.267.O00 0.0 0.0 Address increasing technology needs by adding an lnformation Tech Specialist lll position in the Technical Services Division. The new position would provide supervisory oversight to the existing four tech positlons, address increasing inventory of laptops/desktops and technology needs, and allow for a direct point of contact to better coordinate the needs of the department in lieu of contacting four individuals. lndustry standards recommend a ratio of 1 technician for every 86 laptops serviced for government organizations of 1,000 or more employees. The Police Department currenfly has 380 deployed laptops being serviced by 3 technicians, a ratio of 1:1 13 technicians to laptops. Hiring an additional technician would adiust the ratio to 1:96. brinoino it more in line with industrv best oractices.72,OOO 1.0 0.0 Provide enhanced coorclination of fleet management activities by adding a Fleet Specialist position. lhe new posrtor would perform the following functions: develop and implement vehicle replacement programs; coordinate vehicle auctions, service, repairs, preventive maintenance, delivery, and training; research and evaluate vehicle and equipment in support of law enforcement initiatives; monitor installations of AVL in vehicles; maintain vehicle inventory and maintenance logs; track and process toll violations for police vehicles; and process State license renewals for vehicles with private license tags. fRestores one Fleet Specialist position eliminated during the FY2008 budsetprocess,52.000 1.0 0.0 Enhance records management unit by adding one Sergeant position. This position would perform an independent audit and consolidation of UCR coding; provide quality assurance of reports written via the NWS Field Base Reporting System; assist in the collection of accurate data sets for use in the COMPSTAT process; provide a swom conduit to the Operations Division for problem resolutions; and investigate and correct Field Base Reporting merge and content issues.146,000 1.0 0.0 Properly address workload levels in the recorcls management unrt by addrng an Aomrnrstratrve Aroe ll posltron ano two Data Entry Clerk positions. The Administrative Aide ll position would assist with the workload associated with public records requests and Uniform Crime Reporting. The two Data Entry Clerks would free up Public Safety Specialists in the Operations Division from data entry duties to focus on duties such as School Crossing Guard details, writing moving and parking citations, and responding to incidents for police reports and trafiic crash reports. fResfores one Administrative Aide and lwo Data Entry Clerk positions eliminated during the FY2010 buclget orocessl 132,000 3.0 0.0 Enhance training unit by adding one Sergeant position. This position would supervise the officers ancl civilians assigned to the Training Section in the performance of their duties in training all personnel in the department and create a separation of duties between the two sergeants allowing for a permanent Range Master to: effectively supervise the Range Training Officer, manage the use of the department's driving and force simulators, supervise and manage all use of force training, develop the firearms training program, manage the Taser training program, and hioh liabilitv trainino oroorams.146.000 1.0 0.0 Provide nightime coverage seven days per week on the wateMays of Miami Beach by creating a Marine Pahol Ovemight unit consisting of one Sergeant and four Police Officer positions. The overnight unit would investigate suspicious vessels, thefts from waterfront properties, burglaries/thefts of vessels and personal watercrafts, enhanced serach and rescue abilities, enhanced Dive Team abilities and coverage.626.000 5.0 0.0 Expand current ATV coverage by adding two dedicated Ary squads consisting of two Sergeants and eight Police Officers. The two units would enhance cunent service levels on the beach and paved beach walk in the areas of South Pointe Park through 46th Street and help deter beach thefts, alcoholic nuisances, public intoxication, sex- related crimes, beach after-hours ordinance, and homeless issues.1.251 .000 10.0 0.0 Enhance cflmtnat rnvesugauons Dy aoorng a HuDilc sarely Specrailsl posrllon (non-sworn, ro penorn rne Toilowng functions: retrieve, review, and determine evidentiary value of videos from areas crimes were committed; ensure proper video evidence recovery and chain of custody in support of other units; provide specialized experience of commercial and residential security camera installations, transfer of video evidence, and knowledge of video formats and associated technology. fResfores one Publlc Safefy Speciatst position eliminated durlng the FY2010 bttddat D,td,cessl 74.000 't.0 0.0 Enhance criminal investigations by adding a Sergeant and Detective position. The new positions would perform the following functions: Create a Career Offender/Fugitive Squad tasked with identifying career criminals and fugitives at- large in the city; effectively track, monitor, and investigate the 80 plus career criminals residing within the city limits and more than 600 active wanants in the criminal system; and proactively investigate activity using crime analysis data, field interviews, and surveillances.216,000 2.0 0.0 ATTACHMENT C POTENTIAL FY 2014115 ADDITIONS AND SERVICE ENHANCEMENTS NOT INCLUDED IN PROPOSED BUDGET 444 56 lncrease enforcement of drunk driving by adding DUI details to staff six saturations and six checkpoints annually. Costs include overtime and necessary training classes (Standard Field Sobriety Tests, Drug Recognition School, and services in a timelv manner bv addino a Procurement Liaison lncrease capacity to process GIS requests,data, and automate GIS tasks by adding a of six divisions and administrative functions by adding.an Assistant Director position. funds for street and sidewalk maintenance based on the backlog, increase of public records requests, and support Homeland Security initiatives by adding an additional 9-1-1 Records Custodian position in the Public Safety Center Unit. Create a business incubator at the Byron Carlyle in North Beach. Recurring costs total $193,000. The operating recurring costs would be pro-rated for 6 months ($145,000) following the build-out. The one-time costs of $145,000 of Economic Development, the RDA, and Real Estate Office. An Assistant Department Director position would improve the efficiency and management of the departments responsibilities and new City initiatives being added. ln the Dosition would address succession planninq within the ATTACHMENT C POTENTIAL FY 2014115 ADDITIONS AND SERVICE ENHANCEMENTS NOT INCLUDEO IN PROPOSED BUDGET A.45 57 ATTACHMENT C POTENTIAL ?( 2014115 ADDITIONS AND SERVICE ENHANCEMENTS NOT INCLUDED IN PROPOSED BUDGET Requests Total FT PT nTechnolofiri-:- :. ,, ,, , . T- . :.r.. fu* iffiffiffiS$\sar#4;ii#*l *il6. Enhance ll project management capaDrlrtres Dy aoorng one Project Manager posrtron Io creale a project management office (PMO) to handle the implementation of all lT projects. The impact to the General Fund would be 578.000.95,000 1.0 0.0 lmprove disaster preparedness by backing up city technology data/systems in an out ot region data center. I his enhancement would be phased in over three years. Year one would be $200,000 including a $40,000 one-time charge. The one-time charge is proposed to be funded from the lT Tech Fund. Year two would be $100K and year three would be $50.000. The imDact to the General Fund would be $131,000.160,000 0.0 0.0 Add lnfo Tech I and lnfo Tech ll positions (suppon) to improve services such as reparnng computers, rnstallrng phones, elc. The lmpact to the General Fund would be $91,000.111.000 2-O 0.0 lncrease Windstorm insurance coverage to assist recovery in case of a tropical storm or hurricane event. During the last ten years, the amount of coverage the City has purchased has ranged from $10 million to $25 million, in excess ofapplicabledeductibles. DuringFY2013/l4,theCityincreaseditswindstormcoveragefrom$l0millionto$'15 million. This enhancement would increase funds necessary to purchase an additional $5 million of named windstorm coveraoe for a total of $20 million. ($330.000) The imoact to the General Fund would be $201,000.330,000 0.0 0.0 rtYtlahaitdiiett .y-r: ;. . ...:. :.1.4f; * #S#fl N:k\- i;fffl 'tffi# . Ntt\i..:a4Fi--,ii1,,,:' l'r,, . ,, , r lmprove clelivery ol Property Management and ulP constructron projects tnrough tne uulrzaton ol uonstruclron Material Standards. The proposed standards would ensure that materials selected are compatible for the saltwater environment of Miami Beach to avoid accelerated deteoriation of components. Examples include the selection of materials for air conditioning systems, park benches, janitorial dispensers, signage, and fencing materials. The standards would improve the longevity of materials and reduce maintenance and replacement costs. (one-time costs) The impact to the General Fund would be $21 5,000.250.000 0.0 0.0 lmprove efficient delivery of property management support ancl administrative services by adding an Office Assocaate lV position. This position would address additional work load from addressing the backlog of capital renewal and replacement poects in the areas of procurement, accounts payable, and general administrative support. TDe impact to the General Fund would be $16,000.54.000 1.0 0.0 Total lnternal Service Funds $ 1.000.000 4.0 0.0 A.46 58 FEDERAL FUNDS: Federal Funds - (603) STATE FUNDS: State Funds - (607) Total Federal & State Funds ATTACHMENT D Police Department Confiscations - Federal & State Funds FY 2014115 PROPOSED BUDGET 756,000 FY15 Request Oroanizational Development Travel & Off-site testing 50,000 Trainino Suoolement to suoolement LETTF 60,000 Crime Scene 3D Camera Svstem 90,000 Bulletoroof Vest Partnershio 35,000 Graffiti eradication throuqh Teen Job Corp.25,000 Bodv Cameras 310,000 Gvm Equipment 10,000 Total Funds (603)580,000 Costs connected with the orosecution/processinq of forfeitures.20,000 Crime Prevention initiatives & School Liaison Proiects 30,000 AR Rifle Proqram/initiative- City's match for reimbursement of rifles at $500.15,000 15% of State Funds collected in FY13 to be used for drug abuse treatment, drug anc crime prevention education and non-profit community based programs.19,000 PAL Boxing Program 47,OOO VOCA Salarv Match 45,000 Total Funds (607)176,000 447 59 MIAMIBEACil A-48 60 Fll tos o C\l @ o, lo F !r 06 tftF lr tr G5E(EJo:IIJ 6 .TiE .==o .En. ==il E.E;O =oo 'E; o (ErPoFlr tcl Eg ZZe D a "uH = =rJ- t' -.lrr0= iE =; P X F==B E*ilI Y =o- ()(L oo o o = L vO-EzUJ r'\J-O=) F' .voFr ooo_ @o oooo O) ooo c.trr,@ P Eao 6 aaaaaa {.)t 6c6 < E Egs sE.= (I) oc q)ao@F o A-49 61 Flr tros oC! @ O) 22ul=F o=]IJ O UEs9 F = 1r:2 E = aU6 lL 6 6 F tr> .F uJ uiQ u)tl)Y =odd9 E =Zv =35d)L(L ooooo@ g€EgEH5-$=E €EH E$EE EE t"f;EEEEEEE E #E e fl B=1E E E EEEE EEBEEEE [[ gE i g EE E[ i g EEEiEi-gIEiEEEEE-EEiEEEEEE g ts gggElgtggtEt EpISEEi iii ti gE E gl B-EEEEEEEgEESEEEEEEEEEEigiEEEgiEg c)o)(E o o L o Eoc o.96(L Lo =:f .E q) -tn s c) ctu ooc(u E o C(, E -go E aa Ergega (penuuuo3) rtentte6 sgJ!rueS pue luaute6eueyl A-50 62 Fll to $ oN @ o, ozur llJ(r. otr= i=o zil> tr U) U)YYTE.Fo o --,^3 9u.r = 9,>t>zc) o -', =q1 = lry^qzE=> 3s 8=5 Strcotr Lc) (Jcott- o (,z o-J5 d) ooooo_ o-@r\I.- (Oee ooo-o(oe e ;g E 0= & EE PE(5 X9EroY tgEE €eeE SHEEc,o cDu, EE8E'" iEHgE ss 989 EggEs EHBt*a I E;gE q s .flE HEH I bE e ", 1- c i.E!E{ e E"P,gEg E E=E 3g E'ECOdio=- ts ET}EE *--E:.o o A f;E9E c E>.= x >;i =SEne-E EEssEg fi o(soEPF> -- o) E ;:NX= P' .= .s I =tsb E I =E,ii E -. 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(5 o 6Eo'ao:f o .= ooe E bts > oi9laoL(,, 5=o o 'EoXE =.AE ! seEiE aeiElE p E = E $E e g€EEH E9E€.;P n'EYao-R o CE;*€ s IEf,EB Er9E=gPE $ H A3*E Hg:E€'gfft :E5EEfr E6Jt.9io6E s*=frE#E EEEBgE;*=6H58€FgoclEorr E;=AgEFIrEP€=T A;EBEEEoo(Exii(U0o.E(L6iizc) N Y Esg*-E -YOa!-croo!, x< uJ r.lJ o aEE= _E<_ E AEEo ol9 (Ju><>u) E' Eaco.g.cOH., q -e b.Eq> G.=) c Eig (penuguog) ssoursnE pue usunol Jol Jalua9 leuollPuJelul A-60 72 RESOLUTION NO. A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA ADOPTING TENTATIVE BUDGETS FOR THE GENERAL, G.O. DEBT SERVICE, RDA AD VALOREM TAXES, ENTERPRISE, INTERNAL SERVICE, AND SPECIAL REVENUE FUNDS FOR FISCAL YEAR 2014115 SUBJEGT TO A SECOND PUBLIC HEARING SCHEDULED ON TUESDAY, SEPTEMBER 30, 2014 AT 5:01 P.M. WHEREAS, the City Manager's proposed General Fund operating budget released September 9,2014 was $280,079,000 and the total proposed operating budget for FY 2014115 net of transfers was $501,924,000 including the General Fund, General Obligation Debt Service, Enterprise Funds, Transfers to the Redevelopment District, and Special Revenues as shown in Composite Exhibit "A"; and WHEREAS, the tentatively adopted General Fund budget includes $1.9 million in employee givebacks; $60,000 in efficiencies; and brings in an additional $1.1 million in Resort Tax revenues to the General Fund to offset tourism-eligible expenditures; and WHEREAS, the FY 2014115 proposed General Fund budget totals $280,079,000 and is about 18 percent more than the FY 2006107 budget despite pension contribution increases of 98 percent during the same period, in spite of the fact that inflation during that period, was approximately 18 percent; and WHEREAS, the proposed General Fund budget includes a revenue increase of $15.9 million over FY 2013114, primarily due to increases in property tax revenue, transfers from resort taxes, and increases in licenses and permits; and WHEREAS, the proposed Enterprise Fund budgets total $179,846,000; and WHEREAS, the budget for lnternal Service Funds, which are wholly supported by transfers from the General Fund, Enterprise Funds, and the Redevelopment district, is $78,396,000; and WHEREAS, the proposed Special Revenue Fund budgets total $75,536,000; and WHEREAS, the City of Miami Beach is authorized to assess $2.00 from court costs for criminal proceedings for expenditures for Criminal Justice Education degree programs and training courses for officers and support personnel of the Miami Beach Police Department pursuant to Section 938.15 of the Florida Statutes; and WHEREAS, the Police Training and School Resources Fund is currently funded with the assessed criminal justice education expenditures for the City of Miami Beach pursuant to Section 938.15 of the Florida Statutes, in the amount of $45,000; and WHEREAS, the City of Miami Beach Police Department intends to utilize the $45,000 for those purposes as authorized pursuant to Section 938.15 of the Florida Statutes, and the $45,000 shall be expended from the Police Training and School Resources Fund for education 73 degree programs and training courses for officers and support personnel of the Miami Beach Police Department; and WHEREAS, Section 932.7055 of the Florida Statutes sets forth the purpose and procedures to be utilized for the appropriation and expenditures of the Police Confiscation Trust Fund; and WHEREAS, the proceeds and interest earned from the Police Confiscation Trust Fund is authorized to be used for crime prevention, safe neighborhoods, drug abuse education and prevention programs, or for other law enforcement purposes; and WHEREAS, the Chief of Police is authorized to expend these funds following a request to the City of Miami Beach Commission, and only upon appropriation to the Miami Beach Police Department by the City of Miami Beach Commission; and WHEREAS, the Chief of Police of the City of Miami Beach has submitted a written certification (attached as Exhibit "8") which states that this request complies with the provisions of Section 932.7055 of the Florida Statutes and the Guide to Equitable Sharing of Federally Forfeited Property for Local Law Enforcement Agencies; and WHEREAS, the Police Confiscation Trust Fund budget for fiscal year 201412015 in the amount of $756,000 shall be funded from State Confiscated Funds in the amount of $176,000, and Federal Justice Confiscated Funds in the amount of $580,000, as reflected in the attached Exhibit "B"; and WHEREAS, funds in the amount of $756,000 are available in the Police Confiscation Trust Fund; and WHEREAS, Section 705.105 of the Florida Statutes sets forth the procedure for unclaimed evidence which is in the custody of the Miami Beach Police Department and permanently vests in the Miami Beach Police Department sixty (60) days after the conclusion of the criminal proceeding; and WHEREAS, $75,000 has been in the custody of the Miami Beach Police Department Property and Evidence Unit in excess of the statutory period set forth in Section 705.105 of the Florida Statutes; and WHEREAS, said funds have vested permanently in the Miami Beach Police Department, and have now been placed in the Police Special Revenue Account Fund, as provided by Resolution No. 90-19931, adopted on March 7, 1990; and WHEREAS, the Miami Beach Police Department seeks to purchase those items identified on Exhibit "C"; and WHEREAS, the Miami Beach Cultural Arts Council (CAC) was established by the Mayor and City Commission on March 5, 1997; and WHEREAS, the mission of the CAC is to develop, coordinate, and promote the visual and performing arts in the City of Miami Beach for the enjoyment, education, cultural enrichment, and benefit of the residents of, and visitors to, Miami Beach; and 74 WHEREAS, the Mayor and City Commission adopted the Cultural Arts Master Plan on June 3, 1998, identifying the following program areas for the CAC: cultural arts grants; marketing; facilities; advocacy and planning; and revenue development; and WHEREAS, pursuant to its enabling legislation, the CAC's budget for each fiscal year shall be adopted by the Mayor and City Commission; and WHEREAS, accordingly, the CAC recommends a $1,307,000 budget allocation for Fiscal Year 2014115 to continue implementation of its programs; and WHEREAS, the Miami Beach Cultural Arts Council (CAC) was created to develop, coordinate, and promote the performing and visual arts of the City of Miami Beach for the enjoyment, education, cultural enrichment, and benefit of the residents of, and visitors to, the City; and WHEREAS, from December 2013 through July 2014, the Cultural Affairs staff and CAC conducted its application and review process for its Fiscal Year 2014/15 Cultural Arts Grant Programs; and WHEREAS, grants panelists, comprised of the CAC members for CAC grant programs and both VCA and CAC members for the joint Cultural Tourism grant program, yielded 42 viable applications, requesting a total of $850,000; and WHEREAS, the CAC, at its regular meeting on July 10, 2014, reviewed the grant panelists' recommendations and unanimously supported the recommended Cultural Arts awards totaling $730,000 for Fiscal Year 2014115 as more specifically identified in column four of Exhibit "D," attached hereto; and WHEREAS, the City Manager has reviewed the recommended CulturalArts awards and concurs with same. NOW THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND THE CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission of the City of Miami Beach, Florida hereby adopt tentative budgets for the General, G.O. Debt Service, RDA Ad Valorem Taxes, Enterprise, lnternal Service, and Special Revenue Funds for Fiscal Year 2014115 as shown in composite Exhibit "A" (Total Revenues and Expenditures by Fund and Department), Exhibit "8" (Confiscated Trust Funds), Exhibit "C" (Police Special Revenue Account), and Exhibit "D" (Cultural Arts Council Grants) subject to a second public hearing scheduled at 5:01 P.M., Tuesday, September 30, 2014. PASSED and ADOPTED this 1Oth day of September, 2014. ATTEST: Philip Levine, Mayor APPROVED AS TO FORM & IANGUAGE CitvAttornev 51' Rafael E. Granado, City Glerk 75 FUNCTION/DEPARTMENT COMPOSITE EXHIBIT A FY ZO14I15 REVENUE SUMMARY BYFUND Al.lO MArOR CATEGORY G,O, DEBT RDA GENERAL SERVICE r AOVALOREM ENIERPRISE SPECIAL RE\/ENUES TOTALS INTERNAL Senvtce GENERAL OPERATI NG RE"\'ENUES Ad Valqm Taes Ad Valqem- Soih Pointe Ceti Ag vatm;- capidt Renewat & Repl. Ad Valom- Nmandy Shor€s OhetT!x6 Licerees and Psrmits lntsgoEmmental Chalggg fcr Senices Fines & Fodeits Miiietianui R6dt Ta Cfltributim Other ResqEt Bu!!d!ng Depi. Opmtims Prior.Y€a[ Surp]us .Ipm..Park_ing Op: Fund . Suq-To.tal G.O. DEBT SERVICE FUND AdValffiTas Other Sub-Total FUND TOTAL ROA FUNlCiy TIF only AD VALOREM TAXES Propsry Ta6- ROA Oty Center (na) FUND TOTAL ENTERPRISE FUNDS Con\€ntion Cstsr Parking Sanilation Sq!rygl Op€Blig!9 S!q!! wats Wattr Op€Etiore FUND TOTAL ; $ 114r42Or0OO : 11!1591000 . ..2r.180,000 : .1.4510@ ,.. .?-4,s9,m. : 26,111,q00 : 10,496,000 : 4,812,000 ' 2,/t36,000, 12,s8i,OOO : 34,0S41000: 27.366.000 : 1,500;OOO:: 8,400,000: : $ 280,079,000 'r $ 114,420,000 11,159,000 21180,00q 145,000 , I , 2+,sas,ooo, I I 26,111,000 I I :!0:496,000t.: .4:812000 2,436,000 r , i2,sai,ooo t, 34;OS4,OOO: i: .27,3pp,00o I 1 1:9991000i 8,400,000 I $ 280,079.000 INTERNAL SERVICE FUNDS Centmt Senlcs - -- .. . Fleet Managoment l@latim--Tshnd.ogy ......... -. .?ppeny [4anago.rlgn!. .. . Risk.Mgnagsmtrt . Medical & D$tal lnsurance.... . FUNDTOTAL. SPECIAL REVENUE FUNDS R6qt Tax nrt in PuuilC Ptiies fourism & xcpitality Slholarehips CultuEl Arts Council Sretainablity Waste Hauler 51h & Alton GaEg€ 7th St. Garage TEnspqlation P@ple's TEGportatim Plan Pdico Cmfscatim Pdico Sp€cial ReErus Pdlce TEining Red Light Camm Emergmcy 91-1 lnfumatis & T*hndogy FUND TOTAL roiAr- nLL Fuxos tdii imnCes - ' cnAr,ro rorAt- -ALL FUNDS $ 5.928.000 i i $ 5,928,000 i ): -: : $ 286.007.000$ 280.079.000 $ 5.928.000 $ 20.210.000 $ 20.210.000 ! $ 12,162,0@ :' so,tos,ooo, 20,067,000 ls,zzo,oooi 20,804,000 Ca,4)8,ooo 5-l?e346poo-$ 179,846,000 I $.' .-1,046,000 1q,7!7,oq ..:!5,6.291000 : 91751,000 : 14F24P@ , 26,696,000 $ 78,396,000 107,000 , o2,889,000 72o,OOO : 142,O0O 1.307.000 , 356.000 77.fi)O : 222,OOO: 587,ooo 2,385,000 2,739,000 1,45o,OOO. : 756,000; ';';;;; 75,OOO 45,OOO 896,000 38a,000: 395,000 $ 7s,536,000 $ 7s,s36,000 :$ 280,079,000 3 s,928,000' I 20,210,000::l 179,8/16,000: $ 75,536,000i I s01,599,000 :$ 78,396,000 ($59,675,000I 3 501,924,000 76 COMPOS]TE EXHIB]T A FY 2O'I 41 1 5 EXPEN DITU RES BY FUND AND DEPARTMENT G.O. DEBT RDA SPECIAL INTERNAL GENERAL SERVICE AD VALOREITI ENTERPRISE REVENUES TOTALS SERVICE MAYOR& COMMISSION $1,916,000 ADMII{STRATIVE SUPPORT SERVICE,s cnY MAIAGER J,ars,ooo Communicatims : 1,410,O00 BUDGET & PERFORMANCE IMPROV 2,242,OOO Org. Dev & Perbmance lmprcwmtrt 572,OOO Educalim Compact : 5,308,000: 1,667,000 HUMANRESOURCES/LABORRELATIONS 2,172.OOO Risk Managemenl Medical Dental Cnv clenx . Caimt Serracs CITYATTORNEY FINANCE Fmument Homelss Se^ic6 BUILDING ]TOT_AL - ALL FUNoS :L6a ftGIss :GRAND TOTAL. ALL FUNDS 't?74,ooo 5.017.000 t1,916,000 ira,zei.ooo $5r017,099 $1(x),O29,OOO .^^6,629,0q' $169,162,000 151629rO0O 14,524,M 26,696!00O 1,046,OOO 9,754,000 10,747,000 iECONOMTC DEV. & CULTUF+! ARTS .Economic DeElopmst REAL ESTATE, HOUSING & COMM. DEV. 466,000 't,324,000 13.590.000 PLANNING 3,92O,OOO CultuEl Arts TOURISM. ECON. DEV & CULTURAL DEV 3.5O9.OOO COI{VENTTON CENTER Remia Art in Public Plac6 fourrsm a flcpitality SholaEhips CultuEl Arts Council OPERATIONS CODE COMPLIANCE COMMUNMY SEFVrcES PARKS E RECREATION PUBLIC WORKS Prcperty Msagffimt Sanitation Smr Stommter Water ". Suslanabillty I Waste Hauls Nomandy ShoE : CAPIIAL IMPROVEMENT PROJECTS 4,903,000 PARKING 5!h & A!!on GaEg€ 7!h Street GaagE FLEET MANAGEMENT TRANSPORTATION P6de's T_Ensportatim Pla PUBLIC SAFETY POLICE Police Confiscatim Police Special ReEnu6 Police TEining Red Light CameE FIRE EMERGENCY MANIAGEMENT Emergercy 9.1-1 GITYWIDE ACCOUNTS CITYWIDE ACCTS-Nomandy Shma 12,162,OOO 62r889,00_0 ......720r00o 142,000 1,307,000 20,067,000 43,276,000 20,804,000 93,1?9'ooo ^ .........-**-- . .l ..,._ _.. . .,, 356,000 77,@O 50,109,000 222,OOO . ssz,qg ?r385,0O0 l,.zso,ooo 1,1s,0,99 7s6,ooo .,,,,.75,@Q .....4_51009 896r00Q -388;OOo 5,553,000 615,000 29,147,OOO 10,91 1,000 94!865,00O 63,284,000 6,ss3,ooo i2z,ooo : CITYWIDEACCIS-OperatingContingency 1,O0O,000 : c_ I]4ry-lDE_ AC_CrS.otlq 81624,000 :Carybffiard tom Prid Ys Sa Asid6 , -.. . .. .0 . ,. . . Transfu6 Capital lnEtmst Upkep Fund 225,OOO : lnb & comm Tehnology frng........ ........... ..... .i....- . 395'000 : : Payes-yo€o Capital 1,400,000 i. CAPII_AI RENEW_4! &-FFPLACEMENT . . ..a!99,o90 G.O. DEBT SERVTCE 5,928,000 :'RDAait rtF i;;nster onty Clty Caier $9!qi6,o(n li 021415,000 i : :: ,' 92,1S!,0@: ss.gza,ooo 395,000 20,2 10,000 20,210,O@ l--Eso,o?9"ooo --GBr8pool:-$roplo"ooo -T1?9.s46"000: _J?5"s36,000 - - $561,59L,000 $78,396,000 77 EXHIBIT B Police Department Conjiscations - Federal& State Funds FY15 BUDGET REQUEST ::.-..* FEDERAL FUNDS: Federal Funds - (603) STATE FUNDS: State Funds - (607) Total Federat & State Funds FY15 Request Oroanizational Develooment Travel & Off-site testino 50,000 Trainino Suoolement to supplement LETTF 60.000 Crime Scene 3D Camera System 90.000 Bulletproof Vest Partnership 3s.000 Graffiti eradication throuqh Teen Job Corp.2s.000 Bodv Cameras 310.000 Gvm Equipment 10,000 Total Funds (603)580.000 Costs connected with the of forfeitures. Crime Prevention initiatives & School Liaison AR Rifle Prooram/initiative- Citv's match for reimbursement of rifles at $500. 15o/o of State Funds collected in FY13 to be used for drug abuse treatnrent, drug crirne prerention education and non-profit community based PAL VOCA Salarv Match Tota! : 756.000 , 78 EXHIBIT "8" CERTIFICATION l, Daniel J. Oates, Chief of Police, City of Miami Beach. do hereby certfy that the aforementioned proposed requett for expenditures from the City of lliami Beach police Confiscation Trust Fund, for the 2014n}15_$gr! V*rt providing funds for expenditures, complies with the provisions of $ection 932.7055(4)(a), Florida Statutes, and thi Guide to Equltable Sharlng of Federally Farfeited Property for Local Law Enforcemenl Agencies. IIII Police Department 79 EXHIBITC MIAMI BEACH POLICE DEPARTMENT SPECIAL REVENUE ACCOUNT BUDGET FrscAL YEAR 2014115 LAW ENFORCEMENT EQUTPMENT AtlD SUPPLIES FACILTTfES U!ANrENA|!CE TOTAL 80 EXHIBIT C AFFTD.4VIT I, Dnnisl J. ,Oates. Chicf of Policc, City of Miami Beach. do hcreby certify that thc aforementioned Broposed request for cxpenditures linnr the City of Miami Beaeh Poliee T'raining & School R.csources Fund fur thc 2014/15 fiscal ycar, 1o providc funds lbr the education of police personnel at various schools, ctrnferences, ryd qqrk*hops and for the purchasq gfllaining urrd .oi.rurionat supplies. is in accordance rvitlt guidelines lstaU_t1s]r{ by th1 Di-vis,ion qf Criminal Justice Standards and.Training. as prolidcd try Scction 938"t5 and 941.25, Florida Sktulcs. , . 1,".'.,'r' t, Dale 81 c 5 C ?5 'r.t a odo s E R 82