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HomeMy WebLinkAboutCC 2001-09-13 Minutes67, PUBLIC HEARING TO DISCUSS THE FISCAL YEAR '200,1-'2002',', TENTATIVE BUDGET. Vice Chairman Gort: OK. Ready for the budget, first hearing. Linda Haskins (Director, Management & Budget): Linda Haskins, Director of Managenrc►rt and Budget. This section goes through the proposed budget for 2002, and we also will address the: spending ordinance for 2002, the first reading and the first reading on the proposed millage rates For next year. The first thing 1 wanted to do is go through the proposed budget for the 2001/2002 fiscal year. And I wanted to go back and talk about the process that we went through this year on the 2002 budget. 'there was a retreat held with elected officials in January where there were goals and priorities that were established by you all. And we asked then the departments to prepare budgets that would fulfill those goals and priorities. And we asked them to budget based on not what they had been budgeted for in the past, but what they had actually spent in the past. So the budget for 2002 was initially based on goals and priorities that were set by elected officials and based on actual spending patterns in the departments. After going through the requested budgets, discussions on the requested budgets, looking at the goals and priorities of the Commission and the goals and objectives of the departments, we had come to a pretty well Finalized budget proposal in June, and it was using preliminary tax assessed values that we'd received from the County in June. And we were doing that in preparation for the preliminary trim hearings that are held in July. And then in July, we were notified by the Third District Court of Appeals that the parking surcharge was ruled unconstitutional. As a result of that ruling, we needed to rework the budget, and we did a number of things. We had thirteen million dollars (513,000,000) of revenue come out of the proposed budget that we had worked, worked up. We implemented about seven million dollars ($7,000,000), approximately three percent expense reductions. And we proposed that the fire assessment be increased to yield another two point one million to contribute to making up for the seven million-- the thirteen million dollars (S 13,000,000). 'File balance was made up for by a new preliminary tax assessment received by the County, which showed our tax values going up much further than the numbers that they had given LIS in June. When we looked at the fire fee increase, we thought that having citizens contribute two point one million toward the thirteen million dollars ($13,000,000) in loss in revenue was a fair request, because we had put in sone significant expense cuts in the budget. And over the years, the citizens have enjoyed a significant tax decrease as a resull of the surcharge going in. We had reduced tax -- the millage rate from nine and a half mills to 8.995 mills when the surcharge was enacted. And that seven million dollars ($7,000,000) in annual tax benefits doesn't take into consideration the fact that we did not put into place other fee increases that had been previously planned before the surcharge was enacted. Looking again at who bears the brunt of the parking surcharge -- 1 mean of the fire fee, the lire assess►nCnt. Forty-three percent of the two point one million dollars ($2.2 million) would be borne by businesses in the City. 33 percent would be bone by single-family homes, and 24 percent multi -family residents. That was the proposal that was prepared for the .lLily trim hearing. And in the July trim hearing on July 27"', the Commission approved a preliminary operating millage of 8.995 mills, which was unchanged from the previous year's millage, debt service millage of 1.218 mills and a residential fire assessment of seventy dollars ($70), which was a nine dollar ($9) increase for residents, nine dollars (S9) per year increase f'or residents. In that meeting, the Commissioners had expressed some concerns about doing across the board cuts. 'The expense cuts that we put 237 September 13, 2001 into place, the seven million, were basically across the board cuts. So we promised that we would work through the month of August, and take a more strategic approach to the cuts, which is what we did. And we have reflected the strategic cuts in the budget you have before you. Basically, what we did, there were two significant sources of additional expenditure cuts for the City. One was eliminating for now the plans for the summer internship program, and the second was going back to the F1P0 (Fire and Police) and GESE (General Employees and Sanitation Employees) pension plans and asking for some reductions in administrative expenses. Now, the lion's share of the pension plan cuts came from some overpayments to the FIPO plan over the years we're asking to have repaid. ']'he proposed budget includes reserves. As we continue this discussion, there are a number of contingencies that we're facing, challenges that we're facing in the City, and we have the financial integrity ordinance that requires a certain level of reserves. So the reserves that we've established in this budget, that were proposing in this budget are two point eight million dollar ($2.8 million) working capital reserve. That is in accordance with the Financial Integrity Ordinance; one point one million, risk management reserve, also required under the Financial Integrity Ordinance; a million dollar ($1,000,000) contingency reserve, Financial Integrity Ordinance; and seven and a half million dollars of undesignated reserves. Talk about why we need these reserves. We do have challenges that are facing the City, and those challenges can be broken out into three categories. We have a significant level of exempt properties in the City of Miami. We have contingencies that we're facing, and we also need to plan for some prudent capital investment in the City that we have not done in the past. There's been some deferred maintenance in the past on sonic of our properties. When we look at the cost of exemptions for the City of Miami, 30 percent of the value of the City of Miami properties are tax-exempt. That means that Nye lose potential tax revenues for general operating purposes of about thirty-eight million dollars ($38,000,000) a year. That excludes personal -- homestead exemption and senior citizen exemption. The thirty-eight million dollars ($38,000,000) are exempt properties that are government, churches. We also lose about five million dollars ($5,000,000) a year in debt service taxes that we could get from those exempt properties. And we do not collect three point seven million dollars ($3.7 million) in fire assessment revenues from exempt properties. So when we look at this in total, the cost of exempt properties to the City is somewhere in the neighborhood of forty-six million dollars ($46,000,000) or so. Commissioner Winton: Linda, could I get that schedule that you just read? Because I want to distribute that pretty widely -- Ms. Haskins: Sure. Commissioner Winton: -- to elected officials in Washington and Tallahassee, because it really is a big part of the argument. You just thunk about that. Thirty-eight million just for ad valorem taxes alone, we wouldn't have to have a fire fee, a parking surcharge, we could be reducing our taxes. I nnean, this City would be in incredible shape if we didn't have 30 percent of our tax base tax-exempt. So I want to use that in a number of ways. Ms. Haskins: Sure. We can give you that schedule. if -- Connmissioner Teele: Commissioner, the real number is more like 43, because the five million is a real number. In other words, if you had to distribute the debt service over the tax base -- 238 September 13, 2001 Commissioner Winton: That's correct. Commissioner Tcelc: 'Chat's a real number. Commissioner Winton: 'That's a real number. Ms. Haskins: Mm-hmm, it is. Commissioner Tecle: And it probably should be stated in a way that the combined number is there at some point. Commissioner Winton: Yes. Ms. Haskins: We will do that for you. Commissioner Teele: For the purpose of going forward, yeah. Ms. Haskins: When we look at the City of Miami versus other cities and the challenge of this is other cities have other sources of revenues, or they have better relationships with their Counties. In Tallahassee, 'Tallahassee has utilities. They have the highest electric rates in the state. That's how they pay for their exempt properties. They have the highest electricity rates in the state. So at least for all those buildings, they're collecting something on the electricity. And the profits from that enterprise fund frond a lot of the operations in the general fund in the City of Tallahassee. In Tampa, 'Pampa gets payments in lieu of taxes and other suppoirt from Hillsborough County of about fifteen million dollars ($15,000,000) a year. What docs the City of Miami get? Commissioner Sanchez: Zilch. Ms. Haskins: 'Zero. Commissioner Winton: Don't we get a bill, usually? Don't they charge us a little extra? Ms. Haskins: Zero, Commissioner Sanchez: Madam Budget. Director, comparing Tampa to Miami, which is basically just around the same size, and we've compared them on other things, other issues in the City, what percentage of properties in Tampa are tax-exempt? Ms. Haskins: Tampa is about 20 to 22 percent, I think, tax-exempt. properties. Carlos Gimcnez (City Manager): It's a good -- more than ten percent lower in tax-exempt properties, I think. Which equals about fourteen million dollars ($14,000,000). Ms. Haskins: That's right. And when we look at the -- 239 September 13, 2001 Mr. Gimcnez: Hold on. But also, not only do they have fewer tax-exempt properties, it's 20 versus -- we're over 30 percent -- but they also get a PILOT (payment in lice of taxes) payment from their County of fifteen million dollars ($15,000,000). So the net effect is something like thirty million dollars ($30,000,000). And they're about the same, assessed valuation in Tampa and Miami, Commissioner Sanchez: So all we have to account for is tees and taxes. Ms. Haskins: That's right. That's exactly what happens. In the next slide, we have to rely disproportionately on taxes and fees. Disproportionately to any other City that you sec that is as similar -- you know, the 20 to 30 percent tax-exempt situation. And, of course, because we are excluding the parking surcharge from our revenue forecast situation, the situation has exacerbated. But the other point that I wanted to make with this is that it's not just an impact on our revenues that -- the tax-exempt properties. It's the sort of exempt properties we have in the City. What's happening to us? We have -- tlic .[)ade County .lail is in the City. When the Dade - When people are released from the Dade County Jail, where are they released? 'They're released into the City of Miami. What does that do to us? It increases our erinle rate. It increases our police costs. So we're bearing additional costs for having the jails located in the City of Miami. Most of the County's homeless shelters arc located in the City of Miami. What does that do to the City of Miami in terms of costs for police, for fire -rescue, for- other social services? So you have a double whammy. You have the hit on one side on the revenues, and then you have the hit on the other side for the cost of these exempt properties. And that doesn't include, you know, the use of our infrastructure and that sort of thing. The next challenge that we face are contingencies. And we look at our contingencies in three categories: Legal contingencies, funding contingencies, and union contract contingencies. On our legal contingencies, we have the VIP (Vehicle Impoundment. Program) program litigation.. VIP is a million dollar ($1,000,000) a year revenue source or so, a million and a halfdollar a year revenue source, However, there is litigation relating to that. We've collected about eight and a half million dollars since the inception of that program, and there is active litigation. We have the potential of civil lawsuits related to the recent police indictments. And it's not just the civil penalties or the -- that we're facing, but it's also legal fees in connection with defending those cases. And, of course, we have the possible refunding of the parking surcharge. We're not really sure how these court rulings are going to go, And then in funding contingencies, we have the possible need to fund the Civilian Investigative Panel; possible increased finding of severance pay resulting from accelerated retirements. We have all (unintelligible) contracts colder negotiation. We have provided some amounts for increased retirements after contracts are negotiated, but we're not sure how -- if we've funded enough. We know there's about a fifty- eight million dollar ($58,000,000) un -funded accrued compensated absence liability. We have a possible reduction in contributions from DOSP ((Department of Off -Street Parking) that was discussed this morning. On funding contingencies, we have not factored into the budget, ever, normal maintenance expenses on our buildings. We do not have the normal maintenance expenses we need i'or the Orange Bowl, for the Convention Center. As you know, we are frequently coning to the Commission With emergency spending ordinances to fix the Orange Bowl, fix the Convention Center, fix whatever we have in our City -owned properties. On the CTP (Capital Improvement Projects) side, especially parks and public facilities, and in the long - 240 September 13, 2001 term strategic plan, we haven't really fully factored in our needs there. We don't have general fiend money for parks. Give you an example. The general fund this year, in the budget that was presented to you -- although there's going to be a floor amendment, but it's basically tile same numbers -- nine point six million dollars (S9.6 million) in CIP contributions from the general fund. If we were to fund all the police car replacements that are required under the contract, under a seven-year replacement, that would need -- we would need ten million dollars ($10,000,000). That would mean nothing out of the nine point six million would be left over for anything else out of general fund funding. Now, the unions have -- the union has agreed to cap the required replacement of the cars to 150 cars a year. So it only took five and a half million dollars. But we still only had four point six million dollars ($4.6 million) left over. And we have some very basic needs. We have a Citywide radio system we've got to fund. There are some very basic needs in the City that are immediate needs. But again, we're not looking at necessarily the long-term funding; needs. And then we're facing unknown impacts of baseball stadium and possible conventions to the City. Union contingencies -- and we've talked about this a lot. Don't want to belabor the point, but we know that it's facing us. We have all four contracts under ncgotiation. And there are contingencies that we face next year, funding contingencies we face from possibly higher cost of living adjustments, possible retroactive adjustments -- the solid waste contract expired a year ago for the solid waste workers -- possible benefit enhancements, possibly other sort of longevity increases, possible need to fund more police vehicles if the union doesn't agree to continue to cap that replacement. So now I've talked about a lot of bad news. Right'? But there is some good news out there, I think. We've got some other things that we can talk about. And that is we have a significant opportunity to plan, and that is (lie possible recovery of the parking surcharge. We are pursuing our civil -- pursing through the courts, going to the Supreme Court on appealing the Third District Court of Appeal ruling. We're also working through legislative action to try to reinstate that surcharge. And we talked about in preparation for this meeting what we would do if the surcharge were recovered. Now. the enabling legislation for the surcharge requires us to use the surcharge proceeds to reduces taxes and Ices, increase reserves and reduce debt. If we were able to retroactively reinstate the surcharge and we would be able to recognize an income, the thirteen million that vvc feel we will collect in fiscal 2001, we first talked about what we would do with that one time -- we would consider that a one time benefit -- OK'? -- getting that back. We believe That all required reserve additions and tax and fee relief will have been met as of 9/30/2001. However, there may be a need to use up to 15 percent of that to add to reserves. So we're pretty certain that at least 85 percent or eleven million should be surplus. So we think that we -- comfortable if eleven million would be surplus. But we would obtain legal opinions belbre we came with any recommendation on what surplus and would we be handling this properly. The next thing we need you to look at -- and if we got this thirteen million dollars ($13,000,000) for 2001 back, what does the Financial integrity Ordinance provide for in the way of treatment of non-recutring revenues and budget surpluses? The :Financial Integrity Ordinance states that non- recurring revenues and budget surpluses shall replenish reserve levels, support outstanding liabilities and pay for non-recurring expenditures in the order set forth for (inaudible). So the Financial Integrity Ordinance has really limited our ability to utilize surpluses. if we got that thirteen million back in, and we could use at least eleven million -- the legal Department said it was OK -- we would have to amend the Financial Integrity Ordinance for this purpose. And it' we could amend the Financial Integrity Ordinance, we would recommend using the one time general fund surplus to fund parks, public facilities, and the IT (Information Technology) 241 September 13, 2001 strategic plan. And we haven't talked yet for -- fiscal 2001. This is -- it's just the 2001 numbers. In fiscal 2001, the citizens got their tax relief. Now we go next to what would happen for 2002. We've already prepared a budget. We prepared a budget not assuming that we were going to get this surcharge. What we would like to do is -- Again, we think that we're going to have significant surplus, but we have to get a legal opinion on it. We have previously enacted and preserved tax cuts. They're still seven million dollars ($7,000,000) a year. We have proposed budget reserves of twelve million dollars ($12,000,000) in this budget. We would like to be able, when we talk with the attorneys, we'd like to say some of that is fulfilling our needs under the surcharge enabling legislation. And what we'd like to do with those -- I'm not speaking very well today. What we'd like to do with the recovered amounts for 2002. We would recommend that the fire assessment increase of nine dollars (S9) be refunded to our taxpayers. We would like to recommend that we provide a millage rate cut of .2 mills, which would be eighteen dollars and forty cents ($13.40) per household. We would like to restore our service levels to those that we had talked about in our budget workshop in June, before we lost the surcharge. And any excess, if there is any, we would use to fund contingencies, enhance services, or fund CIP projects, as appropriate at the time. And again, this would mean looking at the Financial Integrity Ordinance to see do we need to have an exception to the ordinance for this. We would huve to gel a legal opinion on how we would calculate the tax benefits -- tax and fee benefits to our constituents. And this gets tricky. Those calculations get a little tricky. I mentioned before that the budget was based on the long-terni goals and priorities that were established by you all in our January workshop. And just to reiterate those goals, you asked us to look toward improving and revitalizing our City neighborhoods and their livability; improving and revitalizing our commerce centers, which are the support for great, livable residential areas; improve parks, public works, public safety and inspection services through training and technology; continue to find ways to minimize fees and taxes, while charging fees that reflect costs and continue the financial improvement of the City. So now, we do have some good news to talk to you about. In this budget, notwithstanding the fact that we have excluded the parking surcharge, we have included elements that work toward meeting your long-term goals. On revitalization of City neighborhoods and commerce centers, we are currently in the process of getting consultants in to complete our lung-terrtl CIP plan, and that will be completed in fiscal 2002. The Homeownership Zonc .Project in Model City is underway. There has been enhanced funding in this budget for Planning, Zoning and Hearing Boards to enable us to address major redevelopment plans, such as Flagler Street, Grand Avenue, the FEC (Florida East Coast) Corridor, et cetera. For improved service delivery, Public Works projects are being completed at a faster rate than at any other time in the recent past. I was looking at the numbers through April, I believe, and through April, we had spent more on CIP projects through April than we had in any fiscal year in at least the last five years. So that's -- through April, we had spent more than in any other fiscal year in the last five years. Solid Waste is implementing its "Onc-Armed Bandit" system, which will result in cost efficiencies, and it's going to reduce damage to our Weds, sidewalks and swales. So 1 think it's twofold. It certainly has improved service delivery, and it's certainly going to make our streets a little bit more livable. And the budget provides for funding of an improved Citywide radio system. There is also additional funding for police training, to ensure that sworn officers are sensitive to aur diverse population. The budget for the Office of :Professional Compliance has increased by about two hundred and fifty thousand dollars ($250,000) over the amended budget for 2001. 'There is increased funding for Citywide training. We know that we need additional training for staff for customer relations sort of 242 September 13, 2001 training, technological sort of training, that sort of thing. The Virginia Key Trust is funded for its first full fiscal year. Park staffing has been supplemented through the realignment of positions and the use of more grant -funded positions. What we did there is, we looked at chronic vacancies in the City, positions that have been funded and vacant for years, and years and years. We said, this is really silly. We're reserving this money for these positions. We know that we have needs in the parks area, and Public Works benefited, as well as the GSA (General Services Administration). We said, let's use these dollars for something that really is giving our citizens something. So we had done that in (lie midyear, and we continue that -- or we've done that in the re-org ordinance, and we continue it in this ordinance. NET (Neighborhood Enhancement Team) centers have been provided with new equipment, 1 think for the first time. Dennis, are you here? Dennis Wheeler? They've got their regularized laptop computers. They don't have to go back into the NET center, to the u1RC (Miami Riverside Center) to communicate. They have new phones. They have digital cameras. And we've really done a good job of trying to get them funded this year, I think. I'm minimizing taxes and fees while ensuring fees reflect cost of services. Our millage rate is still the lowest combined millage rate in over 50 years. We are reducing the debt service millage in this proposal to 1.218 mills froth 1.28 mills in 2001. The annual residential fire assessment has been increased, but was only increased nine dollars ($9) per household, in response to the surcharge ruling. And that was only -- that will only yield its two point one million dollars ($2.1 million) out of the thirteen million dollars ($13,000,000) we've taken out of our projections. We cut expenses by seven million in response to the surcharge ruling. And our solid waste fee is increasing, in accordance with the five-year plan and in accordance with the Financial Integrity Ordinance, so that our fees for solid waste service reflect the cost of services. And we've talked again on that area, that our citizens are getting a pretty good deal, even at the three hundred and forty-five dollars ($345) with the sort of service that we're delivering, and you look at comparatives throughout the County. We continue to improve the financial condition of the City. The proposed budget reflects increases in reserves, two point eight million, working capital; one point one million, risk management; a million, contingency and seven and a half million in undesignated reserves. So in summary, the good news is that we've formulated a budget, which reflects the long -terns goals of our elected officials, notwithstanding the exclusion of the parking; surcharge from revenue projections. Getting a little bit more into (lie details of the revenue and expense forecast, the operating nnillagc is at 8.995 mills, which is consistent with the five-year plan. Debt set -vice millage is proposed at 1.218 mills, which is lower than the five-year plan. And we are pending legal advice on whether we can bring that lower for the next hearing. Solid waste fee of three hundred and forty-five dollars (41345) is consistent with the five-year plan, and it's bringing our solid waste fee closer to the cost of the actual delivery of the set -vices. The residential fire assessment of seventy dollars ($70) reflects the exclusion of the parking surcharge. On the expenditures, salaries anti benefits, because we are a service delivery business for the most part, represent 74 percent of our general fund expenditures. Cost of living and longevity adjustments are at two percent and five percent, respectively, except fbr sworn fire and police. There are no adjustments for fire and police for another cost of living adjustment in October of this year. Planning and Zoning and hearing; Boards were merged to provide greater efficiencies and utilization of staff. Human Resources and the Equal Employment Opportunity Office were merged to provide efficiencies in utilization of staff. There is a decrease of 38 in total permanent positions fi-om the 2000 adopted budget. Additionally, there are 35 positions that are frozen and not funded as part of the expense cuts enacted as a result of the loss of the surcharge. Within the 243 September 13, 2001 budget., we had to cover some significant increases and expense. Health and life insurance increased by four point one million dollars ($4.1 million). That is something that we need to address as part of union negotiations. What can we do to save some money on the side? You know, can we -- looking at prescriptions, looking -- prescription costs, looking at the sorts of services we cover, those arc something that -- that's something that we need to face. But if we keep the benefits the same, it's going to cost four point one million more. Liability insurance increased one point one million. We increased severance payments net of vacancies by four point four million dollars ($4.4 million) in anticipation of potential increased retirements as a result of the conclusion of negotiations of the union contracts. in the end, our proposal maintains a balanced budget for the next three years, and in the fourth and fifth years, the efficiencies that we need to achieve, either revenue enhancements or cost efficiency, we need to achieve are very similar to the five-year plan we looked at. last year. We look at just the appropriations summary here. We'll go to the five-year in a minute. The general fund budget is proposed at three hundred and twenty-three million dollars ($323,000,000). That compares with the amended budget of three hundred and forty-one million. It's an eighteen point four million dollar ($18.4 million) decrease, or a five point four percent change. Debt service fund, forty million proposed. Forty-one point four amended in 2001. A difference of one point four million, change of three point four percent. This may come down even more. Special revenue funds are not -- we have this here under special revenue funds. They're not necessarily comparable year-to-year, because you have different grants, you have different rollovers of fund balances and that sort of thing. But as it stands right now for this ordinance, the proposed is a hundred and seventy-five point two million. Amended, two forty. A change of sixty-four point eight million or a drop of 27 percent. if we look at the impact on the average citizen of this proposed budget, versus the five- year plan, this is what happens. We assumed in the five-year plan that the millage rate would be at 8.995 mills. It's still at 8.995 mills. So there's no difference in the taxes in general operating taxes for the average citizen. Debt service is down from what was in the five-year plan, so the average citizen would save five dollars and seventy cents ($5.70). The fire fee is up nine dollars ($9) versus (lie five-year plan. It's a cost ornine dollars (S9). And the solid waste fee is exactly where we were in the five-year plan. So the net cost, the net difference to a citizen is three dollars and thirty cents ($3.30) versus the five-year plan. That is not the change that they will see on their tax bill. This is the change from the five-year plan. Priscilla, could you put up the five-year numbers for a second? What this shows you, over the five-year horizon, and taking these numbers out -- .And we have not done a -- we've done assumptions on the five yeas out. We've not done au in-depth five-year, which we will be doing over the next few months. But where it stands right now, using assumptions on expense and revenue growth, we're adding twelve million dollars ($12,000,000) to reserves in 2002. The line -- this line. here shows you the undesignated surplus. So in 2002, there's an undesignated surplus of seven point four. The rest of these items here arc required under the Financial Integrity Ordinance. In 2003, a four point seven million -dollar surplus over and above requirements. In 2004, two hundred and thirty-two thousand. And then it's in these out years that we go into deficit. OK? Even though the total deficit is not -- is not too insurmountable. And those numbers are certainly -- certainly can be covered if we recover the parking surcharge, because of the additive effect. These numbers are not dissimilar to what we had in last year's five-year plan. In conclusion, the proposed budget is based on goals set by the elected officials. We feel that we met the challenge of the parking surcharge ruling by minimizing fee impacts on our citizens. The proposed budget maintains and improves service levels while managing cost. The combined millage rate is (Ile lowest in over 50 244 September 13, 2001 years. With your handouts, you were given a set of pages that look like this, look like budget book pages. There will be a floor amendment on the ordinance that you were given in your package. And these -- really, page S4 is affected, but 1 wanted to give you the whole section. There were some changes in the staffing, the frozen positions for police. That's what the floor amendment is about. That's why you were given this. And then you were given some pages for floor amendments to the ordinance. Commissioner Sanchez: Well, let's not everybody reach for the mike and .fight for the mike Vice Chairman Gort: OK, questions. Commissioner Sanchez: I guess I'll go first, Mr. Chairman. Vice Chairman Gori; Go right. ahead. Conurnissioner Sanchez: Madam Budget Director, looking at the proposed budget for FY 2002, there's a couple of things that are alarming to mc. I do know that one of the major responsibilities that we have as the legislative body here is to present a budget that is acceptable within its means to its residents of the City of Miami. And that is, I feel, one of the biggest responsibilities, at least we have up here. I look at the budget, and there are some good things and some bad things, but I'll start off with the bad thing. I still am very alarmed -- and I know that we've had several discussions with the City Manager and yourself, and City staff on the percentage, which is 74, personnel. And I understand that's based on a two percent increase, and the live anniversary, and basically, the salaries, the fi-inge benefits, the health insurance, and workmen's compensation and pension. There are some issues there that we cannot even touch, and I understand why. But there are some other issues, such as the workmen's compensation, which I have been, for the last almost two years, addressing as my number one concern, to see how we could reduce and minimize our expenses when it conies to workmen's comp. And we have made significant improvements, but it's cost its, because we've been able to close cases. We have been able -- we have to spend money. Now, as a -- Ms. Haskins: Excuse rne, Commissioner. Part of the funding -- Commissioner Sanchez: As a true student of economics, I am very concerned that the general fund forecast for the coming years shows a revenue increase of an average of two point three percent, with an expenditure increase at an average of three point seven. To simplify that, it's alarming for anyone to make two dollars and thirty cents (52.30) and spend three dollars and seventy cents ($3.70). It's common sense. It only leads you into deep trouble. So that is one of the concerns that 1 have that 1 want you to later on -- maybe we should go -- because i have a lot.. What do we have -- a strategic investment that the City's doing? Ms. Haskins: The revenue, the revenue assumptions in the live -year plan are very conservative, and I'll give you an example of that. We had forecast for the increase in assessed values from 2001 to 2002 to be -- in the five-year plan, it's estimated to be four point eight percent. It came in at nine point six percent. It was a big difference. What we plan to do over the next several months is put together a method to do a more realistic five-year plan, where it's just really a 245 September 13, 2001 • 0 bottoms up and then a tops down approach to it, and that we put more realistic assumptions and sonic sensitivities into our five-year planning. Right now, what you see is something; that's conservative on the expense side. And then we say, well, what ifour expenses go up, continue to go tip at the worst rates we've seen? And then we look at the revenue side, and really keep a lot of revenues flat. On tax revenues, we go from, you know, four percent projection down to a three percent projection in some years, from year to year. We haven't seen that low of assessed value increases in quite a while,. You go back for 20 years or so, and it's been much higher than that. So we know that we've got sonic conservative assumptions. When I say that even if we don't get the parking surcharge, I think that we're going to be able to make it when we do it, I think we can. But you're right. Part of that key is also going to be controlling the costs in this. Mr. Gimenez: Commissioner, if I may. If you go back, you know, five years from the original five-year plan, years four and five were always in the negative. But we're in year five of that original five-ycar plan, and we're not in the negative. And this may sound strange, but it's probably not a bad thing that we show -- that we do it conservatively. That way, we're always cognizant of the fact that we have to, you know, make sure that we withhold any steady increases, and try to get as many revenue so that we don't -- we don't get there. But if you took a look at that original five-year plan, which we're already iu the fifth year of, we would -- if we would have followed that plan, we would be in deficit. And you can see the numbers are different. ferent. Ms. Haskins: When additional spending is requested now by departments, we do look at the extended horizon. We don't -- do not look at the impact in just one year. We look at the extended horizon before we consider it. So looking at it this way is good for us, and we're putting in the discipline to make sure that we look at expenditure requests on the five-year horizon and how it impacts there numbers, as well. Commissioner Sanchez: Looking at the reduction of the budget, and there is a reduction from the amended 2000/2001 from three hundred and forty-one mullion dollars ($341,000,000) to the proposed 2001/2002, which is three hundred and twenty million dollars ($322,000,000). That's a decrease of five point four percent. Most of the reductions -- and correct me if I'm wrong -- comes from operating expenses. Ms. Haskins: That's correct. Commissioner Sanchez: if you look at the Police Department, which was reduced by five million dollars ($5,000,000), along with sonic of the other reductions that have been made. Now, here's -- Several years ago, when we were in a financial crisis and we talked about reducing and have the -- We're not going to go into that. We stayed here till about 4 o'clock in the morning trying; to get things cut. Now, at the end of this period, we're faced with a thirteen million dollar ($13,000,000) cut, and we decide to cut, and we cut down seven point eight percent, which 1 thought that we could cut more. But one of the concerns that my colleagues had, and the City administration was that they didn't want to cut too much to hamper the services in our City. Looking at that, and realizing that we've been able to hold down the millage to 8.9, and we've been able to reduce the debt service to 1.21$, there are a lot of questions that really 246 September 13, 2001 have -- I have to bring out and have you answer. One is, how many positions are budgeted but not filled al this time? Realizing that we have a hiring freeze, which we cannot hire Ms. Haskins: There are probably about 200 positions budgeted and not filled at this point in time, right now. Commissioner Sanchez: But they are budgeted? Vis. Haskins: And that's usually -- but what -- but they're not budgeted as -- "budgeted" is probably not the right word to use for it, because within the department budgets, there is a dollar budget for any vacant position, except the ones that are irozen. OK? But what we do in the non - departmental is we reflect a credit for vacancies. And we have a good sized number in there for vacancies. Commissioner Sanchez: But nowhere -- Ms. Haskins: So what we do is, we faclor in - Oil the department level, we act like you're going to have -- all your positions are going to be filled. But on a Citywide level, we recognize that there are going to be vacancies at any point in time. Commissioner Sanchez: Linda, simple, simple question, simple response. Two hundred vacant positions. Ms. Haskins: Mm-llmill. Commissioner Sanchez: Those positions are budgeted. Whether you want to say they're budgeted or not, they're in that department's budget. Ms. Haskins: But a good -- Commissioner Sanchez: When you look at the; table ofcontents -- Ms. Haskins: Right. Commissioner Sanchez: -- all it tells me is, you know, administrative staff, classified, unclassified. it tells me the positions. It tells me classified, unclassified, temporary and not temporary. But it tells me -- doesn't tell me -- How much would that be in those 200 positions that are budgeted in that [Widget? What ballpark figure? Mr. Gimetlez: You mean in total savings if you didn't fill them all? Commissioner Sanchez: If you didn't fill them all. Mr. Ginlenez: You didn't fill any. Commissioner Sanchez.: Yeah. Which you can't. We're in a hiring freeze. 247 September 13, 2001 • 0 .Mr. Gimenez: Well, if we're going to modify -- 1 presume -- I -- Commissioner Sanchez: Huh? Vice Chairman Gort: That's not a part of the budget Commissioner Sanchez: 11 is part of the budget. Of course, it's part of the budget. Ms. Haskins: We've already counted a significant portion of that through our vacancy factor. Mr. Gimeuez: Commissioner, you know, it'-- certain positions are being filled. OK? But by and large, we're not hiring anybody. But it' there is something that would create potential revenue or is a very important position, then I'm giving thein the OK to do that. If we did not hire --I mean, if we just basically took a credit of 200 positions, you know, if we're going to get to that number, (inaudible). Ms. Haskins: I think it's -- the tune of positions is rightaround two and a half million dollars, most of which is taken into consideration in the vacancy factor. Mr. Gnnencz: It's more than that. Commissioner Sanchez: It's got to be more than that. Ms. Haskins: (Unintelligible), I think it was two and a half million dollars. Commissioner Sanchez: All right. Ms. Haskins: In the vacants, unfi•ozen. Commissioner Sanchez: Do we have any carryover funds .from last year? Ms. Haskins: No. Commissioner Sanchez: IIuh? Ms. Haskins: No. Commissioner Sanchez: No, no, no, no. We don't have any carryover funds. What we had, we lost -- the thirteen million -- we should have zero surplus, right? Ms. Haskins: Six million. Commissioner Sanchez: We have zero surplus right now, right? Ms. Haskins: I'm sorry? 248 September 13, 2001 Commissioner Sanchez: There's no carryover funds from last year? Ms. Haskins: No. From -- into -- From 2001 into 2002? Commissioner Sanchez: Yes. Ms. Haskins: No. Commissioner Sanchez: All right. Will we meet our financial integrity principle requirement? Which is a big concern to me? Will we meet it? Will we meet those -- the financial integrity principle requirements? Ms. Haskins: Yes. Commissioner Sanchez: We will meet them? Ms. Haskins: We will -- no, we -- At the end of the year, we will not meet all of our financial integrity principles. Under the Financial Integrity Ordinance, we are supposed to have eight percent of undesignated reserves, eight percent of the last three years' average revenue -- average expenditures and revenues. And we will not be there, even with adding the seven million dollars ($7,000,000). We'll be almost there, but we're not going to be there. Commissioner Sanchez: So we won't meet it? Ms, Haskins: Yeah. Commissioner Sanchez: We will not. Jolutiiy, what I'm trying to get to is at every -- and I don't want to sound repetitious, like I do every year. But most of this stuff we inherited. It's the cards I was dealt with. It's the cards you were dealt with. it's the card the administration was dealt with, and those are the cards that we have to play. When you look at the future of Miami, we have to capitalize on properties that we have, its full potential, Perfect example right now is Watson Island. Whatever should go out there should be the number one world-class development, seeking the best return fa• the City. A year and a half ago, right here, I proposed that we took at developing Marine Stadium. I didn't even get a second, I didn't even get a second to look and explore these big generators of fiends that could generate money into this City. So it's like the quicksand theory for me, you know. Every year is the same thing. We direct you to cut the budget. There isn't enough funds. You look at the short-term and long- term, And that's another concern that i have, when you look at the -- at the problems that exist, and we touched on some of them today. 30 percent lax -exemptions. i mean, we're basically in a situation -- Can you imagine the City of Miami still having the airport, still having the Port of Miami, or still having WASA (Water and Sewer Authority)? I'll take one of those three. We wouldn't be in the situation we're in. But these are the cards that we were dealt, and we've got to deal with them. Commissioner Tcc]c: Mr. Chairman, 249 September 13, 2001 Commissioner Sanchez: I'm not done, Commissioner Teele. I'm ,just looking at my notes that I have here. Long-term liability continues to be a great concern to me. And you stated that sonic of the legal contingencies that we have is the VIP Program litigation, the civil lawsuit related to the recent police indictments, possibly refunding of parking surcharge, and many other issues, such as the Bedminster litigation that we're right now in the process of What is this administration doing to allocate something so we don't go through -- the traditional thing that happens here is that, you know, not to blame anybody, but the administration -- well, the next administration will deal with it, or the next Commissioner will deal with it. And in the long run, I think that we're never going to catch up. We're never going to catch up. And that is a great concern to me that we look at. However, we have made significant improvements, because we have focused on the capital improvements and infrastructure, and looked at the intellectual of the City of Miami. Basically on computers today. We're so advanced, and we're catching up. Butt don't see, 1 honestly don't see -- and I know you've worked very hard, Linda, and I know the administration has done what we can, but I don't see this budget at the end of the day -- at the end of the day, it just squeaks by. It just basically just squeaks by. Well, but what arc we doing? Do we have a strategic plan to generate more? You know, Watson island, l don't even think of - - Monday, let's hope we get three votes to continue Monday, because if we don't, you know, what do we do? We continue to sit back and say, we're basically making it, so what are we going to do? Hey, pass the buck to the residents of Miami. Raise their fee, a fire fee. Let's create some other fee, you know, and that's not right. It's not right. But I understand the situation that we're in. Those are basically the concerns that I have. And another thing that 1 want to say is I don't think we're utilizing -- and this is something that you may disagree with. 1 think that we take for granted things around here. You know, we -- although we. have to do more with less, i think that in many cases, we lack communication between departments. 1 think that we've got to start taking pride. If we know that we're in the situation -- and that's not to mention contract negotiations coming up and other factors that are really going to be something to deal with. But you talk about giving tine taxpayers something back, Let's talk about taking some pride and having departments You know, if you're driving around and you are a -- 1 don't want to pick on anybody, but let's say you are a police officer and you see a tree down. Well, call Public Works. It isn't my responsibility to have somebody call me at the office -- .1 mean, it is my responsibility, but, you lulow, having citizens call me -- I mean, Nye got to start doing more things with less than what we bot. Other issues. Dead animals on the street, you know, they call my office. You know, illy gosh, you got a radio. Call the department and have them pick up the dead dog. All kinds of issues. A tree blocking my stop sign in the corner. You know, if you see that and you're driving around, a fire fighter, police officer, City Manager, yourself, myself, anybody, you know, if I'm driving through another district and I see something that -- it's my responsibility, even though it's not my district. I'm a City Commissioner. I just happen to represent a district. But it's my responsibility to pick up that phone, and call and get it done. I just think that we need to do more with less. And I know you disagree with me. And it's always this time of year that you and 1 get in debates. And it's nothing personal. It's nothing personal with the staff or anybody. t just -- I still say it. I think --1 still think we could have reduced the budget by four percent. You may not agree with me, OK? You may not agree with me. But I still think that the budget should have been cut four percent. I still think we could have done things to improve our services. .But it's all a matter of coming up with a strategic plan to start generating; more money for the City. And I don't see that. Once again, why? Because Nye only 250 September 13, 2001 got two things that we could do to generate money for the City -- taxes and fees. We have no other choice. And then the little things that we do, such as naming the Orange Bowl Stadium, may only bring two hundred thousand dollars ($200,000), or other little things that are happening in raising money. I just think that we need to, you know, find ways. And I don't know how. I mean, Pill here on a part-time basis. You're the full-time staff. And I'm willing to listen to you and do what we've got to do to generate more revenue for the City. All these major projects that are going up, when do we see the fruits that they are going to bear? I keep saying, well, three years from now. Oh, this is going up. We're going to -- i've yet to see it. And it seems the more money we make, the more money we spend. And I'm very concerned with that two point three revenue corning in and spending three point seven. Maybe it's conservative or not conservative -- that's relevant in this argument -- it still is not balanced, and it's of great concern to me. And those are the questions that I -- you know, those are the concerns that I have with the budget. I have them every year. I am glad to see that some departments did reduce their budget. It's a much clearer budget. Previous budgets, you had to send them over. to Harvard University to get somebody to understand them, and they were like a spaghetti bowl. You couldn't understand. Now, at least, were getting educational documents that break down easily and tell us exactly what -- Linda, you've done a great job. I've got to commend you for what you're done. Ms. Haskins: Thank you very much. Commissioner Sanchez: I know that when you -- when i sit down with you, I'm a little hard. Please don't take it personally. lt's just that it gels to a point that you go, what else can we do? What else can we do -- Ms. Haskins: Exactly. Commissioner Sanchez: -- to generate more money, and reduce fees or do what we call? Because there isn'tany vvay that we could continue to increase more taxes or fees. Ms. Haskins: We know we definitely have to work with accounting. We need to get something -- some sort of -- Commissioner Sanchez: Well, I challenge this Commission to basically -- Vice Chairman Gort: Linda, you'll have to speak a little louder. I can't hear you. Commissioner Sanchez: -- look at all the options that are out there, such as Watson Island and other major developments. Mr. Gimenez: Commissioner, we wanted to reduce fees. We didn't want to increase anything. We wanted to reduce the tax rate. Unfortunately, we had a bad ruling that took thirteen million dollars ($13,000,000) out Of the equation. And we have made significant cuts, and this is where we are today. And you're right, 1 thinlc it's a razor -- it's a very, very tight budget. We wanted to have something for contingencies, a little bit more in the reserve, because there are issues out there that are -- contracts, litigation, et cetera. 251 September 13, 2001 Commissioner Sanchez: It's affecting our future. We're walking through eggs. i mean, we're walking on eggs. In the next coming years, there's all kinds of risks. When we had the meeting in January, when we had the workshop, I basically focused on, hey, thirteen million dollars ($13,000,000) is the money in your pocket. If it's not in your pocket, don't count it. You know, 1 keep bringing it up. But it's -- it's the argument. that 1 made that day. And now, our future is like every step we take, we're like stepping on land mines, because all the risks that exist. And ['m sure that more risks will fall in place in the future. Commissioner Teele: Mr. Chainnan. Vice Chairman Gort: Yes, sir. Commissioner Teele: Commissioner Sanchez' comments, personal comments regarding the Budget Director are a good point T think that we could possibly agree on. I would rather characterize them as her professional conduct., and her professional demeanor, and the much higher standard and clarity that she has brought to the City and indeed, the community. But 1 would ask respectfully of the Chair if we could read into the record the proposed millage rate, and let's Let the public be up front, lest we be accused of violating the State Statute, which ensures that the public -- any person from the public knows that the meeting is going to occur at 5 o'clock. We started an hour and a half late. And I would respectfully petition the Chair that on the 25`x', we make it sort of our business to start the budget at 5:05 and thereabouts, and that way, nobody in the public is going to feel that we, you know, sort of brought them here and frustrated them. And 1 really want to get back to many of the points that Commissioner Sanchez has raised, because I agree --because I do agree with them. But I do want to say to the Manager, 1 think (lie budget clarity and the professionalism gives the public an ample opportunity to understand, because it's been totally dernystificd from the past, from some of the past budget presentations. Vice Chairman Gort: Well, as a procedure -- excuse me. I wanted to follow what the -- Ms. Ilaskins: Thank you very much. Vice Chairman Gort: Commissioner Sanchez wanted to make his statement, and I would not want to keep him from that. I need the motion on the millage. Alejandro Vilarello (City Attorney): The first item on your agenda is the adoption of the tentative millage rate. And the statute requires the City Commission at this public hearing to adopt a tentative budget and a proposed millage rate. And prior to the conclusion of the meeting if the public -- prior to conclusion of the meeting to amend it, the budget or the millage rate as you deem appropriate, and aiulounce the percentage, if any, that the recomputed proposed millage rate exceeds the rollback rate. So what we can do now is we can read the millage rate as proposed, which is 8.2909. And that is -- Commissioner Teele: Eight point what? Eight what? Eight point what? 252 September 13, 2001 Mr. Vilarello: The millage rate to be levied is 8.995. The rollback millage rate is 8.2909. The increase then to the proposed millage rate is an increase of 8.49 percent. Commissioner Teele: It's point eight -- it's what? Mr. Vilarello: 8.49 percent. Ms. Haskins: Over the rollback rate. Commissioner Tccle: in other words, the amount of money that we would be collecting, the same amount from the general fund, if we collected the same amount of dollars would be 8.2 mills, as you've indicated? Ms. Haskins: 8.2909. Mr, Vilarello: 8.2909. Commissioner Tecic: 8.2909. Mr. Vilarello: Would be the rollback rate, which would collect the same revenues as we did in the last fiscal year, The purpose of this is to announce that although the millage rate to be levied is the same or similar to last year's millage rate, it is, in fact, under state law, a tax increase. Commissioner Teele: 'Mr. Chairman, 1 would request that the public be afforded the opportunity to make any statements for two minutes, or as the Chair may determine. Vice Chairman Gort: Three minutes Commissioner Tce1c: Three minutes. Don Deresz: Good evening, Commissioners. I have a question about park moneys. That would be Mr. Ruder. Commissioner Teele Name and address Ibr the record. Mr. Deresz: Right. My name is Don Deresz, 1852 Southwest 24`' Street. A question about park moneys, and a comment about the billboard issue. The question is, how much of the two hundred million dollars ($200,000,000) of the Safe Neighborhood Parks money did the City of Miami receive from this Countywide bond issue that the residents are paying for? And are we on track to use the money to improve the active and passive use of our parks? And the comment about the billboard issue: Compared to other metropolitan areas throughout the world that solicit tourism as an industry, Miami is a slight blight of visual pollution. While driving in this City, you see it billboard every six seconds. We now know that over 375 billboards or 90 percent of the signs that we are forced to sec every day are illegal. I [ad our present outdoor advertising laws been enforced, when J came to you about this time last year, the City would have collected over eighteen million, six hundred and fifty-seven thousand, six hundred dollars (S18,657,600) in 253 September 13, 2001 just one year in fines that could have been used to lower our property taxes, and at least the fire assessment. So here's money that we could have had. This over eighteen million dollars ($18,000,000) that was not collected does not include previous fines at a hundred and fitly dollars ($150) per day that should have been collected for each illegal billboard constructed since 1995. We learned from a member of the now defunct Outdoor Advertising Advisory Board that these billboard companies have been making twenty to thirty thousand dollars ($30,000) per billboard per month. The outdoor advertising industry has already given at ]cast five hundred dollars ($500) toward Mayor Carollo's re-election campaign. 1 don't know how much individual members of each billboard company have already given to Mayor Carollo. The citizens of the City of Miami, practicing democracy, established an ordinance in 1955 that took the words of 'Thomas .l'efferson, a founder of this country, to heart. Those words were: Communities should be planned with an eye to the spirit of being continually surrounded by a maximum of beauty. A dernocracy requires that government employees that arc elected City Commissioners enforce laws such as those that govern the Outdoor Advertising Ordinance for the well being of out- community. urcommunity. Thank you. 1 was wondering about Mr Ruder's -- Vice Chairman Govt: Thank you. The question on the parks. How much of-- A1, the two hundred million dollars ($200,000,000) from the Dade County Park Bonds, how much did the City of Miami receive? Mr. Deresz: And arc we on track for spending? Albert Ruder (Director, Parks & Recreation): Albert Ruder, Parks Director. From the two hundred million, we initially received about twenty-one million. 'then they had some other opportunities, so now we're up to about twenty-three million. Just from the first year alone, because these projects arc broken up by years, our allocation was seven point seven. And so far, we've spent about seven million. So we're about 91 percent of just the first year allocation. So we started slow because of all the changes back in '97. But, you know, we're making a lot of progress. And you could just drive around to different parks and see major things that we never had money before that we're doing now. Mr. Deresz: OK. So we're pretty much on track, because I didn't see anything about that bond issue reflected in this budget document. Mr. Ruder: Well, that's part of our CIP, the capital improvement -- Vice Chairman Gott: 'That's part of CIP, the Capital Improvement Program. 'thank you, sir. Mr. Deresz: OK, thank you. Vice Chairman Gort: Next. George Lopez: Hi. For the record, George Lopez, 3015 Southwest 27"' Tcrrace. I believe I heard the Budget Director say the words or mention the words, "strategy, losses and methods." Stall, she could not answer a very straight question, an amount of money the City's now spending on the 200 positions that are frozen. I pretty sure this Commission knows pretty well in our area 254 September 13, 2001 0 • or whatever that the outcry of the public out there, when you listen to the radio, the County leas raised, at least on my property, twenty-four dollars ($24). Still, the City of Miami is raising an amount of fifty-three dollars ($53). Now, I believe that it will come the day when tenants will not only have to pay rcpt, but also taxes, at the rate we're going, with the way management is doing the accounting. There's one issue that people here have not forgot. Just the fact that our solid waste fee was raised by 100 percent last year. And now, to add insult to injury, another twenty-five dollars ($25) after a hundred dollar (S 100) increase. i think enough is enough. You know what 1 mean, Madam? And one more item. The never-ending fee of seventy dollars ($70). Are we going to have that for five years, ten years, 20 years? Who knows? is there anyone here that can answer my question about the fire fee? Commissioner Regalado: I thought it was supposed to be only for five years. But then -- and it - - it was supposed to do whatever we needed in terms of buying equipment and infrastructure. My understanding at the time when it was imposed, it was for five years. Mr. Lopez: Five years. OK. Commissioner Regalado: 'Twenty million dollars (920,000,000), five years, to buy equipment. Mr. Lopez: Right. Commissioner Regalado: So 1 would think. that we should start considering if we ever-- or i f we are able to bel the parking surcharge back, at least for 2006, to plan in order to dismantle the fire fee system, which I think it's wrong. We needed at that time equipment for the Fire Department. And the Fire Department is one of the priorities. But I think that it's about time that we consider abolishing the fire fee. That's what I think. But then I'm one vote on it. Mr. Lopez: Right. And I believe most of the citizens being with you. .lust to finish up, let me remind you that there should always be government for the people, not people for the government. Thank you, sir, very much. Vice Chairman Gort: Thank you, sir. Next. Joe Szot: Hello. How are you doing? My name is Joe Szot, 3097 Northwest 6`' Street, Miami. I've been a taxpayer for 30 years here, i've spoken to most of the Commissioners' office. Commissioner Sanchez is right about needing revenue. But we're in a no-win situation. You sec all the cars come Froin Broward County, going to work in Dade County and Miami, and not paying a penny of taxes. Taking all that revenue, all that income back to Broward to spend. And as the Budget Director said, spending, being taxed -- they're buying your food, paying their doctors up in Broward. We're losing. We're losing. We're creating the jobs, and we're not getting the money. And until we get something done about that, we're spinning our wheels. We're wasting our tithe. We're the fourth poorest City in the country, and we're going to stay that way until we get some control of our money from these jobs. You go the airport. I guarantee you, 40 percent of the people that work at the airport live in Broward. In my sit -- I'll give you a direct situation. I work with six other people. We're standing around. I'm the only 255 September 13, 2001 • • one that lives in Dade County. The rest of them live in Broward. 'They're working at Miami International Airport making forty grand a year. No taxes. Vice Chairman Gort: Thank you, sir. Next. Mariano Cruz: Mariano Cruz, 1227 Northwest 26'x' Street, Miami, Florida, City of Miami taxpayer, Miami -Dade taxpayer. I am glad all the Commission is here now, after (unintelligible) -- I don't know who that was, taxpayer supporter, too'? I don't know. Maybe i should get some, too. Vice Chairman Gort: No. it's the Manager's treat. Mr. CrUz: No, i say, I don't mind -- First, it was a good, real good presentation there. Besides that, have the book. I'll go over the book, too, finally. I don't mind the millage, 8.995. t don't mind. On the contrary, I could go up to the limit allowed by the Oversight Board, whatever that is. Will be 9 point something? Vice Chairman Gort: Ten, Mr. Cruz: I won't mind paying that. What i mind is the delivery of services. And first I'm going to praise the department. My wife -- Vice Chairman Gort: OK. Mr. Cruz: -- tell me, she told me to praise tale Solid Waste Department, because it never have -- it give the best, best service in any time, since now for the last two years. OK. And remember, too, that those people are without a contract. And they have to work, and you get some money there for the retroactive payment, too. Anyway, you mentioned it. But the other day, I was driving to the County meeting, last week. And I -- as I get out of there on 2" `� Avenue and 8'h Street, I saw dozens of police cars there on the I-95, brand new, with all the lights and everything. Why those cars there? What's the reason? hast year, 1 complained about the same car without lights or anything. This year, they get the equipment -- right there on 81" Street, south of 8"' Street, under by the City Pound, right there. Dozens of police cars there, when the cars are needed on the street. What are they waiting for? Another David (unintelligible) problem or anything? Probably. And I continue and park at the County parking garage to go to the budget hearing, which, when 1 finish, they give me this. Nine dollars ($9) with a dollar fifty, one fifty surcharge from the County. So they're still collecting surcharge there. Vice Chairman Gort: Oil, yes. Mr. Cruz: Seven fifty plus one fifty, you know, surcharge, 20 percent, right here. 1 keep the paper. Maybe I get my money back. Who knows? Now, in going on the -- We have problems with the interlocal with the County and the City, I'm going to mention that, the delivery of service. Like Coimnissioner Sanchez mentioned about the inspection. Oh, yeah. The other day, I talked to one of the inspectors, and I mentioned -- the problem on 17'x' Avenue, and he told me, no, I am not the inspector of the west side of the street. I am the inspector of the cast side of the 256 September 13, 2001. 11 • street. What's that? Is that possible? You know, that's what they're doing. You go to 17°i Avenue right now, 17`11 at Northwest -- and I told that at the County. And that's a major arterial. But the people from the NET go by there every day; the police cars go by there every day. 17`' and 19'h, flooded. 17`11 Avenue and 29`h Street, flooded. 171' Avenue and 22 Street, flooded. People have to put Pyrex there and milk crates. Maybe a policeman goes by there will give them a ticket for using; a milk crate, because that's destroying property. No, that's what they do. All - they stop a business, because they don't put electricity, and they close the business for two days. For there, they inspect already, but not to take care of the business here. Commissioner Winton: Your three minutes is up. Mr. Cruz: Huh. Commissioner Winton: Three minutes, Mariano. Mr. Cruz: No, no, no. I come here once a year for the public hearing. Vice Chairman Gort: Yeah, yeah. Mr. Cruz: No. The County gives me more time than that, and 1 pay less tax to the County. So now, I question, Those major arterials in the City of Miami, who takes care of them? The County say I don't have to call them. I am not a City -- 1 am not a City employee or County employee, They have to have people going by there. Since those arterials are used by everybody that goes to Jackson, that goes -- and you know. Also, the NET thing, on the NET. Going back to the NET. 'rhe parking of big commercial trucks in residential neighborhoods. You know there is one parked right -- half a block from your home. Why? Why do you allow that? It shouldn't be. The Code is the Code is the Code. If the Code is good in Coconut Grove, it's going to be good in Allapattah, too. That's the way I go. Vice Chairman Gort: Mariano, I reported it. I reported it three times already. OK? Mr. Cruz: Well, but they should do it. 'That's what I say here in public. And that goes to Chief Willy or anybody, whatever. The Code should be enforced in every neighborhood, with parity for cvcrybody. OK? Now, going back to other things. The use -- the leasing or buying of SUV's (sports utility vehicles) like Excursions in the City. What is the need of that? Somebody better tell me that, why we need the big Excursions in (lie City, which cost like -- what? -- forty thousand? And no pollution regulation or nothing. I mean, Excursions at a time that we're supposed to be tightening the belt? Well, I don't know. Maybe I'll have something else for the next meeting. Thank you. Vice Chairman Gort: Mariano, I've given you five minutes. Thant: you, sir. Mr. CrLIZ: No, but -- Vice Chairman Gort: Five minutes you had. Don't complain, Mariano 257 September 13, 2001 0 • Mr. Cruz: No. John (unintelligible) was here, and Simon (unintelligible) talked whatever they want. They don't even live here in Miami. Vice Chairman Gort: They were.talking on different issues, Mariano. Come on. Anyone else? Anyone else? Anyone else who'd like to speak? . OK.. We'll close the public hearing. Comments among board members. 1 have a question. Through the book, i was looking for our reserves. I don't see that in the budget. What -- Ms. Haskins: I'm sorry. The reserves? Vice Chairman Gort: The reserves. Ms. Haskins: Yes. It's in.Appendix C. Vice Chairman Gort: Where? Ms. Haskins: Appendix C or D. in Appendix D, in the back. Vice Chairman Gori: OIC. Ms. Haskins: It's got the five-year forecast on the front of the page, and then D-2 is the five-year forecast with the reserves. Vice Chairman Gort: Appendix C, i don't have it in here. Ms. Haskins: Oh, you don't have it'? Vice Chairman Gort: Cost allocation. Ms. Haskins: Appendix C is the full costing -- Vice Chairman Gort: Tt's D-1. Reserves are D-1, right? Ms. Haskins: Yes. Reserves are D-2, actually. It shows the beginning reserves for 2001 were seventy-five million, what we're projecting for the end of the year, and then goes into 2000 -- the fiscal 2002. Vice Chairman Gort;My understanding is you're projecting reserves for the year 2002 to be eighty million dollars ($80;000,000). Ms. Haskins: At the end of 2002, that's correct, eighty million dollars ($80,000,000), of which a portion of it is designated and a portion is undesignated. Under the Financial Integrity Ordinance, there are two requirements. Undesignated reserves arc supposed to be at eight percent, designated reserves at seven percent. But then there are other provisions within the ordinance, which you could take to mean that undesignated reserves have to continue to increase until we've funded all long-term liabilities. 258 September 13, 2001 0 • Commissioner Regalado: liow much money you said? Flow many millions? Ms. Haskins: At the end of 2002, we're projecting eighty million in total reserves, of which twenty million, three thirty-one would be designated reserves, which we're required to have a seven percent level, and we would have fifty-seven million of designated reserves. Undesignated reserves, with the seven and a half million dollars that we're adding in this proposal would accumulate to twenty-two point two million. We need twenty-three point two million to be at the eight percent required under the Financial Integrity Ordinance. Commissioner Sanchez: So we don't need it in that yearend? Ms. Haskins: No. We will not -- we do not need it till at the end of 2002. Commissioner Winton: And that doesn't even come close to dealing with all the contingencies that they talk about. So, Commissioner Regalado: How much -- oh. Are you done? Vice Chairman Gort: Yeah. Go ahead. I just wanted to see how much. Commissioner Regalado: How rnrrch money we still have from the sale of the land, the FEC ( rack? Mr. Gimenez: The FEC track, there's still two million dollars (52,000,000) that's being held by the County in escrow. Commissioner Regalado: That's all we have of Clic -- Mr. Gimencz: That's all that's been left to pay. That was a contingency for remediation for environmental, and they're still holding it. Commissioner Winton: But that's minus some remediation cost, right'? I mean, there's some subtractions from that, if I remember. Mr. Ginienez: I believe it's about two million. I think it may have been two point five when we put it in, but then (inaudible) two million dollars ($2,000,000), I believe. Commissioner Winton: OK, Commissioner Regalado: is there any way that we can get that money from the County soon? Mr. Gimenez: Well, we've asked them. And they -- We can either sue them or negotiate with them to try to get the motley back. Vice Chairman Gort: How Hutch is the balance? 259 September 13, 2001 0 •. Mr. Gimenez: They -- you know, their argument could be that the entire parcel hasn't been developed and that they may be -- they may need some of that money to mediate the, you know, a piece of the land that has not been developed yet. In about two weeks, I have a meeting with the County Manager, and that's one of the issues we're going to be discussing. Commissioner Regalado: OK. in the reserves for this year, you have two point eight million in working capital reserve. That is -- so the people would understand -- Ms. Haskins: Yes. Commissioner Regalado: -- the people watching. You know, it's very hard to say to the people, we're going to raise one penny or whatever, and then say we have so much nnoncy in reserves. So l think it's important that we take just a few seconds to explain. Two point eight million dollar ($2.$ million) working capital reserve. If you want to explain to the people watching and - Ms. llaskins: The reserves that were required, that are required to be established each year under the Financial Integrity Ordinance are reserves that are the result of looking at sound financial management for a municipality. And on an ongoing basis-- and we've talked about a lot of the contingencies tonight, contingencies Nye have with respect to ViP litigation, parking; surcharge litigation, those sorts of things. These working capital reserves and contingency reserves are designed to set aside reserves over time so that if a large contingency like this is settled and we would have to pay, we have adequate reserves established that we can tap into. Now, what happens atter that? Under the Financial Integrity Ordinance, as soon as we draw down on any of these designated reserves, we have two years to replenish those reserves. What it's doing is protecting; the citizens from the crisis that we had before where we didn't have adequate reserves to tap into. So it's saying at all times, we have to have a certain level of reserves. In case something bad hits, we know we have fund balance to draw from. But we have a commitment that we always replenish that fluid balance if we ever have to draw on it. Commissioner .Regalado: So the working capital reserve, the two point eight million, we cannot touch a penny without getting into trouble? Ms. Haskins: We can touch it. We can touch it, but we have to be able to replace it within two years. Vice Chairman Gort: Within two years. Commissioner Regalado: Within two years? Ms. Haskins: Yes, Commissioner Regalado: The one point million one, risk management, is something that we. could not even think of touching it, because for the potential liability that we have in terms of suits and all that. 260 September 13, 2001 • 0 Ms. Haskins: Actually, it is something we could. All of these reserves are, in the desifniated reserve category under the financial Integrity, are reserves we could touch upon. And the balances -- it's not just these reserves. It's what's accurnulated over time to tide us through a significant settlement of a contingency, and we would replace it in two years. So we could touch on them. Commissioner Regalado. No, but I'm saying it would be -- Ms. Haskins: But we can't reduce, thein in the current year. We are required to establish them each year until we have long-term liabilities funded. Commissioner Regalado: The contingency is a - we have a hurricane tomorrow. Then however, there is the seven point five undesignated reserves. If we were to use two million of that not to raise the fire fee -- probably some people may think, well, you know, it would be irresponsible, because it's only seventy-five cents a month and all that. But the problem that I have always with the fire fee is that it has a multiplying effect on the poorest of the poor, because the landlords, they're going to pass whatever raise, they're going to double and pass it. There are sonic people who are very liuman, and will not do that, but most of the landlords will pass to the tenants in the many apartment buildings that we have. And actually, I don't have that many in my district. But in Commissioner Teele's and Commissioner Sanchez', it's a lot of these people. And, you know, it really hurts to see that these people would not be able: to pay that. So if we were to take like two million dollars ($2,000,000), we'd still be within some legal and prudent -- not regulation, T mean, but lines, thin lines of the budgeting, don't we? Ms. Haskins: Yes, Commissioner. We'd still have a balanced budget. We'd still set up the reserves that we're required to set up during -- raider the Financial Integrity Ordinance. It would take us longer to reach, under our projections, to get to the eight percent undesignated reserve level. But we would still have a balanced budget. Commissioner Teele: Could you vicld, Commissioner? Commissioner Regalado: Sure Commissioner Tcele: Madam Director, 1 Nvant you to think about that carefully. Are you suggesting that we can take reserves and make reoccurring cost balance out'? I thought one of the whole principles and what's gotten this City in problems in the past is taking a one-time pot of money or one time expenditure for operating costs. Now, his question, as l' understood it, was can you take some of the reserves in lieu of the fire fee? And I'd like for you to consider -- to consider that question in light of the notion of using reserves for operating cost. I'd like for you to -- Ms, Haskins: Yeah. I understand what you're saying, and I think it would be one thing if Nye were talking about after we have set up the reserves and dipping into there for contingency, and it's another way of looking at it -- maybe I've got my accounting hat on too much -- looking at it for purposes of the budget. But when we look at the proposed budget, we know that our 261 September 13, 2001 • • revenues, our ongoing revenues exceed our recurring expenses, expenditures -- OK? -- excluding reserves, by about twelve million dollars (S 12,000,000), twelve point three million dollars (512.3 million)in this budget. Now, of that twelve point three million or twelve point four million, four point nine million of the reserves are required under the Financial Litegrity Ordinance as reserves coming down. So we still -- in the seven point four million, what that represents is revenues over expenditures, plus required reserves under Financial Integrity. So any -- whether that's one dollar ($1) or the seven point four million dollars (57.4 million), it's still revenues over expenditures, and a required establishment of reserves under Financial integrity. But it does sive us a problem in terns with compliance with Financial Integrity, when do we get there and what is the urgency to get to the compliance with the Financial lnteg;rity Ordinance, as far as the absolute level of these reserves. And it does delay that. Commissioner Teele: It does what? Mr. Gimenez: (inaudible.) Coin missioncr'reele: it does what? Ms. Haskins: It does delay that. It would delay it by probably another six months or so, beyond the end of next year. Commissioner Tecle: Let me just ask the same question. 1 think -- you know, but I don't want to belabor this, because -- but i do think that it would be a big difference if we took two million dollars ($2,000,000) and paid for a capital cost, let's say, like the police radios. And I know police radios may be argued operational, but they really are capital in the context. I mean, that wouldn't bother me at all. Ms. Haskins: Right. Commissioner Teele: You know, and there may be some ways to back it out and to apply it. But it would just seem to me that if we took two million dollars ($2,000,000) of reserves and applied it then against the fire fee -- and I realize dollars are fungible and all of that. I think you've just stepped on that huge banana peel, on a slippery slope down toward, you know, the thing that bot this Commission in a lot of trouble. And, 1 mean, I'm not taking exception with what you're saying. But I am -- 1. guess I am taking exception. I think it would be a real policy problem for me if 1 saw a majority of the Commission beginning -- because then there's no end to it, 1 mean, there's no end. i mean, I think you could get to the same place if you responded, well, let's look for some capital items, some one time items, you know, maybe even something in the core which is not good policy, in your capital improvement fund, but just to apply it to the fire, which we know that is going into operating cost, I think it's going to put the fire -- 1 mean, that was just a hypothetical, and I'm not sure where you -- Ms. Haskins: i understand. I mean, it's -- 1 don't look at it as dipping into a reserve balance, because the reserve balance has not been set up. We're planning on setting up this reserve balance. So I'm taking away from a reserve balance i haven't set up yet. 262 September 13, 2001 • Commissioner Teele: Oh, it's hasn't been set up? Ms. Haskins: it hasn't been set up yet. Commissioner Sanchez: Commissioner'Fee le, if I may, Commissioner Teele -- Commissioner Regalado: i had the floor. I had the floor. The problem is that -- Commissioner Sanchez: Tomas, could you just yield on the -- Ms. Haskins: These are planned additions to reserve. Commissioner Sanchez: If you could just give me a -- We talked -- Commissioner Winton: Go back to the reserve chart that showed -- Commissioncr Sanchez: Johnny -- Commissioncr Winton: -- that in two years, we're at eight hundred thousand dollars ($800,000). Now, how does that figure into what you're talking about liere? Ms. Haskins: This is the chart -- Commissioncr Winton: In the five years or -- Ms. Haskins: In the book? In the book? Conunissioner Winton: I figure it's eight -- not eight hundred thousand. Ms. Haskins: Eighty million. Commissioner Toole: Eighty million. Ms. Haskins: Eighty million. The total reserves at the end of 2002. We start out with a projected balance at the end of -- in two weeks -- of having a reserve balance of sixty-seven million dollars. Commissioner Winton: Down from seventy-five. Ms, Haskins: Right. Commissioner Winton: is that correct? Ms, Haskins: That's correct. And those reductions came because we appropriate strategic initiative dollars, blue ribbon dollars, and some surpluses from the previous year. So we start out with sixty-seven million. We add during; the year twelve million dollars (a 12,000,000). The 263 September 13, 2001 twelve million in this budget that we're adding, which are reflected as expenditures in D -A -- but they're not expenditures -- are the reserves that are required under the Financial Integrity Ordinance. That's the four point nine million, and another seven point four million. But my understanding of Commissioner Regalado's question was, could we not do the fire fee increase? instead of having this number be projected as an increase to reserves of seven point four million, make that five point three million. Would we sill be able to do that? My answer: I believe we can do that. We are not dipping into reserves. They haven't been established. Our budget is still balanced. However, we don't have the reserve within our funds for contingencies, and one of the recurring expenditure contingencies we have are union negotiations. Commissioner Sanchez: But getting back to what Commissioner Regalado was saying, if we have the fiends for the lire fee, to take it and use it for something else, and reduce the fire fee or whatever, reduce the taxes or whatever -- You know, we look back. It's like everything in Idle. You know, if you get something out of it -- when you go to a restaurant and you get good service, you don't mind paying for it. I hate to use that as an example, but airline tickets are going to go skyrocket now -- they are -- because all the security that's going to be needed. Do you think people are going to mind paying it? No, because they're going to know when they in an airplane, the airplane's going to be safe. So what I'm talking about here is, you talk about fire Fee, and we basically still have a department that in some areas, to respond to an emergency rescue takes them more than eight minutes. Eight to 12 minutes. So that is -- You know, if we talk about -- we talk about the fire fee, we talk about the parking surcharge for a stadiurn, for this and that. If you're going to utilize that where the taxpayers are going to say it's put to good use, it's put to good use. :Because if my father has a heart attack, I know in six minutes, he's going to have a rescue there. Maybe those are some of the things that we need to look at. Maybe that's something I'll address in the future where -- with the parking surcharge. We should.may -- I know we can -- we could use it for infra -- the parking -- the fire fee could use for infrastructure, but the parking surcharge could be used maybe to staff one of these stations that are lacked in our City. i think people don't mind when they see public .funds being utilized for that. But when it's utilized for other things, I think they tend to step back and go, you know, whoa, Ms. Haskins: That's right. Mr. Gimencz: Well, Commissioner, the reason that we propose this is that we have some issue out there this coarsing year, and we wanted to establish, you know, a find that could deal with those issues -- union negotiations, the VIE'. 'There are some issues out there that might be -- you know, that are problematic. And so -- and some civil lawsuits. So we wanted to have a -- you know, a voice through a reserve so then when those things do come about, then we would be able to have the funds to deal with them. Conitnissioner Winton: Well, could T ask you another question? !n fiscal year 2001, ending reserve fund balance, eighty-four million dollars ($84,000,000), but we spent a million dollars on blue ribbon initiatives. We spend eleven and a half million dollars on strategic investment-- out of strategic investment reserves, and four million out of unrestricted reserve balance. We spent that on things that we all pushed hard to get that money spent on that really is setting the foundation for the future revenue growth that's going to be crucial to this City. 264 September 13, 2001 Ms. Haskins: That's right. Commissioner Winton: And what you're saying now is that -- is that -- which I think is very misleading here. There is nothing in any of those categories. It's zero, zero, zero, zero. So what we're saying is that this year, all the initiatives that we've pushed forward, the things like the ITEC Corridor planning effort, 1 think there's money came out ofthat. The -- I don't know where the money came from, from the Downtown Conference of Master Transportation Plan, the Bicentennial Park Master Plan and information 'Technology's expenditures that we had to do. 1 mean, there's a whole laundry list of things that we've done throughout the course of this pest year that are setting the stage for really rebuilding the City and growing; our tax base, and expanding the growth of that tax base in spite of all the tax-exempt properties we have. But what you're suggesting now, because those line items are now all zero that all of that stuff is -- we will do absolutely nothing this coming year. Ms. Haskins: No. Those line items aren't zero. The way this chart works is that's the utilization in fiscal 2001 of those items. There's still sonic balances left in blue ribbon initiatives and strategic initiatives. But we don't have in the five-year plail further utilization of those. We didn't want to put those in until you had approved Further utilization of the remain balances unless -- Commissioner Winton: I don't understand that. Vice Chairman Gort: There's balances in all those figures. Commissioner Tccic: You should have eleven million dollars ($11,000,000) right now in strategic reserves'? Ms. Haskins: Right. Commissioner Teele: Or something like that? Ms. Haskins: The balance in strategic initiative reserves are four million two and four million three. Commissioner Teele: Are what? Ms. Haskins: hour million two for blue ribbon and four million three for strategic investments. Conurtissioner'feele: A total of eight -- Ms. Haskins: That's where the balance is left after what was appropriated this year. Commissioner Teele: Yeah, bill wait, wait, wait, hold, hold. Vice Chairman Gort: The appropriation was not fully spent. 265 September '13, 2001 Commissioner Tecle: But wait one minute. Ms. Haskins: Not all of it was frilly spent. Commissioner 'reele: No, no, no. Half of the appropriations were rejected by the Oversight Hoard. Ms. hIaskins: There was -- Commissioner Tecle: Remember when you and I talked about this? i said, when we talked about this, half of the appropriations %vcre rejected by the Oversight Board. Ms. Haskins: There was a proposal to spend all twenty-one trillion dollars ($21,000,000) that was in the balance of those. What was approved was twelve point five million. Commissioner Teele: They approved twelve point -- Could T sec the list or the memo? Because that was what 1 asked you for, you know, tonight. Ms. Ilaskins: Oh, I have. Commissioner Teele: 1 mean, but the -- isn't the discreet question that we need to be focused on right now -- not to cut off the debate at all of the discussion, because i think Commissioner Regalado has raised an interesting point, is there any way we can reduce the millage rate from the Manager's recommended number of -- what is it? 89? Mr. Gitnenez: 8995. Commissioner Teele: Madam Director, can you give us sonic options to reduce the millage rate? Ms. Haskins: The options to reduce the millage rate would mean dipping into reserves. Commissioner Winton: But the seven million -- Ms. Haskins: T mean dipping into the funded surplus, the projected surplus. Commissioner Winton: Which is the seven million dollars ($7,000,000). Ms. Haskins: NIni-limn. So what do we want to do? What. do we want to do in terns of leaving room for contingencies for next year? Commissioner Tecle: Let me ask another question, ifl. may, Mr. Manager. Have you met with the Mayor on this budget? And docs this budget have the Mayor's support? Mr. Gimenez: No. Commissioner Tecle: "No," what? 266 September 13, 2001 0 • Commissioiler Winton: "No," what? Mr. Gimenez: No, it does not have the Mayor's support in terms of the increase to the lire fee. And I'm not sure that it has the Mayor's support in terms of increases in the solid waste assessment, also. Conlnlissionei- Teele: Do you have a budget proposed by the Mayor? Mr. Gimenez: No, sir, I don't. Commissioner TCCIc: Huh? You know, I'm going to tell you something, folks. Now, I think this is getting ready to become a charade, if we're getting ready to sit. up here and assume that we're negotiating and working all in good faith with the Manager and his outstanding staff, and the Budget Office and all that, and, you know, we don't have anything here. You know, if we're going to -- if we're going to be serious about this budget, we need to have all of the budget proposals at one time. And my position, you know, I realize, Commissioner Gort and Commissioner Winton, you all get a lot of face time with the Mayor, and that's fine. But l mean, this is serious business here. And, guys, I mean, since you all are the delegation, it would seam to me that we'd set serious about this, because i have no interest in staying here till 11 or 12 o'clock tonight, and we haven't even gotten a budget -- You know, even George W. Bush }las got to put his budget on the table and say what he wants. I mean, now, this is -- You know, Mr. Attorney and Mr. Charter Review Czar, the one thing that ought to be in this Charter or an ordinance somewhere is that the Mayor must be required to submit a budget so that -- You know, because otherwise, it all becomes just a political -- And I think you're wrong, Johnny. This is a political season. And, you know, if the Manager -- I'm talking now about that whole Marlin thing. If the Mayor and the Manager don't -- are not in agreement in the budget, I don't think we ought to stay here much longer on this budget. We ought to just basically pass a resolution asking for the Mayor to provide us with a budget in writing„ and a budget that has been vetted by the Manager's staff, because as I've said a hundred times, and I'll say it here now that lie's here, 1 think that we should work cooperatively with the Mayor. l don't think we ou1111t to play political games on this budget. This is going to be a tight budget, and we've got literally less than 14 clays to do this. And if we don't have consensus -- that is, if the management isn't working in cooperation with the Mayor and the Mayor isn't being forthcoming to this Commission, then I think we ought to just basically pass a resolution tonight asking the Mayor for his proposed budget so we can give it some careful consideration. I take the job and die office, the responsibilities of the Office of the Mayor very seriously. And this is not -- should not be treated as a charade. And ]'ill shocked, Mr. Manager, for you to say, "No, .I don't have the support of the Mayor on this budget," because after all, what are we sitting around h.l-e doing'? We want to work cooperatively in this process. And Mr. Mayor, I really appreciate you coming down, because I'm very serious. As I've said every time -- a year ago, two years ago -- we need to have the input of the Mayor in putting together a budget, so that we don't look like the Miami of old, where we've vetoing budgets and going back and forth, and got the Oversight Board telling us what to do, et cetera. We need to have a dignified entry and -- entry of a new 267 September 13, 2001 0 0 form of government that is one without the Oversight Board. And I think if we are not in sorne degree of unity, at least understand each other's position. What we could set ourselves up for is an argument as to why the Oversight Board should be extended. And so thank you for corm ng down, Mr. Mayor. And I really appreciate the fact that you did take the coutlesy to conic down and give us the benefit, l hope, of your budget and some written documents on it, or sorne instructions to the Manager that we can all hear. Mayor Carollo: Thank you very much for your input, Commissioner Teele. The way that the City of Miami government works is no different than the way the government of Miami -Dade County, where you served as Chairman works. Many times, Mayor penelas will state that lie leas a different point of view in selected areas of a proposed budget by the County Manager. It's no different here in Miami. The City of Miami Charter, our Constitution, which is the same one, word for word, as the County's Constitution states that the Manager has the responsibility in presenting a budget. However, that does not prevent the Mayor of this City or the Mayor of Miami -Dade County from giving their points of views in working with the Committee Member or the County Manager. In working with the City Manager, I have done -- 1 have done that in every single budget. I have done that in this budget, where I spend many an hour with the Manager and others going over the budget. There should be no surprise where I stand oil key parts of this budget, since the last time we revisited this in this Commission sone weeks back., 1 made my position clear. The Manager and 1, and the financial and budget analysts that the City has went over the budget piece by piece. i think they've done a fairly good job. We've come back with a budget that is a lot leaner than the original budget that was presented to the Commission. The only areas that the Manager knows that we have a difference is in the increase of fire fee and garbage fee, which I made that clear to this Commission the last time that we mct and went over the budget. We have approximately seven million dollars ($7,000,000) in reserves. Beyond some additional areas that we discussed, did Law Enfbrcement Trust through the Police Chief agree to take up sonic new positions that we had discussed before? Ms. Haskins: We didn't have -- 1 didn't have a chance to speak with the Police Chief on those today. Mayor Carollo: OK. Well, the amounts that we were talking about, 1 think, were somewhere in the neighborhood of approximately half a million dollars more. Ms. Haskins: About two hundred and fifty thousand in salaries in one area, and another couple hundred thousand in another, right. Mayor Carollo: rhat we could have saved from that. So I think that we need to have !:lie Manager and yourself speak to the Police Chief to see if there could be an agreement on that. But outside of that, whether that's added to the budget or not -- and the only thing that it would do is give us another half a million dollars leeway in the budget -- out of the approximately seven million dollars ($7,000,000) that we have in additional reserves, what I have proposed to the Manager and asked him to express my point of view, I believe that we can leave that surplus in half and not have to increase the fire fee nor increase the garbage fee. And the reason that I feel that that surplus would be enough is that there is no doubt in my mind that come January, we are going to get the wording in the surcharge corrected by the Legislature, and that's going to bring 268 September 13, 2001 to us an additional thirteen million dollars ($13,000,000) or more in revenues to the City. So my recommendation is the same one that has been presented to you this evening, with the exception of not increasing the Circ fee or the garbage fee, and where we make up those dollars is by having a smaller additional surplus, but still what I consider to be adequate one, knowing that we're going to be bringing in some additional dollars come January. Commissioner Winton: Mr. Mayor, what would the plan be if we fail at getting the parking surcharge extended? Mayor Carollo: Even if we failed -- which I don't see that as happening. I think the chances of that happening arc slim to none -- but even -- Commissioner Winton: I don't happen to agree with that at all. So I still want to know what -- Mayor Carollo: Well, I do. I do. But even if we fail, we still have a sufficient surplus within the budget that should get us through fine throughout this fiscal year. Commissioner Winton: And what happens next fiscal year? :Mayor Carollo: Well, Johnny, you well know that budgets into the future are just that -- plans that you make into the future that no mater how tight you make them, there are always Changes. If we have to do certain things into the future, that doesn't mean that we have to do it now. Commissioner Regalado: Mr. Chairman. Mayor Carollo: Commissioner. Commissioner Regalado: Mr. Mayor, I'm really happy that you agree with what I was saying, that we should use some of the reserves to not impose this new burden on the people of Miami, because the fire fee has a multiplying effect. I think that all of you are planning to go to Tallahassee and lobby with the Manager and the members of the Commission, and Commissioner Sanchez as a liaison, Johnny with his plan, and all of us -- and, you know, if we go to Tallahassee to ask the Legislature for the only option that we have now in the City or Miami, which is the parking surcharge -- there is no other options. We need that parking surcharge at least until 2006 so we can -- whatever plans we have, you know, the Virginia K -.y, or Marine Stadium, or the rest of the Watson Island, we can -- we cannot go to Tallahassee telling the people that we have a balanced budget, that we have sone reserves, that we have many reserves and that we have to inflict a little pain on the people of Miami, and that the people even didn't even respond. I think that we have to go to Tallahassee saying that we are in danger, that we need their help, that we have dipped into the reserves, precisely because we feel that we deserve the parking surcharge, that we cannot tax more the people of Miami, that we cannot continue to obstruct the development of the City by imposing new fees on the business community and the residents. And that way, I think that we will get the help of the people in Tallahassee, especially the Dade Delegation. So I'll be honored to make the motion to instruct the Manager to take two million or three million, if that is the case, from the reserves to -- not to raise the fire The and the garbage fee. 269 September 13, 2001 Ms. Haskins: The numbers work out. This shows you what it does over the five years. We've reduced here the solid waste fee back to three twenty-five versus the proposal, and the fire fee to the sixty-one versus the proposal. And whin it docs in the reserves, it brings down the budget reserves to eight million, nine forty-five, and -- the budgeted surplus to eight million, nine forr.y- five, of which four point nine is required, and the four million, four is the undesignated. So it drops to seven point four million by three million, four twenty-six down to four million -o -for -y - five. And then what happens in 2003 is the four million, seven surplus drops to a million, three if we didn't get the parking surcharge hack, and then we start our deficits in the third year out Por a five-year .forecast. Vice Chairman Gort: Let's hear the projection of the parking surcharge. If the parking surcharge comes in, it changes the whole ball game. Ms. Haskins: That's right. Exactly. Mayor Carollo: But not only that. Let's, you know, lay things as they really are, because what we're working on are years out, a five-year plan that, because of the constraints that the Oversight Board has asked us to place upon it, we're very limited as to the real projections that we can place into the future, projection that, if we were allowed to put them in, we would not have those kind of deficits. For instance, I'll give you an example of one. The Watson Island RFP (Request for Proposals) that will be before this body soon, we can't show that into projections into the .future. But we all know that that's going to be bringing to this City a sufficient amount of dollars for that property into those out years. We could look at other properties in the same way. 'There are a lot of projections that we are not including in out years right now. Ms. Haskins: I agree with you. I think the revenue versus the expenses are very -- Commissioner Winton: I could not disagree more, i don't know how in the world -- Commissioner Teele: Disagree more. 1 could not disagree more. Commissioner Winton: How can you count revenues from something -- we don't have a permit. Nobody's got financing. ']'he economy is crazy as hell. That project may never get built, even if we vote on it on Monday. I mean, 1 would never accept a budget where we're projecting revenues from something that's still "pie in the sky." I mean, that's -- now a project, Mr. Mayor, where they've gotten the MUSP (major use special permit), they've just pulled their permits but - - and they're moving forward, you might think about sticking that over here in a corner somewhere, because you hope that it really gets done. But, boy, 1 mean, you can't -- we can't build in projections on stuff that's -- Ms. Haskins: That's where we're conservative -- 270 September 13, 2001 Vice Chairman Gori; Yeah, but let's be realistic. Our projections in the past budgets that we've put together, the projection in the ad valorem taxes was four percent. My understanding is the actual was eight percent. Vice Chairman Gort: But the economy was great. The economy is totally messed up right now. And I don't know where this economy is going. I don't think you know where this economy is going. So -- nobody knows where elle economy is going. And so we can't tun -- we can't, particularly on the expense side, we can't be plugging in a bunch of revenue projections that have no basis in real reality from a responsible public standpoint. We can only count revenue that we can count. We can't count revenue that's a projection. Mr. Gimenez: Commissioner, that's why we recommended the reserve level with the present contingenci.es. And if you remember, if we got the parking surcharge (inaudible) rebate those increases, because the parking surcharge, we may have a great chance, but it's not in the hand yet. And that's why, that's where, you know, myself and the Mayor disagree on the budget. it's as simple as that. Mayor Carollo: Well, the one thing that we know for sure is that the numbers that we're dealing with in this budget are pretty solid. Second, third, fourth, fifth year, 1 mean, we can have six people up here and have seven different opinions, you know. Vice Chairman Gort: That's trite. Mayor Carollo: But, see, we can deal with that. If we see that something is not panning out like we think, well, next budget, we deal with it in time. And then we can make some of the harder decisions. What I'm saying is that I don't believe we have to make those hard decisions now. Aria -- Conimissioner'fcele: Say that again, Mr. Mayor'? Mayor Carollo: 1 don't believe that we have to make those hard decisions now, in as far as raising garbage fee this year or raising the fire fee this year, if some of the things that we discussed don't come through, well, next budget, then we can take those steps in time. But just to have an additional cushion to bring in more money a year ahead of tine, I don't believe that we have to do that. And that's the only area in the budget that the Manager, the administration and I had a difference of opinion. Everything else, we worked closely together. 1n fact, I think we've done an excellent job in bringing this budget down to a level that we hadn't done in a long, long time. And the Manager, the Budget Director and others should be complimented on the hard work they did in doing that. But at the same time, I think that we have to lay the cards oil the table, that unless there are four votes to override a veto on the increase of fire and garbage, then I think that we need to come to a reality, because I will -- Commissioner Teele: Mr, Mayor -- Mayor Carollo: I wilt veto any increases in the fire fee or garbage fee this fiscal year. 271 September 13, 2001 Cotnmissioner Tecle: Mr. Mayor, if you were in Tallahassee, you would have just "`splained" it. You would have just'"splained" it. 'chat's called "splaining it." Mayor Carollo: "`Splaining it." Well -- Commissioner Teele: Because you don't get to vote, you don't get to make the motion, second the motion, but you just "`splained" it. Now, it's real clear where we are. And we can get out of here by 9 o'clock as far as I'm concerned, because it's going to be,three votes to do it your way. I'm not going to be one of them. ButI'm not going to be a protagonist or debate this. And 1 think, you know -- Commissioner Gort, are you going to second that motion that -- Who's going* to second? Vice Chairman Gort: I'll second. Commissioner Regalado: I'll make the motion. Commissioner Teele: You've already made the motion. Commissioner Regalado: I already [Wade a motion. Commissioner Teele: And, I mean, the Mayor is very clear on that. And I mean, I think this is a good example -- Cotnmissioner Regalado: Let me tell you, I have the support of the Mayor. Commissioner Teele: Well, I mean, I -- you know, I don't want stand in the way of you two guys kissing and making up. So -- What are you all doing later on tonight.? Commissioner Regalado: I got to go to sleep. I'll wait for you. Mayor Carollo: Commissioner, three is company. OK? Commissioner Winton: And Commissioner Teele, I'm probably on your side. I would absolutely not vote to take those reserves and reduce the -- particularly the garbage fee, because f think that I've felt all along -- i think you said the same thing -- we ought to be paying what it cost to provide the set -vice. And that's moving us closer in that direction. And if we were going to have a reduction somewhere in the amount of money, and we were going to take the same reserves, I would be applying it to the millage rate and reducing the millage rate further, said charge people what it really cost to pick up their garbage. Commissioner Teele: Aird that's why I wanted to get to the debate, because, 1 mean, there's no need in dragging this out. The Mayor is very clear, and I think this has been extremely helpi:ul. It's probably going to save us two hours tonight with you corning down saying that, and a lot of silly votes being made. Because the truth of the matter is, number one, I think it is bad public Policy for us not to continue to creep up the garbage fee to a point that it costs the -- that we 272 September 13, 2001 recover the cost to provide the service. And admittedly, the problem with the garbage fee is the tipping fee. And it's a hidden tax that the County -- Commissioner Sanchez: And the -- Commissioner Teele: It's a hidden tax that the County is imposing. But as long as you keep the garbage fees low, you basically keep the vultures of privatization circling, because there is an opportunity there. And my view is what we ought to be doing here is incrementally increasing. -- The only good thing that was said all night -- and nobody ever says anything good about the City -- is that somebody said. "My wife" or asked -- was it you? it's really good if you said it. That the only thing working right is the solid waste pickup. I happen to think a lot of other things are working much better, and 1 wanted to get into some of those issues. But I don't want to delay this process. 1 saw a garbage truck -- I'm trying to remember now exactly where it was yesterday -- broken down. It wasn't a garbage truck. It was a -- the thing that you -- the crane that you drop it into. Commissioner Sanchez: The crane. Vice Chairman Gort: The crane. Commissioner Teele: A hauler truck. Vice Chairman Gort: it was a hauler truck. Commissioner Tecic: It was orange in color, broken down somewhere, dead -lined. And by continuing to not fiend the solid waste, we continue to make a problem. I think that's a pool- public oorpublic policy issue. And l realize that's not a popular issue in my district. It's not good politics to raise the Cees on residential taxpayers, because that's who votes. But I want to say one thi..ng to the unions, because I think, you know, the events of the moment -- and Mr. Mayor, I've learned that you're going to hold a -- provide the leadership in holding an activity tomorrow, and I commend you, sir, for that. But I really do think that the events of the moment have not sunk 111. Mayor Carollo: They have not, and you're very correct in that, Commissioner. Commissioner Tccic: And I think for us, for this City to take money from reserves is literally playing Russian roulette with the public and with every employee of this City, because I'm going to tell you something. I'm not one to be for doom and gloom. There are two places that I can tell you right now that are going to take a bath financially in the next six months. Tile Bahamas, and Jamaica, and other tourism spots, and Miami. People are not going to get on airplanes. And this has nothing to do with the 'Latin Grammies. People are not going to get on airplanes and fly for the next 30 to 60 days. I had a meeting today with a young lady who wants to have a -- who is having festival downtown. And I told her candidly -- and Al Cardinas was in my office -- I said, listen, I don't know anything about what's happening, in Washington. She wants to h,Ave this festival oil the 28t" and 29"'. 'They're going to have it. It's an Afro -Cuban -Caribbean festival, in conjunction with Miami -Dade Wolfson Campus, And 1 hope that we would all 273 September 13, 2001 participate and celebrate that diversity. But 1 said, listen, there is going to be a response by the U.S. Government. That response is not going to be the delivery of flowers to Usama bin Laden. This thing isn't over, folks. And if there is one city in America that is totally sensitive to the whims of.tourists and visitors, it is the City of Miami. We happen to be the hottest destination in the world right now, in conjunction with Coral Gables, and South Beach, and Miami Beach, and Aventura and the rest. But I'll tell you right now, all of these budget projections that we're doing that rely upon state tax dollars that rely upon parking surcharges, which are not in here, or any other charges, you can take these assumptions and throw them out the window. We don't know where we are going. This is the first time this country has ever been into this situation. It's (lie first time this community is in this situation. But folks, to walk away from the reserves right now, in my judgment, is totally irresponsible from a fiscal point of view, knowing what we know. The worst has not even begun to hit from the economics of this community. I don't know if you -- I said something jokingly, but I don't know if you read the letter from John Henry. Commissioner Winton. We need to read that. Commissioncr Teele: But if you read this letter very carefully -- Commissioner Winton: You read it, right now. Put it on the public record. That's a public letter. Read it. Commissioner 'Tecle: The letter is to the Mayor, and Commission and Manager, dal;cd September 13`x': "Durr sirs, in light of the national tragedy and the ongoing effects of that tragedy on both major league baseball and the financial industry that is the core of Pnv business, I respectfully request your forbearance in the matter relating to the building of the nets Marlins Baseball Stadium dotwitown. " Paragraph. "I hope you do understand that my attention over the past few days has been focused and will continue to be focused first and foreniost on both baseball policy matters relating to the appropriateness of the indushy's resumption of play, and on the impact of the tragic events on niv clients and colleagues in the financial induslty. " Period. Paragraph. "I remain committed to seeing a baseball park built in South Florida, and move forivard with its progress at the appropriate time. Sincerely, John W. henry, Chairman. " What he says twice, in two paragraphs is, "I'm getting focused, folks, on my business and the impact of this tragedy on my business." And a man like Mr. Henry, who is, I understand, a billionaire, is not going to put in writing a letter like that, twice, underscoring his concern about the future of his business if lie's not concerned. I think we need to be very careful. I respect xhe Mayor. I respect my colleague, Commissioner Regalado, who probably saw this thing beiter than I did. And, I mean, we're going to dip into these reserves, but you know, let's hope for the best for our community and for our country. Commissioner Winton: Call (lie question, Mayor Carollo: 'There's a motion by Commissioner Regalado. Who seconded'? 274 September 13, 2001 Vice Chairman Gort: I did. Mayor Carollo: Commissioner Gort did. Can you call the roll, please? The following motion was introduced by Commissioner Regalado, who moved for its adoption: MOTION NO. 01-934 A MOTION AUTI-IORIZNG AND DIRECTING TBE CITY MANAGEIZ TO TAKE TWO MILLION DOLLARS (S2,000,000) OR THREE MILLION DOLLARS (S3,000,000) AS NEEDED, FROM THF, CITY'S FINANCIAL RESERVES IN ORDER THAT THE FIRE ASSESSMENT FEE AND THE GARBAGE FEE NOT BE RAISED. Upon being seconded by Vice Chairman Gort, the motion was passed and adopted by the following vote: AYES: Vice Chairman Wifrcdo Gort Commissioner Tomas Regalado Commissioner Joe Sanchcz NAYS: Commissioner Arthur E. Tceic, Jr. Commissioner Johnny L. Winton ABSENT: None Mayor Carollo: It passes three to two. VIr. Vilarello: Mr. Mayor, (lie item that is before you is the ordinance on the millage. I understand this was a motion directed to -- Mayor Carollo: It's a motion, Mr. Vilarello: -- the use of the reserves. Mayor Carollo: Now the ordinance, if you could read it, please? Mr. Vilarello: OK. The ordinance that I'm about to read states that the rolled back millage rate is 8.2909. That is being increased by 8.49 percent for the millage rate to be levied as 8.995, together with a millage of 1.2180 mills with regard to the debt millage. And the ordinance is -- Note for the Record: At this point, the Assistant City Attorney read the pending ordinance into the public record by title only, Mayor Carollo: Call the roll. 275 September 13, 2001 Commissioner Winton: Excuse me. Could I ask a question, please? We're required to read in to the public record the percentage increase in the rnillage rate from the roll back number to our actual millage rate. Mr. Vilarello: Correct. Commissioner Winton: Why are we not required to read into the record the percentage change in the millage rate for our debt service and a reduction in the millage rate for our debt service? Mr. Vilarello: You certainly can provide that information to the public. Vice Chairman Gort: I thought you did. Mr. Vilarello; But (lie debt millage rate is set by -- Commissioner Winton: There is a reduction. I'm well -- OK. So maybe we're not required, but we ought to at least say it. 1 mean, that was almost a -- what Was that? Eight percent? Seven, eight percent decrease? Ms. Haskins: It's a decrease. Commissioner Winton: Yeah, but what percent? Ms. Haskins: It's a decrease. We're going to get that right now. Mayor Carollo: Commissioner Sanchez moves this ordinance. Commissioner Gort seconds it. Would you call the roll? An Ordinance entitled — AN ORDINANCE OF THE MIAMI CITY COMMISSION, DEFINING AND DESIGNATING THE TERRITORIAL LIMITS OF 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, 2001 AND ENDING SEP'T'EMBER 30, 2002, CONTAINING A SEVERABILITY CLAUSE.: AND PROVIDING FOR AN EFFECTIVE DATE. 276 September 13, 2001 was introduced by Commissioner Sanchez, seconded by Vice Chairman Gort, and was passed on first reading by title only, by the following vote: AYEIS: Vice Chairman Wifredo Gort Commissioner Tomas Regalado Commissioner Joe Sanchez Commissioner Arthur• L. Tccic, Jr. Commissioner Johnny L. Winton NAYS: None ABSENT: None Mayor Carollo: 1s there anything else that needs to be brought up on -- Vice Chairman Gort: Anything else on the budget'? Mr. Vilarello: The next ordinance is your budget ordinance, and that's where you have to make the changes you discussed. Commissioner- Teele: You want to move it as amended'? Commissioner Regalado: 1'rn sorry?. Commissioner Tecle: You want to move as -- Commissioner Sanchez: So -- Commissioner Regalado: Yeah, I'll move it as amended. Mayor Carollo: Moved by Commissioner Regalado, Commissioner Regalado: As amended. Commissioner Sanchez: Second as amended. Mayor Carollo: Seconded by Commissioner Sanchez. Ms, Haskins: I'M sorry, Commissioner Teele: Mr. Attorney, would you state oil the record clearly the two amendments that I think -- the three amendments you're making? Mr. Vilarello: Well, I'm familiar with one. Tf you could announce just exactly what we're talking about in terms of the reduction of the reserves? 277 September 13, 2001 Ms. Haskins The amendment to the budget? Mr. Vilarello: Yes. We're on the budgct. Ms. Haskins: Yes. The amendment to the budget would be -- Mr. Vilarello: Mr. Mayor, perhaps while she's looking at that Figure, I can address two other procedural issues that will have to be dealt with. With regard to the proposed amendments to the budget, we will have to amend the Financial Integrity Ordinance. That requires reserves as a higher amount that this new budget contemplates. And it further requires an amendment to the Solid Waste Ordinance, which, as it's written today, provides for three hundred and forty-five dollars ($345) for residential solid waste removal, and which is an ordinance which is already in e ffect. Mayor Carollo: You are correct on that. It does require that. Mr. Vilarello: And we will prepare ordinances to that effect for the next meeting. Mayor Carollo: If you could come back with those in the next few minutes, unless you would like them from the floor without writing them and -- whichever you prefer. Mr. Vilarello: Well, we could certainly get an ordinance -- The Solid Waste Ordinance would be easy enough to prepare. The Financial integrity Ordinance will take us a few minutes to confer with the Budget Director. Mayor Carollo; Then we'll go ahead and wait for you to do that before we bring this up again. 278 September 13, 2001 69: AUT IOI >E tr4M1V1[JNITY RlELATIONS BOARD TQ. rROL-L!.p (APPROXIIV�AT LY -$3 -000)-ON thfS BUDGET, 6k -,FISCAL �'B` r 200 20011 X70 FISCAL`V -2-001 =2602: Chairman Rebalado: Mr. Chairman, 1 have to make a notion regarding some funding for the Community Relations Board. So, the Community Relations Board had a budget in this ,year of forty thousand dollars ($40,000). They only spent about one thousand dollars ($1,000). We need to rollover this -- the rest of the budget for next year, so they can use it. And, also, if they that they can use money for seminars and what is left of this fiscal year. So, that would be my motion, to -- Conimissloncr Tcele: What's the -- second the motion. What's the organization? Chairman Regalado: Community Relations Board of the City of Miami. They had a budget of Forty thousand dollars ($40,000). They only spent, because of delays in the budget process, only one thousand dollars ($1,000). So, the budget director recommended that I made this motion to rollover the rest of the money, and to allow them to spend -- because they were told by the person, that is the liaison, that they cannot spend money during August, something like that. Vice Chairman Gort: 'there's a motion. is there a second? Chairman Rcgalado: She knows. She knows. Commissioner Sanchez: Second. Vicc Chairman Gort: Any further discussion? Being none, all in favor state it by saying "aye." The Commission (Collectively): Aye. 281 September 13, 2001 The following motion was introduced by Commissioner Regalado, who moved its adoption: MOTION NO. 0 1 -936 A MOTION AUTHORIZING THE COMMUNITY RELATIONS BOARD TO ROLLOVER THE BALANCE (APPROXIMATELY $39,000) ON ITS BUDGET FOR FISCAL YEAR 2000-2001 TO FISCAL YEAR 2001-2002. Upon being seconded by Commissioner Tecle, the motion was passed and adopted by the following vote: AYES: Vice Chairman Wifredo Gort Commissioner Torras Regalado Commissioner ,loe Sanchez Commissioner Arthur E. Teele, Jr. NAYS: None. ABSENT: Commissioner Johnny L. Winton 282 September 13, 2001 70, CLARIFICATION- {$Y ED�;'PIDEPtMANN ON"',`BUDGET PRESENTATION ANDz FUTURE USE OF,.UNANTICIPATED REVENUES SUCH` AS RfiINSTATEIyIIENT C►F; PARKING SURCH►RGE. Chairman Regalado: Linda -- Vice Chairman Gort: Nine Eleven. Chairman Regalado: We already passed the Community Relations Board motion. Linda Haskins (Budget & Management Analysis): Oh, great. Thank you. Vice Chairman Gort: Yes, sir. Ed Piderniann: My name is 17sd Pidermana. I represent the Miami Association of Firefighters, and I just had a question or a point of clarification for the administration. In the budget presentation, this was a list of items that would be recommended and in event of any unanticipated revenues, like for instance, the reinstatement of the parking surcharge, and I just want to clarify whether at this point, that's just a recommendation. And in the event of any unanticipated revenues, then action would have to be taken by the Commission or am I right? Or is that -- Commissioner Sanchez: You're right, if that -- if the parking surcharge is reinstated -- Mr. Pidermann: Or any unanticipated revenue. Commissioner Sanchez: Yeah, or any anticipated -- then we would be able to add -- at the will or l.hc Commission, snake the appropriate -- Mr. Pidermann: Because there was a listing of different recommendations from the administration, but several points were brought up, like Commissioner Sanchez mentioned, the areas of deficiency and the fire -rescue response. Vice Chairman Gort: We all agree with that. Mr. Pidermann: I'd just like that not to be lost in the shuffle. And the intent ofthe Commission that -- you know, things need to be prioritized. Vice Chairman Gort: Yes. Mr. Pidernlann: And, obviously, public safely has to be at the top of that list of priorities. And I just want to keep that fresh in everyone's mind. Vice Chairman Gort: We all agree to that. And also, the parking surcharge comes back, oric thing we need to do is reduce taxes. If Nve reduce the millages, I don't mind increasing the sanitation part. 283 September 13, 2001 Carlos Gimenez (City Manager): laddie, you will notice that recommendations (INAUDIBLI'i) was to enhance services. Commissioner Sanchez: Mr. City Manager, also, one of the recommendations that I would like to put on the record, if we're able to get the parking surcharge back, would be to allocate the necessary finds to staff a rescue unit, where it's needed the most, where response time is more than eight minutes. And I'm sure that with the fire fee, if that -- ever does happen, we can build a station for that. So, that's -- I just want to put on the record that it's my intent, at this appropri<<te time, I will ask the City Attorney to draft the proper documents to proceed with that. But it's on the record and 1 just wanted -- and 1 stated very clearly -- very clearly I stated it. People don't mind paying for a service, and if you're going to put a rescue station in and area that needs it, I don't think there's anybody here that would oppose that, knowing that if they need emergenoy assistance, they're going to have it there, all right. So, it's on the record. At the appropriate lime, when the finding becomes available, I will champion that cause. I give you my word. Mr. Pidermann: Thant: you very much. And !'m sure the people of Miami thank you, especially in that Coral Way, that south part of the City, where they do have those six- to eight-, even 10 - minute response times. Those are the people that are benefited. ft won't benefit the firefighters. It will benefit the people that live in those areas that have the deficient response times. Commissioner Sanchez: Thank you. 284 September 13, 2001 • 71. FIRST `BEADING URA13\IANCE. IVIAE :. `APPOPRIATIQNS RT.,AT1NG OPFiRATIOI�TAI. SIVA B TDGI✓'TARY REQiJIREME�TTS. FOR=.BISCAkt Y$AT��„ENDUS S1�P�'Lxt 30, 20029 RVISE;ONQOINGrCAFI'A ItOVEMENT+ PROJBC'>S; '' ,MAKINGAEPROPRIA'TIU,h�9, FOR I 4W PROJP , ' SC EDULED TMJ EI Ii�T I F SCA4T YEARU01�=2Q02:(Sl.G7 1:' Commissioner Tecle: You ready? Linda Haskins (Budget &Management Analysis): Yes. Commissioner Tecie: We ought to get on out of here now, because -- 1 mean, I've got my blue pages still. Ms. Haskins: The amendments to the ordinance are on page 2 of 16, the first paragraph, the budget for the fiscal year 2001-2002 is 319.5 million. The total budget for all funds should be 534.8 million. In the third paragraph, the total amount derived from taxes should be 147421816. On page 3 of 16, departmental budget: There's a floor amendment to the proposed amendment for the sore changes we made to the way the police is delivering its expense cuts, which required a change in (tie police budget. The police budget should read 8708605.5, r1c-11- departmental accounts as a result of this change and the floor amendment oil police should read: 286,971.74. Total general find: 319,530,611. In the reserve section, undesignated reserves should read: 4,045,866. And total reserves should read: 8,945,866. On page 4 of 16, charges for services, should read 68,094,311. Total general fund revenues should read 319,530,61.1. And finally, on page 7 of 16, as a result of the change in the police delivery of their expense cuts, on line -- on item 34, page 7 of 16, Item "B” should read 633.8, and iter "L" should read 2166.2. That's it. Vice Chairman Gort: OK. What's the -- do we have the changes? Alejandro Vilarello (City Attorney): This is the adoption of the tentative budgets. You can adopt the ordinance, and we'll have the other changes ready for you coming up. This is just a tentative budget. Vice Chairman Gort: OK. To -- Commissioner Winton: So, what do we do now? Mr. Vilarello: So, now I need to read the ordinance -- Vice Chairman Gort: You need a motion to -- Mr. Vilarello: A motion to -- Commissioner Sanchez: Torras moved it as amended. I seconded it as amended. Walter roernan (City Clerk): Yes, 285 September 13, 2001 Mr. Vilarcllo: And if you -- Commissioner Teele: What is this? Commissioner Sanchez: Commissioner Regalado. Vice Chairman Gort: That was passed already. Commissioner Sanchez: No, no, no. Mr. Foeman: No. Commissioner Winton: It's approving the budget as we've restated it, is that correct? Conunissioncr Sanchez: As amended. Vice Chairman Gort: It's a motion -- Commissioner Sanchez: Commissioner Regalado moved it. Vice Chairman Gort: Motion. You seconded it. Commissioner Sanchez: I second it. Vice Chairman Gort: Call the question. Mr. Vilarcllo: Mr. Chairman, you should open the public hearing and close the public hearing on this discussion. Vice Chairman Gort: On the new changes, on the amended budget, public hearing. Would anybody like to address the amendment to the new budget? Show no one come forward. Close the public hearing. Mr. Vilarello This is an ordinance of the Miami City Commission, making appropriations relating to operational and budgetary requirements for fiscal year ending September 30 -- oh, l'm sorry. Vice Chairman Gort: Sure. Mr. Vilarello: I'm sorry. Vice Chairman Gorl: Go ahead. Christopher Petit: Well, thank you very much. I know it's been a long day and a long week, so I'll be very short. I just want to say my name is Christopher Petit. 1. live on 3100 Ohio Street. 286 September 13, 2001 And I have seen the taxes come recently, and there was an increase of 30 percent on the value of the property and, consequently, on the taxes. Also, my friend tenant, lie also has been a filly thousand dollar ($50,000) increase on the value of the property. So, I've not seen really an increase of 30 percent in the improvement in the neighborhood. Commissioner Winton: Is there Homestead Exemption? Mr, Petit: I have no -- yes. But -- Commissioner Winton: You have Homestead Exemption? Mr. Petit: I do. Commissioner Winton: Did you just buy the property? Mr. Petit: No. It was four years ago. But I got the exemption this year. Commissioner Winton: So, how does his properly tax jump by -- Carlos Gimcnez (CityManager): It's supposed to go up, but this is Homestead. it's only -- by state law, it can only go up 30 percent. Mr. Petit: But because it is duplex, like the other lady here with mc, there is only capital on the part of it, and the second part is really -- Commissioner Winton: You know, that happens in investment properties, when they go up in value. Mr. Petit: That's right. i understand. And I understand -- Commissioner Winton: F-lappens to mine. Mr. Petit: I understand the Grove is turning into a town home -- town houses. Everywhere you turn, you see one. No trees in the town house. Commissioner Winton: Well, when you getready to sell, the good news is, you're going to make a lot of money. Mr. Petit: That's all right. But that's -- Commissioner Winton: But you've got to pay your fair share of taxes, while it's going that way. Mr. Petit: 'That's right, Commissioner. But that suppose that we all like real estate people, which is not the case. We don't intend selling. The reason why sonic of us are here is because we're religious ministers, and the church is here, and we want to live close to the church, Of course, when we want to sell it, that's fine, but we don't want to sell. We intend to be in the Grove and 287 September 13, 2001 live here, so -- if there was some way to avoid that, you know -- sonde properties have even been sold twice -- three times in the year. So, that kind of increase is real high for no reason, for the people really want just to be residents and live here. I wonder if there is any adjustment can be made so that we are not all treated like real estate people. Vice Chairman Gort: 'there's an appeal process. The County's the one that sets the assessment value of the property. The County does have an appeal process, where you can go to the County and make your appeal to them. Sometimes they'll reduce it. What we did today here, we reduced your taxes by twenty-nine dollars ($29) in each house. Mr. Petit: Thank you very much. Vice Chairman Gort: OIC? Mr. Petit: Well, thanks for - Vice Chairman Gort: Thank you, sir. Mr. Petit: -- giving me the chance. Thank you. Vice Chairman Gort: Thank you. Anyone else? I'm sorry. Read the ordinance. Commissioner Sanchez: It was a public hearing. Vice Chairman Gort: Roll call, An Ordinance entitled — AN ORDINANCE OF THE, MIAMI CITY COMMISSION MAKING APPROPRIA'T'IONS RELATING TO TETE OPERATIONAL BUDGETARY REQUIREMENTS FOR FISCAL YEAR ENDING SEPTEMBER 30, 2002; REVISING ONGOING CAPITAL IMPROVEMENT PROJECTS, MAKING APPROPRIATIONS FOR NEW PROJECTS, SCHEDULED TO BEGIN IN FISCAL YEAR 2001-2002; CONTAINING A REPEATER PROVISION AND A SEVERABILITY CLAUSE. 288 September 13, 2001 was introduced by Commissioner Regalado, seconded by Commissioner Sanchez, and was passed on first reading, by title only, by the following vote: AYES: Vice Chairman Wifredo Gort Commissioner Tomas Rebalado Commissioner Joe Sanchez NAYS: Commissioner Artbur E. Tecle, Jr. CommissioncrJohnny L. Winton ABSENT: None. The ordinance was read by title into the public record by the City Attorney. 289 September 13, 2001 80. FIRST ,REAAIIVG (7RDINANCE� RELATE TOS TAXATIQI+�T,� DEFI11✓ 1ANp DESIGiVATE TERRI'I�ORIAL LI1viIT� OF DQ\NNT6W. N D$VEI;QPI+II �]�' DIST ?G'T OIC CIT, FIXING IViILLt#GE SND >�EV'Siti17C� . ,AXErS x ;IN S►IA OVYI�ITOWN DE MLQPIV E!w T ;DISTRICT ,FOR FISCAL YBAZ�t �BE(�r� G O TOBEI�, >L, 2pQ1 ANDz; ENDING' � I p, 'LMBE�R 34, 2042,4 . AT x;�FIVF.�T, #tS M' I t1I. s OT1 DOLIi� AR OR`; N0NBXEIV PTnASSESSIrD VAL-UE 0 ALL"RNAUEANNA:'$ RSOT�fiAL PI�QPEl�'I'Y';T1�T S °1D: Vice Chainnan Gort: Now we've got to go into the other budgets that we have to approve, Commissioner Sanchez: Off -Street Parking, Bayfront Park. Vice Chairman Gort: No, 1 don't know about Off -Street Parking, OK. What's next? Alejandro Vilarello (City Attorney): I believe the DDA (Downtown Development Authority) is next. Item 51, which is the discussion of proposed millagc rate and tentative budget for the Downtown Development Authority. Vice Chairman Gort: Do I have a motion? Commissioner Sanchez: So moved. Vice Chairman Gort: is there a second? Commissioner Teele: Second. Vice Chairman Gort: Anybody in the public would like to address the millage for the Downtown Development Authority district? Mr. Vilarello: For the purpose of the hearing, the percentage increase in the millage over the rollback rate is 11 percent. The millage remains at live -tenths of a mill. Vice Chairman Gort: OK. Roll call. 306 September 13, 2001 • An Ordinance entitled E AN ORDINANCE, WITH ATTACHMENT(S), RELATING TO TAXATION, DEFINING AND DESIGNATING TL-"RRITORIAL LIMITS OF DOWNTOWN DEVELOPMENT DISTRICT OF CITY OF MIAMI, FLORIDA; FIXING THE MILLAGE AND LEVYING TAXES IN SAID DOVv'NTOWN DEVELOPMENT DISTRICT FOR FISCAL YEAR BEGINNING OCTORF;R. 1, 2001 AND ENDING SEPTEMBER 30, 2002, AT FIVE -TENTHS MILLS ON THE DOLLAR OF NONEXEMPT ASSESSED VALUE OI, ALL REAL AND PERSONAL PROPERTY IN SAID DISTRICT; PROVIDING THAT SAID MILLAGE AND THE LEVYING OF TAXES WITHIN ,ri-IF TERRITORIAI.. LIMITS OF THE CITY OF MIAMI AS REFLECTED IN THE CITY'S MILLAGE LEVY ORDINANCE FOR THE AFORESAID FISCAL YEAR, WHICH IS REQUIRED BY THE CITY CI-LARTER SECTION 27, PROVIDING THAT 'THE FIXING OFTHE MILLAGE AND LEVYING OF TAXES HEREIN SHALL BE INT 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 THERETO; CONTAINING A REPEALER PROVISION, SEVERABILITY CLAUSE AND PROVIDING FOR AN EFFECTIVE DA7'I3. Was introduced by Commissioner Sanchez, seconded by Commissioner Teele, and was passed on first reading, by title only, by the following vote: AYES: Vice Chaiman Wifi•edo Gort Commissioner Joe Sanchez Commissioner Arthur E. Teele, Jr. Commissioncr Johnny L. Winton NAYS: None. ABSENT: Commissioner Tomas Regalado The ordinance was read by title into the public record by the City Attorney, Alejandro Vilarelto (City Attorney): Next is the ordinance for the DDA budget. Vice Chairman Gort: Do I have a motion, DDA? Commissioner Winton: So moved. Commissioner Tecle: Moved -- second. Vice Chairman Gort: It's been moved and seconded. Any discussion? Roll call. 307 September 13, 2001 LJ An Ordinance entitled - - • AN ORDINANCE MAKING APPROPRIA'T'IONS FROM THE DOWNTOWN DEVELOPMENT DISTRICT ADVALOREM TAX LEVY. AND OTHER MISCELLANEOUS INCOME FOR THE DOWNTOWN DEVELOPMENT AUTHORITY OF THE CITY OF MIAMI, FLORIDA, FOR THE FISCAL YEAR BEGINNING OCT013ER 1, 2001 AND ENDING SEPTEMBER 30, 2002; 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, 2001 AND ENDING SEPTEMBER 30, 2002 FOR THE OPERATIONS FOR THE CITY OF MIAMI; CONTAINING A REPEALER PROVISION, SEVERABILITY CLAUSE AND PROVIDING FOR AN EFFECTIVE DATE. Was introduced by Commissioner Sanchez, seconded by Commissioner Tccle, and was passed on first reading, by title only, by the following vote: AYES: Vice Chairman Wifredo Gort Commissioner Joe Sanchez Commissioner Arthur E. Tecle, Jr. Commissioner Johnny L. Winton NAYS: None. ABS1 NT: Commissioner Tomas Regalado The ordinance was read by title into the public record by the City Attorney. 308 September 13, 2001 $I. _ IMPOSING FIRE ,SSESSMENT! ' AGAINST ASSESSEA PROPERTY.. LbCATE&; WITHIN=:CITY FOR FISCAL YEAR:BEGINNJNG OGT f3 HER 1,2001. (SEE G7, 109), Alejandro Vilarello (City Attorney): The next is a proposed resolution of fire -rescue final assessment. That needs to be modified to reflect -- Commissioner Winton: A vote tonight, right? Mr. Vilarello: But there's no increase, Commissioner Sanchez: Move, as amended, or modified. Mr. Vilarello: it's so that single-family rate per dwelling unit would be sixty-one dollars ($61) and, consequently, the balance of those dollars would be amended. This is a resolution. Vice Chairman Gort: Is there a motion? Commissioner Sanchez Motion to approve, as modified. Vice Chairman Gort: Second? Is there a second? Commissioner Teele: Second. Vice Chairman Gort: OK. Any discussion? Being none, all in favor state it by saying "aye." The following motion was introduced by Commissioner Sanchez, who moved its adoption: MOTION NO, 0 1 -942 A MOTION RELATING TO THE PROVISION OF FIRE SERVICES, FACILITIES AND PROGRAMS IN THE CITY OF MIAMI, FLORIDA; IMPOSING FIRS: ASSESSMENTS AGAINST ASSESSED PROPER'T'Y LOCATED WITHIN' THE CI'T'Y OF MIAMI FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2001 SO THAT THE SINGLE FAMILY RATE PER DWELLING UNIT WOULD BE $01, THEREBY AMENDING THE BALANCE OF THOSE DOLLARS; APPROVING THEE, RATE OF ASSESSMENT; APPROVING TIIH ASSESSMENT ROLL, AND PROVIDING FOR AN EFFECTIVE DA'Z'E. 309 September 13, 2001 Upon being seconded by Commissioner Teele, the motion was passed and adopted by the following vote: AYES: Vice Chairman Wifredo Gort Commissioner Joe Sanchez Commissioner Arthur E. Tccic, Jr. NAYS: Commissioner Johnny L. Winton ABSF,NT: Commissioner Tomas Regalado Mr. Vilarello: Commissioners, there's one issue 1 have not brought back. before your attention. This resolution will be forwarded to the County, before the 18th, and will not be able to be amended or modified without notice to all members of the public. And this is a public hcaring. This is the resolution on the fire assessment. In other words, this isn't coming back to you in two weeks. This is it. Your final decision on this issue. Vice Chairman Gort: Right. Commissioner Winton: So, we just voted on (INAUDIBLE) Vice Chairman Gort: Yeah, Commissioner Sanchez: You're on the record as a "no" vote, Johnny. Commissioner Winton: Did it pass? Vice Chairman Gort: Yeah. Commissioner Winton: I didn't hear Commissioner Tecle vote. Commissioner Sanchez: Yes, three to one. Mr. Vilarello: Mr. Chainnan, could we open the public hearing and close the public hearing on this item? Commissioner Tecle: What was the item? Vice Chairman Gort: Public hearing. Commissioner Winton: Fire assessment. Commissioner Teele: No, no, no, no, no. Come on. Don't do that. I voted "no." Vice Chairman Gort: And now we -- a motion reducing the fire assessment. Now do you vote? 310 September 13, 2001 Commissioner Teele: 1 vote "no." Commissioner Sanchez: He's going to retract his vote. He voted "yes." hie moved the motion. Commissioner Winton: He didn't vote. Commissioner Sanchez: Oh, he seconded it. Walter Focman (City Clerk): He seconded it. Commissioner Teelc: Who (lid? Mr. Foeman: You did. Commissioner Teele: Yeah, for the purpose of discussion. Commissioner Winton: It didn't mean he had to vote -- for discussion only, he didn't have to vote "yes.". Commissioner Sanchez: For the purpose of discussion. Mr. Vilarello: Mr. Chairman, if we could correct the record, please. And the public hearing was not opened and closed before the vote. Commissioner Tecic: The public hearing wasn't opened. Vice Chairman Gort: Opened the public hearings, I did. And I called. Nobody came forward (INAUDIBLE) Vice Chairman Gort: l don't believe on this item, Commissioncr. OK. Chainnan Regalado: What do we have, a motion to -- Mr. Vilarello: Would you solicit a motion to reconsider? Chairman Regalado: -- we have it motion to eliminate the fire fcc? Commissioner Sanchez: Move to accept, as adjusted or amended. That was my motion. Commissioner Teele seconded it, but he has retracted his second. Commissioner Tecle: For purpose of discussion. Chairman Regalado: Some day he'll vote "no." Commissioner Winton: OK. What's the vote? 311 September 13, 2001 Mr. Vilarcllo: Mr. Chairman, the vote was already taken. Could 1 ask you to reconsider -- Commissioner Teele: That's fine. That's fine. They didn't have a public hearing, then Fine. 1 suggest you all do this right, if you want to do it. Mr. Vilarcllo: Consider reconsidering the motion. Commissioner Sanchez: Vice Chairman Goin: Reconsider the motion. Commissioner Sanchez: Motion to reconsider the motion. Commissioner Teele: Second. Vice Chairman Gort: Moved and second. All in favor state it by saying "aye." The Commission (Collectively): Aye. The following motion was introduced by Commissioner Sanchez, who moved its adoption: MOTION NO. 0l -943 A MOTION TO RECONSIDER PRIOR VOTE ON MOTION 01-942 RELA114D TO THE FIRE ASSESSMEN'T'S AGAINST ASSESSED PROPERTY LOCATED WITHIN THE CITY OF MIAMI. Upon being seconded by Commissioner Teele, the motion was passed and adopted by the following vote: AYES: Vice Chairman Wifredo Gort Commissioner Tomas Rcgalado Commissioner Joe Sanchez Commissioner Arthur E. Teele, Jr. Commissioner Johnny L. Winton NAYS: None. ABSENT: None. Commissioner Sanchez: Public hearing. (COMMEN'T'S OPT THE RECORD) Commissioner Teele: Now, you need to make the motion. 312 September 13, 2001 Mr. Vilarello: Now you make the motion. Motion to approve. Commissioner Sanchez: Move to approve, with amendments. Mr. Vilarello: Second? Vice Chairman Gort: Public hearings. All of you please come forward. Commissioner Winton: Do we have a first and a second? Commissioner Sanchez: Yes. 1 moved it. Commissioner Regalado: Yes. Commissioner Sanchez: Commissioner Regalado seconds it. We opened the public hearing and closed it. Vice Chairman Gort: Show that no one has come forward. We close the public hearing. All in favor state it by saying "aye." The Commission (Collectively): Aye. Commissioner Teele: It's an ordinance. Commissioner Sanchez: it's an ordinance. Vice Chairman Gort: Already read it. Commissioner Tecle: Isn't that an ordinance'? It's a resolution, I vote "no." Walter Focman (City Clerk): It's a resolution. Commissioner Sanchez: So it passes three to two. 'three "yes," two "no." It passes. Vice Chairman Gort: Next, 313 September 13, 2001 0 • 'The following resolution was introduced by Commissioner Sanchez, who moved its adoption: RESOLUTION NO. 01-944 A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENTS, RELATING TO THE PROVISION OF FIRE SERVICES, FACILITIES AND PROGRAMS IN THE CITY OF MIAMI, FLORIDA; IMPOSING FERE ASSESSMENTS AGAINST ASSESSED PROPERTY LOCATED WITHIN THE CI'T'Y OF MIAMI FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2001; APPROVING THE RATE OF ASSESSMENT; APPROVING THE ASSESSMENT ROLL; AND PROVIDING FOR AN hl--I'-E('TIVF DATE. (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Commissioner Regalado, the resolution was passed and adopted by the following vote: AYES: Vice Chairman Wifredo Goi-t Commissioner `l'omas Regalado Commissioner ;loc Sanchez NAYS: Commissioner Arthur E. Teele, Jr. Commissioner Johnny L. Winton ABSENT: None, 314 September 13, 2001 F2. --IMPOSING SOLID `WAIST ASSIISSMENT.S AGAINST ASSESSED PROPERTY LOCATEp` WITHIN CITY. FOR FISCAL Y] AR BI�GIt�jN 1�TG OCTOAE:R '1, Alejandro Vilarello (City Attorney): The same procedure with regard to the Solid Waste assessment, as amended. As I understand it, to -- Commissioner Sanchez: So moved, as amended. Mr. Vilarello: -- create 25 -- Vice Chairman Gort: It's been moved by Commissioner Sanchez. Seconded by Commissioner Regalado. Mr. Vilarcllo: -- per dwelling unit. Vice Chairman Gort: I'm going to open the public hearings. All of you in the public would like to come forward? Commissioner Sanchez: They all went home. Vice Chairman Gori: Show no one comes forward. Close the public hearings. All in favor state it by saying "aye." The following resolution was introduced by Commissioner Sanchez, who moved its adoption: RESOLIJT10N N. 0 1 -945 A RESOLUTION OF THE MIAMI CI'T'Y COMMISSION, WITH ATTACHMENTS, REMITTING TO THE PROVISION OJT SOLID WASTE SERVICES, FACILITIES AND PROGRAMS IN THE CITY OF MIAMI, FLORIDA; IMPOSING SOLID WASTE ASSESSMENTS AGAINST ASSESSED PROPERTY LOCATED WITHIN THE CITY OF MIAMI FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2001; APPROVING THE RATE OF ASSESSMENT; APPROVING THE ASSESSMENT ROLL; AND PROVIDING FOR AN EFFECTIVE DATE. 315 September 13, 2001 (Here follows body of resolution, omitted here and on lite in the Office of the City Clerk.) Upon being seconded by Commissioner Regalado, the resolution was passed and adopted by the following vote: AYES: Vice Chairman Wifredo Gort Commissioner Tomas Regalado Commissioner Joe Sanchez NAYS; Commissioner Arthur E. Teele, Jr. Commissioner Johnny L. Winton ABSENT: None. Commissioner Sanchez: Let the record reflect 3/2. 316 September 13, 2001 83. APP1i3O:AND AlaOP'I'-ANN[J' Bj7D4Efi OFrSHAYFIQNT P�rItK,Ni1NACIVIENT:- TRUST, $3,sal,`�,839, �Q PRQIDE< F4R x UPEItAT'Ipf& tIAIN,TL�%AT(:E QN; 1V_ILDED �1ND _CL�4UI'PEPP$1+; BAXFRQNi i�RI,�FQR`FYCAL `Y+.AR,?�Q } Vice Chairman Gort: Next. Alejandro Vilarello (City Attorney): Commissioners, the Bayfront Park Management Trust budget. That is a resolution. Vice Chairman Gort: (INAUDIBLE). I've got to any about that one. Commissioner Sanchez: So moved, Mr. Chairman. Commissioner Teele: Second. Commissioner Winton: Second. Vice Chairman Gort: You second it? Commissioner Winton: Yeah. Vice Chairman Gort: it's been moved and second. is this a public hearing also? Commissioner Toole: No. Mr. Vilarello: It's a resolution. Vice Chairman Goil: It's a resolution. All in favor state it been saying "aye." The Commission (Collectively): Aye. 317 September 13, 2001 The following resolution was introduced by Commissioner Sanchez, who moved its adoption: RESOLUTION NO, 0 1 -946 A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S), APPROVING AND ADOPTING TI --IE ANNUAL BUDGET OF THE BAYFRONT PARK MANAGEMENT TRUST, IN TliR AMOUNT OF $3,517,839, TO PROVIDE FOR THE OPERATIONS AND MAINTENANCE OF MILDRED AND CLAUDE PEPPER BAYFRONT PARK, FOR THE FISCAL YEAR COMMENCING OCTOBER 1, 2001 AND ENDING SEPTEMBER 30, 2002. (here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being secondee! by Commissioner Teele, the resolution was passed and adopted by the following vote: AYES: NAYS: ABSENT: Commissioner Teele: Good.job. Vice Chairman Wifredo Gort Commissioner Tomas Regalado Commissioner Joe Sanchez Commissioner Arthur E. Teele, Jr. Commissioner Johnny L. Winton None. None. 318 September 13, 2001 84: AAPROVE; AND ADOPT ANNUAL B10DGET�;OF DEPARTMENT OF. O]E F;STREET x IS G FOR, FISCAL,; YEAR; .2002;, $8 T7r5 8'1"9 'EXCLUDE DEPRECIATION, AND,: OTHER NON-OPERATING, �X, tM S .OF $2,104,434 - Vice Chairman Gort: Next. Alejandro Vilarello (City Attorney): Next is a resolution of the Department of Off -Street Parking. A budget of the department -- of Off -Street Parking. Vice Chairman Gort: Off -Sheet Parking. Commissioner 'reole: 1 would move the budget of Off -Street Perking. Commissioner Winton: Second. Vice Chairman Gort: It's been moved and second.. Any discussion? Being none, all in favor state it by saying "aye." The Commission (Collectively): Aye. The following resolution was introduced by Commissioner'feele, who moved its adoption: RESOI.,UTION NO. 0 1 -947 A RESOI.,UTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENTS, APPROVING; AND ADOP'T'ING THE ANNUAL, BUDGET OF THE MIAMI PARKING AUTHORITY ('I'TIE DEPARTMENT OF OFF- STREET F -STREET PARKING), FOR FISCAL YEAR COMMENCING OCTOBER 1, 2001 AND ENDING SEPTEMBER 30, 2002, AT'T'ACHED AND INCORPORATED, IN TIIE AMOUNT OF $8,176,819, EXCLUDING DEPRECIATION, AND OTHER NON-OPERATING EXPENSES OF $2,104,434. 319 September 13, 2001 • (Here follows body of resolution, omitted here and on file in the Office of the City Clerk.) Upon being seconded by Commissioner Sancliez, the resolution was passed and adopted by the following vote: AYES: Vice Chairman Wifredo Gort Commissioner Tomas Rcgalado Commissioner Joe Sancho Commissioner Arthur E. Teele, Jr. Commissioner Johnny L.Winton NAYS: None. ABSENT: None. 320 September 13, 2001 85, APPROVE ANT. ADOPT A}yNUAL{'BUDGET O'F DEPARTMjSNT OF OFF-STR�I�.T FARKINT OR'FZSGA 'YEAR. 25 EXCLUDE DEP�tECIAT�QZ`I, TOP.ROV.DE FOR OPERATION OF G�iJSM ' C) LATER `FOR :P1✓I�FOW"' ING ARTS AND DI,YMPIA Vice Chairman Gort: Any other items on budget? Alejandro Vilarello (City Attorney): Yes. A resolution of the I)cpartmcnt of Off -Street Parking related to the Gusman Center, Commissioner Winton: So moved. Mr. Vilarello: And the Olympia Building. Vice Chairman Gort: It's been moved and second. Chairman Regalado: Second, Cominissioncr Teele: What does that resolution do on Gusman? Mr. Vilarello: h provides for the departments' operating; budget for the Performing Arts and the Olympia Building in the amount of eight hundred and sixty thousand, two hundred and fifty dollars ($860,250). Vice Chairman Gort: Is there a motion? Commissioner Winton: Yeah. 1 already moved it. Vice Chairman Gort: It's been moved. Is there a second? Chairman Regalado: Second, Commissioner Tecle.: Second, Vice Chairman Gort: Second. Any further discussion? tieing none, all in flavor state it by saying; ,6aye „ The Conitnission (Collectively): Aye. 321 September 13, 2001 9 • The following resolution was introduced by Commissioner Winton, who moved its adoption: RESOLUTION NO. 01-948 A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S), APPROVING AND ADOPTING THh, ANNUAL BUDGET OF THE DEPARTMENT OF OFF-STREET PARKING, ATTACHED AND INCORPORATED, FOR FISCAL YEAR COMMENCING OCTOBER 1, 2001, AND ENDING SEPTEMBER 30, 2002, FOR TILE OPERATION OF TILE GUSMAN CENTER FOR THE PERFORMING ARTS AND THE OLYMPIA BUILDING, IN THE AMOUNT OF $860,250, EXCLUDING DEPRECIATION. (Here follows body of resolution, omitted here and on file in the Office of the City Cleric.) Upon being seconded by Commissioner Regalado, the resolution was passed and adopted by the following vote: AYES: Vice Chairman Wifredo Gort Commissioner Tomas Regalado Commissioner Joe Sanchez Commissioner Arthur E. Teele, Jr. Commissioner Johnny L. Winton NAYS: ABSENT: None. None. 322 September 13, 2001 86; APPROVE MIAMI - AU71I40RITY'9PRPP4SEP OPERATING.'BUDGET GR FISO Ly-EAR200t Vice Chainnan Gort: Pocket items. Commissioner Tecic: Mr. Chairman, before -- Alejandro Vilarello (City Attorney): And the Miami Sports and Exhibition Authority is the last budget related item, approving the Miami Sports and Exhibition proposed operating budget. Commissioner Teele: Second Commissioner Winton's motion. Coin missioner Winton: So moved. Vice Chainnan Gort: Moved by Winton. Commissioner Regalado: What is the budget'? How much is the bu iget? Vice Chairnian Gort: 400 and -- Commissioner Sanchez: I have a pocket item, Mr. Chairman, when the appropriate time coin es, I would respectfully request i be allowed the opportunity -- Commissioner Teele: Mr. ,Manager, would you ask the director of ITD (Information Technology Department) and the Budget Director to come out. i have one other budget item that I'd like to raise? Carlos Gimcne (City Manager): Yes, sir. Commissioner Winton: And, Commissioner Regalado, you had a question about the Miami Sports and Exhibition Authority's budget, is that right? Commissioner Regalado: Yeah Vice Chairman Gort: Total budget. Commissioner Winton: I think the proposed -- this is proposed 2002 budget, right? -- is -- which is in the back of your book. It's total operating expenses of 400 and seventeen thousand; professional service, two hundred and fifty thousand; for a total operating budget of a million dollars ($1,000,000). 'That's on the -- that's all on the expense side. Commissioner Regalado: Oh, OK. No -- Commissioner Winton: Projected revenues of one point two million, for a net income of two hundred and nine thousand. And if you ask tine any more questions, 1 can't answer them. 323 September 13, 2001 Commissioner Regal ado: Any (INAUDIBLE)? Vice Chairman God: OK. All in favor state it by saying; "aye." The Commission (Collectively): Aye. The following resolution was introduced by Commissioner Winton, who moved its adoption: RESOLUTION NO. 01-949 A RESOLUTION OF THE MIAMI CITY COMMISSION, WITI1 ATTACHMENT(S), APPROVING AND ADOPTING THE MIAMI SPORTS AND EXHIBITION AUTHORITY OPERATING BUDGET, IN TIRE AMOUNT OF S1,000,000, FOR THE: FISCAL YrAR COMMENCING OCTOBER 1, 2001 AND ENDING SEPTEMBER 30, 2002, ATTACHED 1IERETO AND MADE A PART HEREOF. (Here follows body of resolution, omitted here and on filo in the Office of the City Clerk.) Upon being seconded by Commissioner Teele, the resolution was passed and adopted by the following; vote: AYES: Vice Chairman Wifrcdo Gort Commissioner Tomas Regalado Commissioner Joe Sanchez Commissioner Arthur E, 'recle, Jr. Commissioner Johnny L,. Winton NAYS: None. ABSENT: None. 324 September 13, 2001