Loading...
HomeMy WebLinkAboutAgenda BOC 031910AGENDA CITY OF PALM BEACH GARDENS BUDGET OVERSIGHT COMMITTEE Friday March 19, 2010, 8:30 AM CITY COUNCIL CHAMBERS I. CALL TO ORDER II. PLEDGE OF ALLEGIANCE III. ROLL CALL: Regular Members L. Marc Cohn Chair Kenneth Menard Vice Chair Bernard Pettingill Regular Member Phillip Woodall Regular Member Brandon Dorsey Regular Member IV. ADDITIONS, DELETIONS, MODIFICATIONS: V. APPROVAL OF MINUTES 1. January 28, 2010 2. February 26, 2010 VI. ITEMS BY COUNCIL LIAISON VII. ITEMS BY STAFF LIAISON VIII. OLD BUSINESS IX. NEW BUSINESS 1. FY 2011 Budget Update X. COMMENTS BY PUBLIC XL COMMENTS BY THE BOARD XII. ADJORNMENT City Manager Report Fiscal Year 2011 Budaet 0 Past 3 Years Budget Reductions ■ Net revenue loss $6.9 million (property values, State revenues, investment income) ■ Public Safety pension costs up almost $1 million in FY 2010 ■ 50 Full -time positions eliminated — approx. $4 million reduction • 26 Part -time positions eliminated (27,000 hrs) • Overtime Costs - $209,000 or 9% reduction • Part -time Salaries - $202,000 or 26% reduction • Professional Services - $810,000 or 37% reduction • Travel /Training Costs - $347,000 or 75% Reduction • Capital Outlay - $3.6 million or 75% reduction 2 N Current Year Budget • Overall, revenues on target and expenditures are slightly under budget through 12/31/2009 • Preliminary estimated revenues equal estimated expenditures for FY 2009/10 ■ Estimated Undesignated Fund Balance at 9/30/2010 - $21.9 million, compared to budgeted amount of $20 million 3 N Significant Factors for FY 2011 Budget 4:• Expenditures - Personnel Health and Workers' Compensation Insurance 'Operating 4 0 Personnel Costs and Benefits ■ 5 benefit areas identified as potential cost saving measures to minimize loss of personnel: Convert Personal Leave and Acute Illness Leave to Paid Time Off (PTO) and cap Conversion of Leave — potential savings $1.1 million Longevity — potential savings $1.2 million Tuition Reimbursement — savings $17,000 Voluntary Separation Program (savings TBD) On -site Healthcare Clinic (savings TBD) 5 0 Voluntary Separation Program • Offer opportunity for non - probationary full time employees to voluntarily resign from employment • Severance package: lump sum payment of base salary from last day employment through 9/30/2010; plus Employee's option of continued medical /dental insurance coverage OR lump sum cash equivalent of City's total cost for continued coverage through 9/30/2010 0 N On -site Healthcare Clinic ■ On -site healthcare clinic for employees /dependents Basic primary care services provided by licensed medical personnel (labs, physicals, wellness, nutrition, pharmacy - commonly used generic medications) Add services in future Li Workers' Compensation Li Occupational Health Li Employment related drug testing • RFP process — services provided via contract • Location provided by City • Proposers required to provide financial analysis to project operational costs and claims savings to City N Taxable Property Valuation ■ Estimated potential declines range countywide, to -5% to 0% in Palm Gardens from -12% Beach ■ Potential deficit in 2011 could range from $500,000 to $6 million ■ 5 Year Projections — Estimated a 7% decline in property values ($3.7 million deficit) ■ Waiting for preliminary estimates from Property Appraiser 8 0 New Construction • New Construction Value - $150 million per 5 Year Projection (actual 2010 value $213 million) • Total value of permits issued last fiscal year was $189 million 0 M Other Revenues ■ Other Revenues — FY 2010/11 State revenue estimates are expected to be released June /July 2010 Sales tax projections are expected to increase only slightly Investment returns expected to remain low New construction remains slow 10 ■ Summary ■ FY 2010/11 budget preparation started Voluntary Separation Program On -site Healthcare Clinic Potential revisions to personnel rules and regulations Evaluation of potential cost savings through consolidation ■ Expect preliminary property valuations by 4/1/2010 ■ Minimize job loss to maintain current levels of service 11