08-10-2016 VC BWS-MPresent:
ROLL CALL
MINUTES OF THE BUDGET WORKSHOP SESSION
VILLAGE COUNCIL OF NORTH PALM BEACH, FLORIDA
AUGUST 10, 2016
David B. Norris, Mayor
Doug Bush, Vice Mayor
Darryl C. Aubrey, Sc.D., President Pro Tem
Robert A. Gebbia, Councilmember
Mark Mullinix, Councilmember
James P. Kelly, Village Manager
Melissa Teal, Village Clerk
Mayor Norris called the meeting to order at 7:00 p.m. All members of Council were present, except
Vice Mayor Bush, who participated via conference call. All members of staff were present, except
the Village Attorney. Also present were Finance Director Samia Janjua, Information Technology
Director Michael Applegate, and Human Resources Director Britoni Garson.
PURPOSE OF THE MEETING
Mr. Kelly explained the Fiscal Year 2017 budget items for review and discussion included:
•
FY 17 Summary of Budget Changes to Country Club and General Fund
• Village Council budget
• Village Clerk budget
• Village Attorney budget
• Village Manager budget
• Human Resources budget
• Information Technology budget
• Finance Department budget
• Purchasing Department budget
• Reserves and Other Expenses
FYI SUMMARY OF BUDGET CHANGES — COUNTRY CLUB AND GENERAL FUND
Mr. Kelly stated there were no General Fund budget changes since the last meeting. Mr. Kelly
provided an update on changes to the Country Club budget since the last budget meeting, as
follows:
• Utilize reserves to balance budget - $53,003
• Updated personnel costs — ($58,080)
o Health insurance
o Fund "unfunded position"
VILLAGE COUNCIL
FY 2017 Budget
FY 2016 Budget
% increase/
decrease
$ increase/
decrease
Personnel $50,474
$50,466
0.02%
$8
Operating $85,562
$82,245
4.03%
$3,317
Total Expenses $136,036
$132,711
2.51%
$3,325
Minutes of Village Council Budget Workshop Session held August 10, 2016 Page 2 of 5
Discussion ensued on the expense for accounting and auditing, noting the item had not yet been
bid. Council determined by Consensus to change the line item to $27,000. Discussion continued
regarding the expense of attending conferences and a reduction of the travel budget.
VILLAGE CLERK
Mr. Kelly reviewed the organizational chart for the Village Council's Department and noted there
were no changes proposed to the three (3) person department.
FY 2017 Budget
FY 2016 Budget
% increase/
decrease
$ increase/
decrease
Personnel $324,099
$301,351
7.55%
$22,748
Operating $35,460
$34,905
1.59%
$555
Total Expenses $359,559
$336,256
6.93%
$23,303
VILLAGE ATTORNEY
Mr. Kelly read from a letter sent by the Village Attorney requesting to raise his hourly fee from
$175 to $195. Mr. Kelly explained the contract rate had remained steady since 2006.
Discussion ensued regarding the need to increase the line item for Legal Services Labor due to
contract negotiations. Council agreed by consensus to amend the contract with the new hourly fee.
VILLAGE MANAGER
Mr. Kelly reviewed the organizational chart for the Village Manager's Department, which
included the proposed addition of a Director of Special Projects. Mr. Kelly reviewed the position
and function and stated the position would be direct funded by grant projects.
FY 2017 Budget
FY 2016 Budget
% increase/
$ increase/
52.76% $158,149
Operating
$41,670 $30,900
decrease
decrease
Legal Services
$105,000
$10500
0%
0
Village Attorney
Legal Services
$10,000
$1000
0%
0
Special
Legal Services
$25,000
$25,000
0%
0
Labor
Total Expenses
$140,000
1 $140,000
0%
0
Mr. Kelly read from a letter sent by the Village Attorney requesting to raise his hourly fee from
$175 to $195. Mr. Kelly explained the contract rate had remained steady since 2006.
Discussion ensued regarding the need to increase the line item for Legal Services Labor due to
contract negotiations. Council agreed by consensus to amend the contract with the new hourly fee.
VILLAGE MANAGER
Mr. Kelly reviewed the organizational chart for the Village Manager's Department, which
included the proposed addition of a Director of Special Projects. Mr. Kelly reviewed the position
and function and stated the position would be direct funded by grant projects.
Discussion continued regarding the number of projects planned for FYI 7. Councilmember Gebbia
suggested the major projects budget include money for communication with residents such as
banners and other methods, with each project having a communication plan.
FY 2017 Budget FY 2016 Budget
% increase/ $ increase/
decrease decrease
Personnel
$457,858 $299,749
52.76% $158,149
Operating
$41,670 $30,900
34.85% $10,770
Total Expenses
$499,568 $330,649
51.09% $168,919
Discussion continued regarding the number of projects planned for FYI 7. Councilmember Gebbia
suggested the major projects budget include money for communication with residents such as
banners and other methods, with each project having a communication plan.
Minutes of Village Council Budget Workshop Session held August 109 2016 Page 3 of 5
Mr. Kelly explained the professional services line item included purchase of a property, Master
Plan implementation, and ongoing surveys. Discussion ensued regarding a compensation study.
President Pro Tem Aubrey asked for review of the line item for historian, noting a small amount
had been budgeted historically but the line was blank for FYI 7.
Discussion ensued regarding the cost of sending out the newsletter and potential cost savings.
HUMAN RESOURCES
FY 2017 Budget
FY 2016 Budget
% increase/
decrease
$ increase/
decrease
Personnel $279,273
$242,172
15.32%
$37,101
Operating $91,283
$104,337
-12.51%
($13,054)
Total Expenses $370,556
$346,509
6.94%
$24,047
Human Resources Director Britoni Garson discussed a reduction in contractual services,
explaining a change from Halogen to Munis resulted in cost savings. Ms. Garson reviewed the
functions of the software. Discussion continued on the employee relations line item.
INFORMATION TECHNOLOGY
FY 2017 Budget
FY 2016 Budget
% increase/
decrease
$ increase/
decrease
Personnel $323,358
$311,412
3.840YO
$11,946
Operating $101)425
$1089300
-6.35%
($6,875)
Total Expenses $424,783
$419,712
1.21%
$5,071
Information Technology Director Michael Applegate reviewed the contractual services and
materials line items briefly. Discussion continued regarding encryption requirements which had
been handed down from the FBI and become a new Florida Department of Law Enforcement
(FDLE) requirement.
FINANCE
Mr. Kelly discussed proposed changes to the Finance Department organizational chart, including
removal of the Project and Procurement Manager and removal of an Accounting Clerk due to
attrition. He noted the Finance Director also oversees one (1) full-time Country Club Accounting Clerk.
Mr. Kelly discussed the purchasing analysis he had conducted over the past year since being asked
to take over the department.
FY 2017 Budget
FY 2016 Budget
% increase/
decrease
$ increase/
decrease
Personnel
$509,962
$724,911
-29.65%
($214,949)
Operating
$48,150
$48,550
-0.82%
($400)
Total Expenses
$558,112
$773,461
-27.84%
($215,349)
Mr. Kelly discussed the purchasing analysis he had conducted over the past year since being asked
to take over the department.
Minutes of Village Council Budget Workshop Session held August 10, 2016 Page 4 of 5
PURCHASING
FY 2017 Budget
FY 2016 Budget % increase/
decrease
$ increase/
decrease
Personnel $185,872
$0
$1855872
Operating $16,910
$0
$16,910
Total Expenses $2025782
$0
$202,782
Mr. Kelly explained the proposed creation of the Purchasing Department, adding a Director of
Purchasing and making the current employee a full-time Purchasing Agent. Mr. Kelly stated the
intent was to bring a Director of Purchasing in for two (2) years to train the Purchasing Agent and
to get the Village through the planned construction projects. Mr. Kelly discussed the applicant secured.
Vice Mayor Bush questioned whether a department needed to be created for a short-term function.
Mr. Kelly responded that Finance had asked the Village Manager to take over the function, and as
he looked at it, he saw what needed to be done for the long-term strength of Purchasing.
Discussion continued regarding bringing in a Director of Purchasing for the short-term. Council
agreed by consensus that they were comfortable with the hire, but continued to discuss creating a
separate Purchasing Department and the capabilities of purchasing, as well as whether to maintain
the department under Finance or the Village Manager.
Mayor Norris asserted a written scope of work and procedural process was needed before moving
forward. Mayor Norris stated once that document could be reviewed, Council would be in a better
position to determine where the department should be placed.
Vice Mayor Bush asked for clarification on why the Finance Director had requested Purchasing
be removed from her function. Finance Director Sarnia Janjua explained briefly. Ms. Janjua stated
she had asked the Village Manager to review because the person in the department was not able to
perform at the level required.
Council decided by consensus to remove the team from Finance and place them under the Village
Manager with a Manager of Purchasing rather than Director, and not to create a separate
department. Discussion continued on hiring a part-time employee versus filling the position
contractually.
Vice Mayor Bush expressed concern regarding the Purchasing Department being created without
involvement of the Village Council. Mayor Norris agreed and stated the discussion should be held
outside of the budget review.
Mr. Kelly responded to questions regarding the removal of the Accounting Clerk in Finance due
to attrition and shifts of data entry from Finance to Human Resources. Council discussed the
potential that the department was being understaffed and taking the time to review the need over
the next few months.
RESERVES & OTHER EXPENSES
Ms. Janjua explained the items listed under Reserves and Other Expenses and briefly answered
questions from Councilmembers regarding the Capital Contingency Fund.
Minutes of Village Council Budget Workshop Session held August 10, 2016 Page 5 of 5
Mayor Norris called for public comment, however there were none wishing to speak.
Mr. Kelly reviewed the remaining schedule of budget hearings.
ADJOURNMENT
There being no further business to come before the Council, the meeting adjourned at 7:58 p.m.
c
COmpl ted by Jessica Green, MMC, Village Clerk