08-15-2020 VC B WS-MMINUTES OF BUDGET WORKSHOP SESSION
VILLAGE COUNCIL OF NORTH PALM BEACH, FLORIDA
August 15, 2020
Present: Susan Bickel, Mayor
Mark Mullinix, Vice Mayor
David B. Norris, President Pro Tem
Darryl C. Aubrey, Sc.D, Councilmember
Deborah Searcy, Councilmember
Andrew D. Lukasik, Village Manager
Leonard G. Rubin, P.A., Village Attorney
Jessica Green, Village Clerk
ROLL CALL
Mayor Bickel called the meeting to order at 9:00 a.m. All members of Council were present. All
members of staff were present.
Mr. Lukasik announced that the meeting was also available virtually and that members of the public
were permitted to attend and submit questions via the Zoom virtual meeting platform.
PURPOSE OF THE MEETING
• FY 2021 General Overview
• FY 2021 REVENUE CHANGES/ MILLAGE REQUIREMENT
• FY 2021 PERSONNEL COSTS/ASSUMPTIONS
• FY 2021 CIP
• FY 2021 VEHICLE LEASES
• FY 2021 GENERAL FUND — DEPARTMENTAL SUMMARIES
• FY 2021 COUNTRY CLUB BUDGET
• FY2021 DEBT ALLOCATIONS
FY 2021 ANNUAL BUDGET SUMMARY
Mr. Lukasik presented the General Fund budget summary. Mr. Lukasik stated that there was some
restructuring to the Tennis and Pool Operations, which are included under the Country Club Budget.
Category
General Fund
Country Club
Total
Millage Rate
$7.50
N/A
$7.50
Personnel
$17,083,228
$1,850,013
$18,933,241
Operating
$6,186,569
$300,429
$9,246,998
Debt Service
$1,640,000
$433,689
$2,0739689
Capital Outlay
$10,000
$99,500
$109,500
CIP Transfer
$5109000
0
$510,000
Contingency
0
0
0
Transfer to Other Funds
$274,000
0
$27400
Total
$2597039017
$594439631
$3191479428
Village Council Workshop Session held August 15, 2020
Page 2 of 8
Position Type
General Fund
Country Club
Total
Full -Time
142
10
152
Part -Time
49
55
104
FY 2021 COUNTRY CLUB BUDGET SUMMARY
Mr. Lukasik outlined the Country Club budget summary and changes and discussed the sources
of revenue and expenses.
% Increase/ $ Increase/
Category
FY 2021
FY 2020
Decrease
Decrease
Personnel
$1,850,013
$1,006,219
83.86%
$843,794
Operating
$300,429
$2,543,680
579%
$925,411
Capital Outlay
$99,500
0
0
$99,500
Debt Service
$43309
$433,689
0
0
Total Budget
$594439631
$399839588
36.65%
$194609043
FY 2021 TAXABLE VAULE AND MILLAGE SELECTION
FY 2021
FY 2020
% Increase /
$ Increase /
Decrease
Decrease
Millage Rate $7.50 mils
$7.50 mils
0%
$0
Gross Taxable Value $2,437,532,823
$2,344,581,746
3.96%
$92,951,077
Budgeted Ad -Valorem $17,367,421
$16,736,574
3.81%
$630,847
The rollback rate is $7.2247. Mr. Lukasik reviewed the millage table and presented the impact of
three (3) millage rate options:
Description Millage
Rate
Retain FY 20 $7.5000
Millage Rate
FY 2021 7.4573
(Majority
Vote)
FY 2021
(Two -Thirds
Vote)
8.2030
Budgetary Ad- $ Increase/
Valorem (Decrease) over
2020 Ad -Valorem
$17,367,421 $630,847
$17,268,543 $531,969
$18,995,328 $2,258,754
The Tentative Millage Rate is $7.50 mils.
DECLINE IN FY 2021 GENERAL FUND REVENUE ESTIMATES
(Decrease) over
FY21 RBR
3.81%
3.22%
13.54%
Mr. Lukasik discussed a potential decline in several revenue categories for FY21 due to COVID,
and stated that projections were adjusted accordingly. The revised revenue estimates in the budget
are based on actual changes in the Village's revenues and estimates provided by the Florida Office
of Economic and Demographic Research (EDR). These estimates were released on July 30th, with
a note of caution:
Village Council Workshop Session held August 15, 2020 Page 3 of 8
"Local Government officials should be very cautious and conservative in their budgeting for the
upcoming fiscal year. There is still much uncertainty as to how the effects of the global pandemic
will impact state and local revenues in FY 2020-21."
Mr. Lukasik discussed Capital Improvement Plan projects by funding source and category. Mr.
Lukasik stated that many projects would be funded by grants. Discussion ensued regarding grant
funding and how projects would be funded if grant funding is not available.
Mr. Lukasik provided an overview of Capital Outlay projects for FY21. Discussion ensued
regarding Anchorage Park Dry Storage and the need for additional storage as recommended by
the Recreation Advisory Board. Additional discussion included the anticipated completion date
for the Prosperity Farms Bridge Improvement project and the status of the US 1 Pilot Program.
Mr. Lukasik reviewed a schedule of vehicle lease program payments. Discussion ensued regarding
replacing aging vehicles and lease purchase financing.
Mr. Lukasik summarized highlights of the General Fund, including:
• Decline in several revenue categories due to COVID.
• Major upcoming issues:
o Master Plan implementation
■ US 1 Lane Repurposing Study
■ Redevelopment Code Implementation
■ Residential Code Update
■ Bridge Project Planning
o Underground Overhead Lines
o Anchorage Park Dry Storage
• Personnel Costs
o Generally flat in terms of staffing. Delay in new hire and filling open positions when
possible.
o Health — increase 0.3% or $6,900
o Pension — slight reduction for PD/FR due to State and Employee Contributions
• Vehicle lease summary:
o Two Rear Load Sanitation Trucks and three police vehicles
o Continue to re-evaluate Village's policy on vehicle leasing.
• Clubhouse Debt Service
Mr. Lukasik provided an overview of FY21 General Fund expenses, and stated that there were no
significant changes.
Council requested a three-year history of expenditures to assist in their review of budget trends.
Mr. Lukasik discussed Strategic Planning. Mr. Lukasik suggested streamlining to a less formal
process internally. Mr. Lukasik recommended using the Consultants for high level conversations
related to development of the Town's Vision, Mission and Values. By consensus, the Council agreed.
Mr. Lukasik discussed Initiatives and Projects, including:
Village Council Workshop Session held August 15, 2020 Page 4 of 8
Strategic Initiatives for FY21:
• Commercial Business Initiatives
• Annexation
o Develop an action plan with Council input
• USI/Prosperity Farms Road Bridges
• Undergrounding
• NPBDD generator
• US 1 Lane Repurposing Policy
• Green/Sustainable Policy
o Possible Environmental Committee project
Future Strategic Initiatives:
• Congress Avenue
• Charter Review — Low Priority
• Infrastructure Strategy along US 1 Corridor - Low Priority
• WIN Process — Low Priority
• Earman Boardwalk
o To be addressed during bridge design and construction and redevelopment
• Prosperity Farms Road Corridor
o To be addressed during bridge design and construction
GOALS AND OBJECTIVES FOR FY21 BY DEPARTMENT
• Village Clerk
o Streamline interdepartmental procedures
o Improve interdepartmental procedures with Special Magistrate Hearings
o Evaluate records and dispose of records that have met retention
• Finance Department
o Assist in review of fees to replace Ad -Valorem
o Collaborate with other Departments on Strategic Initiatives
• Human Resources
o Re-establish Wellness activities, including the Health Fair
o Resume Performance Evaluation tools
o Review Health Insurance options for FY 22
• Information Technology
o Cybersecurity Integrity Audit
■ Testing to identify critical flaws in the network
■ Solutions to mitigate discovered issues.
• Police Department
0 7.8% decrease in operating costs for FY21
o Detailed report presented with a justification of overtime costs
• Fire Rescue
o Add one (1) part-time Administrative Assistant.
o Increases in medical supplies and pharmaceutical purchases
■ COVID and the need for additional PPE
Village Council Workshop Session held August 15, 2020 Page 5 of 8
■ New regulations in place for pharmaceuticals, must be purchased in bulk
o Uniforms for both career and volunteer personnel
Council asked if there was a possibility of purchasing in bulk with other agencies to reduce costs.
The Fire Chief stated that DEA requirements do not permit this.
• Public Safety Building
o No changes
• Public Works Department
o Personnel changes — eliminate one position
o Major operating expenditures
o Update to ongoing projects
■ Stormwater Master Plan
■ West Alleyway Pavement Project
o Future Strategic Plan Projects
■ Lakeside Park Seawall Construction
■ Anchorage Park South Marina Reconstruction
■ East Alleyway Wall Replacement
■ Monet Road Seawall Study
■ Lighthouse Drive Bridge Replacement and Traffic Calming
■ Marina Drive Streetscape Improvements — Low priority
■ Public Works Complex Construction/Study — Low Priority
o Contractual Services
o Facility Services
o Vehicle Maintenance — increase due to aging fleet
o Sanitation Fees
■ Revise Sanitation Ordinance
■ Sanitation Commercial Fee Structure
■ Implement a Residential Fee — Council direction needed
o Streets and Grounds Maintenance
Council discussed poor street lighting and asked if there was a plan in place to address the issue.
Public Works Director Hallock would reach out to FPL to request a study to identify where
additional lighting may be needed.
Council discussed outsourcing vehicle maintenance. Public Works Director Hallock stated that
he is in the process of preparing a cost comparison study, and also discussed other services
currently outsourced.
• Community Development
o Strategic Initiatives
■ Operationalize Code Compliance
■ Revised Boat/RV Ordinance
■ New Business Friendly Code
■ Residential Zoning Code
■ Twin City Mall Redevelopment
■ Waterfront Master Plan — FY 2022/2023
■ Update Sign Code — Low priority
■ Bicycle Network Plan — Low priority
o New In-house Building Official Added
Village Council Workshop Session held August 15, 2020 Page 6 of 8
o Community Planning
■ Developer Fees
■ Contractual Services
o Building Department
■ Professional Services
o Code Enforcement
• Library
0 50th Anniversary
o Fundraising
o Launch of New Programs
o Electronic Resources
o Assist other Departments during COVID
o Virtual Programs
o Newspaper Subscriptions
• Parks & Recreation
o Strategic Initiatives
■ Renovate Dry Storage at Anchorage Park
■ Reconstruction of Anchorage Park South Marina
o Friends of the Dog Park Committee
o Online Registration for Boat Ramp Decals — Pilot Program
o Standardize Fees and Agreements with Instructors
o Renovate Outdoor Basketball Courts at Osborne Park
o Replace Playground at Community Center
o Park Equipment/Furniture Replacement
o Renovate Playground at Lakeside Park
o Increase Staffing Hours at Community Center
o Delay Anchorage Park Sand Volleyball Court Renovation and Anchorage Playground Parts
o Update on Youth Sports & Programs
o Collaborate with Country Club to Incorporate New Programs
(There was a recess from approximately 12:03 pm to 12:25 pm.)
During this time, Council was asked to review and vote on color samples. A standardized color
format will be used for future marketing materials.
• Country Club
o Golf Operations
■ Propose 3% Increase in Membership Dues
■ Propose to Increase Walk-in Rates
■ Add one (1) Full-time Assistant Golf Professional
■ Increase in Course Maintenance
• Funding for Bunker and Pond Improvements
■ Upgrades to Course — Capital
■ FY 21 Capital Improvements
• Driving Range Mat Replacement
• Clock Staging Area
• Bag Drop-off and Starting Area Shade Structures
■ FY22 Capital Improvements
Village Council Workshop Session held August 15, 2020
• Pond Restoration
■ FY24 Capital Improvements
• Member Short Game Area
o Food and Beverage Operations
■ Partner with Farmer's Table
■ $1,200 Shared Membership Fee — Clubhouse and Farmer's Table
o Pool Operations
■ Offset Costs by Transferring from General Fund
■ Increased costs due to Pool Maintenance and Tennis Pros
■ Proposed 3% Increase for Pool and Tennis Memberships
■ Introduce Annual Junior Tennis Academy
■ Strategic Initiatives
• Pool Improvements
• Pool Management Structure
• Swim Walls — Low Priority
• Cabana Rentals — Low Priority
• Inflatable Rentals — Low Priority
• Pool Slide — Low Priority
Discussion ensued about the timing for improvements to the pool as proposed.
o Tennis Operations
■ Strategic Initiatives
• Review Structure Tennis Management
Capital Improvements
• Tennis Court Fencing
• Tennis Court Lighting
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There was a brief discussion regarding merchandise sales and outsourcing the management of
the Tennis facility.
Mr. Lukasik provided an overview of Clubhouse Debt Allocations.
o Clubhouse Debt Service Recommendations
■ Delay in debt service payments to General Fund until other debt is retired or
additional revenues are generated
■ Annual Review of Farmer's Table Lease
■ Implement by 2029 to coincide with the last year of Golf Course debt payments
■ Evaluate Enterprise Fund on an annual basis to expedite General Fund repayment
FY 2021 BUDGET HEARING AND WORKSHOP DATES
Mr. Lukasik outlined the Budget Workshop and Public Hearing dates:
• Budget Workshop August 26, 2020 (if needed)
• 1 St Public Hearing September 10, 2020
• 2nd Public Hearing September 24, 2020
Village Council Workshop Session held August 15, 2020
ADJOURNMENT
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With no further business to come before the Council, the meeting adjourned at 1:59 p.m.
Je si i a Green, M C, Village Clerk �..