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07-12-2005 VC B WS-MMINUTES OF THE BUDGET WORKSHOP SESSION VILLAGE COUNCIL OF NORTH PALM BEACH, FLORIDA JULY 12, 2005 Present: Absent: ROLL CALL Dr. Edward M. Eissey, Mayor David B. Norris, Vice Mayor Robert F. Rennebaum, President Pro Tem Charles R. O'Meilia, Councilman Mark Bates, Village Manager Melissa Teal, CMC, Village Clerk Donald G. Noel, Councilman Mayor Eissey called the meeting to order at 7:00 p.m. All members of Council were present, except Don Noel, who was absent due to illness. All members of staff were present, except the Village Attorney. COUNTRY CLUB Mr. Bates reported that the Country Club Advisory Board unanimously approved the Country Club budget. Mr. Bates distributed a "Budget Discussion Overview" handout concerning the proposed Country Club budget. Country Club Administrator Marcy Verrastro provided a summary of the proposed Country Club budget. Mrs. Verrastro discussed projected revenues and expenses. Brief discussion took place concerning elimination of the $4 food and beverage credit and implementation of a frequent play card. Mrs. Verrastro detailed proposed rates and fees for golf, including new "shoulder" rates, which will be used to transition between seasonal rates. Discussion ensued on resident and non-resident membership rates, proposed greens fee rates for non-member and guest of a member categories, and problems associated with verification of residency. Mr. Bates discussed revenues and expenditures in the 2004 budget. Mrs. Verrastro reviewed proposed tennis and pool rates. Mr. Bates reviewed staff reductions in golf course maintenance, golf shop, and clubhouse grounds. Brief discussion took place concerning depreciation. Mr. Bates reported on expenses for materials and supplies, operating costs, and capital items in the golf budget, as well as projected net income. Discussion took place on the 5/10/15/20 year capital equipment plan. Mr. Bates reviewed changes in the staffing chart for Tennis. Mr. Bates reported that staff changes have resulted in the courts opening at 7:00 a.m., which allows for three sessions of tennis by 11:00 a.m. Mr. Bates noted a projected increase in operating income. Discussion was held concerning renovation of the tennis facility. Mr. Bates discussed the possibility of funding pool improvements through grants, if the pool was part of Recreation rather than part of an enterprise fund. Mr. Bates briefly mentioned the possibility of extending pool hours. Mr. Bates reported that funds have been budgeted to resurface the pool deck. Discussion ensued on desirable improvements, such as replacing pool - heaters, renovation of the locker rooms, and resurfacing the pool. JULY 12, 2005 BUDGET WORKSHOP SESSION Mr. Bates reviewed the proposed Food and Beverage budget. Discussion took place concerning the air conditioning unit. Mr. Bates detailed recent repairs to the system. Discussion ensued on supplementing the air conditioning in the lounge with another unit. Consensus of Council was that improvements to air conditioning at the Country Club should be a priority of the Manager. Mr. Bates reviewed the budget for Country Club Administration, including debt service and contingency. Marketing costs were discussed. Mr. Bates detailed new marketing efforts. Discussion was held on the proposed pay range and pay grade for the position of Country Club Director. Mr. Bates advised that any positions the Administration has recommended creating were budgeted at the mid-point level. Mr. Bates explained the charge in each department for Administrative Allocation. Mr. Bates advised that these are non-operational costs, including debt service, contingency, and administrative costs such as bookkeeping, which have been allocated among the various Country Club departments. Discussion was held concerning the impact of the proposed golf course renovation on projected revenue and personnel. Brief discussion ensued on reciprocal agreements for golf memberships. COMPREHENSIVE PAY AND CLASSIFICATION PLAN Assistant Village Manager Doug Smith reviewed the proposed Comprehensive Pay and Classification Plan for 2005-2006. Mr. Smith reviewed recommendations for 3% COLA and 3% average performance increase. Mr. Smith highlighted personnel changes, including title changes, added, deleted, and reclassified positions, as well as the assignment of salary ranges for certain positions. The position of Country Club Director was discussed. Discussion took place concerning the position of pool manager as independent contractor. Mr. Bates briefly discussed pool matters. A short discussion was held regarding the addition ofthe Village Clerk position to the pay plan and the establishment of a salary range. Mr. Bates endorsed the inclusion of all employment positions in the pay plan, with the exception of contract positions, such as Manager and Attorney, and independent contractor positions. Mr. Smith reviewed pay policies and benefit plans. Mr. Smith referred to changes to the merit pay program, the recommended addition of the deferred compensation match, elimination of short-term disability, a new sick leave incentive program, and changes to certification pay. Mr. Bates briefly discussed the 457 Pension Matching Program, proposed changes in life insurance, and replacement of the current sick and vacation leave reimbursement programs with a sick leave incentive program. Mr. Bates reviewed choices and options available for Council consideration regarding budgetary decisions. A short discussion ensued on lateral entry pay, vacancies, and hiring at mid-level versus hiring at entry level. In discussion of the employee suggestion program, it was noted that this program was not specifically budgeted, but could be funded from Village Manager or Council contingency accounts. Discussion ensued on the Council Policy Manual, ADJOURNMENT With no further business to come before the Council, the meeting adjourned at 10:00 p.m. Melissa Teal, CMC Village Clerk 2