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HomeMy WebLinkAboutCC 2002-09-26 Minutes35. SECOND READING ORDINANCE: DEFINE AND DESIGNATE TERRITORIAL LIMITS FOR CITY FOR PURPOSE OF TAXATION; FIXING MILLAGE AND LEVYING TAXES IN CITY FOR FISCAL YEAR BEGINNING OCTOBER 1, 2002 AND ENDING SEPTEMBER 30, 2003. SECOND READING ORDINANCE: MAKE APPROPRIATIONS RELATING TO OPERATIONAL AND BUDGETARY REQUIREMENTS FOR FISCAL YEAR ENDING SEPTEMBER 30, 2003. ESTABLISH LABOR MANAGEMENT COUNCIL TO INVESTIGATE MEANS OF SAVING MONEY FOR CITY, AND LOOK INTO RETIREMENT AND HEALTH BENEFITS. DESIGNATE $5,000,000 OF FISCAL YEAR 2002 SURPLUS AS RESERVE FUNDING TO UNDERWRITE PENSION COSTS OF CITY. DIRECT MANAGER, EFFECTIVE JANUARY 6, 2003, TO CEASE PROVIDING ANY RETIREMENT BENEFITS NOT AUTHORIZED BY ORDINANCE, RESOLUTION OR OTHER APPLICABLE LAW TO EXECUTIVE EMPLOYEES OF CITY UNLESS SUCH BENEFITS ARE APPROVED BY COMMISSION, AFTER REVIEW OF MANAGER'S WRITTEN RECOMMENDATION. DESIGNATE $1,000,000 OF FISCAL YEAR 2002 SURPLUS AS STRATEGIC INITIATIVE RESERVES AND $2,000,000 AS MANAGEMENT RESERVES TO FUND CITYWIDE POVERTY INITIATIVE. DIRECT MANAGER SCHEDULE ON OCTOBER AGENDA PROPOSED LEGISLATION FOR APPROPRIATION OF $2,000,000 FOR POVERTY INITIATIVE. Chairman Regalado: This is a public hearing. This is a public hearing of the City of Miami Commission. As noticed, we will start the budget process. Mayor Manny Diaz is here with us. And this is a public hearing, so anybody from the public who wishes to address the Commission, and the Mayor, and the Manager will be able to do so. Alejandro Vilarello (City Attorney): Mr. Chairman, the first item is the millage ordinance. Chairman Regalado: Right. Mr. Vilarello: The millage rate, pursuant to this ordinance, is at 8.850, and that exceeds the rollback rate by 7.95 percent. This time is appropriate for whatever public discussion or comment. Commissioner Sanchez: Vote on the millage and also on the budget. Chairman Regalado: We need a -- on the millage, first. On the millage, first, we need a motion. 153 September 26, 2002 Commissioner Sanchez: So moved. Vice Chairman Winton: Second. Chairman Regalado: And second, for discussion. This is a public hearing. Commissioner Sanchez: This is just for the record. It's 8.85? Mr. Vilarello: Yes, sir. Carlos Gimenez (City Manager): Actually, there's going to be a floor amendment to the millage rate. Commissioner Sanchez: So -- Unidentified Speaker: What? Commissioner Sanchez: -- a floor amendment to the 8.8 -- Mr. Gimenez: (INAUDIBLE) was the floor amendment. Mr. Vilarello: Eight point eight -five is the amount -- is the millage rate. Commissioner Sanchez: But -- OK, so that's not going to be amended. That's going to be it. Mr. Vilarello: Well, actually, it is an amendment from your prior -- Commissioner Sanchez: It is the amendment from the 8.89, so -- OK. So move on the millage rate of 8.85. Commissioner Gonzalez: Second. Chairman Regalado: OK. We have a motion and a second on the millage rate. Anybody who wishes to address the board on the millage rate? Mr. Cruz. Mariano Cruz: Mariano Cruz, 1227 Northwest 26th Street. Like I say in the previous meeting, you know, I agree with the millage, but still it is in a way improper. Because when you keep the fire fee and the garbage fee and all the (UNINTELLIGIBLE), that's not fair to the people that owns a little house in Allapattah or Liberty City compared to a house in the Grove or Grove Isle or whatever. Those people are getting a big service paying a lot less in comparison to the poor people. Because, for example, if you take the millage to 10 mills, will be one point -- point fifteen increase. That, on a hundred thousand and hundred and twenty-five thousand dollar ($125,000) home, is only a hundred and fifteen dollars ($115) a year increase compared to a small house, a seventy thousand dollar ($70,000) home we will pay a lot less with that millage increase but then if you take away the fees, the fees are, in a way, regressive, because they are not fair. Because a house -- I don't produce any garbage, very little garbage. My wife and I, we 154 September 26, 2002 go out to eat almost every night, so we don't produce any garbage, but we're still paying the same as the big house with a big family in Coconut Grove or whatever -- that got -- filled the garbage can completely, completely to the top. I mean, and that's wrong . You should find a way the people are taxed according to what they -- like a users fee. If you use more garbage, you produce more garbage, you pay more. No, but that's -- no. That's a fee across the board. And, you know, many houses there that get six and seven illegal units, they only pay for one unit, too. And that's wrong, too. The City should be looking for those people that's getting scot-free. Why should I subsidize then? I only put my garbage can once a week outside with that big garbage now, 500 -liter, whatever. Only once a week that garbage can goes out. So, I am -- maybe you say you reduce our taxes, but that's a flimflam thing. You reduce -- yeah, you reduce, but the fees are still there. And they told me that the guard -- that the fireman fee is not going totally for the firemen; that only twenty-four dollars ($24) are going for the firemen, thirty- seven dollars ($37) to the General Fund. When the reason of that fee is long gone, the fiscal crisis of 1998, and we still have the fee. That's why I say (UNINTELLIGIBLE). I don't pay much in taxes or whatever, but I resent the fees. Thank you. Chairman Regalado: Thank you. Go ahead, sir. Herschel Haynes: Yeah, Mr. Chairman. My name is Herschel Haynes at -- I live -- I reside at 4601 Northwest 15th Avenue. And I'm Chairman of the Hadley Park/Model City Homeowners Association and I have a question. Is this also incorporating what we read in the paper as it relates to increasing the homeowners' taxes, or are you just talking about something totally different? Chairman Regalado: We -- we're -- we'd rather go step-by-step, and we're doing the millage now. You'll be able to address the Commission when we discuss the other issues, or any other issues. But what -- Mr. Haynes: Being that I'm here, you know, can I -- Chairman Regalado: Yes. Mr. Haynes: -- just bring the message? Chairman Regalado: Yes. You've been here, so go ahead. Mr. Haynes: OK. Well, the message I'd just like to bring to all of you is that we know that we are at your mercy, and that we are generally the ones to get a sock to when it comes to increasing the taxes. However, we'd like you to just consider the number of people that are already living on a fixed income and are barely making it to retain their homes. And so, we'd just like you to know that we are well aware of the fix that the City's in, and we know that revenue has to generated. But we would just ask of you to look at alternative sources to do that, instead of increasing the homeowners' taxes. Because, you know, we know that generally the homeowners usually have to bear the burden anyhow. So we'd just like you to look at alternative ways to generate (INAUDIBLE). 155 September 26, 2002 Commissioner Sanchez: We -- Commissioner Teele: Mr. Chairman -- Commissioner Sanchez: We got to clear this. Commissioner Teele: -- you need to clear this up. Mr. Haynes: Sir? Commissioner Sanchez: We're reducing taxes, not increasing taxes. Mr. Haynes: Oh, you're reducing it? Commissioner Sanchez: Absolutely. Vice Chairman Winton: Yeah. Vice Chairman Winton: And, Herschel, if you look at your trim notice, you're going to find on the top line it says, County. You look at what that -- Commissioner Sanchez: We can't speak for them, though. We can't speak for them. Vice Chairman Winton: Excuse me. Look at that line and you're going to find that that line went up. Mr. Haynes: OK. Vice Chairman Winton: Go down further and look at the City line. That's the line that's going down. Mr. Haynes: OK. Very good. Vice Chairman Winton: The City's going down. You need to start talking to the County Commissioners about what they're doing to us. Mr. Haynes: And we'll be there. We ask that you be there on our behalf. And I have to be here because I'm charged to be here by virtue of my position. It's a lot of people then that don't understand what's about to happen because they think that you, our elected City Commissioners, are about to sock it to us again, as relates to the taxes. So I have to share this with you so that there is clarity. And so, I'm asking -- I'm in the right place to ask you to carry it over to the County, and let them know -- as we'll be there, wherever the forum is, asking them not to increase our taxes. Vice Chairman Winton: Well, I hate to disappoint you, Hershel, but you all missed it. 156 September 26, 2002 Mr. Haynes: We missed it? Vice Chairman Winton: The County's hearings were -- Commissioner Sanchez: The 17th Vice Chairman Winton: Yeah. So -- Mr. Haynes: So it's already gone. Vice Chairman Winton: Yeah, me, too. Mr. Haynes: Well, what I read in the paper is that it said today, right here, was the final opportunity for you to have your say. So it's really some misunderstanding as relates to the message that you are getting out to us to come out to these different forums to have our say. But that's definitely what I read in the paper. I don't have it with me but it was saying the final chance to address opposition to increases in the taxes for the homeowners. So, if it's -- if I'm too late, then I believe I've been a good messenger, I hope, in regards to the homeowners. Thank you. Chairman Regalado: Thank you. Go ahead, ma'am. Eva Nagymihaly: Yes. Hello. My name is Eva Nagymihaly and I live at 3110 South Miami Avenue. The reason I'm here today is because I am interested in knowing what we are going to do with our budget. I would like the taxes not to go up, but I would rather the taxes go up a little bit more than start with the fees. Fees are a roundabout way of saying we're reducing taxes, but your fees are going up. And there's no end in sight. So this is where we have to be careful to make sure that these fees don't come in, like the fire fee, which first was to be only for several years, now at the last hearing, it was said that, well, maybe it's going to have to be for five -- or five more than that. We can't allow that to happen because the City forever needs more money. And if they need more money and they can come up with fees, they will come up with all sorts of fees that you never even thought of before. So get back to what we're talking about, and that's taxes and the budget. And keep in mind that the fire fee is a regressive tax. Do not forget you are taxing the poorest people in the City that they say is the largest poorest city. So when you're thinking about it, you'd be better off increasing the millage rate and get that fee reduced, and then, eventually removed. But reduce it greatly because it should not be there at all. Thank you. Commissioner Gonzalez: Mr. Chairman. Chairman Regalado: Yes. Commissioner Gonzalez: I think it's very important that we announce that we're not only lowering taxes, but we're not increasing fees. The fees are at the same level that they have been. And I'm sure that we will be working on the fees for the next budget next year. But it's very 157 September 26, 2002 important that everybody understands that we are not increasing taxes, and that we are not increasing fees, that we're not increasing anything. As a matter of fact, we are reducing taxes. Commissioner Sanchez: Mr. Chairman. Chairman Regalado: Yes. But there is a resolution introduced by Commissioner Teele that directed the administration to start studying lowering or eliminating the fees, and we will -- the fire fee, specifically the fire fee, which is the one that probably you addressed. And Commissioner Gonzalez is right. On this budget, not only we reduce the millage, but there is no -- one single penny of raise in any fees at all. Ms. Nagymihaly: Yeah. But the fact is that it's seventy-five dollars ($75) per unit. At that other hearing -- Commissioner Sanchez: Sixty-one, ma'am. Ms. Nagymihaly: No, no. It's seventy-five dollars ($75) per efficiency -- Commissioner Sanchez: You have apartments. Ms. Nagymihaly: Yes. Commissioner Sanchez: OK. Ms. Nagymihaly: Yes. Mr. Gimenez: Apartments have a different rate. Ms. Nagymihaly: And that's where it becomes regressive. Because don't forget the person that lives in an efficiency -- well, again, we're talking about business. As an apartment owner, you've got to make some profit to be able to continue doing this. You put a seventy-five dollar ($75) fee on an efficiency as the same seventy-five dollars ($75) on a 3 -bedroom or a mansion somewhere in Gables Estates, that's not fair. It's regressive and it's not fair. And I was told that we would be discussing this tonight. And this was my theory that you were going to be reducing the fire fee. That's why I came back. Judy did a wonderful job letting you know how we all felt. But I thought tonight we would be discussing lowering that fee, not by a dollar, but by 20, 30, 40. At least get it down to what the homeowners are paying. Mr. Gimenez: Mr. Chairman. Chairman Regalado: Yes, sir. Mr. Gimenez: That's not possible. And the reason it's not possible is that the fee is based on usage. And there is an analysis done on the calls to different types of properties. The apartments that this lady is talking about, they use the service, on a proportional basis, more than single- family homes. So a fee is actually accessed on what the usage of it is. Therefore, you really 158 September 26, 2002 can't arbitrarily set a number for apartments to say that they have to be equal to the single-family homes because they actually use the service more than the single-family homes. Ms. Nagymihaly: OK. But there's an answer to that and an explanation. Please understand that this fire fee all started with the garbage fee, so let's not forget where it came from. Everything came from the General Fund. And we did not -- and I say "we" because I am City member, too. -- we did not want to increase garbage. So, therefore, we said let's create a fire fee, for the time being, until we can get the 325, which you are now getting, one of the reasons we have a surplus now. But pull us out of the bottom and we need your help. But the fire fee was -- most calls -- there was a big analysis in The Herald -- that most of the calls came from government housing. Government housing, not regular. However, since they were are service to the City as other institutions, as schools and churches, that they would be paid out of the General Fund. They would not be charged. So, therefore, as a participant in this City, I pay into the General Fund. I pay into the fire fee. I pay for all the other licenses and permits that you have increased so that you could get your money. So that comparison is unfair when you're not using it. So let's discuss this. Vice Chairman Winton: You ought to own an office building downtown, then you get to pay the parking fee also. Ms. Nagymihaly: No. You said that before and I don't even think that's cute or funny. The point is that -- Vice Chairman Winton: It's a fact. Excuse me. It's a fact. Ms. Nagymihaly: -- that -- excuse me -- the efficiencies -- I'm talking about the poor people in Miami, not you. The poor people in Miami cannot -- Vice Chairman Winton: I'm just giving you the fact about where the fees go. And so, whether you think it's cute or funny, it wasn't intended to be either one. It's giving you the fact. Ms. Nagymihaly: OK. I don't want to argue with you, Mr. Winton. That's not what we're here for. I want to help solve a problem, and I just didn't need your catty remark. Vice Chairman Winton: Well, guess what? You got it. Chairman Regalado: OK Charlie. Charlie Cox: Yes. I have a question. If -- once you set the millage, can you go back and visit it after the budget or no? Commissioner Teele: Can you go back and what? Mr. Cox: Visit it after the budget or no? Chairman Regalado: The millage? No. 159 September 26, 2002 Mr. Cox: OK. Then I'm going to have to base what I have to say on what I have on the budget and what -- if there's any changes, I don't know. Commissioner Teele: Excuse me. That's what we're doing tonight. I mean -- you mean, after we set it tonight? Mr. Cox: After you set it right now, are you going to set it right now? Commissioner Sanchez: Yes. Chairman Regalado: Yes. Commissioner Teele: Well, later on tonight. Chairman Regalado: No. We have to do it now. Mr. Cox: You're going to vote on it right now. Chairman Regalado: We have to do it now. Commissioner Sanchez: There's a motion and a second and it's open for public hearing. Mr. Cox: OK. Then I'd like to speak on it. Chairman Regalado: Go ahead. Commissioner Teele: Before you do, sir -- Mr. Cox: Yes, sir. Commissioner Teele: -- would you -- Mr. Mayor, you weren't here this morning and Commissioner Winton makes a very compelling argument regarding the proposed transit tax. I said this morning that I'm going to vote for it, notwithstanding, what this Commission, as a body, does or doesn't do. But I'm not prepared to support -- I wasn't prepared to support endorsing the tax, as a Commissioner, until we negotiate a little bit more with the County. And I that regard, I used one issue, which is the issue that is really, I think, at the core of where a lot of the disagreement and a lot of the resentment of people who really are following this process are, and that's the fire fee. And, notwithstanding, you know, the comments that are being made. If the County paid its share of the fire fee, which legally we have the right to impose on them, OK, not on them but on the institutional category. And the speaker was 100 percent right. The largest users of the fire fee -- the largest single generator of demand for fire services comes from public housing. And what's crazy, Mr. Mayor, about this whole thing is this: The County gets a 40 -- I guess, 40 to sixty million dollar ($60,000,000) entitlement from the federal government that's based upon the cost of maintaining public housing. The cost of this fee is just like the cost of paying the utility bill. In other words, the County doesn't write a check for the utility bill, per 160 September 26, 2002 se. The County submits it in its budget for reimbursement from the federal government. The federal government reimburses the County somewhere between 40 and 68 million. I don't know what that number is. I forget. But it's an entitlement. Our fire fee would probably generate -- As I remember, what was the number, Mr. Manager, for it? Mr. Gimenez: If I recall, it was in the vicinity of two million dollars ($2,000,000) for public housing. Commissioner Teele: Two million dollars ($2,000,000) for public housing alone, plus we have something called the PILOT, the Payment In Lieu of Taxes, which we have an agreement with with the County that they have not lived up to as it relates to public housing. In other words, they're obliged to pay into local government to pay certain costs that the public housing units are drawing from government services. And there's a -- it's a tri -party agreement. I think the School Board gets some of the PILOT, other governmental bodies. But, again, this doesn't come from the Dade County taxpayers. This comes from the federal allocation. The long story short is this: If the Manager, if your good offices could go over and negotiate something with the County on the fire fee and the PILOT, you know, I would be prepared to say right here, right now, I would move to reduce the fire fee across the board in the relative number that we get back from the County. We could reduce the fire fee if the players pay. You know, obviously, I'm not asking that the churches -- But the problem with that is in the institutional category is not only the County and the School Board, but also, churches and day cares, and things, you know, that I don't think any of us really want to put that on. So I just wanted to bring some closure to the fire fee. There is flexibility, and there are dollars out there that could be bundled together that could begin this long road toward reducing the fire fee, Mr. Mayor. And I wanted to bootleg on the debate that was going on to bring it to your attention, because I think it's the biggest issue that we face, in terms of public resentment about our budget. Thank you, Mr. Mayor. Chairman Regalado: Charlie. Mr. Cox: Yes, sir. Again, I'm having to go on the numbers that I received at the last Commission meeting. But what you're requesting is to take the gas tax and put it into the CIP (Capital Improvements Program), and you're requesting the storm water fee to go to the CIP. Now I want to run some numbers for you of what you have in the CIP. You have 155 million deposited to construction. You have 102 million left to issue bonds. You have a hundred and forty million dollars ($140,000,000) in cash and various CIP bonds -- funds. And of the 140 million, there's 20 million of old bond money proceeds. Now, you're suggesting to add almost fifteen million dollars ($15,000,000) more to the CIP. And what that money used to go to -- because I see something going down the corner -- we have departments that were self-sufficient. These bonds, the gas option tax, for example, was used for street lights in Public Works Department. That department used to be self-funded. And with what the budget book says now and the Mayor's proposal, that department is no longer going to be self-funded because you're taking the money away -- I mean, I guess we have street lights in the City of Miami that are all perfect now. And we all know that doesn't happen. You're going to need money for street lights. You're taking that way and you're going to be taking it from the General Fund. The storm water sewer fee. We have (INAUDIBLE) over in Public Works. We're the ones that take care of those things. You're now taking that money away and, yes, you're reducing Public 161 September 26, 2002 Works budget by a million dollars ($1,000,000), and you're moving people into the CIP. But you're no longer going to be funding it with what these things were intended for. You're going to be putting them in CIP. Now what you're also done -- And, you know, what hurts me is I went up there and lobbied just as hard as you did for the parking surcharge, to straighten this parking surcharge out. Because, you know what. It's something we need. And, you know, Johnny, you could say we're all paying the extra parking and stuff, and I pay it. And you know what. We're not hurting anybody. They're paying it. And the restaurants are just as full and everything else because I eat a lot in the City of Miami. And I will tell you that, when it was originally put in in '99, 60 to 80 percent of it was supposed to go to reduce taxes. How do you reduce taxes? By the millage rate. We now are putting the parking surcharge into the General Fund. Instead of going here -- You know, Charlie Cox or any other union sitting here has never went out to kill the goose that laid the golden egg, and we don't even intend to. Now you're taking the parking surcharge and putting it into the General Fund. You know, Coral Gables, our sister city that everybody loves to talk about, you know what. Everybody keeps coming here and saying how poor we are and there's been a whole bunch of people that's done an excellent job, and we have more in reserves now than Coral Gables ever thought about having, but you know why they always get the bond ratings they get -- and they're a rich city -- they get the bond ratings they get is because their millage is low, and because there's not constant turmoil over in Coral Gables. And I think you have an opportunity, before you pass this millage rate, to even reduce it more. And you know what. You're not going to hurt any of my employees, you're not going to hurt any executives, and you're not going to hurt anybody else. Now I'm sorry that I had to take this out of order. And I'm sorry if these numbers have changed, but this is all I have to go by. I mean, I got these the last meeting that I told you about that I never saw until they were here. So, before you do this -- You know what. Everybody sits up here -- and I've heard it time and time again -- blaming the big, bad unions, and I'm tired of it. Blaming the big, bad employees, and I'm tired of it. You have an opportunity here to put the money in the right places and reduce your millage and still not hurt anybody, and still put your reserves out there. You did not have -- You didn't use your parking surcharge last year to balance your budget. Why, all of a sudden, you need to use it now to balance the budget? I mean, these are questions that you need to ask the people to answer. These are what I see in these proposals. And I would hope that you can reduce these taxes more and maybe the homeowners, you know, will see that you are doing a lot. Commissioner Sanchez: Mr. Chairman, if I may respond to Charlie. Charlie, I have the utmost respect for you. I truly do. Mr. Cox: I'm sorry. Commissioner Sanchez: Let me just say that thanks to the parking surcharge, we were able to reduce taxes in the City of Miami. At one time, we were at 10 percent -- Mr. Cox: Absolutely. Commissioner Sanchez: -- the highest. We were at the cap. Mr. Cox: And when you (INAUDIBLE) reduced it. 162 September 26, 2002 Commissioner Sanchez: Also, the fire fee was also supposed to increase. Mr. Cox: Correct. Commissioner Sanchez: Thanks to the parking surcharge, we were able to guarantee no increase on the parking surcharge and reduce our millage, which it went down -- all the way down, if I recall correctly, 8.95. So we have been able to reduce -- and let me say something. The greatest sacrifice that has been made for this City in its most desperate time when it was financially on the verge of bankruptcy, was made by the residents and the taxpayers of Miami. Mr. Cox: Absolutely. Commissioner Sanchez: Period. We had to be -- Mr. Cox: Absolutely. Commissioner Sanchez: -- creative. We created the parking surcharge, which, you know, at the end of the day, I took down a piece of paper and said it affects 80 -some percent of non-residents in the City, so I went with that. And on the fire fee, which I didn't support, but it's helped us -- It also guaranteed us that we wouldn't increase our solid waste any higher than three twenty-five, because there was some talk about increasing it every year, and I think we've been able every year to keep it at a cap. Mr. Cox: Correct. Commissioner Sanchez: So, you know, it's been able to benefit, I think, everybody because the City today is in a much, much better situation than it was four years ago. Mr. Cox: But let me make a statement to that. And you're absolutely correct. Commissioner Sanchez: And before you go -- Mr. Cox: But my point is, is if you could do it more. Commissioner Sanchez: I'll yield to you. Mr. Cox: You know, on a good year, all you spend -- and your CIP is twenty-five million dollars ($25,000,000). Now I'm sure you're trying to make that to where you're going to be able to spend more and get more projects done. But why do you need to put fifteen million dollars ($15,000,000) in the CIP when that money can be used to make these departments self-sufficient like they always were -- Commissioner Sanchez: Charlie, I'm going to answer that. Mr. Cox: -- and lower your millage. 163 September 26, 2002 Commissioner Sanchez: I'm going to answer that, Charlie. For God know how many years, this City didn't do any capital improvements. One, we didn't have the money. So, sidewalks weren't fixed, sewers weren't fixed. Our Parks Department, our parks were in horrible condition. We were able to fix them up a little bit now thanks to the bond money. We're able to -- Listen, if we were to pave every street in our City -- and we have streets in this City looking like a third world country -- we would need four hundred and fifty million dollars ($450,000,000) to do that. So these are years, and years, and years of neglect because we did not have the money. Of course, I wasn't around, but the money wasn't here for us to focus on that. So every dollar that goes into capital improvement is worth it for our city. Mr. Cox: And I absolutely believe that. But why have you made twenty million dollars ($20,000,000) on proceeds of bond money that's been sitting there if you have no money? I mean, I hear Commissioner Teele, we can't get these people paid. These are the facts. There are right out of your books what you have. You have a hundred and fifty-five million due to construction. That's your bond money. Commissioner Sanchez: It's like winning the lottery. Mr. Cox: That's a hundred and two billion. Commissioner Sanchez: If you got no money, you got no problems. If you have a lot of money, you start having a lot of problems. That's basically what it boils down to. And we got money now. Mr. Cox: But you have had money in CIP. Vice Chairman Winton: Charlie, we're not going -- I don't think we're going to change it. I mean, (INAUDIBLE) so -- Mr. Cox: I -- Commissioner Sanchez: Charlie, I would agree with you if the money was there and we weren't using it for anything and it was just sitting there. But now we're using it for something. We're going to put it into projects. We're going to get out there and do whatever we can to make -- improve quality of life, for sidewalks, have better parks, have better programs. Mr. Cox: This year (INAUDIBLE) fifteen million dollars ($15,000,000) plus all this money you have, you're going to be able to spend. You know, you're not. You're not. Chairman Regalado: OK. Let me -- Ms. Nagymihaly: Could I make one more comment -- Chairman Regalado: Yes. 164 September 26, 2002 Ms. Nagymihaly: --on what I just heard? Chairman Regalado: Can I ask you something? Ms. Nagymihaly: Yes. Chairman Regalado: Let's vote on this millage and then we'll reopen for discussion on the budget on the fees, if you want to -- Ms. Nagymihaly: Well, that's what I need to -- Commissioner Sanchez: Mr. Chairman -- Chairman Regalado: So, let's -- Commissioner Sanchez: -- on the millage, call the question. Chairman Regalado: So -- Ms. Nagymihaly: But -- Chairman Regalado: -- let's hear the budget message from the Mayor -- Commissioner Sanchez: No, no, no, no. Call the question. Chairman Regalado: -- the Manager, and then we'll open. Ms. Nagymihaly: But -- Chairman Regalado: Would you do that, please? Ms. Nagymihaly: Yeah, I know. I won't say anything about that. Chairman Regalado: OK. Ms. Nagymihaly: But maybe you should clarify it to the people out here because once you've voted on it, it's done, correct? Chairman Regalado: No, no, no, no. Ms. Nagymihaly: So, the -- Chairman Regalado: This is the millage. We're voting only on the millage. We're not voting on the budget. We -- By law, we have to vote now on the millage -- Ms. Nagymihaly: So -- 165 September 26, 2002 Chairman Regalado: -- and then we'll proceed on the whole budget. And that -- There's where you can address any issue (INAUDIBLE) Ms. Nagymihaly: So is that tonight yet? Or you have another meeting? Chairman Regalado: It is tonight and tomorrow morning. Ms. Nagymihaly: Oh, dear. We don't go home? Chairman Regalado: No. Commissioner Sanchez: We may not get out of here until about four o'clock this morning. Mr. Chairman, call the question on the motion. Chairman Regalado: Anyway, we have a motion and a second. Mr. Vilarello: Mr. Chairman, close the public hearing. Chairman Regalado: Yeah. We have closed -- I already said -- we have closed the public hearing. Read the ordinance. Roll call. The ordinance was read by title into the public record by the City Attorney. (COMMENTS MADE DURING ROLL CALL) Priscilla A. Thompson (City Clerk): Commissioner Teele. Commissioner Teele: Mr. Manager, what is the millage rate that we're vote -- what is the exact dollar amount? Did you read that? Mr. Vilarello: I read that at the beginning of the public hearing. Commissioner Teele: Yeah, but what is the dollar amount of the motion? Mr. Vilarello: The millage rate is 8.85. Chairman Teele: Eight point eight five. And what did the Manager recommend at the first budget hearing? Mr. Gimenez: We passed that 8.895. Chairman Teele: So we're reducing it again -- Commissioner Gonzalez: Even more. 166 September 26, 2002 Chairman Teele: -- from the previous meeting? Mr. Gimenez: Yes, sir. And we -- From the first meeting, there was a reduction. Last year's millage was 8.995. It was a one-tenth reduction in the first meeting, and there's another reduction in this meeting. Commissioner Teele: And the Mayor and your office are in agreement on this millage rate? Mr. Gimenez: Yes, we are, sir. Commissioner Teele: When was the millage rate in the City of Miami as low as we're going to take it now? Mr. Gimenez: We only have records that go back 50 years, and it's never been lower in the 50 years that we have records for. Commissioner Teele: So this will be the lowest millage rate in the history of the City of Miami over the last 50 years? Mr. Gimenez: The lowest combined, when you combine it with the -- Commissioner Teele: Debt. Mr. Gimenez: -- with the debt service. Yes, sir. Commissioner Teele: I vote "yes." Ms. Thompson: Commissioner Winton. Vice Chairman Winton: Yes. Ms. Thompson: Commissioner Gonzalez. Commissioner Gonzalez: Yes. Ms. Thompson: Commissioner Sanchez. Commissioner Sanchez: Yes, ma'am. Ms. Thompson: Chairman Regalado. Chairman Regalado: Yes, ma'am. Ms. Thompson: The ordinance passes on second reading, 5/0. 167 September 26, 2002 An Ordinance Entitled -- AN ORDINANCE OF THE MIAMI CITY COMMISSION DEFINING AND DESIGNATING THE TERRITORIAL LIMITS FOR THE CITY OF MIAMI FOR THE PURPOSE OF TAXATION ; FIXING THE MILLAGE AND LEVYING TAXES IN THE CITY OF MIAMI, FLORIDA, FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2002 AND ENDING SEPTEMBER 30, 2003; CONTAINING A SEVERABILITY CLAUSE, AND PROVIDING FOR AN EFFECTIVE DATE. was passed on its first reading, by title, at the meeting of September 11, 2002, was taken up for is second and final reading, by title, and adoption. On motion of Commissioner Sanchez, seconded by Commissioner Gonzalez, the ordinance was thereupon given its second and final reading by title, and was passed and adopted by the following vote: AYES: Chairman Tomas Regalado Vice Chairman Johnny L. Winton Commissioner Angel Gonzalez Commissioner Joe Sanchez Commissioner Arthur E. Teele, Jr. NAYS: None. ABSENT: None. SAID ORDINANCE WAS DESIGNATED ORDINANCE NO. 12278 Chairman Regalado: OK. Now, we go into the budget. And Mayor Manny Diaz has a budget message. We'll hear from the Mayor, then the Manager, and then the public. Mayor Diaz. Mayor Manuel A. Diaz: Thank you, Mr. Chairman. Over the last two weeks, my office has worked very hard, in conjunction with the Manager's office, to reconcile some small differences that we had from the budget proposals that were presented a couple of weeks ago. I'd like to take a few moments now to review the major elements of this review -- revised budget proposal that we're in agreement in. In the revised budget proposal, several items remain unchanged as from two weeks ago. One is the lowerage of the millage rate, which you just voted to 8.85. In addition, you know that I have set as a goal that we continue at least a half mill reduction over the next five years -- every year over the next five years. The increase in reserves to an amount of thirty million dollars ($30,000,000), a current increase of three point seventy-five million dollars ($3,750,000) in General Fund support for the Parks Department. The funding included for the implementation of the enterprise resource planning financial package and the computer- assisted dispatch systems. A City Stat office and purchase of complaint tracking system. The funding for staff positions for the Arts and Entertainment Council and the continuation of the cleanup -- The Cleanup Miami campaign. Revisions to that prior proposal are primarily a reduction of seven million dollars ($7,000,000) in CIP contribution. And those amounts, the proposed revision to the CIP contribution, is due to the allowance of three million dollars 168 September 26, 2002 ($3,000,000) to the Strategic and Management Initiative reserves, two million dollars ($2,000,000) to budgeted surplus, and the remaining balance resulted from adjustments to revenue forecasts. The funds allocated to Strategic and Management Initiative reserves will be used to fund mayoral and Commission initiatives, including Transportation Transit study, fleet analysis, a Police study, a compensation and pension analysis, efforts to secure the FTAA (Free Trade Area of the Americas), a smart zoning study, the FEC (Florida East Coast) Corridor study, the (UNINTELLIGIBLE) Allapattah Civic Center study, the Miami River Economic study, and a citywide poverty initiative. Thanks in great part to the advice and counsel and leadership of Commissioner Teele on this issue, two million dollars ($2,000,000) will be allocated to management initiatives, which will be used to fund a citywide poverty initiative. Given our dubious distinction as America's poorest large city, I feel it is imperative that the City invest its own resources to combat the effects of poverty on our residents in our neighborhoods. This small investment further illustrates our collective commitment to improve the lives of our most vulnerable residents. The campaign elements will include a micro lending initiative, which will be funding to attract national micro lending intermediary, and provide both legal and technical support for new entrepreneurs and existing small business owners, the expansion of existing savings programs funding to support the individual development account programs that are operated today by the Catholic Charities and the YWCA (Young Women's Christian Association), and an outreach to enhance access to (UNINTELLIGIBLE). Funding will be provided to support outreach campaigns to enhance access to the earned income tax credit, food stamps, child care credit, and kid care. Just in the area of earned income tax credit, the IRS (Internal Revenue Service) estimates that there are some thirty-three million dollars ($33,000,000) -- in excess of some thirty-three million dollars ($33,000,000) that are left unclaimed in our city that our residents are entitled to. And that, Mr. Chairman, is what I would call, hopefully, our collective vision towards progress for the City of Miami. Chairman Regalado: Thank you, Mr. Mayor. Mr. Manager. Mr. Gimenez: In the interest of time, sir, we agree with the Mayor's budget. Any differences that we'd had a couple of weeks ago have all been ironed out. So we, the administration and the mayor, I believe, we're total -- in total agreement. And we can enumerate that the minor changes that were done to the budget that was presented to you two weeks ago, and that's basically our presentation. I've already made two presentations on the budget and all the initiatives and everything. I just -- I don't think we need to go through it again. Chairman Regalado: OK. Go ahead. Marcelo Penha: Marcelo Penha, Budget Department. As the Mayor mentioned, there were some minor changes, which have been highlighted and presented to you as of this morning. You have those. They include, basically, some stuff that the Mayor had already mentioned; additional monies for capital for a parks trust, additional storm water to CIP, and of course, the reduction in the millage rate. If you have any questions on any of the items, I'll be happy to answer them. Chairman Regalado: OK. Any questions from the board members regarding changes in the budget for the actual budget? 169 September 26, 2002 Commissioner Teele: Mr. Chairman. Chairman Regalado: Yes. Commissioner Teele: I would, respectfully, ask that we just open up the public hearing and then have our questions. Chairman Regalado: Absolutely. So this is the public hearing. Anybody is invited to address the members of the Commission and the Mayor, and then we'll have discussion. We don't have a motion, yet, to approve the budget. So -- but this is a public hearing. Go ahead. Mariano Cruz: Mariano Cruz, 1227 Northwest 26th Street. As I said previously, I never complain about my taxes because they are necessary evils of a service that everybody wants, but very few people want to pay for it. Because everybody wants more police, more fire protection, and garbage pickup and the whole thing. But what I complain is the way that sometimes the services are provided that people -- different neighborhoods get different service. And I'm complaining now because the other day I complained about something that's being taken care of already in the Human Resources Department. And early this morning I called the City Manager's office about something that was on our street, standing water for days and days. And I called the NET (Neighborhood Enhancement Team) Office. I went by before I came here and the Public Works people were working there. So that's what I want. That's what I expect. People (UNINTELLIGIBLE) gardeners were working there on the -- John Jackson. But that's what is it. We want the service when we need it, not 10 days later, not a month later. And that's important to me because when I come here, I come here as a taxpayer. I don't come here as a Cuban or as a Dominican, whatever. I come here as a taxpayer that's a resident of the City of Miami. And I want service and I pay for them. That's -- I don't complain about my taxes or anything. Another thing I want to talk about on this CIP and the Capital Improvements. I like to see them moving fast. We're moving already fast in the bond issue. I am a member of that board. But I remember projects in the park that we got cost overruns and a lot of problems on account of the delay. And it was, at the time, 21 percent inflation, 19 percent inflation. Remember that years ago. Now people OK. Inflation is over but still you have to have a timetable to do something because people want to see results. People say, "What they doing with the bond money? What they doing with that?" You know, sidewalks, streets, those things that the people want, the municipal services. We don't want the grandiose plans or the big things or the -- a Marlins stadium, all that. No, we want the services that affects the quality of our lives everyday. And another thing they say about Miami being the poorest City. You know who the guilty party is? The Miami government. Not now. Previous. They allowed all the institutions of the County that nobody wants them -- because I work in Miami Shores, not Miami. I don't see any of the things you see here in there. I don't see 202s. I don't see 208s. I don't see public housing there. Why? The City of Miami allowed that the County to build most of the public housing in Miami and that is cited lower the income. When you go to the census, the census track, sure it lowers the income. You got people getting SSI, people getting no money at all. In North Miami, when I deliver the mail, it's IBM dividends, GMC dividends. People get not social security only, people get a low retirement money. Chairman Regalado: Mariano. 170 September 26, 2002 Mr. Cruz: But here -- Chairman Regalado: We're going to cut you off. Mr.Cruz: OK. But remember -- I know. I am glad that Mr. Teele didn't cut me today. Thank you, Mr. Teele. Remember that we are worried about the services and the municipal services. And we (UNINTELLIGIBLE) I don't care. Put my millage to 10, but please reduce the fees. Don't call it a fee. We cannot deduct that from our itemized income tax. You know that. Chairman Regalado: Thank you. OK. Go ahead, sir. Al Cotera: Al Cotera, President, Fraternal Order of Police. Good afternoon -- or good evening. A couple of the questions -- because, you know, this has been a really quick budget presentation, probably one of the fastest ones I've ever seen. I know you're working diligently at it. But one of the issues -- and I know that several people are here -- is the issue with the retiree health insurance. Can that please be explained before we just blanket, you know, say we're approving the Mayor's budget or the budget that's been proposed by both of you. Commissioner Sanchez: Mr. Chairman. Chairman Regalado: I think, yes, you're right. Mr. Cotera: Can we please -- Chairman Regalado: He should explain it to you. Mr. Cotera: -- can you please explain that? And the other issue, of course, would be the rumor that's floating around about the executive plan -- or the executive insurance plan. Anybody want to comment on that before we all raise our hand and vote "yes." Commissioner Sanchez: Mr. Chairman. Chairman Regalado: Yes, sir. Commissioner Sanchez: If I may, I think that the presidents of the unions and the members of the unions, and our guests that are here today, I think, need to listen to the concerns that the Mayor and some of the Commissioners have pertaining to the retirement health benefits. Of course, prior '86, as you know, the retirees were able to -- did not qualify for Medicare because they did not put money in their -- into the process. So one of the concerns we have is that in the long run here, one thing that we -- I want to make clear is I don't want to have anybody who worked for the City for many years and retires, it gets to a point where you don't have insurance. I think that's not right for us to do. But if we look at the process itself, and we're looking at bringing savings to the City, let me just say that when the unions came before us in contract negotiations, there was an understanding. There was a word of bond between the unions and this legislative body that we will work together to find ways to reduce fat in our government. And I 171 September 26, 2002 think that when those words were made I took them to heart, because I am union. I mean, I was a State Trooper and I was with the union. So looking at some of these benefits, we find that, you know, some questions have to be asked. The people that came in after '86 that qualify for Medicare, those people are going to be fine. But let's say that '86 and before, people that did not contribute to the Social Security, did not qualify for Medicare, well, those we have a responsibility to pay for if they retired and, you know, they're 70 -years -old, and they're really living on a fixed income. I think that as employees to the City, we have an obligation. But if that individual retired young and went out and got a second job and put 20 years in another company that now he qualifies for Medicare, then I think that the City doesn't have the right to pay it if they have already insurance coverage from some other previous employee. The others ones are from '86 on up, if you have 20 years with the City and you retire, you know, and you go some place else and also you get another job and you also qualify for Medicare, then the City shouldn't have to pay for it. But there's ways of compromising. And I don't want to feel today or be like the family -- the skunk at the family picnic, you know. I think that I've addressed issues that have been very tough to address. I've been criticized and I've been personally attacked. One of them was workmen's comp. And I was very disappointed with the process. I was very disappointed with the Executive Director. And in many ways, I was disappointed with this administration for not taking the tough stand that it took many, many years to address that issue. And, you know, people could always say, well, it's bureaucracy protecting bureaucracy, and it's just a layer and layer of bureaucracy protecting. Well, at the end of the day, we all have an obligation. The City Manager has an obligation. I have an obligation, and my colleagues and yourself have an obligation, especially if you live in the City of Miami. And it's to protect the taxpayers and protect the City. We talk about not killing the goose that lays the golden egg. Well, you'd be stupid if you wanted to kill the goose that laid the golden egg. Because that -- thanks to that golden egg, a lot of people today are retired and are living a decent lifetime. I'm not saying you're wealthy, traveling, taking seven cruises a year, but, I mean, you're comfortable. You're able to pay your rent and stuff. So all that we're doing here is to sit down with the unions because you gave me your word that you would sit down and find ways to reduce the fat that was going out. And I think if we have one obligation -- and I speak for myself here as a City Commissioner -- it is to cut fat and improve the services, and improve everything that we can in our city. That's why I am not afraid to say I'm willing to put the last penny I can into capital improvement because, at the end of the day, it's what the City looks like. So, that is all that I have to say on that issue, but I would like to say that the people that may retire after 20 years, after the '86, you know, we can work something out with the City and I think that we can find some type of gap insurance to allow them for a period of time until they find other employment. Because most people in the City, not all, retire at a young age, and then they go on and they seek other employments where they could put some more time and get another pension. Most of us do that. I mean, I left the Florida Highway Patrol and I am looking at getting in another pension where, you know, I would be able to qualify for both but still have my healthcare. So, at no means is this the Commission or the Mayor going out and swiping away anybody's benefit. We're just saying that it's -- for whatever reason, you have or your qualify now for any type of Medicare, or any type of health insurance then -- from another company that you worked for -- then, you know, we're not responsible to pay for it. And that's what we need to look -- We could take that money and we could put it into an initiative that was put together, I think, by good leadership, and it's to focus on the City of Miami's poverty. You know, I'm ashamed to say we're the first poorest city in the nation. But I often say it because, really, it puts 172 September 26, 2002 reality in the people. We are the first poorest city in the nation. And it's a shame because we have a wonderful city. Four years ago, our city was on the verge of bankruptcy. We all joined together and we brought it back out, and now we're doing great. And we're going to continue to do well. So, you know, the future looks great, but all that I ask is that we work together and find ways where we could -- cost savings for the City, and make sure that nobody gets hurt in the process. Saying that, I would ask that the Labor Management Council or I could direct the City Manager to have the Labor Management Council, under the direction of the Mayor, whoever the want to appoint, to sit down with them and maybe come back 60 days with some possible recommendations. And I think that we're all acting in good faith, and we're all proud to be Miamians and proud to be good residents, and good citizens, and good employees of the City, to do whatever we can to find savings for the City. So, at this time, Al, I'll yield to you. Mr. Cotera: I'm sorry I asked that question. Chairman Regalado: Thank you. But -- Mr. Cotera: Real quickly. Chairman Regalado: The Mayor -- Mr. Cotera: I will let you know -- Chairman Regalado: The Mayor has to be recognized because I think that he wanted to expand on that and probably the executive benefits that you asked -- Commissioner Sanchez: But, no, the executive -- Al, you know that I shoot from the hip. I do have a resolution that, effective January the 6th -- and I'll present it -- all -- the Manager will cease providing any retirement benefits not authorized by law to the executive employees of the City of Miami unless the benefits are approved by this Commission. Let me tell you why. Mr. Cotera: Is that on a case-by-case basis? Commissioner Sanchez: Not -- no. No, it's flat out. I think that this will allow us to come to the table. It's a start to negotiate. And, also, let me just say, I have no problem with anybody putting 20 years, 30 years, just like Mrs. Carter did, a fine, fine employee. But let me just say something. If you look in the past and you see some of these retirement benefits -- and the numbers will come out. Because another thing that I'd like to say is that being that we're on the Commission part-time, and I try to focus as much as I can doing homework and seeking information when sometimes it's like pulling teeth from the administration to get to where you want to get, all right. And it makes it much, much harder for me to put the dots together and put the numbers together to make a strong argument. That's why today I'm not prepared to make a strong argument because I don't have all the facts, but I will get those facts. And let me just say this. Some of those numbers are alarming, and when people see them, you have executive directors that are retiring with tremendous salaries, great benefits, while you have the employee out there, GSA (General Services Administration) or Solid Waste putting 50 -something hours, working like an animal and, you know, at the end of the day, his benefits and his retirement 173 September 26, 2002 packages are minimal. And that's not fair. So I think that we need to address those things. Once again, it's probably not the political right thing to do, but I think it's the right leadership thing to do. And I'm just putting it on the table, seeking the support from the administration, seeking the support from the unions, seeking the support from my colleagues, and above all, seeking the support from the Mayor. Chairman Regalado: OK. Can I ask you a question? Could you wait for the Mayor -- Mr. Cotera: Absolutely. Chairman Regalado: OK. Then let's -- Mr. Cotera: I'll be more than happy to wait for the Mayor. Chairman Regalado: -- hear the Mayor, and then we'll have questions -- Mr. Cotera: Been waiting for several months. Mayor Diaz: Well, actually, the short answer to your first question was that there is no change proposed in the budget with respect to employee retirement post -- post-retirement health benefits, at the moment. But let me just talk to you in terms of my policy, and I wanted to make this very clear. I view what is happening in the City of Miami today as a move towards moving away from business as usual. The City of Miami, for a very, very long time, has made lots of decisions that have created part of the financial problem that the City just went through. And a big part of that is that there are monies all over the place and all kinds of different accounts, with all kinds of different benefits that we find out one at a time, drip by drip by drip. I believe my responsibility, as Mayor of this City, as an elected official, is to take care of those obligations that I believe are the legal obligations of an elected official of this City. Those obligations to me include if I have the ability to reduce people's taxes, if I have the ability to reduce people's fees. I need to fix their streets. I need to improve their parks. If I have poor people that I need to develop poverty initiatives for, those are the kinds of things that I believe we need to be spending our money on. When I do not have a legal obligation to fund something, I don't believe I need to. Having said that, we're all human beings up here and we all are concerned about people that -- because bad decisions were made years ago, are in the predicament today. We can't put those people out of health insurance. We can't put those people in harm's way when their health is on the line. So you're not going to get anybody up here to do anything like that. However, the message should be clear that those were decisions that were made in the past that we have to live with today, but we don't want to live with them in the future. Now, hopefully, what we all hope here is that through the Labor Management Council and working with you guys, as we discussed months and months ago, OK, and through Commissioner Teele's leadership on that council, that we can all work together to begin to look at these and say where don't we want to hurt somebody, but where can we begin to change things. And I think that that's -- from a policy perspective, that's where I'm coming from. And those funds, I believe, should be used to fund the kind of initiatives and to fund the kind of legal obligations that we have to our current employees -- because if I free up money, I can pay you guys more money -- or to reduce millage 174 September 26, 2002 or to do whatever it is I want to do. But today, for the people that we are representing today, for the people that we have a legal obligation and a moral obligation to today. Chairman Regalado: OK. Before -- Mr. Cotera: Like I said, I'm sorry I asked -- excuse me. Chairman Regalado: -- before we go on, do you want to go with the motion on the executive benefits now? Commissioner Sanchez: No, no. Mr. Cotera: I think I still have a question. Commissioner Sanchez: I -- Mr. Chairman, I prefer that we vote on the budget, and then I have two resolutions that I would like to put on the floor for a vote. Chairman Regalado: OK. Al, go ahead. Commissioner Gonzalez: Mr. Chairman. Mr. Cotera: Real quick. Commissioner Gonzalez: Oh, I'm sorry. Go ahead. Go ahead. Mr. Cotera: Go ahead, sir. You're a Commissioner. I'm nothing but an employee. Commissioner Gonzalez: I was listening to Mariano Cruz and some of his arguments, and he pointed something out that is very important at least that is something that I know that we're going to have to deal with in the future, but we're going to have to definitely deal with it. We have an enormous amount of illegal units all over the City of Miami, which are producing an enormous amount of garbage. I have in my district properties that have, within the property, five and six units, OK, that are producing garbage. And these property owners are collecting rent. They're not paying any taxes. They're not paying any fire fee. They're not paying any garbage fee. And the rest of the citizens are carrying -- Chairman Regalado: Well, they're paying twice the garbage fee because when the crisis -- the Fire Department went around the City and illegal units were billed as second households. Is that correct? Commissioner Gonzalez: That's when you're talking about one illegal unit. Chairman Regalado: One, yes. Commissioner Gonzalez: But there are many, many cases where you have -- 175 September 26, 2002 Chairman Regalado: No, no. I understand. I'm just saying that the Fire Department -- Mr. Gimenez: There were 5,000 additional units added -- billing units were added during that time. But I think that Commissioner Gonzalez is right. There's probably a heck of a lot more that we didn't catch. Commissioner Gonzalez: Right. And what happens is the rest of the residents or the taxpayers of the City are carrying the burden for those people that are not paying their dues. So, eventually, I have to agree with Mariano on his statement. Eventually, we're going to have to start working in this issue because that's a source of income that is out there that isn't coming to the City, and we're providing services for all these people. So that's an issue that we're -- like I said, we're going to have to deal with it. And the issue of the insurance for the retirees -- when I spoke to the Mayor, I also expressed to him my concern that I wanted to make sure that whatever we do, we protect our people, or the people that served this City, and we assure that we don't leave anybody hanging out there without an insurance policy to cover their medical bills. Because, usually, when you need insurance the most is when you're getting older. And I even told the Mayor about a personal experience that I had. My brother was 63 years old. He was a strong man. He was never sick. And he retired at 62. He only had -- he only was entitled to, I think it was Medicaid or Medicare, whichever part of the -- that pays the hospital. OK. And he was diagnosed with cancer. He lived a year and a half and the amount of money that we had to pay out in medicine and special treatments and things of that sort was incredible. Thank God, we, our family, were able to take the burden and give him everything that he needed, but there are many, many families out there that I'm sure they don't have the resources if they see themselves on a situation like that to take care of their relatives. So, you know, I know we need to save money. I know that we need to work to be more efficient and to find more income so we can do more projects and do a better City, but, also, we have to look at the human part of this deal. And that is that we got to make sure, like I said before -- and I won't support anything that will affect the life of one single human being living out there without a right to have the right medical treatment or medicine that the person might need. Thank you. Chairman Regalado: OK. Vice Chairman Winton: Mr. Chairman. Chairman Regalado: Yes, sir, Commissioner Winton. Vice Chairman Winton: Commissioner Teele brought this up at the last meeting when we were talking about the fire fee. I think it was Commissioner Teele who suggested we look at some way to really begin to ratchet it down over the course of the next five years or so. And, well, I -- Ms. Nagymihaly made the point that -- not that I'm particularly interested in agreeing with her personally -- but as an issue, as a global issue, this seventy-five dollar ($75) -- And I never realized this. I always thought that apartments paid the same fee as single-family homes. So I've been here for three years and didn't figure that out. When you have an efficiency apartment, where you're lucky if you can get, particularly in poor neighborhoods, where you're lucky if you're going to be able to charge 350 or four hundred dollars ($400) per month, you know, that seventy-five dollar ($75) fee is just huge. I mean, it's huge. And so, the point is when you talk 176 September 26, 2002 about this anti -poverty initiative that we're now kicking off, this fee does have a big impact in that particular regard. So there may be a greater sense of urgency on our part to really -- and if the study says and the law allowed us to initiate the fee based on this usage study that was done, which means that we probably can't change the formula so that efficiency apartments pay less, they'll still have to pay some relative proportionate share because that's what the study called for. That means the only real answer is to get rid of it. And from my viewpoint, there may be a greater urgency now to begin to move faster than we were thinking before to get rid of that fire fee, because it will, in fact, have an impact on the Mayor's anti -poverty initiative, and probably a significant impact. So I just wanted to echo your thought there, Commissioner Teele, that we ought to look hard at that whole issue during the course of this coming year. Commissioner Teele: If I can respond, Mr. Manager -- Mr. Chairman. Mr. Manager, I think it will be very helpful if the study could be reproduced and resubmitted. I mean, we have a Mayor that was, you know, that was not around for that study. Commissioner Winton and Commissioner Gonzalez, I think, were not here. And the methodology of that study, I think, is very helpful in terms of looking at who's generating and a whole lot of those things. Because I do think -- Commissioner Winton just sort of broke the Code, and that is you cannot change one category because the category is based on use. What you can do is reduce it for pro rata based upon the commercial or the industrial, or the residential, or dah, dah, dah, dah, dah. So I think that is extremely important that we look at it and maybe even -- One of the things that I -- you know, unfortunately, Mr. Chairman, this thing is moving so quickly. I think this Commission, I think the public owes the Mayor a debt of gratitude for really coming in with a lot of good stuff, budget initiatives. I mean, we're talking -- we always wind up talking about the painful stuff, the retirement, and we want to talk about that. But the notion of trying to get the free trade agency here, which is built into his budget, the notion of dealing, for the first time, with the notion of poverty, which gives us much more credibility to go to Tallahassee and to go to Washington to get money. I mean, that's -- it's just good - it's good economic sense for us to recognize it. And the whole series of initiatives that the Mayor is pointing out, I think, is a very fresh approach. And I think it's the approach that we have sort of looked for, and that is a legis -- an elected official working in tandem -- and I realize this was the first time this has every really happened. Because before, Commission just said let the Manager figure it out. One time I saw a Commission meeting say, well, I just move that we authorize the Manager to fix the budget. I mean, literally. The lawyer, fortunately, was awake and said you can't do that because that's an unlawful delegation. That's what you've got to do, Commissioners. This was about eight or nine years ago. So we've come a long way. And I do want to say to the Manager and his staff that I realize that there's probably been a little bit of pain and a little bit of anxiety, because anytime you change things it's not going to go down as well. And this is a radical change. It's a radical change. And of all -- of the six of us up here, only one is full-time. I'm talking about the six elected. And so, Mr. Mayor, again, I compliment you and I think the City is getting its money's worth, whatever it is, we haven't even looked at your salary, and this is a good time to talk about that. Not with all those guys -- But we are getting our money's worth. And I really want to commend you for dealing with the issues, and the hard issues, as well, which gets me to the point that I want to make to my good friend and a person that I have tremendous respect for, the head of the Police union, Al. Well, the fire -- I'm talking about the fire-- I respect all the union leaders. I think each one of them know that. But I'm a little disappointed because -- and I 177 September 26, 2002 want to go back through this just for one minute. We just gave the biggest raise to the employees of the City in that last how many years, Mr. Manager? Mr. Cotera: Ten. Mr. Gimenez: Thank you, Al. Mr. Cotera: 1982. Commissioner Teele: '82 is 10 years? Mr. Cotera: Well, I'm sorry. Twenty years. Commissioner Teele: Twenty years. Mr. Cotera: Right after the 1980 riots. Commissioner Teele: In the last 20 years -- And I made the motion, because, you know, that wasn't really -- you know, this thing -- at lunch when we came down, there weren't three votes here for this thing. So, you know -- and I think it's a little bit of violation of the spirit of what we were all trying to do, where you all looked at me in the eye and said, if we can work this out, we will sit down and we'll come up with savings. And this is, you know, this -- we haven't been six months away, so we're going to have our first meeting soon. But the fact of the matter is, the Mayor is only doing what all of us promised we were going to do when we passed that raise. What is the total amount, Mr. Manager? Because I don't think the public realizes, you know, that we just gave the employees a combined -- in terms of the three years, what's the total percentage? Mr. Gimenez: I think it's 12.1. Commissioner Teele: A 12 percent raise over a 3 -year period of time. Mr. Gimenez: Three-year period. Mr. Cotera: Twelve point one. Commissioner Teele: I mean, that's a -- that is a huge number, you know. Cost of living right now is -- Mr. Cotera: We're still 32 percent behind the CPI (Consumer Price Index). Commissioner Teele: And I recognize fully that the reason we did this is because for so many years during the crisis you got nothing and you hung in there with us. Mr. Cotera: Sure. 178 September 26, 2002 Commissioner Teele: And you've been very, very supportive. And when the City was being proposed to be shutdown or de -annexed or whatever, the unions stood up. But I think we need to begin tonight -- Johnny, you -- Vice Chairman Winton: That was my initiative. Commissioner Teele: But we need to begin tonight, I think, with a little bit different spirit about this in the context that we're all looking for ways to make savings. I want to say this publicly because I said this privately to the Mayor and his staff. I cannot support taking away retirement benefits without some type of understanding of who's going to be -- I'm saying health benefits, and particularly, a means test. I cannot support somebody who's getting four hundred and fifty dollars ($450) a month -- I don't care what the facts are, OK. -- four hundred and fifty dollars ($450) a month taking away their health benefits. But you know what this -- it's not about those people. We've got people making a hundred thousand dollars ($100,000) a year, who, in many cases, have health insurance that we're paying out health insurance for. And that's not right. And so the idea is not to take a meat cleaver here and start going through this, but a scalpel, and to try to work together. And I'm telling you, Al and Charlie, and everybody -- Pidermann -- everybody here. I want to see a means test. I want to try to understand this. And one of the things that, thankfully, Commissioner Sanchez has just said, I think the Mayor is in support, that we all ought to sit down, that is, the labor union representatives, and the Labor Management Council, and try to figure out a way to be a partner with the Mayor and the Manager, and to try to figure this whole thing out. And so, I just want to urge the union not --I'm not criticizing you. You're doing your job as you understand it. I just think we ought to take a spirit of cooperation to sit down, as Lyndon Johnson used to say, "Let us sit down and reason together." Let's figure this thing out. Because the goal here is to find savings to support that nine -- that 12 percent -- was it nine or 12? Mr. Gimenez: Twelve point one. Commissioner Teele: -- that 12.1 percent increase that we just voted for. And so, again, I appreciate you being here, but I do think it needs -- the whole story needs to be told. Chairman Regalado: And if -- Mr. Cotera: Sir -- Chairman Regalado: -- if I may just briefly. The whole story will not be told until we read this list and see that there are many employees in the City of Miami who make 5.15 an hour. Commissioner Teele: An hour? Chairman Regalado: An hour. And, you know what the sad thing is? The sad thing is that 95 percent of the people that make minimum wage have -- they have one of the most important jobs. I mean, the police take care of us. The Fire Department saves our lives. But these people are aides for the Parks Department. They take care of the children of the City of Miami, 5.15 per hour. To me, this is about human rights. 179 September 26, 2002 Commissioner Teele: It's always about (INAUDIBLE). It really is. Chairman Regalado: The universal declaration of human rights said that the human being has, number one, the right to life. And number two, the right to work with decency. And this is not fair. So, before we leave tonight, we should discuss business, which is something that should be -- that the City should be ashamed of, really. OK, Al, go ahead. Mr. Cotera: Thank you. Commissioner Teele, I'm sorry if when I asked the question it sounded like I was being non-cooperative. As I said before, we're going from the paperwork that we received at the last budget hearing, and it specifically states here one million, one hundred and twenty thousand dollar ($1,120,000) reduction, and it claims it to retiree health insurance. That's why I asked the question because it was my understanding that that had been fixed. All right. Since the budget proposal went real -- went by real quick, I just want to make sure that everybody who's here that our retirees realize -- because a lot of them don't know the conversations that have already been held. I just want it for clarification, not being non- cooperative. I first took office in 1991, and none of you were here, OK, none of you. When I negotiated my first contract, we had to hire an economist to go inside because you had enterprise funds, you know. You talk about putting all -- finding the accounts. Well, the unions found half of them. All right. The unions found half of them. Commissioner Teele, you talk about pulling teeth -- I'm sorry. I think it was Joe Sanchez. Commissioner Sanchez, you talk about having to pull teeth for information. We'll get Charlie's box and I'll guarantee you we'll find out whatever you need. You know, we have such things as auto tracks, too. As far as insurance is concerned - - and I want to make this point clear -- retired police officers do not get a subsidy from the City at all, maybe nine dollars ($9) I think it is, or twelve dollars ($12), OK. They pay their own tab. They pay full cost. All right. I've raised insurance, not only for the retirees, but for my actives, twice in one year. Just last month I had to raise insurance again. We all know that the cost of health insurance is going up. All right. Mine went up by seventy dollars ($70) biweekly. All right. A retiree and his wife are paying four hundred and fifty dollars ($450). Whether they retired at seventy thousand dollars ($70,000) a year, a hundred thousand, there's many of them, many of the people that are retired here, they're retired at twenty thousand dollars ($20,000) a year. And many of them, much less, OK. And the cost of healthcare is going to go up for all of us. I mean, you know, all you got to do is pick up a newspaper and it's quite obvious that that's the way it's going to go. Right now we are working in conjunction with the City on a post - employment health program so that people will be able to take their severance and invest it, in the future, for medical premiums for that reason alone. So we are trying to do our best. I think all the unions realize -- and, you know, we keep saying this about killing -- you know, nobody wants to kill the golden goose, believe me. We are doing -- we're picking up our share. We are doing our bid, too. Because for many years, sir -- yes, we did get a nice raise this time -- but for many years, there were goose eggs there, OK. Goose eggs and reductions. I'm the one that had to sign with Carlos Marques when we did reductions back in 1996. If I remember correctly, it was December the 28th of 1996. OK. So I appreciate the fact that you're putting all the money in one fund. It'll save me a lot of money on economists. On insurance, I understand that. I look forward to working with all of you. I stood here before during the contact and I told you that I'm -- you know, I don't want to see this place go down, just the opposite. And all I wanted was a little bit of clarification. That's all. Thank you. 180 September 26, 2002 Commissioner Sanchez: Hope you got it. Mr. Cotera: Thank you. Chairman Regalado: OK. Pidermann. Ed Pidermann: Ed Pidermann, President, Miami Association of Firefighters, Local 587. I'd like to begin by congratulating and thanking several people. When this issue of the retiree health insurance reared its ugly head, as I like to call it, a couple of weeks ago, I made contact with the Mayor, with members of the Mayor's staff, various Commissioners, the Manager's office -- I spoke with people from the Manager's office -- and I'd like to thank them and congratulate them for being upfront, honest, open, receptive to contrasting ideas, working with us. I think I've spent more time at City Hall this week than I have in the past year. And I'd just like to thank you all for doing what you're doing today. What was originally rumored to be the track that we were going on, which was going to be the proffering of a resolution today to make changes with the retiree health insurance for the future, I am -- congratulate you for having the wisdom to pull back on that idea. The way I saw that -- the way I viewed that was putting the solution before the work that gets you to the solution. The idea of forwarding it to the Labor Management Council is an excellent one. It's a perfect item to be the initial item to be discussed and debated. But like Commissioner Sanchez has mentioned and I know all of you have mentioned in the past, it's difficult sometimes to get information, to get numbers. Every time you ask a question, especially in certain parts and this area of health insurance, sometimes it's a big unknown. It's a very complicated issue. It's similar to pensions. It's very complicated and you don't know how you get from point A to point B, you just get there. And the issue of health insurance is very complicated. And without knowing the history, without knowing the numbers, without asking the questions, without "what-ifing" this whole issue to death, we can't get the right solution. And I would have hated to have seen an incomplete or an ill-informed solution be proffered and passed when I think we're doing it the right way. And I congratulate you for that leadership. I think it's the right way to do it. The Labor Management Council is the proper vehicle to accomplish this. Like the other union presidents mentioned, back when we ratified our contracts, we made a commitment to you. You made a commitment to us. We were going to be able to do that. And as far as us participating with Labor Management Council, we have always been very receptive to it. I've been waiting for my phone to ring to say, let's do it. And I'm glad that we formulized a process. I know last meeting the Labor Management Council was formulized. And I think Commissioner Teele was named, by the Mayor, to head up that process. And I think that's a good choice. And I welcome to be able to work with all of you in that whole process, especially Commissioner Teele. And I think we can get to the right solution, not the quick and hasty solution, but I think the right solution. I think the comments that you've made, especially about the existing retirees, there's a lot of issues there, a lot of factors there; the inability to plan for the future. They are what they are. They are fixed income individuals. And I'm glad that you've stated the fact that you have concerns for them, that we're all looking to protect them. We don't want to harm anybody who is on a fixed income. But I think we can find the right solutions, the right solutions for the City. We can find efficiencies throughout the entire Department of Risk Management. Who says -- maybe we may not even find the solutions in health insurance. Maybe the solutions will be in workers' comp or liability or a different carrier 181 September 26, 2002 for a health insurance. There's a whole laundry list of issues that we can get to the same place with the least of amount of pain for the least amount of people, and, hopefully, allow the City to prosper. And I congratulate you, and I thank you all. And I congratulate the Mayor and the Manager for proffering this budget. And, hopefully, you'll all approve this budget because I think it well funds all of the departments. Thank you. Chairman Regalado: Thank you. Go ahead, Charlie. Mr. Cox: I'm going to waste a few more minute of your time. Listen, if we can't find more than a million dollars ($1,000,000) when we sit down together, there's something wrong. Our history speaks to ourselves. I found out about this at the last Commission meeting, OK. Yes, you have people here. Why? Because this was the way it was done, not on our part. And, Art, you're raking us for that and it's not my fault. I gave you a commitment. I told you at the last Commission meeting and this is how I found out. I'm going to tell you some other things. I hope that you direct the Manager to open the EOC (Emergency Operations Center) because, you know what, my office cannot handle the phone calls I'm getting with a staff of two over all the rumors going on this side. You need a rumor control in this meeting. I will also tell you that, you know what, there's one person in this City -- and it's wonderful to talk about what people make. This one makes a hundred thousand. That one makes a hundred thousand. But you know what? Judy Carter used to come to that mike, and for some reason, all of you used to perk up and listen. You know what, so she must have been pretty respected. And guess what? You just forced her out the door. She had no intention on leaving. That health insurance meant a lot to her. Now, how many more people are you going to force out the door by January 6th? How many more people are you going to force out the door -- you know what? You all deserve pay. You have never sat here and heard Charlie Cox say, "You guys make too much. The executives make too much." This and that. But let's start -- the budget's here. Let's start talking about things. And I know what the game's going to be played right around the corner. Yeah, let's don't give the executives any raises. Let's keep the MCs with no raises. And then, we're going to say, oh, look guys, we didn't give anybody else anything so we're not going to give you two years down the road. And guess what? Maybe you want a whole new staff here. Maybe none of us old timers are any good. But you're going to have people walking before January 6th. We have lost more people in the last year than we lost in two early retirements. So they're all going to walk, and if that's what you want to do and create a new City -- But you know what? I'm not stupid, either. There's such a thing called a salary report. And I've watched the silver spoons coming in the door now at more money than executives that spent 20 years here, they're walking in the door with more money than they're making. So I know how to play the game both ways. Al told you about the box. If the box needs to come out, we'll bring it out. And you know what? All you all have to do is ask for a salary report. This City should be treated fair. These employees have stood tall for all these years in the good and bad, just like all of you have stood tall in the good and bad since you've been here, and the people before you. And that's what's going on in this City now. I told you morale was lower than I've ever seen it last week. Well, there's no morale now. So I hope you have the Manager open up the EOC so the rumor controls can see -- And at least we got a 3 -hour delay. Maybe the employees will get to watch this tonight. Thank you. Chairman Regalado: Thank you. Anybody from the public? 182 September 26, 2002 Ms. Nagymihaly: Yes. I'm here. Chairman Regalado: OK. Go ahead. Ms. Nagymihaly: Is this now the time to -- Chairman Regalado: This is -- you can say whatever. I mean -- Ms. Nagymihaly: Yeah. No, but I don't want to waste any time. Chairman Regalado: After we've said so many things, you can say whatever you want. Ms. Nagymihaly: Well, first I want to thank Mr. Winton for his comments and I would love to work with him and love to agree with him on all these issues, so we can work together. What I would like to say, though, is all of this is a give and take, and I understand that. But we give, you take. It's not going to work. I hear now with the 12 percent increase, which is good for the City employees, I'm not saying that's bad, but there is a give and take there, as well. And I appreciate the foresight and the knowledge of our Commissioners and the Mayor in understanding that things that were great, things that were too good should be brought back to what the private sector is like. Just because union contracts were wonderful in certain ways up until then, don't deny them that for that time, but start off, work somewhere and get this the way the private sector is run. Get our City run correctly and everybody will be happy. But off that subject, the fire fee -- I'm sorry I have to keep bringing it up, but I would like to see that reduced immediately. There's no reason that an efficiency should be paying seventy-five dollars ($75) per unit. If you look -- just driving on I-95, look down. You'll see most of the buildings are two-story small buildings owned by a few owners, not big developers. Guess what. That's your tax base. That's who puts the money into the General Fund for you. I know a lot of people are saying. Taxes are going so high they can't get the rents to meet the taxes. Developers are moving in and they're building high-rises. You know, Miami has been the small apartment buildings, and these are the people that made it and don't take it all away. And that's what's happening if you keep it at seventy-five per unit. So, can you discuss it now? Can you do something? As you gave 12 percent to the unions, give us the sixty-one dollars ($61) this year, and show a certain amount lowered in the years to come, and then get rid of it, please. Chairman Regalado: Thank you. But we need your name and address. Ms. Nagymihaly: Oh, Eva Nagymihaly, 3110 South Miami Avenue. Chairman Regalado: Thank you very much, ma'am. Ms. Nagymihaly: Are you going to discuss, though, or is that just me discussing it? Chairman Regalado: No. Well, you heard Commissioner Teele's request -- Ms. Nagymihaly: But it's private? 183 September 26, 2002 Chairman Regalado: No, no. He requested a study from the Manager. We'll give you an explanation as to why, by law, we cannot do it today. But you do have the commitment of this Commission that the fire fee will be reduced and eliminated, eventually. But we need to have the report, which will be a public record and you will have a copy. I guarantee you, as the Chairman, that you will have a copy -- not you, her -- that you will have a copy of that report as soon -- Ms. Nagymihaly: OK. Chairman Regalado: -- as we get -- so the City Clerk will get your address, with zip code and everything. I will mail that to you -- Ms. Nagymihaly: OK. Chairman Regalado: -- as soon as we get it from the Manager. Ms. Nagymihaly: All right. Chairman Regalado: And then, you can -- you're invited to come to the City Commission, regardless of the date of the City Commission. We'll accommodate you to discuss the report when you read it. Because I know -- I've seen you for many years come before the Commission. Ms. Nagymihaly: Oh, I've been here 50 years. Chairman Regalado: No. But I mean your issue has always been the fire fee. And I understand that because you're hurting for the people that you rent to. So -- Ms. Nagymihaly: Thank you. Chairman Regalado: -- we'll give you that report. Ms. Nagymihaly: OK. Chairman Regalado: Yes, sir. Donald March: Thank you, sir. My name is Donald March. I'm a retired police officer, served the City of Miami for 26 years, as did my father and my brother. I currently live at 5935 Southwest 82 Avenue. If I might, before I address the issue on insurance, I'd like to personally applaud any individual, any entity that was responsible for the restoration of this theater. I served this particular community for much of my career in the Police Department. I can remember when this was a vibrant entertainment center in this area here. And I applaud the efforts of bringing back that kind of environment to this area here, and encourage all to find a use for this theater and to continue the growth that this area needs. Second, Mr. Mayor, I take a point of personal privileges as a native-born Miamian, I want to thank you, in your previous career, for the tremendous way you represented this City, on behalf of your clients during the 184 September 26, 2002 Gonzalez thing. I think it was a very confusing issue for the rest of the planet. I don't think they still understand what happened down here, but the manner in which you came forth and represented this City, I think, was some of the finest moments any official or any representative of the City has ever had. I currently am president of an association of retired firefighters and police officers that number in excess of a thousand. Many of them are here tonight. Charlie mentioned rumor control. I am unclear as to exactly what is proposed in this budget. And for purposes of relaying back to them what has transpired here, I want to make sure that I understand that what is now before you to be passed on in the budget, there is nothing in the way of a change in insurance; is that true? If there is something that is proposed -- I heard that something 60 days down the line in the form of a Labor Management Council. If, "A," what I understand is true is true, then, "B," what I would offer, if you would entertain it, I would offer the names of two retirees to work with the Labor Management Council on behalf of doing something different, at looking at what the alternatives are in the area of insurance. Healthcare is something that is an issue throughout these United States. It's being discussed widely in every industry. And I would offer the names of a retired firefighter, Art Faddon (phonetic), retired police officer, Jack Speakman (phonetic), to participate with you. And then, also, maybe to bring forth issues that retirees -- and concerns that retirees have, and then to bring back what happens to the retirees so that there is a greater understanding, and the we're not beset by rumors. Am I correct? Is there not -- Mr. Gimenez: Don, the only change that you got in the retiree health benefits are those that were enumerated in that letter that was sent out some time ago that got us back to a 70/30 mix, which was the historical mix that we had in terms of the contribution by the retiree and the City. Outside of that, that's it. In this budget, there are no other anticipated increases on that, as the Mayor has says -- has said. But as also Commissioner Sanchez has said that there is a determination to sit down and try to work out this issue so that the retirees are not hurt, but also that the City can generate some savings on that end. But there is -- but in this budget, nothing has changed outside of that letter. Mr. March: OK. Well, we would be willing to participate if you need our input. And we have some very sharp people. Thank you very much. Chairman Regalado: Thank you. OK. Anyone -- anybody -- Commissioner Teele: Mr. Manager, for the record, would you get -- make sure we get the names and addresses of the two gentlemen whose names -- as well as any representatives from maybe the -- any of the other retired associations that may like to be, at least, informed of the initial meeting so that we can make sure that they at least have notice of the meetings. Mr. Gimenez: Yes, sir. Chairman Regalado: Well, I'll tell you something. Commissioner Teele: Let's close the public hearing. 185 September 26, 2002 Chairman Regalado: Let's close. But before closing the meeting, I think that although probably some people will say, well, it doesn't have to do anything with what we're discussing. Recently, the State Legislature was trying to save twenty-eight million dollars ($28,000,000) so they reduced the cap where people can make money in order to get Medicaid. And fifty-five hundred people in Dade County were taken off the Medicaid list, including a young man that I know, lives two blocks from my house, who is a college student, and who needs to go everywhere with a pack of injections because he's a diabetic and he could die if he doesn't get his three or four shots a day. So, now he needs to, you know, get the money to buy and his parents are really concerned. This, of course, doesn't have to do anything with what we are discussing, but it's the reality of the times. Every government is trying to save. Every state is cutting. The federal government is cutting the Medicare benefits. And it's sad that this is happening. But it will happen in the City of Miami. For those who have other means of health insurance, the Mayor has said we're going to look into it, and that will probably take time. What I don't think should be prolonged is the fact that there are some people that left the City with large retirement and still the taxpayers are paying thousands of dollars in health insurance. Because we just got a letter from the board members, the Planning Board and the Zoning Board, and the Nuisance Abatement Board, and the Code Enforcement Board saying that, you know, they do also want health insurance, because after all, they put a lot of hours without pay for the City. So this is a dilemma and something has to be done. I understand that Commissioner Sanchez has something to say about this issue. Commissioner Sanchez: Mr. Chairman, on the Labor Management Council, I would like them to not only explore the retirement health benefits, but I also would like them to look at Risk Management, too, because of the past and possibly ongoing abuse that continues to exist in Risk Management. And one thing that was said here and wasn't quite clarified was that for God knows how many years, Risk Management was paying more than 30 percent. They were paying 40 percent and I don't know exactly how much percent, but they were paying much more -- I'm not -- I'm sorry, the -- Unidentified Speaker: It was like 70 percent, right? Commissioner Sanchez: They were paying much more. I mean, it was 40 -- I don't know exactly, but I think we need to put that on the table, too. Because I think we need to put everything on the table. Mr. Gimenez: Well, what I was referring to in that letter was that, for some reason, the City had started to pick up more than the 30 percent, and we had not raised our rates for about five or six years. A letter was given to the retirees saying that we're going back to that 70/30 mix, but it wasn't all done at once. It's being stepped in -- into so that they can plan for the next two years to -- and their rates are going to go up and it has saved the City -- it will save the City a couple million dollars a year. But it gets us back to the historical 70/30 mix. Commissioner Sanchez: And I think we need to say for how long. Because my point is you were not the City Manager. There was another City Manager when I got here in '89 -- '98. And when I started looking at the books, one of the things that popped me in the face with red flags was Risk Management and all the mismanagement and abuse that was going in Risk 186 September 26, 2002 Management. I went through almost two and a half years with a City Manager that basically just -- didn't want to hear what I had to say about Risk Management and all the abuse that was going on. And then later on when things got -- you looked into it, you found out -- it was you who found out that they were paying more. But for how many years were they paying more than their share out of taxpayers' dollars? Mr. Gimenez: Well, at least through 1994, because there has been no raise -- they did not raise the rate since 1994, and that just started to flip the ratio to the City, and that's why we rectified that with our letter. Commissioner Sanchez: And would you agree with me, Mr. City Manager, that that is bad management and that's waste, misuse? Mr. Gimenez: It's bad management. Commissioner Sanchez: Lack of trust. Mr. Gimenez: I mean, it was bad management. Obviously, it's bad management. It should have - the rate should have gone up and it should have -- that 70/30 proportion should have stayed stable. I think we're trying to do more than that now. There are ways to -- when we get together with Labor Management, there are ways -- Commissioner Sanchez: Right. Mr. Gimenez: -- to reduce this cost and move people out of the system, without hurting them, that will also not only save money on that side, but also will decrease our exposure to the employees also. Because, remember, it's all a mix. Commissioner Sanchez: I understand. Mr. Gimenez: And so, you know, the rates are based on everybody that's in the mix. Commissioner Sanchez: But the point is, since 1994 until last year when you yourself terminated the Risk Management -- the Executive Director because of the ongoing problems that were going on, we basically wasted -- I don't know exactly how much money. But the unions need to know that, you know, I'm not making the motion to try to get that money back that was given to the retirees, but, you know, take that into consideration that it was paid out of the taxpayers' money, out of the City's money. I just want to say that for the record, you know. So when you sit down at the table, there's clear understanding. I'm not going to get into a debate or nothing. I just want you to understand that. I'm prepared, Mr. Chairman, to present a couple of resolutions, if you would allow me to. Mr. Chairman. Commissioner Teele: Got to close the public hearing. Commissioner Sanchez: Oh, yeah, that's right. Close the public hearing. 187 September 26, 2002 Chairman Regalado: So, we're closing the public hearing and we're ready for motions. Commissioner Sanchez: I made the motion. Chairman Regalado: Go ahead, sir. Commissioner Gonzalez: You made it? Commissioner Sanchez: Yeah. I made the motion. Commissioner Gonzalez: Second. Chairman Regalado: No. The motion wasn't made on this portion. No, we -- Commissioner Sanchez: It's a motion to approve the budget. Chairman Regalado: OK. Now we have it. Commissioner Sanchez: Motion to approve the budget. Chairman Regalado: We have a motion now. Commissioner Gonzalez: And a second. Chairman Regalado: And a second. Read the ordinance. Commissioner Teele: Discussion. Commissioner Sanchez: Discussion on it? Chairman Regalado: Any discussion? Commissioner Teele: Yeah. Chairman Regalado: Oh, OK. Go ahead. Commissioner Teele: Mr. Chairman, as we said in the last meeting, I have -- I think the Mayor has addressed very well the concerns that I raised, with the exception of the one that I had asked the Manager to look at with us. I'm going to be very interested in understanding exactly how this poverty initiative is going to work out. Because, again, I think it's important that the poverty initiative not be a one -size -fits -all, one -program -fits all, but we really need to carve programs based upon some of the cultural and neighborhood issues. And the unemployment and poverty is very radically different in this City, and I would hope that we could do some structuring to ensure that. The two or three areas that I have concerns about Commissioner Regalado raised one of them, and that is that I had hoped that we were going to adopt a budget that was going to provide health benefits to all part-time employees that work at least some number of hours, and 188 September 26, 2002 that have been in the employment of the City for some period of time, whether it be three years, five years, you know, I don't really care. But I think we've got to deal, not only with the executives and the retirees that we're talking about taking away the benefits from, I think we have a fundamental obligation to ensure that if anyone works for the City, they have access to healthcare. And these employees that are working 38 hours and 36 hours is nothing but a legal dodge, and it's an embarrassing dodge in terms of dealing with our responsibility. So one of the things, I mean, we need to deal with and have some understanding, Mr. Manager, have we dealt at all with this issue in the budget? The issue of the part-time employees that are not getting medical benefits. And while I've never recommended that they be brought to 40 hours, I do think that we afford them -- we should afford them the right to have health benefits. And what's the fiscal impact? Mr. Gimenez: The answer is no. We did not bring them -- we did not offer healthcare benefits to our temporary and our part-time employees. The fiscal impact for part-time employees offering them -- from what I'm looking at this chart and this other benefits, 32.6 percent, I'm sure the vast majority of that would be health benefits -- is somewhere in the vicinity of about one point three million dollars ($1,300,000), you know, to the City. So it's -- Vice Chairman Winton: Commissioner Teele, you've said this many times and that's the one - shoe -fits -all thing that creates problems for us. I think this is a perfect example where that's going on. I would recommend that -- and if that's the fiscal impact then if you figure out how to make this work, the fiscal impact can be greatly lessened. And I would recommend that we designate you as the chairman of the committee that will work with the staff to review this data. Because all of these people that he's talking about won't fit that bill. Commissioner Teele: Johnny. Vice Chairman Winton: We're not -- you're not suggesting that we take every part-time person and make them -- What you are suggesting is that -- Commissioner Teele: That's why I never made the motion. Vice Chairman Winton: Right. Commissioner Teele: Because they're too many -- Vice Chairman Winton: Right. Commissioner Teele: -- unintended, unknown consequences -- Vice Chairman Winton: Right. Commissioner Teele: -- and implications. Vice Chairman Winton: And it is a scam that we work people, 38, 36, 39 hours a week for years and years and they're not -- so -- and that's what you're trying to address. And I agree with 189 September 26, 2002 addressing that wholeheartedly. And my sense is that the cost of curing that problem isn't going to be anywhere near that number. So, as a consequence, I think that my recommendation would be that we pass this budget. We appoint you the chairman of this committee that's going to review this data carefully, or bring -- hire a consultant if you need one -- Commissioner Sanchez: Second. Vice Chairman Winton: -- to review the data and bring a recommendation back before the Commission. That's my recommendation. Commissioner Teele: Well, I accept that and I think that's the -- I think either the staff doing the analysis or having the Labor Management -- and I think you're probably right. The best way to do this, even though they are not represented by any union, this is not a union committee. This is a Labor Management Committee. And I would accept that and think that that would be an appropriate way. But this is something that we had discussed in August when we were in the -- Vice Chairman Winton: Right. Commissioner Teele: -- the Hyatt. And I just want to be consistent that we said we were going to deal with that issue. The second issue is this totally uncontrolled issue -- and I don't know where the Police Chief is -- Is he here? Hey, Raul. Good to see you. Mr. Gimenez: Yes, sir. Commissioner Teele: We kept saying we need to get a handle on these festivals, parades, and events. Now I know the Mayor has created an initiative for some festivals and activities. I think it's -- what is that, three hundred and fifty thousand? Five hundred thousand dollars ($500,000). But the problem that we're dealing with is a -- what is it, a three to five million dollar ($5,000,000) problem a year, in terms of -- She's coming. If you don't have the number, she's got it. How much money have we gone through annually over the last two or three years in fee waivers, in-kind, cash grants for the cost of police and fire? And it's important for the public to understand. We're not talking about giving the Martin Luther King Parade, or the Calle Ocho Parade, or the Three Kings Parade cash money. We're talking about the cost of the police and fire and sanitation services. A majority of us have continued to say we're shooting ourselves in the foot when we keep talking about giving somebody a grant of fifty thousand dollars ($50,000) to pay the police. The police ought to be here to help some of these festivals. But it's got to be controlled. And I want to make sure that we've got something in our budget that's realistic that deals with this problem. How much, ma'am -- Madam Director? Christina Abrams (Director, Conferences, Conventions & Public Facilities): To date, it's 682,000 but I don't know the exact portion that goes just to police and fire. I'd have to break that down for you. Commissioner Teele: No, no. You need to give your name and address. Ms. Abrams: Christina Abrams, Director of Department of Public Facilities. 190 September 26, 2002 Commissioner Teele: Last year, how much money did we spend? Ms. Abrams: I don't remember the exact amount. Approximately, 550,000, but I don't know that amount -- what went exactly to police and fire. I'd have to break it down. Mr. Gimenez: Commissioner, there is one issue. And I know that you've wanted to roll that somehow into the Police budget. Commissioner Teele: See, this is what's crazy, Mr. Manager. Mr. Gimenez: Well, let me -- Commissioner Teele: We have a Police budget that is loaded at about how much money? Loaded. The fully loaded budget. Mr. Gimenez: Fully loaded, about a hundred and forty, a hundred and fifty million. Commissioner Teele: A hundred forty, a hundred and fifty million dollars ($150,000,000). But, yet, for somebody to do something good, there's no money in that budget for a parade, for a festival, for an event. And the taxpayers are the same people paying the money. We're not talking about sending -- You know, when I was a little boy, they used to send the motorcycles to Tallahassee every time the governor had an inauguration. I'm not talking about the Governor's inauguration, Ms. Range, because I know a whole lot of folks getting excited about this Governor's thing. I'm talking about here in Miami. And I really believe that our budget, the Police budget, especially, the fire, should have money built into it, as we agreed and requested so that we're not necessarily having to appropriate money publicly in making it something that looks like we're giving a grant to somebody to pay for being a good citizen. Mr. Gimenez: But, Commissioner, it actually -- it's cheaper for us to give the promoter the money and then pay the police than it is for us to pay the police. Because if we pay the police, it' time and a half. And if they pay -- if the promoter pays the police, then it's an off-duty rate, which is significantly cheaper than at time and a half. Commissioner Teele: I fully understand that. And I mean, we've worked through that three or four times. But the point that I'm making is this. How much money do we have in our Special Events budget this year for special events activities? Ms. Abrams: We have spent 682,000 -- Commissioner Teele: No. For the budget proposed. Mr. Gimenez: This current budget, Marcelo, how much is that? Mr. Penha: The budget starts off with, I believe, three hundred thousand, and then we did a mid- year increase for another two hundred and eighty -- 191 September 26, 2002 Mr. Gimenez: No. In this coming up -- this fiscal year. Commissioner Teele: Coming -- Mr. Penha. Coming fiscal year, half a million. Mr. Gimenez: Half a million, five hundred thousand. Vice Chairman Winton: Cut short. Chairman Regalado: Well, but how much does the Police have in their budget for -- Mr. Gimenez: They -- in their budget, they have overtime for -- in their regular overtime is for those events that we pick up as in-kind services, they pay it out of their overtime. Those events that we give money to, the promoter then pays the Police Department or the police officers at a reduced rate. That's why I say that if we start giving more in-kind services, it's actually going to cost us more money that if we actually just give the money to the promoters and then they hire the police officers. For fire it doesn't make a difference. Chairman Regalado: Yeah. But that was not the question. Commissioner Teele: The only point -- if we've got 500,000 here, we've got -- the Mayor's got an initiative of an additional two or three hundred thousand; is that right? Chairman Regalado: The Mayor wanted -- Vice Chairman Winton: And the Police Department, you just heard, has overtime built in their budget. So there's plenty of money here for this. Commissioner Teele: Well, but the only thing that I'm concerned about, again, is the function of poverty. In those communities where you don't have businesses that can do underwriting and those communities where you don't have the corporate structure there, you know, and it's not that we're giving these organizations money. What we're doing is paying the cost of municipal services. And I just wish that that could be a little bit better, but we'll go through this, and maybe, working through the Mayor's initiative or working through the Arts and Culture Council, that we can -- huh -- Arts and Entertainment, we can begin to refine that. And those were two of the questions that I raised over at the Hyatt. And I wanted to just be consistent regarding those, Mr. Manager. Chairman Regalado: Yes, sir, Mr. Mayor. Mayor Diaz: I just want to -- on your -- on those two issues -- number one, on the last one, believe me, I've sat -- watched enough of your meetings to see how you've constantly been pulling your hair and trying to figure out how much have we spent on this already, and did we say yes to these people last year, and blah, blah, blah, blah, blah. There's no rhyme or reason to 192 September 26, 2002 a lot of this what I've seen in terms of this process. One of the things that I would hope to accomplish is that the Arts and Entertainment Council should begin to take this headache out of your hands. And there's a couple of people that we sent to other cities to look at the way other cities deal with this whole issue. And when it was explained to them that the City of Miami does this, they couldn't believe it. Because the way they have set up their structures is that the City adopts a certain number of events on an annual basis. They raise money from the corporate community, and, in fact, they don't lay out a penny, not a penny. And I think that we're going to be looking at this. We're going to continue to be working on this. And I think that, hopefully, over the next year, we're going to figure out a better way to do this so it just doesn't keep coming back to you. With regard to the first issue, I couldn't agree with you more. We are waiting on some numbers, as well, because it all ties into this whole process and the living wage that Commissioner Regalado has been talking about. But we cannot continue to play that game. Chairman Regalado: Mr. Mayor. Mayor Diaz: So, we're waiting on those numbers and we'll be happy to continue working with you at developing those numbers. Chairman Regalado: Mr. Mayor, on the events, the problem that we're having here is that -- Commissioner Teele is right when he says that there are areas and pockets in the City where those events cannot get enough funds. And these events are companions and are true to the different areas of the City. It's like the Jose Marti Parade. They cannot get a sponsor. Or it would be very difficult for the Little Haiti Carnival or whatever to get major sponsors because they are not accredited nationally like the Calle Ocho or whatever. So this coming year we're still going to have the same problem because they should -- yes, they should go before the Arts and Entertainment Council. They should because then this council will make very strong -- a very strong case to the City Commission, not to pay the whole thing, but maybe to give them more, you know. They are really enthusiastic about this issue. And I still say that the filming of movies in Miami -- and I mentioned that you have gone to Hollywood -- should be something that should be dealt by the Arts and Entertainment Council. Because now, today, we have -- today we had Southwest 8th Street closed from Versailles to 37th Avenue in the morning traffic. Someone in the Police Department gave the Fast and the Furious the permit to close Southwest 8th Street or was it DOT (Department of Transportation), whoever. Then we're going to have, on Friday, the Fast and the Furious closing 2nd Avenue, between 62nd and 69th. Now we all want big-time productions here in Miami. And as a matter of fact, we should encourage those productions to come here. But it has to go through a process. And we need to get more for Miami, not in terms of money, but in terms of certain things that I think that we can get. So we need to give this board a more serious role in defining all these activities and -- Vice Chairman Winton: Could we call the question on the budget, please? Commissioner Sanchez: What? Vice Chairman Winton: Call the question on the budget. Commissioner Sanchez: OK. You ready? 193 September 26, 2002 Chairman Regalado: You ready? Vice Chairman Winton: I'm ready. Commissioner Sanchez: Let's vote. Chairman Regalado: We need to read the ordinance. Joel Maxwell (Deputy City Attorney): Is there a motion and second, Mr. Chair? Chairman Regalado: We have the motion and a second. Roll call. An Ordinance Entitled -- AN ORDINANCE OF THE MIAMI CITY COMMISSION MAKING APPROPRIATIONS RELATING TO OPERATIONAL AND BUDGETARY REQUIREMENTS FOR FISCAL YEAR ENDING SEPTEMBER 30, 2003; CONTAINING A REPEALER PROVISION AND A SEVERABILITY CLAUSE. was passed on its first reading, by title, at the meeting of September 11, 2002, was taken up for its second and final reading, by title, and adoption. On motion of Vice Chairman Winton, seconded by Commissioner Sanchez, the ordinance was thereupon given its second and final reading by title, and was passed and adopted by the following vote: AYES: Chairman Tomas Regalado Vice Chairman Johnny L. Winton Commissioner Angel Gonzalez Commissioner Joe Sanchez Commissioner Arthur E. Teele, Jr. NAYS: None. ABSENT: None. SAID ORDINANCE WAS DESIGNATED ORDINANCE NO. 12279 The ordinance was read by title into the public record by the Deputy City Attorney. Ms. Thompson: The ordinance has been passed on second reading unanimously. Chairman Regalado: OK. Before we go on to the rest of the ordinance, Commissioner Sanchez has the floor for some resolutions. 194 September 26, 2002 Commissioner Sanchez: Thank you, Mr. Chairman. Pertaining to the Labor Management Council, I don't know if that was formed through a resolution or not. I'd like to -- motion to create the Labor Management Council, consisting of a Commissioner appointed by the Mayor. The Mayor's office will have representation, also Human Resource -- a representative from the Human Resource, a representative from the Labor Relations Board, the City Manager and members of the four unions to discuss retirement health benefits and also look into risk management, and find ways to produce savings to the City, and to come back with a report in 60 days. So move. Commissioner Gonzalez: Second. Chairman Regalado: We have a motion and a second. All in favor -- Commissioner Teele: Excuse me. Would you allow an amendment for 90 days or 75 days? October -- let us at least come back for the first meeting in December. Commissioner Sanchez: Well, I believe you're going to be the appointee by the Mayor so absolutely. Commissioner Teele: Seventy-five days. Commissioner Sanchez: Seventy-five days. I accept the 75 days. Chairman Regalado: OK. Commissioner Gonzalez: Second, as amended. Chairman Regalado: We have a motion and a second. All in favor, say "aye." Mr. Pidermann: Sir, can I -- The Commission (Collectively): Aye. Chairman Regalado: It passes. 195 September 26, 2002 The following resolution was introduced by Commissioner Sanchez, who moved for its adoption: RESOLUTION NO. 02-1069 A RESOLUTION OF THE MIAMI CITY COMMISSION ESTABLISHING A LABOR MANAGEMENT COUNCIL TO INVESTIGATE AND EXPLORE OPTIONS OF SAVING MONEY FOR THE CITY, AND TO REEVALUATE BOTH THE FINANCIAL FEASIBILITY AND THE CITY'S COMMITMENT FOR THE CONTINUED PROVISION OF RETIREMENT AND HEALTH BENEFITS TO ITS EMPLOYEES; DIRECTING THAT THE COUNCIL SHALL BE COMPRISED OF ONE COMMISSIONER APPOINTED BY THE MAYOR (COMMISSIONER TEELE), REPRESENTATIVES FROM THE DEPARTMENTS OF HUMAN RESOURCES AND LABOR RELATIONS, THE CITY MANAGER, AND ALL FOUR UNIONS; AND FURTHER DIRECTING THAT THE COUNCIL SHALL CONDUCT ITS INVESTIGATION AND EVALUATION AND REPORT BACK ITS RECOMMENDATIONS TO THE CITY COMMISSION IN SEVENTY-FIVE DAYS. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Commissioner Gonzalez, the resolution was passed and adopted by the following vote: AYES: Chairman Tomas Regalado Vice Chairman Johnny L. Winton Commissioner Angel Gonzalez Commissioner Joe Sanchez Commissioner Arthur E. Teele, Jr. NAYS: None. ABSENT: None. Mr. Pidermann: Can I just make a comment? Chairman Regalado: Go ahead. Mr. Pidermann: Ed Pidermann, President of the Miami Association of Firefighters. I just think that you've kind of tied yourself down. You created the council. You've created the process for the appointments to the council and everything. And now you've just pigeonholed yourself into a very narrow scope as to what their mission is. And I think you should -- Commissioner Sanchez: Well, the mission itself is basically retirement health benefits, look into Risk Management and find ways to cut -- produce savings. It could be on anything. 196 September 26, 2002 Mr. Pidermann: My understanding of the Labor Management Council was more expansive. It was Citywide. It was operations. It was efficiencies in all areas of the City. And it was, you know, to look at the needs of the City, redistribution of resources. Commissioner Sanchez: That's fine. Mr. Pidermann: I just felt that that was the original -- Commissioner Sanchez: All right. Mr. Pidermann: -- intent of the Labor Management Council. Commissioner Sanchez: And any other means to produce savings. How's that? Risk -- look -- risk -- retirement health benefits, risk management and any other means to create savings for the City. Mr. Pidermann: Just it should also look at the operations because not only should you be looking at savings opportunities -- Commissioner Sanchez: Efficiencies. Mr. Pidermann: -- but also there may be identification of needs. Your operations are probably not foolproof. You may be -- Commissioner Teele: I'll say this. If I'm appointed, our first thing, other than what has been assigned, will be to look at a mission to come back to the Commission on. Commissioner Sanchez: How's that? Commissioner Teele: I think that will be a better way -- Mr. Pidermann: I think that's better. Commissioner Teele: -- to do that. Because I will tell you. I'm very concerned about training. Mr. Pidermann: Right. Commissioner Teele: I'm very concerned about education and those other kinds of things to increase productivity -- Mr. Pidermann: Right. Commissioner Teele: -- as well, not just savings, but productivity. Mr. Pidermann: Right. 197 September 26, 2002 Commissioner Teele: But I think what Commissioner Sanchez is doing just gets us started. Mr. Pidermann: I agree. I think that it's great to get us started, but just don't narrow yourself to a very narrow scope. That's -- Commissioner Sanchez: I just couldn't have said it adequately like Commissioner Teele, who's an attorney, you know. He's got those thousand dollar words, you know. OK. So move, Mr. Chairman. Chairman Regalado: OK. Now, the motion. Commissioner Gonzalez: Second. Chairman Regalado: It's already -- we voted already. Commissioner Gonzalez: No, we didn't. Commissioner Sanchez: On the risk management? We did on the management council? Chairman Regalado: Yes, we did. Commissioner Sanchez: OK. Commissioner Teele: When? Chairman Regalado: We just did. Commissioner Gonzalez: No, we didn't. Chairman Regalado: A few minutes before Pidermann spoke. Commissioner Gonzalez: Oh, oh. Commissioner Teele: Then I want to take one exception from the Chairman, Mr. Mayor. I agree with everything Tomas just said, except the last thing. And I think we need to have this thing out in the public. And I would like, Mr. Mayor, the following. I think we need to determine whether or not this City is going to be a wide-open City for movie production, or whether we're going to be a restricted City, or a modified City for movie production, or whether we're basically going to say, go take a hike. And I'll tell you, we can't have it all ways. Because you're making decisions -- we're making decisions by not having a real structure and a process. With all due respect, I take strong exception from the Arts and Entertainment Council because that is going to be a bureaucracy. If there is one thing that everybody -- and I will tell you, the late Phil Hammersmith, who was very much involved in this years ago, if you talk to the people over there in the State Film Council, the one thing Hollywood wants is they want access to the governor; they want access to the mayor. And if we're going to have the Office of the Mayor, 198 September 26, 2002 with all due respect, I think that's one thing -- he can have anybody. He can have the committee. But the -- we need to delegate -- I think the decisions for film, in the Office of the Mayor, and we ought to have a public hearing about it. We ought to let the public be heard about it. I happened to have gone to Versailles today. And I will tell you. It was unbelievable the number of people that were being paid down there as walk-ups. The trucks and all of that. This is a -- Chairman Regalado: That is precisely my point. Commissioner Teele: But you know what, Tomas? We haven't let the public -- Chairman Regalado: That is precisely my point. Commissioner Teele: We've never had a public hearing on whether or not we want to develop -- Chairman Regalado: That is precisely my point. Commissioner Teele: -- a policy that encourages wide-open for the -- and puts the Office of the Mayor, and Manager, and the City behind inducing and providing for the kinds of enhancements and expedited, and inconvenience -- let's say it -- and inconvenience from time to time. We've got to manage those inconveniences, but inconveniences. Because we're losing this battle already before it gets started. CSI, Miami opened as the number one TV show since -- was it ER or what was it? They just had a special in 1984. The highest rated -- and you know, this could be another Miami Vice, but I'm telling you. If we start nickel -diming, sending people around here saying one day you can film, the next day saying you can't film. We need to basically let the public know that we either are for it, or we're against it. And it's going to be some inconvenience. So we need to say that upfront. Commissioner Sanchez: And some compromises. Commissioner Teele: And some compromises. But the -- this can't be a committee process. The Mayor has got to have the authority, I believe -- and he may not want it -- and I'll tell you. It's going to be more headaches than anybody's going to want, but somebody's got to have the authority to say do it or don't do it, and it's got to be a balancing act. But what we did, I think, with the filming over there on Venetian and all of that? Commissioner Sanchez: McArthur Causeway. Commissioner Teele: McArthur -- that was crazy. I mean, we sent all kind of crazy signals out. Mr. Gimenez: Commissioner. Commissioner Teele: We want it. We don't want it. You got the Police Chief making the decision -- making recommendations. You got the DOT making recommendations and decisions. Most of these -- a lot of these roads are state roads. We've got to centralize this stuff. 199 September 26, 2002 Mr. Gimenez: Commissioner, we've learned a lot from our previous mistakes and we're having meetings now with the industry. We're getting their plans well in advance so that when we think there's time for them to make a change, they can make a change, and also enough time for us to advise the public of when the inconvenience is going to start. So we've already made some of those changes. We've had some meetings with the industry, and I think the process is going to be a lot better in the future. Chairman Regalado: What I said just precisely -- Mr. Cruz: Mariano Cruz, 1227 -- Chairman Regalado: Wait, wait, wait. Let me just say this. One second. Vice Chairman Winton: Is this a public hearing again? Chairman Regalado: One second before Johnny gets impatient because it's not 4 a.m., but it will be. Commissioner Gonzalez: Yeah, the way we're going. Chairman Regalado: Let me tell you. Commissioner Teele: We're out of here. Commissioner Gonzalez: We'll be here tomorrow. Chairman Regalado: Let me tell you. That is precisely what I said what Commissioner Teele just explained. What I said is that we have the Police Department -- someone in the Police Department making a decision. And what I said is that this committee or any entity -- it doesn't matter -- should have the authority and the resources to say to the film industry, we want -- we will go out and seek extras, if you want to. We will try to work with the merchants in order to have a more orderly closure of the street. Would you let us invite some residents to watch how you film? These are the things that the police doesn't do or -- because they are in the business of an office work. I asked the Police Department and I asked the Manager, did you -- when you granted everything that you did to Bad Boys, you made a commitment -- did you have a commitment from them that they will do a premiere here in Miami, which they will invite the police officers that -- and their families -- that worked in that movie? No, we don't know. It's a good idea. That's the things I'm saying that it should be done through the Arts and Entertainment Council. Go ahead, Mariano. Mr. Cruz: Yeah. Mariano Cruz -- Vice Chairman Winton: Wait, wait, wait. Mr. Cruz: 1227 Northwest -- 200 September 26, 2002 Vice Chairman Winton: Is this a public -- wait, wait. Excuse me. Are we in a public hearing? Are we in a public hearing? Chairman Regalado: Yes. Vice Chairman Winton: On what? Chairman Regalado: On the budget. Vice Chairman Winton: I thought we just voted on the budget. Chairman Regalado: We still have the budget. Commissioner Gonzalez: No, no, no. Vice Chairman Winton: What part of the budget? We voted on the budget. I -- there was a roll all. Did we not vote on the budget? Chairman Regalado: We have an ordinance -- Vice Chairman Winton: So we voted on the budget. Chairman Regalado: We have an ordinance -- Vice Chairman Winton: We've already gone to a couple of other resolutions that Commissioner Sanchez -- Commissioner Sanchez: I still have two resolutions to go. Vice Chairman Winton: He has two others. I have a couple things. I don't think we're in a public hearing. Mr. Cruz: The union people spoke and the whole thing. I have the right to speak as a resident. Mariano Cruz, 1227 -- Vice Chairman Winton: There is no -- Mr. Chairman, is there a public hearing? Chairman Regalado: No, there is not a public hearing. Vice Chairman Winton: OK. So could we get through -- Mr. Cruz: Excuse me. Vice Chairman Winton: -- some of our agenda items, please? 201 September 26, 2002 Chairman Regalado: Well, Commissioner Sanchez has some items, and then I have some items where you -- Vice Chairman Winton: And I have some items. Commissioner Sanchez: Mr. Chairman, my resolution -- or my motion goes with the budget. And it's a motion designating five million dollars ($5,000,000) of fiscal year 2002 surplus as reserve funding for underwrite future pension costs of the City. Basically, what it does -- this money is there. It just needs to be allocated for future underwrite pension costs. So move. Vice Chairman Winton: Second. Chairman Regalado: OK. We have a motion. Any comments? Commissioner Teele: But let's hear from the Manager. Commissioner Sanchez: Mr. Manager. Mr. Gimenez: We have no problem with this. It really is a technical issue. It has no material affect on the budget. Commissioner Sanchez: In other words, for point of clarification, the money is there. Mr. Gimenez: It's already there. Commissioner Sanchez: It just has to be -- Mr. Gimenez: It's already there. We've already identified -- we have an expense stabilization fund that's meant to do that. So this is really has -- there's no problem with this. Commissioner Sanchez: OK. Chairman Regalado: OK. We have a motion and a second. All in favor, say "aye." The Commission (Collectively): Aye. Chairman Regalado: It passes. 202 September 26, 2002 The following resolution was introduced by Commissioner Sanchez, who moved for its adoption: RESOLUTION NO. 02-1070 A RESOLUTION OF THE MIAMI CITY COMMISSION DIRECTING THE CITY MANAGER TO DESIGNATE AND RESERVE $5,000,000 OF THE FISCAL YEAR 2002 SURPLUS AS RESERVE FUNDING TO UNDERWRITE PENSION COSTS OF THE CITY. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Vice Chairman Winton, the resolution was passed and adopted by the following vote: AYES: Chairman Tomas Regalado Vice Chairman Johnny L. Winton Commissioner Angel Gonzalez Commissioner Joe Sanchez Commissioner Arthur E. Teele, Jr. NAYS: None. ABSENT: None. Commissioner Sanchez: Mr. Chairman, I also have a resolution of the City of Miami Commission directing the City Manager cease providing any retirement benefits not authorized by ordinance, resolution, or other applicable law to executive employees of the City of Miami, unless the benefits are approved by the City Commission. This resolution will take effect January the 6th, 2003. Chairman Regalado: OK. We have a motion. Commissioner Gonzalez: Second. Chairman Regalado: And we have a second. Any comments? Mr. Manager, you wish to say anything? Mr. Gimenez: No. I have no problem. Chairman Regalado: OK. All in favor, say "aye." Commissioner Teele: Let's -- Commissioner Sanchez: Let's discuss it. 203 September 26, 2002 Chairman Regalado: Who wants to discuss? I asked. Commissioner Sanchez: I don't know. Commissioner Teele: This gives anyone who wants to -- this does affect anybody that's here -- Commissioner Gonzalez: No. Commissioner Teele: -- that may want to leave. Commissioner Sanchez: Exactly. Commissioner Teele: Is that the intent? Commissioner Sanchez: Yes, sir. That is the intent. Commissioner Teele: So, if there is a City employee who feels -- Commissioner Sanchez: That they may want to retire and they're moving on to greener pastures, they could go ahead. Commissioner Teele: So, if they don't get anything right now, it doesn't change it. It means that they can apply to the Manager, the current Manager, and that Manager will continue to have the discretion as to whether to provide it or not, up until January 6th Commissioner Sanchez: Exactly. And on that note, it is not a personal issue. I have the utmost respect for the City Manager. I just think that, for the future, I think it's going to bring some control. With the next City Manager that comes in, at least this Commission would have a say on any executive benefits that are given to any City employee. Mr. Gimenez: Mr. Chairman, I want to make one thing pretty clear, though. I want to clear the record on this, OK. This Manager did not increase any benefits. This Manager took away some benefits that already existed. So, I lowered the benefits, in terms of health insurance, for benefits -- for executives. They're still in effect. Those reduced benefits are still in effect today. Commissioner Sanchez: I thought it -- I thought I said this wasn't personal, Carlos. Mr. Gimenez: I just want to make sure that everybody understands because there may be a misconception that somehow this Manager gave some kind of benefit that wasn't already there in the past. I want to make sure everybody understands that this Manager reduced those benefits. That's all. Those -- the reduced benefits are still in effect today. Commissioner Sanchez: So you want to clarify the misunderstandings? Chairman Regalado: OK. 204 September 26, 2002 Mr. Gimenez: Any possible misunderstandings that -- Commissioner Teele: Would you consider one amendment, a friendly amendment? Because let me tell you what. This Commission, like all other Commissions, when the crowd gets there, has a history of turning south and running. So I just want to be real clear on one thing. I would prefer your resolution to say, "will be decided by the Commission," because I don't want to vote on it because there's going to be nothing good out of that, "with a Manager's written recommendation." In other words, it doesn't make sense for us not to have a recommendation before first -- Vice Chairman Winton: Agreed. Commissioner Teele: -- when we vote. Vice Chairman Winton: Yeah. Absolutely. Commissioner Teele: I mean, you know, who's going to do the staff work? Who's going to -- you know, I would -- Mr. Mayor, I would hope you would -- All that I'm saying is just to add in your resolution "will be voted upon by the Commission, with a written recommendation from the Manager." Commissioner Sanchez: Just to add "a written recommendation" -- Commissioner Teele: With -- Commissioner Sanchez: With -- Commissioner Teele: -- a written recommendation from the Manager. Commissioner Sanchez: As the maker of the motion, I have no objections to amending my motion to state that. Chairman Regalado: OK. We have a motion and -- Commissioner Gonzalez: Second, as amended. Chairman Regalado: -- and a second. All in favor, say "aye." The Commission (Collectively): Aye. Chairman Regalado: It passes. 205 September 26, 2002 The following resolution was introduced by Commissioner Sanchez, who moved for its adoption: RESOLUTION NO. 02-1071 A RESOLUTION OF THE MIAMI CITY COMMISSION DIRECTING THE CITY MANAGER, EFFECTIVE JANUARY 6, 2003, TO CEASE PROVIDING ANY RETIREMENT BENEFITS NOT AUTHORIZED BY ORDINANCE, RESOLUTION OR OTHER APPLICABLE LAW TO EXECUTIVE EMPLOYEES OF THE CITY OF MIAMI UNLESS THE BENEFITS ARE APPROVED BY THE CITY COMMISSION, AFTER A REVIEW OF THE CITY MANAGER'S WRITTEN RECOMMENDATION RELATING TO SAID BENEFITS. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Commissioner Gonzalez, the resolution was passed and adopted by the following vote: AYES: Chairman Tomas Regalado Vice Chairman Johnny L. Winton Commissioner Angel Gonzalez Commissioner Joe Sanchez Commissioner Arthur E. Teele, Jr. NAYS: None. ABSENT: None. Commissioner Sanchez: Carlos, always smile. Always smile. Mr. Gimenez: Yes, sir. Chairman Regalado: Vice Chairman Winton, you have some -- Vice Chairman Winton: I have two similar kind of motions. A motion designating a million dollars ($1,000,000) of the fiscal year 2002 surplus as strategic initiative reserves, and two million as management reserves to fund a citywide poverty initiative. And then I have a follow- up tied to that. So moved. Commissioner Teele: Second. Commissioner Sanchez: OK. Chairman Regalado: We have a motion and a second. Any questions? 206 September 26, 2002 Commissioner Sanchez: No discussion. Call the question. Chairman Regalado: All in favor, say "aye." The Commission (Collectively): Aye. The following resolution was introduced by Vice Chairman Winton, who moved for its adoption: RESOLUTION NO. 02-1072 A RESOLUTION OF THE MIAMI CITY COMMISSION DIRECTING THE CITY MANAGER TO DESIGNATE AND RESERVE $1,000,000 OF THE FISCAL YEAR 2002 SURPLUS AS STRATEGIC INITIATIVE RESERVES AND $2,000,000 AS MANAGEMENT RESERVES TO FUND A CITYWIDE POVERTY INITIATIVE. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Commissioner Teele, the resolution was passed and adopted by the following vote: AYES: Chairman Tomas Regalado Vice Chairman Johnny L. Winton Commissioner Angel Gonzalez Commissioner Joe Sanchez Commissioner Arthur E. Teele, Jr. NAYS: None. ABSENT: None. Vice Chairman Winton: And, as a follow-up to that, in essence a motion to direct the Manager to put on the October agenda an appropriation of two million dollars ($2,000,000) for the poverty initiative. So move. Commissioner Sanchez: So move. Second. Commissioner Teele: Well, an appropriation with an authorization. In other words, you got to have a program before you appropriate it. Vice Chairman Winton: That's correct. Chairman Regalado: OK. We have a motion and a second. All in favor, say "aye." The Commission (Collectively): Aye. 207 September 26, 2002 Chairman Regalado: It passes. The following motion was introduced by Vice Chairman Winton, who moved for its adoption: MOTION NO. 02-1073 A MOTION DIRECTING THE CITY MANAGER TO SCHEDULE ON OCTOBER AGENDA PROPOSED LEGISLATION FOR APPROPRIATION OF $2,000,000 FOR THE POVERTY INITIATIVE. Upon being seconded by Commissioner Sanchez, the motion was passed and adopted by the following vote: AYES: Chairman Tomas Regalado Vice Chairman Johnny L. Winton Commissioner Angel Gonzalez Commissioner Joe Sanchez Commissioner Arthur E. Teele, Jr. NAYS: None. ABSENT: None. Commissioner Sanchez: Mr. Chairman, if I could just take time to recognize one of our fellow colleagues, Commissioner Willy Gort. Couldn't see you back there because of the lights. Chairman Regalado: Hello, Willy. Commissioner Sanchez: Good to see you, friend. (APPLAUSE) Commissioner Teele: Mr. Chairman, I would like equal time. I would like the honor of recognizing one of our other former Commissioners, Commissioner Athalie Range. (APPLAUSE) Commissioner Sanchez: Any other ex -Commissioners out there? Because with the light it's hard to see out there, all these lights. 36. STATE WILL OF COMMISSION THAT NON -TEMPORARY CITY WORKERS BE PAID LIVING WAGE; MANAGER TO COME BACK WITH REPORT REGARDING FISCAL IMPACT OF SAID LIVING WAGE. Chairman Regalado: Johnny, would you chair for just a second? I have a motion. 208 September 26, 2002 was passed on its first reading, by title, at the meeting of September 11, 2002, was taken up for its second and final reading, by title, and adoption. On motion of Commissioner Teele, seconded by Commissioner Gonzalez, the ordinance was thereupon given its second and final reading by title, and was passed and adopted by the following vote: AYES: Chairman Tomas Regalado Vice Chairman Johnny L. Winton Commissioner Angel Gonzalez Commissioner Joe Sanchez Commissioner Arthur E. Teele, Jr. NAYS: None. ABSENT: None. SAID ORDINANCE WAS DESIGNATED ORDINANCE NO. 12280 The ordinance was read by title into the public record by the City Attorney. Chairman Regalado: OK. We're done with the budget. 38. DEFINE AND DESIGNATE TERRITORIAL LIMITS OF CITY'S DOWNTOWN DEVELOPMENT DISTRICT; FIX MILLAGE AND LEVYING TAXES IN SAID DOWNTOWN DEVELOPMENT DISTRICT FOR FISCAL YEAR BEGINNING OCTOBER 1, 2002 AND ENDING SEPTEMBER 30, 2003, AT FIVE -TENTHS MILLS ON DOLLAR OF NONEXEMPT ASSESSED VALUE OF ALL REAL AND PERSONAL PROPERTY IN DISTRICT. MAKE APPROPRIATIONS FROM DOWNTOWN DEVELOPMENT DISTRICT AD VALOREM TAX LEVY AND OTHER MISCELLANEOUS INCOME FOR CITY'S DOWNTOWN DEVELOPMENT AUTHORITY FOR FISCAL YEAR BEGINNING OCTOBER 1, 2002 AND ENDING SEPTEMBER 30, 2003. Carlos Gimenez (City Manager): Item 20 is DDA (Downtown Development Authority) if you want to go there. Commissioner Teele: DDA, we got Model City Trust. We got all those (INAUDIBLE) Chairman Regalado: OK, let's do that; my mistake. I was given this ordinance, but I tell you what we can do. We are going to do the budget, pass the PZ item that still we need to do. If we have any other items, we can do it of the meeting of October because there is a very light agenda. Mr. Gimenez: Right now we only have 11 items right now for that agenda, so if you want to do that that's fine. 227 September 26, 2002 Chairman Regalado: So we can defer some of this meeting so we may be able to get out of here so we have item 20, Johnny. Vice Chairman Winton: So move. Item 20, I move. Commissioner Gonzalez: Second. Alejandro Vilarello (City Attorney): It's the setting of the mileage rate of the DDA point 5 mills which is 11.16 percent. Commissioner Teele: Marcelo -- Chairman Regalado: OK, we have a motion and a second on the mileage of Downtown Development Authority. This is a public hearing. Anybody from the public? We close the public hearing. Read the ordinance. Roll call. An ordinance Entitled -- AN ORDINANCE OF THE MIAMI CITY COMMISSION, WITH ATTACHMENTS, RELATED TO TAXATION, DEFINING AND DESIGNATING THE TERRITORIAL LIMITS OF THE DOWNTOWN DEVELOPMENT DISTRICT OF THE CITY OF MIAMI, FLORIDA; FIXING THE MILLAGE AND LEVYING TAXES IN SAID DOWNTOWN DEVELOPMENT DISTRICT FOR FISCAL YEAR BEGINNING OCTOBER 1, 2002 AND ENDING SEPTEMBER 30, 2003, AT FIVE -TENTHS (.5) MILLS ON THE DOLLAR OF NONEXEMPT ASSESSED VALUE OF ALL REAL AND PERSONAL PROPERTY IN THE DISTRICT; PROVIDING THE MILLAGE AND THE LEVYING OF TAXES WITHIN THE TERRITORIAL LIMITS OF THE CITY OF MIAMI AS REFLECTED IN THE CITY'S MILLAGE LEVY ORDINANCE FOR THE AFORESAID FISCAL YEAR WHICH IS REQUIRED BY CITY CHARTER SECTION 27; PROVIDING THAT THE FIXING OF THE MILLAGE AND THE LEVYING OF TAXES HEREIN SHALL BE IN ADDITION TO SPECIAL ASSESSMENTS; PROVIDING THAT THIS ORDINANCE SHALL NOT BE DEEMED AS REPEALING OR AMENDING ANY OTHER ORDINANCE FIXING MILLAGE OR LEVYING TAXES, BUT SHALL BE DEEMED SUPPLEMENTAL AND IN ADDITION; CONTAINING A REPEALER PROVISION, A SEVERABILITY CLAUSE AND PROVIDING FOR AN IMMEDIATE EFFECTIVE DATE. 228 September 26, 2002 was passed on its first reading, by title, at the meeting of September 11, 2002, was taken up for its second and final reading, by title and adoption. On motion of Vice Chairman Winton, seconded by Commissioner Teele, the ordinance was thereupon given its second and final reading by title, and was passed and adopted by the following vote: AYES: Chairman Tomas Regalado Vice Chairman Johnny L. Winton Commissioner Joe Sanchez Commissioner Arthur E. Teele, Jr. NAYS: None. ABSENT: Commissioner Angel Gonzalez SAID ORDINANCE WAS DESIGNATED ORDINANCE NO. 12281. Chairman Regalado: 20B. Vice Chairman Winton: So moved. Commissioner Teele: Second. Chairman Regalado: We have a motion and a second. This is a public hearing. Anybody from the public on this second reading ordinance on Downtown Development District ad valorem tax levy? We close the public hearing. Read the ordinance. Call the roll. An Ordinance Entitled -- AN ORDINANCE OF THE MIAMI CITY COMMISSION MAKING APPROPRIATIONS FROM THE DOWNTOWN DEVELOPMENT DISTRICT AD VALOREM TAX LEVY AND OTHER MISCELLANEOUS INCOME FOR THE DOWNTOWN DEVELOPMENT AUTHORITY OF THE CITY OF MIAMI, FLORIDA, FOR FISCAL YEAR BEGINNING OCTOBER 1, 2002 AND ENDING SEPTEMBER 30, 2003: AUTHORIZING THE DOWNTOWN DEVELOPMENT AUTHORITY TO INVITE AND ADVERTISE REQUIRED BIDS; PROVIDING FOR BUDGETARY FLEXIBILITY; PROVIDING THAT THIS ORDINANCE BE DEEMED SUPPLEMENTAL AND IN ADDITION TO THE ORDINANCE MAKING APPROPRIATIONS FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2002 AND ENDING SEPTEMBER 30, 2003, FOR THE OPERATIONS FOR THE CITY OF MIAMI; CONTAINING A REPEALER PROVISION, SEVERABILITY CLAUSE AND PROVIDING FOR AN IMMEDIATE EFFECTIVE DATE. 229 September 26, 2002 was passed on its first reading, by title, at the meeting of September 11, 2002, was taken up for its second and final reading, by title and adoption. On motion of Vice Chairman Winton, seconded by Commissioner Teele, the ordinance was thereupon given its second and final reading by title, and was passed and adopted by the following vote: AYES: Chairman Tomas Regalado Vice Chairman Johnny L. Winton Commissioner Joe Sanchez Commissioner Arthur E. Teele, Jr. NAYS: None. ABSENT: Commissioner Angel Gonzalez SAID ORDINANCE WAS DESIGNATED ORDINANCE NO. 12282. 39. TRANSMIT FOR APPROVAL FISCAL YEAR 2002-2003 COMMUNITY REDEVELOPMENT AGENCY (CRA) OPERATING, TIF PROJECT AND PROGRAMS BUDGET. Chairman Regalado: 21 CRA (Community Redevelopment Agency) budget. Commissioner Teele: So move. Commissioner Sanchez: Second. Chairman Regalado: It's been move and second. This is a public hearing. Anybody who wishes to address the board? Being none, we close the public hearing. We have a motion and a second all in favor, say "aye." The Commission (Collectively): Aye. Chairman Regalado: It passes. 230 September 26, 2002 The following resolution was introduced by Commissioner Teele, who moved for its adoption: RESOLUTION NO. 02-1075 A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S), ACCEPTING AND APPROVING THE SOUTHEAST OVERTOWN/PARK WEST AND OMNI COMMUNITY REDEVELOPMENT AGENCYS' (CRA) ORGANIZATIONAL CHART, FISCAL YEAR 2002-2003 OPERATING AND TAX INCREMENT FUNDS PROJECTS BUDGETS, ATTACHED AND INCORPORATED. Upon being seconded by Commissioner Sanchez, the resolution was passed and adopted by the following vote: AYES: Chairman Tomas Regalado Vice Chairman Johnny L. Winton Commissioner Joe Sanchez Commissioner Arthur E. Teele, Jr. NAYS: None. ABSENT: Commissioner Angel Gonzalez 40. APPROVE PROPOSED PROJECT PLAN AND BUDGET OF MODEL CITY REVITALIZATION TRUST FOR FISCAL YEAR ENDING SEPTEMBER 30, 2003. Chairman Regalado: 22. Commissioner Teele: So move. Chairman Regalado: The Model City budget, it's been moved. Do we have a second? Vice Chairman Winton: Second. Chairman Regalado: Second. This is a public hearing. Anybody who wishes to address the board can do so at this time. No one, so we close the public hearing. All in favor, say "aye." The Commission (Collectively): Aye. 231 September 26, 2002 The following resolution was introduced by Commissioner Teele, who moved for its adoption: RESOLUTION NO. 02- 1076 A RESOLUTION OF THE MIAMI CITY COMMISSION APPROVING THE PROPOSED PROJECT PLAN AND BUDGET OF THE MODEL CITY REVITALIZATION TRUST FOR FISCAL YEAR ENDING SEPTEMBER 30, 2003. Upon being seconded by Vice chairman Winton, the resolution was passed and adopted by the following vote: AYES: Chairman Tomas Regalado Vice Chairman Johnny L. Winton Commissioner Joe Sanchez Commissioner Arthur E. Teele, Jr. NAYS: None. ABSENT: Commissioner Angel Gonzalez Chairman Regalado: We finished with the budget. Commissioner Teele: Mr. Chairman, before we finish with the budget, Mr. Manager, I would like to make two observations about the last two items. I think it is imperative that the City Manager provide us with written advise on both of those budgets and do a vetting of those budgets as well as it relates to -- by state law, the City, not the CRA (Community Redevelopment Agency), must approve the budget and the City must transmit this budget in accordance with state law. I want to get the budget office to accept the fact that these independent agencies, the DDA (Downtown Development Authority), MSEA (Miami Sports and Exhibition Authority) -- have we approved the MSEA budget, by the way? Alejandro Vilarello (City Attorney): It has not been approved in its first instance by the MSEA board. Commissioner Teele: But I just want to be clear and, Johnny, I think this is very important for you to hear, because you have a lot of the issues that you've raised about these budgets. These budgets are not "gotcha" budgets. These budgets are supposed to be properly staffed and worked. The City has the obligation under state law to review the budgets, to comment on the budgets, to recommend changes to those budgets and to transmit those budgets. There is no memorandum in here. There is no resolution authorizing the City Commission, I mean the Manager, to transmit the budget now to the county, in the case of the CRA as it were required by state law. There are certain forms that are supposed to be filled out with the state finance officer regarding these budgets, and I just would hope that we could put in conjunction with the Attorney a team as it relates to all of these budgets. The MSEA budget is supposed to be approved before October 1st. We're not being advised of that, and I'm not criticizing because I 232 September 26, 2002 know these quasi independent agencies are quasi independent, but they are not independent as it relates to the budget of the City of Miami, and Mr. Manager, I don't think that you institutionally should give up any of your discretion and authority and obligations in making written comments, making written recommendations, working with these agencies, in doing it and technically we've got a situation with MSEA where we don't have a budget by October 1st. It's not the end of the world, but it's pursuant to state law. Carlos A. Gimenez (City Manager): Yes, sir. We will follow your suggestion, sir, and I apologize for not having those recommendations on here, but we did work with the two agencies in question; but you're absolutely right. We should have the recommendation in writing to you as to whether we agree with the two agencies and their budget. Commissioner Teele: Mr. Chairman, having said that, Mr. Manager, I want to compliment you and your budget team and finance team, having said all of the other stuff on this process. This is historic. The Mayor said it. It's not the way it's been in the past. Anytime you change things, there's a tendency for tempers, feelings, egos. Mr. Manager, you have been a true professional in every sense of the word. I know this has not been painless in some ways but I want to publicly acknowledge and respect you for being a professional in the British sense you kept a stiff upper lip and -- Mr. Gimenez: I'm always smiling, sir. Commissioner Teele: And as Commissioner Sanchez said, you smile through it, and I would hope that you would send the signal that this is going to be a new day. This is going to be a new process, but it's not designed in my mind to undermine or to take any authority or discretion or obligation away from the City Manager, who under our charter is the only person that can make these recommendations. Mr. Gimenez : Yes, sir. Thank you very much for your kind words. I also have to commend Marcello for doing a great job. He was thrown in, in a difficult situation, and he's young. I think he's learned a lot through this process, and I certainly want to acknowledge the fine job that you did and thank you personally for the help that you gave me. Commissioner Teele: Mr. Chairman, I move that the Commission rise and acknowledge Marcello the Budget Director and the entire budget team and the Manager for their efforts. (APPLAUSE) 41. APPOINT DR. MIREILLE TRIBIE AS MEMBER OF COMMUNITY RELATIONS BOARD. Chairman Regalado: OK, we have before we go into PZ items, we have a motion that we need to do. The Mayor the Mayor is requesting an appointment for the Community Relations Board, and we have a pocket item for parks department, so we need to -- Joe, can you make a motion? 233 September 26, 2002