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07-10-12 Workshop MeetingCITY COMMISSION CITY OF DELRAY BEACH, FLORIDA WORKSHOP MEETING -TUESDAY, JULY 10, 2012 6:00 P.M. DELRAY BEACH CITY HALL FIRST FLOOR CONFERENCE ROOM The City will furnish appropriate auxiliary aids and services where necessary to afford an individual with a disability an equal opportunity to participate in and enjoy the benefits of a service, program, or activity conducted by the City. Contact Doug Smith at 243-7010, 24 hours prior to the program or activity in order for the City to reasonably accommodate your request. Adaptive listening devices are available for meetings in the Commission Chambers. WORKSHOP AGENDA 1. Discussion of a Smoke Free Workplace 2. Economic Development Budget Presentation 3. Community Improvement FY 2013 Departmental Budget Presentation 4. Planning and Zoning FY 2013 Departmental Budget Presentation 5. Revenue, Debt Service and Transfers FY 2013 Budget Presentations 6. Commission Comments Please be advised that if a person decides to appeal any decision made by the City Commission with respect to any matter considered at this meeting, such person will need to ensure that a verbatim record includes the testimony and evidence upon which the appeal is based. The City neither provides nor prepares such record. MEMORANDUM TO: Mayor and City Commissioners FROM: Bruce Koeser, Human Resources Director THROUGH: David Harden, City Manager DATE: July 5, 2012 SUBJECT: AGENDA ITEM WS.1 -WORKSHOP MEETING OF JULY 10, 2012 SMOKE FREE WORKPLACE ITEM BEFORE COMMISSION The item before the Commission is a discussion of staff's research on hiring non-users of tobacco. BACKGROUND This is a response to the Commission's request to research the possibilities of hiring non-users of tobacco. The tobacco user costs the average organization more than $12,000 per year in health and disabilityrelated costs. Diseases related to smoking include Stroke, Lung Cancer, Heart Disease, Pulmonary Disease and other related diseases. Tobacco use is the single most preventable cause of disease, disability and death in the United States. Secondhand smoke is also dangerous, as many of the same poisons in cigarette smoke are inhaled by children, friends and family members of smokers. Smoking is the biggest factor in controllable health care costs, and some employers are becoming more aware and insistent about managing costs and promoting healthy lifestyles. Many major national companies have imposed on-the-job bans on smoking. Others have gone further, by adopting policies that address employees’ off the job behavior. Companies such as Turner Broadcasting, Union Pacific and Alaska airlines have not hired smokers in over 20 years. Hospitals in several states (including Florida) have stopped hiring smokers in the past year. Closer to home, the only known governmental organization that has a no hire policy for tobacco users is the Palm Beach County Tax Collector (see attachment #1), which put this policy in place in 2009 (existing employees who were smokers were grandfathered in). The City of Delray Beach has a Smoke Free Policy for Fire Rescue, which has been in force since 1989 (see attachment #2). All employment applicants must certify that they have been tobacco free for a period of at least one year. In the Police Department, there is a General Order (attachment #3) governing tobacco use while on the job; there is no prohibition of employment for prospective employment candidates for sworn (or non-sworn) positions. No other Departments within the City currently have any similar policies. From a legal perspective, our outside labor counsel Bob Norton opines that it is legal to institute a tobacco free policy in the workplace, but that this is probably a mandatory subject of bargaining in order to implement this for a workforce segment that is covered by a collective bargaining agreement (see attachment #4). This could more easily be negotiated when discussing policies for new hires. While there is virtually no case law on this issue, we could not terminate current tobacco users. There are organizations out there such as the American Civil Liberties Union (ACLU), that call an employer’s refusal to hire smokers “lifestyle discrimination”, and there are at least 29 states that have statutes protecting employees from adverse employment actions based on their off-duty activities, as long as these activities are legal; Florida is not one of these states, so we could implement this for new hires in the Civil Service sector almost immediately. The downside of instituting a ban on hiring smokers is obvious: we would be limiting the applicant pool. It is predicted that the applicant pool will grow slimmer as this City moves closer to the year 2020 – to limit the qualified applicant pool further may result in additional problems in finding qualified candidates to fill our open positions. It is estimated that approximately 16% of candidates would not be considered due to their tobacco use, if a non-smoking policy was put in place. This may eliminate potentially qualified workers who have something to bring to the table. Currently, the City of Delray Beach takes the following steps in regards to tobacco use: * Offered four (4) smoking cessation classes in the last 16 months (free of charge). * For the last two years, we have charged an additional premium to the employee’s medical insurance premium. This is also true if a covered spouse/domestic partner is a tobacco user. * Offer free prescription medications (under a physician’s care) to assist in smoking cessation. This is a summary of what I have found, both internally and externally. If you have additional questions, or would like for me to do some additional research into this issue, please let me know. MEMORANDUM TO: Mayor and City Commissioners FROM: Douglas E. Smith, Assistant City Manager THROUGH: David T. Harden, City Manager DATE: July 6, 2012 SUBJECT: AGENDA ITEM WS.2 -WORKSHOP MEETING OF JULY 10, 2012 ECONOMIC DEVELOPMENT BUDGET PRESENTATION ITEM BEFORE COMMISSION The item before Commission is the Economic Development Budget Presentation. BACKGROUND The Economic Development Budget Presentation will be provided by Vin Nolan, Economic Development Director. City of Delray Beach 2012-2013 Economic Development Staff & Budget Planning for Incentives & Programs City Commission Workshop Meeting July 10, 2012 Economic Development Programs As of June 2012 CRA – Ten (10) Grant and Incentive Programs with over $2million budgeted • Job Creation Bonus • Relocation & Development Incentive City – Economic Development Fund $1million in earmarked reserves • Provides matching dollars for State Incentives exclusively for recruiting new companies to Florida • Loan Interest Subsidy • Development Infrastructure Assistance • Real Estate Development Partnership • Land Value Investment • Business Development Assistance (rent subsidy) • Site Development Assistance • Paint-Up • Historic Façade Easement – Qualified Targeted Industry Program – Quick Action Closing Fund – Road Fund – PACE (Property Assessed Clean Energy Loan Program) • Provides loans to business for sustainable improvements with repayment through nonad valorem property assessment 2011-2012 Economic Development Accomplishments CRA • First Two Development Infrastructure Grants – Hyatt Place – Prime Delray Hotel City • Engaged Real Estate Consultant to Develop Congress Avenue Strategic Plan • Rolled Out Innovation Corridor/Innovation Park Strategy for • First Job Creation Bonus Grant – Kanner & Pintaluga • First Land Value Investment Project – Prime Delray Hotel • Updated Guidelines to Various Grant & Incentive Programs to: – Recruit more retail to the downtown core – Bring in more artists – Allow for home based businesses transitioning to commercial space – Add higher paying jobs to the downtown core Reinvention of Congress Avenue • Created Delray Beach Economic Development Fund -$1million in Earmarked Reserves Providing Matching Dollars for State Incentives Recruiting New Business to Florida – Qualified Targeted Industry – Quick Action Closing Fund – Road Fund • Authorized Participation in PACE for Sustainable Business Investments Proposed Additional Economic Development Initiatives 2012/2013 City – Direct Local Incentives $200,000 • Rent subsidy for target employers relocating within Florida – jobs based initiative similar to QTI funding provided by the State for non-Florida companies • Job growth incentives for existing employers to expand in Delray Beach • Workforce training grants for new job creation by existing or relocating businesses • Economic Gardening technical assistance grants for Startups and Stage II Delray Beach companies – External Marketing Funds $25,000 • Funds to match existing CRA funds for outreach to business through direct marketing, networking & production of collateral materials – Extraordinary Opportunity Grant Program • Can be funded from reserves as per the original Economic Development Incentive Fund • Provides support for unforeseen retention & expansion needs Proposed Additional Economic Development Initiatives 2012/2013 City/CRA Collaborative Micro-Loan Program • Loans for Micro-enterprises and Small Local Businesses • Administration by Community Improvement Staff • Technical Assistance Provided by External Consultant CRA City – $50,000 for Administration & Technical Assistance – $50,000 Loan Fund – $25,000 Administration & Technical Assistance from CDBG – $100,000 Loan Fund from CDBG – $25,000 Loan Fund from Direct City Funding Economic Development Staffing As of June 2012 CRA • Economic Development Director Hired Oct. 2011 • (75% ) City • Economic Development Director Hired Oct. 2011 salary contribution) • (25% ) • Marketing & Grants Manager salary contribution) • In-kind project support from City Manager’s Office Proposed City & CRA EcDev Staffing CRA – Shared Economic Development Director (Decreased to 50%) – Continued support provided by City – Shared Economic Development Director (Increased to 50%) – External Project Consultant for Marketing/Grants Manager on business outreach and marketing – Additional Finance Staff to Support Grants & Incentives Innovation Corridor – Community Improvement Staff to Provide EcDev Administration – Project Specific Support by City Manager’s Office City of Delray Beach EcDev Program Management City Manager Community Improvement Director Economic Development Director (Strategic Planning & PIO/Sustainability (PACE & Govt. Relations) Neighborhood Services/Economic Development Mgr (Micro-lending & EcDev Grant Management) Micro-Loan Technical Assistance Consultant Direct Business/Partner Agency Relations) Innovation Corridor Consultant Additional Tools & Support Mechanisms • Continued Innovation Corridor Work by Consultant David Wilk • Utilization of the Economic Self Assessment Tool – Dukakis Center @Northeastern • Implementation of Economic Development Action Team • Proposed Enterprise Zone – Ongoing Work with State Legislative Delegation • Enhanced collaborative marketing effort with Delray Beach Marketing Cooperative • Ongoing Investigation of Prospective TIF District for the Innovation Corridor Proposed City & CRA Economic Development 2012/2013 Budget CRA 2011-12 2012-13 City 2011-12 2012-13 Staff 21,250 42,500 Marketing 0 25,000 Incentives 0 200,000 Micro-Loan Funding 0 25,0002 21,250 292,5003 Staff 63,750 42,500 Marketing 25,000 25,000 Incentives 2,000,0001 500,000 Micro-Loan Program Funding 0 100,000 2,088,750 667,500 1) Includes $1,400,000 non-recurring funds expected to come from sale of Old Library and reinvested in the redevelopment project at the site 2) Does not include $125,000 of CDBG funds contributed by Community Improvement 3) Does not include $1,000,000 reserve earmarked for Economic Development Incentive Fund MEMORANDUM TO: Mayor and City Commissioners FROM: Douglas E. Smith, Assistant City Manager THROUGH: David T. Harden, City Manager DATE: July 6, 2012 SUBJECT: AGENDA ITEM WS.3 -WORKSHOP MEETING OF JULY 10, 2012 COMMUNITY IMPROVEMENT DEPARTMENT BUDGET PRESENTATION ITEM BEFORE COMMISSION The item before the Commission is the Community Improvement Department budget presentation. Community Improvement Fiscal Year 2012-2013 Budget Overview City Commission Workshop July 10, 2012 City Manager Community Improvement Director Bldg & Insp Administrator Plan Reviewers Inspectors Senior Landscape Planner Neighborhood Services Admin Inspectors CD Specialist Staff Assistant Neighborhood Planner Staff Assistant Comm Imp Coordinator Executive Assistant Permit Clerks Staff Assistants Education Coordinator Assistant Director Code Enf Coordinator Staff Assistants Code Enf Supervisor Code Enf Officers Sanitation Officers Litter Prevention Coordinator Community Improvement Major Functions  Department Management and Administration  Education Liaison  Permitting and Inspections  Code Enforcement  Contract Administration for Solid Waste Collections and Garbage Cart Distribution  Administer Federal, State and Local Grant Programs Directed at Low to Moderate-Income Households Community Improvement General Fund -Staffing Summary Staffing Levels 10-11 11-12 12-13 Administration Frozen: Office Computer Specialist 4.5 4.25 4.25 Building Inspection Frozen: Deputy Bldg Official; Plan Reviewer; Building Inspector; Plan Review Technician; Landscape Inspector 20.65 20.62 20.9 Code Enforcement Frozen: Code Enf Administrator; Code Enf Officers (2) 17 19.25 19.30 FTE’s 42.15 44.12 44.45 Community Improvement Other Funding -Staffing Summary Staffing Levels 10-11 11-12 12-13 Sanitation 4 4.75 4.75 Neighborhood Services 7.5 7.5 6.5 FTE’s 11.5 12.25 11.25 Total FTE’s Community Improvement 53.65 56.37 55.70 Community Improvement Expense Overview 2010 Actuals 2011 Actuals 2012 Revised 2013 Dept. Request 2013 Request + CM changes % Change 2012 vs. 2013 Request Personnel Costs 2,543,418 2,340,246 2,311,390 2,393,010 2,374,540 2.73% Operating Costs 367,502 315,977 341,550 379,380 370,150 8.37% TOTAL 2,910,920 2,656,223 2,652,940 2,772,390 2,744,690 3.46% Community Improvement Budget Account Highlights  No program or function changes  Funding for CSAP Initiative 16,860  Landlord Permit Program Enhancements 63,600 2.5 positions -full year  Increase for board-ups and demolitions due 7,370 to foreclosures & abandoned houses  Costs associated with Laserfiche & Hearing 5,100 Officer for alarm and civil violations Community Improvement Revenue Overview Description 2011/12 Estimate 2012/13 Estimate Notes Building Inspection 3,392,900 500,000 3,275,850 350,000 Building Permits Gulfstream Code Enforcement 1,510,040 1,624,340 Inclusive of Business Tax Receipts, Landlord Permits Alarm Permits Total 5,402,940 5,250,190 Community Improvement Annual Total Revenue Comparison 2.0 3.0 4.0 5.0 6.0 02/03 03/04 04/05 05/06 06/07 07/08 08/09 09/10 10/11 11/12 $3.12 $3.47 $4.44 $5.00 $4.77 $4.78 $4.13 $4.27 $4.76 $5.40 MILLIONS FISCAL YEAR estimate Community Improvement Expenditure /Revenue Overview FY 13 GENERAL FUND BUDGET (REQUEST) FY 13 TOTAL REVENUE (ESTIMATE) % of REVENUE to BUDGET REQUESTED 2,772,390 5,250,190 189% MEMORANDUM TO: Mayor and City Commissioners FROM: Douglas E. Smith, Assistant City Manager THROUGH: David T. Harden, City Manager DATE: July 6, 2012 SUBJECT: AGENDA ITEM WS.4 -WORKSHOP MEETING OF JULY 10, 2012 PLANNING AND ZONING DEPARTMENT BUDGET PRESENTATION ITEM BEFORE COMMISSION The item before the Commission is the Planning and Zoning Department budget presentation. CITY OF DELRAY BEACH Planning and Zoning Department FY 2012 – 2013 Budget Request Overview CITY COMMISSION WORKSHOP MEETING July 10, 2012 Organizational Chart Planning & Zoning Department Planning & Zoning Director Executive Assistant Long Range Planning Current Planning Principal Planner Redevelopment Assistant Planning Director Senior Planner Administrative Assistant Senior Planner (4) Historic Preservation Planner Planner (2) Assistant Planner City Manager Planner Staff Assistant II Planning and Zoning Department Staffing Summary *The four frozen positions have been unfilled for more than three years so the actual personnel is 12 persons. * Staffing Levels 10‐11 11‐12 12‐13 Planning Director 1 1 1 Assistant Planning Director 1 1 1 Principal Planner 1 1 1 Senior Planner (2 frozen positions) 6 6 6 Planner 3 3 3 Assistant Planner (1 frozen position) 1 1 1 Administrative Assistant 1 1 1 Staff Assistant II (1 frozen position) 1 1 1 Executive Assistant 1 1 1 16 16 16 Planning and Zoning Department Expense Overview 2009 Actuals 2010 Actuals 2011 Actuals 2012 Revised 2013 Dept. Request 2013 Request + CM changes % Change 2012 vs. 2013 request Personnel Costs 1,085,451 1,068,476 1,040,474 1,072,560 1,073,970 1,065,220 ‐0.68% Operating Costs 155,305 101,788 81,532 99,570 114,770 110,600 11.08% TOTAL $1,240,756 $1,172,338 $1,122,006 $1,172,130 $1,188,740 $1,175,820 0.31% Planning and Zoning Department Budget Account Highlights • Increase in Other professional services (expert witness), Photo microfilm services, and general liability insurance. • Revenue projections from Land Development Activity, including application fees, reimbursable advertising fees, beach overlay fees, and CRA planning fees. (Represents 25.6% of the departmental budget) $11,810 $301,270 (25.6%) Planning and Zoning Departments Current Trends/Workload • Development applications and number of building permit reviews is trending upward. • Preparation of more than 300 technical staff reports for land development actions before HPB, SPRAB, P&Z, and City Commission. Staff provides staff support for these Boards and presents these findings at approximately 84 Board and City Commission meetings. • Presentation of development applications in front of several advisory Boards or entities including CRA, DDA, Pineapple Grove Mainstreet, and WARC at approximately another 48 meeting over a year. • City Representation and participation on several local or regional organizations including Local Mitigation Strategy, MPO-TAC, IPARC, Beach Council, Historic Resource Review Board, and SEFL Regional partnerships. • Review of more than over 600 building permits over the course of a year to assure compliance with site plan or site plan modification approvals. • Administration of the Beach Restoration Program and the Turtle Monitoring Tasks. MEMORANDUM TO: Mayor and City Commissioners FROM: Douglas E. Smith, Assistant City Manager THROUGH: David T. Harden, City Manager DATE: July 6, 2012 SUBJECT: AGENDA ITEM WS.5 -WORKSHOP MEETING OF JULY 10, 2012 REVENUE, DEBT SERVICE, AND TRANSFERS -BUDGET PRESENTATION ITEM BEFORE COMMISSION The item before the Commission is the budget presentation regarding Revenues, Debt Service, and Transfers. FY 2013 Revenue, Debt Service, and Transfer Budgets City Commission Special Workshop Meeting July 10, 2012 50 60 70 80 90 100 110 FY 2004 FY 2005 FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 Millions Revenues Transfers 2 Budgeted Per Audited Financial Statements 3 ‐30.00% ‐20.00% ‐10.00% 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 % Growth Year City, CRA and DDA Trending CITY CRA DDA Taxes 62% Franchise Fees & Permits 9% Intergov't 7% Charges for Services 11% Fines 1% Misc. 6% Transfers In 4% 4 􀁠 Taxes ◦ Ad Valorem Taxes 􀁸 Tax based on valuation of land 􀁸 City Valuation increased by 1.13% over FY12 ◦ Sales and Use Taxes 􀁸 Tax based on gasoline usage ◦ Utility Taxes 􀁸 Based on electric and gas usage 􀁸 Currently at 10% (maximum rate as per F.S.S.) ◦ Communication Taxes 􀁸 5.22% tax on communications including phones and cable ◦ Business Tax 􀁸 Tax levied annually on businesses in city 􀁠 Franchise Fees and Permits 􀁸 Based on electric and gas usage 􀁸 Franchise on electric currently at 5.9%, gas at 6% 􀁸 Permits issued for a variety of activities, including construction, parking, etc. 􀁠 Intergovernmental Revenues 􀁸 Includes State Revenue Sharing, State Sales Tax, Grant Funding from County/State Agencies. 5 􀁠 Charges for Services 􀁸 Zoning fees, Highland Beach and Gulfstream contracts, Transport Fees, Parking Fees, Recreation Facility Rental and Tennis Fees. 􀁠 Fines and Forfeitures 􀁸 Includes moving violations, traffic fines, code enforcement fines and penalties on late tax payments. 􀁠 Inter-fund Transfers and Contributions 􀁸 Transfers from Proprietary funds for in lieu of ad valorem (based on asset valuation) and utility taxes (based on water sales). 􀁠 Miscellaneous Revenues 􀁸 Includes CRA contributions for the Clean and Safe Program, Shuttle Service, funding of two positions, an ITC/Champions Tournament sponsorship and payment relative to an Old School Square lease agreement. 􀁸 Recovery of Administrative Costs -Transfers from Proprietary Funds based on allocation of Administrative costs (City Manager, Finance, Human Resources, City Attorney, IT, etc.). 6 Category FY 2012 FY 2013 % Change Ad Valorem Taxes $46,346,000 $46,545,860 .43% Sales and Use Taxes 1,295,000 1,310,000 1.16% Utility Taxes 4,980,000 5,150,000 3.41% Communication Services Tax 3,700,000 3,550,000 (4.05%) Business Tax 690,000 715,000 3.62% Franchise Fees 4,705,150 4,850,290 3.08% Permits 3,746,500 3,587,850 (4.23%) Intergovernmental 6,588,628 6,390,580 (3.01%) Charges for Services 9,814,480 9,997,700 1.87% Fines 1,024,500 1,076,000 5.03% Miscellaneous Revenue 5,598,885 5,665,060 (0.01%) Transfers In 3,818,590 3,693,900 (3.27%) Cash Revenues 92,307,733 92,532,240 .24% Surplus Brought Forward 1,225,549 -0-(100%) Total $93,533,282 $92,532,240 (1.07%) 7 􀁠 Ad Valorem Taxes -Current ◦ Current operating millage rate -7.19 mils ◦ Current debt service millage rate -.6133 mils 􀁠 Ad Valorem Taxes – Proposed ◦ Proposed debt service millage rate -.6041mils 􀂾City has maintained same operating millage of 7.19 mils since 2010. 􀂾Rollback rate is 7.1805 which results in a reduction of 56,120. 􀂾One tenth of one mil equates to $590,760. 8 􀁠 Includes General Obligation Debt (Voter Approved) and Non-Ad Valorem Revenue Debt ◦ Proposed Debt for FY 13 includes: ◦ Capital Lease for proposed Finance Hardware and Software purchase. ◦ 2013 Refunding Revenue Note which refinances a 2008 Revenue Note (funded Old School Square retail) maturing June 2013. This will not have any budgetary impact in the FY 13 budget due to timing of the issuance. 9 Category FY 2012 FY 2013 General Obligation $3,573,840 $3,569,830 Revenue Notes 1,895,150 1,530,590 Lease (1) 174,170 263,910 Miscellaneous 1,750 1,000 Total $5,644,910 $5,365,330 (1) Increase in FY 13 is due to Finance Software Lease. 10 􀁠 G.O. Debt per Capita as of 9/30/11 is $375. 􀁠 Total Direct (G.O.) Debt and Overlapping (PBCO and School Board) debt per capita as of 9/30/11 is $589. 􀁠 Total Debt (G.O., Revenue and Utility Tax) as a Percentage of Budget is 7%. 􀁠 All ratio’s are well within City guidelines. 11 􀁠 Includes: ◦ Transfer to CRA for Tax Incremental Financing (TIF) payment. ◦ Transfers to Beautification Fund, General Construction Fund, Community Development Block Grant Fund and Beach Re-nourishment Fund. ◦ Transfer to Debt Service Fund for 2007 Utility Tax Debt Service. 12 Category FY 2012 FY 2013 CRA – TIF Payment $6,404,980 $6,447,690 CRA – Other 22,500 0 To Beautification Fund 860,000 870,000 To General Construction 609,090 2,140,000 To CDBG 149,430 149,430 To Beach Re-Nourishment 15,000 155,000 To Special Project Fund 6,300 0 To Utility Tax Debt Service 1,195,650 1,210,870 Total $9,262,950 $10,972,990 13 MEMORANDUM TO:Mayor and City Commissioners FROM:Bruce Koeser, Human Resources Director THROUGH:David Harden, City Manager DATE:July 5, 2012 SUBJECT:AGENDA ITEM WS.1 - WORKSHOP MEETING OF JULY 10, 2012 SMOKE FREE WORKPLACE ITEM BEFORE COMMISSION The item before the Commission is a discussion of s taff's research on hiring non-users of tobacco. BACKGROUND This is a response to the Commission's request to r esearch the possibilities of hiring non-users of tobacco. The tobacco user costs the average organization mor e than $12,000 per year in health and disability- related costs. Diseases related to smoking include Stroke, Lung Cancer, Heart Disease, Pulmonary Disease and other related diseases. Tobacco use is the single most preventable cause of disease, disability and death in the United States. Secondha nd smoke is also dangerous, as many of the same poisons in cigarette smoke are inhaled by children, friends and family members of smokers. Smoking is the biggest factor in controllable healt h care costs, and some employers are becoming more aware and insistent about managing costs and promot ing healthy lifestyles. Many major national companies have imposed on-the-job bans on smoking. Others have gone further, by a dopting policies that address employees’ off the job behavior. Companies such as Turner Broa dcasting, Union Pacific and Alaska airlines have not hired smokers in over 20 years. Hospitals in several states (including Florida) have stopped hiring smokers in the past ye ar. Closer to home, the only known governmental organization that has a no hire policy for tobacco users is the Palm Beach County Tax Collector (see attachment #1), which put this policy in place in 2 009 (existing employees who were smokers were grandfathered in). The City of Delray Beach has a Smoke Free Policy fo r Fire Rescue, which has been in force since 1989 (see attachment #2). All employment applicants mus t certify that they have been tobacco free for a period of at least one year. In the Police Departm ent, there is a General Order (attachment #3) governing tobacco use while on the job; there is n o prohibition of employment for prospective employment candidates for sworn (or non-sworn) positions. No other Departments within the City currently have any similar policies. From a legal perspective, our outside labor counsel Bob Norton opines that it is legal to institute a tobacco free policy in the workplace, but that this is probably a mandatory subject of bargaining in o rder to implement this for a workforce segment that is c overed by a collective bargaining agreement (see attachment #4). This could more easily be negotiat ed when discussing policies for new hires. While there is virtually no case law on this issue, we co uld not terminate current tobacco users. There are organizations out there such as the Ameri can Civil Liberties Union (ACLU), that call an employer’s refusal to hire smokers “lifestyle discr imination”, and there are at least 29 states that have statutes protecting employees from adverse employme nt actions based on their off-duty activities, as long as these activities are legal; Florida is not one of these states, so we could implement this for new hires in the Civil Service sector almost immediatel y. The downside of instituting a ban on hiring smokers is obvious: we would be limiting the applicant pool. It is predicted that the applicant pool will grow slimmer as this City moves closer to the year 2020 – to limit the qualified applicant pool further may r esult in additional problems in finding qualified candidates to fill our open positions. It is estim ated that approximately 16% of candidates would not be considered due to their tobacco use, if a non-smoking policy was put in place. This may eliminat e potentially qualified workers who have something to bring to the table. Currently, the City of Delray Beach takes the follo wing steps in regards to tobacco use: * Offered four (4) smoking cessation classes in the l ast 16 months (free of charge). * For the last two years, we have charged an addition al premium to the employee’s medical insurance premium. This is also true if a covered spouse/dome stic partner is a tobacco user. * Offer free prescription medications (under a physic ian’s care) to assist in smoking cessation. This is a summary of what I have found, both intern ally and externally. If you have additional questio ns, or would like for me to do some additional research into this issue, please let me know. MEMORANDUM TO:Mayor and City Commissioners FROM:Douglas E. Smith, Assistant City Manager THROUGH:David T. Harden, City Manager DATE:July 6, 2012 SUBJECT:AGENDA ITEM WS.2 - WORKSHOP MEETING OF JULY 10, 2012 ECONOMIC DEVELOPMENT BUDGET PRESENTATION ITEM BEFORE COMMISSION The item before Commission is the Economic Developm ent Budget Presentation. BACKGROUND The Economic Development Budget Presentation will b e provided by Vin Nolan, Economic Development Director. Ci t y o f D e l r a y B e a c h 20 1 2 - 2 0 1 3 Ec o n o m i c D e v e l o p m e n t St a f f & B u d g e t P l a n n i n g St a f f & B u d g e t P l a n n i n g fo r In c e n t i v e s & P r o g r a m s Ci t y C o m m i s s i o n W o r k s h o p M e e t i n g Ju l y 1 0 , 2 0 1 2 Ec o n o m i c D e v e l o p m e n t P r o g r a m s As o f J u n e 2 0 1 2 CR A – Te n ( 1 0 ) G r a n t a n d I n c e n t i v e Pr o g r a m s w i t h o v e r $ 2 m i l l i o n bu d g e t e d • Jo b C r e a t i o n B o n u s • Re l o c a t i o n & D e v e l o p m e n t In c e n t i v e Ci t y – Ec o n o m i c D e v e l o p m e n t F u n d $1 m i l l i o n i n e a r m a r k e d r e s e r v e s • Pr o v i d e s m a t c h i n g d o l l a r s f o r St a t e I n c e n t i v e s e x c l u s i v e l y fo r r e c r u i t i n g n e w c o m p a n i e s to F l o r i d a In c e n t i v e • Lo a n I n t e r e s t S u b s i d y • De v e l o p m e n t I n f r a s t r u c t u r e As s i s t a n c e • Re a l E s t a t e D e v e l o p m e n t Pa r t n e r s h i p • La n d V a l u e I n v e s t m e n t • Bu s i n e s s D e v e l o p m e n t As s i s t a n c e ( r e n t s u b s i d y ) • Si t e D e v e l o p m e n t A s s i s t a n c e • Pa i n t - U p • Hi s t o r i c F a ç a d e E a s e m e n t fo r r e c r u i t i n g n e w c o m p a n i e s to F l o r i d a – Qu a l i f i e d T a r g e t e d In d u s t r y P r o g r a m – Qu i c k A c t i o n C l o s i n g Fu n d – Ro a d F u n d – PA C E ( P r o p e r t y A s s e s s e d C l e a n En e r g y L o a n P r o g r a m ) • Pr o v i d e s l o a n s t o b u s i n e s s f o r su s t a i n a b l e i m p r o v e m e n t s wi t h r e p a y m e n t t h r o u g h n o n - ad v a l o r e m p r o p e r t y as s e s s m e n t 20 1 1 - 2 0 1 2 Ec o n o m i c D e v e l o p m e n t Ac c o m p l i s h m e n t s CR A • Fi r s t T w o D e v e l o p m e n t I n f r a s t r u c t u r e Gr a n t s – Hy a t t P l a c e – Pr i m e D e l r a y H o t e l Ci t y • En g a g e d R e a l E s t a t e C o n s u l t a n t t o De v e l o p C o n g r e s s A v e n u e S t r a t e g i c Pl a n • Ro l l e d O u t I n n o v a t i o n Co r r i d o r / I n n o v a t i o n P a r k S t r a t e g y f o r • Fi r s t J o b C r e a t i o n B o n u s G r a n t – Ka n n e r & P i n t a l u g a • Fi r s t L a n d V a l u e I n v e s t m e n t P r o j e c t – Pr i m e D e l r a y H o t e l • Up d a t e d G u i d e l i n e s t o V a r i o u s G r a n t & In c e n t i v e P r o g r a m s t o : – Re c r u i t m o r e r e t a i l t o t h e do w n t o w n c o r e – Br i n g i n m o r e a r t i s t s – Al l o w f o r h o m e b a s e d b u s i n e s s e s tr a n s i t i o n i n g t o c o m m e r c i a l s p a c e – Ad d h i g h e r p a y i n g j o b s t o t h e do w n t o w n c o r e Co r r i d o r / I n n o v a t i o n P a r k S t r a t e g y f o r Re i n v e n t i o n o f C o n g r e s s A v e n u e • Cr e a t e d D e l r a y B e a c h E c o n o m i c De v e l o p m e n t F u n d - $ 1 m i l l i o n i n Ea r m a r k e d R e s e r v e s P r o v i d i n g Ma t c h i n g D o l l a r s f o r S t a t e I n c e n t i v e s Re c r u i t i n g N e w B u s i n e s s t o F l o r i d a – Qu a l i f i e d T a r g e t e d In d u s t r y – Qu i c k A c t i o n C l o s i n g Fu n d – Ro a d F u n d • Au t h o r i z e d P a r t i c i p a t i o n i n P A C E f o r Su s t a i n a b l e B u s i n e s s I n v e s t m e n t s Pr o p o s e d A d d i t i o n a l E c o n o m i c De v e l o p m e n t I n i t i a t i v e s 20 1 2 / 2 0 1 3 Ci t y – Di r e c t L o c a l I n c e n t i v e s $ 2 0 0 , 0 0 0 • Re n t s u b s i d y f o r t a r g e t e m p l o y e r s r e l o c a t i n g w i t h i n F l o r i d a – j o b s b a s e d in i t i a t i v e s i m i l a r t o Q T I f u n d i n g p r o v i d e d b y t h e S ta t e f o r n o n - F l o r i d a co m p a n i e s • Jo b g r o w t h i n c e n t i v e s f o r e x i s t i n g e m p l o y e r s t o e x p an d i n D e l r a y B e a c h • Jo b g r o w t h i n c e n t i v e s f o r e x i s t i n g e m p l o y e r s t o e x p an d i n D e l r a y B e a c h • Wo r k f o r c e t r a i n i n g g r a n t s f o r n e w j o b c r e a t i o n b y e xi s t i n g o r r e l o c a t i n g bu s i n e s s e s • Ec o n o m i c G a r d e n i n g t e c h n i c a l a s s i s t a n c e g r a n t s f o r St a r t u p s a n d S t a g e II D e l r a y B e a c h c o m p a n i e s – Ex t e r n a l M a r k e t i n g F u n d s $ 2 5 , 0 0 0 • Fu n d s t o m a t c h e x i s t i n g C R A f u n d s f o r o u t r e a c h t o b us i n e s s t h r o u g h di r e c t m a r k e t i n g , n e t w o r k i n g & p r o d u c t i o n o f c o l l a t er a l m a t e r i a l s – Ex t r a o r d i n a r y O p p o r t u n i t y G r a n t P r o g r a m • Ca n b e f u n d e d f r o m r e s e r v e s a s p e r t h e o r i g i n a l E c o no m i c D e v e l o p m e n t In c e n t i v e F u n d • Pr o v i d e s s u p p o r t f o r u n f o r e s e e n r e t e n t i o n & e x p a n s i on n e e d s Pr o p o s e d A d d i t i o n a l E c o n o m i c De v e l o p m e n t I n i t i a t i v e s 20 1 2 / 2 0 1 3 Ci t y / C R A C o l l a b o r a t i v e M i c r o - L o a n P r o g r a m • Lo a n s f o r M i c r o - e n t e r p r i s e s a n d S m a l l L o c a l B u s i n e s s es • Ad m i n i s t r a t i o n b y C o m m u n i t y I m p r o v e m e n t S t a f f • Te c h n i c a l A s s i s t a n c e P r o v i d e d b y E x t e r n a l C o n s u l t a n t CR A Ci t y CR A – $5 0 , 0 0 0 f o r Ad m i n i s t r a t i o n & Te c h n i c a l A s s i s t a n c e – $5 0 , 0 0 0 L o a n F u n d Ci t y – $2 5 , 0 0 0 A d m i n i s t r a t i o n & T e c h n i c a l A s s i s t a n c e fr o m C D B G – $1 0 0 , 0 0 0 L o a n F u n d fr o m C D B G – $2 5 , 0 0 0 L o a n F u n d fr o m D i r e c t C i t y Fu n d i n g Ec o n o m i c D e v e l o p m e n t S t a f f i n g As o f J u n e 2 0 1 2 CR A • Ec o n o m i c De v e l o p m e n t D i r e c t o r Hi r e d O c t . 2 0 1 1 • (7 5 % ) Ci t y • Ec o n o m i c De v e l o p m e n t D i r e c t o r Hi r e d O c t . 2 0 1 1 • (2 5 % ) • (7 5 % sa l a r y c o n t r i b u t i o n ) • Ma r k e t i n g & G r a n t s Ma n a g e r • (2 5 % sa l a r y c o n t r i b u t i o n ) • In - k i n d p r o j e c t su p p o r t f r o m C i t y Ma n a g e r ’ s O f f i c e Pr o p o s e d Ci t y & C R A E c D e v S t a f f i n g CR A – Sh a r e d E c o n o m i c De v e l o p m e n t D i r e c t o r (D e c r e a s e d t o 5 0 % ) – Co n t i n u e d s u p p o r t pr o v i d e d b y Ci t y – Sh a r e d E c o n o m i c De v e l o p m e n t D i r e c t o r (I n c r e a s e d t o 5 0 % ) – Ex t e r n a l P r o j e c t Co n s u l t a n t f o r – Co n t i n u e d s u p p o r t pr o v i d e d b y Ma r k e t i n g / G r a n t s Ma n a g e r o n b u s i n e s s ou t r e a c h a n d ma r k e t i n g – Ad d i t i o n a l F i n a n c e St a f f t o S u p p o r t Gr a n t s & I n c e n t i v e s – Ex t e r n a l P r o j e c t Co n s u l t a n t f o r In n o v a t i o n C o r r i d o r – Co m m u n i t y Im p r o v e m e n t S t a f f t o Pr o v i d e E c D e v Ad m i n i s t r a t i o n – Pr o j e c t S p e c i f i c Su p p o r t b y C i t y Ma n a g e r ’ s O f f i c e Ci t y o f D e l r a y B e a c h Ec D e v P r o g r a m M a n a g e m e n t Ci t y M a n a g e r Co m m u n i t y Im p r o v e m e n t D i r e c t o r Ec o n o m i c D e v e l o p m e n t Di r e c t o r (S t r a t e g i c P l a n n i n g & PI O / S u s t a i n a b i l i t y (P A C E & G o v t . Re l a t i o n s ) Co m m u n i t y Im p r o v e m e n t D i r e c t o r Ne i g h b o r h o o d Se r v i c e s / E c o n o m i c De v e l o p m e n t M g r (M i c r o - l e n d i n g & E c D e v Gr a n t M a n a g e m e n t ) Mi c r o - L o a n T e c h n i c a l As s i s t a n c e C o n s u l t a n t (S t r a t e g i c P l a n n i n g & Di r e c t B u s i n e s s / P a r t n e r Ag e n c y R e l a t i o n s ) In n o v a t i o n C o r r i d o r Co n s u l t a n t Ad d i t i o n a l T o o l s & Su p p o r t M e c h a n i s m s • Co n t i n u e d I n n o v a t i o n C o r r i d o r W o r k b y Co n s u l t a n t D a v i d W i l k • Ut i l i z a t i o n o f t h e E c o n o m i c S e l f A s s e s s m e n t To o l – Du k a k i s C e n t e r @ N o r t h e a s t e r n To o l – Du k a k i s C e n t e r @ N o r t h e a s t e r n • Im p l e m e n t a t i o n o f E c o n o m i c D e v e l o p m e n t A c t i o n Te a m • Pr o p o s e d E n t e r p r i s e Z o n e – O n g o i n g W o r k w i t h St a t e L e g i s l a t i v e D e l e g a t i o n • En h a n c e d c o l l a b o r a t i v e m a r k e t i n g e f f o r t w i t h De l r a y B e a c h M a r k e t i n g C o o p e r a t i v e • On g o i n g I n v e s t i g a t i o n o f P r o s p e c t i v e T I F D i s t r i c t fo r t h e I n n o v a t i o n C o r r i d o r Pr o p o s e d Ci t y & C R A E c o n o m i c D e v e l o p m e n t 20 1 2 / 2 0 1 3 B u d g e t CR A 20 1 1 - 1 2 2 0 1 2 - 1 3 Ci t y 20 1 1 - 1 2 2 0 1 2 - 1 3 St a f f 2 1 , 2 5 0 4 2 , 5 0 0 Ma r k e t i n g 0 2 5 , 0 0 0 In c e n t i v e s 0 2 0 0 , 0 0 0 Mi c r o - L o a n Fu n d i n g 0 2 5 , 0 0 0 2 21 , 2 5 0 2 9 2 , 5 0 0 3 St a f f 6 3 , 7 5 0 4 2 , 5 0 0 Ma r k e t i n g 2 5 , 0 0 0 2 5 , 0 0 0 In c e n t i v e s 2 , 0 0 0 , 0 0 0 1 50 0 , 0 0 0 Mi c r o - L o a n Pr o g r a m Fu n d i n g 0 1 0 0 , 0 0 0 2, 0 8 8 , 7 5 0 6 6 7 , 5 0 0 1) I n c l u d e s $ 1 , 4 0 0 , 0 0 0 n o n - r e c u r r i n g f u n d s e x p e c t e d to c o m e f r o m s a l e o f O l d L i b r a r y a n d r e i n v e s t e d i n th e r e d e v e l o p m e n t pr o j e c t a t t h e s i t e 2) D o e s n o t i n c l u d e $ 1 2 5 , 0 0 0 o f C D B G f u n d s c o n t r i b u t ed b y C o m m u n i t y I m p r o v e m e n t 3) D o e s n o t i n c l u d e $ 1 , 0 0 0 , 0 0 0 r e s e r v e e a r m a r k e d f o r E c o n o m i c D e v e l o p m e n t I n c e n t i v e F u n d MEMORANDUM TO:Mayor and City Commissioners FROM:Douglas E. Smith, Assistant City Manager THROUGH:David T. Harden, City Manager DATE:July 6, 2012 SUBJECT:AGENDA ITEM WS.3 - WORKSHOP MEETING OF JULY 10, 2012 COMMUNITY IMPROVEMENT DEPARTMENT BUDGET PRESENTATIO N ITEM BEFORE COMMISSION The item before the Commission is the Community Imp rovement Department budget presentation. Community Improvement Fiscal Year 2012 -2013 Budget Overview City Commission Workshop July 10, 2012 City Manager Community Improvement Director Bldg & Insp Administrator Plan Reviewers Inspectors Senior Landscape Planner Neighborhood Services Admin Inspectors CD Specialist Staff Assistant Neighborhood Planner Staff Assistant Comm Imp Coordinator Executive Assistant Permit Clerks Staff Assistants Education Coordinator Assistant Director Code Enf Coordinator Staff Assistants Code Enf Supervisor Code Enf Officers Sanitation Officers Litter Prevention Coordinator Community Improvement Major Functions Department Management and Administration Education Liaison Permitting and Inspections Code Enforcement Contract Administration for Solid Waste Collections and Garbage Cart Distribution Administer Federal, State and Local Grant Programs Directed at Low to Moderate -Income Households Community Improvement General Fund - Staffing Summary Staffing Levels 10 -11 11 -12 12 -13 Administration Frozen: Office Computer Specialist 4.5 4.25 4.25 Building Inspection Frozen: Deputy Bldg Official; Plan Reviewer; Building Inspector; Plan Review Technician; Landscape Inspector 20.65 20.62 20.9 Code Enforcement Frozen: Code Enf Administrator; Code Enf Officers (2) 17 19.25 19.30 FTE’s 42.15 44.12 44.45 Community Improvement Other Funding - Staffing Summary Staffing Levels 10 -11 11 -12 12 -13 Sanitation 4 4.75 4.75 Neighborhood Services 7.5 7.5 6.5 FTE’s 11.5 12.25 11.25 Total FTE’s Community Improvement 53.65 56.37 55.70 Community Improvement Expense Overview 2010 Actuals 2011 Actuals 2012 Revised 2013 Dept. Request 2013 Request + CM changes % Change 2012 vs. 2013 Request Personnel Costs 2,543,418 2,340,246 2,311,390 2,393,010 2,374,540 2.73% Operating Costs 367,502 315,977 341,550 379,380 370,150 8.37% TOTAL 2,910,920 2,656,223 2,652,940 2,772,390 2,744,690 3.46% Community Improvement Budget Account Highlights  No program or function changes  Funding for CSAP Initiative 16,860  Landlord Permit Program Enhancements 63,600 2.5 positions - full year  Increase for board -ups and demolitions due 7,370 to foreclosures & abandoned houses  Costs associated with Laserfiche & Hearing 5,100 Officer for alarm and civil violations Community Improvement Revenue Overview Description 2011/12 Estimate 2012/13 Estimate Notes Building Inspection 3,392,900 500,000 3,275,850 350,000 Building Permits Gulfstream Code Enforcement 1,510,040 1,624,340 Inclusive of Business Tax Receipts, Landlord Permits Alarm Permits Total 5,402,940 5,250,190 Community Improvement Annual Total Revenue Comparison 2.0 3.0 4.0 5.0 6.0 02/03 03/04 04/05 05/06 06/07 07/08 08/09 09/10 10/11 11/12 $3.12 $3.47 $4.44 $5.00 $4.77 $4.78 $4.13 $4.27 $4.76 $5.40 MI L L I O N S FISCAL YEAR estimate Community Improvement Expenditure / Revenue Overview FY 13 GENERAL FUND BUDGET (REQUEST) FY 13 TOTAL REVENUE (ESTIMATE) % of REVENUE to BUDGET REQUESTED 2,772,390 5,250,190 189% MEMORANDUM TO:Mayor and City Commissioners FROM:Douglas E. Smith, Assistant City Manager THROUGH:David T. Harden, City Manager DATE:July 6, 2012 SUBJECT:AGENDA ITEM WS.4 - WORKSHOP MEETING OF JULY 10, 2012 PLANNING AND ZONING DEPARTMENT BUDGET PRESENTATION ITEM BEFORE COMMISSION The item before the Commission is the Planning and Zoning Department budget presentation. CI T Y O F D E L R A Y B E A C H Pl a n n i n g a n d Z o n i n g D e p a r t m e n t FY 2 0 1 2 – 2 0 1 3 B u d g e t R e q u e s t O v e r v i e w CI T Y C O M M I S S I O N W O R K S H O P M E E T I N G Ju l y 1 0 , 2 0 1 2 Or g a n i z a t i o n a l  Ch a r t Pl a n n i n g  & Zo n i n g  De p a r t m e n t Pl a n n i n g & Z o n i n g Di r e c t o r Ex e c u t i v e A s s i s t a n t Lo n g R a n g e P l a n n i n g Cu r r e n t P l a n n i n g Pr i n c i p a l P l a n n e r Re d e v e l o p m e n t As s i s t a n t P l a n n i n g Di r e c t o r Se n i o r P l a n n e r Ad m i n i s t r a t i v e As s i s t a n t Se n i o r P l a n n e r ( 4 ) Hi s t o r i c P r e s e r v a t i o n Pl a n n e r Pl a n n e r ( 2 ) As s i s t a n t P l a n n e r Ci t y M a n a g e r Pl a n n e r St a f f A s s i s t a n t I I Pl a n n i n g  an d  Zo n i n g   De p a r t m e n t   St a f f i n g  Su m m a r y *T h e  fo u r  fr o z e n  po s i t i o n s  ha v e  be e n  un f i l l e d  fo r  mo r e  th a n  th r e e  years  so  the   ac t u a l  pe r s o n n e l    is  12    pe r s o n s .   * St a f f i n g  Le v e l s 1 0 ‐11 1 1 ‐12 1 2 ‐13 Pl a n n i n g D i r e c t o r 1 1 1 As s i s t a n t P l a n n i n g D i r e c t o r 1 1 1 Pr i n c i p a l P l a n n e r 1 1 1 Se n i o r P l a n n e r ( 2 f r o z e n p o s i t i o n s ) 6 6 6 Pl a n n e r 3 3 3 As s i s t a n t P l a n n e r ( 1 f r o z e n p o s i t i o n ) 1 1 1 Ad m i n i s t r a t i v e A s s i s t a n t 1 1 1 St a f f A s s i s t a n t I I ( 1 f r o z e n p o s i t i o n ) 1 1 1 Ex e c u t i v e A s s i s t a n t 1 1 1 16 1 6 1 6 Pl a n n i n g  an d  Zo n i n g   De p a r t m e n t   Ex p e n s e  Ov e r v i e w 20 0 9 Ac t u a l s   20 1 0 Ac t u a l s 20 1 1 Ac t u a l s 20 1 2   Re v i s e d 20 1 3   De p t . Re q u e s t 20 1 3   Re q u e s t  +  CM   ch a n g e s % Change  2012  vs. 2013  request Pe r s o n n e l   Co s t s 1, 0 8 5 , 4 5 1 1 , 0 6 8 , 4 7 6 1 , 0 4 0 , 4 7 4 1, 0 7 2 , 5 6 0 1 , 0 7 3 , 9 7 0 1 , 0 6 5 , 2 2 0 ‐0.68% Op e r a t i n g   Co s t s 15 5 , 3 0 5 1 0 1 , 7 8 8 8 1 , 5 3 2 9 9 , 5 7 0 1 1 4 , 7 7 0 1 1 0 , 6 0 0 1 1 . 0 8 % TO T A L $1 , 2 4 0 , 7 5 6 $ 1 , 1 7 2 , 3 3 8 $ 1 , 1 2 2 , 0 0 6 $ 1 , 17 2 , 1 3 0 $ 1 , 1 8 8 , 7 4 0 $ 1 , 1 7 5 , 8 2 0 0 . 3 1 % Pl a n n i n g  an d  Zo n i n g  De p a r t m e n t Bu d g e t  Ac c o u n t  Hi g h l i g h t s • I n c r e a s e i n O t h e r p r o f e s s i o n a l s e r v i c e s ( e x p e r t wi t n e s s ) , P h o t o m i c r o f i l m s e r v i c e s , a n d g e n e r a l li a b i l i t y i n s u r a n c e . • R e v e n u e p r o j e c t i o n s f r o m L a n d D e v e l o p m e n t Ac t i v i t y , i n c l u d i n g a p p l i c a t i o n f e e s , r e i m b u r s a b l e ad v e r t i s i n g f e e s , b e a c h o v e r l a y f e e s , a n d C R A pl a n n i n g f e e s . ( R e p r e s e n t s 2 5 . 6 % o f t h e de p a r t m e n t a l b u d g e t ) $11,810 $301,270 (25.6%) Pl a n n i n g  an d  Zo n i n g  De p a r t m e n t s   Cu r r e n t  Tr e n d s / W o r k l o a d • D e v e l o p m e n t a p p l i c a t i o n s a n d n u m b e r o f b u i l d i n g p e r m i t r e v i e w s i s t r e n d i n g u p w a r d . • P r e p a r a t i o n o f m o r e t h a n 3 0 0 t e c h n i c a l s ta f f r e p o r t s f o r l a n d d e v e l o p m e n t a c t i o n s be f o r e H P B , S P R A B , P & Z , a n d C i t y C o m m i s s i o n . S t a f f p r o v i d e s s t a f f s u p p o r t f o r t h e s e Bo a r d s a n d p r e s e n t s t h e s e f i n d i n g s a t a p p r o x i m a t e l y 8 4 B o a r d a n d C i t y C o m m i s s i o n me e t i n g s . • P r e s e n t a t i o n o f d e v e l o p m e n t a p p l i c a t i o n s i n fr o n t o f s e v e r a l a d v i s o r y B o a r d s o r e n t i t i e s in c l u d i n g C R A , D D A , P i n e a p p l e G r o v e M a i n s t r e e t , a n d W A R C a t a p p r o x i m a t e l y an o t h e r 4 8 m e e t i n g o v e r a y e a r . • C i t y R e p r e s e n t a t i o n a n d p a r t i c i p a t i o n o n s e v e r a l l o c a l o r r e g i o n a l o r g a n i z a t i o n s in c l u d i n g L o c a l M i t i g a t i o n S t r a t e g y , M PO - T A C , I P A R C , B e a c h C o u n c i l , H i s t o r i c Re s o u r c e R e v i e w B o a r d , a n d S E F L R e g i o n a l p a r t n e r s h i p s . • R e v i e w o f m o r e t h a n o v e r 6 0 0 b u i l d i n g p e r m i t s o v e r t h e c o u r s e o f a y e a r t o a s s u r e co m p l i a n c e w i t h s i t e p l a n o r s i t e p l a n m o d i f i c a t i o n a p p r o v a l s . • A d m i n i s t r a t i o n o f t h e B e a c h R e s t o r a t i o n P r o g r a m a n d t h e T u r t l e M o n i t o r i n g T a s k s . MEMORANDUM TO:Mayor and City Commissioners FROM:Douglas E. Smith, Assistant City Manager THROUGH:David T. Harden, City Manager DATE:July 6, 2012 SUBJECT:AGENDA ITEM WS.5 - WORKSHOP MEETING OF JULY 10, 2012 REVENUE, DEBT SERVICE, AND TRANSFERS - BUDGET PRESENTATION ITEM BEFORE COMMISSION The item before the Commission is the budget presen tation regarding Revenues, Debt Service, and Transfers. FY 2 0 1 3 R e v e n u e , D e b t S e r v i c e , a n d T r a n s f e r B u d g e t s Ci t y C o m m i s s i o n S p e c i a l W o r k s h o p M e e t i n g Ju l y 1 0 , 2 0 1 2 50 60 70 80 90 10 0 11 0 FY 20 0 4 FY 20 0 5 FY 20 0 6 FY 20 0 7 FY 20 0 8 FY 20 0 9 FY 20 1 0 FY 20 1 1 FY 2012 FY 2013 Millions Re v e n u e s Tr a n s f e r s 2 Budgeted Pe r A u d i t e d F i n a n c i a l S t a t e m e n t s 3 ‐30 . 0 0 % ‐20 . 0 0 % ‐10 . 0 0 % 0. 0 0 % 10 . 0 0 % 20 . 0 0 % 30 . 0 0 % 40 . 0 0 % 50 . 0 0 % 60 . 0 0 % 20 0 4 2 0 0 5 2 0 0 6 2 0 0 7 2 0 0 8 2 0 0 9 2 0 1 0 2 0 1 1 2 0 1 2 2 0 1 3 % Growth Ye a r Ci t y ,  CR A  an d  DD A T r e n d i n g CITY CRA DDA Ta x e s 62 % Fr a n c h i s e F e e s & Pe r m i t s 9% In t e r g o v ' t 7% Ch a r g e s fo r S e r v i c e s 11 % Fi n e s 1% Mi s c . 6% Tr a n s f e r s I n 4% 4 Ta x e s ◦ Ad V a l o r e m T a x e s Ta x b a s e d o n v a l u a t i o n o f l a n d Ci t y V a l u a t i o n i n c r e a s e d b y 1 . 1 3 % o v e r F Y 1 2 ◦ Sa l e s a n d U s e T a x e s Ta x b a s e d o n g a s o l i n e u s a g e ◦ Ut i l i t y T a x e s Ba s e d o n e l e c t r i c a n d g a s u s a g e Cu r r e n t l y a t 1 0 % ( m a x i m u m r a t e a s p e r F . S . S . ) ◦ Co m m u n i c a t i o n T a x e s 5. 2 2 % t a x o n c o m m u n i c a t i o n s i n c l u d i n g p h o n e s a n d c a b l e ◦ Bu s i n e s s T a x Ta x l e v i e d a n n u a l l y o n b u s i n e s s e s i n c i t y Fr a n c h i s e F e e s a n d P e r m i t s Ba s e d o n e l e c t r i c a n d g a s u s a g e Fr a n c h i s e o n e l e c t r i c c u r r e n t l y a t 5 . 9 % , g a s a t 6 % Pe r m i t s i s s u e d f o r a v a r i e t y o f a c t i v i t ie s , i n c l u d i n g c o n s t r u c t i o n , p a r k i n g , et c . In t e r g o v e r n m e n t a l R e v e n u e s In c l u d e s S t a t e R e v e n u e S h a r i n g , S t a t e S a l e s T a x , G r a n t F u n d i n g f r o m Co u n t y / S t a t e A g e n c i e s . 5 Ch a r g e s f o r S e r v i c e s Zo n i n g f e e s , H i g h l a n d B e a c h a n d G u l f s t r e a m c o n t r a c t s , T r a n s p o r t Fe e s , P a r k i n g F e e s , R e c r e a t i o n F a c i l i t y R e n t a l a n d T e n n i s F e e s . Fi n e s a n d F o r f e i t u r e s In c l u d e s m o v i n g v i o l a t i o n s , t r a f f i c f i n e s , c o d e e n f o r c e m e n t f i n e s a n d pe n a l t i e s o n l a t e t a x p a y m e n t s . In t e r - f u n d T r a n s f e r s a n d C o n t r i b u t i o n s Tr a n s f e r s f r o m P r o p r i e t a r y f u n d s f o r i n l i e u o f a d v a l o r e m ( b a s e d o n as s e t v a l u a t i o n ) a n d u t i l i t y t a x e s ( b a s e d o n w a t e r s a l e s ) . Mi s c e l l a n e o u s R e v e n u e s In c l u d e s C R A c o n t r i b u t i o n s f o r t h e C l e a n a n d S a f e P r o g r a m , S h u t t l e Se r v i c e , f u n d i n g o f t w o p o s i t i o n s , a n I T C / C h a m p i o n s T o u r n a m e n t sp o n s o r s h i p a n d p a y m e n t r e l a t i v e t o a n O l d S c h o o l S q u a r e l e a s e ag r e e m e n t . Re c o v e r y o f A d m i n i s t r a t i v e C o s t s - T r a n s f e r s f r o m P r o p r i e t a r y Fu n d s b a s e d o n a l l o c a t i o n o f A d m i n i s t r a t i v e c o s t s ( C i t y M a n a g e r , Fi n a n c e , H u m a n R e s o u r c e s , C i t y A t t o r n e y , I T , e t c . ) . 6 Ca t e g o r y F Y 2 0 1 2 F Y 2 0 1 3 % C h a n g e Ad V a l o r e m T a x e s $ 4 6 , 3 4 6 , 0 0 0 $ 4 6 , 5 4 5 , 8 6 0 . 4 3 % Sa l e s a n d U s e T a x e s 1 , 2 9 5 , 0 0 0 1 , 3 1 0 , 0 0 0 1 . 1 6 % Ut i l i t y T a x e s 4 , 9 8 0 , 0 0 0 5 , 1 5 0 , 0 0 0 3 . 4 1 % Co m m u n i c a t i o n S e r v i c e s T a x 3 , 7 0 0 , 0 0 0 3 , 5 5 0 , 0 0 0 ( 4 . 0 5 % ) Bu s i n e s s T a x 6 9 0 , 0 0 0 7 1 5 , 0 0 0 3 . 6 2 % Fr a n c h i s e F e e s 4 , 7 0 5 , 1 5 0 4 , 8 5 0 , 2 9 0 3 . 0 8 % Pe r m i t s 3 , 7 4 6 , 5 0 0 3 , 5 8 7 , 8 5 0 ( 4 . 2 3 % ) In t e r g o v e r n m e n t a l 6 , 5 8 8 , 6 2 8 6 , 3 9 0 , 5 8 0 ( 3 . 0 1 % ) Ch a r g e s f o r S e r v i c e s 9 , 8 1 4 , 4 8 0 9 , 9 9 7 , 7 0 0 1 . 8 7 % Fi n e s 1 , 0 2 4 , 5 0 0 1 , 0 7 6 , 0 0 0 5 . 0 3 % Mi s c e l l a n e o u s R e v e n u e 5 , 5 9 8 , 8 8 5 5 , 6 6 5 , 0 6 0 ( 0 . 0 1 % ) Tr a n s f e r s I n 3 , 8 1 8 , 5 9 0 3, 6 9 3 , 9 0 0 (3.27%) Ca s h R e v e n u e s 9 2 , 3 0 7 , 7 3 3 9 2 , 5 3 2 , 2 4 0 . 2 4 % Su r p l u s B r o u g h t F o r w a r d 1 , 2 2 5 , 5 4 9 -0 - (100%) To t a l $ 9 3 , 5 3 3 , 2 8 2 $ 9 2 , 5 3 2 , 2 4 0 ( 1 . 0 7 % ) 7 Ad V a l o r e m T a x e s - C u r r e n t ◦ Cu r r e n t o p e r a t i n g m i l l a g e r a t e - 7 . 1 9 m i l s ◦ Cu r r e n t d e b t s e r v i c e m i l l a g e r a t e - . 6 1 3 3 m i l s Ad V a l o r e m T a x e s – P r o p o s e d ◦ Pr o p o s e d d e b t s e r v i c e m i l l a g e r a t e - . 6 0 4 1 m i l s Ci t y h a s m a i n t a i n e d s a m e o p e r a t i n g m i l l a g e o f 7. 1 9 m i l s s i n c e 2 0 1 0 . Ro l l b a c k r a t e i s 7 . 1 8 0 5 w h i c h r e s u l t s i n a re d u c t i o n o f 5 6 , 1 2 0 . On e t e n t h o f o n e m i l e q u a t e s t o $ 5 9 0 , 7 6 0 . 8 In c l u d e s G e n e r a l O b l i g a t i o n D e b t ( V o t e r A p p r o v e d ) an d N o n - A d V a l o r e m R e v e n u e D e b t ◦ Pr o p o s e d D e b t f o r F Y 1 3 i n c l u d e s : ◦ Ca p i t a l L e a s e f o r p r o p o s e d F i n a n c e H a r d w a r e a n d S o f t w a r e pu r c h a s e . ◦ 20 1 3 R e f u n d i n g R e v e n u e N o t e w h i c h r e f i n a n c e s a 2 0 0 8 Re v e n u e N o t e ( f u n d e d O l d S c h o o l S q u a r e r e t a i l ) m a t u r i n g Ju n e 2 0 1 3 . T h i s w i l l n o t h a v e a n y b u d g e t a r y i m p a c t i n t h e FY 1 3 b u d g e t d u e t o t i m i n g o f t h e i s s u a n c e . 9 Ca t e g o r y F Y 2 0 1 2 F Y 2 0 1 3 Ge n e r a l O b l i g a t i o n $ 3 , 5 7 3 , 8 4 0 $ 3 , 5 6 9 , 8 3 0 Re v e n u e N o t e s 1 , 8 9 5 , 1 5 0 1 , 5 3 0 , 5 9 0 Le a s e ( 1 ) 1 7 4 , 1 7 0 2 6 3 , 9 1 0 Mi s c e l l a n e o u s 1 , 7 5 0 1 , 0 0 0 To t a l $ 5 , 6 4 4 , 9 1 0 $ 5 , 3 6 5 , 3 3 0 (1 ) I n c r e a s e i n F Y 1 3 i s d u e t o Fi n a n c e S o f t w a r e L e a s e . 10 G. O . D e b t p e r C a p i t a a s o f 9 / 3 0 / 1 1 i s $ 3 7 5 . To t a l D i r e c t ( G . O . ) D e b t a n d O v e r l a p p i n g ( P B C O a n d Sc h o o l B o a r d ) d e b t p e r c a p i t a a s o f 9 / 3 0 / 1 1 i s $ 5 8 9 . To t a l D e b t ( G . O . , R e v e n u e a n d U t i l i t y T a x ) a s a Pe r c e n t a g e o f B u d g e t i s 7 % . Al l r a t i o ’ s a r e w e l l w i t h i n C i t y g u i d e l i n e s . 11 In c l u d e s : ◦ Tr a n s f e r t o C R A f o r T a x I n c r e m e n t a l F i n a n c i n g ( T I F ) pa y m e n t . ◦ Tr a n s f e r s t o B e a u t i f i c a t i o n F u n d , G e n e r a l Co n s t r u c t i o n F u n d , C o m m u n i t y D e v e l o p m e n t B l o c k Gr a n t F u n d a n d B e a c h R e - n o u r i s h m e n t F u n d . ◦ Tr a n s f e r t o D e b t S e r v i c e F u n d f o r 2 0 0 7 U t i l i t y T a x De b t S e r v i c e . 12 Ca t e g o r y F Y 2 0 1 2 F Y 2 0 1 3 CR A – T I F P a y m e n t $ 6 , 4 0 4 , 9 8 0 $ 6 , 4 4 7 , 6 9 0 CR A – O t h e r 2 2 , 5 0 0 0 To B e a u t i f i c a t i o n F u n d 8 6 0 , 0 0 0 8 7 0 , 0 0 0 To G e n e r a l C o n s t r u c t i o n 6 0 9 , 0 9 0 2 , 1 4 0 , 0 0 0 To C D B G 1 4 9 , 4 3 0 1 4 9 , 4 3 0 To B e a c h R e - N o u r i s h m e n t 1 5 , 0 0 0 1 5 5 , 0 0 0 To S p e c i a l P r o j e c t F u n d 6 , 3 0 0 0 To U t i l i t y T a x D e b t S e r v i c e 1 , 1 9 5 , 6 5 0 1 , 2 1 0 , 8 7 0 To t a l $ 9 , 2 6 2 , 9 5 0 $ 1 0 , 9 7 2 , 9 9 0 13